Bain Capital Specialty Finance, Inc.
For the period ended Sep 30, 2026. Filed Nov 9, 2026.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 30, 2026 · Filed Nov 9, 2026
BCSF$10.97-1.5%Stored close · as of Nov 9, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2026-06-30; filed 2026-08-10.
0001193125-26-342491
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-09-30; filed 2026-11-09.
0001193125-26-453699
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 207 previous paragraphs and 209 current paragraphs.
138 unchanged; 62 reworded; 8 added; 5 removed; 2 previous and 1 current paragraphs rearranged.
Tables are not compared: 28 previous and 30 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (8)
Current report
During the three months ended September 30, 2025, we invested $340.1 million, including PIK, in 101 portfolio companies, and had $296.1 million in aggregate amount of principal repayments and sales, resulting in a net increase in investments of $44.0 million for the period. Of the $340.1 million invested during the three months ended September 30, 2025, $84.5 million was related to drawdowns on delayed draw term loans and revolvers of our portfolio companies.
Current report
During the nine months ended September 30, 2026, we invested $546.7 million, including PIK, in 161 portfolio companies, and had $735.7 million in aggregate amount of principal repayments and sales, resulting in a net decrease in investments of $189.0 million for the period. Of the $546.7 million invested during the nine months ended September 30, 2026, $200.0 million was related to drawdowns on delayed draw term loans and revolvers of our portfolio companies.
Current report
During the nine months ended September 30, 2025, we invested $1,146.9 million, including PIK, in 144 portfolio companies, and had $1,044.8 million in aggregate amount of principal repayments and sales, resulting in a net increase in investments of $102.1 million for the period. Of the $1,146.9 million invested during the nine months ended September 30, 2025, $378.0 million was related to drawdowns on delayed draw term loans and revolvers of our portfolio companies.
Current report
For the three months ended September 30, 2026, realized gains were primarily driven by the sale of the Company’s investments in Forward Slope. For the three months ended Septe mber 30, 2026, realized losses were primarily driven by the restructuring of the Company’s investment in Quantix SCS, LLC.
Current report
For the three months ended September 30, 2025, realized gains were primarily driven by the sale of the Company’s equity interests in DC Blox. For the three months ended September 30, 2025, realized losses were primarily driven by the sale of the Company’s debt and equity investments in Walker Edison.
Current report
$350.0 million, the execution of the 2019‑1 CLO Replacement Notes for $150.6 million and borrowings under our Sumitomo Credit Facility of $664.0 million.
Current report
As of September 30, 2026, we had $435.5 million of unfunded commitments under loan and financing agreements.
Current report
As of December 31, 2025, we had $464.8 million of unfunded commitments under loan and financing agreements.
Removed paragraphs (5)
Previous report
During the three months ended June 30, 2025, we invested $529.6 million, including PIK, in 94 portfolio companies, and had $502.3 million in aggregate amount of principal repayments and sales, resulting in a net increase in investments of $27.3 million for the period. Of the $529.6 million invested during the three months ended June 30, 2025, $169.7 million was related to drawdowns on delayed draw term loans and revolvers of our portfolio companies.
Previous report
During the six months ended June 30, 2026, we invested $425.2 million, including PIK, in 134 portfolio companies, and had $532.6 million in aggregate amount of principal repayments and sales, resulting in a net decrease in investments of $107.4 million for the period. Of the $425.2 million invested during the six months ended June 30, 2026, $150.8 million was related to drawdowns on delayed draw term loans and revolvers of our portfolio companies.
Previous report
During the six months ended June 30, 2025, we invested $806.8 million, including PIK, in 119 portfolio companies, and had $748.7 million in aggregate amount of principal repayments and sales, resulting in a net increase in investments of $58.1 million for the period. Of the $806.8 million invested during the six months ended June 30, 2025, $293.5 million was related to drawdowns on delayed draw term loans and revolvers of our portfolio companies.
Previous report
For the three months ended June 30, 2026, realized gains were primarily driven by the sale of the Company’s equity interest in FCG Acquisitions, Inc. For the three months ended June 30, 2026, realized losses were primarily driven by the exit of the Company’s debt investments in Aptus 1724 Gmbh and Music Creation Group Bidco GmbH as well as a restructuring of the Company's investment in Abracon Group Holding, LLC.
Previous report
For the six months ended June 30, 2025, realized gains were primarily driven by the sale of the Company’s equity interest in Eagle Rock Capital Corporation and debt investments in Goodfellow. For the six months ended June 30, 2025, realized losses were primarily driven by the sale of the Company’s investment in Aimbridge Acquisition Co., Inc. and Forming Machining Industries Holdings, LLC.
