8-K
PENNANTPARK INVESTMENT CORP (PNNT)
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): November 16, 2022
PennantPark Investment Corporation
(Exact name of registrant as specified in its charter)
| Maryland<br><br>(State or Other Jurisdiction of Incorporation) | 814-00736<br><br>(Commission File Number) | 20-8250744<br><br>(IRS Employer Identification Number) |
|---|---|---|
| 1691 Michigan Avenue,<br><br>Miami, Florida<br><br>(Address of Principal Executive Offices) | 33319<br><br>(Zip Code) | |
| --- | --- | |
| (786) 297-9500<br><br>(Registrant's telephone number, including area code) | ||
| --- | ||
| Not Applicable<br><br>(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 |
|---|---|---|
| Common Stock, par value $0.001 per share | PNNT | The New York Stock Exchange |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR § 230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR § 240.12b-2).
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. ☐
28435281.2.BUSINESS
Item 2.02. Results of Operations and Financial Condition
On November 16, 2022, PennantPark Investment Corporation, or the Company, issued a press release announcing its financial results for the fourth quarter and fiscal year ended September 30, 2022. A copy of the press release is furnished as Exhibit 99.1 to this report pursuant to Item 2.02 on Form 8-K and Regulation FD. A copy of the Company's schedule of investments as of September 30, 2022 and 2021 are furnished as Exhibit 99.2 to this report pursuant to Item 2.02 on Form 8-K and Regulation FD.
The information in this report on Form 8-K, including Exhibits 99.1 and 99.2 furnished herewith, is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or the Exchange Act, or otherwise subject to the liabilities of such section. The information in this report on Form 8-K shall not be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Securities Act, or under the Exchange Act, except as shall be expressly set forth by specific reference in such filing.
Forward-Looking Statements
This report on Form 8-K, including Exhibits 99.1 and 99.2 furnished herewith, may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. You should understand that under Section 27A(b)(2)(B) of the Securities Act and Section 21E(b)(2)(B) of the Exchange Act, the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995 do not apply to forward-looking statements made in periodic reports PennantPark Investment Corporation files under the Exchange Act. All statements other than statements of historical facts included in this report on Form 8-K are forward-looking statements and are not guarantees of future performance or results, and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in filings with the Securities and Exchange Commission as well as changes in the economy and risks associated with possible disruption in the Company’s operations or the economy generally due to terrorism, natural disasters or pandemics such as COVID-19. PennantPark Investment Corporation undertakes no duty to update any forward-looking statement made herein. You should not place undue influence on such forward-looking statements as such statements speak only as of the date on which they are made.
PennantPark Investment Corporation may use words such as “anticipates,” “believes,” “expects,” “intends,” “seeks,” “plans,” “estimates” and similar expressions to identify forward-looking statements. Such statements are based on currently available operating, financial and competitive information and are subject to various risks and uncertainties that could cause actual results to differ materially from its historical experience and present expectations.
Item 9.01. Financial Statements and Exhibits
(a) Financial statements:
None
(b) Pro forma financial information:
None
(c) Shell company transactions:
None
(d) Exhibits
| 99.1 | Press Release of PennantPark Investment Corporation dated November 16, 2022 |
|---|---|
| 99.2 | Schedule of Investments as of September 30, 2022 and 2021 |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document). |
28435281.2.BUSINESS
SIGNATURE
Pursuant to the requirements of the Exchange Act, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| Dated: November 16, 2022 | PENNANTPARK INVESTMENT CORPORATION | |
|---|---|---|
| By: | /s/ Richard T. Allorto, Jr. | |
| Richard T. Allorto, Jr. | ||
| Chief Financial Officer & Treasurer |
28435281.2.BUSINESS
EX-99.1
EXHIBIT 99.1
PennantPark Investment Corporation Announces 10.0% Increase of its Quarterly Distribution to $0.165 per share and Financial Results for the Fourth Quarter and Fiscal Year Ended September 30, 2022
Miami, Florida — (GLOBE NEWSWIRE – November 16, 2022) — PennantPark Investment Corporation (NYSE: PNNT) announced today financial results for the fourth quarter and fiscal year ended September 30, 2022.
HIGHLIGHTS
Quarter ended September 30, 2022
($ in millions, except per share amounts)
| Assets and Liabilities: | |||||
|---|---|---|---|---|---|
| Investment portfolio (1) | $ | 1,226.0 | |||
| Net assets | $ | 585.6 | |||
| GAAP net asset value per share | $ | 8.98 | |||
| Quarterly decrease in GAAP net asset value per share | (6.9 | )% | |||
| Adjusted net asset value per share (2) | $ | 8.98 | |||
| Quarterly decrease in adjusted net asset value per share (2) | (6.2 | )% | |||
| Credit Facility | $ | 376.7 | |||
| 2026 Notes | $ | 146.8 | |||
| 2026-2 Notes | $ | 161.4 | |||
| SBA Debentures | $ | 19.7 | |||
| Regulatory Debt to Equity | 1.18x | ||||
| GAAP Net Debt to Equity (3) | 1.11x | ||||
| Weighted average yield on debt investments at quarter-end | 10.8 | % | |||
| Quarter Ended | Year Ended | ||||
| September 30, 2022 | September 30, 2022 | ||||
| Operating Results: | |||||
| Net investment income | $ | 9.2 | $ | 43.9 | |
| Net investment income per share (GAAP) | $ | 0.14 | $ | 0.66 | |
| Credit facility amendment costs per share | $ | 0.04 | $ | 0.04 | |
| Core net investment income per share (4) | $ | 0.18 | $ | 0.70 | |
| Distributions declared per share | $ | 0.15 | $ | 0.56 | |
| Portfolio Activity: | |||||
| Purchases of investments | $ | 134.4 | $ | 933.8 | |
| Sales and repayments of investments | $ | 175.6 | $ | 911.6 | |
| PSLF Portfolio data: | |||||
| PSLF investment portfolio | $ | 730.1 | |||
| Purchases of investments | $ | 152.6 | $ | 431.2 | |
| Sales and repayments of investments | $ | 27.5 | $ | 100.5 |
1. Includes investments in PennantPark Senior Loan Fund, LLC, or PSLF, an unconsolidated joint venture, totaling $139.1 million, at fair value.
2. This is a non-GAAP financial measure. The Company believes that this number provides useful information to investors and management because it reflects the Company’s financial performance excluding the impact of zero unrealized loss on our multi-currency, senior secured revolving credit facility with Truist Bank, as amended, the “Credit Facility”. The presentation of this additional information is not meant to be considered in isolation or as a substitute for financial results prepared in accordance with GAAP.
3. This is a non-GAAP financial measure. The Company believes that this number provides useful information to investors and management because it reflects the Company’s financial performance including the impact the Small Business Act, “SBA”, Debentures and net of $52.7 million of cash and equivalents. The presentation of this additional information is not meant to be considered in isolation or as a substitute for financial results prepared in accordance with GAAP.
4. Core net investment income is a non-GAAP financial measure. The Company believes that core net investment income provides useful information to investors and management because it reflects the Company’s financial performance excluding a one-time expense of $5.1 million associated with extension of our multi-currency senior secured revolving credit facility with Truist Bank and other lenders on July 29, 2022 and the associated incentive fee reduction of $2.5 million. The presentation of this additional information is not meant to be considered in isolation or as a substitute for financial results prepared in accordance with GAAP.
CONFERENCE CALL AT 12:00 P.M. EST ON NOVEMBER 17, 2022
PennantPark Investment Corporation (“we,” “our,” “us” or the “Company”) will also host a conference call at 12:00 p.m. (Eastern Time) on Thursday, November 17, 2022 to discuss its financial results. All interested parties are welcome to participate. You can access the conference call by dialing toll-free (888) 254-3590 approximately 5-10 minutes prior to the call. International callers should dial (646) 828-8193. All callers should reference conference ID #1722510 or PennantPark Investment Corporation. An archived replay will also be available through December 1, 2022 on a webcast link located on the Home page of the Investor section of PennantPark’s website.
INCREASE OF QUARTERLY DISTRIBUTION TO $0.165 PER SHARE
The Company declares a distribution of $0.165 per share, an increase of 10.0% from the most recent distribution. The distribution is payable on January 3, 2023 to stockholders of record as of December 19, 2022. The distribution is expected to be paid from taxable net investment income. The final specific tax characteristics of the distribution will be reported to stockholders on Form 1099 after the end of the calendar year and in the Company’s periodic report filed with the Securities and Exchange Commission
PORTFOLIO AND INVESTMENT ACTIVITY
“We are pleased with the underlying credit performance of our debt portfolio and PNNT is well positioned as a leading provider of capital to the core middle market,” said Arthur Penn, Chairman and CEO. “Additionally, PNNT continues to target executing on its strategy to grow Net Investment Income through growing assets on balance sheet, growing the PSLF joint venture and rotating equity investments into yielding instruments. We are looking forward to investing in the late 2022 and 2023 vintage of new loans that should benefit from more conservative structures at higher yields.”
As of September 30, 2022, our portfolio totaled $1,226.3 million and consisted of $631.0 million of first lien secured debt, $129.9 million of second lien secured debt, $141.3 million of subordinated debt (including $88.0 million in PSLF) and $324.1 million of preferred and common equity (including $51.1 million in PSLF). Our interest bearing debt portfolio consisted of 96% variable-rate investments and 4% fixed-rate investments. As of September 30, 2022, we had one portfolio company on non-accrual, representing 1% and zero percent of our overall portfolio on a cost and fair value basis, respectively. Overall, the portfolio had net unrealized depreciation of $71.0 million as of September 30, 2022. Our overall portfolio consisted of 123 companies with an average investment size of $10.1 million, had a weighted average yield on interest bearing debt investments of 10.8 %.
As of September 30, 2021, our portfolio totaled $1,255.3 million and consisted of $552.5 million of first lien secured debt, $176.9 million of second lien secured debt, $121.2 million of subordinated debt (including $64.2 million in PSLF) and $404.7 million of preferred and common equity (including $41.2 million in PSLF). Our debt portfolio consisted of 92% variable-rate investments and 8% fixed-rate investments. As of September 30, 2021, we had no portfolio companies on non-accrual and the portfolio had net unrealized appreciation of $34.2 million. Our overall portfolio consisted of 97 companies with an average investment size of $12.9 million, had a weighted average yield on interest bearing debt investments of 9.0%.
For the three months ended September 30, 2022, we invested $134.4 million in five new and 27 existing portfolio companies with a weighted average yield on debt investments of 10.2%. Sales and repayments of investments for the same period totaled $175.6 million. This compares to the three months ended September 30, 2021, in which we invested $165.0 million in 16 new and 17 existing portfolio companies with a weighted average yield on debt investments of 7.5%. Sales and repayments of investments for the same period totaled $75.8 million.
For the year ended September 30, 2022, we invested $933.8 million of investments in 40 new and 122 existing portfolio companies with a weighted average yield on debt investments of 8.4%. Sales and repayments of investments for the same period totaled $911.6 million.
For the year ended September 30, 2021, we invested $441.4 million of investments in 30 new and 49 existing portfolio companies with a weighted average yield on debt investments of 8.1%. Sales and repayments of investments for the same period totaled $434.5 million.
PennantPark Senior Loan Fund, LLC
As of September 30, 2022, PSLF’s portfolio totaled $730.1 million, consisted of 80 companies with an average investment size of $9.1 million and had a weighted average yield on debt investments of 9.4%. For the year ended September 30, 2021, PSLF’s portfolio totaled $405.2 million, consisted of 47 companies with an average investment size of $8.6 million and had a weighted average yield on debt investments of 7.1%.
For the three months ended September 30, 2022, PSLF invested $152.6 million in 10 new and nine existing portfolio company with a weighted average yield on debt investments of 8.5%. Sales and repayments of investments for the same period totaled $27.5 million. This compares to the three months ended September 30, 2021, in which PSLF invested $31.6 million in six new and one existing portfolio company with a weighted average yield on debt investments of 7.0%. Sales and repayments of investments for the same period totaled $11.4 million.
For the year ended September 30, 2022, PSLF invested $431.2 million (of which $387.4 million was purchased from the Company) in 39 new and 28 existing portfolio companies with a weighted average yield on debt investments of 7.8%. PSLF’s sales and repayments of investments for the same period totaled $100.5 million.
For the year ended September 30, 2021, PSLF invested $149.4 million (of which $123.4 million was purchased from the Company) in 18 new and nine existing portfolio companies with a weighted average yield on debt investments of 7.3%. PSLF’s sales and repayments of investments for the same period totaled $104.9 million.
RESULTS OF OPERATIONS
Set forth below are the results of operations during the three months and years ended September 30, 2022 and 2021.
Investment Income
Investment income for the three months ended September 30, 2022 and 2021 was $28.9 million and $23.1 million, respectively, and was attributable to $22.2 million and $13.1 million from first lien secured debt, $3.3 million and $4.4 million from second lien secured debt and $3.4 million and $5.6 million from subordinated debt and preferred and common equity, respectively.
Investment income for the years ended September 30, 2022 and 2021 was $105.0 million and $81.6 million, respectively, and was attributable to $74.4 million and $47.0 million from first lien secured debt, $17.0 million and $20.2 million from second lien secured debt and $13.6 million and $14.4 million from subordinated debt and preferred and common equity, respectively. The increase in investment income compared to the same periods in the prior year was primarily due to an increase in LIBOR and SOFR base rates and an increase in the size of our interest bearing portfolio.
Expenses
Expenses for the three months ended September 30, 2022 and 2021 totaled $19.7 million and $11.9 million, respectively. Base management fee totaled $4.9 million and $4.6 million, incentive fee totaled zero and $0.6 million, debt related interest and other financing costs totaled $13.7 million (including one-time costs of $5.1 million associated with the Credit Facility amendment) and $5.7 million, general and administrative expenses totaled $1.0 million and $0.9 million and provision for taxes totaled $0.2 million and $0.2 million, respectively, for the same periods.
Expenses for the years ended September 30, 2022 and 2021 totaled $61.0 million and $45.1 million, respectively. Base management fee totaled $19.8 million and $17.3 million, incentive fee totaled $2.7 million and $0.6 million, debt related interest and other financing expenses totaled $33.8 (including one-time costs of $5.1 million associated with the Credit Facility amendment) and $22.5 million, general and administrative expenses totaled $3.9 million and $4.1 million and provision for taxes totaled $0.8 million and $0.6 million, respectively, for the same periods The increase in net expenses over the prior year was primarily due to an increase in debt related interest and other financing expenses and an increase in base management and incentive fees.
Net Investment Income
Net investment income totaled $9.2 million, or $0.14 per share, and $11.3 million, or $0.17 per share, for the three months ended September 30, 2022 and 2021, respectively.
Net investment income totaled $43.9 million, or $0.66 per share, and $36.5 million, or $0.54 per share, for the years ended September 30, 2022 and 2021, respectively. The increase in net investment income per share compared to the prior year was primarily due to an increase in investment income partially offset by an increase in expenses.
Net Realized Gains or Losses
Net realized gains (losses) on sales and repayments of investments totaled ($38.7) million and $5.6 million, respectively, for the three months ended September 30, 2022 and 2021.
Net realized gain (loss) on sales and repayments of investments totaled $34.8 million and $30.0 million, respectively for the years ended September 30, 2022 and 2021. The change in realized gains/losses was primarily due to changes in market conditions of our investments and the values at which they were realized, primarily due to including the realized appreciation of PT Network Intermediate Holdings, LLC in the second quarter of 2022, and the fluctuations in the market and in the economy..
Unrealized Appreciation or Depreciation on Investments and Credit Facilities
For the three months ended September 30, 2022 and 2021, we reported a net change in unrealized appreciation (depreciation) on investments of ($11.0) million and $7.6 million, respectively. For the years ended September 30, 2022 and 2021, we reported net change in unrealized appreciation (depreciation) on investments of ($110.0) million and $117.9 million, respectively. As of September 30, 2022 and 2021, our net unrealized appreciation (depreciation) on investments totaled ($75.7) million and $34.2 million, respectively. The net change in unrealized appreciation/depreciation on our investments for the year ended September 30, 2022 compared to the prior year was primarily due to changes in the capital market conditions as well as the financial performance of certain portfolio companies .
