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Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2025

Fair Value Disclosures [Abstract]

Schedule of Fair Value Measurements of Investments by Major Class According to Fair Value Hierarchy

The following tables present fair value measurements of investments by major class according to the fair value hierarchy:

		March 31, 2025
		Level 1				Level 2				Level 3				Total
First Lien Debt	$		—		$		—		$		800,924		$		800,924
Second Lien Debt			—				—				88,794				88,794
Subordinated Debt			—				—				126,932				126,932
Equity			—				—				137,471				137,471
Warrants			—				—				287				287
Money Market Funds			62,616				—				—				62,616
Total	$		62,616		$		—		$		1,154,408		$		1,217,024

		December 31, 2024
		Level 1				Level 2				Level 3				Total
First Lien Debt	$		—		$		—		$		718,120		$		718,120
Second Lien Debt			—				—				83,543				83,543
Subordinated Debt			—				—				142,839				142,839
Equity			—				—				138,371				138,371
Warrants			—				—				7,633				7,633
Money Market Funds			48,715				—				—				48,715
Total	$		48,715		$		—		$		1,090,506		$		1,139,221

Summary of Reconciliation of Beginning and Ending Balances for Fair Valued Investments

The following tables present a reconciliation of the beginning and ending balances for fair valued investments measured using significant unobservable inputs (Level 3) for the three months ended March 31, 2025 and 2024:

		First Lien				Second Lien				Subordinated
		Debt				Debt				Debt				Equity				Warrants				Total
Balance, December 31, 2023		$	578,140			$	119,561			$	135,173			$	120,007			$	4,768			$	957,649
Net realized gains (losses) on investments			—				—				—				1,743				—				1,743
Net change in unrealized appreciation (depreciation) on investments			1,116				453				(75	)			(1,456	)			1,184				1,222
Purchase of investments			96,142				28,850				12,500				8,369				—				145,861
Proceeds from sales and repayments of investments			(41,963	)			(14,852	)			(209	)			(3,222	)			(1	)			(60,247	)
Interest and dividend income paid-in-kind			256				691				1,102				—				—				2,049
Proceeds from loan origination fees			(896	)			(79	)			(156	)			—				—				(1,131	)
Accretion of loan origination fees			478				28				50				—				—				556
Accretion of original issue discount			17				97				2				—				—				116
Balance, March 31, 2024		$	633,290			$	134,749			$	148,387			$	125,441			$	5,951			$	1,047,818
Balance, December 31, 2024		$	718,120			$	83,543			$	142,839			$	138,371			$	7,633			$	1,090,506
Net realized gains (losses) on investments			—				—				—				6,131				7,199				13,330
Net change in unrealized appreciation (depreciation) on investments			1,180				(2,203	)			(158	)			(3,523	)			(5,089	)			(9,793	)
Purchase of investments			104,846				6,746				3				3,960				—				115,555
Proceeds from sales and repayments of investments			(23,729	)			-				(16,690	)			(7,468	)			(9,456	)			(57,343	)
Interest and dividend income paid-in-kind			700				715				824				—				—				2,239
Proceeds from loan origination fees			(621	)			(56	)			-				—				—				(677	)
Accretion of loan origination fees			409				27				112				—				—				548
Accretion of original issue discount			19				22				2				—				—				43
Balance, March 31, 2025		$	800,924			$	88,794			$	126,932			$	137,471			$	287			$	1,154,408

Summary of Significant Unobservable Inputs by Valuation Technique to Determine Fair Value

The following tables summarize the significant unobservable inputs by valuation technique used to determine the fair value of the Company’s Level 3 debt and equity investments as of March 31, 2025 and December 31, 2024. The tables are not intended to be all-inclusive, but instead capture the significant unobservable inputs relevant to the Company’s determination of fair values.

