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INVESTMENTS (Tables)

6 Months Ended

Sep. 30, 2023

Investments, Debt and Equity Securities [Abstract]

Schedule of Fair Value, Assets Measured on Recurring Basis

As of September 30, 2023 and March 31, 2023, our investments, by security type, at fair value were categorized as follows within the ASC 820 fair value hierarchy:

									Fair Value Measurements
			Fair Value						Quoted Prices in Active Markets for Identical Assets (Level 1)						Significant Other Observable Inputs (Level 2)						Significant Unobservable Inputs (Level 3)
As of September 30, 2023:
Secured first lien debt			$	508,504					$	—					$	—					$	508,504
Secured second lien debt			102,747						—						—						102,747
Preferred equity			267,596						—						—						267,596
Common equity/equivalents			36,789						—						22			(A)			36,767
Total Investments as of September 30, 2023			$	915,636					$	—					$	22					$	915,614

									Fair Value Measurements
			Fair Value						Quoted Prices in Active Markets for Identical Assets (Level 1)						Significant Other Observable Inputs (Level 2)						Significant Unobservable Inputs (Level 3)
As of March 31, 2023:
Secured first lien debt			$	437,517					$	—					$	—					$	437,517
Secured second lien debt			75,734						—						—						75,734
Preferred equity			222,585						—						—						222,585
Common equity/equivalents			17,707						—						27			(A)			17,680
Total Investments as of March 31, 2023			$	753,543					$	—					$	27					$	753,516

(A)Fair value was determined based on the closing market price of shares of Funko, Inc. (our units in Funko can be converted into common shares of Funko, Inc.) at the reporting date less a discount for lack of marketability, as our investment was subject to certain restrictions.

The following table presents our investments, valued using Level 3 inputs within the ASC 820 fair value hierarchy, and carried at fair value as of September 30, 2023 and March 31, 2023, by caption on our accompanying Consolidated Statements of Assets and Liabilities, and by security type:

			Total Recurring Fair Value Measurements Reported in Consolidated Statements of Assets and Liabilities Valued Using Level 3 Inputs
			September 30, 2023						March 31, 2023
Non-Control/Non-Affiliate Investments
Secured first lien debt			$	351,984					$	279,748
Secured second lien debt			54,340						50,842
Preferred equity			219,015						164,534
Common equity/equivalents(A)			3,597						1,724
Total Non-Control/Non-Affiliate Investments			628,936						496,848
Affiliate Investments
Secured first lien debt			156,520						157,769
Secured second lien debt			48,407						24,892
Preferred equity			48,581						58,051
Common equity/equivalents			33,170						15,243
Total Affiliate Investments			286,678						255,955
Control Investments
Secured first lien debt			—						—
Secured second lien debt			—						—
Preferred equity			—						—
Common equity/equivalents			—						713
Total Control Investments			—						713
Total investments at fair value using Level 3 inputs			$	915,614					$	753,516

(A)Excludes our investment in Funko with a fair value of $22 thousand and $27 thousand as of September 30, 2023 and March 31, 2023, respectively, which was valued using Level 2 inputs.

Schedule of Fair Value Measurement Inputs and Valuation Techniques

The table below is not intended to be all-inclusive, but rather provides information on the significant Level 3 inputs as they relate to our fair value measurements. The weighted-average calculations in the table below are based on the principal balances for all debt-related calculations and on the cost basis for all equity-related calculations for the particular input.

Quantitative Information about Level 3 Fair Value Measurements

Fair Value as of

Valuation Technique/ Methodology

Unobservable Input

Range / Weighted-Average as of

September 30, 2023

March 31, 2023

September 30, 2023

March 31, 2023

Secured first lien debt

$

494,812

$

432,126

TEV

EBITDA multiple

3.7x – 10.8x / 6.8x

4.4x – 7.7x / 6.4x

EBITDA

$1,278–$21,338 / $10,590

$4,251 - $19,083/$10,764

Revenue multiple

0.3x – 0.6x / 0.3x

0.3x – 0.6x / 0.3x

Revenue

$15,557 – $98,181 / $85,316

$15,483 – $109,615/$94,957

13,692

5,391

Yield Analysis

Discount Rate

24.9% – 24.9% /24.9%

19.4% – 19.9% / 19.7%

Secured second lien debt

77,997

62,750

TEV

EBITDA multiple

5.3x – 10.3x /  6.6x

5.4x – 6.6x / 6.2x

EBITDA

$6,134 – $9,684 / $7,110

$4,112 – $6,379 / $5,501

24,750

12,984

Yield Analysis

Discount Rate

14.1% – 14.1% / 14.1%

14.0% – 14.0% / 14.0%

Preferred equity

267,596

222,585

TEV

EBITDA multiple

3.7x – 10.8x / 6.4x

4.4x – 7.7x / 5.9x

EBITDA

$3,176 – $21,338 / $9,278

$4,251 – $19,083 / $9,486

Revenue multiple

0.3x – 0.6x / 0.4x

0.3x – 0.6x / 0.4x

Revenue

$15,557 – $98,181 / $62,749

$15,483 – $109,615 / $69,247

Common equity/ equivalents(A)

36,767

17,680

TEV

EBITDA multiple

4.8x – 10.3x / 5.8x

4.7x – 7.2x / 6.4x

EBITDA

$1,278 – $59,739 / $22,467

$1,105 – $30,833 / $6,273

Total

$

915,614

$

753,516

(A)Fair value as of both September 30, 2023 and March 31, 2023 excludes our investment in Funko with a fair value of $22 thousand and $27 thousand, respectively, which was valued using Level 2 inputs.

