Kayne Anderson BDC, Inc. 10-K

ITEM 7A. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK We are subject to financial market risks, including valuation risk and changes in interest rates. Valuation Risk. The majority of our investments are in instruments that do not have readily ascertainable market prices and the Advisor, as our valuation designee, will value these securities at fair value as determined in good faith under procedures approved by our Board of Directors. There is no single standard for determining fair value in good faith. As a result, determining fair value requires that judgment be applied to the specific facts and circumstances of each portfolio investment while employing a consistently applied valuation process for the types of investments we make. If we were required to liquidate a portfolio investment in a forced or liquidation sale, we may realize amounts that are different from the amounts presented and such differences could be material. Interest Rate Risk . Interest rate sensitivity refers to the change in our earnings that may result from changes in the level of interest rates. Because we fund a portion of our investments with borrowings, our net investment income will be affected by the difference between the rate at which we invest and the rate at which we borrow. As a result, there can be no assurance that a significant change in market interest rates will not have a material adverse effect on our net investment income. Assuming that the consolidated statement of assets and liabilities as of December 31, 2025 were to remain constant and that we took no actions to alter our existing interest rate sensitivity, the following table shows the annualized impact ($ in millions) of hypothetical base rate changes in interest rate (considering interest rate floors for floating rate instruments). We do not include investments on non-accrual status and classified as non-income producing as of December 31, 2025 in this calculation. Change in Interest Rates Increase (Decrease) in Interest Income Increase (Decrease) in Interest Expense (1) Net Increase (Decrease) in Net Investment Income Down 200 basis points $ (40.9 ) $ (21.1 ) $ (19.8 ) Down 100 basis points $ (20.5 ) $ (10.5 ) $ (10.0 ) Up 100 basis points $ 20.5 $ 10.5 $ 10.0 Up 200 basis points $ 40.9 $ 21.1 $ 19.8 (1) Includes the impact of our interest rate swaps as a result of interest rate changes. The data in the table is based on the Company’s current statement of assets and liabilities. We may hedge against interest rate fluctuations by using standard hedging instruments such as futures, options and forward contracts subject to the requirements of the 1940 Act. While hedging activities may insulate us against adverse changes in interest rates, they may also limit our ability to participate in benefits of lower interest rates with respect to our portfolio of investments with fixed interest rates. 76 ITEM 8. CONSOLIDATED FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA Index to Consolidated Financial Statements Page Report of Independent Registered Public Accounting Firm (PCAOB ID 238 ) F-2 Consolidated Statements of Assets and Liabilities as of December 31, 2025 and 2024 F-4 Consolidated Statements of Operations for the years ended December 31, 2025, 2024 and 2023 F-5 Consolidated Statements of Changes in Net Assets for the years ended December 31, 2025, 2024 and 2023 F-6 Consolidated Statement of Cash Flows for the years ended December 31, 2025, 2024 and 2023 F-7 Consolidated Schedules of Investments as of December 31, 2025 and 2024 F-8 Notes to Consolidated Financial Statements F-32 F- 1 Report of Independent Registered