For the three months ended September 30, 2022 and 2021, our Credit Facilities had a net change in unrealized (depreciation) appreciation of $1.7 million and ($0.7) million, respectively. For the years ended September 30, 2022 and 2021, our Credit Facilities had a net change in unrealized appreciation (depreciation) of ($7.5) million and $17.8 million, respectively. As of September 30, 2022 and 2021, our net unrealized depreciation on our Credit Facilities totaled $9.2 million and $1.7 million, respectively. The net change in unrealized depreciation for the year ended September 30, 2022 compared to the prior year was primarily due to changes in the capital markets.
Net Change in Net Assets Resulting from Operations
Net change in net assets resulting from operations totaled ($30.2) million, or ($0.45) per share, and $25.1 million, or $0.37 per share, for the three months ended September 30, 2022 and 2021, respectively.
Net change in net assets resulting from operations totaled ($24.7) million, or ($0.37) per share, and $166.6 million, or $2.49 per share, for the years ended September 30, 2022 and 2021, respectively. The decrease in net assets from operations for the year ended September 30, 2022 compared to the prior year was primarily due to depreciation of the portfolio primarily driven by changes in market conditions.
LIQUIDITY AND CAPITAL RESOURCES
Our liquidity and capital resources are derived primarily from proceeds of securities offerings, debt capital and cash flows from operations, including investment sales and repayments, and income earned. Our primary use of funds from operations includes investments in portfolio companies and payments of interest expense, fees and other operating expenses we incur. We have used, and expect to continue to use, our debt capital, proceeds from the rotation of our portfolio and proceeds from public and private offerings of securities to finance our investment objectives.
The annualized weighted average cost of debt for the years ended September 30, 2022 and 2021, inclusive of the fee on the undrawn commitment and amendment costs on the Credit Facility, amortized upfront fees on SBA debentures and debt retirement and issuance costs, was 4.8% and 3.5%, respectively. As of September 30, 2022 and 2021, we had $114.1 million and $118.5 million of unused borrowing capacity under the Credit Facility, respectively, subject to leverage and borrowing base restrictions.
As of September 30, 2022 and 2021, we had $385.9 million and $316.5 million, respectively, in outstanding borrowings under the Credit Facility. The Credit Facility had a weighted average interest rate of 3.5% and 2.4%, respectively, exclusive of the fee on undrawn commitment, as of September 30, 2022 and 2021.
On July 29, 2022 the Company increased the size of the Credit Facility by $35.0 million from $465.0 million to $500.0 million. At the same time the Company extended maturity date of the Credit Facility to July 29, 2027.
As of September 30, 2022 and 2021, we had cash and cash equivalents of $52.7 million and $20.4 million, respectively, available for investing and general corporate purposes. We believe our liquidity and capital resources are sufficient to tallow us to operate our business.
Our operating activities used cash of $19.0 million for the year ended September 30, 2022, and our financing activities provided cash of $52.0 million for the same period. Our operating activities used cash primarily for our investment activities and our financing activities provided cash primarily from the issuance of our 2026-2 Notes and net repayments under our Credit Facility and the repayment of the SBA debentures.
Our operating activities provided cash of $7.9 million for the year ended September 30, 2021, and our financing activities used cash of $(13.4) million for the same period. Our operating activities used cash primarily for our investment activities and our financing activities provided cash primarily for net borrowings under our Credit Facility and the repayment of the SBA debentures.
STOCK REPURCHASE PROGRAM
On February 9, 2022, we announced a share repurchase program which allows us to repurchase up to $25 million of our outstanding common stock in the open market at prices below our net asset value as reported in our then most recently published consolidated financial statements. The shares may be purchased from time to time at prevailing market prices, through open market transactions, including block transactions. Unless extended by our board of directors, the program, which may be implemented at the discretion of management, will expire on the earlier of March 31, 2023 and the repurchase of $25 million of common stock. During the three months and year ended September 30, 2022, we repurchased 189,442 and 1,820,605, respectively, shares of common stock in open market transactions for an aggregate cost (including transaction costs) of $1.2 million and $13.2 million, respectively.
DISTRIBUTIONS
During the years ended September 30, 2022 and 2021, we declared distributions of $0.555 and $0.480 per share, for total distributions of $36.6 million and $32.2 million, respectively. We monitor available net investment income to determine if a return of capital for tax purposes may occur for the fiscal year. To the extent our taxable earnings fall below the total amount of our distributions for any given fiscal year, stockholders will be notified of the portion of those distributions deemed to be a tax return of capital. Tax characteristics of all distributions will be reported to stockholders subject to information reporting on Form 1099-DIV after the end of each calendar year and in our periodic reports filed with the Securities and Exchange Commission, or the SEC.
AVAILABLE INFORMATION
The Company makes available on its website its annual report on Form 10-K filed with the SEC and stockholders may find the report on our website at www.pennantpark.com.
PENNANTPARK INVESTMENT CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF ASSETS AND LIABILITIES
(In thousands, except share data)
| September 30, 2021 | |||||
|---|---|---|---|---|---|
| Assets | |||||
| Investments at fair value | |||||
| Non-controlled, non-affiliated investments (cost—882,513 and 729,811, respectively) | 932,155 | $ | 820,500 | ||
| Non-controlled, affiliated investments (cost— 37,612 and 78,723, respectively) | 34,760 | 50,161 | |||
| Controlled, affiliated investments (cost—381,904 and 412,586, respectively) | 259,386 | 384,629 | |||
| Total of investments (cost—1,302,029 and 1,221,121, respectively) | 1,226,301 | 1,255,290 | |||
| Cash and cash equivalents (cost—52,844 and 20,383, respectively) | 52,666 | 20,357 | |||
| Interest receivable | 3,593 | 4,958 | |||
| Receivable for investments sold | 29,494 | 12,793 | |||
| Distribution receivable | 2,420 | 1,694 | |||
| Prepaid expenses and other assets | 4,036 | — | |||
| Total assets | 1,318,510 | 1,295,092 | |||
| Liabilities | |||||
| Distributions payable | 9,784 | 8,045 | |||
| Payable for investments purchased | — | 8,407 | |||
| Truist Credit Facility payable, at fair value (cost—385,920 and 316,545, respectively) | 376,687 | 314,813 | |||
| 2024 Notes payable, net (par— zero and 86,250, respectively) | — | 84,503 | |||
| 2026 Notes payable, net (par—150,000) | 146,767 | 145,865 | |||
| 2026-2 Notes payable, net (par—165,000 and zero, respectively) | 161,373 | — | |||
| SBA debentures payable, net (par—20,000 and 63,500, respectively) | 19,686 | 62,159 | |||
| Base management fee payable | 4,849 | 4,580 | |||
| Incentive fee payable | — | 575 | |||
| Interest payable on debt | 6,264 | 4,943 | |||
| Accrued other expenses | 6,639 | 1,058 | |||
| Deferred tax liability | 896 | — | |||
| Total liabilities | 732,945 | 634,948 | |||
| Commitments and contingencies | |||||
| Net assets | |||||
| Common stock, 65,224,500 and 67,045,105 shares issued and outstanding, respectively Par value 0.001 per share and 100,000,000 shares authorized | 65 | 67 | |||
| Paid-in capital in excess of par value | 748,169 | 786,993 | |||
| Accumulated deficit | (162,669 | ) | (126,916 | ) | |
| Total net assets | 585,565 | $ | 660,144 | ||
| Total liabilities and net assets | 1,318,510 | $ | 1,295,092 | ||
| Net asset value per share | 8.98 | $ | 9.85 |
All values are in US Dollars.
PENNANTPARK INVESTMENT CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except share data)
| Three Months Ended<br>September 30, | Year Ended<br>September 30, | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| 2022 | 2021 | 2022 | 2021 | ||||||||
| Investment income: | |||||||||||
| From non-controlled, non-affiliated investments: | |||||||||||
| Interest | $ | 21,022 | $ | 10,944 | $ | 66,995 | $ | 46,018 | |||
| Payment-in-kind | 434 | 3,001 | 4,505 | 8,567 | |||||||
| Other income | 411 | 3,157 | 8,461 | 4,137 | |||||||
| From non-controlled, affiliated investments: | |||||||||||
| Payment-in-kind | 1,361 | — | 1,361 | 457 | |||||||
| From controlled, affiliated investments: | |||||||||||
| Interest | 3,283 | 3,092 | 10,586 | 9,825 | |||||||
| Payment-in-kind | — | 1,241 | 3,983 | 6,223 | |||||||
| Dividend income | 2,420 | 1,694 | 9,075 | 6,361 | |||||||
| Total investment income | 28,931 | 23,129 | 104,966 | 81,588 | |||||||
| Expenses: | |||||||||||
| Base management fee | 4,850 | 4,580 | 19,827 | 17,335 | |||||||
| Performance-based incentive fee | — | 575 | 2,657 | 575 | |||||||
| Interest and expenses on debt | 8,638 | 5,671 | 28,760 | 22,507 | |||||||
| Administrative services expenses | 250 | 381 | 1,000 | 1,771 | |||||||
| Other general and administrative expenses | 723 | 519 | 2,892 | 2,324 | |||||||
| Expenses before provision for taxes | 14,461 | 11,726 | 55,136 | 44,512 | |||||||
| Provision for taxes on net investment income | 200 | 150 | 800 | 600 | |||||||
| Credit facility amendment and debt issuance costs | 5,087 | — | 5,087 | — | |||||||
| Net expenses | 19,748 | 11,876 | 61,023 | 45,112 | |||||||
| Net investment income | 9,183 | 11,253 | 43,943 | 36,476 | |||||||
| Realized and unrealized gain (loss) on investments and debt: | |||||||||||
| Net realized gain (loss) on investments and debt: | |||||||||||
| Non-controlled, non-affiliated investments | (38,585 | ) | 5,592 | (31,382 | ) | 49,729 | |||||
| Non-controlled and controlled, affiliated investments | — | — | 75,243 | (19,708 | ) | ||||||
| Debt extinguishment | (121 | ) | — | (2,922 | ) | — | |||||
| Provision for taxes on realized gain on investments | — | — | (6,183 | ) | — | ||||||
| Net realized gain (loss) on investments and debt | (38,706 | ) | 5,592 | 34,756 | 30,021 | ||||||
| Net change in unrealized appreciation (depreciation) on: | |||||||||||
| Non-controlled, non-affiliated investments | 10,485 | 4,360 | (182,863 | ) | 50,130 | ||||||
| Non-controlled and controlled, affiliated investments | (21,438 | ) | 3,227 | 72,819 | 67,808 | ||||||
| Provision for taxes on unrealized appreciation on investments | 7,231 | — | (896 | ) | — | ||||||
| Debt (appreciation) depreciation | (1,682 | ) | 676 | 7,501 | (17,818 | ) | |||||
| Net change in unrealized appreciation (depreciation) on investments and debt | (5,404 | ) | 8,263 | (103,439 | ) | 100,120 | |||||
| Net realized and unrealized gain (loss) from investments and debt | (44,110 | ) | 13,855 | (68,683 | ) | 130,141 | |||||
| Net increase (decrease) in net assets resulting from operations | (34,927 | ) | 25,108 | $ | (24,740 | ) | 166,617 | ||||
| Net increase (decrease) in net assets resulting from operations per common share | $ | (0.52 | ) | $ | 0.37 | $ | (0.37 | ) | $ | 2.49 | |
| Net investment income per common share | $ | 0.14 | $ | 0.17 | $ | 0.66 | $ | 0.54 |
ABOUT PENNANTPARK INVESTMENT CORPORATION
PennantPark Investment Corporation is a business development company which invests primarily in U.S. middle-market companies in the form of first lien secured debt, second lien secured debt, subordinated debt and equity investments. PennantPark Investment Corporation is managed by PennantPark Investment Advisers, LLC.
ABOUT PENNANTPARK INVESTMENT ADVISERS, LLC
PennantPark Investment Advisers, LLC is a leading middle market credit platform, managing $6.4 billion of investable capital, including potential leverage. Since its inception in 2007, PennantPark Investment Advisers, LLC has provided investors access to middle market credit by offering private equity firms and their portfolio companies as well as other middle-market borrowers a comprehensive range of creative and flexible financing solutions. PennantPark Investment Advisers, LLC is headquartered in Miami and has offices in New York, Chicago, Houston, and Los Angeles.
FORWARD-LOOKING STATEMENTS
This press release may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. You should understand that under Section 27A(b)(2)(B) of the Securities Act of 1933, as amended, and Section 21E(b)(2)(B) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995 do not apply to forward-looking statements made in periodic reports PennantPark Investment Corporation files under the Exchange Act. All statements other than statements of historical facts included in this press release are forward-looking statements and are not guarantees of future performance or results and involve a number of risks and uncertainties.
Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in filings with the SEC. PennantPark Investment Corporation undertakes no duty to update any forward-looking statement made herein. You should not place undue influence on such forward-looking statements as such statements speak only as of the date on which they are made.
We may use words such as “anticipates,” “believes,” “expects,” “intends,” “seeks,” “plans,” “estimates” and similar expressions to identify forward-looking statements. Such statements are based on currently available operating, financial and competitive information and are subject to various risks and uncertainties that could cause actual results to differ materially from our historical experience and our present expectations.
The information contained herein is based on current tax laws, which may change in the future. The Company cannot be held responsible for any direct or incidental loss resulting from applying any of the information provided in this publication or from any other source mentioned. The information provided in this material does not constitute any specific legal, tax or accounting advice. Please consult with qualified professionals for this type of advice.