Reworded paragraphs (62)
Previous wording
Bain Capital Specialty Finance, Inc. (the “Company”, “we”, “our” and “us”) is an externally managed specialty finance company focused on lending to middle market companies. We have elected to be regulated as a business development company (a “BDC”) under the Investment Company Act of 1940, as amended (together with the rules and regulations promulgated thereunder, the “1940 Act”). We are managed by the Advisor, a subsidiary of Bain Capital Credit, LP (“Bain Capital Credit”). Our Advisor is registered as an investment adviser with the SEC under the Investment Advisers Act of 1940, as amended (the “Advisers Act”). Our Advisor also provides the administrative services necessary for us to operate (in such capacity, our “Administrator”). Since we commenced operations on October 13, 2016 through June 30, 2026, we have invested appr oximately $10,129.6 million in aggregate principal amount of debt and equity investments prior to any subsequent exits or repayments. We seek to generate current income and, to a lesser extent, capital appreciation through direct originations of secured debt, including first lien, first lien/last-out, unitranche and second lien debt, investments in strategic joint ventures, equity investments and, to a lesser extent, corporate bonds.
Current wording
Bain Capital Specialty Finance, Inc. (the “Company”, “we”, “our” and “us”) is an externally managed specialty finance company focused on lending to middle market companies. We have elected to be regulated as a business development company (a “BDC”) under the Investment Company Act of 1940, as amended (together with the rules and regulations promulgated thereunder, the “1940 Act”). We are managed by the Advisor, a subsidiary of Bain Capital Credit, LP (“Bain Capital Credit”). Our Advisor is registered as an investment adviser with the SEC under the Investment Advisers Act of 1940, as amended (the “Advisers Act”). Our Advisor also provides the administrative services necessary for us to operate (in such capacity, our “Administrator”). Since we commenced operations on October 13, 2016 through September 30, 2026, we have invested appr oximately $10,238.4 million in aggregate principal amount of debt and equity investments prior to any subsequent exits or repayments. We seek to generate current income and, to a lesser extent, capital appreciation through direct originations of secured debt, including first lien, first lien/last-out, unitranche and second lien debt, investments in strategic joint ventures, equity investments and, to a lesser extent, corporate bonds.
Previous wording
On November 19, 2018, we closed our initial public offering (the “IPO”) issuing 7,500,000 shares of our common stock at a public offering price of $20.25 per share. Shares of common stock of the Company began trading on the New York Stock Exchange under the symbol “BCSF” on November 15, 2018.
Current wording
On November 19, 2018, we closed our initial public offering (the “IPO”) issuing 7,500,000 shares of our common stock at a public offering price of $20.25 per share. Shares of common stock of the Company began trading on the New York Stock Exchange (“NYSE”) under the symbol “BCSF” on November 15, 2018.
Previous wording
Our debt investment portfolio consists of primarily floating rate loans. As of June 30, 2026 and December 31, 2025,94.5% and 92.2%, respectively, of our debt investments, based on fair value, bore interest at floating rates, which may be subject to interest rate floors. Variable-rate investments subject to a floor generally reset periodically to the applicable floor, only if the floor exceeds the index. Trends in base interest rates, such as SOFR, may affect our net investment income over the long term. In addition, our results may vary from period to period depending on the interest rates of new investments made during the period compared to investments that were sold or repaid during the period; these results reflect the characteristics of the particular portfolio companies that we invested in or exited during the period and not necessarily any trends in our business or macroeconomic trends.
Current wording
Our debt investment portfolio consists of primarily floating rate loans. As of September 30, 2026 and December 31, 2025, 94.1% and 92.2%, respectively, of our debt investments, based on fair value, bore interest at floating rates, which may be subject to interest rate floors. Variable-rate investments subject to a floor generally reset periodically to the applicable floor, only if the floor exceeds the index. Trends in base interest rates, such as SOFR, may affect our net investment income over the long term. In addition, our results may vary from period to period depending on the interest rates of new investments made during the period compared to investments that were sold or repaid during the period; these results reflect the characteristics of the particular portfolio companies that we invested in or exited during the period and not necessarily any trends in our business or macroeconomic trends.
