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INVESTMENTS (Tables) | 12 Months Ended
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Mar. 31, 2024
Investments, Debt and Equity Securities [Abstract] |
Schedule of Fair Value, Assets Measured on Recurring Basis | As of March 31, 2024 and 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 March 31, 2024: |  |  |  |  |  |  |  |
Secured first lien debt | $ | 474,856 |  |  | $ | — |  |  | $ | — |  |  |  | $ | 474,856 |
Secured second lien debt | 138,703 |  |  | — |  |  | — |  |  |  | 138,703 |
Preferred equity | 213,480 |  |  | — |  |  | — |  |  |  | 213,480 |
Common equity/equivalents | 93,465 |  |  | — |  |  | 18 |  | (A) |  | 93,447 |
Total Investments at March 31, 2024 | $ | 920,504 |  |  | $ | — |  |  | $ | 18 |  |  |  | $ | 920,486 |
|  |  | 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 at 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 March 31, 2024 and 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
| March 31,
| 2024 |  | 2023
Non-Control/Non-Affiliate Investments |  |  |
Secured first lien debt | $ | 324,348 |  |  | $ | 279,748 |
Secured second lien debt | 93,340 |  |  | 50,842 |
Preferred equity | 162,522 |  |  | 164,534 |
Common equity/equivalents(A) | 42,005 |  |  | 1,724 |
Total Non-Control/Non-Affiliate Investments | 622,215 |  |  | 496,848 |
Affiliate Investments |  |  |
Secured first lien debt | 147,603 |  |  | 157,769 |
Secured second lien debt | 45,363 |  |  | 24,892 |
Preferred equity | 50,958 |  |  | 58,051 |
Common equity/equivalents | 51,442 |  |  | 15,243 |
Total Affiliate Investments | 295,366 |  |  | 255,955 |
Control Investments |  |  |
Secured first lien debt | 2,905 |  |  | — |
Secured second lien debt | — |  |  | — |
Preferred equity | — |  |  | — |
Common equity/equivalents | — |  |  | 713 |
Total Control Investments | 2,905 |  |  | 713 |
Total investments at fair value using Level 3 inputs | $ | 920,486 |  |  | $ | 753,516 |
(A)Excludes our investment in Funko with a fair value of $18 thousand and $27 thousand as of March 31, 2024 and 2023, respectively, which was valued using Level 2 inputs.
Schedule of Fair Value Measurement Inputs and Valuation Techniques | 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
| March 31, 2024 |  | March 31, 2023 |  |  |  | March 31, 2024 |  | March 31, 2023
Secured first lien debt | $ | 474,856 |  |  | $ | 432,126 |  |  | TEV |  | EBITDA multiple |  | 4.2x – 8.8x / 6.4x |  | 4.4x – 7.7x / 6.4x
|  |  |  |  |  |  | EBITDA |  | $1,091 – $23,547 / $10,509 |  | $4,251 – $19,083 / $10,764
|  |  |  |  |  |  | Revenue multiple |  | 0.3x – 0.6x / 0.4x |  | 0.3x – 0.6x / 0.3x
|  |  |  |  |  |  | Revenue |  | $31,586 – $93,916 / $77,580 |  | $15,483 – $109,615 / $94,957
| — |  |  | 5,391 |  |  | Yield Analysis |  | Discount Rate |  | N/A |  | 19.4% – 19.9% / 19.7%
Secured second lien debt | 113,703 |  |  | 62,750 |  |  | TEV |  | EBITDA multiple |  | 5.1x – 15.0x / 7.0x |  | 5.4x – 6.6x / 6.2x
|  |  |  |  |  |  | EBITDA |  | $5,648 – $23,003 / $14,192 |  | $4,112 – $6,379 / $5,501
| 25,000 |  |  | 12,984 |  |  | Yield Analysis |  | Discount Rate |  | 13.8% – 13.8% / 13.8% |  | 14.0% – 14.0% / 14.0%
Preferred equity | 213,480 |  |  | 222,585 |  |  | TEV |  | EBITDA multiple |  | 4.2x – 8.8x / 6.1x |  | 4.4x – 7.7x / 5.9x
|  |  |  |  |  |  | EBITDA |  | $1,091 – $23,547 / $9,502 |  | $4,251 – $19,083 / $9,486
|  |  |  |  |  |  | Revenue multiple |  | 0.3x – 0.6x / 0.4x |  | 0.3x – 0.6x / 0.4x
|  |  |  |  |  |  | Revenue |  | $31,586 – $93,916 / $75,099 |  | $15,483 – $109,615 / $69,247
Common equity/equivalents(A) | 93,447 |  |  | 17,680 |  |  | TEV |  | EBITDA multiple |  | 5.0x – 15.0x / 6.4x |  | 4.7x – 7.2x / 6.4x