| Contact: | Richard T. Allorto, Jr. |
|---|---|
| PennantPark Investment Corporation | |
| (212) 905-1000 | |
| www.pennantpark.com |
EX-99.2
EXHIBIT 99.2
EXHIBIT 99.2
EXHIBIT 99.2
PENNANTPARK INVESTMENT CORPORATION AND SUBSIDIARIES
CONSOLIDATED SCHEDULE OF INVESTMENTS
SEPTEMBER 30, 2022
(In thousands, except share data)
| Issuer Name | Maturity / Expiration | Industry | Current<br> Coupon | Basis Point<br> Spread Above<br> Index (4) | Par /<br> Shares | Cost | Fair Value (3) | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Investments in Non-Controlled, Non-Affiliated Portfolio Companies—159.2% of Net Assets (1), (2) | ||||||||||||||
| First Lien Secured Debt—100.5% of Net Assets | ||||||||||||||
| Ad.net Acquisition, LLC (Revolver) (7) | 05/06/2026 | Media | — | — | 444 | $ | — | $ | (3 | ) | ||||
| Altamira Technologies, LLC (Revolver) | 07/24/2025 | Aerospace and Defense | 11.67 | % | 3M L+800 | 50 | 50 | 48 | ||||||
| Altamira Technologies, LLC (Revolver) (7) | 07/24/2025 | Aerospace and Defense | — | — | 138 | — | (5 | ) | ||||||
| American Insulated Glass, LLC | 12/21/2023 | Building Materials | 7.79 | % | 3M L+550 | 3,329 | 3,310 | 3,329 | ||||||
| Anteriad, LLC (f/k/a MeritDirect, LLC) (Revolver) (7) | 05/23/2024 | Media | — | — | 1,612 | — | — | |||||||
| Any Hour Services | 07/21/2027 | Personal, Food and Miscellaneous Services | 8.15 | % | 3M L+525 | 4,120 | 4,086 | 4,038 | ||||||
| Any Hour Services (Revolver) (7) | 07/21/2027 | Personal, Food and Miscellaneous Services | — | — | 1,147 | — | (23 | ) | ||||||
| Apex Service Partners, LLC | 07/31/2025 | Personal, Food and Miscellaneous Services | 7.60 | % | 1M L+550 | 1,331 | 1,331 | 1,324 | ||||||
| Apex Service Partners, LLC Term Loan C | 07/31/2025 | Personal, Food and Miscellaneous Services | 9.08 | % | 1M L+550 | 1,893 | 1,873 | 1,883 | ||||||
| Apex Service Partners, LLC (Revolver) | 07/31/2025 | Personal, Food and Miscellaneous Services | 6.72 | % | 3M L+525 | 62 | 62 | 62 | ||||||
| Apex Service Partners, LLC (Revolver) (7) | 07/31/2025 | Personal, Food and Miscellaneous Services | — | — | 870 | — | (4 | ) | ||||||
| Applied Technical Services, LLC | 12/29/2026 | Environmental Services | 7.59 | % | 3M L+575 | 1,402 | 1,388 | 1,367 | ||||||
| Applied Technical Services, LLC (7) | 04/21/2023 | Environmental Services | — | — | 1,595 | — | (22 | ) | ||||||
| Applied Technical Services, LLC (Revolver) | 12/29/2026 | Environmental Services | 10.25 | % | 3M P+475 | 200 | 200 | 195 | ||||||
| Applied Technical Services, LLC (Revolver) (7) | 12/29/2026 | Environmental Services | — | — | 800 | — | (20 | ) | ||||||
| Arcfield Acquisition Corp. (Revolver) (7) | 03/07/2028 | Aerospace and Defense | — | — | 2,263 | — | (45 | ) | ||||||
| Berwick Industrial Park | 04/28/2023 | Buildings and Real Estate | 11.00 | % | — | 4,000 | 3,953 | 3,934 | ||||||
| Beta Plus Technologies, Inc. | 07/01/2029 | Business Services | 7.56 | % | SOFR+525 | 5,000 | 4,904 | 4,900 | ||||||
| Blackhawk Industrial Distribution, Inc. | 09/17/2024 | Distribution | 8.69 | % | 3M L+500 | 1,175 | 1,160 | 1,149 | ||||||
| Blackhawk Industrial Distribution, Inc.(7) | 09/17/2024 | Distribution | — | — | 4,043 | — | (51 | ) | ||||||
| Blackhawk Industrial Distribution, Inc. (Revolver) | 09/17/2024 | Distribution | 8.69 | % | 3M L+500 | 686 | 686 | 667 | ||||||
| Blackhawk Industrial Distribution, Inc. (Revolver) (7) | 09/17/2024 | Distribution | — | — | 2,746 | — | (77 | ) | ||||||
| Broder Bros., Co. | 12/02/2022 | Consumer Products | 7.39 | % | 3M L+600 | 10,096 | 10,096 | 10,096 | ||||||
| Cartessa Aesthetics, LLC | 05/13/2028 | Distribution | 9.55 | % | 1M L+600 | 39,401 | 38,644 | 38,810 | ||||||
| Cartessa Aesthetics, LLC - (Revolver) | 05/13/2028 | Distribution | 9.55 | % | 1M L+600 | 1,265 | 1,265 | 1,246 | ||||||
| Cartessa Aesthetics, LLC - (Revolver) (7) | 05/13/2028 | Distribution | — | — | 2,297 | — | (34 | ) | ||||||
| CF512, Inc. | 08/20/2026 | Media | 9.30 | % | 3M L+600 | 6,720 | 6,630 | 6,619 | ||||||
| CF512, Inc.(Revolver) (7) | 08/20/2026 | Media | — | — | 909 | — | (14 | ) | ||||||
| Compex Legal Services, Inc. | 02/09/2026 | Business Services | 7.48 | % | 3M L+525 | 853 | 843 | 853 | ||||||
| Compex Legal Services, Inc. (Revolver) | 02/07/2025 | Business Services | 8.92 | % | 3M L+525 | 361 | 361 | 361 | ||||||
| Compex Legal Services, Inc. (Revolver) (7) | 02/07/2025 | Business Services | — | — | 295 | — | — | |||||||
| Connatix Buyer, Inc. (7) | 01/13/2023 | Media | — | — | 3,158 | — | (47 | ) | ||||||
| Connatix Buyer, Inc. (Revolver) (7) | 07/13/2027 | Media | — | — | 1,859 | — | (46 | ) | ||||||
| Crane 1 Services, Inc. | 08/16/2027 | Personal, Food and Miscellaneous Services | 8.40 | % | 3M L+575 | 2,606 | 2,577 | 2,580 | ||||||
| Crane 1 Services, Inc. (Revolver) | 08/16/2027 | Personal, Food and Miscellaneous Services | 8.87 | % | 1M L+575 | 194 | 194 | 192 | ||||||
| Crane 1 Services, Inc. (Revolver) (7) | 08/16/2027 | Personal, Food and Miscellaneous Services | — | — | 97 | — | (1 | ) | ||||||
| DermaRite Industries LLC | 06/30/2023 | Manufacturing / Basic Industries | 10.67 | % | 1M L+700 | 8,755 | 8,734 | 7,030 | ||||||
| Dr. Squatch, LLC | 08/31/2027 | Personal and Non-Durable Consumer Products | 9.17 | % | 3M L+600 | 12,930 | 12,742 | 12,736 | ||||||
| Dr. Squatch, LLC (7) | 08/27/2026 | Personal and Non-Durable Consumer Products | — | — | 2,000 | — | (10 | ) | ||||||
| Dr. Squatch, LLC (Revolver) | 08/31/2027 | Personal and Non-Durable Consumer Products | 8.95 | % | 1M L+600 | 775 | 775 | 764 | ||||||
| Dr. Squatch, LLC (Revolver) (7) | 08/31/2027 | Personal and Non-Durable Consumer Products | — | — | 1,551 | — | (23 | ) | ||||||
| DRS Holdings III, Inc. (Revolver) (7) | 11/03/2025 | Consumer Products | — | — | 1,783 | — | (57 | ) | ||||||
| ECL Entertainment, LLC | 05/01/2028 | Hotels, Motels, Inns and Gaming | 10.62 | % | 1M L+750 | 19,156 | 19,019 | 18,869 | ||||||
| ECM Industries, LLC (Revolver) | 12/23/2025 | Electronics | 7.93 | % | 3M L+475 | 291 | 291 | 277 | ||||||
| ECM Industries, LLC (Revolver) (7) | 12/23/2025 | Electronics | — | — | 226 | — | (11 | ) | ||||||
| Exigo Intermediate II, LLC | 03/15/2027 | Business Services | 8.87 | % | 3M L+575 | 24,875 | 24,532 | 24,315 | ||||||
| Exigo Intermediate II, LLC (7) | 03/15/2024 | Business Services | — | — | 7,424 | — | (111 | ) | ||||||
| Exigo Intermediate II, LLC (Revolver) | 03/15/2027 | Business Services | 8.87 | % | 3M L+575 | 371 | 371 | 363 | ||||||
| Exigo Intermediate II, LLC (Revolver) (7) | 03/15/2027 | Business Services | — | — | 1,485 | — | (33 | ) | ||||||
| Fairbanks Morse Defense | 06/17/2028 | Aerospace and Defense | 7.00 | % | 3M L+475 | 738 | 735 | 682 | ||||||
| Gantech Acquisition Corp. | 05/14/2026 | Business Services | 9.37 | % | 1M L+625 | 16,809 | 16,548 | 16,305 | ||||||
| Gantech Acquisition Corp. (Revolver) | 05/14/2026 | Business Services | 9.37 | % | 1M L+625 | 132 | 133 | 129 | ||||||
| Gantech Acquisition Corp. (Revolver) (7) | 05/14/2026 | Business Services | — | — | 1,858 | — | (56 | ) | ||||||
| Graffiti Buyer, Inc. (7) | 08/10/2023 | Distribution | — | — | 892 | — | (20 | ) | ||||||
| Graffiti Buyer, Inc. (Revolver) | 08/10/2027 | Distribution | 9.16 | % | 3M L+575 | 372 | 372 | 357 | ||||||
| Graffiti Buyer, Inc. (Revolver) (7) | 08/10/2027 | Distribution | — | — | 397 | — | (16 | ) | ||||||
| Hancock Roofing and Construction L.L.C. (7) | 12/31/2022 | Insurance | — | — | 400 | — | (6 | ) | ||||||
| Hancock Roofing and Construction L.L.C. | 12/31/2026 | Insurance | 7.82 | % | 1M L+500 | 270 | 270 | 266 | ||||||
| Hancock Roofing and Construction L.L.C. (Revolver) (7) | 12/31/2026 | Insurance | — | — | 480 | — | (7 | ) | ||||||
| Holdco Sands Intermediate, LLC | 11/23/2028 | Aerospace and Defense | 10.17 | % | 3M L+600 | 1,918 | 1,883 | 1,879 | ||||||
| Holdco Sands Intermediate, LLC (Revolver) (7) | 11/23/2027 | Aerospace and Defense | — | — | 3,941 | — | (79 | ) | ||||||
| HV Watterson Holdings, LLC | 12/17/2026 | Business Services | 9.67 | % | 1M L+600 | 281 | 279 | 271 | ||||||
| HV Watterson Holdings, LLC (7) | 12/17/2026 | Business Services | — | — | 2,219 | — | (61 | ) | ||||||
| HV Watterson Holdings, LLC - (Revolver) | 12/17/2026 | Business Services | 9.63 | % | 3M L+600 | 200 | 200 | 193 | ||||||
| HV Watterson Holdings, LLC - (Revolver)(7) | 12/17/2026 | Business Services | — | — | 1,050 | — | (37 | ) | ||||||
| HW Holdco, LLC | 12/10/2024 | Media | 6.00 | % | 3M L+500 | 10,188 | 10,077 | 10,061 | ||||||
| HW Holdco, LLC (7) | 12/10/2024 | Media | — | — | 3,049 | — | (8 | ) | ||||||
| HW Holdco, LLC (Revolver) (7) | 12/10/2024 | Media | — | — | 3,387 | — | (42 | ) | ||||||
| Icon Partners III, LP | 05/11/2028 | Auto Sector | 7.55 | % | 3M L+475 | 995 | 834 | 727 | ||||||
| IDC Infusion Services, Inc. | 12/30/2026 | Healthcare, Education and Childcare | 10.70 | % | 3M L+600 | 3,685 | 3,576 | 3,574 | ||||||
| IDC Infusion Services, Inc. (Revolver) (7) | 12/30/2026 | Healthcare, Education and Childcare | — | — | 4,167 | — | (187 | ) | ||||||
| IG Investments Holdings, LLC (Revolver) (7) | 09/22/2027 | Business Services | — | — | 477 | — | (5 | ) | ||||||
| Imagine Acquisitionco, LLC (7) | 11/15/2027 | Business Services | — | — | 2,341 | — | (35 | ) | ||||||
| Imagine Acquisitionco, LLC (Revolver) (7) | 11/15/2027 | Business Services | — | — | 1,685 | — | (42 | ) | ||||||
| Inception Fertility Ventures, LLC | 12/07/2023 | Healthcare, Education and Childcare | 10.18 | % | 3M L+715 | 20,506 | 20,239 | 20,301 |
EXHIBIT 99.2
PENNANTPARK INVESTMENT CORPORATION AND SUBSIDIARIES
CONSOLIDATED SCHEDULE OF INVESTMENTS—(Continued)
SEPTEMBER 30, 2022
(In thousands, except share data)
| Issuer Name | Maturity / Expiration | Industry | Current<br> Coupon | Basis Point<br> Spread Above<br> Index (4) | Par /<br> Shares | Cost | Fair Value (3) | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Infolinks Media Buyco, LLC (7) | 11/01/2023 | Media | — | — | 2,372 | $ | — | $ | 24 | |||||
| Integrity Marketing Acquisition, LLC | 08/27/2025 | Insurance | 7.83 | % | 3M L+550 | 9,930 | 9,876 | 9,831 | ||||||
| ITI Holdings, Inc. | 03/03/2028 | Business Services | 8.67 | % | 3M L+550 | 8,927 | 8,784 | 8,749 | ||||||
| ITI Holdings, Inc. (Revolver) | 03/03/2028 | Business Services | 8.25 | % | 3M L+550 | 298 | 298 | 292 | ||||||
| ITI Holdings, Inc. (Revolver) (7) | 03/03/2028 | Business Services | — | — | 1,192 | — | (24 | ) | ||||||
| K2 Pure Solutions NoCal, L.P. | 12/20/2023 | Chemicals, Plastics and Rubber | 11.12 | % | 1M L+800 | 11,678 | 11,629 | 11,678 | ||||||
| K2 Pure Solutions NoCal, L.P. (Revolver) (7) | 12/20/2023 | Chemicals, Plastics and Rubber | — | — | 1,938 | — | — | |||||||
| Kinetic Purchaser, LLC | 11/10/2027 | Consumer Products | 9.67 | % | 3M L+600 | 24,341 | 23,807 | 23,855 | ||||||
| Kinetic Purchaser, LLC (Revolver) | 11/10/2026 | Consumer Products | 9.67 | % | 3M L+600 | 4,854 | 4,854 | 4,757 | ||||||
| Lash OpCo, LLC | 02/18/2027 | Consumer Products | 11.78 | % | 1M L+700 | 2,828 | 2,774 | 2,771 | ||||||
| Lash OpCo, LLC (Revolver) | 08/16/2026 | Consumer Products | 9.38 | % | 1M L+700 | 568 | 568 | 556 | ||||||
| Lash OpCo, LLC (Revolver) (7) | 08/16/2026 | Consumer Products | — | — | 1,252 | — | (25 | ) | ||||||
| LAV Gear Holdings, Inc. | 10/31/2024 | Leisure, Amusement, Motion Pictures, Entertainment | 9.95 | % | 1M L+750 | 2,061 | 2,036 | 2,013 | ||||||
| (PIK 5.50%) | ||||||||||||||
| Ledge Lounger, Inc. | 11/09/2026 | Consumer Products | 9.92 | % | 3M L+625 | 9,177 | 9,021 | 9,040 | ||||||
| Ledge Lounger, Inc. (Revolver) (7) | 11/09/2026 | Consumer Products | — | — | 1,933 | — | (29 | ) | ||||||
| Lightspeed Buyer Inc. | 02/03/2026 | Healthcare, Education and Childcare | 8.87 | % | 1M L+575 | 2,220 | 2,205 | 2,148 | ||||||
| Lightspeed Buyer Inc. (Revolver) | 02/03/2026 | Healthcare, Education and Childcare | 8.87 | % | 1M L+575 | 505 | 505 | 489 | ||||||
| Lightspeed Buyer Inc. (Revolver) (7) | 02/03/2026 | Healthcare, Education and Childcare | — | — | 661 | — | (21 | ) | ||||||
| Limerick Town Cener, LLC | 09/27/2023 | Real Estate | 12.50 | % | — | 3,000 | 2,970 | 2,970 | ||||||
| LSF9 Atlantis Holdings, LLC | 03/31/2029 | Retail | 9.37 | % | SOFR+725 | 6,000 | 5,772 | 5,685 | ||||||
| Mars Acquisition Holdings Corp. (Revolver)(7) | 05/14/2026 | Media | — | — | 806 | — | (4 | ) | ||||||
| MBS Holdings, Inc. (Revolver) (7) | 04/16/2027 | Telecommunications | — | — | 694 | — | (7 | ) | ||||||
| MDI Buyer, Inc. | 07/25/2028 | Chemicals, Plastics and Rubber | 8.98 | % | 3M L+600 | 14,400 | 14,117 | 14,112 | ||||||
| MDI Buyer, Inc. Term Loan (7) | 07/25/2028 | Chemicals, Plastics and Rubber | — | — | 5,196 | — | (52 | ) | ||||||