Public Accounting Firm To the Board of Directors and Shareholders of Kayne Anderson BDC, Inc. Opinions on the Financial Statements and Internal Control over Financial Reporting We have audited the accompanying consolidated statements of assets and liabilities, including the consolidated schedules of investments, of Kayne Anderson BDC, Inc. and its subsidiaries (the "Company") as of December 31, 2025 and 2024, and the related consolidated statements of operations, of changes in net assets and of cash flows for each of the three years in the period ended December 31, 2025, including the related notes (collectively referred to as the "consolidated financial statements"). We also have audited the Company's internal control over financial reporting as of December 31, 2025, based on criteria established in Internal Control - Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the financial position of the Company as of December 31, 2025 and 2024, and the results of its operations, changes in its net assets and its cash flows for each of the three years in the period ended December 31, 2025, in conformity with accounting principles generally accepted in the United States of America. Also in our opinion, the Company maintained, in all material respects, effective internal control over financial reporting as of December 31, 2025, based on criteria established in Internal Control - Integrated Framework (2013) issued by the COSO. We have also previously audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States), the consolidated statements of assets and liabilities, including the consolidated schedules of investments, of the Company as of December 31, 2023, 2022, and 2021, and the related consolidated statements of operations, changes in net assets and cash flows for the year ended December 31, 2021 (none of which are presented herein), and we expressed unqualified opinions on those consolidated financial statements. In our opinion, the information set forth in the Senior Securities table of the Company for each of the five years in the period ended December 31, 2025 is fairly stated, in all material respects, in relation to the consolidated financial statements from which it has been derived. Basis for Opinions The Company's management is responsible for these consolidated financial statements, for maintaining effective internal control over financial reporting, and for its assessment of the effectiveness of internal control over financial reporting, included in Report of Management on Internal Control over Financial Reporting appearing under Item 9A. Our responsibility is to express opinions on the Company’s consolidated financial statements and on the Company's internal control over financial reporting based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB. We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the consolidated financial statements are free of material misstatement, whether due to error or fraud, and whether effective internal control over financial reporting was maintained in all material respects. Our audits of the consolidated financial statements included performing procedures to assess the risks of material misstatement of the consolidated financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the consolidated financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the consolidated financial statements. Our procedures included confirmation of securities owned as of December 31, 2025 and 2024 by correspondence with the custodian and transfer agent. Our audit of internal control over financial reporting included obtaining an understanding of internal control