|  |  |  |  |  |  | EBITDA |  | $1,154 – $63,269 / $23,615 |  | $1,105 – $30,833 / $6,273
Total | $ | 920,486 |  |  | $ | 753,516 |  |  |  |  |  |  |  |  |
(A)Fair value as of both March 31, 2024 and 2023 excludes our investment in Funko with a fair value of $18 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 years ended March 31, 2024 and 2023 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
Year ended March 31, 2024: |  |  |  |  |  |  |  |  |
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) | (4,550) |  |  | (3,200) |  |  | 36,833 |  |  | 881 |  |  | 29,964 |
Net unrealized appreciation (depreciation)(B) | (7,859) |  |  | (1,031) |  |  | 34,050 |  |  | 37,159 |  |  | 62,319 |
Reversal of previously recorded (appreciation) depreciation upon realization(B) | 3,212 |  |  | 3,200 |  |  | (35,329) |  |  | (92) |  |  | (29,009) |
New investments, repayments and settlements(C): |  |  |  |  |  |  |  |  |
Issuances / originations | 74,536 |  |  | 64,000 |  |  | 14,688 |  |  | 30,700 |  |  | 183,924 |
Settlements / repayments | (28,000) |  |  | — |  |  | — |  |  | — |  |  | (28,000) |
Sales(D) | — |  |  | — |  |  | (50,726) |  |  | (1,502) |  |  | (52,228) |
Transfers(E) | — |  |  | — |  |  | (8,621) |  |  | 8,621 |  |  | — |
Fair value as of March 31, 2024 | $ | 474,856 |  |  | $ | 138,703 |  |  | $ | 213,480 |  |  | $ | 93,447 |  |  | $ | 920,486 |
| Secured First Lien Debt |  | Secured Second Lien Debt |  | Preferred Equity |  | Common Equity/ Equivalents |  | Total
Year ended March 31, 2023: |  |  |  |  |  |  |  |  |
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) | — |  |  | (10,000) |  |  | 20,778 |  |  | — |  |  | 10,778 |
Net unrealized appreciation (depreciation)(B) | (29,552) |  |  | (5,235) |  |  | 11,216 |  |  | 13,622 |  |  | (9,949) |
Reversal of previously recorded (appreciation) depreciation upon realization(B) | — |  |  | 10,001 |  |  | (12,250) |  |  | — |  |  | (2,249) |
New investments, repayments and settlements(C): |  |  |  |  |  |  |  |  |
Issuances / originations | 107,200 |  |  | 5,188 |  |  | 21,000 |  |  | 380 |  |  | 133,768 |
Settlements / repayments | (50,800) |  |  | (6,596) |  |  | — |  |  | — |  |  | (57,396) |
Sales(D) | — |  |  | — |  |  | (35,758) |  |  | — |  |  | (35,758) |
Transfers(E) | (14,418) |  |  | 14,418 |  |  | — |  |  | — |  |  | — |
Fair value as of March 31, 2023 | $ | 437,517 |  |  | $ | 75,734 |  |  | $ | 222,585 |  |  | $ | 17,680 |  |  | $ | 753,516 |
(A)Included in net realized gain (loss) on investments on our accompanying Consolidated Statements of Operations for the respective years ended March 31, 2024 and 2023. (B)Included in net unrealized appreciation (depreciation) of investments on our accompanying Consolidated Statements of Operations for the respective years ended March 31, 2024 and 2023. (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)2024: Includes $0.3 million of proceeds from the recapitalization of Old World Christmas, Inc. ("Old World") 2023: Includes $13.4 million of proceeds from the recapitalization of Old World and $12.3 million of proceeds from the recapitalization of Horizon Facilities Services, Inc ("Horizon"). (E)2024: Transfers represent preferred equity of SFEG Holdings, Inc. ("SFEG") with a total cost basis and fair value of $4.8 million and $8.6 million, respectively, which was converted to common equity in October 2023. 2023: Transfers include (1) secured second lien debt of Ginsey with a total cost basis and fair value of $12.2 million, which was converted into secured first lien debt in August 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 in September 2022.
