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Fair value of Financial Instruments (Tables)

12 Months Ended

Sep. 30, 2025

Summary of Unobservable Inputs and Ranges

Our Level 3 valuation techniques, unobservable inputs and ranges were categorized as follows for ASC 820 purposes ($ in thousands):


Asset Category	Fair value at September 30, 2025		Valuation Technique	Unobservable Input	Range of Input (Weighted Average) (1)
First lien	$	114,625	Market Comparable	Broker/Dealer bids or quotes	N/A
First lien		2,377,201	Market Comparable	Market yield	4.0% - 24.5% (9.9%)
First lien		17,969	Enterprise Market Value	EBITDA multiple	8.3x
First lien		3,836	Market Comparable	Revenue multiple	0.6x
Second Lien		995	Market Comparable	Broker/Dealer bids or quotes	N/A
Subordinated debt		17,439	Market Comparable	Market yield	7.0% - 25.4% (17.1%)
Subordinated debt		547	Enterprise Market Value	EBITDA multiple	14.8x
Equity		196,398	Enterprise Market Value	EBITDA multiple	0.6x - 28.3x (10.8x)
Total Level 3 investments	$	2,729,010
Long-Term Credit Facility	$	683,837	Market Comparable	Market Yield	4.8%


Asset Category	Fair value at September 30, 2024		Valuation Technique	Unobservable Input	Range of Input (Weighted Average) (1)
First lien	$	132,197	Market Comparable	Broker/Dealer bids or quotes	N/A
First lien		1,589,437	Market Comparable	Market Yield	7.9% - 21.1% (9.1%)
First lien		25,063	Enterprise Market Value	EBITDA multiple	0.8x - 9.8x (3.4x)
Subordinated debt		2,688	Market Comparable	Market Yield	11.8% - 16.5% (14.0%)
Subordinated debt		4	Enterprise Market Value	EBITDA multiple	5x
Equity		168,450	Enterprise Market Value	EBITDA multiple	0.4x - 18.8x (11.0x)
Total Level 3 investments	$	1,917,839
Long-Term Credit Facility	$	443,880	Market Comparable	Market Yield	5.4%

The weighted averages disclosed in the table were weighted by their relative fair value

Summary of Investments, Cash and Cash Equivalents, Credit Facility, or Prior Credit Facility, Notes and Asset Backed Debt

Our investments, cash and cash equivalents, Credit Facility, 2026 Notes, 2036-R Asset-Backed Debt, 2036 Asset-Backed Debt, and 2037 Asset-Backed Debt were categorized as follows in the fair value hierarchy for ASC 820 purposes ($ in thousands):


	Fair Value at September 30, 2025
Description	Fair Value		Level 1		Level 2		Level 3		Measured at Net Asset Value (1)
First lien	$	2,513,631	$	—	$	—	$	2,513,631	$	—
Second Lien and Subordinated debt		18,981		—		—		18,981		—
Equity		240,716		—		—		196,398		44,318
Total investments		2,773,328		—		—		2,729,010		44,318
Cash and cash equivalents		122,688		122,688		—		—		—
Total investments and cash and cash equivalents	$	2,896,016	$	122,688	$	—	$	2,729,010	$	44,318
Long Term Credit Facility payable	$	683,837	$	—	$	—	$	683,837	$	—
2026 Notes payable (2)		184,609		—		184,609		—		—
2036 Asset-Backed Debt(2)		284,627		—		—		284,627		—
2036-R Asset-Backed Debt(2)		265,366		—		—		265,366		—
2037 Asset-Backed Debt (2)		358,331		—		—		358,331		—
Total debt	$	1,776,770	$	—	$	184,609	$	1,592,161	$	—

(1)

In accordance with ASC Subtopic 820-10, Fair Value Measurements and Disclosures, or ASC 820-10, our equity investment in PSSL is measured using the net asset value per share (or its equivalent) as a practical expedient for fair value in accordance with the specialized accounting guidance for investment companies, and thus have not been classified in the fair value hierarchy.

(2)

We elected not to apply the fair value option allowed by ASC 825-10 to the 2026 Notes, the 2036 Asset-Backed Debt, the 2036-R Asset-Backed Debt, and the 2037 Asset-Backed Debt and thus the balance reported in the Consolidated Statement of Assets and Liabilities represents the carrying value, which approximates the fair value.


