XML 45 R32.htm IDEA: XBRL DOCUMENT
v3.24.3

Joint Venture (Tables) | 9 Months Ended
--- | ---
Sep. 30, 2024
Equity Method Investments and Joint Ventures [Abstract] |
Schedule of Investments | The composition of the Company’s investment portfolio as of September 30, 2024 and December 31, 2023 at amortized cost and fair value was as follows:
|  | September 30, 2024 |  | December 31, 2023
|  | Cost(1) |  | Fair Value |  | Percentage of Investment Portfolio |  | Cost(1) |  | Fair Value |  | Percentage of Investment Portfolio
Senior secured first lien debt |  | $ | 1,541,136 |  |  | $ | 1,494,524 |  |  | 85.3 | % |  | $ | 1,604,111 |  |  | $ | 1,565,171 |  |  | 85.0 | %
Senior secured second lien debt |  | 5,116 |  |  | 3,873 |  |  | 0.2 | % |  | 41,280 |  |  | 29,111 |  |  | 1.6 | %
Collateralized securities and structured products - equity |  | 1,003 |  |  | 685 |  |  | — |  |  | 2,362 |  |  | 1,096 |  |  | 0.1 | %
Unsecured debt |  | 29,501 |  |  | 11,761 |  |  | 0.7 | % |  | 31,693 |  |  | 12,874 |  |  | 0.7 | %
Equity |  | 219,985 |  |  | 241,883 |  |  | 13.8 | % |  | 182,738 |  |  | 232,572 |  |  | 12.6 | %
Subtotal/total percentage |  | 1,796,741 |  |  | 1,752,726 |  |  | 100.0 | % |  | 1,862,184 |  |  | 1,840,824 |  |  | 100.0 | %
Short term investments(2) |  | 53,503 |  |  | 53,503 |  |  |  |  | 113,446 |  |  | 113,446 |  |  |
Total investments |  | $ | 1,850,244 |  |  | $ | 1,806,229 |  |  |  |  | $ | 1,975,630 |  |  | $ | 1,954,270 |  |  |
(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 September 30, 2024 and December 31, 2023:
|  | September 30, 2024 |  | December 31, 2023
Industry Classification |  | Investments at Fair Value |  | Percentage of Investment Portfolio |  | Investments at Fair Value |  | Percentage of Investment Portfolio
Services: Business |  | $ | 272,919 |  |  | 15.5 | % |  | $ | 282,237 |  |  | 15.3 | %
Healthcare & Pharmaceuticals |  | 224,219 |  |  | 12.6 | % |  | 238,624 |  |  | 13.0 | %
Retail |  | 137,725 |  |  | 7.9 | % |  | 135,000 |  |  | 7.3 | %
Media: Diversified & Production |  | 131,196 |  |  | 7.5 | % |  | 135,037 |  |  | 7.3 | %
Services: Consumer |  | 109,005 |  |  | 6.2 | % |  | 107,195 |  |  | 5.8 | %
Media: Advertising, Printing & Publishing |  | 106,365 |  |  | 6.1 | % |  | 116,100 |  |  | 6.3 | %
Construction & Building |  | 101,037 |  |  | 5.8 | % |  | 104,727 |  |  | 5.7 | %
Consumer Goods: Durable |  | 96,513 |  |  | 5.5 | % |  | 59,955 |  |  | 3.3 | %
Energy: Oil & Gas |  | 94,504 |  |  | 5.4 | % |  | 104,893 |  |  | 5.7 | %
Beverage, Food & Tobacco |  | 89,320 |  |  | 5.1 | % |  | 68,780 |  |  | 3.7 | %
Banking, Finance, Insurance & Real Estate |  | 63,644 |  |  | 3.6 | % |  | 52,272 |  |  | 2.8 | %
Diversified Financials |  | 57,421 |  |  | 3.3 | % |  | 85,733 |  |  | 4.7 | %
Hotel, Gaming & Leisure |  | 50,199 |  |  | 2.9 | % |  | 50,906 |  |  | 2.8 | %
Capital Equipment |  | 39,092 |  |  | 2.2 | % |  | 49,571 |  |  | 2.7 | %
Consumer Goods: Non-Durable |  | 33,468 |  |  | 1.9 | % |  | 42,381 |  |  | 2.3 | %
Automotive |  | 30,934 |  |  | 1.8 | % |  | 12,403 |  |  | 0.7 | %
Environmental Industries |  | 27,413 |  |  | 1.6 | % |  | 15,336 |  |  | 0.8 | %
Containers, Packaging & Glass |  | 18,926 |  |  | 1.1 | % |  | 18,480 |  |  | 1.0 | %
High Tech Industries |  | 18,529 |  |  | 1.1 | % |  | 22,671 |  |  | 1.2 | %