over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. Our audits also included performing such other procedures as we considered necessary in the circumstances. We believe that our audits provide a reasonable basis for our opinions. F- 2 Definition and Limitations of Internal Control over Financial Reporting A company’s internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company’s internal control over financial reporting includes those policies and procedures that (i) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (ii) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (iii) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company’s assets that could have a material effect on the financial statements. Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate. Critical Audit Matters The critical audit matter communicated below is a matter arising from the current period audit of the consolidated financial statements that was communicated or required to be communicated to the audit committee and that (i) relates to accounts or disclosures that are material to the consolidated financial statements and (ii) involved our especially challenging, subjective, or complex judgments. The communication of critical audit matters does not alter in any way our opinion on the consolidated financial statements, taken as a whole, and we are not, by communicating the critical audit matter below, providing a separate opinion on the critical audit matter or on the accounts or disclosures to which it relates. Valuation of Level 3 Debt Investments As described in Note 5 to the consolidated financial statements, the Company held $2.15 billion of total level 3 investments at fair value as of December 31, 2025, with debt investments representing approximately ​​$2.11 billion of this total. The fair values of the level 3 debt investments were determined by management using a discounted cash flow analysis and inputs that are unobservable and reflect management’s judgments about assumptions that market participants would use to determine a current transaction price. The significant unobservable input in the discounted cash flow analysis is the discount rate. The principal considerations for our determination that performing procedures relating to the valuation of level 3 debt investments is a critical audit matter are (i) the significant judgment by management when developing the fair value estimate of the level 3 debt investments; (ii) a high degree of auditor judgment, subjectivity, and effort in performing procedures and evaluating audit evidence related to management’s significant unobservable inputs related to the discount rates; and (iii) the audit effort involved the use of professionals with specialized skill and knowledge. Addressing the matter involved performing procedures and evaluating audit evidence in connection with forming our overall opinion on the consolidated financial statements. These procedures included testing the effectiveness of controls relating to the valuation of level 3 debt investments, including controls over the development of significant unobservable inputs related to discount rates. These procedures also included, among others, testing the completeness, accuracy, and reliability of the underlying data and either (i) testing management’s process for developing the fair value estimate of the level 3 debt investments, as well as the involvement of professionals with specialized skill and knowledge to assist in (a) evaluating the appropriateness of the discounted cash flow analysis and (b) evaluating the reasonableness of the significant unobservable inputs used by management related to the discount