ý | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
o | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
MARYLAND | 54-2040781 | ||||
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) | ||||
1521 WESTBRANCH DRIVE, SUITE 100 | 22102 | ||||
MCLEAN, VIRGINIA | (Zip Code) | ||||
(Address of principal executive office) |
Title of Each Class | Trading Symbol(s) | Name of Each Exchange on Which Registered | ||||||||||||
Common Stock, $0.001 par value per share | GLAD | The Nasdaq Global Stock Market LLC |
Large accelerated filer o | Accelerated filer o | ||||
Non-accelerated filer ý | Smaller reporting company o | ||||
Emerging growth company o |
June 30, 2022 | September 30, 2021 | ||||||||||
ASSETS | |||||||||||
Investments, at fair value: | |||||||||||
Non-Control/Non-Affiliate investments (Cost of $506,987 and $447,566, respectively) | $ | 511,995 | $ | 454,601 | |||||||
Affiliate investments (Cost of $49,274 and $70,682, respectively) | 41,779 | 82,281 | |||||||||
Control investments (Cost of $34,360 and $28,264, respectively) | 32,688 | 20,730 | |||||||||
Cash and cash equivalents | 856 | 671 | |||||||||
Restricted cash and cash equivalents | 87 | 175 | |||||||||
Interest receivable, net | 3,429 | 2,361 | |||||||||
Due from administrative agent | 3,323 | 2,951 | |||||||||
Deferred financing costs, net | 705 | 1,033 | |||||||||
Other assets, net | 2,382 | 1,697 | |||||||||
TOTAL ASSETS | $ | 597,244 | $ | 566,500 | |||||||
LIABILITIES | |||||||||||
Line of credit at fair value (Cost of $80,000 and $50,500, respectively) | $ | 80,000 | $ | 50,500 | |||||||
Notes payable, net of unamortized deferred financing costs of $2,544 and $2,202, respectively | 197,456 | 186,611 | |||||||||
Accounts payable and accrued expenses | 360 | 490 | |||||||||
Interest payable | 3,744 | 1,797 | |||||||||
Fees due to Adviser(A) | 1,295 | 2,255 | |||||||||
Fee due to Administrator(A) | 676 | 382 | |||||||||
Other liabilities | 792 | 6,026 | |||||||||
TOTAL LIABILITIES | $ | 284,323 | $ | 248,061 | |||||||
Commitments and contingencies(B) | |||||||||||
NET ASSETS | |||||||||||
Common stock, $0.001 par value per share, 44,560,000 and 44,560,000 shares authorized, respectively, and 34,304,371 and 34,304,371 shares issued and outstanding, respectively | $ | 34 | $ | 34 | |||||||
Capital in excess of par value | 390,719 | 392,494 | |||||||||
Cumulative net unrealized appreciation (depreciation) of investments | (4,159) | 11,100 | |||||||||
Under (over) distributed net investment income | (497) | 149 | |||||||||
Accumulated net realized losses | (73,176) | (85,338) | |||||||||
Total distributable loss | (77,832) | (74,089) | |||||||||
TOTAL NET ASSETS | $ | 312,921 | $ | 318,439 | |||||||
NET ASSET VALUE PER COMMON SHARE | $ | 9.12 | $ | 9.28 |
Three Months Ended June 30, | Nine Months Ended June 30, | |||||||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||||||
INVESTMENT INCOME | ||||||||||||||||||||
Interest income | ||||||||||||||||||||
Non-Control/Non-Affiliate investments | $ | 10,550 | $ | 10,435 | $ | 31,318 | $ | 30,624 | ||||||||||||
Affiliate investments | 806 | 1,311 | 2,612 | 3,285 | ||||||||||||||||
Control investments | 591 | 402 | 1,794 | 1,227 | ||||||||||||||||
Cash and cash equivalents | 1 | — | 1 | — | ||||||||||||||||
Total interest income (excluding PIK interest income) | 11,948 | 12,148 | 35,725 | 35,136 | ||||||||||||||||
PIK interest income | ||||||||||||||||||||
Non-Control/Non-Affiliate investments | 568 | 598 | 2,619 | 1,578 | ||||||||||||||||
Affiliate investments | 77 | — | 77 | — | ||||||||||||||||
Total PIK interest income | 645 | 598 | 2,696 | 1,578 | ||||||||||||||||
Total interest income | 12,593 | 12,746 | 38,421 | 36,714 | ||||||||||||||||
Success fee income | ||||||||||||||||||||
Non-Control/Non-Affiliate Investments | — | 202 | 3,231 | 202 | ||||||||||||||||
Affiliate Investments | — | — | 1,563 | — | ||||||||||||||||
Total success fee income | — | 202 | 4,794 | 202 | ||||||||||||||||
Dividend income | ||||||||||||||||||||
Non-Control/Non-Affiliate investments | 493 | 617 | 2,002 | 1,192 | ||||||||||||||||
Control investments | 656 | 38 | 1,245 | 290 | ||||||||||||||||
Total dividend income | 1,149 | 655 | 3,247 | 1,482 | ||||||||||||||||
Prepayment fee income | ||||||||||||||||||||
Non-Control/Non-Affiliate investments | — | 50 | 605 | 950 | ||||||||||||||||
Affiliate Investments | — | — | 44 | — | ||||||||||||||||
Total prepayment fee income | — | 50 | 649 | 950 | ||||||||||||||||
Other income | 42 | 13 | 100 | 85 | ||||||||||||||||
Total investment income | 13,784 | 13,666 | 47,211 | 39,433 | ||||||||||||||||
EXPENSES | ||||||||||||||||||||
Base management fee(A) | 2,501 | 2,216 | 7,500 | 6,313 | ||||||||||||||||
Loan servicing fee(A) | 1,614 | 1,374 | 4,596 | 4,118 | ||||||||||||||||
Incentive fee(A) | 1,579 | 1,471 | 5,641 | 4,219 | ||||||||||||||||
Administration fee(A) | 407 | 369 | 1,187 | 1,056 | ||||||||||||||||
Interest expense on borrowings and notes payable | 3,150 | 3,057 | 9,177 | 8,447 | ||||||||||||||||
Amortization of deferred financing costs | 286 | 300 | 849 | 1,056 | ||||||||||||||||
Professional fees | 139 | 302 | 610 | 680 | ||||||||||||||||
Other general and administrative expenses | 346 | 256 | 1,045 | 818 | ||||||||||||||||
Expenses, before credits from Adviser | 10,022 | 9,345 | 30,605 | 26,707 | ||||||||||||||||
Credit to base management fee - loan servicing fee(A) | (1,614) | (1,374) | (4,596) | (4,118) | ||||||||||||||||
Credits to fees from Adviser - other(A) | (1,571) | (909) | (3,600) | (2,439) | ||||||||||||||||
Total expenses, net of credits | 6,837 | 7,062 | 22,409 | 20,150 | ||||||||||||||||
NET INVESTMENT INCOME | 6,947 | 6,604 | 24,802 | 19,283 | ||||||||||||||||
NET REALIZED AND UNREALIZED GAIN (LOSS) | ||||||||||||||||||||
Net realized gain (loss): | ||||||||||||||||||||
Non-Control/Non-Affiliate investments | — | 6,452 | 472 | 4,372 | ||||||||||||||||
Affiliate investments | — | — | 13,408 | — | ||||||||||||||||
Control investments | (8,496) | — | (8,496) | (1) | ||||||||||||||||
Other | 347 | 79 | (120) | (1,081) | ||||||||||||||||
Total net realized gain (loss) | (8,149) | 6,531 | 5,264 | 3,290 | ||||||||||||||||
Net unrealized appreciation (depreciation): | ||||||||||||||||||||
Non-Control/Non-Affiliate investments | (5,596) | 1,815 | (2,027) | 23,665 | ||||||||||||||||
Affiliate investments | (1,272) | 1,744 | (19,094) | 2,373 | ||||||||||||||||
Control investments | 2,471 | 1,270 | 5,862 | 3,295 | ||||||||||||||||
Other | — | (10) | — | (350) | ||||||||||||||||
Total net unrealized appreciation (depreciation) | (4,397) | 4,819 | (15,259) | 28,983 | ||||||||||||||||
Net realized and unrealized gain (loss) | (12,546) | 11,350 | (9,995) | 32,273 | ||||||||||||||||
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | (5,599) | $ | 17,954 | $ | 14,807 | $ | 51,556 | ||||||||||||
BASIC AND DILUTED PER COMMON SHARE: | ||||||||||||||||||||
Net investment income | $ | 0.20 | $ | 0.20 | $ | 0.72 | $ | 0.59 | ||||||||||||
Net increase (decrease) in net assets resulting from operations | $ | (0.16) | $ | 0.53 | $ | 0.43 | $ | 1.56 | ||||||||||||
WEIGHTED AVERAGE SHARES OF COMMON STOCK OUTSTANDING: Basic and Diluted | 34,304,371 | 33,765,624 | 34,304,371 | 32,873,934 |
2022 | 2021 | ||||||||||
NET ASSETS, SEPTEMBER 30 | $ | 318,439 | $ | 233,743 | |||||||
OPERATIONS | |||||||||||
Net investment income | 9,160 | 6,280 | |||||||||
Net realized gain (loss) on investments | 13,880 | (2,144) | |||||||||
Net realized gain (loss) on other | (700) | (8) | |||||||||
Net unrealized appreciation (depreciation) of investments | (10,237) | 8,495 | |||||||||
Net unrealized depreciation (appreciation) of other | — | (320) | |||||||||
Net increase (decrease) in net assets resulting from operations | 12,103 | 12,303 | |||||||||
DISTRIBUTIONS | |||||||||||
Distributions to common stockholders from net investment income ($0.20 per share and $0.19 per share, respectively)(A) | (6,689) | (6,100) | |||||||||
Distributions to common stockholders from return of capital ($0.00 per share and $0.01 per share, respectively)(A) | — | (180) | |||||||||
Net decrease in net assets from distributions | (6,689) | (6,280) | |||||||||
CAPITAL TRANSACTIONS | |||||||||||
Issuance of common stock | — | 7,491 | |||||||||
Discounts, commissions and offering costs for issuance of common stock | — | (140) | |||||||||
Net increase (decrease) in net assets resulting from capital transactions | — | 7,351 | |||||||||
NET INCREASE (DECREASE) IN NET ASSETS | 5,414 | 13,374 | |||||||||
NET ASSETS, DECEMBER 31 | $ | 323,853 | $ | 247,117 | |||||||
OPERATIONS | |||||||||||
Net investment income | 8,695 | 6,399 | |||||||||
Net realized gain (loss) on investments | — | 63 | |||||||||
Net realized gain (loss) on other | 233 | (1,152) | |||||||||
Net unrealized appreciation (depreciation) of investments | (625) | 16,009 | |||||||||
Net unrealized depreciation (appreciation) of other | — | (20) | |||||||||
Net increase (decrease) in net assets resulting from operations | 8,303 | 21,299 | |||||||||
DISTRIBUTIONS | |||||||||||
Distributions to common stockholders from net investment income ($0.20 per share and $0.18 per share, respectively)(A) | (6,689) | (5,714) | |||||||||
Distributions to common stockholders from return of capital ($0.00 per share and $0.02 per share, respectively)(A) | — | (685) | |||||||||
Net decrease in net assets from distributions | (6,689) | (6,399) | |||||||||
CAPITAL TRANSACTIONS | |||||||||||
Issuance of common stock | — | 9,037 | |||||||||
Discounts, commissions and offering costs for issuance of common stock | — | (166) | |||||||||
Net increase (decrease) in net assets resulting from capital transactions | — | 8,871 | |||||||||
NET INCREASE (DECREASE) IN NET ASSETS | 1,614 | 23,771 | |||||||||
NET ASSETS, MARCH 31 | $ | 325,467 | $ | 270,888 | |||||||
OPERATIONS | |||||||||||
Net investment income | 6,947 | 6,604 | |||||||||
Net realized gain (loss) on investments | (8,496) | 6,452 | |||||||||
Net realized gain (loss) on other | 347 | 79 | |||||||||
Net unrealized appreciation (depreciation) of investments | (4,397) | 4,829 | |||||||||
Net unrealized depreciation (appreciation) of other | — | (10) | |||||||||
Net increase (decrease) in net assets resulting from operations | (5,599) | 17,954 | |||||||||
DISTRIBUTIONS | |||||||||||
Distributions to common stockholders from net investment income ($0.15 per share and $0.20 per share, respectively)(A) | (5,173) | (6,579) | |||||||||
Distributions to common stockholders from return of capital ($0.05 per share and $0.00 per share, respectively)(A) | (1,774) | (25) | |||||||||
Net decrease in net assets from distributions | (6,947) | (6,604) | |||||||||
CAPITAL TRANSACTIONS | |||||||||||
Issuance of common stock | — | 10,322 | |||||||||
Discounts, commissions and offering costs for issuance of common stock | — | (175) | |||||||||
Net increase (decrease) in net assets resulting from capital transactions | — | 10,147 | |||||||||
NET INCREASE (DECREASE) IN NET ASSETS | (12,546) | 21,497 | |||||||||
NET ASSETS, JUNE 30 | $ | 312,921 | $ | 292,385 |
Nine Months Ended June 30, | |||||||||||
2022 | 2021 | ||||||||||
CASH FLOWS FROM OPERATING ACTIVITIES | |||||||||||
Net increase (decrease) in net assets resulting from operations | $ | 14,807 | $ | 51,556 | |||||||
Adjustments to reconcile net increase (decrease) in net assets resulting from operations to net cash provided by (used in) operating activities: | |||||||||||
Purchase of investments | (188,851) | (154,290) | |||||||||
Principal repayments on investments | 138,231 | 123,833 | |||||||||
Net proceeds from sale of investments | 15,929 | 12,821 | |||||||||
Increase in investments due to PIK interest or other | (3,218) | (5,152) | |||||||||
Net change in premiums, discounts and amortization | (605) | 692 | |||||||||
Net realized loss (gain) on investments | (5,384) | (4,371) | |||||||||
Net realized loss (gain) on other | 120 | 1,081 | |||||||||
Net unrealized depreciation (appreciation) of investments | 15,259 | (29,333) | |||||||||
Net unrealized appreciation (depreciation) of other | — | 350 | |||||||||
Changes in assets and liabilities: | |||||||||||
Amortization of deferred financing costs | 849 | 1,056 | |||||||||
Decrease (increase) in interest receivable, net | (1,068) | 912 | |||||||||
Decrease (increase) in funds due from administrative agent | (372) | (25) | |||||||||
Decrease (increase) in other assets, net | (685) | (676) | |||||||||
Increase (decrease) in accounts payable and accrued expenses | (130) | 33 | |||||||||
Increase (decrease) in interest payable | 1,947 | 2,860 | |||||||||
Increase (decrease) in fees due to Adviser(A) | (960) | 19 | |||||||||
Increase (decrease) in fee due to Administrator(A) | 294 | 280 | |||||||||
Increase (decrease) in other liabilities | (4,766) | 5,721 | |||||||||
Net cash provided by (used in) operating activities | (18,603) | 7,367 | |||||||||
CASH FLOWS FROM FINANCING ACTIVITIES | |||||||||||
Proceeds from line of credit | 235,500 | 199,400 | |||||||||
Repayments on line of credit | (206,000) | (304,400) | |||||||||
Proceeds from issuance of notes payable | 50,000 | 150,000 | |||||||||
Redemption of long term debt | (38,813) | (57,500) | |||||||||
Financing costs | (1,662) | (3,036) | |||||||||
Proceeds from issuance of common stock | — | 26,850 | |||||||||
Discounts, commissions and offering costs for issuance of common stock | — | (402) | |||||||||
Distributions paid to common stockholders | (20,325) | (19,283) | |||||||||
Net cash provided by (used in) financing activities | 18,700 | (8,371) | |||||||||
NET INCREASE (DECREASE) IN CASH, CASH EQUIVALENTS, RESTRICTED CASH, AND RESTRICTED CASH EQUIVALENTS | 97 | (1,004) | |||||||||
CASH, CASH EQUIVALENTS, RESTRICTED CASH, AND RESTRICTED CASH EQUIVALENTS, BEGINNING OF PERIOD | 846 | 2,469 | |||||||||
CASH, CASH EQUIVALENTS, RESTRICTED CASH, AND RESTRICTED CASH EQUIVALENTS, END OF PERIOD | $ | 943 | $ | 1,465 | |||||||
CASH PAID FOR INTEREST | $ | 7,230 | $ | 5,587 | |||||||
NON-CASH ACTIVITIES(B) | $ | 7,489 | $ | 3,495 |
GLADSTONE CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS JUNE 30, 2022 (UNAUDITED) (DOLLAR AMOUNTS IN THOUSANDS) | ||||||||||||||||||||
Company and Investment(A)(B)(W)(K) | Principal/ Shares/ Units(J)(I) | Cost | Fair Value | |||||||||||||||||
NON-CONTROL/NON-AFFILIATE INVESTMENTS(M) – 163.6% | ||||||||||||||||||||
Secured First Lien Debt – 121.6% | ||||||||||||||||||||
Aerospace and Defense – 20.4% | ||||||||||||||||||||
Antenna Research Associates, Inc. – Term Debt (L + 10.0%, 12.0% Cash, 4.0% PIK, Due 11/2023)(E) | $ | 11,792 | $ | 11,792 | $ | 11,792 | ||||||||||||||
Ohio Armor Holdings, LLC – Term Debt (L + 8.0%, 9.8% Cash, Due 2/2026)(C) | 19,206 | 19,206 | 19,014 | |||||||||||||||||
SpaceCo Holdings, LLC – Line of Credit, $800 available (L + 7.0%, 9.3% Cash, Due 12/2025)(C)(U) | 1,200 | 1,200 | 1,194 | |||||||||||||||||
SpaceCo Holdings, LLC – Term Debt (L + 7.0%, 9.3% Cash, Due 12/2025)(C)(U) | 31,925 | 31,505 | 31,765 | |||||||||||||||||
63,703 | 63,765 | |||||||||||||||||||
Beverage, Food, and Tobacco – 13.5% | ||||||||||||||||||||
Café Zupas – Line of Credit, $4,000 available (L + 7.4%, 9.2% Cash, Due 12/2024)(C) | — | — | — | |||||||||||||||||
Café Zupas – Delayed Draw Term Debt, $0 available (L + 7.4%, 9.2% Cash, Due 12/2024)(C) | 1,970 | 1,970 | 1,960 | |||||||||||||||||
Café Zupas – Term Debt (L + 7.4%, 9.2% Cash, Due 12/2024)(C) | 23,640 | 23,640 | 23,522 | |||||||||||||||||
Eegee’s LLC – Line of Credit, $1,000 available (L + 7.3%, 9.0% Cash, Due 6/2026)(C) | — | — | — | |||||||||||||||||
Eegee’s LLC – Delayed Draw Term Debt, $7,500 available (L + 7.3%, 9.0% Cash, Due 6/2026)(C) | — | — | — | |||||||||||||||||
Eegee’s LLC – Term Debt (L + 7.3%, 9.0% Cash, Due 6/2026)(C) | 17,000 | 17,000 | 16,830 | |||||||||||||||||
42,610 | 42,312 | |||||||||||||||||||
Buildings and Real Estate – 0.6% | ||||||||||||||||||||
GFRC 360, LLC – Line of Credit, $500 available (L + 8.0%, 9.8% Cash, Due 9/2022)(C) | 700 | 700 | 686 | |||||||||||||||||
GFRC 360, LLC – Term Debt (L + 8.0%, 9.8% Cash, Due 9/2022)(C) | 1,000 | 1,000 | 980 | |||||||||||||||||
1,700 | 1,666 | |||||||||||||||||||
Diversified/Conglomerate Manufacturing – 15.0% | ||||||||||||||||||||
Engineering Manufacturing Technologies, LLC – Line of Credit, $3,000 available (L + 8.3%, 10.0% Cash, Due 10/2026)(C) | — | — | — | |||||||||||||||||
Engineering Manufacturing Technologies, LLC – Term Debt (L + 8.3%, 10.0% Cash, Due 10/2026)(C) | 22,500 | 22,500 | 22,219 | |||||||||||||||||
Salvo Technologies, Inc.– Term Debt (SOFR + 9.5%, 11.2% Cash, Due 4/2027)(C)(AA) | 11,887 | 11,887 | 11,887 | |||||||||||||||||
Unirac, Inc. – Line of Credit, $0 available (L + 7.0%, 9.3% Cash, Due 6/2026)(C)(U) | 1,254 | 1,254 | 1,251 | |||||||||||||||||
Unirac, Inc. – Delayed Draw Term Debt, $1,254 available (L + 7.0%, 9.3% Cash, Due 6/2026)(C)(U) | — | — | — | |||||||||||||||||
Unirac, Inc. – Term Debt (L + 7.0%, 9.3% Cash, Due 6/2026)(C)(U) | 11,675 | 11,443 | 11,645 | |||||||||||||||||
47,084 | 47,002 | |||||||||||||||||||
Diversified/Conglomerate Service – 31.9% | ||||||||||||||||||||
Axios Industrial Group, LLC – Term Debt (SOFR + 9.5%, 11.3% Cash, Due 10/2027)(C)(AA) | 9,000 | 9,000 | 9,000 | |||||||||||||||||
Axios Industrial Group, LLC – Delayed Draw Term Debt, $5,000 available (SOFR + 9.5%, 11.3% Cash, Due 10/2027)(C)(AA) | 3,000 | 3,000 | 3,000 | |||||||||||||||||
DKI Ventures, LLC – Term Debt (L + 8.3%, 10.0% Cash, 4.0% PIK, Due 12/2023)(C) | 5,855 | 5,855 | 4,677 | |||||||||||||||||
ENET Holdings, LLC – Term Debt (L + 8.8%, 10.5% Cash, Due 4/2025)(C) | 28,917 | 28,917 | 26,748 | |||||||||||||||||
Fix-It Group, LLC – Line of Credit, $3,000 available (L + 7.0%, 8.8% Cash, Due 12/2026)(C) | — | — | — | |||||||||||||||||
Fix-It Group, LLC – Term Debt (L + 7.0%, 8.8% Cash, Due 12/2026)(C) | 10,000 | 10,000 | 9,900 | |||||||||||||||||
Fix-It Group, LLC – Delayed Draw Term Debt, $10,000 available (L + 7.0%, 8.8% Cash, Due 12/2026)(C) | — | — | — | |||||||||||||||||
MCG Energy Solutions, LLC – Line of Credit, $3,000 available (L + 7.5%, 9.3% Cash, Due 3/2026)(C) | — | — | — | |||||||||||||||||
MCG Energy Solutions, LLC – Term Debt (L + 7.5%, 9.3% Cash, 3.5% PIK, Due 3/2026)(C) | 20,635 | 20,635 | 19,732 | |||||||||||||||||
R2i Holdings, LLC – Line of Credit, $1,171 available (8.0% Cash, Due 12/2023)(C)(F) | 829 | 829 | 721 | |||||||||||||||||
R2i Holdings, LLC – Term Debt (8.0% Cash, Due 12/2023)(C)(F) | 18,250 | 18,250 | 15,878 | |||||||||||||||||
WorkforceQA, LLC – Line of Credit, $2,000 available (L + 6.5%, 8.3% Cash, Due 12/2026)(C) | — | — | — | |||||||||||||||||
WorkforceQA, LLC – Term Debt (L + 8.8%, 10.6% Cash, Due 12/2026)(C)(H) | 10,000 | 10,000 | 9,950 | |||||||||||||||||
106,486 | 99,606 | |||||||||||||||||||
GLADSTONE CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS JUNE 30, 2022 (UNAUDITED) (DOLLAR AMOUNTS IN THOUSANDS) | ||||||||||||||||||||
Company and Investment(A)(B)(W)(K) | Principal/ Shares/ Units(J)(I) | Cost | Fair Value | |||||||||||||||||
Diversified Natural Resources, Precious Metals, and Minerals – 7.1% | ||||||||||||||||||||
Viva Railings, LLC – Line of Credit, $3,500 available (L + 7.0%, 8.8% Cash, Due 5/2027)(C) | 500 | 500 | 500 | |||||||||||||||||
Viva Railings, LLC – Term Debt (L + 7.0%, 8.8% Cash, Due 5/2027)(C) | 21,800 | 21,800 | 21,800 | |||||||||||||||||
22,300 | 22,300 | |||||||||||||||||||
Healthcare, Education, and Childcare – 29.1% | ||||||||||||||||||||
ALS Education, LLC – Line of Credit, $3,000 available (L + 7.0%, 8.8% Cash, Due 5/2025)(C) | — | — | — | |||||||||||||||||
ALS Education, LLC – Term Debt (L + 7.0%, 8.8% Cash, Due 5/2025)(C) | 20,020 | 20,020 | 19,845 | |||||||||||||||||
HH-Inspire Acquisition, Inc. – Line of Credit, $1,500 available (L + 6.8%, 8.5% Cash, Due 12/2026)(C) | 1,500 | 1,500 | 1,485 | |||||||||||||||||
HH-Inspire Acquisition, Inc. – Term Debt (L + 6.8%, 8.5% Cash, Due 12/2026)(C) | 16,000 | 16,000 | 15,840 | |||||||||||||||||
HH-Inspire Acquisition, Inc. – Delayed Draw Term Debt, $0 available (L + 6.8%, 8.5% Cash, Due 12/2026)(C) | 10,000 | 10,000 | 9,900 | |||||||||||||||||
Pansophic Learning Ltd. – Term Debt (L + 7.3%, 9.0% Cash, Due 3/2027)(C)(Y) | 28,000 | 27,959 | 27,720 | |||||||||||||||||
Pansophic Learning Ltd. – Term Debt (L + 7.3%, 9.0% Cash, Due 3/2027)(C)(Y) | 5,000 | 4,993 | 4,950 | |||||||||||||||||
Turn Key Health Clinics, LLC – Line of Credit, $1,500 available (L + 7.3%, 9.0% Cash, Due 6/2026)(C) | 500 | 500 | 498 | |||||||||||||||||
Turn Key Health Clinics, LLC – Term Debt (L + 7.3%, 9.0% Cash, Due 6/2026)(C) | 11,000 | 11,000 | 10,945 | |||||||||||||||||
91,972 | 91,183 | |||||||||||||||||||
Machinery – 1.8% | ||||||||||||||||||||
Arc Drilling Holdings LLC – Line of Credit, $875 available (L + 8.0%, 9.8% Cash, Due 11/2022)(C) | 125 | 125 | 120 | |||||||||||||||||
Arc Drilling Holdings LLC – Term Debt (L + 9.5%, 11.3% Cash, 3.0% PIK, Due 11/2022)(C) | 5,806 | 5,806 | 5,460 | |||||||||||||||||
5,931 | 5,580 | |||||||||||||||||||
Printing and Publishing – 0.0% | ||||||||||||||||||||
Chinese Yellow Pages Company – Line of Credit, $0 available (PRIME + 4.0%, 8.8% Cash, Due 2/2015)(E)(V)(Q) | $ | 107 | 107 | — | ||||||||||||||||
Telecommunications – 2.2% | ||||||||||||||||||||
B+T Group Acquisition, Inc.(S) – Line of Credit, $0 available (L + 11.0%, 13.0% Cash, Due 12/2024)(C) | 1,200 | 1,200 | 1,158 | |||||||||||||||||
B+T Group Acquisition, Inc.(S) – Term Debt (L + 11.0%, 13.0% Cash, Due 12/2024)(C) | 6,000 | 6,000 | 5,790 | |||||||||||||||||
7,200 | 6,948 | |||||||||||||||||||
Total Secured First Lien Debt | $ | 389,093 | $ | 380,362 | ||||||||||||||||
Secured Second Lien Debt – 24.3% | ||||||||||||||||||||
Automobile – 3.3% | ||||||||||||||||||||
Sea Link International IRB, Inc. – Term Debt (11.3% Cash, 2.0% PIK, Due 3/2023)(C)(F) | $ | 11,060 | $ | 11,060 | $ | 10,230 | ||||||||||||||
Beverage, Food, and Tobacco – 1.0% | ||||||||||||||||||||
8th Avenue Food & Provisions, Inc. – Term Debt (L + 7.8%, 9.5% Cash, Due 10/2026)(D) | 3,682 | 3,699 | 3,020 | |||||||||||||||||
Diversified/Conglomerate Manufacturing – 11.0% | ||||||||||||||||||||
Springfield, Inc. – Term Debt (L + 9.0%, 10.8% Cash, Due 12/2026)(C) | 30,000 | 30,000 | 29,850 | |||||||||||||||||
Tailwind Smith Cooper Intermediate Corporation – Term Debt (L + 9.0%, 10.8% Cash, Due 5/2027)(D) | 5,000 | 4,822 | 4,518 | |||||||||||||||||
34,822 | 34,368 | |||||||||||||||||||
Diversified/Conglomerate Service – 1.5% | ||||||||||||||||||||
CHA Holdings, Inc. – Term Debt (L + 8.8%, 11.0% Cash, Due 4/2026)(D)(U) | 3,000 | 2,965 | 2,700 | |||||||||||||||||
Gray Matter Systems, LLC – Term Debt (11.3% Cash, Due 12/2026)(C)(F) | 2,100 | 2,068 | 2,090 | |||||||||||||||||
5,033 | 4,790 | |||||||||||||||||||
Machinery – 0.2% | ||||||||||||||||||||
CPM Holdings, Inc. – Term Debt (L + 8.3%, 10.0% Cash, Due 11/2026)(D) | 798 | 798 | 762 | |||||||||||||||||
Oil and Gas – 7.3% | ||||||||||||||||||||
Imperative Holdings Corporation – Term Debt (L + 10.3%, 12.3% Cash, 1.8% PIK, Due 9/2024)(C) | 24,658 | 24,604 | 22,931 | |||||||||||||||||
Total Secured Second Lien Debt | $ | 80,016 | $ | 76,101 | ||||||||||||||||
Unsecured Debt – 0.0% | ||||||||||||||||||||
Diversified/Conglomerate Service – 0.0% | ||||||||||||||||||||
Frontier Financial Group Inc. – Convertible Debt (6.0%, Due 6/2022)(E)(F) | $ | 198 | $ | 198 | $ | 59 |
GLADSTONE CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS JUNE 30, 2022 (UNAUDITED) (DOLLAR AMOUNTS IN THOUSANDS) | ||||||||||||||||||||
Company and Investment(A)(B)(W)(K) | Principal/ Shares/ Units(J)(I) | Cost | Fair Value | |||||||||||||||||
Preferred Equity – 6.1% | ||||||||||||||||||||
Automobile – 0.0% | ||||||||||||||||||||
Sea Link International IRB, Inc. – Preferred Stock(E)(G) | 98,039 | 98 | — | |||||||||||||||||
Beverage, Food, and Tobacco – 0.0% | ||||||||||||||||||||
Triple H Food Processors, LLC – Preferred Stock(E)(G) | 75 | 75 | 115 | |||||||||||||||||
Buildings and Real Estate – 0.3% | ||||||||||||||||||||
GFRC 360, LLC – Preferred Stock(E)(G) | 1,000 | 1,025 | 1,103 | |||||||||||||||||
Diversified/Conglomerate Service – 2.7% | ||||||||||||||||||||
Frontier Financial Group Inc. – Preferred Stock(E)(G) | 766 | 500 | — | |||||||||||||||||
Frontier Financial Group Inc. – Preferred Stock Warrant(E)(G) | 168 | — | — | |||||||||||||||||
MCG Energy Solutions, LLC – Preferred Stock(E) | 7,000,000 | 7,000 | 8,330 | |||||||||||||||||
7,500 | 8,330 | |||||||||||||||||||
Diversified/Conglomerate Manufacturing – 0.8% | ||||||||||||||||||||
Salvo Technologies, Inc. – Preferred Units(E)(G) | 2,500 | 2,500 | 2,500 | |||||||||||||||||
Healthcare, Education, and Childcare – 0.3% | ||||||||||||||||||||
HH-Inspire Acquisition, Inc. – Preferred Stock(E)(G) | 750,000 | 750 | 834 | |||||||||||||||||
Oil and Gas – 0.6% | ||||||||||||||||||||
FES Resources Holdings LLC – Preferred Equity Units(E)(G) | 6,350 | 6,350 | — | |||||||||||||||||
Imperative Holdings Corporation – Preferred Equity Units(E)(G) | 13,740 | 632 | 1,955 | |||||||||||||||||
6,982 | 1,955 | |||||||||||||||||||
Telecommunications – 1.4% | ||||||||||||||||||||
B+T Group Acquisition, Inc.(S) – Preferred Stock(E)(G) | 6,130 | 2,024 | 3,897 | |||||||||||||||||
NetFortris Holdings LLC – Preferred Stock(E)(G)(Z) | 7,890,860 | 789 | 500 | |||||||||||||||||
2,813 | 4,397 | |||||||||||||||||||
Total Preferred Equity | $ | 21,743 | $ | 19,234 | ||||||||||||||||
Common Equity – 11.6% | ||||||||||||||||||||
Aerospace and Defense – 4.4% | ||||||||||||||||||||
Antenna Research Associates, Inc. – Common Equity Units(E)(G) | 4,283 | $ | 4,283 | $ | 12,120 | |||||||||||||||
Ohio Armor Holdings, LLC – Common Equity(E)(G) | 1,000 | 1,000 | 1,497 | |||||||||||||||||
5,283 | 13,617 | |||||||||||||||||||
Automobile – 0.0% | ||||||||||||||||||||
Sea Link International IRB, Inc.– Common Equity Units(E)(G) | 823,333 | 823 | — | |||||||||||||||||
Beverage, Food, and Tobacco – 0.3% | ||||||||||||||||||||
Triple H Food Processors, LLC – Common Stock(E)(G) | 250,000 | 250 | 820 | |||||||||||||||||
Buildings and Real Estate – 0.0% | ||||||||||||||||||||
GFRC 360, LLC – Common Stock Warrants(E)(G) | 45.0 | % | — | — | ||||||||||||||||
Diversified/Conglomerate Manufacturing – 0.7% | ||||||||||||||||||||
Engineering Manufacturing Technologies, LLC – Common Stock(E)(G) | 6,000 | 3,000 | 2,335 | |||||||||||||||||
Diversified/Conglomerate Service – 0.2% | ||||||||||||||||||||
WorkforceQA, LLC – Common Stock(E)(G) | 500 | 500 | 559 | |||||||||||||||||
Healthcare, Education, and Childcare – 2.2% | ||||||||||||||||||||
GSM MidCo LLC – Common Stock(E)(G) | 767 | 767 | 1,259 | |||||||||||||||||
Leeds Novamark Capital I, L.P. – Limited Partnership Interest ($843 uncalled capital commitment)(G)(L)(R) | 3.5 | % | 1,223 | 5,474 | ||||||||||||||||
1,990 | 6,733 | |||||||||||||||||||
Machinery – 0.0% | ||||||||||||||||||||
Arc Drilling Holdings LLC – Common Stock(E)(G) | 15,000 | 1,500 | 138 | |||||||||||||||||
Oil and Gas – 0.0% | ||||||||||||||||||||
FES Resources Holdings LLC – Common Equity Units(E)(G) | 6,233 | — | — | |||||||||||||||||
Total Safety Holdings, LLC – Common Equity(E)(G) | 435 | 499 | 40 | |||||||||||||||||
499 | 40 | |||||||||||||||||||
Personal and Non-Durable Consumer Products (Manufacturing Only) – 0.0% | ||||||||||||||||||||
Funko Acquisition Holdings, LLC(S) – Common Units(G)(T) | 5,817 | 30 | 88 | |||||||||||||||||
Telecommunications – 0.0% | ||||||||||||||||||||
B+T Group Acquisition, Inc.(S) – Common Stock Warrant(E)(G) | 1.5 | % | — | 146 |
GLADSTONE CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS JUNE 30, 2022 (UNAUDITED) (DOLLAR AMOUNTS IN THOUSANDS) | ||||||||||||||||||||
Company and Investment(A)(B)(W)(K) | Principal/ Shares/ Units(J)(I) | Cost | Fair Value | |||||||||||||||||
Textiles and Leather – 3.8% | ||||||||||||||||||||
Targus Cayman HoldCo, Ltd. – Common Stock(E)(G) | 3,076,414 | 2,062 | 11,763 | |||||||||||||||||
Total Common Equity | $ | 15,937 | $ | 36,239 | ||||||||||||||||
Total Non-Control/Non-Affiliate Investments | $ | 506,987 | $ | 511,995 | ||||||||||||||||
AFFILIATE INVESTMENTS(N) – 13.4% | ||||||||||||||||||||
Secured First Lien Debt – 12.2% | ||||||||||||||||||||
Diversified/Conglomerate Manufacturing – 1.9% | ||||||||||||||||||||
Edge Adhesives Holdings, Inc. (S) – Term Debt (L + 5.5%, 7.5% Cash, Due 8/2024)(C) | $ | 6,140 | $ | 6,140 | $ | 5,979 | ||||||||||||||
Diversified/Conglomerate Service – 10.3% | ||||||||||||||||||||
Encore Dredging Holdings, LLC – Line of Credit, $3,000 available (L + 8.3%, 10.0% Cash, Due 12/2025)(C) | — | — | — | |||||||||||||||||
Encore Dredging Holdings, LLC – Term Debt (L + 7.0%, 8.8% Cash, 1.5% PIK, Due 12/2025)(C) | 23,521 | 23,521 | 22,991 | |||||||||||||||||
Encore Dredging Holdings, LLC – Term Debt (L + 7.0%, 8.8% Cash, 2.5% PIK, Due 12/2025)(C) | 4,503 | 4,503 | 4,402 | |||||||||||||||||
Encore Dredging Holdings, LLC – Delayed Draw Term Debt, $0 available (L + 7.0%, 8.8% Cash, 1.5% PIK, Due 12/2025)(C) | 5,004 | 5,004 | 4,892 | |||||||||||||||||
33,028 | 32,285 | |||||||||||||||||||
Total Secured First Lien Debt | $ | 39,168 | $ | 38,264 | ||||||||||||||||
Preferred Equity – 1.0% | ||||||||||||||||||||
Diversified/Conglomerate Manufacturing – 0.0% | ||||||||||||||||||||
Edge Adhesives Holdings, Inc.(S) – Preferred Stock(E)(G) | 5,466 | $ | 5,466 | $ | — | |||||||||||||||
Diversified/Conglomerate Service– 0.7% | ||||||||||||||||||||
Encore Dredging Holdings, LLC – Preferred Stock(E)(G) | 3,840,000 | 3,840 | $ | 2,086 | ||||||||||||||||
Personal and Non-Durable Consumer Products (Manufacturing Only) – 0.3% | ||||||||||||||||||||
Canopy Safety Brands, LLC – Preferred Stock(E)(G) | 500,000 | 500 | 783 | |||||||||||||||||
Total Preferred Equity | $ | 9,806 | $ | 2,869 | ||||||||||||||||
Common Equity – 0.2% | ||||||||||||||||||||
Personal and Non-Durable Consumer Products (Manufacturing Only) – 0.2% | ||||||||||||||||||||
Canopy Safety Brands, LLC – Common Stock(E)(G) | 800,000 | 300 | 646 | |||||||||||||||||
Total Common Equity | $ | 300 | $ | 646 | ||||||||||||||||
Total Affiliate Investments | $ | 49,274 | $ | 41,779 | ||||||||||||||||
CONTROL INVESTMENTS(O) – 10.4% | ||||||||||||||||||||
Secured First Lien Debt – 4.6% | ||||||||||||||||||||
Diversified/Conglomerate Manufacturing – 0.9% | ||||||||||||||||||||
Lonestar EMS, LLC – Term Debt (8.0% Cash, Due 6/2027)(E)(F) | $ | 3,250 | $ | 3,250 | $ | 2,712 | ||||||||||||||
Personal and Non-Durable Consumer Products (Manufacturing Only) – 3.4% | ||||||||||||||||||||
WB Xcel Holdings, LLC – Line of Credit, $682 available (L + 10.5%, 12.3% Cash, Due 11/2026)(E) | 818 | 818 | 818 | |||||||||||||||||
WB Xcel Holdings, LLC – Term Debt (L + 10.5%, 12.3% Cash, Due 11/2026)(E) | 9,950 | 9,950 | 9,950 | |||||||||||||||||
10,768 | 10,768 | |||||||||||||||||||
Printing and Publishing – 0.3% | ||||||||||||||||||||
TNCP Intermediate HoldCo, LLC – Line of Credit, $1,000 available (8.0% Cash, Due 10/2024)(E)(F) | 1,000 | 1,000 | 1,000 | |||||||||||||||||
Total Secured First Lien Debt | $ | 15,018 | $ | 14,480 | ||||||||||||||||
Secured Second Lien Debt – 2.5% | ||||||||||||||||||||
Automobile– 2.5% | ||||||||||||||||||||
Defiance Integrated Technologies, Inc. – Term Debt (L + 9.5%, 11.3% Cash, Due 5/2026)(E) | $ | 7,745 | $ | 7,745 | $ | 7,745 | ||||||||||||||
Unsecured Debt – 0.0% | ||||||||||||||||||||
Diversified/Conglomerate Manufacturing – 0.0% | ||||||||||||||||||||
Circuitronics EMS Holdings LLC – Term Debt (Due 6/2023)(E)(P) | $ | 95 | $ | 95 | $ | — | ||||||||||||||
GLADSTONE CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS JUNE 30, 2022 (UNAUDITED) (DOLLAR AMOUNTS IN THOUSANDS) | ||||||||||||||||||||
Company and Investment(A)(B)(W)(K) | Principal/ Shares/ Units(J)(I) | Cost | Fair Value | |||||||||||||||||
Preferred Equity – 1.0% | ||||||||||||||||||||
Personal and Non-Durable Consumer Products (Manufacturing Only) – 1.0% | ||||||||||||||||||||
WB Xcel Holdings, LLC – Preferred Stock(E)(G) | 333 | 2,750 | 3,212 | |||||||||||||||||
Total Preferred Equity | $ | 2,750 | $ | 3,212 | ||||||||||||||||
Common Equity – 2.3% | ||||||||||||||||||||
Automobile– 0.6% | ||||||||||||||||||||
Defiance Integrated Technologies, Inc. – Common Stock(E)(G) | 33,231 | $ | 580 | $ | 1,846 | |||||||||||||||
Diversified/Conglomerate Manufacturing – 0.0% | ||||||||||||||||||||
Lonestar EMS, LLC – Common Units(E)(G) | 100 | % | 6,750 | — | ||||||||||||||||
Circuitronics EMS Holdings LLC – Common Units(E)(G) | 921,000 | 921 | — | |||||||||||||||||
7,671 | — | |||||||||||||||||||
Machinery – 1.0% | ||||||||||||||||||||
PIC 360, LLC – Common Equity Units(E)(G) | 750 | 1 | 3,340 | |||||||||||||||||
Printing and Publishing – 0.7% | ||||||||||||||||||||
TNCP Intermediate HoldCo, LLC – Common Equity Units(E)(G) | 790,000 | 500 | 2,065 | |||||||||||||||||
Total Common Equity | $ | 8,752 | $ | 7,251 | ||||||||||||||||
Total Control Investments | $ | 34,360 | $ | 32,688 | ||||||||||||||||
TOTAL INVESTMENTS – 187.4% | $ | 590,621 | $ | 586,462 |
GLADSTONE CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS SEPTEMBER 30, 2021 (DOLLAR AMOUNTS IN THOUSANDS) | ||||||||||||||||||||
Company and Investment(A)(B)(W)(K) | Principal/ Shares/ Units(J)(I) | Cost | Fair Value | |||||||||||||||||
NON-CONTROL/NON-AFFILIATE INVESTMENTS(M) – 142.8% | ||||||||||||||||||||
Secured First Lien Debt – 95.5% | ||||||||||||||||||||
Aerospace and Defense – 20.3% | ||||||||||||||||||||
Antenna Research Associates, Inc. – Term Debt (L + 10.0%, 12.0% Cash, 4.0% PIK, Due 11/2023)(E) | $ | 11,763 | $ | 11,763 | $ | 11,763 | ||||||||||||||
Ohio Armor Holdings, LLC – Term Debt (L + 8.0%, 9.0% Cash, Due 2/2026)(C) | 19,500 | 19,500 | 19,549 | |||||||||||||||||
SpaceCo Holdings, LLC – Line of Credit, $1,300 available (L + 6.8%, 7.8% Cash, Due 12/2025)(C) | 700 | 700 | 700 | |||||||||||||||||
SpaceCo Holdings, LLC – Term Debt (L + 6.8%, 7.8% Cash, Due 12/2025)(C) | 32,544 | 32,044 | 32,544 | |||||||||||||||||
64,007 | 64,556 | |||||||||||||||||||
Beverage, Food, and Tobacco – 13.5% | ||||||||||||||||||||
Café Zupas – Line of Credit, $4,000 available (L + 7.4%, 8.9% Cash, Due 12/2024)(C) | — | — | — | |||||||||||||||||
Café Zupas – Delayed Draw Term Debt, $3,030 available (L + 7.4%, 8.9% Cash, Due 12/2024)(C) | 1,970 | 1,970 | 1,987 | |||||||||||||||||
Café Zupas – Term Debt (L + 7.4%, 8.9% Cash, Due 12/2024)(C) | 24,000 | 24,000 | 24,210 | |||||||||||||||||
Eegee’s LLC – Line of Credit, $1,000 available (L + 7.3%, 8.3% Cash, Due 6/2026)(C) | — | — | — | |||||||||||||||||
Eegee’s LLC – Delayed Draw Term Debt, $7,500 available (L + 7.3%, 8.3% Cash, Due 6/2026)(C) | — | — | — | |||||||||||||||||
Eegee’s LLC – Term Debt (L + 7.3%, 8.3% Cash, Due 6/2026)(C) | 17,000 | 17,000 | 16,936 | |||||||||||||||||
42,970 | 43,133 | |||||||||||||||||||
Buildings and Real Estate – 0.5% | ||||||||||||||||||||
GFRC 360, LLC – Line of Credit, $500 available (L + 8.0%, 9.0% Cash, Due 9/2022)(C) | 700 | 700 | 699 | |||||||||||||||||
GFRC 360, LLC – Term Debt (L + 8.0%, 9.0% Cash, Due 9/2022)(C) | 1,000 | 1,000 | 999 | |||||||||||||||||
1,700 | 1,698 | |||||||||||||||||||
Diversified/Conglomerate Manufacturing – 3.8% | ||||||||||||||||||||
Unirac, Inc. – Line of Credit, $1,003 available (L + 7.0%, 8.0% Cash, Due 6/2026)(C)(U) | 251 | 251 | 250 | |||||||||||||||||
Unirac, Inc. – Delayed Draw Term Debt, $1,254 available (L + 7.0%, 8.0% Cash, Due 6/2026)(C)(U) | — | — | — | |||||||||||||||||
Unirac, Inc. – Term Debt (L + 7.0%, 8.0% Cash, Due 6/2026)(C)(U) | 11,921 | 11,652 | 11,891 | |||||||||||||||||
11,903 | 12,141 | |||||||||||||||||||
Diversified/Conglomerate Service – 21.3% | ||||||||||||||||||||
DKI Ventures, LLC – Line of Credit, $2,500 available (L + 8.3%, 9.3% Cash, 2.0% PIK, Due 12/2021)(C) | — | — | — | |||||||||||||||||
DKI Ventures, LLC – Term Debt (L + 8.3%, 9.3% Cash, 2.0% PIK, Due 12/2023)(C) | 5,739 | 5,724 | 5,008 | |||||||||||||||||
ENET Holdings, LLC – Term Debt (L + 8.8%, 10.2% Cash, Due 12/2022)(C) | 1,000 | 1,000 | 785 | |||||||||||||||||
ENET Holdings, LLC – Term Debt (L + 8.8%, 10.2% Cash, Due 4/2025)(C) | 29,000 | 29,000 | 22,765 | |||||||||||||||||
MCG Energy Solutions, LLC – Line of Credit, $3,000 available (L + 7.5%, 8.5% Cash, Due 3/2026)(C) | — | — | — | |||||||||||||||||
MCG Energy Solutions, LLC – Term Debt (L + 7.5%, 8.5% Cash, 1.5% PIK, Due 3/2026)(C) | 20,129 | 20,129 | 19,927 | |||||||||||||||||
MCG Energy Solutions, LLC – Delayed Draw Term Debt, $3,000 available (L + 7.5%, 8.5% Cash, 1.5% PIK, Due 3/2026)(C) | — | ` | — | — | ||||||||||||||||
R2i Holdings, LLC – Line of Credit, $1,171 available (8.0% Cash, Due 12/2021)(C)(F) | 829 | 829 | 803 | |||||||||||||||||
R2i Holdings, LLC – Term Debt (8.0% Cash, Due 12/2021)(C)(F) | 19,000 | 19,000 | 18,406 | |||||||||||||||||
75,682 | 67,694 | |||||||||||||||||||
Healthcare, Education, and Childcare – 24.9% | ||||||||||||||||||||
ALS Education, LLC – Line of Credit, $3,000 available (L + 7.0%, 8.5% Cash, Due 5/2025)(C) | — | — | — | |||||||||||||||||
ALS Education, LLC – Term Debt (L + 7.0%, 8.5% Cash, Due 5/2025)(C) | 20,680 | 20,680 | 20,809 | |||||||||||||||||
Effective School Solutions LLC – Line of Credit, $2,000 available (L + 7.3%, 8.3% Cash, Due 12/2025)(C) | — | — | — | |||||||||||||||||
Effective School Solutions LLC – Term Debt (L + 7.3%, 8.3% Cash, Due 12/2025)(C) | 19,000 | 19,000 | 19,095 | |||||||||||||||||
Effective School Solutions LLC – Delayed Draw Term Debt, $3,200 available (L + 7.3%, 8.3% Cash, Due 12/2025)(C) | — | — | — | |||||||||||||||||
EL Academies, Inc. – Delayed Draw Term Debt, $0 available (L + 8.0%, 9.0% Cash, Due 8/2022)(C) | 16,000 | 16,000 | 16,000 | |||||||||||||||||
EL Academies, Inc. – Term Debt (L + 8.0%, 9.0% Cash, Due 8/2022)(C) | 12,000 | 12,000 | 12,000 | |||||||||||||||||
Turn Key Health Clinics, LLC – Line of Credit, $1,500 available (L + 7.3%, 8.3% Cash, Due 6/2026)(C) | 500 | 500 | 499 | |||||||||||||||||
Turn Key Health Clinics, LLC – Term Debt (L + 7.3%, 8.3% Cash, Due 6/2026)(C) | 11,000 | 11,000 | 10,986 | |||||||||||||||||
79,180 | 79,389 |
GLADSTONE CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS SEPTEMBER 30, 2021 (DOLLAR AMOUNTS IN THOUSANDS) | ||||||||||||||||||||
Company and Investment(A)(B)(W)(K) | Principal/ Shares/ Units(J)(I) | Cost | Fair Value | |||||||||||||||||
Machinery – 1.8% | ||||||||||||||||||||
Arc Drilling Holdings LLC – Line of Credit, $875 available (L + 8.0%, 9.3% Cash, Due 11/2022)(C) | 125 | 125 | 122 | |||||||||||||||||
Arc Drilling Holdings LLC – Term Debt (L + 9.5%, 10.8% Cash, 3.0% PIK, Due 11/2022)(C) | 5,824 | 5,824 | 5,577 | |||||||||||||||||
5,949 | 5,699 | |||||||||||||||||||
Printing and Publishing – 0.0% | ||||||||||||||||||||
Chinese Yellow Pages Company – Line of Credit, $0 available (PRIME + 4.0%, 7.3% Cash, Due 2/2015)(E)(V)(Q) | $ | 107 | 107 | — | ||||||||||||||||
Telecommunications – 9.4% | ||||||||||||||||||||
B+T Group Acquisition, Inc.(S) – Line of Credit, $0 available (L + 11.0%, 13.0% Cash, Due 12/2021)(C) | 1,200 | 1,200 | 1,158 | |||||||||||||||||
B+T Group Acquisition, Inc.(S) – Term Debt (L + 11.0%, 13.0% Cash, Due 12/2021)(C) | 6,000 | 6,000 | 5,790 | |||||||||||||||||
NetFortris Corp. – Term Debt (L + 11.0%, 4.0% Cash, 7.5% PIK, Due 5/2021)(C)(Q) | 27,350 | 26,946 | 22,837 | |||||||||||||||||
34,146 | 29,785 | |||||||||||||||||||
Total Secured First Lien Debt | $ | 315,644 | $ | 304,095 | ||||||||||||||||
Secured Second Lien Debt – 30.6% | ||||||||||||||||||||
Automobile – 3.3% | ||||||||||||||||||||
Sea Link International IRB, Inc. – Term Debt (11.3% Cash, 2.0% PIK, Due 3/2023)(C)(F) | $ | 10,893 | $ | 10,893 | $ | 10,376 | ||||||||||||||
Beverage, Food, and Tobacco – 1.1% | ||||||||||||||||||||
8th Avenue Food & Provisions, Inc. – Term Debt (L + 7.8%, 7.8% Cash, Due 10/2026)(D) | 3,682 | 3,702 | 3,646 | |||||||||||||||||
Chemicals, Plastics, and Rubber – 3.2% | ||||||||||||||||||||
Phoenix Aromas & Essential Oils, LLC – Term Debt (L + 9.3%, 10.3% Cash, Due 5/2024)(C) | 10,012 | 9,986 | 10,062 | |||||||||||||||||
Diversified/Conglomerate Manufacturing – 1.5% | ||||||||||||||||||||
Tailwind Smith Cooper Intermediate Corporation – Term Debt (L + 9.0%, 9.1% Cash, Due 5/2027)(D) | 5,000 | 4,801 | 4,701 | |||||||||||||||||
Diversified/Conglomerate Service – 8.7% | ||||||||||||||||||||
CHA Holdings, Inc. – Term Debt (L + 8.8%, 9.8% Cash, Due 4/2026)(D)(U) | 3,000 | 2,960 | 2,700 | |||||||||||||||||
Gray Matter Systems, LLC – Term Debt (12.0% Cash, Due 12/2026)(C)(F) | 8,100 | 8,064 | 8,130 | |||||||||||||||||
Keystone Acquisition Corp. – Term Debt (L + 9.3%, 10.3% Cash, Due 5/2025)(D)(U) | 4,000 | 3,954 | 3,790 | |||||||||||||||||
Prophet Brand Strategy – Delayed Draw Term Debt, $5,000 available (L + 8.5%, 10.5% Cash, Due 2/2025)(Y)(Z) | — | — | — | |||||||||||||||||
Prophet Brand Strategy – Term Debt (L + 8.5%, 10.5% Cash, Due 2/2025)(Y)(Z) | 13,000 | 13,000 | 13,130 | |||||||||||||||||
27,978 | 27,750 | |||||||||||||||||||
Healthcare, Education, and Childcare – 1.8% | ||||||||||||||||||||
Medical Solutions Holdings, Inc. – Term Debt (L + 8.4%, 9.4% Cash, Due 6/2025)(C) | 3,000 | 2,974 | 2,940 | |||||||||||||||||
Medical Solutions Holdings, Inc. – Term Debt (L + 8.8%, 9.8% Cash, Due 6/2025)(C) | 3,000 | 2,957 | 2,940 | |||||||||||||||||
5,931 | 5,880 | |||||||||||||||||||
Home and Office Furnishings, Housewares and Durable Consumer Products – 3.2% | ||||||||||||||||||||
Belnick, Inc. – Term Debt (11.0% Cash, Due 8/2023)(C)(F) | 10,000 | 10,000 | 10,025 | |||||||||||||||||
Machinery – 0.2% | ||||||||||||||||||||
CPM Holdings, Inc. – Term Debt (L + 8.3%, 8.3% Cash, Due 11/2026)(D) | 798 | 798 | 790 | |||||||||||||||||
Oil and Gas – 7.6% | ||||||||||||||||||||
Imperative Holdings Corporation – Term Debt (L + 10.3%, 12.3% Cash, 1.8% PIK, Due 9/2022)(C) | 26,569 | 26,569 | 24,178 | |||||||||||||||||
Total Secured Second Lien Debt | $ | 100,658 | $ | 97,408 | ||||||||||||||||
Unsecured Debt – 0.0% | ||||||||||||||||||||
Diversified/Conglomerate Service – 0.0% | ||||||||||||||||||||
Frontier Financial Group Inc. – Convertible Debt (6.0%, Due 6/2022)(E)(F) | $ | 198 | $ | 198 | $ | 10 | ||||||||||||||
Preferred Equity – 5.7% | ||||||||||||||||||||
Automobile – 0.0% | ||||||||||||||||||||
Sea Link International IRB, Inc. – Preferred Stock(E)(G) | 98,039 | 98 | 127 | |||||||||||||||||
Beverage, Food, and Tobacco – 0.0% | ||||||||||||||||||||
Triple H Food Processors, LLC – Preferred Stock(E)(G) | 75 | 75 | 102 | |||||||||||||||||
Buildings and Real Estate – 0.3% | ||||||||||||||||||||
GFRC 360, LLC – Preferred Stock(E)(G) | 1,000 | 1,025 | 864 |
GLADSTONE CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS SEPTEMBER 30, 2021 (DOLLAR AMOUNTS IN THOUSANDS) | ||||||||||||||||||||
Company and Investment(A)(B)(W)(K) | Principal/ Shares/ Units(J)(I) | Cost | Fair Value | |||||||||||||||||
Diversified/Conglomerate Service – 2.8% | ||||||||||||||||||||
Frontier Financial Group Inc. – Preferred Stock(E)(G) | 766 | 500 | — | |||||||||||||||||
Frontier Financial Group Inc. – Preferred Stock Warrant(E)(G) | 168 | — | — | |||||||||||||||||
MCG Energy Solutions, LLC – Preferred Stock(E) | 7,000,000 | 7,000 | 8,861 | |||||||||||||||||
7,500 | 8,861 | |||||||||||||||||||
Oil and Gas – 0.5% | ||||||||||||||||||||
FES Resources Holdings LLC – Preferred Equity Units(E)(G) | 6,350 | 6,350 | — | |||||||||||||||||
Imperative Holdings Corporation – Preferred Equity Units(E)(G) | 13,740 | 632 | 1,551 | |||||||||||||||||
6,982 | 1,551 | |||||||||||||||||||
Telecommunications – 2.1% | ||||||||||||||||||||
B+T Group Acquisition, Inc.(S) – Preferred Stock(E)(G) | 6,130 | 2,024 | 5,691 | |||||||||||||||||
NetFortris Corp. – Preferred Stock(E)(G) | 7,890,860 | 789 | 914 | |||||||||||||||||
2,813 | 6,605 | |||||||||||||||||||
Total Preferred Equity | $ | 18,493 | $ | 18,110 | ||||||||||||||||
Common Equity – 11.0% | ||||||||||||||||||||
Aerospace and Defense – 4.8% | ||||||||||||||||||||
Antenna Research Associates, Inc. – Common Equity Units(E)(G) | 4,283 | $ | 4,283 | $ | 13,444 | |||||||||||||||
Ohio Armor Holdings, LLC – Common Equity(E)(G) | 1,000 | 1,000 | 1,749 | |||||||||||||||||
5,283 | 15,193 | |||||||||||||||||||
Automobile– 0.1% | ||||||||||||||||||||
Sea Link International IRB, Inc.– Common Equity Units(E)(G) | 823,333 | 823 | 300 | |||||||||||||||||
Beverage, Food, and Tobacco – 0.5% | ||||||||||||||||||||
Triple H Food Processors, LLC – Common Stock(E)(G) | 250,000 | 250 | 1,504 | |||||||||||||||||
Buildings and Real Estate – 0.0% | ||||||||||||||||||||
GFRC 360, LLC – Common Stock Warrants(E)(G) | 45.0 | % | — | — | ||||||||||||||||
Healthcare, Education, and Childcare – 2.3% | ||||||||||||||||||||
GSM MidCo LLC – Common Stock(E)(G) | 767 | 767 | 924 | |||||||||||||||||
Leeds Novamark Capital I, L.P. – Limited Partnership Interest ($843 uncalled capital commitment)(G)(L)(R) | 3.5 | % | 1,358 | 6,487 | ||||||||||||||||
2,125 | 7,411 | |||||||||||||||||||
Machinery – 0.0% | ||||||||||||||||||||
Arc Drilling Holdings LLC – Common Stock(E)(G) | 15,000 | 1,500 | — | |||||||||||||||||
Oil and Gas – 0.0% | ||||||||||||||||||||
FES Resources Holdings LLC – Common Equity Units(E)(G) | 6,233 | — | — | |||||||||||||||||
Total Safety Holdings, LLC – Common Equity(E)(G) | 435 | 499 | 132 | |||||||||||||||||
499 | 132 | |||||||||||||||||||
Personal and Non-Durable Consumer Products (Manufacturing Only) – 0.0% | ||||||||||||||||||||
Funko Acquisition Holdings, LLC(S) – Common Units(G)(T) | 6,290 | 30 | 78 | |||||||||||||||||
Telecommunications – 0.1% | ||||||||||||||||||||
B+T Group Acquisition, Inc.(S) – Common Stock Warrant(E)(G) | 1.5 | % | — | 330 | ||||||||||||||||
NetFortris Corp. – Common Stock Warrant(E)(G) | 1 | 1 | — | |||||||||||||||||
1 | 330 | |||||||||||||||||||
Textiles and Leather – 3.2% | ||||||||||||||||||||
Targus Cayman HoldCo, Ltd. – Common Stock(E)(G) | 3,076,414 | 2,062 | 10,030 | |||||||||||||||||
Total Common Equity | $ | 12,573 | $ | 34,978 | ||||||||||||||||
Total Non-Control/Non-Affiliate Investments | $ | 447,566 | $ | 454,601 | ||||||||||||||||
AFFILIATE INVESTMENTS(N) – 25.8% | ||||||||||||||||||||
Secured First Lien Debt – 9.1% | ||||||||||||||||||||
Diversified/Conglomerate Manufacturing – 1.7% | ||||||||||||||||||||
Edge Adhesives Holdings, Inc. (S) – Term Debt (L + 10.5%, 12.5% Cash, Due 2/2022)(C) | $ | 5,540 | $ | 5,540 | $ | 5,540 | ||||||||||||||
Diversified/Conglomerate Service – 7.4% | ||||||||||||||||||||
Encore Dredging Holdings, LLC – Line of Credit, $3,000 available (L + 8.0%, 9.0% Cash, Due 12/2025)(C) | — | — | — | |||||||||||||||||
Encore Dredging Holdings, LLC – Term Debt (L + 8.0%, 9.0% Cash, Due 12/2025)(C) | 23,500 | 23,500 | 23,618 |
GLADSTONE CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS SEPTEMBER 30, 2021 (DOLLAR AMOUNTS IN THOUSANDS) | ||||||||||||||||||||
Company and Investment(A)(B)(W)(K) | Principal/ Shares/ Units(J)(I) | Cost | Fair Value | |||||||||||||||||
Encore Dredging Holdings, LLC – Delayed Draw Term Debt, $5,000 available (L + 8.0%, 9.0% Cash, Due 12/2025)(C) | — | — | — | |||||||||||||||||
23,500 | 23,618 | |||||||||||||||||||
Total Secured First Lien Debt | $ | 29,040 | $ | 29,158 | ||||||||||||||||
Secured Second Lien Debt – 9.6% | ||||||||||||||||||||
Diversified Natural Resources, Precious Metals and Minerals – 9.6% | ||||||||||||||||||||
Lignetics, Inc. – Term Debt (L + 9.8%, 11.8% Cash, Due 6/2026)(Y)(Z) | $ | 6,000 | $ | 6,000 | $ | 6,540 | ||||||||||||||
Lignetics, Inc. – Term Debt (L + 9.8%, 11.8% Cash, Due 6/2026)(Y)(Z) | 8,000 | 8,000 | 8,633 | |||||||||||||||||
Lignetics, Inc. – Term Debt (L + 9.8%, 11.8% Cash, Due 6/2026)(Y)(Z) | 3,300 | 3,300 | 3,491 | |||||||||||||||||
Lignetics, Inc. – Term Debt (L + 9.8%, 11.8% Cash, Due 6/2026)(Y)(Z) | 3,000 | 3,000 | 3,199 | |||||||||||||||||
Lignetics, Inc. – Term Debt (L + 9.8%, 11.8% Cash, Due 6/2026)(Y)(Z) | 2,500 | 2,500 | 2,500 | |||||||||||||||||
Lignetics, Inc. – Term Debt (L + 9.8%, 11.8% Cash, Due 6/2026)(Y)(Z) | 6,200 | 6,200 | 6,200 | |||||||||||||||||
29,000 | 30,563 | |||||||||||||||||||
Total Secured Second Lien Debt | $ | 29,000 | $ | 30,563 | ||||||||||||||||
Preferred Equity – 3.4% | ||||||||||||||||||||
Diversified/Conglomerate Manufacturing – 0.0% | ||||||||||||||||||||
Edge Adhesives Holdings, Inc.(S) – Preferred Stock(E)(G) | 5,466 | $ | 5,466 | $ | — | |||||||||||||||
Diversified/Conglomerate Service– 1.4% | ||||||||||||||||||||
Encore Dredging Holdings, LLC – Preferred Stock(E)(G) | 3,200,000 | 3,200 | 4,525 | |||||||||||||||||
Diversified Natural Resources, Precious Metals and Minerals – 1.8% | ||||||||||||||||||||
Lignetics, Inc. – Preferred Stock(G)(Y)(Z) | 78,097 | 1,321 | 5,602 | |||||||||||||||||
Personal and Non-Durable Consumer Products (Manufacturing Only) – 0.2% | ||||||||||||||||||||
Canopy Safety Brands, LLC – Preferred Stock(E)(G) | 500,000 | 500 | 739 | |||||||||||||||||
Total Preferred Equity | $ | 10,487 | $ | 10,866 | ||||||||||||||||
Common Equity – 3.7% | ||||||||||||||||||||
Diversified Natural Resources, Precious Metals and Minerals – 3.5% | ||||||||||||||||||||
Lignetics, Inc. – Common Stock(G)(Y)(Z) | 152,603 | $ | 1,855 | $ | 10,969 | |||||||||||||||
Personal and Non-Durable Consumer Products (Manufacturing Only) – 0.2% | ||||||||||||||||||||
Canopy Safety Brands, LLC – Common Stock(E)(G) | 800,000 | 300 | 725 | |||||||||||||||||
Total Common Equity | $ | 2,155 | $ | 11,694 | ||||||||||||||||
Total Affiliate Investments | $ | 70,682 | $ | 82,281 | ||||||||||||||||
CONTROL INVESTMENTS(O) – 6.5% | ||||||||||||||||||||
Secured First Lien Debt – 1.3% | ||||||||||||||||||||
Diversified/Conglomerate Manufacturing – 0.9% | ||||||||||||||||||||
LWO Acquisitions Company LLC – Term Debt (L + 7.5%, 10.0% Cash, Due 6/2021)(E)(Q) | $ | 6,000 | $ | 6,000 | $ | 2,841 | ||||||||||||||
LWO Acquisitions Company LLC – Term Debt (Due 6/2021)(E)(P)(Q) | 10,632 | 10,632 | — | |||||||||||||||||
16,632 | 2,841 | |||||||||||||||||||
Printing and Publishing – 0.4% | ||||||||||||||||||||
TNCP Intermediate HoldCo, LLC – Line of Credit, $700 available (8.0% Cash, Due 10/2024)(E)(F) | 1,300 | 1,300 | 1,300 | |||||||||||||||||
Total Secured First Lien Debt | $ | 17,932 | $ | 4,141 | ||||||||||||||||
Secured Second Lien Debt – 2.5% | ||||||||||||||||||||
Automobile– 2.5% | ||||||||||||||||||||
Defiance Integrated Technologies, Inc. – Term Debt (L + 9.5%, 11.0% Cash, Due 5/2026)(E) | $ | 7,985 | $ | 7,985 | $ | 7,985 | ||||||||||||||
Unsecured Debt – 0.0% | ||||||||||||||||||||
Diversified/Conglomerate Manufacturing – 0.0% | ||||||||||||||||||||
LWO Acquisitions Company LLC – Term Debt (Due 6/2023)(E)(P) | $ | 95 | $ | 95 | $ | — | ||||||||||||||
Preferred Equity – 0.1% | ||||||||||||||||||||
Automobile– 0.1% | ||||||||||||||||||||
Defiance Integrated Technologies, Inc. – Preferred Stock(E)(G) | 6,043 | $ | 250 | $ | 270 | |||||||||||||||
Common Equity – 2.6% | ||||||||||||||||||||
Automobile– 0.8% | ||||||||||||||||||||
Defiance Integrated Technologies, Inc. – Common Stock(E)(G) | 33,231 | $ | 580 | $ | 2,623 | |||||||||||||||
Diversified/Conglomerate Manufacturing – 0.0% | ||||||||||||||||||||
LWO Acquisitions Company LLC – Common Units(E)(G) | 921,000 | 921 | — |
GLADSTONE CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS SEPTEMBER 30, 2021 (DOLLAR AMOUNTS IN THOUSANDS) | ||||||||||||||||||||
Company and Investment(A)(B)(W)(K) | Principal/ Shares/ Units(J)(I) | Cost | Fair Value | |||||||||||||||||
Machinery – 1.3% | ||||||||||||||||||||
PIC 360, LLC – Common Equity Units(E)(G) | 750 | 1 | 3,983 | |||||||||||||||||
Printing and Publishing – 0.5% | ||||||||||||||||||||
TNCP Intermediate HoldCo, LLC – Common Equity Units(E)(G) | 790,000 | 500 | 1,728 | |||||||||||||||||
Total Common Equity | $ | 2,002 | $ | 8,334 | ||||||||||||||||
Total Control Investments | $ | 28,264 | $ | 20,730 | ||||||||||||||||
TOTAL INVESTMENTS – 175.1% | $ | 546,512 | $ | 557,612 |