Metals & Mining |  | 14,815 |  |  | 0.8 | % |  | 13,957 |  |  | 0.8 | %
Aerospace & Defense |  | 14,000 |  |  | 0.8 | % |  | 12,000 |  |  | 0.6 | %
Transportation: Cargo |  | 11,533 |  |  | 0.7 | % |  | 12,201 |  |  | 0.7 | %
Telecommunications |  | 6,538 |  |  | 0.4 | % |  | 17,768 |  |  | 1.0 | %
Chemicals, Plastics & Rubber |  | 3,411 |  |  | 0.2 | % |  | 82,597 |  |  | 4.5 | %
Subtotal/total percentage |  | 1,752,726 |  |  | 100.0 | % |  | 1,840,824 |  |  | 100.0 | %
Short term investments |  | 53,503 |  |  |  |  | 113,446 |  |  |
Total investments |  | $ | 1,806,229 |  |  |  |  | $ | 1,954,270 |  |  |
|  | September 30, 2024 |  | December 31, 2023
Geographic Dispersion(1) |  | Investments at Fair Value |  | Percentage of Investment Portfolio |  | Investments at Fair Value |  | Percentage of Investment Portfolio
United States |  | $ | 1,714,972 |  |  | 97.8 | % |  | $ | 1,812,416 |  |  | 98.4 | %
Canada |  | 36,099 |  |  | 2.1 | % |  | 26,350 |  |  | 1.4 | %
Bermuda |  | 970 |  |  | 0.1 | % |  | 962 |  |  | 0.1 | %
Cayman Islands |  | 685 |  |  | — |  |  | 1,096 |  |  | 0.1 | %
Subtotal/total percentage |  | 1,752,726 |  |  | 100.0 | % |  | 1,840,824 |  |  | 100.0 | %
Short term investments |  | 53,503 |  |  |  |  | 113,446 |  |  |
Total investments |  | $ | 1,806,229 |  |  |  |  | $ | 1,954,270 |  |  |
(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 September 30, 2024:
Portfolio Company |  | Interest(a) |  | Maturity |  | Industry |  | Principal/ Par Amount/ Units |  | Cost(b) |  | Fair Value
Senior Secured First Lien Debt |  |  |  |  |  |  |  |  |  |  |  |
Berlitz Holdings, Inc.(e) |  | S+900, 1.00% SOFR Floor |  | 5/31/2025 |  | Services: Business |  | $ | 1,200 |  |  | $ | 1,186 |  |  | $ | 1,215 |
Community Tree Service, LLC(f) |  | S+1100, 1.00% SOFR Floor |  | 6/17/2027 |  | Construction & Building |  | 465 |  |  | 465 |  |  | 465 |
Total Senior Secured First Lien Debt |  |  |  |  |  |  |  |  |  | 1,651 |  |  | 1,680 |
Collateralized Securities and Structured Products - Equity |  |  |  |  |  |  |  |  |  |
Ivy Hill Middle Market Credit Fund VIII, Ltd. Subordinated Loan(c) |  | 11.84% Estimated Yield |  | 2/2/2026 |  | Diversified Financials |  | 10,000 |  |  | 9,360 |  |  | 9,901 |
Total Collateralized Securities and Structured Products - Equity |  |  |  |  |  |  |  | 9,360 |  |  | 9,901 |
Equity |  |  |  |  |  |  |  |  |  |  |  |
American Clinical Solutions LLC, Class A Membership Interests(d) |  |  |  | Healthcare & Pharmaceuticals |  | 6,030,384 Units |  | 5,200 |  |  | 1,809 |
Anthem Sports and Entertainment Inc., Class A Preferred Stock Warrants(d) |  |  |  | Media: Diversified & Production |  | 1,469 Units |  | 486 |  |  | 53 |
Anthem Sports and Entertainment Inc., Class B Preferred Stock Warrants(d) |  |  |  | Media: Diversified & Production |  | 255 Units |  | — |  |  | — |
Anthem Sports and Entertainment Inc., Common Stock Warrants(d) |  |  |  | Media: Diversified & Production |  | 4,746 Units |  | — |  |  | — |
BCP Great Lakes II - Series A Holdings LP, Partnership Interests (4.2% ownership) |  |  |  | Diversified Financials |  | N/A |  | 10,576 |  |  | 10,922 |
Carestream Health Holdings, Inc., Common Stock(d) |  |  |  | Healthcare & Pharmaceuticals |  | 614,367 Units |  | 21,759 |  |  | 21,589 |
CHC Medical Partners, Inc., Series C Preferred Stock, 12% Dividend |  |  |  | Healthcare & Pharmaceuticals |  | 2,727,273 Units |  | 8,464 |  |  | 12,191 |