Previous wording
We incurred expenses related to the Administrator of $0.5 million and $0.5 million for the three months ended June 30, 2026 and 2025, respectively, which is included in other general and administrative expenses on the Consolidated Statements of Operations. We incurred expenses related to the Administrator of $1.1 million and $1.2 million for the six months ended June 30, 2026 and 2025, respectively, which is included in other general and administrative expenses on the Consolidated Statements of Operations.
Current wording
We incurred expenses related to the Administratorof $0.6 million and $0.6 million for the three months ended September 30, 2026 and 2025, respectively, which is included in other general and administrative expenses on the Consolidated Statements of Operations. We incurred expenses related to the Administrator of $1.7 million and $1.8 million for the nine months ended September 30, 2026 and 2025, respectively, which is included in other general and administrative expenses on the Consolidated Statements of Operations.
Previous wording
The sub-administrator is paid its compensation for performing its sub-administrative services under the sub-administration agreement. We incurred expenses related to the sub-administrator of $0.1 million and $0.1 million for the three months ended June 30, 2026 and 2025, respectively, which is included in other general and administrative expenses on the Consolidated Statements of Operations. We incurred expenses related to the sub-administrator of $0.3 million and $0.3 million for the six months ended June 30, 2026 and 2025, respectively, which is included in other general and administrative expenses on the Consolidated Statements of Operations.
Current wording
September 30, 2026 and 2025, respectively, which is included in other general and administrative expenses on the Consolidated Statements of Operations. We incurred expenses related to the sub-administrator of $0.4 millionand $0.5 million for the nine months ended September 30, 2026 and 2025, respectively, which is included in other general and administrative expenses on the Consolidated Statements of Operations.
Previous wording
We may borrow money from time to time. However, our ability to incur indebtedness (including by issuing preferred stock), is limited by applicable regulations such that our asset coverage, as defined in the 1940 Act, must equal at least 150%. The Company's sole initial shareholder adopted this 150% threshold pursuant to Section 61(a)(2) of the 1940 Act on February 1, 2019; previously the threshold was 200%. In determining whether to borrow money, we will analyze the maturity, covenant package and rate structure of the proposed borrowings as well as the risks of such borrowings compared to our investment outlook. As of June 30, 2026, the Company’s asset coverage was 171.0%.
Current wording
We may borrow money from time to time. However, our ability to incur indebtedness (including by issuing preferred stock), is limited by applicable regulations such that our asset coverage, as defined in the 1940 Act, must equal at least 150%. The Company’s sole initial shareholder adopted this 150% threshold pursuant to Section 61(a)(2) of the 1940 Act on February 1, 2019; previously the threshold was 200%. In determining whether to borrow money, we will analyze the maturity, covenant package and rate structure of the proposed borrowings as well as the risks of such borrowings compared to our investment outlook. As of September 30, 2026, the Company’s asset coverage was 179.8%.
Previous wording
Committee, the decision to sell securities is at the sole discretion of the portfolio managers. For middle-market holdings, the path to exit an investment is discussed at credit committee meetings, including restructurings, acquisitions and sale to strategic buyers. Since most middle-market investments are illiquid, exits are driven primarily by a sale of the portfolio company or a refinancing of the portfolio company’s debt.
Current wording
Portfolio construction is largely the responsibility of the portfolio managers. The portfolio managers will construct the portfolio using a set of approved investments. While the decision to buy generally requires approval from at least the Private Credit Investment Committee, the decision to sell securities is at the sole discretion of the portfolio managers. For middle-market holdings, the path to exit an investment is discussed at credit committee meetings, including restructurings, acquisitions and sale to strategic buyers. Since most middle-market investments are illiquid, exits are driven primarily by a sale of the portfolio company or a refinancing of the portfolio company’s debt.
Previous wording
A focus on technology disruption, geopolitical conflict, and shifts in monetary policy continued to drive global financial markets through the second quarter of 2026. While uncertainty and risk remain, we believe underlying company fundamentals remain supportive of stable economic growth. As part of our standard portfolio management process, we take proactive steps to evaluate the impact of these and other events on our business and on the companies that we lend to. We continue to monitor the economic environment and believe our experience investing through multiple cycles, disciplined investment approach and focus on the core middle market positions us well to navigate this market landscape.
Current wording
The third quarter of 2026 was defined by a hawkish policy shift, as the Fed raised rates in September in response to persistent inflation pressure, particularly from energy. U.S. economic growth remained resilient, though uncertainty around AI investment, geopolitical conflict and the political backdrop added to volatility. As part of our standard portfolio management process, we proactively evaluate the impact of these developments on our business and the companies we lend to. We continue to monitor the economic environment and believe our experience investing through multiple cycles, disciplined approach and focus on the core middle market position us well to navigate this market landscape.
