XML 52 R33.htm IDEA: XBRL DOCUMENT v3.22.4
Investments (Tables)
 12 Months Ended
Dec. 31, 2022
Investments, Debt and Equity Securities [Abstract]  
Schedule of Investments
The composition of the Company’s investment portfolio as of December 31, 2022 and 2021 at amortized cost and fair value was as follows:
December 31, 2022December 31, 2021
Cost(1)Fair
Value		Percentage of
Investment
Portfolio		Cost(1)Fair
Value		Percentage of
Investment
Portfolio
Senior secured first lien debt$1,638,995 $1,579,512 90.3 %$1,564,891 $1,526,989 91.6 %
Senior secured second lien debt41,036 38,769 2.2 %55,455 38,583 2.3 %
Collateralized securities and structured products - equity2,687 1,179 0.1 %3,885 2,998 0.2 %
Unsecured debt30,427 22,643 1.3 %26,777 26,616 1.6 %
Equity79,595 107,058 6.1 %53,379 70,936 4.3 %
Subtotal/total percentage1,792,740 1,749,161 100.0 %1,704,387 1,666,122 100.0 %
Short term investments(2)10,869 10,869 87,917 87,917 
Total investments$1,803,609 $1,760,030 $1,792,304 $1,754,039 
(1)Cost represents the original cost adjusted for the amortization of premiums and/or accretion of discounts, as applicable, for debt investments and cost for equity investments.
(2)Short term investments represent an investment in a fund that invests in highly liquid investments with average original maturity dates of three months or less.
The following tables show the composition of the Company’s investment portfolio by industry classification and geographic dispersion, and the percentage, by fair value, of the total investment portfolio assets in such industries and geographies as of December 31, 2022 and 2021:
December 31, 2022December 31, 2021
Industry ClassificationInvestments at
Fair Value		Percentage of
Investment Portfolio		Investments at
Fair Value		Percentage of
Investment Portfolio
Services: Business$336,055 19.2 %$240,316 14.4 %
Healthcare & Pharmaceuticals237,082 13.6 %250,049 15.0 %
Media: Diversified & Production134,927 7.7 %139,399 8.4 %
Services: Consumer115,849 6.6 %119,365 7.2 %
Media: Advertising, Printing & Publishing105,375 6.0 %94,610 5.7 %
Diversified Financials99,819 5.7 %101,032 6.1 %
Retail74,718 4.3 %56,726 3.4 %
Energy: Oil & Gas68,756 3.9 %32,164 1.9 %
Chemicals, Plastics & Rubber66,753 3.8 %109,860 6.6 %
Consumer Goods: Durable60,735 3.5 %58,124 3.5 %
High Tech Industries56,501 3.2 %65,544 3.9 %
Consumer Goods: Non-Durable47,886 2.8 %45,682 2.7 %
Hotel, Gaming & Leisure46,739 2.7 %50,855 3.0 %
Construction & Building46,007 2.6 %27,585 1.7 %
Beverage, Food & Tobacco45,396 2.6 %49,054 2.9 %
Banking, Finance, Insurance & Real Estate43,836 2.5 %40,634 2.4 %
Capital Equipment41,580 2.4 %82,795 5.0 %
Aerospace & Defense38,842 2.2 %38,279 2.3 %
Containers, Packaging & Glass19,551 1.1 %— — 
Telecommunications18,302 1.1 %24,649 1.5 %
Automotive16,255 0.9 %14,367 0.9 %
Metals & Mining15,780 0.9 %10,927 0.7 %
Transportation: Cargo12,417 0.7 %14,106 0.8 %
Subtotal/total percentage1,749,161 100.0 %1,666,122 100.0 %
Short term investments10,869 87,917 
Total investments$1,760,030 $1,754,039 
December 31, 2022December 31, 2021
Geographic Dispersion(1)Investments at
Fair Value		Percentage of
Investment Portfolio		Investments at
Fair Value		Percentage of
Investment Portfolio
United States$1,739,866 99.5 %$1,653,615 99.3 %
Canada7,452 0.4 %8,739 0.5 %
Cayman Islands1,179 0.1 %2,998 0.2 %
Bermuda664 — 770 — 
Subtotal/total percentage1,749,161 100.0 %1,666,122 100.0 %
Short term investments10,869 87,917 
Total investments$1,760,030 $1,754,039 
(1)The geographic dispersion is determined by the portfolio company's country of domicile.