| MDI Buyer, Inc. (Revolver) (7) | 07/25/2028 | Chemicals, Plastics and Rubber | — | — | 2,227 | — | (22 | ) | ||||||
| Meadowlark Acquirer, LLC | 12/10/2027 | Business Services | 9.17 | % | 3M L+550 | 1,320 | 1,307 | 1,307 | ||||||
| Meadowlark Acquirer, LLC Term Loan I (7) | 12/10/2027 | Business Services | — | — | 1,676 | — | — | |||||||
| Meadowlark Acquirer, LLC Term Loan II (7) | 12/10/2027 | Business Services | — | — | 8,922 | — | — | |||||||
| Meadowlark Acquirer, LLC (Revolver) (7) | 12/10/2027 | Business Services | — | — | 1,685 | — | (17 | ) | ||||||
| Municipal Emergency Services, Inc. | 09/28/2027 | Distribution | 8.67 | % | 3M L+500 | 703 | 697 | 663 | ||||||
| Municipal Emergency Services, Inc. (7) | 09/28/2027 | Distribution | — | — | 1,175 | — | (56 | ) | ||||||
| Municipal Emergency Services, Inc. (Revolver) | 09/28/2027 | Distribution | 7.25 | % | 3M L+500 | 282 | 282 | 266 | ||||||
| Municipal Emergency Services, Inc. (Revolver) (7) | 09/28/2027 | Distribution | — | — | 1,598 | — | (93 | ) | ||||||
| NBH Group LLC (Revolver) (7) | 08/19/2026 | Healthcare, Education and Childcare | — | — | 1,163 | — | — | |||||||
| Neptune Flood Incorporated | 10/14/2026 | Financial Services | 7.10 | % | 1M L+525 | 4,379 | 4,352 | 4,423 | ||||||
| OIS Management Services, LLC (Revolver) (7) | 07/09/2026 | Healthcare, Education and Childcare | — | — | 333 | — | — | |||||||
| One Stop Mailing, LLC | 05/07/2027 | Cargo Transport | 8.77 | % | 3M L+625 | 7,008 | 6,889 | 6,798 | ||||||
| ORL Acquisition, Inc. | 09/03/2027 | Business Services | 8.92 | % | 3M L+525 | 4,454 | 4,378 | 4,454 | ||||||
| ORL Acquisition, Inc. (Revolver) (7) | 09/03/2027 | Business Services | — | — | 597 | — | — | |||||||
| Ox Two, LLC | 05/18/2026 | Building Materials | 9.81 | % | 1M L+700 | 15,391 | 15,189 | 15,083 | ||||||
| Ox Two, LLC (Revolver) | 05/18/2026 | Building Materials | 9.81 | % | 3M L+700 | 1,774 | 1,774 | 1,739 | ||||||
| Ox Two, LLC (Revolver) (7) | 05/18/2026 | Building Materials | — | — | 645 | — | (13 | ) | ||||||
| PL Acquisitionco, LLC (Revolver) (7) | 11/09/2027 | Retail | — | — | 3,236 | — | (81 | ) | ||||||
| PRA Events, Inc. | 08/07/2025 | Business Services | 14.17 | % | 3M L+1,050 | 24,907 | 21,694 | 24,907 | ||||||
| (PIK 10.5%) | ||||||||||||||
| PRA Events, Inc. (Revolver) (7) | 08/07/2025 | Business Services | — | 3M L+1,050 | 2,000 | — | — | |||||||
| Pragmatic Institute, LLC | 07/06/2028 | Business Services | 9.30 | % | 3M L+575 | 35,340 | 34,826 | 34,987 | ||||||
| Pragmatic Institute, LLC Term Loan (7) | 07/06/2028 | Business Services | — | — | 7,193 | — | — | |||||||
| Pragmatic Institute, LL (Revolver) | 07/06/2028 | Business Services | 9.30 | % | 3M L+575 | 959 | 959 | 949 | ||||||
| Pragmatic Institute, LL (Revolver) (7) | 07/06/2028 | Business Services | — | — | 3,836 | — | (38 | ) | ||||||
| Quantic Electronics, LLC | 11/19/2026 | Aerospace and Defense | 8.00 | % | 1M L+625 | 679 | 673 | 666 | ||||||
| Quantic Electronics, LLC (Revolver) | 11/19/2026 | Aerospace and Defense | 9.51 | % | 3M L+600 | 211 | 211 | 207 | ||||||
| Quantic Electronics, LLC (Revolver) (7) | 11/19/2026 | Aerospace and Defense | — | — | 317 | — | (6 | ) | ||||||
| Questex, LLC | 09/09/2024 | Media | 7.45 | % | 3M L+500 | 21,600 | 21,436 | 21,168 | ||||||
| Questex, LLC (Revolver) (7) | 09/09/2024 | Media | — | — | 3,590 | — | (72 | ) | ||||||
| Radius Aerospace, Inc. (Revolver) | 03/31/2025 | Aerospace and Defense | 8.28 | % | 3M L+575 | 891 | 891 | 877 | ||||||
| Radius Aerospace, Inc. (Revolver) (7) | 03/31/2025 | Aerospace and Defense | — | — | 1,336 | — | (20 | ) | ||||||
| Rancho Health MSO, Inc. (7) | 12/18/2025 | Healthcare, Education and Childcare | — | — | 1,050 | — | — | |||||||
| Rancho Health MSO, Inc. (Revolver) (7) | 12/18/2025 | Healthcare, Education and Childcare | — | — | 525 | — | — | |||||||
| Reception Purchaser, LLC | 02/28/2028 | Transportation | 9.13 | % | SOFR+600 | 5,970 | 5,885 | 5,701 | ||||||
| Recteq, LLC (Revolver) | 01/29/2026 | Consumer Products | 9.92 | % | 1M L+600 | 313 | 313 | 302 | ||||||
| Recteq, LLC (Revolver) (7) | 01/29/2026 | Consumer Products | — | — | 814 | — | (28 | ) | ||||||
| Research Now Group, Inc. and Dynata, LLC | 12/20/2024 | Business Services | 8.84 | % | 3M L+550 | 126 | 126 | 113 | ||||||
| Riverpoint Medical, LLC (Revolver) (7) | 06/20/2025 | Healthcare, Education and Childcare | — | — | 364 | — | (9 | ) | ||||||
| Riverside Assessments, LLC | 03/10/2025 | Education | 8.97 | % | 3M L+625 | 12,906 | 12,705 | 12,648 | ||||||
| Sales Benchmark Index LLC (Revolver) (7) | 01/03/2025 | Business Services | — | — | 732 | — | (7 | ) | ||||||
| Sargent & Greenleaf Inc. (Revolver) | 12/20/2024 | Electronics | 8.28 | % | 3M L+550 | 593 | 593 | 587 | ||||||
| Sargent & Greenleaf Inc. (Revolver) (7) | 12/20/2024 | Electronics | — | — | 5 | - | - | |||||||
| Schlesinger Global, Inc. | 07/14/2025 | Business Services | 11.11 | % | 3M L+700 | 4,689 | 4,636 | 4,571 | ||||||
| Schlesinger Global, Inc. (Revolver) | 07/14/2025 | Business Services | 9.09 | % | 3M L+600 | 30 | 30 | 30 | ||||||
| (PIK 0.5%) | ||||||||||||||
| Schlesinger Global, Inc. (Revolver)(7) | 07/14/2025 | Business Services | — | — | 8 | — | — | |||||||
| Seaway Buyer, LLC | 06/13/2029 | Chemicals, Plastics and Rubber | 9.70 | % | 1M L+575 | 4,800 | 4,730 | 4,728 | ||||||
| Seaway Buyer, LLC (Revolver)(7) | 06/13/2029 | Chemicals, Plastics and Rubber | — | — | 3,126 | — | (47 | ) | ||||||
| Shiftkey, LLC | 06/21/2027 | Business Services | 9.56 | % | 1M L+575 | 17,955 | 17,784 | 17,722 |
EXHIBIT 99.2
PENNANTPARK INVESTMENT CORPORATION AND SUBSIDIARIES
CONSOLIDATED SCHEDULE OF INVESTMENTS—(Continued)
SEPTEMBER 30, 2022
(In thousands, except share data)
| Issuer Name | Maturity / Expiration | Industry | Current<br> Coupon | Basis Point<br> Spread Above<br> Index (4) | Par /<br> Shares | Cost | Fair Value (3) | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Sigma Defense Systems, LLC | 12/18/2025 | Telecommunications | 12.17 | % | 1M L+850 | 31,680 | $ | 31,004 | $ | 31,047 | |||||
| Sigma Defense Systems, LLC (Revolver) | 12/18/2025 | Telecommunications | 12.17 | % | 1M L+850 | 1,131 | 1,131 | 1,108 | |||||||
| Sigma Defense Systems, LLC (Revolver) (7) | 12/18/2025 | Telecommunications | — | — | 1,845 | — | (37 | ) | |||||||
| Signature Systems Holding Company (Revolver) (7) | 05/03/2024 | Chemicals, Plastics and Rubber | — | — | 2,016 | — | (15 | ) | |||||||
| Solutionreach, Inc. (Revolver) (7) | 01/17/2024 | Communications | — | — | 1,665 | — | (40 | ) | |||||||
| Spear Education, LLC | 02/26/2025 | Education | 9.42 | % | 3M L+575 | 12,018 | 11,947 | 12,018 | |||||||
| Spendmend Holdings LLC | 03/01/2028 | Business Services | 8.63 | % | 1M L+575 | 9,705 | 9,581 | 9,433 | |||||||
| Spendmend Holdings LLC (7) | 03/01/2023 | Business Services | — | — | 2,784 | — | (57 | ) | |||||||
| Spendmend Holdings LLC - Funded Revolver | 03/01/2028 | Business Services | 8.63 | % | 3M L+575 | 187 | 187 | 182 | |||||||
| Spendmend Holdings LLC - Unfunded Revolver (7) | 03/01/2028 | Business Services | — | — | 1,215 | — | (34 | ) | |||||||
| System Planning and Analysis, Inc. - (Revolver) (7) <br>(f/k/a Management Consulting & Research, LLC) | 08/16/2027 | Aerospace and Defense | — | — | 2,925 | — | (47 | ) | |||||||
| The Bluebird Group LLC | 07/27/2026 | Business Services | 10.67 | % | 3M L+700 | 4,884 | 4,796 | 4,933 | |||||||
| The Bluebird Group LLC (Revolver) (7) | 07/27/2026 | Business Services | — | — | 734 | — | 7 | ||||||||
| The Vertex Companies, LLC | 08/30/2027 | Business Services | 8.18 | % | 3M L+550 | 1,754 | 1,737 | 1,745 | |||||||
| The Vertex Companies, LLC (7) | 08/30/2027 | Business Services | — | — | 466 | — | 2 | ||||||||
| The Vertex Companies, LLC (Revolver) | 08/30/2027 | Business Services | 8.26 | % | 3M L+550 | 148 | 148 | 147 | |||||||
| The Vertex Companies, LLC (Revolver) (7) | 08/30/2027 | Business Services | — | — | 592 | — | (3 | ) | |||||||
| TVC Enterprises, LLC | 03/26/2026 | Transportation | 8.87 | % | 1M L+600 | 12,864 | 12,626 | 12,543 | |||||||
| TVC Enterprises, LLC (Revolver) (7) | 03/26/2026 | Transportation | — | — | 1,370 | — | (34 | ) | |||||||
| TWS Acquisition Corporation | 06/16/2025 | Education | 8.76 | % | 1M L+625 | 1,143 | 1,143 | 1,137 | |||||||
| TWS Acquisition Corporation (Revolver) (7) | 06/16/2025 | Education | — | — | 1,644 | — | (8 | ) | |||||||
| Tyto Athene, LLC (Revolver) (7) | 04/01/2026 | Aerospace and Defense | — | — | 364 | — | (26 | ) | |||||||
| Unique Indoor Comfort, LLC | 05/24/2027 | Home and Office Furnishings | 8.95 | % | 1M L+525 | 27,233 | 26,904 | 26,634 | |||||||
| Unique Indoor Comfort, LLC (7) | 05/24/2027 | Home and Office Furnishings | — | — | 16,140 | — | (194 | ) | |||||||
| Unique Indoor Comfort, LLC (Revolver) (7) | 05/24/2027 | Home and Office Furnishings | — | — | 3,000 | — | (66 | ) | |||||||
| Walker Edison Furniture Company LLC | 03/31/2027 | Home and Office Furnishings | 12.42 | % | 3M L+875 | 25,368 | 24,881 | 16,946 | |||||||
| Wildcat Buyerco, Inc. | 02/27/2026 | Electronics | 9.09 | % | 3M L+575 | 3,831 | 3,771 | 3,716 | |||||||
| Wildcat Buyerco, Inc. (Revolver) (7) | 02/27/2026 | Electronics | — | — | 574 | — | (41 | ) | |||||||
| Zips Car Wash, LLC | 03/01/2024 | Auto Sector | 10.13 | % | 3M L+725 | 2,627 | 2,608 | 2,562 | |||||||
| Total First Lien Secured Debt | 599,263 | 588,267 | |||||||||||||
| Second Lien Secured Debt—22.2% of Net Assets | |||||||||||||||
| Atlas Purchaser, Inc | 05/07/2029 | Telecommunications | 11.19 | % | 3M L+900 | 17,000 | 16,551 | 14,909 | |||||||
| Best Practice Associates LLC | 06/29/2027 | Aerospace and Defense | 12.67 | % | 3M L+900 | 17,825 | 17,506 | 17,290 | |||||||
| Burgess Point Purchaser Corporation | 07/28/2030 | Auto Sector | 12.16 | % | 3M L+900 | 8,000 | 7,752 | 7,680 | |||||||
| Data Axle, Inc. | 04/03/2024 | Other Media | 12.92 | % | 3M L+925 | 20,400 | 20,288 | 20,196 | |||||||
| ENC Parent Corporation | 08/19/2029 | Business Services | 11.17 | % | 3M L+750 | 7,500 | 7,432 | 7,125 | |||||||
| Halo Buyer, Inc. | 07/06/2026 | Consumer Products | 11.37 | % | 1M L+825 | 32,500 | 32,164 | 31,769 | |||||||
| Inventus Power, Inc. | 09/29/2024 | Electronics | 12.17 | % | 3M L+850 | 16,593 | 16,387 | 16,344 | |||||||
| QuantiTech LLC | 02/04/2027 | Aerospace and Defense | 12.68 | % | 3M L+1,000 | 150 | 148 | 148 | |||||||
| VT Topco, Inc. | 08/17/2026 | Business Services | 9.87 | % | 3M L+675 | 15,000 | 14,932 | 14,475 | |||||||
| Total Second Lien Secured Debt | 133,160 | 129,936 | |||||||||||||
| Subordinated Debt/Corporate Notes—9.1% of Net Assets | |||||||||||||||
| Express Wash Acquisition Company, LLC | 01/15/2029 | Auto Sector | 15.31 | % | 3M L+1,150 | 21,000 | 20,278 | 20,359 | |||||||
| Flock Financial, LLC | 05/26/2027 | Financial Services | 12.50 | % | — | 34,000 | 33,190 | 32,895 | |||||||
| Total Subordinated Debt/Corporate Notes | 53,468 | 53,254 | |||||||||||||
| Preferred Equity/Partnership Interests—1.3% of Net Assets (6) | |||||||||||||||
| Ad.net Holdings, Inc. (9) | — | Media | — | — | 2,400 | 240 | 267 | ||||||||
| AH Newco Equityholdings, LLC | — | Healthcare, Education and Childcare | 6.00 | % | — | 211 | 500 | 2,127 | |||||||
| Anteriad Holdings, LP (f/k/a MeritDirect Holdings, LP) (9) | — | Media | — | — | 1,135 | 1,135 | 1,427 | ||||||||
| Imagine Topco, LP | — | Business Services | 8.00 | % | — | 743,826 | 744 | 704 | |||||||
| Mars Intermediate Holdings II, Inc (9) | — | Media | — | — | 414 | 414 | 484 | ||||||||
| NXOF Holdings, Inc. (Tyto Athene, LLC) | — | Aerospace and Defense | — | — | 160 | 160 | 227 | ||||||||
| ORL Holdco, Inc. | — | Business Services | — | — | 575 | 57 | 62 | ||||||||
| Signature CR Intermediate Holdco, Inc. | — | Chemicals, Plastics and Rubber | 12.00 | % | — | 1,527 | 1,527 | 1,932 | |||||||
| TPC Holding Company, LP (8),(11) | — | Food | — | — | 219 | 219 | 62 | ||||||||
| TWD Parent Holdings, LLC | — | Business Services | — | — | 30 | 30 | 33 | ||||||||
| (The Vertex Companies, LLC) | |||||||||||||||
| Total Preferred Equity/Partnership Interests | 5,026 | 7,325 | |||||||||||||
| Common Equity/Partnership Interests/Warrants—26.2% of Net Assets (6) | |||||||||||||||
| Ad.net Holdings, Inc. (9) | — | Media | — | — | 2,667 | 27 | 35 | ||||||||
| Affinion Group Holdings, Inc. (Warrants) | 04/10/2024 | Consumer Products | — | — | 77,190 | 2,126 | — | ||||||||
| AG Investco LP (9) | — | Business Services | — | — | 805,164 | 805 | 1,127 | ||||||||
| AG Investco LP (7), (9) | — | Business Services | — | — | 194,836 | — | — | ||||||||
| Altamira Intermediate Company II, Inc. | — | Aerospace and Defense | — | — | 125,000 | 125 | 79 | ||||||||