Previous wording
During the three months ended June 30, 2026, we invested $182.0 million, including PIK, in 99 portfolio companies, and had $277.2 million in aggregate amount of principal repayments and sales, resulting in a net decrease in investments of $95.2 million for the period. Of the $182.0 million invested during the three months ended June 30, 2026, $67.1 million was related to drawdowns on delayed draw term loans and revolvers of our portfolio companies.
Current wording
During the three months ended September 30, 2026, we invested $121.5 million, including PIK, in 120 portfolio companies, and had $203.1 million in aggregate amount of principal repayments and sales, resulting in a net decrease in investments of $81.6 million for the period. Of the $121.5 million invested during the three months ended September 30, 2026, $49.2 million was related to drawdowns on delayed draw term loans and revolvers of our portfolio companies.
Previous wording
Loans or debt securities are placed on non-accrual status when there is reasonable doubt that principal or interest will be collected. Accrued interest generally is reversed when a loan or debt security is placed on non-accrual status. Interest payments received on non-accrual loans or debt securities may be recognized as income or applied to principal depending upon management’s judgment. Non-accrual loans and debt securities are restored to accrual status when past due principal and interest is paid and, in management’s judgment, are likely to remain current. We may make exceptions to this treatment if the loan has sufficient collateral value and is in the process of collection. As of June 30, 2026, there were twenty-one loans from four issuers placed on non-accrual in the Company’s portfolio. As of December 31, 2025, there were twelve loans from six issuers placed on non-accrual in the Company’s portfolio.
Current wording
Loans or debt securities are placed on non-accrual status when there is reasonable doubt that principal or interest will be collected. Accrued interest generally is reversed when a loan or debt security is placed on non-accrual status. Interest payments received on non-accrual loans or debt securities may be recognized as income or applied to principal depending upon management’s judgment. Non-accrual loans and debt securities are restored to accrual status when past due principal and interest is paid and, in management’s judgment, are likely to remain current. We may make exceptions to this treatment if the loan has sufficient collateral value and is in the process of collection. As of September 30, 2026, there were sixteen loans from four issuers placed on non-accrual in the Company’s portfolio. As of December 31, 2025, there were twelve loans from six issuers placed on non-accrual in the Company’s portfolio.
Previous wording
review of monthly and quarterly Consolidated Financial Statements and financial projections of portfolio companies.
Current wording
review of monthly and quart erly Consolidated Financial Statements and financial projections of portfolio companies.
Previous wording
As of June 30, 2026, ISLP had $705.7 million in debt and equity investments, at fair value. The following table is a summary of ISLP’s portfolio at fair value:
Current wording
As of September 30, 2026, ISLP had $696.9 million in debt and equity investments, at fair value. The following table is a summary of ISLP’s portfolio at fair value:
Previous wording
As of June 30, 2026, the Company’s investment in SLP consisted of subordinated notes of $163.8 million, preferred equity interests of $1.8 million and equity interests of $0.0 million. As of December 31, 2025, the Company’s investment in SLP consisted of subordinated notes of $157.9 million, preferred equity interests of $1.8 million and equity interests of $5.0 million. The Company and Amberstone each appointed two members to SLP’s four-person Member Designees’ Committee. All material decisions with respect to SLP, including those involving its investment portfolio, require unanimous approval of a quorum of Member Designees’ Committee. The Company does not consolidate its investments in SLP as it is not a substantially wholly owned investment company subsidiary. In addition, the Company does not control SLP due to the allocation of voting rights among SLP members.
Current wording
As of September 30, 2026, the Company’s investmentin SLP consisted of subordinated notes of $162.1 million, preferred equity interests of $1.8 million and equity interests of $0.0 million. As of December 31, 2025, the Company’s investment in SLP consisted of subordinated notes of $157.9 million, preferred equity interests of $1.8 million and equity interests of $5.0 million. The Company and Amberstone each appointed two members to SLP’s four-person Member Designees’ Committee. All material decisions with respect to SLP, including those involving its investment portfolio, require unanimous approval of a quorum of Member Designees’ Committee. The Company does not consolidate its investments in SLP as it is not a substantially wholly owned investment company subsidiary. In addition, the Company does not control SLP due to the allocation of voting rights among SLP members.