Schedule of Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation

The following tables provide our portfolio’s changes in fair value, broken out by security type, during the three and six months ended September 30, 2023 and 2022 for all investments for which the Adviser determines fair value using unobservable (Level 3) inputs.

Fair Value Measurements Using Significant Unobservable Inputs (Level 3)

			Secured First Lien Debt						Secured Second Lien Debt						Preferred Equity						Common Equity/ Equivalents						Total
Three Months ended September 30, 2023:
Fair value as of June 30, 2023			$	452,215					$	104,794					$	214,258					$	28,780					$	800,047
Total gain (loss):
Net realized gain (loss)(A)			—						—						—						—						—
Net unrealized appreciation (depreciation)(B)			889						(2,047)						41,925						7,987						48,754
Reversal of previously recorded (appreciation) depreciation upon realization(B)			—						—						—						—						—
New investments, repayments and settlements(C):
Issuances / originations			55,400						—						11,413						—						66,813
Settlements / repayments			—						—						—						—						—
Sales			—						—						—						—						—
Transfers			—						—						—						—						—
Fair value as of September 30, 2023			$	508,504					$	102,747					$	267,596					$	36,767					$	915,614

			Secured First Lien Debt						Secured Second Lien Debt						Preferred Equity						Common Equity/ Equivalents						Total
Six Months Ended September 30, 2023
Fair value as of March 31, 2023			$	437,517					$	75,734					$	222,585					$	17,680					$	753,516
Total gain (loss):
Net realized gain (loss)(A)			—						—						273						882						1,155
Net unrealized appreciation (depreciation)(B)			887						2,013						30,323						14,800						48,023
Reversal of previously recorded (appreciation) depreciation upon realization(B)			—						—						—						(93)						(93)
New investments, repayments and settlements(C):
Issuances / originations			70,100						25,000						14,688						5,000						114,788
Settlements / repayments			—						—						—						—						—
Sales(D)			—						—						(273)						(1,502)						(1,775)
Transfers			—						—						—						—						—
Fair value as of September 30, 2023			$	508,504					$	102,747					$	267,596					$	36,767					$	915,614

			Secured First Lien Debt						Secured Second Lien Debt						Preferred Equity						Common Equity/ Equivalents						Total
Three Months ended September 30, 2022:
Fair value as of June 30, 2022			$	376,752					$	67,936					$	238,665					$	6,072					$	689,425
Total gain (loss):
Net realized gain (loss)(A)			—						—						2,218						—						2,218
Net unrealized appreciation (depreciation)(B)			(11,677)						(4,507)						845						4,717						(10,622)
Reversal of previously recorded (appreciation) depreciation upon realization(B)			—						—						—						—						—
New investments, repayments and settlements(C):
Issuances / originations			70,250						4,000						—						—						74,250
Settlements / repayments			—						(5,096)						—						—						(5,096)
Sales(D)			—						—						(12,298)						—						(12,298)
Transfers(E)			(14,418)						14,418						—						—						—
Fair value as of September 30, 2022			$	420,907					$	76,751					$	229,430					$	10,789					$	737,877

			Secured First Lien Debt						Secured Second Lien Debt						Preferred Equity						Common Equity/ Equivalents						Total
Six Months Ended September 30, 2022:
Fair value as of March 31, 2022			$	425,087					$	67,958					$	217,599					$	3,678					$	714,322
Total gain (loss):
Net realized gain (loss)(A)			—						—						6,946						—						6,946
Net unrealized appreciation (depreciation)(B)			(18,812)						(4,534)						18,061						7,111						1,826
Reversal of previously recorded (appreciation) depreciation upon realization(B)			—						—						(12,250)						—						(12,250)
New investments, repayments and settlements(C):
Issuances / originations			77,050						4,005						21,000						—						102,055
Settlements / repayments			(48,000)						(5,096)						—						—						(53,096)
Sales(D)			—						—						(21,926)						—						(21,926)
Transfers(E)			(14,418)						14,418						—						—						—
Fair value as of September 30, 2022			$	420,907					$	76,751					$	229,430					$	10,789					$	737,877

Included in net realized gain (loss) on investments on our accompanying Consolidated Statements of Operations for the respective periods ended September 30, 2023 and 2022.