CHC Medical Partners, Inc., Additional Series C Preferred Stock, 8% Dividend |  |  |  | Healthcare & Pharmaceuticals |  | 183,723 Units |  | 308 |  |  | 608 |
CTS Ultimate Holdings LLC, Class A Preferred Units(d) |  |  |  | Construction & Building |  | 3,578,701 Units |  | 1,000 |  |  | 1,002 |
Dayton HoldCo, LLC, Membership Units(d) |  |  |  | Construction & Building |  | 37,264 Units |  | — |  |  | 180 |
HDNet Holdco LLC, Preferred Unit Call Option(d) |  |  |  | Media: Diversified & Production |  | 1 Unit |  | — |  |  | 270 |
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 |  |  | 780 |
Skillsoft Corp., Class A Common Stock(d) |  |  |  | High Tech Industries |  | 12,171 Units |  | 2,000 |  |  | 189 |
Spinal USA, Inc. / Precision Medical Inc., Warrants(d) |  |  |  | Healthcare & Pharmaceuticals |  | 20,667,324 Units |  | — |  |  | — |
Total Equity |  |  |  |  |  |  |  |  |  | 50,093 |  |  | 49,593 |
Short Term Investments(g) |  |  |  |  |  |  |  |  |  |  |  |
First American Treasury Obligations Fund, Class Z Shares |  | 4.75%(h) |  |  |  |  |  |  |  | 1,427 |  |  | 1,427 |
Total Short Term Investments |  |  |  |  |  |  |  |  |  | 1,427 |  |  | 1,427 |
TOTAL INVESTMENTS |  |  |  |  |  |  |  |  |  | $ | 62,531 |  |  | $ | 62,601 |
a.The actual SOFR rate for each loan listed may not be the applicable SOFR rate as of September 30, 2024, as the loan may have been priced or repriced based on a SOFR rate prior to or subsequent to September 30, 2024. 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 SOFR, which as of September 30, 2024 was 4.85%. f.The interest rate on these loans is subject to 3 month SOFR, which as of September 30, 2024 was 4.59%. g.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. h.7-day effective yield as of September 30, 2024. The following table sets forth the individual investments in CION/EagleTree's portfolio as of December 31, 2023:
Portfolio Company |  | Interest(a) |  | Maturity |  | Industry |  | Principal/ Par Amount/ Units |  | Cost(b) |  | Fair Value
Senior Secured First Lien Debt |  |  |  |  |  |  |  |  |  |  |  |
Berlitz Holdings, Inc.(f) |  | S+900, 1.00% SOFR Floor |  | 2/14/2025 |  | Services: Business |  | 1,200 |  |  | 1,157 |  |  | 1,194 |
Community Tree Service, LLC(g) |  | S+850, 1.00% SOFR Floor |  | 6/17/2027 |  | Construction & Building |  | 463 |  |  | 463 |  |  | 464 |
Total Senior Secured First Lien Debt |  |  |  |  |  |  |  |  |  | 1,620 |  |  | 1,658 |
Senior Secured Second Lien Debt |  |  |  |  |  |  |  |  |  |  |  |
Access CIG, LLC(g) |  | S+775, 0.00% SOFR Floor |  | 2/27/2026 |  | Services: Business |  | 7,250 |  |  | 7,229 |  |  | 7,244 |
MedPlast Holdings, Inc.(e) |  | L+775, 0.00% LIBOR Floor |  | 7/2/2026 |  | Healthcare & Pharmaceuticals |  | 6,750 |  |  | 6,276 |  |  | 6,535 |
Total Senior Secured Second Lien Debt |  |  |  |  |  |  |  |  |  | 13,505 |  |  | 13,779 |
Collateralized Securities and Structured Products - Equity |  |  |  |  |  |  |  |  |  |
Ivy Hill Middle Market Credit Fund VIII, Ltd. Subordinated Loan(c) |  | 11.84% Estimated Yield |  | 2/2/2026 |  | Diversified Financials |  | 10,000 |  |  | 9,717 |  |  | 9,117 |
Total Collateralized Securities and Structured Products - Equity |  |  |  |  |  |  |  | 9,717 |  |  | 9,117 |
Equity |  |  |  |  |  |  |  |  |  |  |  |