Previous wording
Interest income from investments, which includes interest and accretion of discounts and fees, decreased to $45.2 million for the three months ended June 30, 2026 from $54.2 million for the three months ended June 30, 2025, primarily due to a decrease in yield of the investment portfolio.
Current wording
Interest income from investments, which includes interest and accretion of discounts and fees, decreased to $45.0 millionforthe three months ended September 30, 2026 from $54.0 million for the three months ended September 30, 2025, primarily due to a decrease in the size of the investment portfolio.
Previous wording
Dividend income increased to $7.8 million for the three months ended June 30, 2026 from $5.1 million for the three months ended June 30, 2025, primarily due to an increase in dividend income from SLP and certain equity investments.
Current wording
Dividend income increased to $5.8 million for the three months ended September 30, 2026 from $4.2 million for the three months ended September 30, 2025, primarily due to an increase in dividend income from SLP and certain equity investments.
Previous wording
PIK income remained at approximately$7.5 million for the three months ended June 30, 2026 from the three months ended June 30, 2025, primarily due to an increase in the number of investments earning PIK income, including new investments underwritten with PIK income and amendments to existing investments, partially offset by certain PIK investments being placed on non-accrual status.
Current wording
PIK income increased to $7.9 million for the three months ended September 30, 2026 from $7.5 million for the three months ended September 30, 2025, primarily due to anincrease in the number of investments earning PIK income, including new investments underwritten with PIK income and amendments to existing investments.
Previous wording
Other income decreased to approximately $1.8 million for the three months ended June 30, 2026 from $4.2 million for the three months ended June 30, 2025, primarily due to a decrease in structuring, closing and commitment fees earned on certain investments.
Current wording
Other income decreased to approximately $1.2 million for the three months ended September 30, 2026 from $1.6 million for the three months ended September 30, 2025, primarily due to a decrease in structuring, amendment, and arrangement fees earned on certain investments.
Previous wording
The composition of our investment income for the six months ended June 30, 2026 and 2025 was as follows (dollars in thousands):
Current wording
The composition of our investment income for the nine months ended September 30, 2026 and 2025 was as follows (dollars in thousands):
Previous wording
Interest income from investments, which includes interest and accretion of discounts and fees, decreased to $94.5 million for the six months ended June 30, 2026 from $105.1 million for the six months ended June 30, 2025, primarily due to a decrease in yield of the investment portfolio.
Current wording
Interest income from investments, which includes interest and accretion of discounts and fees, decreased to $139.5 million for the nine months ended September 30, 2026 from $159.0 million for the nine months ended September 30, 2025, primarily due to a decrease in the size of the investment portfolio.
Previous wording
Dividend income increased to $14.4 million for the six months ended June 30, 2026 from $11.6 million for the six months ended June 30, 2025, primarily due to an increase in dividend income from SLP and certain equity investments.
Current wording
Dividend income increasedto $20.2 millionforthe nine months ended September 30, 2026 from $15.8 million for the nine months ended September 30, 2025, primarily due to an increase in dividend income from SLP and certain equity investments.
Previous wording
PIK income increased to approximately $16.2 million for the six months ended June 30, 2026 from $14.1 million for the six months ended June 30, 2025, primarily due to an increase in the number of investments earning PIK income, including new investments underwritten with PIK income and amendments to existing investments.
Current wording
PIK income increased to approximately $24.1 million for the nine months ended September 30, 2026 from $21.6 million for the nine months ended September 30, 2025, primarily due to an increase in the number of investments earning PIK income, including new investments underwritten with PIK income and amendments to existing investments.
Previous wording
Other income decreased to approximately $3.3 million for the six months ended June 30, 2026 from $7.0 million for the six months ended June 30, 2025, primarily due to a decrease in commitment and upfront fees earned on certain investments.
Current wording
Other income decreased to approximately $4.5 million for the nine months ended September 30, 2026 from $8.6 million for the nine months ended September 30, 2025, primarily due to a decrease in commitment, upfront, and structuring fees earned on certain investments.
Previous wording
As of June 30, 2026, the weighted average yield of our investment portfolio decreased to 10.8% from 11.4% as of June 30, 2025, at amortized cost.
Current wording
As of September 30, 2026, the weighted average yield of our investment portfolio increased to 11.2% from 11.1% as of September 30, 2025, at amortized cost.