(B)Included in net unrealized appreciation (depreciation) of investments on our accompanying Consolidated Statements of Operations for the respective periods ended September 30, 2023 and 2022.

(C)Includes increases in the cost basis of investments resulting from new portfolio investments, the amortization of discounts and other non-cash disbursements to portfolio companies, as well as decreases in the cost basis of investments resulting from principal repayments or sales, the amortization of premiums and acquisition costs, and other cost-basis adjustments.

(D)The six months ended September 30, 2023 includes $0.3 million of proceeds from the recapitalization of Old World Christmas, Inc. ("Old World"). The three and six months ended September 30, 2022 include $10.1 million return of equity cost basis from Horizon Facilities Services, Inc.

(E)2022: Transfers represent (1) secured second lien debt of Ginsey Home Solutions, Inc. with a total cost basis and fair value of $12.2 million, which was converted into secured first lien debt during the three months ended September 30, 2022 and (2) secured first lien debt of PSI Molded Plastics, Inc. with a total cost basis and fair value of $26.6 million, which was converted into secured second lien debt during the three months ended September 30, 2022.

Schedule of Investment Holdings

The following table summarizes our investments by security type as of September 30, 2023 and March 31, 2023:

			September 30, 2023																		March 31, 2023
			Cost									Fair Value									Cost									Fair Value
Secured first lien debt			$	541,539		64.9		%				$	508,504		55.5		%				$	471,439		65.4		%				$	437,517		58.1		%
Secured second lien debt			109,158			13.1		%				102,747			11.2		%				84,158			11.7		%				75,734			10.1		%
Total debt			650,697			78.0		%				611,251			66.7		%				555,597			77.1		%				513,251			68.2		%
Preferred equity			163,787			19.6		%				267,596			29.3		%				149,099			20.7		%				222,585			29.5		%
Common equity/equivalents			20,314			2.4		%				36,789			4.0		%				15,934			2.2		%				17,707			2.3		%
Total equity/equivalents			184,101			22.0		%				304,385			33.3		%				165,033			22.9		%				240,292			31.8		%
Total investments			$	834,798		100.0		%				$	915,636		100.0		%				$	720,630		100.0		%				$	753,543		100.0		%

Investments at fair value consisted of the following industry classifications as of September 30, 2023 and March 31, 2023:

			September 30, 2023												March 31, 2023
			Fair Value						Percentage of Total Investments						Fair Value						Percentage of Total Investments
Diversified/Conglomerate Services			$	332,982					36.4		%				$	268,954					35.7		%
Home and Office Furnishings, Housewares, and Durable Consumer Products			153,495						16.8		%				143,685						19.1		%
Hotels, Motels, Inns, and Gaming			80,976						8.8		%				58,713						7.8		%
Buildings and Real Estate			58,696						6.4		%				60,571						8.0		%
Healthcare, Education, and Childcare			48,008						5.2		%				37,445						5.0		%
Oil and Gas			45,983						5.0		%				—						—		%
Leisure, Amusement, Motion Pictures, and Entertainment			38,509						4.2		%				47,616						6.3		%
Mining, Steel, Iron and Non-Precious Metals			27,490						3.0		%				25,998						3.5		%
Machinery (Non-Agriculture, Non-Construction, and Non-Electronic)			26,705						2.9		%				20,088						2.7		%
Aerospace and Defense			25,696						2.8		%				22,215						2.8		%
Chemicals, Plastics, and Rubber			23,657						2.6		%				24,891						3.3		%
Printing and Publishing			15,275						1.7		%				—						—		%
Cargo Transport			14,157						1.6		%				14,707						2.0		%
Telecommunications			13,692						1.5		%				18,987						2.5		%
Other < 2.0%			10,315						1.1		%				9,673						1.3		%
Total investments			$	915,636					100.0		%				$	753,543					100.0		%

Investments at fair value were included in the following geographic regions of the U.S. as of September 30, 2023 and March 31, 2023:

			September 30, 2023												March 31, 2023
Location			Fair Value						Percentage of Total Investments						Fair Value						Percentage of Total Investments
Northeast			$	297,413					32.5		%				$	266,612					35.4		%
South			260,132						28.4		%				171,056						22.7		%
West			224,107						24.5		%				197,989						26.3		%
Midwest			133,984						14.6		%				117,886						15.6		%
Total investments			$	915,636					100.0		%				$	753,543					100.0		%

Schedule of Investments Classified by Contractual Maturity Date

The following table summarizes the contractual principal repayment and maturity of our investment portfolio by fiscal year, assuming no voluntary prepayments, as of September 30, 2023:

									Amount
For the remaining six months ending March 31, 2024									$	81,418
For the fiscal years ending March 31:
			2025						92,614
			2026						204,919
			2027						162,746
			2028						38,250
			Thereafter						70,750
			Total contractual repayments						$	650,697
			Investments in equity securities						184,101
			Total cost basis of investments held as of September 30, 2023:						$	834,798

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