rates; or (ii) leveraging recent market transactions ; or (iii) the involvement of professionals with specialized skill and knowledge to assist in evaluating the external market and industry data used in the discounted cash flow analysis and the reasonableness of management’s estimate by developing an independent fair value estimate range for level 3 debt investments using independently determined significant unobservable inputs for the discount rates and comparing the independent fair value estimate range to management’s estimates. /s/ PricewaterhouseCoopers LLP Los Angeles, California March 2, 2026 We have served as the auditor of one or more investment companies in Kayne Anderson Funds Family since 2004. F- 3 Kayne Anderson BDC, Inc. Consolidated Statements of Assets and Liabilities (amounts in 000’s, except share and per share amounts) December 31, 2025 December 31, 2024 Assets: Investments, at fair value: Non-controlled, non-affiliated investments (amortized cost of $ 2,079,041 and $ 1,956,617 ) $ 2,084,737 $ 1,982,947 Non-controlled, affiliated investments (amortized cost of $ 118,459 and $ 15,438 , respectively) 113,684 12,196 Investments in money market funds (amortized cost of $ 25,409 and $ 48,683 ) 25,409 48,683 Cash 18,027 22,375 Deposits for investments 13,015 - Receivable for sales of investments 7,168 - Receivable for principal payments on investments 308 540 Interest receivable 24,063 14,965 Prepaid expenses and other assets 291 958 Total Assets $ 2,286,702 $ 2,082,664 Liabilities: Corporate Credit Facility (Note 6) $ 135,000 $ 250,000 Unamortized Corporate Credit Facility issuance costs ( 3,372 ) ( 3,235 ) Revolving Funding Facility (Note 6) 525,000 420,000 Unamortized Revolving Funding Facility issuance costs ( 4,671 ) ( 4,746 ) Revolving Funding Facility II (Note 6) 195,000 113,000 Unamortized Revolving Funding Facility II issuance costs ( 2,100 ) ( 1,251 ) Notes (Note 6) 274,701 75,000 Unamortized notes issuance costs ( 2,560 ) ( 643 ) Shares repurchased payable (Note 7) 496 - Distributions payable 27,213 28,424 Management fee payable (Note 3) 5,613 3,712 Incentive fee payable (Note 3) 3,935 - Accrued expenses and other liabilities 22,041 15,236 Accrued excise tax expense 475 825 Total Liabilities $ 1,176,771 $ 896,322 Commitments and contingencies (Note 8) Net Assets: Common Shares, $ 0.001 par value; 100,000,000 shares authorized; 67,998,184 and 71,059,689 as of December 31, 2025 and December 31, 2024, respectively, issued and outstanding $ 68 $ 71 Additional paid-in capital 1,108,001 1,152,396 Total distributable earnings (deficit) 1,862 33,875 Total Net Assets $ 1,109,931 $ 1,186,342 Total Liabilities and Net Assets $ 2,286,702 $ 2,082,664 Net Asset Value Per Common Share $ 16.32 $ 16.70 See accompanying notes to consolidated financial statements. F- 4 Kayne Anderson BDC, Inc. Consolidated Statements of Operations (amounts in 000’s, except share and per share amounts) For the years ended December 31, 2025 2024 2023 Income: Investment income from investments: Interest income from non-controlled, non-affiliated investments $ 220,909 $ 208,178 $ 158,781 Interest income from non-controlled, affiliated investments 4,763 754 - Payment-in-kind interest income from non-controlled, non-affiliated investments 9,093 2,706 1,652 Dividend income 1,054 1,468 571 Total Investment Income 235,819 213,106 161,004 Expenses: Management fees 21,739 17,487 11,433 Incentive fees 17,296 17,449 9,433 Interest expense 76,361 61,516 52,314 Professional fees 1,432 1,503 691 Directors fees 638 621 611 Excise tax 431 817 101 Other general and administrative expenses 2,381 2,159 1,604 Total Expenses 120,278 101,552 