| AMCSI Crash Co-Invest, LP | — | Auto Sector | — | — | 2,419,200 | 2,419 | 2,470 | ||||||||
| AMCSI Crash Co-Invest, LP (7) | — | Auto Sector | — | — | 580,800 | — | — | ||||||||
| Anteriad Holdings, LP (f/k/a MeritDirect Holdings, LP) (9) | — | Media | — | — | 1,135 | — | 270 | ||||||||
| Athletico Holdings, LLC | — | Healthcare, Education and Childcare | — | — | 9,357 | 10,000 | 9,516 | ||||||||
| Atlas Investment Aggregator, LLC (9) | — | Telecommunications | — | — | 1,700,000 | 1,700 | 1,219 | ||||||||
| Burgess Point Holdings, LP | — | Auto Sector | — | — | 680 | 680 | 690 | ||||||||
| Cartessa Aesthetics, LLC | — | Distribution | — | — | 3,562,500 | 3,563 | 3,716 | ||||||||
| CI (Allied) Investment Holdings, LLC | — | Business Services | — | — | 120,962 | 1,243 | 1,651 | ||||||||
| (PRA Events, Inc.) (9) | |||||||||||||||
| Connatix Parent, LLC | — | Media | — | — | 57,416 | 632 | 689 | ||||||||
| Cowboy Parent LLC | — | Distribution | — | — | 26,360 | 2,782 | 4,011 | ||||||||
| (Blackhawk Industrial Distribution, Inc.) |
EXHIBIT 99.2
PENNANTPARK INVESTMENT CORPORATION AND SUBSIDIARIES
CONSOLIDATED SCHEDULE OF INVESTMENTS—(Continued)
SEPTEMBER 30, 2022
(In thousands, except share data)
| Issuer Name | Maturity / Expiration | Industry | Current<br> Coupon | Basis Point<br> Spread Above<br> Index (4) | Par /<br> Shares | Cost | Fair Value (3) | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Crane 1 Acquisition Parent Holdings, L.P. | — | Personal, Food and Miscellaneous Services | — | — | 113 | $ | 104 | $ | 122 | |||||
| Delta InvestCo LP | — | Telecommunications | — | — | 698,889 | 684 | 1,425 | |||||||
| (Sigma Defense Systems, LLC) (9) | ||||||||||||||
| Delta InvestCo LP (7) | — | Telecommunications | — | — | 442,155 | — | — | |||||||
| (Sigma Defense Systems, LLC) (7), (9) | ||||||||||||||
| ECM Investors, LLC (9) | — | Electronics | — | — | 167,537 | 37 | 358 | |||||||
| eCommission Holding Corporation (11) | — | Financial Services | — | — | 80 | 1,005 | 1,391 | |||||||
| Exigo, LLC (9) | — | Business Services | — | — | 1,458,333 | 1,458 | 1,288 | |||||||
| Express Wash Topco, LLC | — | Auto Sector | — | — | 658,000 | 3,290 | 3,369 | |||||||
| FedHC InvestCo LP (9) | — | Aerospace and Defense | — | — | 14,186 | 478 | 1,441 | |||||||
| FedHC InvestCo LP (7),(9) | — | Aerospace and Defense | — | — | 6,384 | — | — | |||||||
| FedHC InvestCo II LP (9) | — | Aerospace and Defense | 20,357 | 2,290 | 2,253 | |||||||||
| Gauge Lash Coinvest LLC | — | Consumer Products | — | — | 889,376 | 137 | 4,208 | |||||||
| Gauge Schlesinger Coinvest, LLC | — | Business Services | — | — | 9 | 9 | 10 | |||||||
| Gauge TVC Coinvest, LLC | — | Transportation | — | — | 810,645 | — | 3,229 | |||||||
| (TVC Enterprises, LLC) | ||||||||||||||
| GCOM InvestCo LP (9) | — | Business Services | — | — | 2,434 | 1,003 | 587 | |||||||
| Go Dawgs Capital III, LP | — | Building Materials | — | — | 675,325 | 675 | 783 | |||||||
| (American Insulated Glass, LLC) (9) | ||||||||||||||
| Green Veracity Holdings, LP - Class A | — | Business Services | — | — | 15,000 | 1,500 | 5,700 | |||||||
| (VT Topco, Inc.) | ||||||||||||||
| Hancock Claims Consultants Investors, LLC (9) | — | Insurance | — | — | 450,000 | 450 | 477 | |||||||
| HV Watterson Holdings, LLC | — | Business Services | — | — | 1,600,000 | 1,600 | 1,387 | |||||||
| Icon Partners V C, L.P. | — | Business Services | — | — | 1,111,111 | 1,111 | 1,194 | |||||||
| Icon Partners V C, L.P. (7),(9) | — | Business Services | — | — | 388,889 | — | — | |||||||
| Imagine Topco, LP | — | Business Services | — | — | 743,826 | — | — | |||||||
| Infogroup Parent Holdings, Inc. | — | Other Media | — | — | 181,495 | 2,040 | 3,270 | |||||||
| (Data Axle, Inc.) | ||||||||||||||
| Ironclad Holdco, LLC | — | Environmental Services | — | — | 4,566 | 450 | 592 | |||||||
| (Applied Technical Services, LLC) (9) | ||||||||||||||
| ITC Infusion Co-invest, LP | — | Healthcare, Education and Childcare | — | — | 113,839 | 1,138 | 1,199 | |||||||
| ITC Rumba, LLC | — | Healthcare, Education and Childcare | — | — | 375,675 | 8 | 42,031 | |||||||
| (Cano Health, LLC) (9) | ||||||||||||||
| JWC-WE Holdings, L.P. | — | Home and Office Furnishings | — | — | 2,688 | 783 | — | |||||||
| (Walker Edison Furniture Company LLC) (9) | ||||||||||||||
| Kentucky Racing Holdco, LLC (Warrants) | — | Hotels, Motels, Inns and Gaming | — | — | 161,252 | — | 1,774 | |||||||
| Kinetic Purchaser, LLC | — | Consumer Products | — | — | 1,308,814 | 1,309 | 1,854 | |||||||
| KL Stockton Co-Invest LP | — | Personal, Food and Miscellaneous Services | — | — | 382,353 | 382 | 643 | |||||||
| (Any Hour Services) (9) | ||||||||||||||
| Lariat ecoserv Co-Invest Holdings, LLC (9) | — | Environmental Services | — | — | 363,656 | 180 | 1,376 | |||||||
| Lightspeed Investment Holdco LLC | — | Healthcare, Education and Childcare | — | — | 273,143 | 273 | 373 | |||||||
| Mars Intermidiate Holdings II, Inc. (9) | — | Media | — | — | 414 | — | 126 | |||||||
| MDI Aggregator, LP | — | Chemicals, Plastics and Rubber | — | — | 1,925,990 | 1,930 | 1,926 | |||||||
| Meadowlark Title, LLC (9) | — | Business Services | — | — | 815,385 | 815 | 897 | |||||||
| Municipal Emergency Services, Inc. | — | Distribution | — | — | 3,920,145 | 3,984 | 2,990 | |||||||
| NEPRT Parent Holdings, LLC | — | Consumer Products | — | — | 1,299 | 1,261 | 243 | |||||||
| (Recteq, LLC) (9) | ||||||||||||||
| North Haven Saints Equity Holdings, LP | — | Business Services | — | — | 351,553 | 352 | 373 | |||||||
| NXOF Holdings, Inc. | — | Aerospace and Defense | — | — | 3,261 | 3 | 68 | |||||||
| (Tyto Athene, LLC) | ||||||||||||||
| OceanSound Discovery Equity, LP | — | Aerospace and Defense | — | — | 98,286 | 979 | 1,651 | |||||||
| (Holdco Sands Intermediate, LLC) (9) | ||||||||||||||
| OHCP V BC COI, L.P. | — | Distribution | — | — | 446,250 | 446 | 382 | |||||||
| OHCP V BC COI, L.P. (7),(9) | — | Distribution | — | — | 303,750 | — | (44 | ) | ||||||
| Oral Surgery (ITC) Holdings, LLC (9) | — | Healthcare, Education and Childcare | — | — | 2,904 | 63 | 173 | |||||||
| ORL Holdco, Inc. | — | Business Services | — | — | 638 | 6 | 113 | |||||||
| PennantPark-TSO Senior Loan Fund II, LP | — | Financial Services | — | — | 15,038,871 | 15,039 | 15,571 | |||||||
| Pink Lily Holdco, LLC (9) | — | Retail | — | — | 1,044 | 1,044 | 550 | |||||||
| Pragmatic Institute, LLC | — | Business Services | — | — | 1,918,047 | 1,918 | 1,918 | |||||||
| QuantiTech InvestCo LP (9) | — | Aerospace and Defense | — | — | 712 | 68 | 352 | |||||||
| QuantiTech InvestCo LP (7),(9) | — | Aerospace and Defense | — | — | 955 | — | — | |||||||
| QuantiTech InvestCo II LP (9) | — | Aerospace and Defense | — | — | 40 | 25 | 24 | |||||||
| RFMG Parent, LP | — | Healthcare, Education and Childcare | — | — | 1,050,000 | 1,050 | 1,090 | |||||||
| (Rancho Health MSO, Inc.) | ||||||||||||||
| SBI Holdings Investments LLC | — | Business Services | — | — | 36,585 | 366 | 359 | |||||||
| (Sales Benchmark Index LLC) | ||||||||||||||
| Seaway Topco, LP | — | Chemicals, Plastics and Rubber | — | — | 2,981 | 2,981 | 2,981 | |||||||
| Signature CR Intermediate Holdco, Inc. | — | Chemicals, Plastics and Rubber | — | — | 80 | 80 | — | |||||||
| SP L2 Holdings, LLC | — | Consumer Products | — | — | 881,966 | 882 | 913 | |||||||
| SSC Dominion Holdings, LLC | — | Electronics | — | — | 1,500 | 1,500 | 2,041 | |||||||
| Class A (US Dominion, Inc.) | ||||||||||||||
| SSC Dominion Holdings, LLC | — | Electronics | — | — | 1,500 | — | 4,389 | |||||||
| Class B (US Dominion, Inc.) | ||||||||||||||
| StellPen Holdings, LLC | — | Media | — | — | 153,846 | 154 | 152 | |||||||
| (CF512, Inc.) | ||||||||||||||
| TAC LifePort Holdings, LLC (9) | — | Aerospace and Defense | — | — | 232,558 | 233 | 296 |
EXHIBIT 99.2
PENNANTPARK INVESTMENT CORPORATION AND SUBSIDIARIES
CONSOLIDATED SCHEDULE OF INVESTMENTS—(Continued)
SEPTEMBER 30, 2022
(In thousands, except share data)
| Issuer Name | Maturity / Expiration | Industry | Current<br> Coupon | Basis Point<br> Spread Above<br> Index (4) | Par /<br> Shares | Cost | Fair Value (3) | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Tower Arch Infolinks Media, LP (9) | — | Media | — | — | 531,293 | $ | 511 | $ | 896 | ||||||
| Tower Arch Infolinks Media, LP (7), (9) | — | Media | — | — | 364,151 | — | — | ||||||||
| TPC Holding Company, LP (8). (11) | — | Food | — | — | 11,527 | 12 | — | ||||||||
| TWD Parent Holdings, LLC | — | Business Services | — | — | 608 | 1 | — | ||||||||
| (The Vertex Companies, LLC) | |||||||||||||||
| U.S. Well Services, Inc. - Class A (5), (11) | — | Oil and Gas | — | — | 60,057 | 3,022 | 304 | ||||||||
| UniVista Insurance (9) | — | Business Services | — | — | 400 | 382 | 454 | ||||||||
| WCP Ivyrehab QP CF Feeder, LP | — | Healthcare, Education and Childcare | — | — | 3,762,257 | 3,762 | 3,762 | ||||||||
| WCP Ivyrehab QP CF Feeder, LP - Unfunded (7) | — | Healthcare, Education and Childcare | — | — | 237,743 | — | — | ||||||||
| Wildcat Parent, LP | — | Electronics | — | — | 2,314 | 231 | 616 | ||||||||
| (Wildcat Buyerco, Inc.) | |||||||||||||||
| Total Common Equity/Partnership Interests/Warrants | 91,596 | 153,373 | |||||||||||||
| Total Investments in Non-Controlled, Non-Affiliated Portfolio Companies | 882,513 | 932,155 | |||||||||||||
| Investments in Non-Controlled, Affiliated Portfolio Companies—5.9% of Net Assets (1), (2) | |||||||||||||||
| Preferred Equity/Partnership Interests—5.6% of Net Assets(6) | |||||||||||||||
| Cascade Environmental Holdings, LLC (9) | — | Environmental Services | — | — | 5,887,236 | 32,791 | 32,791 | ||||||||
| Total Preferred Equity/Partnership Interests | 32,791 | 32,791 | |||||||||||||
| Common Equity/Partnership Interests/Warrants—0.3% of Net Assets (6) | |||||||||||||||
| Cascade Environmental Holdings, LLC | — | Environmental Services | — | — | 7,444,347 | 2,852 | — | ||||||||
| JF Intermediate, LLC | — | Distribution | — | — | 19,687 | 1,969 | 1,969 | ||||||||
| Total Common Equity/Partnership Interests/Warrants | 4,821 | 1,969 | |||||||||||||
| Total Investments in Non-Controlled, Affiliated Portfolio Companies | 37,612 | 34,760 | |||||||||||||
| Investments in Controlled, Affiliated Portfolio Companies—44.3% of Net Assets (1), (2) | |||||||||||||||
| First Lien Secured Debt—7.3% of Net Assets | |||||||||||||||
| AKW Holdings Limited (8), (10), (11) | 03/13/2024 | Healthcare, Education and Childcare | 8.67 | % | 3M L+700 | £ | 38,250 | 52,792 | 42,698 | ||||||
| Total First Lien Secured Debt | 52,792 | 42,698 | |||||||||||||
| Second Lien Secured Debt—0% of Net Assets | |||||||||||||||
| Mailsouth Inc. | 04/23/2025 | Printing and Publishing | — | — | 12,846 | 12,383 | — | ||||||||
| Total Second Lien Secured Debt | 12,383 | — | |||||||||||||
| Subordinated Debt—15.0% of Net Assets | |||||||||||||||
| PennantPark Senior Loan Fund, LLC (11) | 07/31/2027 | Financial Services | 10.79 | % | 3M L+800 | 88,011 | 88,011 | 88,011 | |||||||
| Total Subordinated Debt | 88,011 | 88,011 | |||||||||||||
| Common Equity—22.0% of Net Assets (6) | |||||||||||||||
| AKW Holdings Limited (8), (10), (11) | — | Healthcare, Education and Childcare | — | — | £ | 950 | 132 | 3,297 | |||||||
| MSpark, LLC | — | Printing and Publishing | — | — | 51,151 | 16,516 | — | ||||||||
| PennantPark Senior Loan Fund, LLC | — | Financial Services | — | — | 49,298,789 | 49,362 | 51,098 | ||||||||
| RAM Energy Holdings LLC (9) | — | Energy and Utilities | — | — | 180,805 | 162,708 | 74,282 | ||||||||
| Total Common Equity | 228,718 | 128,677 | |||||||||||||
| Total Investments in Controlled, Affiliated Portfolio Companies | 381,904 | 259,386 | |||||||||||||
| Total Investments—209.4% of Net Assets | 1,302,029 | 1,226,301 | |||||||||||||
| Cash and Cash Equivalents—9.0% of Net Assets | |||||||||||||||
| BlackRock Federal FD Institutional 30 | 39,122 | 39,122 | |||||||||||||
| BNY Mellon Cash Reserve and Cash | 13,722 | 13,544 | |||||||||||||
| Total Cash and Cash Equivalents | 52,844 | 52,666 | |||||||||||||
| Total Investments and Cash Equivalents—218.4% of Net Assets | $ | 1,354,873 | $ | 1,278,967 | |||||||||||
| Liabilities in Excess of Other Assets—(118.4%) of Net Assets | (693,402 | ) | |||||||||||||
| Net Assets—100.0% | $ | 585,565 |
(1) The provisions of the 1940 Act classify investments based on the level of control that we maintain in a particular portfolio company. As defined in the 1940 Act, a company is generally presumed to be “non-controlled” when we own 25% or less of the portfolio company’s voting securities and “controlled” when we own more than 25% of the portfolio company’s voting securities.