American Clinical Solutions LLC, Class A Membership Interests(d) |  |  |  | Healthcare & Pharmaceuticals |  | 6,030,384 Units |  | 5,200 |  |  | 5,065 |
Anthem Sports and Entertainment Inc., Class A Preferred Stock Warrants(d) |  |  |  | Media: Diversified & Production |  | 1,469 Units |  | 486 |  |  | 1,622 |
Anthem Sports and Entertainment Inc., Class B Preferred Stock Warrants(d) |  |  |  | Media: Diversified & Production |  | 255 Units |  | — |  |  | 31 |
Anthem Sports and Entertainment Inc., Common Stock Warrants(d) |  |  |  | Media: Diversified & Production |  | 4,746 Units |  | — |  |  | — |
BCP Great Lakes II - Series A Holdings LP, Partnership Interests (4.2% ownership) |  |  |  | Diversified Financials |  | N/A |  | 12,144 |  |  | 12,464 |
Carestream Health Holdings, Inc., Common Stock(d) |  |  |  | Healthcare & Pharmaceuticals |  | 614,367 Units |  | 21,759 |  |  | 21,386 |
CHC Medical Partners, Inc., Series C Preferred Stock, 12% Dividend |  |  |  | Healthcare & Pharmaceuticals |  | 2,727,273 Units |  | 8,218 |  |  | 10,391 |
CTS Ultimate Holdings LLC, Class A Preferred Units(d) |  |  |  | Construction & Building |  | 3,578,701 Units |  | 1,000 |  |  | 895 |
Dayton HoldCo, LLC, Membership Units(d) |  |  |  | Construction & Building |  | 37,264 Units |  | 8,400 |  |  | 14,537 |
HDNet Holdco LLC, Preferred Unit Call Option(d) |  |  |  | Media: Diversified & Production |  | 1 Unit |  | — |  |  | 382 |
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 |  |  | 503 |
Skillsoft Corp., Class A Common Stock(d) |  |  |  | High Tech Industries |  | 12,171 Units |  | 2,000 |  |  | 214 |
Spinal USA, Inc. / Precision Medical Inc., Warrants(d) |  |  |  | Healthcare & Pharmaceuticals |  | 20,667,324 Units |  | — |  |  | — |
Total Equity |  |  |  |  |  |  |  |  |  | 59,507 |  |  | 67,490 |
Short Term Investments(g) |  |  |  |  |  |  |  |  |  |  |  |
First American Treasury Obligations Fund, Class Z Shares |  | 5.24%(i) |  |  |  |  |  |  |  | 1,306 |  |  | 1,306 |
Total Short Term Investments |  |  |  |  |  |  |  |  |  | 1,306 |  |  | 1,306 |
TOTAL INVESTMENTS |  |  |  |  |  |  |  |  |  | $ | 85,655 |  |  | $ | 93,350 |
a.The actual SOFR rate for each loan listed may not be the applicable SOFR rate as of December 31, 2023, as the loan may have been priced or repriced based on a SOFR rate prior to or subsequent to December 31, 2023. The actual LIBOR rate for each loan listed may not be the applicable LIBOR rate as of December 31, 2023, as the loan may have been priced or repriced based on a LIBOR rate prior to or subsequent to December 31, 2023. 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, 2023 was 5.47%. f.The interest rate on these loans is subject to 1 month SOFR, which as of December 31, 2023 was 5.35%. g.The interest rate on these loans is subject to 3 month SOFR, which as of December 31, 2023 was 5.33%. h.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. i.7-day effective yield as of December 31, 2023. The following table includes selected balance sheet information for CION/EagleTree as of September 30, 2024 and December 31, 2023:
Selected Balance Sheet Information: |  | September 30, 2024 |  | December 31, 2023
Investments, at fair value (amortized cost of $62,531 and $85,655, respectively) |  | $ | 62,601 |  |  | $ | 93,350 |
Cash and other assets |  | — |  |  | 14 |