	Fair Value at September 30, 2024
Description	Fair Value		Level 1		Level 2		Level 3		Measured at Net Asset Value (1)
First lien	$	1,746,697	$	—	$	—	$	1,746,697	$	—
Second lien and Subordinated debt		2,692		—		—		2,692		—
Equity		234,115		—		—		168,450		65,665
Total investments		1,983,504		—		—		1,917,839		65,665
Cash and cash equivalents		112,050		112,050		—		—		—
Total investments and cash and cash equivalents	$	2,095,554	$	112,050	$	—	$	1,917,839	$	65,665
Long Term Credit Facility payable	$	443,880	$	—	$	—	$	443,880	$	—
2026 Notes payable (2)		183,832		—		183,832		—		—
2036 Asset-Backed Debt(2)		284,086		—		—		284,086		—
2036-R Asset-Backed Debt(2)		265,235		—		—		265,235		—
Total debt	$	1,177,033	$	—	$	183,832	$	993,201	$	—

(1)

In accordance with ASC Subtopic 820-10, Fair Value Measurements and Disclosures, or ASC 820-10, our equity investment in PSSL and PTSF is measured using the net asset value per share (or its equivalent) as a practical expedient for fair value in accordance with the specialized accounting guidance for investment companies, and thus has not been classified in the fair value hierarchy.

We elected not to apply the fair value option allowed by ASC 825-10 to the 2026 Notes, the 2036 Asset-Backed Debt and the 2036-R Asset Backed Debt thus the balance reported in the Consolidated Statement of Assets and Liabilities represents the carrying value, which approximates the fair value.

Reconciliation of Investments Measured at Fair Value Using Significant Unobservable Inputs Level 3

The tables below show a reconciliation of the beginning and ending balances for fair valued investments measured using significant unobservable inputs (Level 3) ($ in thousands):


	Year Ended September 30, 2025
Description	First Lien			Second lien, subordinated debt and equity investments			Totals
Beginning Balance	$	1,746,697		$	171,142		$	1,917,839
Net realized losses		(13,939	)		7,998			(5,941	)
Net change in unrealized depreciation		(641	)		(1,937	)		(2,578	)
Purchases, PIK interest, net discount accretion and non-cash exchanges		1,700,654			33,553			1,734,207
Sales, repayments and non-cash exchanges		(919,140	)		4,623			(914,517	)
Transfers in and/or out of Level 3		—			—			—
Ending Balance	$	2,513,631		$	215,379		$	2,729,010
Net change in unrealized depreciation reported within the net change in unrealized depreciation on investments in our Consolidated Statements of Operations attributable to our Level 3 assets still held at the reporting date.	$	(4,077	)	$	14,343		$	10,266


	Year Ended September 30, 2024
Description	First Lien			Second lien, subordinated debt and equity investments			Totals
Beginning Balance	$	906,166		$	100,782		$	1,006,948
Net realized losses		(8,125	)		8,347			222
Net change in unrealized depreciation		(77	)		20,719			20,642
Purchases, PIK interest, net discount accretion and non-cash exchanges		1,320,051			89,599			1,409,650
Sales, repayments and non-cash exchanges		(471,318	)		(48,305	)		(519,623	)
Transfers in and/or out of Level 3		—			—			—
Ending Balance	$	1,746,697		$	171,142		$	1,917,839
Net change in unrealized appreciation reported within the net change in unrealized appreciation on investments in our Consolidated Statements of Operations attributable to our Level 3 assets still held at the reporting date.	$	(9,278	)	$	23,754		$	14,476

Reconciliation of Liabilities Measured at Fair Value Using Significant Unobservable Inputs Level 3

The table below shows a reconciliation of the beginning and ending balances for liabilities recognized at fair value and measured using significant unobservable inputs (Level 3) ($ in thousands):


	Years Ended September 30,
Long-Term Credit Facility	2025			2024
Beginning balance (cost – $443,855 and $85,619, respectively)	$	443,880		$	85,619
Net change in unrealized (depreciation) appreciation included in earnings		(43	)		26
Borrowings		645,000			606,455
Repayments		(405,000	)		(248,220	)
Ending balance (cost – $683,855 and $443,855 respectively)	$	683,837		$	443,880

Schedule of Non US Dollar Outstanding Borrowings on Credit Facility

As of September 30, 2025, we had outstanding non-U.S. dollar borrowings on our Credit Facility. The following table shows our non-U.S dollar borrowings as of September 30, 2025 (CAD and $ in thousands):


Foreign Currency	Amount Borrowed		Borrowing Cost		Current Value		Reset Date	Change in Fair Value
Canadian Dollar		CAD 2,000	$	1,455	$	1,437	10/1/2025	$	(18	)

As of September 30, 2024 we had outstanding non-U.S. dollar borrowings on our Credit Facility. The following table shows our non-U.S. dollar borrowings as of September 30, 2024 (CAD and $ in thousands):


Foreign Currency	Amount Borrowed		Borrowing Cost		Current Value		Reset Date	Change in Fair Value
Canadian Dollar		CAD 2,000	$	1,455	$	1,481	10/1/2024	$	26

- Definition

Tabular disclosure of the fair value measurement of assets using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets) and gains or losses recognized in other comprehensive income (loss), and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs), by class of asset.

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