(2) The provisions of the 1940 Act classify investments further based on the level of ownership that we maintain in a particular portfolio company. As defined in the 1940 Act, a company is generally deemed as “non-affiliated” when we own less than 5% of a portfolio company’s voting securities and “affiliated” when we own 5% or more of a portfolio company’s voting securities (See Note 6).
(3) Valued based on our accounting policy (See Note 2).
(4) Represents floating rate instruments that accrue interest at a predetermined spread relative to an index, typically the applicable London Interbank Offered Rate, or LIBOR or “L,” the Euro Interbank Offered Rate, or EURIBOR or “E,” , or Secured Overnight Financing Rate, or "SOFR", or Prime rate, or “P.” The spread may change based on the type of rate used. The terms in the Schedule of Investments disclose the actual interest rate in effect as of the reporting period. LIBOR loans are typically indexed to a 30-day, 90-day or 180-day LIBOR rate (1M L, 3M L, or 6M L, respectively), and EURIBOR loans are typically indexed to a 90-day EURIBOR rate (3M E), SOFR loans are typically indexed to a 30-day, 90-day or 180-day SOFR rates (1M L, 3M L, or 6M L, respectively)at the borrower’s option. All securities are subject to a LIBOR, SOFR or Prime rate floor where a spread is provided, unless noted. The spread provided includes PIK interest and other fee rates, if any.
(5) The security was not valued using significant unobservable inputs. The value of all other securities was determined using significant unobservable inputs (See Note 5).
(6) Non-income producing securities.
(7) Represents the purchase of a security with delayed settlement or a revolving line of credit that is currently an unfunded investment. This security does not earn a basis point spread above an index while it is unfunded.
(8) Non-U.S. company or principal place of business outside the United States.
(9) Investment is held through our Taxable Subsidiary (See Note 1).
(10) Par / Shares amount is denominated in British Pounds (£) as denoted.
(11) The investment is treated as a non-qualifying asset under Section 55(a) of the 1940 Act. Under the 1940 Act, we may not acquire any non-qualifying asset unless, at the time the acquisition is made, qualifying assets represent at least 70% of our total assets. As of September 30, 2022, qualifying assets represent 88% of the Company’s total assets and non-qualifying assets represent 12% of the Company’s total assets.
EXHIBIT 99.2
PENNANTPARK INVESTMENT CORPORATION AND SUBSIDIARIES
CONSOLIDATED SCHEDULE OF INVESTMENTS
SEPTEMBER 30, 2021
(In thousands, except share data)
| Issuer Name | Maturity / Expiration | Industry | Current<br> Coupon | Basis Point<br> Spread Above<br> Index (4) | Par /<br> Shares | Cost | Fair Value (3) | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Investments in Non-Controlled, Non-Affiliated Portfolio Companies—124.3% (1), (2) | ||||||||||||||
| First Lien Secured Debt—77.5% | ||||||||||||||
| 18 Freemont Street Acquisition, LLC | 08/11/2025 | Hotels, Motels, Inns and Gaming | 9.50 | % | 1M L+800 | 7,433 | $ | 6,815 | $ | 7,563 | ||||
| Ad.net Acquisition, LLC (Revolver) | 05/06/2026 | Media | 7.00 | % | 3M L+600 | 76 | 76 | 74 | ||||||
| Ad.net Acquisition, LLC (Revolver) (7) | 05/06/2026 | Media | — | — | 369 | — | (6 | ) | ||||||
| Altamira Technologies, LLC (Revolver) | 07/24/2025 | Aerospace and Defense | 8.00 | % | 3M L+700 | 50 | 50 | 47 | ||||||
| Altamira Technologies, LLC (Revolver) (7) | 07/24/2025 | Aerospace and Defense | — | — | 138 | — | (9 | ) | ||||||
| American Insulated Glass, LLC | 12/21/2023 | Building Materials | 6.50 | % | 3M L+550 | 15,795 | 15,639 | 15,637 | ||||||
| Any Hour Services (7) | 07/21/2027 | Personal, Food and Miscellaneous Services | — | — | 3,824 | — | (38 | ) | ||||||
| Any Hour Services (Revolver) (7) | 07/21/2027 | Personal, Food and Miscellaneous Services | — | — | 1,147 | — | (23 | ) | ||||||
| Apex Service Partners, LLC | 07/31/2025 | Personal, Food and Miscellaneous Services | 6.25 | % | 1M L+525 | 1,331 | 1,331 | 1,317 | ||||||
| Apex Service Partners, LLC Term Loan C | 07/31/2025 | Personal, Food and Miscellaneous Services | 6.25 | % | 1M L+525 | 5,592 | 5,509 | 5,536 | ||||||
| Apex Service Partners, LLC Term Loan C (7) | 01/31/2022 | Personal, Food and Miscellaneous Services | — | — | 6,658 | — | (8 | ) | ||||||
| Apex Service Partners, LLC (Revolver) | 07/29/2024 | Personal, Food and Miscellaneous Services | 6.25 | % | 3M L+525 | 239 | 239 | 235 | ||||||
| Apex Service Partners, LLC (Revolver) (7) | 07/29/2024 | Personal, Food and Miscellaneous Services | — | — | 693 | — | (12 | ) | ||||||
| Applied Technical Services, LLC (7) | 06/29/2022 | Environmental Services | — | — | 6,235 | — | (55 | ) | ||||||
| Applied Technical Services, LLC (Revolver) (7) | 12/29/2026 | Environmental Services | — | — | 1,000 | — | (20 | ) | ||||||
| Bottom Line Systems, LLC | 02/13/2023 | Healthcare, Education and Childcare | 6.25 | % | 1M L+550 | 6,153 | 6,128 | 6,153 | ||||||
| Broder Bros., Co. | 12/02/2022 | Consumer Products | 9.75 | % | 3M L+850 | 25,333 | 25,333 | 25,333 | ||||||
| CF512, Inc. | 08/20/2026 | Media | 7.00 | % | 3M L+600 | 10,000 | 9,802 | 9,800 | ||||||
| CF512, Inc. (7) | 08/20/2026 | Media | — | — | 2,727 | — | (27 | ) | ||||||
| CF512, Inc.(Revolver) (7) | 08/20/2026 | Media | — | — | 909 | — | (18 | ) | ||||||
| Compex Legal Services, Inc. | 02/09/2026 | Business Services | 6.75 | % | 3M L+575 | 3,570 | 3,514 | 3,529 | ||||||
| Compex Legal Services, Inc. (Revolver) | 02/07/2025 | Business Services | 6.75 | % | 3M L+575 | 459 | 459 | 454 | ||||||
| Compex Legal Services, Inc. (Revolver) (7) | 02/07/2025 | Business Services | — | — | 197 | — | (2 | ) | ||||||
| Connatix Buyer, Inc. | 07/13/2027 | Media | 6.25 | % | 3M L+550 | 12,000 | 11,766 | 11,760 | ||||||
| Connatix Buyer, Inc. (7) | 01/13/2023 | Media | — | — | 3,158 | — | (32 | ) | ||||||
| Connatix Buyer, Inc. (Revolver) | 07/13/2027 | Media | 6.25 | % | 3M L+550 | 186 | 186 | 182 | ||||||
| Connatix Buyer, Inc. (Revolver) (7) | 07/13/2027 | Media | — | — | 1,673 | — | (33 | ) | ||||||
| Crane 1 Services, Inc. | 08/16/2027 | Personal, Food and Miscellaneous Services | 6.75 | % | 3M L+575 | 1,847 | 1,820 | 1,829 | ||||||
| Crane 1 Services, Inc. (7) | 08/16/2023 | Personal, Food and Miscellaneous Services | — | — | 778 | — | (2 | ) | ||||||
| Crane 1 Services, Inc. (Revolver) (7) | 08/16/2027 | Personal, Food and Miscellaneous Services | — | — | 292 | — | (3 | ) | ||||||
| Crash Champions, LLC | 08/05/2025 | Auto Sector | 6.00 | % | 3M L+500 | 4,751 | 4,704 | 4,656 | ||||||
| Crash Champions, LLC (7) | 05/14/2022 | Auto Sector | — | — | 6,749 | — | (67 | ) | ||||||
| DermaRite Industries LLC | 03/03/2022 | Manufacturing / Basic Industries | 8.00 | % | 1M L+700 | 8,055 | 8,041 | 7,720 | ||||||
| Dr. Squatch, LLC | 08/27/2026 | Personal and Non-Durable Consumer Products | 7.00 | % | 3M L+600 | 13,515 | 13,247 | 13,244 | ||||||
| Dr. Squatch, LLC (Revolver) | 08/27/2026 | Personal and Non-Durable Consumer Products | 7.00 | % | 3M L+600 | 1,706 | 1,706 | 1,671 | ||||||
| Dr. Squatch, LLC (Revolver) (7) | 08/27/2026 | Personal and Non-Durable Consumer Products | — | — | 620 | — | (12 | ) | ||||||
| DRS Holdings III, Inc. | 11/03/2025 | Consumer Products | 7.25 | % | 3M L+625 | 9,975 | 9,882 | 9,905 | ||||||
| DRS Holdings III, Inc. (Revolver) (7) | 11/03/2025 | Consumer Products | — | — | 1,783 | — | (12 | ) | ||||||
| ECL Entertainment, LLC | 03/31/2028 | Hotels, Motels, Inns and Gaming | 8.25 | % | 1M L+750 | 8,747 | 8,664 | 8,944 | ||||||
| ECM Industries, LLC (Revolver) (7) | 12/23/2025 | Electronics | — | — | 518 | — | (3 | ) | ||||||
| Fairbanks Morse Defense | 06/17/2028 | Aerospace and Defense | 5.50 | % | 3M L+475 | 3,500 | 3,487 | 3,500 | ||||||
| Gantech Acquisition Corp. | 05/14/2026 | Business Services | 7.25 | % | 1M L+625 | 19,900 | 19,522 | 19,502 | ||||||
| Gantech Acquisition Corp. (Revolver) | 05/14/2026 | Business Services | 7.25 | % | 1M L+625 | 498 | 498 | 488 | ||||||
| Gantech Acquisition Corp. (Revolver) (7) | 05/14/2026 | Business Services | — | — | 1,493 | — | (30 | ) | ||||||
| Graffiti Buyer, Inc. | 08/10/2027 | Distribution | 6.75 | % | 3M L+575 | 1,994 | 1,955 | 1,964 | ||||||
| Graffiti Buyer, Inc. (7) | 08/10/2023 | Distribution | — | — | 893 | — | (4 | ) | ||||||
| Graffiti Buyer, Inc. (Revolver) (7) | 08/10/2027 | Distribution | — | — | 769 | — | (18 | ) | ||||||
| Hancock Roofing and Construction L.L.C. (7) | 12/31/2022 | Insurance | — | — | 1,500 | — | (15 | ) | ||||||
| Hancock Roofing and Construction L.L.C. (Revolver) (7) | 12/31/2026 | Insurance | — | — | 750 | — | (8 | ) | ||||||
| HW Holdco, LLC | 12/10/2024 | Media | 5.50 | % | 3M L+450 | 2,541 | 2,526 | 2,516 | ||||||
| HW Holdco, LLC (Revolver) | 12/10/2024 | Media | 5.50 | % | 3M L+450 | 1,219 | 1,219 | 1,207 | ||||||
| HW Holdco, LLC (Revolver) (7) | 12/10/2024 | Media | — | — | 2,168 | — | (22 | ) | ||||||
| IG Investments Holdings, LLC | 09/22/2028 | Business Services | 6.75 | % | 3M L+600 | 4,518 | 4,428 | 4,428 | ||||||
| IG Investments Holdings, LLC (Revolver) (7) | 09/22/2027 | Business Services | — | — | 477 | — | — | |||||||
| IMIA Holdings, Inc. | 04/09/2027 | Aerospace and Defense | 6.75 | % | 3M L+575 | 13,589 | 13,341 | 13,317 | ||||||
| IMIA Holdings, Inc. (Revolver) (7) | 04/09/2027 | Aerospace and Defense | — | — | 1,674 | — | (33 | ) | ||||||
| Integrity Marketing Acquisition, LLC | 08/27/2025 | Insurance | 6.49 | % | 3M L+550 | 17,220 | 17,116 | 17,134 | ||||||
| Integrity Marketing Acquisition, LLC (7) | 07/09/2023 | Insurance | — | — | 4,278 | — | 11 | |||||||
| Juniper Landscaping of Florida, LLC | 12/22/2021 | Personal, Food and Miscellaneous Services | 6.50 | % | 1M L+550 | 2,615 | 2,611 | 2,615 | ||||||
| K2 Pure Solutions NoCal, L.P. | 12/20/2023 | Chemicals, Plastics and Rubber | 8.00 | % | 1M L+700 | 11,800 | 11,712 | 11,486 | ||||||
| K2 Pure Solutions NoCal, L.P. (Revolver) | 12/20/2023 | Chemicals, Plastics and Rubber | 8.00 | % | 1M L+700 | 872 | 872 | 849 | ||||||
| K2 Pure Solutions NoCal, L.P. (Revolver) (7) | 12/20/2023 | Chemicals, Plastics and Rubber | — | — | 1,066 | — | (28 | ) | ||||||
| Lash OpCo, LLC | 02/18/2027 | Consumer Products | 8.00 | % | 1M L+700 | 30,000 | 29,335 | 29,400 | ||||||
| Lash OpCo, LLC (Revolver) | 08/16/2026 | Consumer Products | 8.00 | % | 1M L+700 | 291 | 291 | 285 | ||||||
| Lash OpCo, LLC (Revolver) (7) | 08/19/2026 | Consumer Products | — | — | 1,528 | — | (31 | ) | ||||||
| LAV Gear Holdings, Inc. | 10/31/2024 | Leisure, Amusement, Motion Pictures, Entertainment | 8.50 | % | 1M L+750 | 790 | 785 | 741 | ||||||
| (PIK 5.00%) | ||||||||||||||
| Lightspeed Buyer Inc. | 02/03/2026 | Healthcare, Education and Childcare | 6.75 | % | 1M L+575 | 4,994 | 4,922 | 4,994 | ||||||
| Lightspeed Buyer Inc. (Revolver) (7) | 02/03/2026 | Healthcare, Education and Childcare | — | — | 1,166 | — | — | |||||||
| Lombart Brothers, Inc. | 04/13/2023 | Healthcare, Education and Childcare | 7.25 | % | 1M L+625 | 1,036 | 1,036 | 1,036 | ||||||
| Lombart Brothers, Inc. (Revolver) | 04/13/2023 | Healthcare, Education and Childcare | 7.25 | % | 1M L+625 | 737 | 737 | 737 |
EXHIBIT 99.2
PENNANTPARK INVESTMENT CORPORATION AND SUBSIDIARIES
CONSOLIDATED SCHEDULE OF INVESTMENTS—(Continued)
SEPTEMBER 30, 2021
(In thousands, except share data)
| Issuer Name | Maturity / Expiration | Industry | Current<br> Coupon | Basis Point<br> Spread Above<br> Index (4) | Par /<br> Shares | Cost | Fair Value (3) | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Mars Acquisition Holdings Corp. (Revolver)(7) | 5/14/2026 | Media | — | — | 806 | $ | - | $ | (8 | ) | ||||
| MBS Holdings, Inc. (Revolver) (7) | 04/16/2027 | Telecommunications | — | — | 694 | — | (14 | ) | ||||||
| MeritDirect, LLC | 05/23/2024 | Media | 6.50 | % | 3M L+550 | 2,759 | 2,736 | 2,732 | ||||||
| MeritDirect, LLC (Revolver) (7) | 05/23/2024 | Media | — | — | 2,518 | — | (25 | ) | ||||||
| Municipal Emergency Services, Inc. | 09/28/2027 | Distribution | 6.00 | % | 3M L+500 | 6,953 | 6,814 | 6,814 | ||||||
| Municipal Emergency Services, Inc. (7) | 09/28/2027 | Distribution | — | — | 1,880 | — | — | |||||||
| Municipal Emergency Services, Inc. (Revolver) (7) | 09/28/2027 | Distribution | — | — | 1,880 | — | — | |||||||
| NBH Group LLC | 08/19/2026 | Healthcare, Education and Childcare | 6.50 | % | 1M L+550 | 7,561 | 7,413 | 7,410 | ||||||
| NBH Group LLC (Revolver) (7) | 08/19/2026 | Healthcare, Education and Childcare | — | — | 1,163 | — | (23 | ) | ||||||
| OIS Management Services, LLC | 07/09/2026 | Healthcare, Education and Childcare | 5.75 | % | 3M L+475 | 3,893 | 3,843 | 3,834 | ||||||
| OIS Management Services, LLC (7) | 07/09/2023 | Healthcare, Education and Childcare | — | — | 1,433 | — | (11 | ) | ||||||
| OIS Management Services, LLC (Revolver) (7) | 07/09/2026 | Healthcare, Education and Childcare | — | — | 333 | — | (5 | ) | ||||||
| One Stop Mailing, LLC | 05/07/2027 | Cargo Transport | 7.25 | % | 3M L+625 | 14,920 | 14,631 | 14,659 | ||||||
| ORL Acquisition, Inc. | 09/03/2027 | Business Services | 6.25 | % | 3M L+525 | 5,041 | 4,941 | 4,940 | ||||||
| ORL Acquisition, Inc. (Revolver) (7) | 09/03/2027 | Business Services | — | — | 597 | — | — | |||||||
| Ox Two, LLC | 05/18/2026 | Building Materials | 7.00 | % | 1M L+600 | 15,671 | 15,435 | 15,358 | ||||||
| Ox Two, LLC (Revolver) | 05/18/2026 | Building Materials | 7.00 | % | 1M L+600 | 645 | 645 | 632 | ||||||
| Ox Two, LLC (Revolver) (7) | 05/18/2026 | Building Materials | — | — | 1,774 | — | (35 | ) | ||||||
| PRA Events, Inc. | 08/07/2025 | Business Services | 11.50 | % | 3M L+1,050 | 23,675 | 20,421 | 22,373 | ||||||
| (PIK 11.50%) | ||||||||||||||
| PRA Events, Inc. (Revolver) | 08/07/2025 | Business Services | 11.50 | % | 3M L+1,050 | 2,461 | 2,123 | 2,326 | ||||||
| (PIK 11.50%) | ||||||||||||||
| Quantic Electronics, LLC | 11/19/2026 | Aerospace and Defense | 7.25 | % | 1M L+625 | 6,188 | 6,095 | 6,064 | ||||||
| Quantic Electronics, LLC (7) | 11/19/2026 | Aerospace and Defense | — | — | 2,094 | — | (21 | ) | ||||||
| Quantic Electronics, LLC (Revolver) (7) | 11/19/2026 | Aerospace and Defense | — | — | 528 | — | (11 | ) | ||||||
| Questex, LLC | 09/09/2024 | Media | 6.00 | % | 3M L+500 | 21,825 | 21,584 | 20,516 | ||||||
| Questex, LLC (Revolver) | 09/09/2024 | Media | 6.00 | % | 3M L+500 | 2,154 | 2,154 | 2,025 | ||||||
| Questex, LLC (Revolver) (7) | 09/09/2024 | Media | — | — | 1,436 | — | (86 | ) | ||||||
| Radius Aerospace, Inc. (Revolver) (7) | 03/31/2025 | Aerospace and Defense | — | — | 2,227 | — | (63 | ) | ||||||
| Rancho Health MSO, Inc. (7) | 12/18/2025 | Healthcare, Education and Childcare | — | — | 1,050 | — | — | |||||||
| Rancho Health MSO, Inc. (Revolver) (7) | 12/18/2025 | Healthcare, Education and Childcare | — | — | 525 | — | — | |||||||
| Recteq, LLC (Revolver) (7) | 01/29/2026 | Consumer Products | — | — | 1,127 | — | (11 | ) | ||||||
| Research Horizons, LLC | 06/28/2022 | Media | 7.25 | % | 1M L+625 | 28,796 | 28,682 | 28,508 | ||||||
| Research Now Group, Inc. and Dynata, LLC | 12/20/2024 | Business Services | 6.50 | % | 3M L+550 | 2,884 | 2,884 | 2,847 | ||||||
| Riverpoint Medical, LLC (Revolver) (7) | 06/20/2025 | Healthcare, Education and Childcare | — | — | 364 | — | (4 | ) | ||||||
| Riverside Assessments, LLC | 03/10/2025 | Education | 6.75 | % | 3M L+575 | 16,174 | 15,952 | 15,769 | ||||||
| Sales Benchmark Index LLC (Revolver) (7) | 01/03/2025 | Business Services | — | — | 732 | — | (18 | ) | ||||||
| Sargent & Greenleaf Inc. (Revolver) | 12/20/2024 | Electronics | 7.00 | % | 3M L+550 | 299 | 299 | 299 | ||||||
| Sargent & Greenleaf Inc. (Revolver) (7) | 12/20/2024 | Electronics | — | — | 299 | — | — | |||||||
| Schlesinger Global, Inc. | 07/14/2025 | Business Services | 8.00 | % | 3M L+700 | 512 | 507 | 489 | ||||||
| (PIK 1.00%) | ||||||||||||||
| Schlesinger Global, Inc. (Revolver) | 07/14/2025 | Business Services | 8.00 | % | 3M L+700 | 24 | 24 | 23 | ||||||
| (PIK 1.00%) | ||||||||||||||
| Schlesinger Global, Inc. (Revolver)(7) | 07/14/2025 | Business Services | — | — | 14 | — | (1 | ) | ||||||
| Sigma Defense Systems, LLC | 12/18/2025 | Telecommunications | 9.75 | % | 3M L+875 | 6,520 | 6,378 | 6,406 | ||||||
| Sigma Defense Systems, LLC (Revolver) (7) | 12/18/2025 | Telecommunications | — | — | 951 | — | (17 | ) | ||||||
| Signature Systems Holding Company - Term Loan II | 12/31/2021 | Chemicals, Plastics and Rubber | 8.50 | % | 3M L+750 | 806 | 802 | 798 | ||||||
| Signature Systems Holding Company (Revolver) | 05/03/2024 | Chemicals, Plastics and Rubber | 8.50 | % | 3M L+750 | 484 | 484 | 479 | ||||||
| Signature Systems Holding Company (Revolver) (7) | 05/03/2024 | Chemicals, Plastics and Rubber | — | — | 1,532 | — | (15 | ) | ||||||
| Solutionreach, Inc. (Revolver) (7) | 01/17/2024 | Communications | — | — | 1,665 | — | — | |||||||
| Spear Education, LLC | 02/26/2025 | Education | 6.00 | % | 3M L+500 | 14,898 | 14,781 | 14,898 | ||||||
| Spear Education, LLC (7) | 02/26/2022 | Education | — | — | 6,875 | — | — | |||||||
| Spectacle Gary Holdings, LLC | 12/23/2025 | Hotels, Motels, Inns and Gaming | 11.00 | % | 1M L+900 | 21,546 | 20,972 | 23,391 | ||||||
| TAC LifePort Purchaser, LLC (Revolver) (7) | 03/01/2026 | Aerospace and Defense | — | — | 620 | — | (0 | ) | ||||||
| The Bluebird Group LLC | 07/27/2026 | Business Services | 8.00 | % | 3M L+700 | 5,606 | 5,496 | 5,570 | ||||||
| The Bluebird Group LLC (Revolver) (7) | 07/27/2026 | Business Services | — | — | 734 | — | (5 | ) | ||||||
| The Vertex Companies, LLC | 08/30/2027 | Business Services | 6.50 | % | 1M L+550 | 4,577 | 4,486 | 4,491 | ||||||
| The Vertex Companies, LLC (7) | 08/30/2027 | Business Services | — | — | 2,221 | — | (19 | ) | ||||||
| The Vertex Companies, LLC (Revolver) (7) | 08/30/2027 | Business Services | — | — | 740 | — | (14 | ) | ||||||
| TPC Canada Parent, Inc. and TPC US Parent, LLC (8),(11) | 11/24/2025 | Food | 6.25 | % | 3M L+525 | 1,771 | 1,771 | 1,718 | ||||||
| TVC Enterprises, LLC | 03/26/2026 | Transportation | 6.75 | % | 1M L+575 | 15,506 | 15,347 | 15,506 | ||||||
| TVC Enterprises, LLC (Revolver) (7) | 03/26/2026 | Transportation | — | — | 2,702 | — | — | |||||||
| TWS Acquisition Corporation | 06/16/2025 | Education | 7.25 | % | 1M L+625 | 4,137 | 4,137 | 4,137 | ||||||
| TWS Acquisition Corporation (Revolver) (7) | 06/16/2025 | Education | — | — | 1,644 | — | — | |||||||
| Tyto Athene, LLC (Revolver) (7) | 04/01/2026 | Aerospace and Defense | — | — | 364 | — | — | |||||||
| Walker Edison Furniture Company LLC | 03/31/2027 | Home and Office Furnishings | 6.75 | % | 3M L+575 | 24,875 | 24,293 | 23,942 | ||||||
| Wildcat Buyerco, Inc. | 02/27/2026 | Electronics | 6.00 | % | 3M L+500 | 1,629 | 1,612 | 1,621 | ||||||
| Wildcat Buyerco, Inc. (7) | 02/27/2022 | Electronics | — | — | 2,574 | — | 16 | |||||||
| Wildcat Buyerco, Inc. (Revolver) (7) | 02/27/2026 | Electronics | — | — | 551 | — | (7 | ) | ||||||
| Total First Lien Secured Debt | 509,046 | 511,405 | ||||||||||||
| Second Lien Secured Debt—16.2% | ||||||||||||||
| Atlas Purchaser, Inc | 05/07/2029 | Telecommunications | 9.75 | % | 3M L+900 | 17,000 | 16,506 | 16,873 | ||||||
| Data Axle, Inc. | 04/03/2024 | Other Media | 10.25 | % | 3M L+925 | 20,400 | 20,220 | 20,400 | ||||||
| ENC Parent Corporation | 08/19/2029 | Business Services | 8.25 | % | 3M L+750 | 7,500 | 7,426 | 7,425 | ||||||
| Halo Buyer, Inc. | 07/06/2026 | Consumer Products | 9.25 | % | 1M L+825 | 32,500 | 32,106 | 31,119 | ||||||
| Inventus Power, Inc. | 09/29/2024 | Electronics | 9.50 | % | 3M L+850 | 16,593 | 16,292 | 16,261 | ||||||
| QuantiTech LLC | 02/04/2027 | Aerospace and Defense | 11.00 | % | 3M L+1,000 | 150 | 147 | 147 | ||||||
| VT Topco, Inc. | 08/17/2026 | Business Services | 7.06 | % | 3M L+675 | 15,000 | 14,922 | 15,000 | ||||||
| Total Second Lien Secured Debt | $ | 107,620 | $ | 107,225 |
EXHIBIT 99.2
PENNANTPARK INVESTMENT CORPORATION AND SUBSIDIARIES
CONSOLIDATED SCHEDULE OF INVESTMENTS—(Continued)
SEPTEMBER 30, 2021
(In thousands, except share data)
| Issuer Name | Maturity / Expiration | Industry | Current<br> Coupon | Basis Point<br> Spread Above<br> Index (4) | Par /<br> Shares | Cost | Fair Value (3) | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Subordinated Debt/Corporate Notes—8.6% | |||||||||||||||
| Blackhawk Industrial Distribution, Inc. | 03/17/2025 | Distribution | 12.00 | % | — | 14,335 | $ | 14,165 | $ | 14,335 | |||||
| (PIK 2.00%) | |||||||||||||||
| Cascade Environmental LLC | 12/30/2023 | Environmental Services | 13.00 | % | — | 42,468 | 42,150 | 42,680 | |||||||
| (PIK 13.00%) | |||||||||||||||
| Total Subordinated Debt/Corporate Notes | 56,315 | 57,015 | |||||||||||||
| Preferred Equity/Partnership Interests—3.9% (6) | |||||||||||||||
| Ad.net Holdings, Inc. (9) | — | Media | — | — | 2,400 | 240 | 240 | ||||||||
| AH Newco Equityholdings, LLC | — | Healthcare, Education and Childcare | 6.00 | % | — | 211 | 500 | 944 | |||||||
| Cascade Environmental LLC | — | Environmental Services | 16.00 | % | — | 178,304 | 17,607 | 21,133 | |||||||
| Mars Intermediate Holdings II, Inc | Media | — | — | 414 | 414 | 432 | |||||||||
| MeritDirect Holdings, LP (9) | — | Media | — | — | 540 | 540 | 693 | ||||||||
| NXOF Holdings, Inc. (Tyto Athene, LLC) | — | Aerospace and Defense | — | — | 160 | 160 | 202 | ||||||||
| ORL Holdco, Inc. | — | Business Services | — | — | 575 | 57 | 57 | ||||||||
| Signature CR Intermediate Holdco, Inc. | — | Chemicals, Plastics and Rubber | 12.00 | % | — | 1,527 | 1,527 | 1,879 | |||||||
| TPC Holding Company, LP (8),(11) | — | Food | — | — | 219 | 219 | 262 | ||||||||
| TWD Parent Holdings, LLC (The Vertex Companies, LLC) | — | Business Services | — | — | 30 | 30 | 30 | ||||||||
| Total Preferred Equity/Partnership Interests | 21,295 | 25,873 | |||||||||||||
| Common Equity/Partnership Interests/Warrants—18.0% (6) | |||||||||||||||
| Ad.net Holdings, Inc. (9) | — | Media | — | — | 2,667 | 27 | 49 | ||||||||
| Affinion Group Holdings, Inc. (Warrants) | 04/10/2024 | Consumer Products | — | — | 77,190 | 2,126 | — | ||||||||
| AG Investco LP (9) | — | Business Services | — | — | 805,164 | 805 | 1,192 | ||||||||
| AG Investco LP (7), (9) | — | Business Services | — | — | 194,836 | — | — | ||||||||
| Altamira Intermediate Company II, Inc. | — | Aerospace and Defense | — | — | 125,000 | 125 | 33 | ||||||||
| Atlas Investment Aggregator, LLC (9) | — | Telecommunications | — | — | 1,700,000 | 1,700 | 1,710 | ||||||||
| Cascade Environmental Holdings, LLC (9) | — | Environmental Services | — | — | 33,901 | 2,852 | 478 | ||||||||
| CI (Allied) Investment Holdings, LLC | — | Business Services | — | — | 120,962 | 1,243 | 475 | ||||||||
| (PRA Events, Inc.) (9) | |||||||||||||||
| Connatix Parent, LLC | — | Media | — | — | 57,416 | 632 | 635 | ||||||||
| Cowboy Parent LLC | — | Distribution | — | — | 22,500 | 2,250 | 1,902 | ||||||||
| (Blackhawk Industrial Distribution, Inc.) | |||||||||||||||
| Crane 1 Acquisition Parent Holdings, L.P. | — | Personal, Food and Miscellaneous Services | — | — | 113 | 104 | 104 | ||||||||
| Crash Champion Holdings, LLC (9) | — | Auto Sector | — | — | 36 | 328 | 369 | ||||||||
| Delta InvestCo LP (Sigma Defense Systems, LLC) (9) | — | Telecommunications | — | — | 570,522 | 571 | 488 | ||||||||
| Delta InvestCo LP (Sigma Defense Systems, LLC) (7), (9) | — | Telecommunications | — | — | 570,522 | — | (82 | ) | |||||||
| ECM Investors, LLC (9) | — | Electronics | — | — | 167,537 | 41 | 565 | ||||||||
| eCommission Holding Corporation (11) | — | Financial Services | — | — | 80 | 1,005 | 1,153 | ||||||||
| FedHC InvestCo LP (9) | — | Aerospace and Defense | — | — | 3,331 | 333 | 339 | ||||||||
| FedHC InvestCo LP (7),(9) | — | Aerospace and Defense | — | — | 4,072 | — | — | ||||||||