The following table sets forth the individual investments in CION/EagleTree's portfolio as of December 31, 2022:
Portfolio CompanyInterest(a)MaturityIndustryPrincipal/
Par Amount/
Units		Cost(b)Fair
Value
Senior Secured First Lien Debt
Berlitz Holdings, Inc.(g)
S+900, 1.00% SOFR Floor
2/14/2025Services: Business$1,200 $1,125 $1,146 
Community Tree Service, LLC(h)
S+850, 1.00% SOFR Floor
6/17/2027Construction & Building499499 489 
Future Pak, LLC(e)
L+800, 2.00% LIBOR Floor
7/2/2024Healthcare & Pharmaceuticals1,3951,382 1,372 
Total Senior Secured First Lien Debt3,006 3,007 
Senior Secured Second Lien Debt
Access CIG, LLC(f)
L+775, 0.00% LIBOR Floor
2/27/2026Services: Business7,250 7,220 6,933 
Dayton Superior Corp.(e)
L+700, 2.00% LIBOR Floor
12/4/2024Construction & Building1,0101,010 1,007 
MedPlast Holdings, Inc.(e)
L+775, 0.00% LIBOR Floor
7/2/2026Healthcare & Pharmaceuticals6,7506,135 6,337 
Zest Acquisition Corp.(e)
L+700, 1.00% LIBOR Floor
3/14/2026Healthcare & Pharmaceuticals15,00014,820 14,175 
Total Senior Secured Second Lien Debt29,185 28,452 
Collateralized Securities and Structured Products - Equity
Ivy Hill Middle Market Credit Fund VIII, Ltd. Subordinated Loan(c)
11.84% Estimated Yield
2/2/2026Diversified Financials10,0009,874 9,523 
Total Collateralized Securities and Structured Products - Equity9,874 9,523 
Equity
American Clinical Solutions LLC, Class A Membership Interests(d)Healthcare & Pharmaceuticals
6,030,384 Units
5,200 3,618 
Anthem Sports and Entertainment Inc., Class A Preferred Stock Warrants(d)Media: Diversified & Production
1,469 Units
486 1,881 
Anthem Sports and Entertainment Inc., Class B Preferred Stock Warrants(d)Media: Diversified & Production
255 Units
— 187 
Anthem Sports and Entertainment Inc., Common Stock Warrants(d)Media: Diversified & Production
4,746 Units
— 580 
BCP Great Lakes Fund LP, Partnership Interests (5.6% ownership)Diversified FinancialsN/A11,436 11,058 
Carestream Health Holdings, Inc., Common Stock(d)Healthcare & Pharmaceuticals
613,262 Units
21,759 21,544 
CHC Medical Partners, Inc., Series C Preferred Stock, 12% DividendHealthcare & Pharmaceuticals
2,727,273 Units
7,891 8,877 
CTS Ultimate Holdings LLC, Class A Preferred Units(d)Construction & Building
3,578,701 Units
1,000 859 
Dayton HoldCo, LLC, Membership Units(d)Construction & Building
37,264 Units
8,400 15,334 
HDNet Holdco LLC, Preferred Unit Call Option(d)Media: Diversified & Production
1 Unit
— 185 
HW Ultimate Holdings, LP, Class A Membership Units, 4% DividendCapital Equipment
2,000,000 Units
2,082 130 
Language Education Holdings GP LLC, Common Units(d)Services: Business
133,333 Units
— — 
Language Education Holdings LP, Ordinary Common Units(d)Services: Business
133,333 Units
300 427 
Skillsoft Corp., Class A Common Stock(d)High Tech Industries
243,425 Units
2,000 316 
Spinal USA, Inc. / Precision Medical Inc., Warrants(d)Healthcare & Pharmaceuticals
20,667,324 Units
— — 
Total Equity60,554 64,996 
TOTAL INVESTMENTS$102,619 $105,978 
a.The actual LIBOR rate for each loan listed may not be the applicable LIBOR rate as of December 31, 2022, as the loan may have been priced or repriced based on a LIBOR rate prior to or subsequent to December 31, 2022. The actual SOFR rate for each loan listed may not be the applicable SOFR rate as of December 31, 2022, as the loan may have been priced or repriced based on a SOFR rate prior to or subsequent to December 31, 2022.