Previous wording
The composition of our operating expenses for the six months ended June 30, 2026 and 2025 were as follows (dollars in thousands):
Current wording
The composition of our operating expenses for the nine months ended September 30, 2026 and 2025 were as follows (dollars in thousands):
Previous wording
Interest and debt financing expenses on our borrowings decreased to $20.7 million from $21.8 million for the three months ended June 30, 2026 and 2025, respectively. This decrease was primarily due to a decrease in average debt outstanding. Interest and debt financing expenses on our borrowings increased to$40.9 million from$40.7 million for the six months ended June 30, 2026 and 2025, respectively. This increase was primarily due to fluctuations in base rates. The weighted average principal debt balance outstanding for the three months ended June 30, 2026 was $1.5 billion compared to $ 1.6 billion for the three months ended June 30, 2025. The weighted average principal debt balance outstanding for the six months ended June 30, 2026 was $1.5 billion compared to $1.5 billion for the six months ended June 30, 2025.
Current wording
Interest and debt financing expenses on our borrowings decreased to $20.1 million from $20.3 million forthe three months ended September 30, 2026 and 2025, respectively. This decrease was primarily due to a decrease in average debt outstanding. Interest and debt financing expenses on our borrowings increased to $61.1 million from$61.0 million for the nine months ended September 30, 2026 and 2025, respectively. This increase was primarily due to fluctuations in base rates. The weighted average principal debt balance outstanding for the three months ended September 30, 2026 was $1.5 billion compared to $1.5 billion for the three months ended September 30, 2025. The weighted average principal debt balance outstanding for the nine months ended September 30, 2026 was $1.5 billion compared to $1.5 billion for the nine months ended September 30, 2025.
Previous wording
The combined weighted average interest rate (excluding deferred upfront financing costs and unused fees) of the aggregate borrowings outstanding for the six months ended June 30, 2026 and the year ended December 31, 2025 was 4.8% and 4.8%, respectively.
Current wording
The combined weighted average interest rate (excluding deferred upfront financing costs and unused fees) of the aggregate borrowings outstanding for the nine months ended September 30, 2026 and the year ended December 31, 2025 was 4.9%and 4.8%, respectively.
Previous wording
Management fee (net of waivers) decreased to $9.0 million for the three months ended June 30, 2026 from $9.3 million for the three months ended June 30, 2025. Management fee (gross of waivers) decreased to $9.0 million for the three months ended June 30, 2026 from $9.3 million for the three months ended June 30, 2025, primarily due to a decrease in total assets thro ughout the three months ended June 30, 2026 compared to the three months ended June 30, 2025. Management fee waived for the three months ended June 30, 2026 and 2025 was $0.0 million and $0.0 million, respectively.
Current wording
Management fee (net of waivers) decreased to $8.8 million for the three months ended September 30, 2026 from $9.4 million for the three months ended September 30, 2025. Management fee (gross of waivers) decreased to $8.8 million for the three months ended September 30, 2026 from $9.4 million for the three months ended September 30, 2025, primarily due to a decrease in total assets throughout the three months ended September 30, 2026 compared to the three months ended September 30, 2025. Management fee waived for the three months ended September 30, 2026 and 2025 was $0.0 million and $0.0 million, respectively.
Previous wording
Management fee (net of waivers) was $18.1 million for the six months ended June 30, 2026 and $18.3 million for the six months ended June 30, 2025. Management fee (gross of waivers) was $18.1 million for the six months ended June 30, 2026 and $18.3 million for the six months ended June 30, 2025. Management fee waived for the three and six months ended June 30, 2026 and 2025 was $0.0 million and $0.0 million, respectively.
Current wording
Management fee (net of waivers) was $26.9 million for the nine months ended September 30, 2026 and $27.8 million for the nine months ended September 30, 2025. Management fee (gross of waivers) was $26.9 million for the nine months ended September 30, 2026 and $27.8 million for the nine months ended September 30, 2025. Management fee waived for the three and nine months ended September 30, 2026 and 2025 was $0.0 million and $0.0 million, respectively.
Previous wording
Incentive fee (net of waivers) decreased to $0.8 million for the three months ended June 30, 2026 from $5.4 million for the three months ended June 30, 2025. The following table summarizes the incentive fee for the three months ended June 30, 2026 and 2025 (dollars in thousands):
Current wording
Incentive fee (net of waivers) decreased to $0.0 million for the three months ended September 30, 2026 from $4.6 million for the three months ended September 30, 2025. The following table summarizes the incentive fee for the three months ended September 30, 2026 and 2025 (dollars in thousands):
Previous wording
For the six months ended June 30, 2026, there were no incentive fees related to the GAAP Incentive Fee.