| Gauge Lash Coinvest LLC | — | Consumer Products | — | — | 889,376 | 136 | 3,558 | ||||||||
| Gauge Schlesinger Coinvest, LLC | — | Business Services | — | — | 9 | 9 | 9 | ||||||||
| Gauge TVC Coinvest, LLC | — | Transportation | — | — | 810,645 | — | 2,663 | ||||||||
| (TVC Enterprises, LLC) | — | — | |||||||||||||
| GCOM InvestCo LP (9) | — | Business Services | — | — | 1,855 | 809 | 352 | ||||||||
| GCOM InvestCo LP (7),(9) | — | Business Services | — | — | 965 | — | — | ||||||||
| Go Dawgs Capital III, LP | — | Building Materials | — | — | 675,325 | 675 | 844 | ||||||||
| (American Insulated Glass, LLC) (9) | |||||||||||||||
| Green Veracity Holdings, LP - Class A | — | Business Services | — | — | 15,000 | 1,500 | 5,320 | ||||||||
| (VT Topco, Inc.) | |||||||||||||||
| Hancock Claims Consultants Investors, LLC (9) | — | Insurance | — | — | 450,000 | 450 | 613 | ||||||||
| Infogroup Parent Holdings, Inc. (Data Axle, Inc.) | — | Other Media | — | — | 181,495 | 2,040 | 3,221 | ||||||||
| Ironclad Holdco, LLC (Applied Technical Services, LLC) (9) | — | Environmental Services | — | — | 3,960 | 390 | 434 | ||||||||
| ITC Rumba, LLC (Cano Health, LLC) (9) | — | Healthcare, Education and Childcare | — | — | 375,675 | — | 60,808 | ||||||||
| JWC-WE Holdings, L.P. | — | Home and Office Furnishings | — | — | 1,906,433 | — | 6,616 | ||||||||
| (Walker Edison Furniture Company LLC) (9) | |||||||||||||||
| Kadmon Holdings, Inc. (5) | — | Healthcare, Education and Childcare | — | — | 252,014 | 2,266 | 2,195 | ||||||||
| Kentucky Racing Holdco, LLC (Warrants) (9) | — | Hotels, Motels, Inns and Gaming | — | — | 161,252 | — | 1,147 | ||||||||
| KL Stockton Co-Invest LP (Any Hour Services) (9) | — | Personal, Food and Miscellaneous Services | — | — | 382,353 | 382 | 382 | ||||||||
| Lariat ecoserv Co-Invest Holdings, LLC (9) | — | Environmental Services | — | — | 363,656 | 364 | 1,044 | ||||||||
| Lightspeed Investment Holdco LLC | — | Healthcare, Education and Childcare | — | — | 273,143 | 273 | 315 | ||||||||
| Mars Intermidiate Holdings II, Inc. | — | Media | — | — | 414 | — | 169 | ||||||||
| MeritDirect Holdings, LP (9) | — | Media | — | — | 540 | — | 126 | ||||||||
| Municipal Emergency Services, Inc. | — | Distribution | — | — | 1,593,514 | 1,594 | 1,594 | ||||||||
| NEPRT Parent Holdings, LLC (Recteq, LLC) (9) | — | Consumer Products | — | — | 1,299 | 1,262 | 1,537 | ||||||||
| NXOF Holdings, Inc. | — | Aerospace and Defense | — | — | 3,261 | 3 | 186 | ||||||||
| (Tyto Athene, LLC) | |||||||||||||||
| OceanSound Discovery Equity, LP | — | Aerospace and Defense | — | — | 98,286 | 979 | 1,625 | ||||||||
| (Holdco Sands Intermediate, LLC) (9) | |||||||||||||||
| Oral Surgery (ITC) Holdings, LLC (9) | — | Healthcare, Education and Childcare | — | — | 2,904 | 63 | 63 | ||||||||
| ORL Holdco, Inc. | — | Business Services | — | — | 638 | 6 | 6 | ||||||||
| QuantiTech InvestCo LP (9) | — | Aerospace and Defense | — | — | 700 | 66 | 365 | ||||||||
| QuantiTech InvestCo LP (7),(9) | — | Aerospace and Defense | — | — | 967 | — | — | ||||||||
| QuantiTech InvestCo II LP (9) | — | Aerospace and Defense | — | — | 40 | 24 | 21 |
EXHIBIT 99.2
NNANTPARK INVESTMENT CORPORATION AND SUBSIDIARIES
CONSOLIDATED SCHEDULE OF INVESTMENTS—(Continued)
SEPTEMBER 30, 2021
(In thousands, except share data)
| Issuer Name | Maturity / Expiration | Industry | Current<br> Coupon | Basis Point<br> Spread Above<br> Index (4) | Par /<br> Shares | Cost | Fair Value (3) | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| RFMG Parent, LP (Rancho Health MSO, Inc.) | — | Healthcare, Education and Childcare | — | — | 1,050,000 | $ | 1,050 | $ | 1,253 | ||||||
| SBI Holdings Investments LLC | — | Business Services | — | — | 36,585 | 366 | 278 | ||||||||
| (Sales Benchmark Index LLC) | — | — | |||||||||||||
| Signature CR Intermediate Holdco, Inc. | — | Chemicals, Plastics and Rubber | — | — | 80 | 80 | — | ||||||||
| SSC Dominion Holdings, LLC | — | Electronics | — | — | 1,500 | 1,500 | 1,890 | ||||||||
| Class A (US Dominion, Inc.) | — | — | |||||||||||||
| SSC Dominion Holdings, LLC | — | Electronics | — | — | 1,500 | — | 3,534 | ||||||||
| Class B (US Dominion, Inc.) | — | — | |||||||||||||
| StellPen Holdings, LLC (CF512, Inc.) | — | Media | — | — | 153,846 | 154 | 154 | ||||||||
| TAC LifePort Holdings, LLC (9) | — | Aerospace and Defense | — | — | 232,558 | 233 | 260 | ||||||||
| TPC Holding Company, LP (8). (11) | — | Food | — | — | 11,527 | 12 | 33 | ||||||||
| TWD Parent Holdings, LLC (The Vertex Companies, LLC) | — | Business Services | — | — | 608 | 1 | 1 | ||||||||
| U.S. Well Services, Inc. - Class A (5), (11) | — | Oil and Gas | — | — | 1,261,201 | 3,022 | 914 | ||||||||
| UniVista Insurance | — | Business Services | — | — | 400 | 400 | 405 | ||||||||
| Wildcat Parent, LP (Wildcat Buyerco, Inc.) | — | Electronics | — | — | 2,314 | 231 | 411 | ||||||||
| ZS Juniper L.P. | — | Personal, Food and Miscellaneous Services | — | — | 1,056 | 1,056 | 5,227 | ||||||||
| (Juniper Landscaping of Florida, LLC) (9) | |||||||||||||||
| Total Common Equity/Partnership Interests/Warrants | 35,536 | 118,982 | |||||||||||||
| Total Investments in Non-Controlled, Non-Affiliated Portfolio Companies | 729,811 | 820,500 | |||||||||||||
| Investments in Non-Controlled, Affiliated Portfolio Companies—7.6% (1), (2) | |||||||||||||||
| Preferred Equity/Partnership Interests—6.2% (6) | |||||||||||||||
| ETX Energy, LLC (9) | — | Oil and Gas | — | — | 61,732 | 6,173 | — | ||||||||
| ETX Energy, LLC - Series X (9) | — | Oil and Gas | — | — | 10,944 | 1,094 | — | ||||||||
| MidOcean JF Holdings Corp. | — | Distribution | — | — | 153,922 | 15,392 | 41,023 | ||||||||
| Total Preferred Equity/Partnership Interests | 22,660 | 41,023 | |||||||||||||
| Common Equity/Partnership Interests/Warrants—1.4% (6) | |||||||||||||||
| ETX Energy, LLC (9) | — | Oil and Gas | — | — | 1,658,389 | 29,712 | — | ||||||||
| ETX Energy Management Company, LLC | — | Oil and Gas | — | — | 1,754,104 | 1,562 | — | ||||||||
| MidOcean JF Holdings Corp. | — | Distribution | — | — | 65,933 | 24,790 | 9,139 | ||||||||
| Total Common Equity/Partnership Interests/Warrants | 56,064 | 9,139 | |||||||||||||
| Total Investments in Non-Controlled, Affiliated Portfolio Companies | 78,723 | 50,161 | |||||||||||||
| Investments in Controlled, Affiliated Portfolio Companies—58.3% (1), (2) | |||||||||||||||
| First Lien Secured Debt—6.2% | |||||||||||||||
| AKW Holdings Limited (8), (10), (11) | 03/13/2024 | Healthcare, Education and Childcare | 7.50 | % | 3M L+700 | £ | 30,500 | 42,389 | 41,125 | ||||||
| Total First Lien Secured Debt | 42,389 | 41,125 | |||||||||||||
| Second Lien Secured Debt—10.6% | |||||||||||||||
| Mailsouth Inc. | 04/23/2025 | Printing and Publishing | 15.00 | % | — | 11,087 | 11,087 | 11,087 | |||||||
| (PIK 15.00%) | |||||||||||||||
| PT Network Intermediate Holdings, LLC | 11/30/2024 | Healthcare, Education and Childcare | 11.00 | % | 3M L+1,000 | 58,582 | 58,276 | 58,582 | |||||||
| (PIK 11.00%) | |||||||||||||||
| Total Second Lien Secured Debt | 69,363 | 69,668 | |||||||||||||
| Subordinated Debt—9.7% | |||||||||||||||
| PennantPark Senior Loan Fund, LLC (11) | 07/31/2027 | Financial Services | 9.00 | % | 3M L+800 | 64,155 | 64,155 | 64,155 | |||||||
| Total Subordinated Debt | 64,155 | 64,155 | |||||||||||||
| Preferred Equity—2.0% (6) | |||||||||||||||
| CI (PTN) Investment Holdings II, LLC | — | Healthcare, Education and Childcare | — | — | 36,450 | 547 | — | ||||||||
| (PT Network, LLC) (9) | |||||||||||||||
| PT Network Intermediate Holdings, LLC (9) | Healthcare, Education and Childcare | 11.00 | % | 3M L+1,000 | 833 | 10,725 | 13,412 | ||||||||
| Total Preferred Equity | 11,272 | 13,412 | |||||||||||||
| Common Equity—29.7% (6) | |||||||||||||||
| AKW Holdings Limited (8), (10), (11) | — | Healthcare, Education and Childcare | — | — | £ | 950 | 132 | 254 | |||||||
| CI (PTN) Investment Holdings II, LLC | — | Healthcare, Education and Childcare | — | — | 333,333 | 5,000 | — | ||||||||
| (PT Network, LLC) (9) | |||||||||||||||
| MSpark, LLC | — | Printing and Publishing | — | — | 51,151 | 16,516 | 11,013 | ||||||||
| PennantPark Senior Loan Fund, LLC (11) | — | Financial Services | — | — | 33,830,005 | 33,893 | 41,160 | ||||||||
| PT Network Intermediate Holdings, LLC (9) | Healthcare, Education and Childcare | — | — | 621 | 7,159 | 62,131 | |||||||||
| RAM Energy Holdings LLC | — | Energy and Utilities | — | — | 180,805 | 162,708 | 81,710 | ||||||||
| Total Common Equity | 225,408 | 196,269 | |||||||||||||
| Total Investments in Controlled, Affiliated Portfolio Companies | 412,587 | 384,628 | |||||||||||||
| Total Investments—190.2% | 1,221,121 | 1,255,290 | |||||||||||||
| Cash and Cash Equivalents—3.1% | |||||||||||||||
| BlackRock Federal FD Institutional 30 | 18,220 | 18,220 | |||||||||||||
| BNY Mellon Cash Reserve and Cash | 2,163 | 2,137 | |||||||||||||
| Total Cash and Cash Equivalents | 20,383 | 20,357 | |||||||||||||
| Total Investments and Cash Equivalents—193.2% | $ | 1,241,504 | $ | 1,275,647 | |||||||||||
| Liabilities in Excess of Other Assets—(93.2%) | (615,503 | ) | |||||||||||||
| Net Assets—100.0% | $ | 660,144 |
(1) The provisions of the 1940 Act classify investments based on the level of control that we maintain in a particular portfolio company. As defined in the 1940 Act, a company is generally presumed to be “non-controlled” when we own 25% or less of the portfolio company’s voting securities and “controlled” when we own more than 25% of the portfolio company’s voting securities.
(2) The provisions of the 1940 Act classify investments further based on the level of ownership that we maintain in a particular portfolio company. As defined in the 1940 Act, a company is generally deemed as “non-affiliated” when we own less than 5% of a portfolio company’s voting securities and “affiliated” when we own 5% or more of a portfolio company’s voting securities (See Note 6).
(3) Valued based on our accounting policy (See Note 2).
(4) Represents floating rate instruments that accrue interest at a predetermined spread relative to an index, typically the applicable London Interbank Offered Rate, or LIBOR or “L,” the Euro Interbank Offered Rate, or EURIBOR or “E,” or Prime rate, or “P.” The spread may change based on the type of rate used. The terms in the Schedule of Investments disclose the actual interest rate in effect as of the reporting period. LIBOR loans are typically indexed to a 30-day, 90-day or 180-day LIBOR rate (1M L, 3M L, or 6M L, respectively), and EURIBOR loans are typically indexed to a 90-day EURIBOR rate (3M E), at the borrower’s option. All securities are subject to a LIBOR or Prime rate floor where a spread is provided, unless noted. The spread provided includes PIK interest and other fee rates, if any.
(5) The security was not valued using significant unobservable inputs. The value of all other securities was determined using significant unobservable inputs (See Note 5).
(6) Non-income producing securities.
(7) Represents the purchase of a security with delayed settlement or a revolving line of credit that is currently an unfunded investment. This security does not earn a basis point spread above an index while it is unfunded.
(8) Non-U.S. company or principal place of business outside the United States.
(9) Investment is held through our Taxable Subsidiary (See Note 1).
(10) Par / Shares amount is denominated in British Pounds (£) as denoted.
EXHIBIT 99.2
(11) The investment is treated as a non-qualifying asset under Section 55(a) of the 1940 Act. Under the 1940 Act, we may not acquire any non-qualifying asset unless, at the time the acquisition is made, qualifying assets represent at least 70% of our total assets. As of September 30, 2021, qualifying assets represent 87% of the Company’s total assets and non-qualifying assets represent 12% of the Company’s total assets.