Quarterly report pursuant to Section 13 or 15(d)

Debt (Tables)

v3.23.3
Debt (Tables)
 9 Months Ended
Sep. 30, 2023
Debt Disclosure [Abstract]  
Schedule of Available and Outstanding Debt
As of September 30, 2023 and December 31, 2022, the Company had the following available and outstanding debt:
(in thousands) September 30, 2023 December 31, 2022
  Total Available Principal
Carrying Value (1)
Total Available Principal
Carrying Value (1)
SBA Debentures (2)
$ 175,000  $ 175,000  $ 170,175  $ 175,000  $ 175,000  $ 169,738 
July 2024 Notes 105,000  105,000  104,754  105,000  105,000  104,533 
February 2025 Notes 50,000  50,000  49,837  50,000  50,000  49,751 
June 2025 Notes 70,000  70,000  69,717  70,000  70,000  69,595 
June 2025 3-Year Notes 50,000  50,000  49,732  50,000  50,000  49,616 
March 2026 A Notes 50,000  50,000  49,771  50,000  50,000  49,700 
March 2026 B Notes 50,000  50,000  49,751  50,000  50,000  49,673 
September 2026 Notes 325,000  325,000  322,094  325,000  325,000  321,358 
January 2027 Notes 350,000  350,000  345,602  350,000  350,000  344,604 
2031 Asset-Backed Notes 150,000  150,000  148,397  150,000  150,000  147,957 
2033 Notes 40,000  40,000  38,908  40,000  40,000  38,826 
MUFG Bank Facility (2)(3)
400,000  61,000  61,000  545,000  107,000  107,000 
SMBC Facility (2)(4)
400,000  173,000  173,000  225,000  72,000  72,000 
Total $ 2,215,000  $ 1,649,000  $ 1,632,738  $ 2,185,000  $ 1,594,000  $ 1,574,351 
(1)Except for the SMBC Facility and MUFG Bank Facility (f.k.a. Union Bank Facility), all carrying values represent the principal amount outstanding less the remaining unamortized debt issuance costs and unaccreted premium or discount, if any, associated with the debt as of the balance sheet date.
(2)Availability subject to the Company meeting the borrowing base requirements.
(3)In June 2022 the MUFG Bank Facility replaced the Union Bank Facility via an amendment which changed the lead lender.
(4)Includes $175.0 million of available commitment through the letter of credit facility as of September 30, 2023.
The Company held the following SBA debentures outstanding principal balances as of September 30, 2023 and December 31, 2022:
(in thousands)
 
Issuance/Pooling Date		 Maturity Date
Interest Rate (1)
September 30, 2023 December 31, 2022
March 26, 2021 September 1, 2031 1.58% $ 37,500  $ 37,500 
June 25, 2021 September 1, 2031 1.58% 16,200  16,200 
July 28, 2021 September 1, 2031 1.58% 5,400  5,400 
August 20, 2021 September 1, 2031 1.58% 5,400  5,400 
October 21, 2021 March 1, 2032 3.21% 14,000  14,000 
November 1, 2021 March 1, 2032 3.21% 21,000  21,000 
November 15, 2021 March 1, 2032 3.21% 5,200  5,200 
November 30, 2021 March 1, 2032 3.21% 20,800  20,800 
December 20, 2021 March 1, 2032 3.21% 10,000  10,000 
December 23, 2021 March 1, 2032 3.21% 10,000  10,000 
December 28, 2021 March 1, 2032 3.21% 5,000  5,000 
January 14, 2022 March 1, 2032 3.21% 4,500  4,500 
January 21, 2022 March 1, 2032 3.21% 20,000  20,000 
Total SBA Debentures     $ 175,000  $ 175,000 
(1)Interest rates are determined initially at issuance and reset to a fixed rate at the debentures pooling date. The rates are inclusive of annual SBA charges.
Schedule of Debt Issuance Costs, Net of Accumulated Amortization
Debt issuance costs, net of accumulated amortization, were as follows as of September 30, 2023 and December 31, 2022:
(in thousands) September 30, 2023 December 31, 2022
SBA Debentures $ 4,825  $ 5,262 
July 2024 Notes 246  467 
February 2025 Notes 163  249 
June 2025 Notes 283  405 
June 2025 3-Year Notes 268  384 
March 2026 A Notes 229  300 
March 2026 B Notes 249  327 
September 2026 Notes 2,906  3,642 
January 2027 Notes 4,398  5,396 
2031 Asset-Backed Notes 1,603  2,043 
2033 Notes 1,092  1,174 
MUFG Bank Facility(1)
3,982  1,292 
SMBC Facility (1)
1,955  1,701 
Total $ 22,199  $ 22,642 
(1)The MUFG Bank Facility (f.k.a. Union Bank Facility) and SMBC Facility, are line-of-credit arrangements, the debt issuance costs associated with these instruments are included within Other assets on the Consolidated Statements of Assets and Liabilities in accordance with ASC Subtopic 835-30.
Components of Interest Expense, Related Fees, Losses on Debt Extinguishment and Cash Paid for Interest Expense for Debt
For the three and nine months ended September 30, 2023, the components of interest expense, related fees, losses on debt extinguishment and cash paid for interest expense for debt were as follows:
(in thousands) Three Months Ended September 30, 2023 Nine Months Ended September 30, 2023
Description
Interest expense(1)
Amortization of debt issuance cost (loan fees) Unused facility and other fees (loan fees) Total interest expense and fees Cash paid for interest expense
Interest expense(1)
Amortization of debt issuance cost (loan fees) Unused facility and other fees (loan fees) Total interest expense and fees Cash paid for interest expense
SBA Debentures $ 1,150  $ 146  $ —  $ 1,296  $ 2,300  $ 3,412  $ 436  $ —  $ 3,848  $ 4,562 
July 2024 Notes 1,252  74  —  1,326  2,505  3,756  222  —  3,978  5,009 
February 2025 Notes 535  29  —  564  1,070  1,605  86  —  1,691  2,140 
June 2025 Notes 754  40  —  794  —  2,263  121  —  2,384  1,509 
June 2025 3-Year Notes 750  39  —  789  —  2,250  117  —  2,367  1,500 
March 2026 A Notes 563  24  —  587  1,125  1,688  71  —  1,759  2,250 
March 2026 B Notes 569  26  —  595  1,138  1,706  78  —  1,784  2,275 
September 2026 Notes 2,174  203  —  2,377  4,266  6,523  611  —  7,134  8,532 
January 2027 Notes 3,079  207  —  3,286  5,906  9,236  621  —  9,857  11,812 
2031 Asset-Backed Notes 1,902  101  —  2,003  1,857  5,709  301  —  6,010  5,570 
2033 Notes 625  27  —  652  625  1,875  81  —  1,956  1,875 
MUFG Bank Facility(2)
1,247  443  709  2,399  1,240  4,323  1,327  2,017  7,667  4,673 
SMBC Facility 1,828  180  276  2,284  1,715  5,891  513  715  7,119  5,703 
Total $ 16,428  $ 1,539  $ 985  $ 18,952  $ 23,747  $ 50,237  $ 4,585  $ 2,732  $ 57,554  $ 57,410 

(1)Interest expense includes amortization of original issue discounts for the three months ended September 30, 2023 of $42 thousand, $126 thousand, and $47 thousand related to the September 2026 Notes, January 2027 Notes, and 2031 Asset-Backed Notes, respectively. For the nine months ended September 30, 2023, $125 thousand, $377 thousand, and $141 thousand, related to the September 2026 Notes, January 2027 Notes, and 2031 Asset-Backed Notes, respectively.
(2)The June 2022 amendment of the MUFG Bank Facility replaced the Union Bank Facility via an amendment which changed the lead lender.
For the three and nine months ended September 30, 2022, the components of interest expense and related fees and cash paid for interest expense for debt were as follows:
(in thousands) Three Months Ended September 30, 2022 Nine Months Ended September 30, 2022
Description
Interest expense(1)
Amortization of debt issuance cost (loan fees) Unused facility and other fees (loan fees) Total interest expense and fees Cash paid for interest expense
Interest expense(1)
Amortization of debt issuance cost (loan fees) Unused facility and other fees (loan fees) Total interest expense and fees Cash paid for interest expense
SBA Debentures $ 1,160  $ 148  $ —  $ 1,308  $ 2,086  $ 2,848  $ 434  $ —  $ 3,282  $ 2,835 
2022 Notes(2)
—  —  —  —  —  1,011  50  —  1,061  2,293 
July 2024 Notes 1,252  74  —  1,326  2,504  3,756  222  —  3,978  5,008 
February 2025 Notes 535  29  —  564  1,070  1,605  86  —  1,691  2,140 
June 2025 Notes 754  40  —  794  —  2,263  121  —  2,384  1,509 
June 2025 3-Year Notes 750  38  —  788  —  817  42  —  859  — 
March 2026 A Notes 563  24  —  587  1,125  1,688  72  —  1,760  2,250 
March 2026 B Notes 569  26  —  595  1,137  1,706  78  —  1,784  2,275 
September 2026 Notes 2,174  204  —  2,378  4,266  6,523  612  —  7,135  8,532 
January 2027 Notes 3,079  207  —  3,286  5,906  8,552  575  —  9,127  5,906 
2031 Asset-Backed Notes 1,903  100  —  2,003  1,815  2,072  109  —  2,181  1,815 
2033 Notes 625  27  —  652  625  1,875  81  —  1,956  1,875 
2022 Convertible Notes(2)
—  —  —  —  —  923  149  —  1,072  5,004 
MUFG Bank Facility(3)
1,000  253  720  1,973  1,025  2,483  665  1,682  4,830  2,240 
SMBC Facility 135  98  195  428  181  722  211  328  1,261  700 
Total $ 14,499  $ 1,268  $ 915  $ 16,682  $ 21,740  $ 38,844  $ 3,507  $ 2,010  $ 44,361  $ 44,382 

(1)Interest expense includes amortization of original issue discounts for the three months ended September 30, 2022 of $42 thousand, $126 thousand, and $47 thousand related to the September 2026 Notes, January 2027 Notes, and 2031 Asset-Backed Notes, respectively. For the nine months ended September 30, 2022, $23 thousand, $112 thousand, $125 thousand, $349 thousand, and $51 thousand, related to the 2022 Notes, 2022 Convertible Notes, September 2026 Notes, January 2027 Notes, and 2031 Asset-Backed Notes, respectively.
(2)In February 2022, the Company has fully repaid the aggregate outstanding principal balances and retired 2022 Notes and 2022 Convertible Notes.
(3)The June 2022 amendment of the MUFG Bank Facility replaced the Union Bank Facility via an amendment which changed the lead lender.