b.Represents amortized cost for debt securities and cost for equity investments.
c.The CLO subordinated notes are considered equity positions in the CLO vehicles and are not rated. Equity investments are entitled to recurring distributions, which are generally equal to the remaining cash flow of the payments made by the underlying vehicle's securities less contractual payments to debt holders and expenses. The estimated yield indicated is based upon a current projection of the amount and timing of these recurring distributions and the estimated amount of repayment of principal upon termination. Such projections are periodically reviewed and adjusted, and the estimated yield may not ultimately be realized.
d.Non-income producing security.
e.The interest rate on these loans is subject to 1 month LIBOR, which as of December 31, 2022 was 4.39%.
f.The interest rate on these loans is subject to 3 month LIBOR, which as of December 31, 2022 was 4.77%.
g.The interest rate on these loans is subject to 1 month SOFR, which as of December 31, 2022 was 4.36%.
h.The interest rate on these loans is subject to 3 month SOFR, which as of December 31, 2022 was 4.59%.
The following table sets forth the individual investments in CION/EagleTree's portfolio as of December 31, 2021:
Portfolio CompanyInterest(a)MaturityIndustryPrincipal/
Par Amount/
Units		Cost(b)Fair
Value
Senior Secured Second Lien Debt   
Access CIG, LLC(e)
L+775, 0.00% LIBOR Floor
2/27/2026Services: Business$7,250 $7,214 $7,256 
Carestream Health, Inc.(f)
L+1250, 1.00% LIBOR Floor
8/8/2023Healthcare & Pharmaceuticals12,46012,057 12,242 
Dayton Superior Corp.(f)
L+700, 2.00% LIBOR Floor
12/4/2024Construction & Building1,4771,479 1,478 
MedPlast Holdings, Inc.(e)
L+775, 0.00% LIBOR Floor
7/2/2026Healthcare & Pharmaceuticals6,7506,004 6,446 
Ministry Brands, LLC(e)
L+925, 1.00% LIBOR Floor
6/2/2023Services: Business7,0006,983 7,000 
Zest Acquisition Corp.(e)
L+750, 1.00% LIBOR Floor
3/14/2026Healthcare & Pharmaceuticals15,00014,776 14,925 
Total Senior Secured Second Lien Debt48,513 49,347 
Collateralized Securities and Structured Products - Equity
Ivy Hill Middle Market Credit Fund VIII, Ltd. Subordinated Loan(c)
11.84% Estimated Yield
2/2/2026Diversified Financials10,0009,997 9,856 
Total Collateralized Securities and Structured Products - Equity9,997 9,856 
Equity
American Clinical Solutions LLC, Class A Membership Interests(d)Healthcare & Pharmaceuticals
6,030,384 Units
5,200 5,729 
Anthem Sports and Entertainment Inc., Class A Preferred Stock Warrants(d)Media: Diversified & Production
1,469 Units
486 1,704 
Anthem Sports and Entertainment Inc., Class B Preferred Stock Warrants(d)Media: Diversified & Production
255 Units
— 297 
Anthem Sports and Entertainment Inc., Common Stock Warrants(d)Media: Diversified & Production
4,746 Units
— 2,572 
BCP Great Lakes Fund LP, Partnership Interests (5.6% ownership)
Diversified FinancialsN/A11,118 11,224 
Carestream Health Holdings, Inc., Warrants(d)Healthcare & Pharmaceuticals
388 Units
500 801 
CHC Medical Partners, Inc., Series C Preferred Stock, 12% Dividend
Healthcare & Pharmaceuticals
2,727,273 Units
7,564 7,964 
Dayton HoldCo, LLC, Membership Units(d)Construction & Building
37,264 Units
8,400 11,166 