76,187 Less: Management fee waiver (Note 3) ( 2,071 ) ( 2,900 ) - Less: Incentive fee waiver (Note 3) - ( 14,818 ) - Net expenses 118,207 83,834 76,187 Net Investment Income (Loss) 117,612 129,272 84,817 Realized and unrealized gains (losses) on investments Net realized gains (losses): Non-controlled, non-affiliated investments ( 79 ) 570 ( 10,686 ) Total net realized gains (losses) ( 79 ) 570 ( 10,686 ) Net change in unrealized gains (losses): Non-controlled, non-affiliated investments ( 20,636 ) 4,783 2,944 Non-controlled, affiliated investments ( 1,533 ) ( 1,968 ) - Total net change in unrealized gains (losses) ( 22,169 ) 2,815 2,944 Total realized and unrealized gains (losses) ( 22,248 ) 3,385 ( 7,742 ) Income tax (expense) benefit on unrealized appreciation/depreciation on investments ( 1,658 ) ( 717 ) - Net Increase in Net Assets Resulting from Operations $ 93,706 $ 131,940 $ 77,075 Per Common Share Data: Basic and diluted net investment income per common share $ 1.67 $ 2.03 $ 2.16 Basic and diluted net increase in net assets resulting from operations $ 1.33 $ 2.07 $ 1.96 Weighted Average Common Shares Outstanding - Basic and Diluted 70,255,235 63,762,377 39,250,232 See accompanying notes to consolidated financial statements. F- 5 Kayne Anderson BDC, Inc. Consolidated Statements of Changes in Net Assets (amounts in 000’s) For the years ended December 31, 2025 2024 2023 Increase (Decrease) in Net Assets Resulting from Operations: Net investment income (loss) $ 117,612 $ 129,272 $ 84,817 Net realized gains (losses) on investments ( 79 ) 570 ( 10,686 ) Net change in unrealized gains (losses) on investments ( 22,169 ) 2,815 2,944 Income tax (expense) benefit on unrealized appreciation/depreciation on investments ( 1,658 ) ( 717 ) Net Increase in Net Assets Resulting from Operations 93,706 131,940 77,075 Decrease in Net Assets Resulting from Stockholder Dividends Dividends to stockholders ( 126,150 ) ( 111,908 ) ( 81,617 ) Net Decrease in Net Assets Resulting from Stockholder Dividends ( 126,150 ) ( 111,908 ) ( 81,617 ) Increase (Decrease) in Net Assets Resulting from Capital Share Transactions Issuance of common shares - 480,997 90,575 Common stock purchased under the share repurchase program ( 47,994 ) ( 1,525 ) - Reinvestment of dividends 4,027 3,782 4,982 Net Increase (Decrease) in Net Assets Resulting from Capital Share Transactions ( 43,967 ) 483,254 95,557 Total Increase (Decrease) in Net Assets ( 76,411 ) 503,286 91,015 Net Assets, Beginning of Period 1,186,342 683,056 592,041 Net Assets, End of Period $ 1,109,931 $ 1,186,342 $ 683,056 See accompanying notes to consolidated financial statements. F- 6 Kayne Anderson BDC, Inc. Consolidated Statements of Cash Flows (amounts in 000’s) For the years ended December 31, 2025 2024 2023 Cash Flows from Operating Activities: Net increase (decrease) in net assets resulting from operations $ 93,706 $ 131,940 $ 77,075 Adjustments to reconcile net increase (decrease) in net assets resulting from operations to net cash used in operating activities: Net realized (gains)/losses on investments 79 ( 570 ) 10,686 Net change in unrealized (gains)/losses on investments 22,169 ( 2,815 ) ( 2,944 ) Net accretion of discount on investments ( 15,320 ) ( 12,472 ) ( 9,777 ) Sales (purchases) of investments in money market funds, net 23,274 ( 35,881 ) ( 2,955 ) Purchases of portfolio investments ( 773,781 ) ( 983,505 ) ( 391,341 ) Proceeds from sales of investments and principal repayments 569,946 370,423 196,649 Paid-in-kind interest from portfolio investments ( 9,093 ) ( 2,706 ) ( 1,652 ) Amortization of deferred financing cost 3,970 3,718 2,694 Increase/(decrease) in operating