Dividend receivable on investments |  | 410 |  |  | 414 |
Interest receivable on investments |  | 240 |  |  | 287 |
Total assets |  | $ | 63,251 |  |  | $ | 94,065 |
Senior secured notes (net of unamortized debt issuance costs of $53 and $70, respectively) |  | $ | 40,949 |  |  | $ | 64,432 |
Other liabilities |  | 120 |  |  | 166 |
Total liabilities |  | 41,069 |  |  | 64,598 |
Members' capital |  | 22,182 |  |  | 29,467 |
Total liabilities and members' capital |  | $ | 63,251 |  |  | $ | 94,065 |
The following table includes selected statement of operations information for CION/EagleTree for the three and nine months ended September 30, 2024 and 2023 and for the year ended December 31, 2023:
| Three Months Ended September 30, |  | Nine Months Ended September 30, |  |  |  | Year Ended December 31,
Selected Statement of Operations Information: | 2024 |  | 2023 |  | 2024 |  | 2023 |  |  |  |  |  | 2023
Total investment income | $ | 901 |  |  | $ | 1,777 |  |  | $ | 3,346 |  |  | $ | 4,840 |  |  |  |  |  |  | $ | 6,230 |
Total expenses | 1,638 |  |  | 2,541 |  |  | 6,329 |  |  | 7,799 |  |  |  |  |  |  | 10,213 |
Net realized (loss) gain on investments | — |  |  | (177) |  |  | 3,325 |  |  | (1) |  |  |  |  |  |  | (2,083) |
Net change in unrealized appreciation (depreciation) on investments | 2,247 |  |  | 780 |  |  | (7,627) |  |  | 1,226 |  |  |  |  |  |  | 4,338 |
Net increase (decrease) in net assets | $ | 1,510 |  |  | $ | (161) |  |  | $ | (7,285) |  |  | $ | (1,734) |  |  |  |  |  |  | $ | (1,728) |

X
- References No definition available. + Details
Name: | us-gaap_EquityMethodInvestmentsAndJointVenturesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of data and information required in the supplementary schedule applicable to management investment companies listing holdings of unaffiliated investments. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 946 -SubTopic 210 -Name Accounting Standards Codification -Section 50 -Paragraph 6 -Subparagraph (a)(3) -Publisher FASB -URI https://asc.fasb.org/1943274/2147478795/946-210-50-6 Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 946 -SubTopic 210 -Name Accounting Standards Codification -Section 50 -Paragraph 6 -Subparagraph (a)(1) -Publisher FASB -URI https://asc.fasb.org/1943274/2147478795/946-210-50-6 Reference 3: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 946 -SubTopic 210 -Name Accounting Standards Codification -Section 50 -Paragraph 6 -Subparagraph (a)(2) -Publisher FASB -URI https://asc.fasb.org/1943274/2147478795/946-210-50-6 Reference 4: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 946 -SubTopic 210 -Name Accounting Standards Codification -Section 50 -Paragraph 6 -Subparagraph (a)(4) -Publisher FASB -URI https://asc.fasb.org/1943274/2147478795/946-210-50-6 Reference 5: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 946 -SubTopic 210 -Name Accounting Standards Codification -Section 50 -Paragraph 6 -Subparagraph (c) -Publisher FASB -URI https://asc.fasb.org/1943274/2147478795/946-210-50-6 Reference 6: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 946 -SubTopic 210 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (b)(2) -Publisher FASB -URI https://asc.fasb.org/1943274/2147478795/946-210-50-1 + Details
Name: | us-gaap_InvestmentHoldingsScheduleOfInvestmentsTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration