CION Investment Corp 8-K, filed Sep 2, 2020
CION Investment Corp (CION)
About this 8-K
CION Investment Corp filed this 8-K on September 2, 2020.
Items reported
- Item 2.02: Financial results
- Item 9.01: Financial statements and exhibits
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
_____________
FORM 8-K
_____________
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of report (Date of earliest event reported): September 2, 2020
CĪON Investment Corporation
(Exact Name of Registrant as Specified in Charter)
Maryland (State or Other Jurisdiction of Incorporation) |
000-54755 (Commission File Number) |
45-3058280 (IRS Employer Identification No.) |
3 Park Avenue, 36th Floor
New York, New York 10016
(Address of Principal Executive Offices)
(212) 418-4700
(Registrant's telephone number, including area code)
Not applicable
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| ¨ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
| ¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| ¨ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| ¨ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading symbol(s) | Name of each exchange on which registered | ||
| None | Not applicable | Not applicable |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ¨
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨
Item 2.02. Results of Operations and Financial Condition.
On September 2, 2020, CĪON Investment Corporation (“CIC”) issued its second quarter 2020 fund fact sheet and portfolio holdings fact sheet. A copy of the fund fact sheet and portfolio holdings fact sheet are attached hereto as Exhibit 99.1 and Exhibit 99.2, respectively, and are incorporated by reference herein.
Item 9.01. Financial Statements and Exhibits
| (d) | Exhibits. |
| EXHIBIT
NUMBER |
DESCRIPTION | |
| 99.1 | Second Quarter 2020 Fund Fact Sheet. | |
| 99.2 | Second Quarter 2020 Portfolio Holdings Fact Sheet. |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| CĪON Investment Corporation | |||
| Date: September 2, 2020 | By: | /s/ Michael A. Reisner | |
| Michael A. Reisner | |||
| Co-Chief Executive Officer | |||
EXHIBIT LIST
| EXHIBIT
NUMBER |
DESCRIPTION | |
| 99.1 | Second Quarter 2020 Fund Fact Sheet. | |
| 99.2 | Second Quarter 2020 Portfolio Holdings Fact Sheet. |
Exhibit 99.1
HISTORICAL TOTAL INVESTMENT RETURN-NET ASSET VALUE 2020 YTD SINCE INCEPTION (Cumulative) -9.47% 48.05% WITHOUT SALES CHARGE 33.24% WITH SALES CHARGE Total investment return-net asset value is a measure of the change in total value for shareholders who held CIC’s common stock at the beginning and end of the period, including distributions paid or payable during the period. Total investment return-net asset value is presented on a “net” basis and reflects management and incentive fees, offering, organizational and other costs, interest expense on borrowed funds and other related expenses that are borne by investors. Total investment return-net asset value is based on (i) the beginning period net asset value per share on the first day of the period, (ii) the net asset value per share on the last day of the period of (A) one share plus (B) any fractional shares issued in connection with the reinvestment of monthly distributions, and (iii) the value of distributions payable, if any, on the last day of the period. The total investment return-net asset value calculation assumes that monthly cash distributions are reinvested in accordance with CIC’s distribution reinvestment plan then in effect. The total investment return-net asset value does not consider the effect of the sales charge from the sale of CIC’s common stock. The total investment return-net asset value includes the effect of the issuance of shares at a net offering price that is greater than net asset value per share, which causes an increase in net asset value per share. Total returns covering less than a full year are not annualized. FUND OVERVIEW CION Investment Corporation (CIC) is a non-traded business development company, or BDC, that focuses on middle market loans. CIC seeks to generate current income, and to a lesser extent, capital appreciation. TARGET INVESTMENTS CIC offers investors the opportunity to invest primarily in: • Senior secured debt • Private and thinly-traded U.S. middle market companies FOR EXISTING INVESTORS ONLY • 1 CION Investment Corporation FUND FACT SHEET | Q2 2020 As of June 30, 2020 * Information is based on the relative fair value of the underlying portfolio holdings. Data excludes short term investments, which represent an investment in a fund that invests in highly liquid investments with average original maturity dates of three months or less. Percentages represent approximate figures. PORTFOLIO CHARACTERISTICS Floating Rate Investments 90.3% Fixed Rate Investments 5.5% Non - Income Producing Equity 2.2% Other Income Producing Investments 2.0% INVESTMENT COMPOSITION* FLOATING/FIXED RATE BREAKDOWN First Lien Senior Secured Debt 80.4% Second Lien Senior Secured Debt 12.5% Equity 6.0% Collateralized Securities & Structured Products – Equity 0.8% Unsecured Debt 0.3%
HISTORICAL NET ASSET VALUE KEY FACTS NET ASSET VALUE PER SHARE 1 $7.43 per share CURRENT DISTRIBUTION RATE 1, 2 N/A TOTAL EQUITY RAISED 3 ~$1.15B DISTRIBUTION REINVESTMENT PLAN 1, 2 Cash distributions are reinvested in additional common stock at the estimated net asset value per share on the date of purchase. CASH FLOW OBJECTIVE To provide monthly distributions 2 TAX REPORTING Form 1099 2 • FOR EXISTING INVESTORS ONLY 1 As of June 30, 2020. 2 On March 19, 2020, CIC’s co-chief executive officers determined to temporarily suspend the payment of distributions to shareholders commencing with the month ended April 30, 2020. On July 15, 2020, CIC’s co-chief executive officers determined to recommence the payment of distributions to shareholders in August 2020. Distributions in respect of future months will be reevaluated by management and the Board based on circumstances and expectations existing at the time of consideration. The determination of the tax attributes of CIC’s distributions is made annually as of the end of CIC’s fiscal year based upon its taxable income and distributions paid, in each case, for the full year. Therefore, a determination as to the tax attributes of the distributions made on a quarterly basis may not be representative of the actual tax attributes for a full year. CIC intends to update shareholders quarterly with an estimated percentage of its distributions that resulted from taxable ordinary income. The actual tax characteristics of distributions to shareholders will be reported to shareholders annually on a Form 1099-DIV. The payment of future distributions on CIC’s common stock is subject to the discretion of the Board and applicable legal restrictions, and therefore, there can be no assurance as to the amount or timing of any such future distributions. CIC may fund its cash distributions to shareholders from any sources of funds available to it, including borrowings, net investment income from operations, capital gains proceeds from the sale of assets, non-capital gains proceeds from the sale of assets, dividends or other distributions paid to it on account of preferred and common equity investments in portfolio companies and expense support from CION Investment Management, LLC (CIM), which is subject to recoupment. To date, distributions have not been paid from offering proceeds and distributions have not included a return of capital. CIC has not established limits on the amount of funds it may use from available sources to make distributions. Shareholders should understand that any such distributions are not based on CIC’s investment performance, and can only be sustained if CIC achieves positive investment performance in future periods. There can be no assurance that CIC will be able to pay distributions at all. 3 CIC’s follow-on continuous pubic offering ended on January 25, 2019. $9.00 $9.16$9.17$9.29$9.32$9.40$9.38$9.31$9.22$9.35$9.33$9.13$8.57$8.71$8.79$9.02$9.11$9.07$9.15$9.15$9.14$9.13$9.11$9.06$8.69$8.97789106/2012/196/1912/186/1812/176/1712/166/1612/156/1512/146/1412/136/1312/129/12$8.65$8.54$8.34$8.40$7.29$7.43 Net asset value is determined quarterly and at such other times that an event occurs that materially affects the valuation. Past performance is not indicative of future results.
Foundation Consumer Healthcare, LLC Industry: Healthcare & Pharmaceuticals 2.58% Cadence Aerospace, LLC Industry: Aerospace & Defense 1.95% Bi-Lo, LLC Industry: Retail 1.22% Access CIG, LLC Industry: Services: Business 1.05% EagleTree-Carbide Acquisition Corp. Industry: Consumer Goods: Durable 0.97% GEO Parent Corp. Industry: Business Services 0.92% Tenere Inc. Industry: Capital Equipment 0.88% American Residential Services LLC Industry: Construction & Building 0.32% Healthcare & Pharmaceuticals 18.5% Services: Business 11.3% Media: Diversified & Production 8.9% Chemicals, Plastics & Rubber 8.6% Media: Advertising, Printing & Publishing 7.5% Services: Consumer 5.4% High Tech Industries 4.5% Retail 4.2% Beverage, Food & Tobacco 4.0% Telecommunications 4.0% Other Industries 23.1% REPRESENTATIVE HOLDINGS % OF PORTFOLIO ALLOCATION BY INDUSTRY % OF PORTFOLIO The preceding information summarizes certain CIC holdings as of the date indicated herein. These representative holdings do not provide a complete portfolio overview but just a sampling of holdings. There can be no assurance that CIC’s future capital will be invested in a manner similar to the investments described herein. Data excludes short term investments, which represent an investment in a fund that invests in highly liquid investments with average original maturity dates of three months or less. Percentages represent approximate figures. Information is based on the relative fair value of the underlying portfolio holdings. GROWTH OF $10K SINCE INCEPTION (CUMULATIVE)* CION Investment Corporation (without sales charge) S&P/LSTA Leveraged Loan Index The calculations for the Growth of $10,000 Initial Investment are based upon (i) an initial investment of $10,000 in our common stock at the beginning of the period, at a share price of $10.00 per share (with sales charge), and $9.00 per share (without sales charge), (ii) the assumption of reinvestment of monthly distributions in accordance with our distribution reinvestment plan then in effect, (iii) the sale of the entire investment position at the net asset value per share on the last day of the period, and (iv) the distributions declared and payable to shareholders, if any, on the last day of the period. Past performance is no guarantee of future results. The data provided is for informational purposes only. Initial shareholders who subscribed to the offering in December 2012 with an initial investment of $10,000 and an initial purchase price equal to $9.00 per share (public offering price without sales charge) have seen an annualized return of 5.34% and a cumulative total return of 48.05% through June 30, 2020. Initial shareholders who subscribed to the offering in December 2012 with an initial investment of $10,000 and an initial purchase price equal to $10.00 per share (the initial public offering price with sales charge) have seen an annualized return of 3.88% and a cumulative total return of 33.24% through June 30, 2020. Over the same time period, the S&P/LSTA Leveraged Loan Index, a primary measure of senior debt covering the U.S. leveraged loan market, which currently consists of approximately 1,000 credit facilities throughout numerous industries, recorded an annualized return of 3.31% and a cumulative total return of 27.82%. In addition, the BofA Merrill Lynch US High Yield Index, a primary measure of short-term US dollar denominated below investment grade corporate debt publicly issued in the US domestic market, recorded an annualized return of 4.70% and a cumulative total return of 41.42% over the same period. An investment cannot be made in an index. The indices referenced in the above illustration are being used solely for benchmarking purposes. Additionally, indices do not account for sales charges or expenses, which would otherwise negatively impact the above stated performance of each index. FOR EXISTING INVESTORS ONLY • 3 $12,782 $14,142$13,324$14,805$10K Initial Investment 5000.0000009333.33333313666.66666718000.000000BofAS&PCIC loadCIC No load6/30/2012/31/196/30/1912/31/186/30/1812/31/176/30/1712/31/166/30/1612/31/156/30/1512/31/146/30/1412/31/136/30/13* 12/17/12CION Investment Corporation(without sales charge) CION Investment Corporation(with sales charge)BofA Merrill LynchU.S. High Yield IndexS&P/LSTA Leveraged Loan Indexed BofA ML US High Yield Index CION Investment Corporation (with sales charge)
This fund fact sheet summarizes some of the features and transactions of CIC as of the date indicated above (unless otherwise indicated herein). There is no assurance that additional similar transactions will be available to CIC or that CIC’s investment portfolio composition going forward will be as described herein. ABOUT CION INVESTMENTS CION Investments is a leading manager of investment solutions designed to redefine the way individual investors can build their portfolios and help meet their long-term investment goals. With more than 30 years of experience in the alternative asset management industry, CION strives to level the playing field. CION currently manages CION Investment Corporation, a leading non-traded BDC, and sponsors, through CION Ares Management, CION Ares Diversified Credit Fund, a globally diversified interval fund. 4 • FOR EXISTING INVESTORS ONLY CIC-FS-0820 CION Investments 3 Park Avenue, 36th Floor New York, NY 10016 cioninvestments.com
Exhibit 99.2
PORTFOLIO HOLDINGS Q2 2020 As of June 30, 2020 FOR EXISTING INVESTORS ONLY.
CIC Portfolio Holdings • 1 PORTFOLIO HOLDINGS Please note that rates are not indicative of CIC’s performance. COMPANY NAME INDUSTRY WEIGHTING(1) RATE(2,3) LIBOR / EURIBOR FLOOR(4) MATURITY DATE 1ST LIEN SENIOR SECURED DEBT: 80.4% Academy, Ltd. Retail 0.87% LIBOR+4.00% 1.00% LIBOR Floor 7/1/2022 Adams Publishing Group, LLC Media: Advertising, Printing & Publishing 0.82% LIBOR+7.50% 1.75% LIBOR Floor 7/2/2023 Adapt Laser Acquisition, Inc. Capital Equipment 0.66% LIBOR+8.00% 1.00% LIBOR Floor 12/31/2023 Adapt Laser Acquisition, Inc. Capital Equipment -0.02% 0.50% Unfunded None 12/31/2023 Aegis Toxicology Sciences Corp. Healthcare & Pharmaceuticals 0.52% LIBOR+5.50% 1.00% LIBOR Floor 5/9/2025 AIS Holdco, LLC Banking, Finance, Insurance & Real Estate 0.30% LIBOR+5.00% 0.00% LIBOR Floor 8/15/2025 Alchemy US Holdco 1, LLC Construction & Building 0.80% LIBOR+5.50% 0.00% LIBOR Floor 10/10/2025 Allen Media, LLC Media: Diversified & Production 1.55% LIBOR+5.50% 0.00% LIBOR Floor 2/10/2027 ALM Media, LLC Media: Advertising, Printing & Publishing 1.22% LIBOR+6.50% 1.00% LIBOR Floor 11/25/2024 AMCP Staffing Intermediate Holdings III, LLC Services: Business 0.61% LIBOR+6.75% 1.50% LIBOR Floor 9/24/2025 AMCP Staffing Intermediate Holdings III, LLC Services: Business 0.03% LIBOR+6.75% 1.50% LIBOR Floor 9/24/2025 AMCP Staffing Intermediate Holdings III, LLC Services: Business 0.00% 0.50% Unfunded None 9/24/2025 American Clinical Solutions LLC Healthcare & Pharmaceuticals 0.21% 7.00% None 12/31/2022 American Clinical Solutions LLC Healthcare & Pharmaceuticals 0.02% 7.00% None 10/13/2020 American Media, LLC Media: Advertising, Printing & Publishing 0.82% LIBOR+7.75% 1.50% LIBOR Floor 12/31/2023 American Media, LLC Media: Advertising, Printing & Publishing 0.11% LIBOR+7.75% 1.50% LIBOR Floor 12/31/2023 American Teleconferencing Services, Ltd. Telecommunications 0.99% LIBOR+6.50% 1.00% LIBOR Floor 12/8/2021 Analogic Corp. Healthcare & Pharmaceuticals 0.32% LIBOR+5.25% 1.00% LIBOR Floor 6/21/2024 FUND OVERVIEW CION Investment Corporation (“CIC”) is a non-traded business development company, or BDC, that focuses on middle market loans. CIC seeks to generate current income, and to a lesser extent, capital appreciation. CIC’s portfolio is managed by its adviser – CION Investment Management, LLC, a CION Investments company. TARGET INVESTMENTS CIC offers investors the opportunity to invest primarily in: • Senior secured debt • Private and thinly-traded U.S. middle market companies FLOATING/FIXED RATE BREAKDOWN Floating Rate Investments 90.3% Fixed Rate Investments 5.5% Non - Income Producing Equity 2.2% Other Income Producing Investments 2.0% CION Investment Corporation FOR EXISTING INVESTORS ONLY. INVESTMENT COMPOSITION(1) First Lien Senior Secured Debt 80.4% Second Lien Senior Secured Debt 12.5% Equity 6.0% Collateralized Securities & Structured Products – Equity 0.8% Unsecured Debt 0.3%
FOR EXISTING INVESTORS ONLY. 2 • CIC Portfolio Holdings COMPANY NAME INDUSTRY WEIGHTING(1) RATE(2,3) LIBOR / EURIBOR FLOOR(4) MATURITY DATE 1ST LIEN SENIOR SECURED DEBT: 80.4% (CONTINUED) Anthem Sports & Entertainment Inc. Media: Diversified & Production 0.74% LIBOR+9.50% 1.00% LIBOR Floor 9/9/2024 Anthem Sports & Entertainment Inc. Media: Diversified & Production 0.05% LIBOR+9.50% 1.00% LIBOR Floor 9/9/2024 Anthem Sports & Entertainment Inc. Media: Diversified & Production 0.00% 0.50% Unfunded None 9/9/2024 APC Automotive Technologies, LLC Automotive 0.10% 10.00% None 9/1/2020 APC Automotive Technologies, LLC Automotive 0.00% 0.00% Unfunded None 9/1/2020 APC Automotive Technologies, LLC Automotive 0.26% LIBOR+5.00% 1.00% LIBOR Floor 5/10/2025 APC Automotive Technologies, LLC Automotive 0.00% LIBOR+5.00% 1.00% LIBOR Floor 5/10/2024 APCO Holdings, LLC Banking, Finance, Insurance & Real Estate 0.67% LIBOR+5.50% 0.00% LIBOR Floor 6/9/2025 Ascent Resources - Marcellus, LLC Energy: Oil & Gas 0.02% LIBOR+6.50% 1.00% LIBOR Floor 3/30/2023 Associated Asphalt Partners, LLC Construction & Building 0.87% LIBOR+5.25% 1.00% LIBOR Floor 4/5/2024 Avison Young (USA) Inc. Banking, Finance, Insurance & Real Estate 0.59% LIBOR+5.00% 0.00% LIBOR Floor 1/31/2026 Bi-Lo, LLC Retail 1.22% LIBOR+8.00% 1.00% LIBOR Floor 5/31/2024 BK Medical Holding Company, Inc. Healthcare & Pharmaceuticals 0.32% LIBOR+5.25% 1.00% LIBOR Floor 6/22/2024 Cadence Aerospace, LLC Aerospace & Defense 1.95% LIBOR+6.50% 1.00% LIBOR Floor 11/14/2023 Cardinal US Holdings, Inc. Services: Business 0.47% LIBOR+5.00% 1.00% LIBOR Floor 7/31/2023 CB URS Holdings Corp. Transportation: Cargo 0.83% LIBOR+5.75% 1.00% LIBOR Floor 9/1/2024 Central Security Group, Inc. Services: Consumer 0.86% LIBOR+5.63% 1.00% LIBOR Floor 10/6/2021 Charming Charlie LLC Retail 0.02% 20.00% None 5/15/2020 Charming Charlie LLC Retail 0.00% LIBOR+12.00% 1.00% LIBOR Floor 4/24/2023 Charming Charlie LLC Retail 0.00% LIBOR+12.00% 1.00% LIBOR Floor 4/24/2023 CHC Solutions Inc. Healthcare & Pharmaceuticals 0.47% 12.00% None 7/20/2023 CircusTrix Holdings, LLC Hotel, Gaming & Leisure 1.38% LIBOR+5.50% 1.00% LIBOR Floor 12/16/2021 CircusTrix Holdings, LLC Hotel, Gaming & Leisure 0.14% LIBOR+5.50% 1.00% LIBOR Floor 12/16/2021 CircusTrix Holdings, LLC Hotel, Gaming & Leisure -0.02% 1.00% Unfunded None 12/16/2021 Country Fresh Holdings, LLC Beverage, Food & Tobacco 0.05% LIBOR+5.00% 1.00% LIBOR Floor 4/29/2023 Country Fresh Holdings, LLC Beverage, Food & Tobacco 0.02% LIBOR+5.00% 1.00% LIBOR Floor 4/29/2023 Country Fresh Holdings, LLC Beverage, Food & Tobacco 0.02% 12.00% None 6/1/2022 Country Fresh Holdings, LLC Beverage, Food & Tobacco 0.00% 0.00% Unfunded None 6/1/2022 Coyote Buyer, LLC Chemicals, Plastics & Rubber 1.91% LIBOR+6.00% 1.00% LIBOR Floor 2/6/2026 Coyote Buyer, LLC Chemicals, Plastics & Rubber 0.10% LIBOR+6.00% 1.00% LIBOR Floor 2/6/2025 Coyote Buyer, LLC Chemicals, Plastics & Rubber 0.00% 0.50% Unfunded None 2/6/2025 David's Bridal, LLC Retail 0.34% LIBOR+10.00% 1.00% LIBOR Floor 6/23/2023 David's Bridal, LLC Retail 0.05% LIBOR+6.00% 1.00% LIBOR Floor 6/30/2023 Deluxe Entertainment Services, Inc. Media: Diversified & Production 1.85% LIBOR+6.50% 1.00% LIBOR Floor 3/25/2024 DMT Solutions Global Corp. Services: Business 1.10% LIBOR+7.00% 0.00% LIBOR Floor 7/2/2024 Eagle Family Foods Group LLC Beverage, Food & Tobacco 0.93% LIBOR+6.50% 1.00% LIBOR Floor 6/14/2024 Entertainment Studios P&A LLC Media: Diversified & Production 0.89% 6.35% None 5/18/2037 Entertainment Studios P&A LLC Media: Diversified & Production 0.10% 5.00% None 5/18/2037 EnTrans International, LLC Capital Equipment 1.58% LIBOR+6.00% 0.00% LIBOR Floor 11/1/2024 ES Chappaquiddick LLC Media: Diversified & Production 0.06% 10.00% None 5/18/2022 Evergreen Skills Lux S.À.R.L. High Tech Industries 0.49% LIBOR+4.75% 1.00% LIBOR Floor 4/28/2021 Extreme Reach, Inc. Media: Diversified & Production 1.04% LIBOR+7.50% 1.50% LIBOR Floor 3/29/2024 Extreme Reach, Inc. Media: Diversified & Production 0.06% LIBOR+7.50% 1.50% LIBOR Floor 3/29/2024 Extreme Reach, Inc. Media: Diversified & Production 0.00% 0.50% Unfunded None 3/29/2024 F+W Media, Inc. Media: Diversified & Production 0.00% LIBOR+6.50% 1.50% LIBOR Floor 5/24/2022 Foundation Consumer Healthcare, LLC Healthcare & Pharmaceuticals 2.58% LIBOR+6.00% 1.00% LIBOR Floor 11/2/2023
CIC Portfolio Holdings • 3 COMPANY NAME INDUSTRY WEIGHTING(1) RATE(2,3) LIBOR / EURIBOR FLOOR(4) MATURITY DATE 1ST LIEN SENIOR SECURED DEBT: 80.4% (CONTINUED) Foundation Consumer Healthcare, LLC Healthcare & Pharmaceuticals 0.00% 0.50% Unfunded None 11/2/2023 Genesis Healthcare, Inc. Healthcare & Pharmaceuticals 1.85% LIBOR+6.00% 0.50% LIBOR Floor 3/6/2023 Geo Parent Corp. Services: Business 0.92% LIBOR+5.25% 0.00% LIBOR Floor 12/19/2025 Geon Performance Solutions, LLC Chemicals, Plastics & Rubber 1.07% LIBOR+6.25% 1.63% LIBOR Floor 10/25/2024 Geon Performance Solutions, LLC Chemicals, Plastics & Rubber 0.03% LIBOR+6.25% 1.63% LIBOR Floor 10/25/2024 Geon Performance Solutions, LLC Chemicals, Plastics & Rubber -0.01% 0.50% Unfunded None 10/25/2024 Harland Clarke Holdings Corp. Services: Business 0.60% LIBOR+4.75% 1.00% LIBOR Floor 11/3/2023 Healogics, Inc. Healthcare & Pharmaceuticals 0.28% LIBOR+4.25% 1.00% LIBOR Floor 7/1/2021 Hilliard, Martinez & Gonzales, LLP Services: Consumer 1.00% LIBOR+18.00% 2.00% LIBOR Floor 12/17/2022 Homer City Generation, L.P. Energy: Oil & Gas 0.49% LIBOR+11.00% 1.00% LIBOR Floor 4/5/2023 HUMC Holdco, LLC Healthcare & Pharmaceuticals 0.62% 9.00% None 6/26/2020 Hummel Station LLC Energy: Oil & Gas 0.56% LIBOR+6.00% 1.00% LIBOR Floor 10/27/2022 Hyperion Materials & Technologies, Inc. Chemicals, Plastics & Rubber 0.57% LIBOR+5.50% 1.00% LIBOR Floor 8/28/2026 Independent Pet Partners Intermediate Holdings, LLC Retail 0.73% LIBOR+9.00% 1.00% LIBOR Floor 11/19/2023 Independent Pet Partners Intermediate Holdings, LLC Retail -0.05% 1.00% Unfunded None 11/19/2023 Infinity Sales Group, LLC Services: Business 0.44% LIBOR+10.50% 1.00% LIBOR Floor 11/23/2022 InfoGroup Inc. Media: Advertising, Printing & Publishing 0.85% LIBOR+5.00% 1.00% LIBOR Floor 4/3/2023 Instant Web, LLC Media: Advertising, Printing & Publishing 2.28% LIBOR+6.50% 1.00% LIBOR Floor 12/15/2022 Instant Web, LLC Media: Advertising, Printing & Publishing 0.17% LIBOR+6.50% 1.00% LIBOR Floor 12/15/2022 Isagenix International, LLC Beverage, Food & Tobacco 0.47% LIBOR+5.75% 1.00% LIBOR Floor 6/14/2025 Island Medical Management Holdings, LLC Healthcare & Pharmaceuticals 0.70% LIBOR+6.50% 1.00% LIBOR Floor 9/1/2022 Jab Wireless, Inc. Telecommunications 0.88% LIBOR+8.00% 0.00% LIBOR Floor 5/2/2023 Jenny C Acquisition, Inc. Services: Consumer 0.59% LIBOR+10.50% 1.75% LIBOR Floor 10/1/2024 JP Intermediate B, LLC Beverage, Food & Tobacco 0.73% LIBOR+5.50% 1.00% LIBOR Floor 11/20/2025 KLO Intermediate Holdings, LLC Chemicals, Plastics & Rubber 0.10% LIBOR+7.75% 1.50% LIBOR Floor 4/7/2022 KNB Holdings Corp. Consumer Goods: Durable 0.24% LIBOR+5.50% 1.00% LIBOR Floor 4/26/2024 Labvantage Solutions Inc. High Tech Industries 0.18% LIBOR+7.50% 1.00% LIBOR Floor 12/29/2020 Labvantage Solutions Ltd. High Tech Industries 0.26% EURIBOR+7.50% 1.00% EURIBOR Floor 12/29/2020 LAV Gear Holdings, Inc. Services: Business 1.23% LIBOR+5.50% 1.00% LIBOR Floor 10/31/2024 LAV Gear Holdings, Inc. Services: Business 0.27% LIBOR+5.50% 1.00% LIBOR Floor 10/31/2024 LAV Gear Holdings, Inc. Services: Business 0.00% 1.00% Unfunded None 4/7/2021 LD Intermediate Holdings, Inc. High Tech Industries 0.70% LIBOR+5.88% 1.00% LIBOR Floor 12/9/2022 LGC US Finco, LLC Capital Equipment 0.63% LIBOR+6.50% 1.00% LIBOR Floor 12/20/2025 Lift Brands, Inc. Services: Consumer 1.54% LIBOR+7.50% 1.00% LIBOR Floor 6/29/2025 Lift Brands, Inc. Services: Consumer 0.29% 9.50% None 6/29/2025 Lift Brands, Inc. Services: Consumer 0.30% * None 6/29/2025 Longview Power, LLC Energy: Oil & Gas 0.51% LIBOR+6.00% 1.00% LIBOR Floor 4/13/2021 Manna Pro Products, LLC Retail 0.22% LIBOR+6.00% 1.00% LIBOR Floor 12/8/2023 Manna Pro Products, LLC Retail 0.07% LIBOR+6.00% 1.00% LIBOR Floor 12/8/2023 Manna Pro Products, LLC Retail 0.00% 1.00% Unfunded None 5/31/2021 Mimeo.com, Inc. Services: Business 1.36% LIBOR+7.00% 1.00% LIBOR Floor 12/21/2023 Mimeo.com, Inc. Services: Business 0.18% LIBOR+7.00% 1.00% LIBOR Floor 12/21/2023 Mimeo.com, Inc. Services: Business -0.04% 0.25% Unfunded None 12/21/2020 Moss Holding Company Services: Business 1.19% LIBOR+6.25% 1.00% LIBOR Floor 4/17/2023 Moss Holding Company Services: Business 0.04% LIBOR+6.25% 1.00% LIBOR Floor 4/17/2023 FOR EXISTING INVESTORS ONLY.
FOR EXISTING INVESTORS ONLY. COMPANY NAME INDUSTRY WEIGHTING(1) RATE(2,3) LIBOR / EURIBOR FLOOR(4) MATURITY DATE 1ST LIEN SENIOR SECURED DEBT: 80.4% (CONTINUED) Moss Holding Company Services: Business 0.00% 6.25% Unfunded None 4/17/2023 Moss Holding Company Services: Business -0.01% 0.50% Unfunded None 4/17/2023 Murray Energy Corp. Metals & Mining 0.02% LIBOR+11.00% 2.00% LIBOR Floor 7/29/2020 Murray Energy Corp. Metals & Mining 0.00% LIBOR+7.25% 1.00% LIBOR Floor 10/17/2022 NewsCycle Solutions, Inc. Media: Advertising, Printing & Publishing 0.92% LIBOR+7.00% 1.00% LIBOR Floor 12/29/2022 One Call Corp. Healthcare & Pharmaceuticals 0.23% LIBOR+5.25% 1.00% LIBOR Floor 11/25/2022 Optio Rx, LLC Healthcare & Pharmaceuticals 1.28% LIBOR+7.00% 0.00% LIBOR Floor 6/28/2024 Palmetto Solar, LLC High Tech Industries 0.59% 12.00% None 12/12/2024 Palmetto Solar, LLC High Tech Industries -0.02% 0.75% Unfunded None 12/12/2021 PFS Holding Corp. Retail 0.13% LIBOR+3.50% 1.00% LIBOR Floor 1/31/2021 PH Beauty Holdings III. Inc. Consumer Goods: Non-Durable 0.29% LIBOR+5.00% 0.00% LIBOR Floor 9/28/2025 Pixelle Specialty Solutions LLC Forest Products & Paper 1.27% LIBOR+6.50% 1.00% LIBOR Floor 10/31/2024 Plano Molding Company, LLC Consumer Goods: Non-Durable 0.36% LIBOR+7.50% 1.00% LIBOR Floor 5/12/2021 Polymer Additives, Inc. Chemicals, Plastics & Rubber 1.09% LIBOR+6.00% 0.00% LIBOR Floor 7/31/2025 Polymer Process Holdings, Inc. Chemicals, Plastics & Rubber 1.19% LIBOR+6.00% 0.00% LIBOR Floor 5/1/2026 Rhino Energy LLC Metals & Mining 0.53% LIBOR+10.00% 1.00% LIBOR Floor 12/27/2022 SCIH Salt Intermediate Holdings Inc. Chemicals, Plastics & Rubber 0.64% LIBOR+4.50% 1.00% LIBOR Floor 3/16/2027 Securus Technologies Holdings, Inc. Telecommunications 0.26% LIBOR+4.50% 1.00% LIBOR Floor 11/1/2024 SEK Holding Co LLC Banking, Finance, Insurance & Real Estate 0.94% LIBOR+11.50% 1.00% LIBOR Floor 3/14/2022 Sequoia Healthcare Management, LLC Healthcare & Pharmaceuticals 0.47% 12.75% None 8/21/2023 SIMR, LLC Healthcare & Pharmaceuticals 0.94% LIBOR+17.00% 2.00% LIBOR Floor 9/7/2023 Smart & Final Inc. Retail 0.50% LIBOR+6.75% 0.00% LIBOR Floor 6/20/2025 Sorenson Communications, LLC Telecommunications 0.83% LIBOR+6.50% 0.00% LIBOR Floor 4/30/2024 Spinal USA, Inc. / Precision Medical Inc. Healthcare & Pharmaceuticals 0.76% LIBOR+9.50% 1.00% LIBOR Floor 6/30/2021 Spinal USA, Inc. / Precision Medical Inc. Healthcare & Pharmaceuticals 0.07% LIBOR+9.50% 1.00% LIBOR Floor 6/30/2021 Spinal USA, Inc. / Precision Medical Inc. Healthcare & Pharmaceuticals 0.03% LIBOR+9.50% 1.00% LIBOR Floor 6/30/2021 Stats Intermediate Holdings, LLC High Tech Industries 0.59% LIBOR+5.25% 0.00% LIBOR Floor 7/12/2026 Teladoc, Inc. High Tech Industries 0.00% 0.50% Unfunded None 7/14/2020 Telestream Holdings Corp. High Tech Industries 0.55% LIBOR+6.45% 1.00% LIBOR Floor 3/24/2022 Tenere Inc. Capital Equipment 0.78% LIBOR+10.00% 1.00% LIBOR Floor 5/5/2025 Tensar Corp. Chemicals, Plastics & Rubber 0.84% LIBOR+4.75% 1.00% LIBOR Floor 7/9/2021 The Pasha Group Transportation: Cargo 0.32% LIBOR+7.50% 1.00% LIBOR Floor 1/26/2023 The Pay-O-Matic Corp. Services: Consumer 0.54% LIBOR+9.00% 0.00% LIBOR Floor 4/5/2021 Therapure Biopharma Inc. Healthcare & Pharmaceuticals 0.79% LIBOR+8.75% 0.50% LIBOR Floor 12/1/2021 Volta Charging, LLC Media: Diversified & Production 0.65% 12.00% None 6/19/2024 Volta Charging, LLC Media: Diversified & Production 0.65% 12.00% None 6/19/2024 Volta Charging, LLC Media: Diversified & Production 0.00% 0.00% Unfunded None 6/19/2021 West Dermatology Management Holdings, LLC Healthcare & Pharmaceuticals 0.58% LIBOR+6.00% 1.00% LIBOR Floor 2/11/2025 West Dermatology Management Holdings, LLC Healthcare & Pharmaceuticals 0.10% LIBOR+6.00% 1.00% LIBOR Floor 2/11/2025 West Dermatology Management Holdings, LLC Healthcare & Pharmaceuticals -0.03% 0.75% Unfunded None 2/11/2022 Winebow Holdings, Inc. Beverage, Food & Tobacco 0.35% LIBOR+3.75% 1.00% LIBOR Floor 7/1/2021 Wok Holdings Inc. Beverage, Food & Tobacco 0.75% LIBOR+6.50% 0.00% LIBOR Floor 3/1/2026 Woodstream Corp. Consumer Goods: Non-Durable 0.60% LIBOR+6.25% 1.00% LIBOR Floor 5/29/2022 Woodstream Corp. Consumer Goods: Non-Durable 0.04% LIBOR+6.25% 1.00% LIBOR Floor 5/29/2022 4 • CIC Portfolio Holdings *The ultimate interest earned on this loan will be determined based on the portfolio company’s EBITDA at a specified trigger event.
CIC Portfolio Holdings • 5 COMPANY NAME INDUSTRY WEIGHTING(1) RATE(2,3) TYPE EQUITY: 6.0% American Clinical Solutions LLC Healthcare & Pharmaceuticals 0.08% None Class A Membership Interests Anthem Sports and Entertainment Inc. Media: Diversified & Production 0.01% None Class A Preferred Stock Warrants Anthem Sports and Entertainment Inc. Media: Diversified & Production 0.00% None Class B Preferred Stock Warrants Anthem Sports and Entertainment Inc. Media: Diversified & Production 0.00% None Common Stock Warrants Ascent Resources - Marcellus, LLC Energy: Oil & Gas 0.03% None Common Shares Ascent Resources - Marcellus, LLC Energy: Oil & Gas 0.00% None Warrants BCP Great Lakes Fund LP Diversified Financials 0.75% None Partnership Interests Carestream Health Holdings, Inc. Healthcare & Pharmaceuticals 0.04% None Warrants CHC Medical Partners, Inc. Healthcare & Pharmaceuticals 0.26% 12.00% Series C Preferred Stock CION SOF Funding, LLC Diversified Financials 1.81% None Membership Interests Conisus Holdings, Inc Healthcare & Pharmaceuticals 0.93% 12.00% Series B Preferred Stock Conisus Holdings, Inc Healthcare & Pharmaceuticals 0.26% None Common Stock Country Fresh Holdings, LLC Beverage, Food & Tobacco 0.01% None Common Stock Dayton HoldCo, LLC Construction & Building 0.42% None Common Stock DBI Investors, Inc. Retail 0.07% None Series A1 Preferred Stock DBI Investors, Inc. Retail 0.00% None Series A Preferred Stock FOR EXISTING INVESTORS ONLY. COMPANY NAME INDUSTRY WEIGHTING(2) RATE(3,4) LIBOR / EURIBOR FLOOR(5) MATURITY DATE 2ND LIEN SENIOR SECURED DEBT: 12.5% 1A Smart Start LLC High Tech Industries 0.86% LIBOR+8.25% 1.00% LIBOR Floor 8/21/2022 Access CIG, LLC Services: Business 1.05% LIBOR+7.75% 0.00% LIBOR Floor 2/27/2026 Albany Molecular Research, Inc. Healthcare & Pharmaceuticals 0.62% LIBOR+7.00% 1.00% LIBOR Floor 8/30/2025 American Residential Services LLC Construction & Building 0.32% LIBOR+8.00% 1.00% LIBOR Floor 12/31/2022 Carestream Health, Inc. Healthcare & Pharmaceuticals 0.66% LIBOR+9.50% 1.00% LIBOR Floor 6/7/2021 Country Fresh Holdings, LLC Beverage, Food & Tobacco 0.11% LIBOR+8.50% 1.00% LIBOR Floor 4/29/2024 Dayton Superior Corp. Construction & Building 0.09% LIBOR+7.00% 2.00% LIBOR Floor 12/4/2024 Deluxe Entertainment Services Inc. Media: Diversified & Production 0.57% LIBOR+8.50% 1.00% LIBOR Floor 9/25/2024 Eagletree-Carbide Acquisition Corp. Consumer Goods: Durable 0.97% LIBOR+8.50% 1.00% LIBOR Floor 8/28/2025 Evergreen Skills Lux S.À.R.L. High Tech Industries 0.03% LIBOR+8.25% 1.00% LIBOR Floor 4/28/2022 Global Tel*Link Corp. Telecommunications 0.73% LIBOR+8.25% 0.00% LIBOR Floor 11/29/2026 LSCS Holdings, Inc. Services: Business 0.68% LIBOR+8.25% 0.00% LIBOR Floor 3/16/2026 Medical Solutions Holdings, Inc. Healthcare & Pharmaceuticals 0.60% LIBOR+8.38% 1.00% LIBOR Floor 6/16/2025 Medplast Holdings, Inc. Healthcare & Pharmaceuticals 0.37% LIBOR+7.75% 0.00% LIBOR Floor 7/2/2026 Ministry Brands, LLC Services: Business 0.45% LIBOR+9.25% 1.00% LIBOR Floor 6/2/2023 Niacet Corp. Chemicals, Plastics & Rubber 0.54% EURIBOR+8.75% 1.00% EURIBOR Floor 8/1/2024 Patterson Medical Supply, Inc. Healthcare & Pharmaceuticals 0.82% LIBOR+10.50% 1.00% LIBOR Floor 8/28/2023 PetroChoice Holdings, Inc. Chemicals, Plastics & Rubber 0.57% LIBOR+8.75% 1.00% LIBOR Floor 8/21/2023 PFS Holding Corp. Retail 0.00% LIBOR+7.25% 1.00% LIBOR Floor 1/31/2022 Premiere Global Services, Inc. Telecommunications 0.11% LIBOR+9.50% 1.00% LIBOR Floor 6/6/2024 Securus Technologies Holdings, Inc. Telecommunications 0.17% LIBOR+8.25% 1.00% LIBOR Floor 11/1/2025 TMK Hawk Parent, Corp. Services: Business 0.68% LIBOR+8.00% 1.00% LIBOR Floor 8/28/2025 Winebow Holdings, Inc. Beverage, Food & Tobacco 0.53% LIBOR+7.50% 1.00% LIBOR Floor 1/2/2022 Zest Acquisition Corp. Healthcare & Pharmaceuticals 0.79% LIBOR+7.50% 1.00% LIBOR Floor 3/14/2026 Zywave Inc. High Tech Industries 0.22% LIBOR+9.00% 1.00% LIBOR Floor 11/17/2023
6 • CIC Portfolio Holdings 1. Information is based on the relative fair value of the underlying portfolio holdings. 2. London Interbank Offered Rate, or LIBOR, is an interest rate at which banks can borrow funds, in marketable size, from other banks in the London interbank market. Euro Interbank Offered Rate, or EURIBOR, is an interest rate at which banks can borrow funds, in marketable size, from other banks in the European interbank market. Residual cash flow is excess cash flow after payment of any fees/expenses and obligations related to senior notes, including interest and principal repayments. 3. Rate is the total interest rate on the loan, often based on LIBOR or EURIBOR, plus a margin, or residual cash flow. 4. Debt with a LIBOR or EURIBOR floor pay an interest rate of LIBOR or EURIBOR, plus a margin, so long as LIBOR or EURIBOR remains above the specified floor level. If however, LIBOR or EURIBOR falls below the floor, the interest rate is the floor level plus the applicable margin. Data excludes short term investments, which represent an investment in a fund that invests in highly liquid investments with average original maturity dates of three months or less. Percentages represent approximate figures. FOR EXISTING INVESTORS ONLY. This portfolio holdings fact sheet reflects CIC’s holdings as of the date indicated herein. There is no assurance that additional similar transactions will be available to CIC or that CIC’s investment portfolio composition going forward will be as described herein. COMPANY NAME INDUSTRY WEIGHTING(1) RATE(2,3) LIBOR / EURIBOR FLOOR(4) MATURITY DATE COLLATERALIZED SECURITIES AND STRUCTURED PRODUCTS - EQUITY: 0.8% APIDOS CLO XVI Subordinated Notes Diversified Financials 0.10% Residual None 1/19/2025 CENT CLO 19 Ltd. Subordinated Notes Diversified Financials 0.01% Residual None 10/29/2025 Galaxy XV CLO Ltd. Class A Subordinated Notes Diversified Financials 0.08% Residual None 4/15/2025 Ivy Hill Middle Market Credit Fund VIII, Ltd. Subordinated Loan Diversified Financials 0.54% Residual None 2/2/2026 COMPANY NAME INDUSTRY WEIGHTING(1) RATE(2,3) LIBOR / EURIBOR FLOOR(4) MATURITY DATE UNSECURED DEBT: 0.3% WPLM Acquisition Corp. Media: Advertising, Printing & Publishing 0.31% 15.00% None 11/24/2025 DBI Investors, Inc. Retail 0.00% None Series B Preferred Stock DBI Investors, Inc. Retail 0.00% None Common Stock DBI Investors, Inc. Retail 0.00% None Reallocation Rights DESG Holdings, Inc. Media: Diversified & Production 0.69% None Common Stock HDNet Holdco LLC Media: Diversified & Production 0.00% None Preferred Unit Call Option Independent Pet Partners Intermediate Holdings, LLC Retail 0.02% None Class A Preferred Units Independent Pet Partners Intermediate Holdings, LLC Retail 0.00% None Warrants Mooregate ITC Acquisition, LLC High Tech Industries 0.00% None Class A Units Mount Logan Capital Inc. Banking, Finance, Insurance & Real Estate 0.15% None Common Stock NS NWN Acquisition, LLC High Tech Industries 0.04% None Voting Units NS NWN Acquisition, LLC High Tech Industries 0.02% None Class A Preferred Units NSG Co-Invest (Bermuda) LP Consumer Goods: Durable 0.01% None Partnership Interests Palmetto Clean Technology, Inc. High Tech Industries 0.02% None Warrants Rhino Energy LLC Metals & Mining 0.00% None Warrants SIMR Parent, LLC Healthcare & Pharmaceuticals 0.00% None Class B Common Units Snap Fitness Holdings, Inc. Services: Consumer 0.20% None Class A Stock Snap Fitness Holdings, Inc. Services: Consumer 0.08% None Warrants Spinal USA, Inc. / Precision Medical Inc. Healthcare & Pharmaceuticals 0.00% None Warrants Tenere Inc. Capital Equipment 0.10% None Warrants COMPANY NAME INDUSTRY WEIGHTING(1) RATE(2,3) TYPE EQUITY: 6.0% (CONTINUED)
CION Investments 3 Park Avenue, 36th Floor New York, NY 10016 cioninvestments.com CIC-PH-0820 FOR EXISTING INVESTORS ONLY.