Current wording
For the three months ended September 30, 2026, there wereno incentive fees related to the GAAP Incentive Fee.
Previous wording
Incentive fee (net of waivers) decreased to $6.4 million for the six months ended June 30, 2026 from $7.7 million for the six months ended June 30, 2025, primarily due to the incentive fee cap.
Current wording
Incentive fee (net of waivers)decreased to $6.4 million for the nine months ended September 30, 2026 from $12.3 million for the nine months ended September 30, 2025, primarily due to the incentive fee cap.
Previous wording
For the three months ended June 30, 2026, there were no incentive fees related to the GAAP Incentive Fee.
Current wording
For the nine months ended September 30, 2026, there were no incentive fees related to the GAAP Incentive Fee.
Previous wording
Professional fees and other general and administrative expenses decreased to $2.4 million for the three months ended June 30, 2026 from $2.6 million for the three months ended June 30, 2025, primarily due to a decrease in costs associated with servicing our investment portfolio.
Current wording
Professional fees and other general and administrative expenses decreased to $2.3 million for the three months ended September 30, 2026 from $2.7 million for the three months ended September 30, 2025, primarily due to a decrease in costs associated with servicing our investment portfolio.
Previous wording
Professional fees and other general and administrative expenses decreased to $5.1 million for the six months ended June 30, 2026 from $5.9 million for the six months ended June 30, 2025, primarily due to a decrease in costs associated with servicing our investment portfolio.
Current wording
Professional fees and other general and administrative expe nses decreased to $7.5 million for the nine months ended September 30, 2026 from $8.6 million forthe nine months ended September 30, 2025, primarily due to a decrease in costs associated with servicing our investment portfolio.
Previous wording
For the three months ended June 30, 2026, we had $38.6 million in unrealized appreciation on 61 portfolio company investments, which was offset by $38.2 million in unrealized depreciation on 150 portfolio company investments. For the three months ended June 30, 2026, unrealized appreciation was primarily driven by the reversal of unrealized depreciation resulting from the exit of Aptus 1724 Gmbh and Music Creation Group Bidco GmbH and the restructuring of Abracon Group Holdings, LLC. and company specific valuation adjustments on equity investments in AXH Air Coolers and on debt investments in American Trailer Rental Group. For the three months ended June 30, 2026, the unrealized depreciation was primarily driven by decreases in the fair value of the Company's investment in SLP and certain portfolio company investments including Service Master, A&R Logistics, Inc, and MZR Buyer, LLC, reflecting a combination of company specific valuation adjustments and market driven factors including widening of credit spreads.
Current wording
For the three months ended September 30, 2026, we had $27.8 million in unrealized appreciation on 76 portfolio company investments, which was offset by $30.0 million in unrealized depreciation on 141 portfolio company investments. For the three months ended September 30, 2026, unrealized appreciation was primarily driven by the reversal of unrealized depreciation resulting from the restructuring of Quantix SCS, LLC and company specific valuation adjustments on equity investments in Abracon TopCo, LLC and on equity and debt investments in TLC Holdco LP and TLC Purchaser, Inc. For the three months ended September 30, 2026, the unrealized depreciation was primarily driven by decreases in the fair value of the Company’s investment in ISLP and certain portfolio company investments including Efficient Collaborative Retail Marketing Company, LLC, Service Master, and Applitools, reflecting a combination of company specific valuation adjustments and market driven factors including widening of credit spreads.
Previous wording
For the three months ended June 30, 2025, we had $31.3 million in unrealized appreciation on 77 portfolio company investments, which was offset by $27.9 million in unrealized depreciation on 102 portfolio company investments. For the three months ended June 30, 2025, unrealized appreciation was primarily driven by an increase in the fair value of the Company's investment in SLP and company specific valuation adjustments on equity investments in iBanFirst, and Lightning Holdings B, LLC. For the three months ended June 30, 2025, unrealized depreciation was primarily due to a decrease in fair value of the Company's investment in ISLP, widening of credit spreads and company specific valuation adjustments on Walker Edison.
Current wording
For the three months ended September 30, 2025, we had $41.6 million in unrealized appreciation on 53 portfolio company investments, which was offset by $44.5 million in unrealized depreciation on 141 portfolio company investments. For the three months ended September 30, 2025, unrealized appreciation was primarily driven by the reversal of unrealized depreciation resulting from the exit of Walker Edison, and company specific valuation adjustments on the equity investment in Ansett Aviation Training. For the three months ended September 30, 2025, unrealized depreciation was primarily due toa decrease in fair value of the Company’s investment in ISLP, widening of credit spreads and company specific valuation adjustments on Gale Aviation (Offshore) Co.