assets and liabilities: (Increase)/decrease in deposits for investments ( 13,015 ) - - (Increase)/decrease in receivable for sales of investments ( 7,168 ) - - (Increase)/decrease in interest and dividends receivable ( 6,376 ) ( 2,091 ) ( 2,430 ) (Increase)/decrease in receivable for principal payments on investments 232 ( 436 ) 7 Increase/(decrease) in accrued excise tax expense ( 350 ) 724 101 (Increase)/decrease in prepaid expenses and other assets 667 ( 639 ) 28 Increase/(decrease) in payable for investments purchased - - ( 956 ) Increase/(decrease) in management fees payable 1,901 716 581 Increase/(decrease) in incentive fee payable 3,935 ( 14,195 ) 9,433 Increase/(decrease) in accrued expenses and other liabilities 6,506 3,287 4,748 Net cash used in operating activities ( 98,718 ) ( 544,502 ) ( 110,053 ) Cash Flows from Financing Activities: Borrowings/(payments) on Corporate Credit Facility, net ( 115,000 ) 16,000 ( 35,000 ) Borrowings on Revolving Funding Facility, net 105,000 114,000 106,000 Borrowings on Revolving Funding Facility II, net 82,000 43,000 70,000 Borrowings/(payments) on Subscription Credit Agreement, net - ( 10,750 ) ( 97,250 ) Payments of debt issuance costs ( 6,798 ) ( 7,162 ) ( 3,716 ) Payable for shares repurchased 496 - - Dividends paid in cash ( 123,334 ) ( 101,752 ) ( 70,013 ) Proceeds from issuance of common shares - 480,997 90,575 Proceeds from issuance of Notes 200,000 - 75,000 Repurchase of common shares ( 47,994 ) ( 1,525 ) - Net cash provided by financing activities 94,370 532,808 135,596 Net increase (decrease) in cash ( 4,348 ) ( 11,694 ) 25,543 Cash, beginning of period 22,375 34,069 8,526 Cash, end of period $ 18,027 $ 22,375 $ 34,069 Supplemental and Non-Cash Information: Interest paid during the period $ 67,509 $ 55,014 $ 44,384 Non-cash financing activities not included herein consisted of reinvestment of dividends $ 4,027 $ 3,782 $ 4,982 See accompanying notes to consolidated financial statements. F- 7 Kayne Anderson BDC, Inc. Consolidated Schedule of Investments As of December 31, 2025 (amounts in 000’s, except number of shares, units) Portfolio Company Footnotes (1)(2) Investment (3) Interest Rate Spread (4) PIK Rate Reference (5) Maturity Date Principal /Par Amortized Cost (6) Fair Value Percentage of Net Assets Debt and Equity Investments Debt Investments Aerospace & defense Aviation Concepts, LLC First lien senior secured loan 9.24 % 5.50 % - SOFR(M) 12/17/2030 $ 16,420 $ 15,919 $ 16,420 1.5 % First lien senior secured delayed draw loan 9.24 % 5.50 % - SOFR(M) 12/17/2030 - - - 0.0 % First lien senior secured revolving loan 9.24 % 5.50 % - SOFR(M) 12/17/2030 - - - 0.0 % Fastener Distribution Holdings, LLC First lien senior secured loan 8.42 % 4.75 % - SOFR(Q) 11/4/2031 19,866 19,724 20,065 1.8 % First lien senior secured delayed draw loan 8.42 % 4.75 % - SOFR(Q) 11/4/2031 2,885 2,855 2,913 0.3 % TransDigm Inc (7) First lien senior secured loan 6.22 % 2.50 % - SOFR(M) 2/28/2031 6,924 6,953 6,948 0.6 % Vitesse Systems Parent, LLC First lien senior secured loan 10.93 % 7.26 % - SOFR(M) 12/22/2028 30,584 30,075 30,431 2.7 % First lien senior secured revolving loan 10.96 % 7.26 % - SOFR(Q) 12/22/2028 6,239 6,128 6,208 0.6 % 82,918 81,654 82,985 7.5 % Automobile components Clarios Global LP (7)(8) First lien senior secured loan 6.22 % 2.50 % - SOFR(M) 5/6/2030 4,985 5,002 4,985 0.4 % Speedstar Holding LLC First lien senior secured loan 9.84 % 6.00 % - SOFR(M) 7/22/2027 6,039 6,000 5,948 0.5 % First lien senior secured delayed draw loan 9.84 % 6.00 % - SOFR(M) 7/22/2027 659 654 650 0.1 % WAM CR Acquisition, Inc. (Wolverine) First lien senior secured loan 10.09 % 6.25 % - SOFR(Q) 7/23/2029 26,561 26,151 26,826 2.4 % 38,244 37,807 38,409 3.4 % Biotechnology Alcami Corporation First lien senior secured delayed draw loan 10.83 % 7.10 % - SOFR(M) 12/21/2028 838 838 838 0.1 % First lien senior secured revolving loan 10.83 % 7.10 % - SOFR(M) 12/21/2028 332 305 332 0.0 % First lien senior secured loan 10.97 % 7.15 % - SOFR(Q) 12/21/2028 11,383 11,161 11,383 1.0 % 12,553 12,304 12,553 1.1 % Building products Ruff Roofers Buyer, LLC First lien senior secured loan 8.84 % 5.00 % - SOFR(Q) 11/19/2029 7,043 6,778 6,972 0.6 % First lien senior secured loan 8.67 % 5.00 % - SOFR(Q) 11/19/2029 2,640 2,611 2,613 0.2 % First lien senior secured revolving loan 8.84 % 5.00 % - SOFR(Q) 11/19/2029 - - - 0.0 % First lien senior secured delayed draw loan 8.84 % 5.00 % - SOFR(Q) 11/19/2029 - - - 0.0 % First lien senior secured delayed draw loan 8.84 % 5.00 % - SOFR(Q) 11/19/2029 5,264 5,234 5,211 0.5 % First lien senior secured delayed draw loan 8.67 % 5.00 % - SOFR(Q) 11/19/2029 2,642 2,642 2,615 0.2 % US Masonry & Building Products Co. (f/k/a US Anchors Group, Inc.) First lien senior secured loan 8.67 % 5.00 % - SOFR(Q) 7/15/2029 17,021 16,741 17,021 1.5 % First lien senior secured revolving loan 8.73 % 5.00 % - SOFR(M) 7/15/2029 370 321 370 0.1 % 34,980 34,327 34,802 3.1 % Chemicals Fralock Buyer LLC First lien senior secured loan 9.67 % 6.00 % - SOFR(Q) 9/30/2026 12,913 12,798 12,881 1.2 % First lien senior secured loan 9.67 % 6.00 % - SOFR(Q) 9/30/2026 4,443 4,426 4,432 0.4 % First lien senior secured revolving loan 9.67 % 6.00 % - SOFR(Q) 9/30/2026 3,338 3,336 3,330 0.3 % Gage CR Acquisition, LLC First lien senior secured loan 8.92 % 5.25 % - SOFR(Q) 10/1/2030 27,048 26,570 27,048 2.4 % First lien senior secured revolving loan 8.92 % 5.25 % - SOFR(Q) 10/1/2030 - - - 0.0 % TL Atlas Merger Sub Corp. (Zep) First lien senior secured loan 8.67 % 5.00 % - SOFR(Q) 6/30/2031 33,605 33,252 34,025 3.1 % First lien senior secured revolving loan 8.67 % 5.00 % - SOFR(Q) 6/30/2031 - - - 0.0 % 81,347 80,382 81,716 7.4 % Commercial services & supplies Advanced Environmental Monitoring Intermediate, Inc. (9) First lien senior secured loan 10.24 % 6.40 % - SOFR(Q) 12/31/2028 3,651 3,610 3,651 0.3 % First lien senior secured loan 10.24 % 6.40 % - SOFR(Q) 12/31/2028 12,559 12,386 12,559 1.1 % First lien senior secured loan 10.09 % 6.40 % - SOFR(Q) 12/31/2028 7,372 7,340 7,372 0.7 % First lien senior secured loan 10.09 % 6.40 % - SOFR(Q) 12/31/2028 2,787 2,725 2,787 0.3 % See accompanying notes to consolidated financial statements. F- 8 Kayne Anderson BDC, Inc. Consolidated Schedule of Investments As of December 31, 2025 (amounts in 000’s, except number of shares, units) Portfolio Company Footnotes (1)(2) Investment (3) Interest Rate Spread (4) PIK Rate Reference (5) Maturity Date Principal /Par Amortized Cost (6) Fair Value Percentage of Net Assets AeriTek Global Holdings LLC First lien senior secured loan 10.32 % 6.50 % - SOFR(Q) 8/27/2030 10,027 9,886 10,027 0.9 % First lien senior secured revolving loan 10.32 % 6.50 % - SOFR(Q) 8/27/2030 415 400 415 0.0 % Allentown, LLC First lien senior secured loan 10.97 % 6.15 % 1.00 % SOFR(Q) 4/22/2027 7,580 7,518 7,371 0.7 % First lien senior secured delayed draw loan 10.97 % 6.15 % 1.00 % SOFR(Q) 4/22/2027 1,369 1,356 1,332 0.1 % First lien senior secured revolving loan 12.75 % 5.00 % 1.00 % PRIME 4/22/2027 104 98 101 0.0 % American Equipment Holdings LLC First lien senior secured loan 10.19 % 6.00 % - SOFR(S) 5/5/2028 13,056 12,813 13,056 1.2 % First lien senior secured loan 10.19 % 6.00 % - SOFR(S) 5/5/2028 1,398 1,393 1,398 0.1 % First lien senior secured loan 