Schedule of Investment Holdings | The following table summarizes our investments by security type as of March 31, 2024 and 2023:
| March 31, 2024 |  | March 31, 2023
| Cost |  | Fair Value |  | Cost |  | Fair Value
Secured first lien debt | $ | 513,425 |  |  | 60.1 | % |  | $ | 474,856 |  |  | 51.6 | % |  | $ | 471,439 |  |  | 65.4 | % |  | $ | 437,517 |  |  | 58.1 | %
Secured second lien debt | 144,958 |  |  | 16.9 | % |  | 138,703 |  |  | 15.0 | % |  | 84,158 |  |  | 11.7 | % |  | 75,734 |  |  | 10.1 | %
Total debt | 658,383 |  |  | 77.0 | % |  | 613,559 |  |  | 66.6 | % |  | 555,597 |  |  | 77.1 | % |  | 513,251 |  |  | 68.2 | %
Preferred equity | 145,070 |  |  | 17.0 | % |  | 213,480 |  |  | 23.2 | % |  | 149,099 |  |  | 20.7 | % |  | 222,585 |  |  | 29.5 | %
Common equity/equivalents | 50,837 |  |  | 6.0 | % |  | 93,465 |  |  | 10.2 | % |  | 15,934 |  |  | 2.2 | % |  | 17,707 |  |  | 2.3 | %
Total equity/equivalents | 195,907 |  |  | 23.0 | % |  | 306,945 |  |  | 33.4 | % |  | 165,033 |  |  | 22.9 | % |  | 240,292 |  |  | 31.8 | %
Total investments | $ | 854,290 |  |  | 100.0 | % |  | $ | 920,504 |  |  | 100.0 | % |  | $ | 720,630 |  |  | 100.0 | % |  | $ | 753,543 |  |  | 100.0 | %
Investments at fair value consisted of the following industry classifications as of March 31, 2024 and 2023:
| March 31, 2024 |  | March 31, 2023
| Fair Value |  | Percentage of Total Investments |  | Fair Value |  | Percentage of Total Investments
Diversified/Conglomerate Services | $ | 264,535 |  |  | 28.7 | % |  | $ | 268,954 |  |  | 35.7 | %
Home and Office Furnishings, Housewares, and Durable Consumer Products | 160,038 |  |  | 17.3 | % |  | 143,685 |  |  | 19.1 | %
Machinery (Non-Agriculture, Non-Construction, and Non-Electronic) | 92,781 |  |  | 10.1 | % |  | 20,088 |  |  | 2.7 | %
Hotels, Motels, Inns, and Gaming | 77,366 |  |  | 8.4 | % |  | 58,713 |  |  | 7.8 | %
Buildings and Real Estate | 60,431 |  |  | 6.6 | % |  | 60,571 |  |  | 8.0 | %
Oil and Gas | 51,171 |  |  | 5.6 | % |  | — |  |  | — | %
Healthcare, Education, and Childcare | 49,638 |  |  | 5.4 | % |  | 37,445 |  |  | 5.0 | %
Leisure, Amusement, Motion Pictures, and Entertainment | 39,350 |  |  | 4.3 | % |  | 47,616 |  |  | 6.3 | %
Mining, Steel, Iron and Non-Precious Metals | 30,537 |  |  | 3.3 | % |  | 25,998 |  |  | 3.5 | %
Aerospace and Defense | 29,064 |  |  | 3.2 | % |  | 22,215 |  |  | 2.8 | %
Chemicals, Plastics, and Rubber | 20,363 |  |  | 2.2 | % |  | 24,891 |  |  | 3.3 | %
Printing and Publishing | 14,238 |  |  | 1.5 | % |  | — |  |  | — | %
Cargo Transport | 13,500 |  |  | 1.5 | % |  | 14,707 |  |  | 2.0 | %
Telecommunications | 9,002 |  |  | 1.0 | % |  | 18,987 |  |  | 2.5 | %
Other < 2.0% | 8,490 |  |  | 0.9 | % |  | 9,673 |  |  | 1.3 | %
Total investments | $ | 920,504 |  |  | 100.0 | % |  | $ | 753,543 |  |  | 100.0 | %
Investments at fair value were included in the following geographic regions of the U.S. as of March 31, 2024 and 2023:
|  | March 31, 2024 |  | March 31, 2023
Location |  | Fair Value |  | Percentage of Total Investments |  | Fair Value |  | Percentage of Total Investments
South |  | $ | 346,838 |  |  | 37.7 | % |  | $ | 171,056 |  |  | 22.7 | %
West |  | 223,871 |  |  | 24.3 | % |  | 197,989 |  |  | 26.3 | %
Northeast |  | 207,870 |  |  | 22.6 | % |  | 266,612 |  |  | 35.4 | %
Midwest |  | 141,925 |  |  | 15.4 | % |  | 117,886 |  |  | 15.6 | %
Total investments |  | $ | 920,504 |  |  | 100.0 | % |  | $ | 753,543 |  |  | 100 | %
The geographic region indicates the location of the headquarters for our portfolio companies. A portfolio company may have additional business locations in other geographic regions.
Schedule of Investments Classified by Contractual Maturity Date | The following table summarizes the contractual principal repayment and maturity of our investment portfolio for the next five fiscal years and thereafter, assuming no voluntary prepayments, as of March 31, 2024:
|  |  |  | Amount
For the fiscal years ending March 31: |  | 2025 |  | $ | 72,770 |
|  | 2026 |  | 236,193 |
|  | 2027 |  | 185,776 |
|  | 2028 |  | 38,250 |
|  | 2029 |  | 100,394 |
|  | Thereafter |  | 25,000 |
|  | Total contractual repayments |  | $ | 658,383 |
|  | Investments in equity securities |  | 195,907 |
|  | Total cost basis of investments held as of March 31, 2024: |  | $ | 854,290 |

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