HDNet Holdco LLC, Preferred Unit Call Option(d)Media: Diversified & Production
1 Unit
— — 
HW Ultimate Holdings, LP, Class A Membership Units, 4% Dividend
Capital Equipment
2,000,000 Units
2,002 2,021 
Skillsoft Corp., Class A Common Stock(d)High Tech Industries
243,425 Units
2,000 2,227 
Spinal USA, Inc. / Precision Medical Inc., Warrants(d)Healthcare & Pharmaceuticals
20,667,324 Units
— — 
Tenere Inc., Warrants(d)Capital EquipmentN/A1,166 1,235 
Total Equity38,436 46,940 
TOTAL INVESTMENTS$96,946 $106,143 
a.The actual LIBOR rate for each loan listed may not be the applicable LIBOR rate as of December 31, 2021, as the loan may have been priced or repriced based on a LIBOR rate prior to or subsequent to December 31, 2021.
b.Represents amortized cost for debt securities and cost for equity investments.
c.The CLO subordinated notes are considered equity positions in the CLO vehicles and are not rated. Equity investments are entitled to recurring distributions, which are generally equal to the remaining cash flow of the payments made by the underlying vehicle's securities less contractual payments to debt holders and expenses. The estimated yield indicated is based upon a current projection of the amount and timing of these recurring distributions and the estimated amount of repayment of principal upon termination. Such projections are periodically reviewed and adjusted, and the estimated yield may not ultimately be realized.
d.Non-income producing security.
e.The interest rate on these loans is subject to 1 month LIBOR, which as of December 31, 2021 was 0.10%.
f.The interest rate on these loans is subject to 3 month LIBOR, which as of December 31, 2021 was 0.21%.
The following table includes selected balance sheet information for CION/EagleTree as of December 31, 2022 and 2021:
Selected Balance Sheet Information:December 31, 2022December 31, 2021
Investments, at fair value (amortized cost of $102,619 and $96,946, respectively)
$105,978 $106,143 
Cash and other assets2,476 1,776 
Dividend receivable on investments225 265 
Interest receivable on investments301 109 
   Total assets$108,980 $108,293 
Senior secured notes (net of unamortized debt issuance costs of $94 and $0, respectively)
$70,904 $72,504 
Other liabilities1,881 735 
   Total liabilities72,785 73,239 
Members' capital36,195 35,054 
   Total liabilities and members' capital$108,980 $108,293 
The following table includes selected statement of operations information for CION/EagleTree for the year ended December 31, 2022 and for the period from December 21, 2021 (commencement of operations) through December 31, 2021:
Selected Statement of Operations Information:Year Ended December 31, 2022Period From December 21, 2021 (Commencement of Operations) Through December 31, 2021
Total revenues$9,653 $688 
Total expenses11,120 800 
Net realized gain on investments9,947 — 
Net change in unrealized (depreciation) appreciation on investments(5,839)9,197 
Net increase in net assets from operations$2,641 $9,085 
The following table includes selected statement of operations information for CION SOF for the years ended December 31, 2022 and 2021:
Years Ended December 31,
Selected Statement of Operations Information:20222021
Total revenues$— $29 
Total expenses— 29 
Net increase in net assets$— $—