Previous wording
The following table summarizes our net realized and unrealized gains (losses) for the six months ended June 30, 2026 and 2025 (dollars in thousands):
Current wording
The following table summarizes our net realized and unrealized gains (losses) for the nine months ended September 30, 2026 and 2025 (dollars in thousands):
Previous wording
For the six months ended June 30, 2026, realized gains were primarily driven by the sale of the Company’s equity interest in BTX Precision and FCG Acquisitions, Inc. For the six months ended June 30, 2026, realized losses were primarily driven by the sale of the Company’s equity interest in Gale Aviation (Offshore) Co, the exit of Aptus 1724 GmbH, and Music Creation Group Bidco GmbH and the restructuring of the Company's investment in Abracon Group Holdings, LLC.
Current wording
For the nine months ended September 30, 2026, realized gains were primarily driven by the sale of the Company’s equity interest in BTX Precision and FCG Acquisitions, Inc. For the nine months ended September 30, 2026, realized losses were primarily driven by the sale of the Company’s equity interest in Gale Aviation (Offshore) Co, the exit of Aptus 1724 GmbH, and Music Creation Group Bidco GmbH and the restructuring of the Company’s investment in Quantix SCS, LLC.
Previous wording
For the three months ended June 30, 2025, realized gains were primarily driven by the sale of the Company's equity interest in Eagle Rock Capital Corporation. For the three months ended June 30, 2025, realized losses were primarily driven by the sale of the Company's debt investment in Ansett Aviation Training.
Current wording
For the nine months ended September 30, 2025, realized gains were primarily driven by the sale of the Company’s equity interests in DC Blox and Eagle Rock Capital Corporation. For the nine months ended September 30, 2025, realized losses were primarily driven by the sale of the Company’s debt and equity investments in Walker Edison and Aimbridge Hospitality.
Previous wording
For the six months ended June 30, 2026, we had $56.1 million in unrealized appreciation on 57 portfolio company investments, which was offset by $73.6 million in unrealized depreciation on 163 portfolio company investments. For the six months ended June 30, 2026, the unrealized appreciation was primarily driven by the reversal of unrealized depreciation resulting from the sale of Gale Aviation (Offshore) Co., Aptus 1724 GmbH, and Music Creation Group Bidco GmbH. The unrealized appreciation was further driven by company specific valuation adjustments on equity investments in Legacy Corporate Lending HoldCo, LLC and AXH Air Coolers. For the six months ended June 30, 2026, the unrealized depreciation was primarily driven by decreases in the fair value of the Company’s investment in ISLP and SLP and certain portfolio company investments including Service Master, Applitools, A&R Logistics, Inc, and MZR Buyer, LLC.
Current wording
For the nine months ended September 30, 2026, wehad $65.1 million in unrealized appreciation on 72 portfolio company investments, which was offset by $84.7 million in unrealized depreciation on 153 portfolio company investments. For the nine months ended September 30, 2026, the unrealized appreciation was primarily driven by the reversal of unrealized depreciation resulting from the sale of Gale Aviation (Offshore) Co and restructure of Abracon Group Holdings, LLC. The unrealized appreciation was further driven by company specific valuation adjustments on equity investments in Legacy Corporate Lending HoldCo, LLC and Lightning Holdings B, LLC. For the nine months ended September 30, 2026, the unrealized depreciation was primarily driven by decreases in the fair value of the Company’s investment in ISLP and SLP and certain portfolio company investments including Service Master, Applitools, Efficient Collaborative Retail Marketing Company, LLC, and MZR Buyer, LLC.
Showing the first 40 of 62 pairs. Open the source sections for the rest.
Rearranged current paragraphs (1)
Current report — wording carried from elsewhere
The sub-administrator is paid its compensation for performing its sub-administrative services under the sub-administration agreement. We incurred expenses related to the sub-administrator of $0.1 million and $0.2 million for the three months ended
Rearranged previous paragraphs (2)
Previous report — wording carried elsewhere
Portfolio construction is largely the responsibility of the portfolio managers. The portfolio managers will construct the portfolio using a set of approved investments. While the decision to buy generally requires approval from at least the Private Credit Investment
Previous report — wording carried elsewhere
We record our investment transactions on a trade date basis. We record realized gains and losses based on the specific identification method. We record interest income, adjusted for amortization of premium and accretion of discount, on an accrual basis.