		Fair Value at				Valuation		Unobservable		Range
		March 31, 2025				Techniques		Inputs		(weighted average)(1)
Debt investments:
First Lien Debt		$	786,829			Discounted cash flow		Weighted average cost of capital		6.9% - 30.0% (13.8%)
			3,525			Enterprise value waterfall		Asset Coverage		1.0x - 1.0x (1.0x)
			10,570			Enterprise value waterfall		Revenue multiples		1.3x - 1.3x (1.3x)
Second Lien Debt			88,794			Discounted cash flow (2)		Weighted average cost of capital		12.6% - 69.5% (19.5%)
Subordinated Debt			126,932			Discounted cash flow		Weighted average cost of capital		10.4% - 20.0% (13.3%)
Equity investments:
Equity			130,969			Enterprise value waterfall		EBITDA multiples		3.5x - 30.0x (10.7x)
			6,502			Enterprise value waterfall		Revenue multiples		0.8x - 9.0x (6.3x)
Warrants			287			Enterprise value waterfall		EBITDA multiples		3.5x - 3.5x (3.5x)
			-			Enterprise value waterfall		Revenue multiples		4.0x - 4.0x (4.0x)

(1) Unobservable inputs were weighted by the relative fair value of the instruments.

(2) Includes $9.7 million of debt investments which were valued using a trading discount to par.

		Fair Value at				Valuation		Unobservable		Range
		December 31, 2024				Techniques		Inputs		(weighted average)(1)
Debt investments:
First Lien Debt		$	714,595			Discounted cash flow		Weighted average cost of capital		7.8% - 26.2% (14.5%)
			3,525			Enterprise value waterfall		Asset Coverage		1.0x - 1.0x (1.0x)
			-			Enterprise value		EBITDA multiples		4.3x - 4.3x (4.3x)
Second Lien Debt			79,106			Discounted cash flow (2)		Weighted average cost of capital		13.4% - 55.5% (20.7%)
			4,437			Option Pricing		Volatility of credit		85.0% - 85.0% (85.0%)
Subordinated Debt			142,839			Discounted cash flow		Weighted average cost of capital		10.4% - 20.0% (13.2%)
Equity investments:
Equity			132,741			Enterprise value waterfall		EBITDA multiples		3.5x - 30.0x (11.0x)
			5,630			Enterprise value waterfall		Revenue multiples		0.8x - 9.0x (6.6x)
Warrants			7,633			Enterprise value waterfall		EBITDA multiples		3.5x - 3.5x (3.5x)
			-			Enterprise value waterfall		Revenue multiples		4.0x - 4.0x (4.0x)

(1) Unobservable inputs were weighted by the relative fair value of the instruments.

(2) Includes $9.6 million of debt investments which were valued using a trading discount to par.

Summary of Carrying Value and Fair Value of Debt Obligations

The following tables summarize the carrying value and fair value of the Company’s debt obligations as of March 31, 2025 and December 31, 2024.

		March 31, 2025(5)								December 31, 2024(5)
		Carrying Value (1)				Fair Value				Carrying Value (1)				Fair Value
SBA debentures (2)		$	182,000			$	182,000			$	175,000			$	175,000
Credit Facility borrowings (3)			—				—				45,000				45,000
January 2026 Notes (4)			125,000				121,407				125,000				120,188
November 2026 Notes (4)			125,000				115,897				125,000				114,293
March 2030 Notes (4)			100,000				93,471				—				—
Total		$	532,000			$	512,775			$	470,000			$	454,481

(1)Carrying value represents the outstanding principal balance of the debt obligation.

(2)The fair value of the SBA debentures is estimated by discounting the remaining payments using current market rates for similar instruments and considering such factors as the legal maturity date and the ability of market participants to prepay the debentures, which are Level 3 inputs under ASC Topic 820.

(3)The fair value of borrowings under the Credit Facility, if valued under ASC Topic 820, are based on a market yield approach and current interest rates, which are Level 3 inputs to the market yield model.

(4)The fair value of the January 2026 Notes (as defined in Note 6), the November 2026 Notes (as defined in Note 6), and the March 2030 Notes (as defined in Note 6) are estimated by discounting the remaining payments using current market rates for similar instruments and considering such factors as the legal maturity date, which are Level 3 inputs under ASC Topic 820.

(5)Totals exclude $13,601 and $13,674 of Secured Borrowings as of March 31, 2025 and December 31, 2024, respectively.

Summary of Inputs Used to Value Debt Obligations

The following table summarizes the inputs used to value the Company’s debt obligations if measured at fair value as of March 31, 2025 and December 31, 2024.

		Fair Value
		March 31,				December 31,
Valuation Inputs		2025				2024
Level 1		$	—			$	—
Level 2			—				—
Level 3			512,775				454,481
Total		$	512,775			$	454,481

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