10.06 % 6.00 % - SOFR(S) 5/5/2028 1,679 1,662 1,679 0.1 % First lien senior secured loan 10.20 % 6.00 % - SOFR(S) 5/5/2028 456 456 456 0.0 % First lien senior secured loan 10.04 % 6.00 % - SOFR(S) 5/5/2028 520 514 520 0.0 % First lien senior secured loan 10.01 % 6.00 % - SOFR(S) 5/5/2028 2,135 2,115 2,135 0.2 % First lien senior secured delayed draw loan 10.19 % 6.00 % - SOFR(S) 5/5/2028 5,035 5,014 5,035 0.5 % First lien senior secured delayed draw loan 10.06 % 6.00 % - SOFR(S) 5/5/2028 4,010 3,917 4,010 0.4 % First lien senior secured revolving loan 10.19 % 6.00 % - SOFR(S) 5/5/2028 - - - 0.0 % Arborworks Acquisition, LLC (10)(11) First lien senior secured loan - - - - 11/6/2028 4,688 4,688 4,688 0.4 % First lien senior secured revolving loan - - - - 11/6/2028 2,139 2,139 2,139 0.2 % Bloomington Holdco, LLC (BW Fusion) First lien senior secured loan 9.90 % 6.00 % - SOFR(Q) 5/1/2030 21,035 20,659 21,035 1.9 % First lien senior secured revolving loan 9.67 % 6.00 % - SOFR(Q) 5/1/2030 3,612 3,442 3,612 0.3 % BLP Buyer, Inc. (Bishop Lifting Products) First lien senior secured loan 9.97 % 6.25 % - SOFR(M) 12/22/2029 25,708 25,360 25,708 2.3 % First lien senior secured loan 9.97 % 6.25 % - SOFR(M) 12/22/2029 1,208 1,189 1,208 0.1 % First lien senior secured loan 10.29 % 6.25 % - SOFR(S) 12/22/2029 506 499 506 0.0 % First lien senior secured loan 9.97 % 6.25 % - SOFR(M) 12/22/2029 563 555 563 0.1 % First lien senior secured delayed draw loan 9.97 % 6.25 % - SOFR(M) 12/22/2029 3,146 3,102 3,146 0.3 % First lien senior secured revolving loan 9.97 % 6.25 % - SOFR(M) 12/22/2029 2,773 2,721 2,773 0.2 % Connect America.Com, LLC (9) First lien senior secured loan 9.42 % 5.75 % - SOFR(Q) 10/11/2029 25,509 25,203 24,999 2.2 % Diverzify Intermediate LLC First lien senior secured delayed draw loan 9.74 % 6.01 % - SOFR(M) 4/4/2026 - - - 0.0 % First lien senior secured loan 9.74 % 6.01 % - SOFR(Q) 5/11/2027 5,972 5,909 5,823 0.5 % Gusmer Enterprises, Inc. First lien senior secured loan 9.33 % 5.61 % - SOFR(M) 5/7/2027 2,721 2,705 2,721 0.2 % First lien senior secured delayed draw loan 9.33 % 5.61 % - SOFR(M) 5/7/2027 3,750 3,729 3,750 0.3 % First lien senior secured delayed draw loan 9.33 % 5.61 % - SOFR(M) 5/7/2027 990 985 990 0.1 % First lien senior secured revolving loan 9.39 % 5.61 % - SOFR(M) 5/7/2027 735 716 735 0.1 % Superior Intermediate LLC (Landmark Structures) First lien senior secured loan 9.22 % 5.50 % - SOFR(M) 12/18/2029 17,223 16,834 17,395 1.6 % First lien senior secured delayed draw loan 9.22 % 5.50 % - SOFR(M) 12/18/2029 - - - 0.0 % First lien senior secured revolving loan 9.22 % 5.50 % - SOFR(M) 12/18/2029 - - - 0.0 % PMFC Holding, LLC First lien senior secured loan 11.84 % 8.15 % - SOFR(Q) 7/31/2026 5,445 5,423 5,445 0.5 % First lien senior secured delayed draw loan 11.99 % 8.15 % - SOFR(Q) 7/31/2026 2,731 2,730 2,731 0.2 % First lien senior secured revolving loan 11.99 % 8.15 % - SOFR(Q) 7/31/2026 34 34 34 0.0 % Regiment Security Partners LLC (12) First lien senior secured loan 13.84 % 10.15 % - SOFR(Q) 9/15/2026 6,360 6,325 5,381 0.5 % First lien senior secured loan 15.50 % 8.75 % - PRIME 9/15/2026 3,305 3,305 2,796 0.3 % First lien senior secured delayed draw loan 13.84 % 10.15 % - SOFR(Q) 9/15/2026 2,602 2,590 2,201 0.2 % First lien senior secured revolving loan 13.84 % 10.15 % - SOFR(Q) 9/15/2026 780 774 660 0.1 % Tempo Acquisition, LLC (7) First lien senior secured loan 5.47 % 1.75 % - SOFR(M) 8/31/2028 8,103 8,124 7,774 0.7 % See accompanying notes to consolidated financial statements. F- 9 Kayne Anderson BDC, Inc. Consolidated Schedule of Investments As of December 31, 2025 (amounts in 000’s, except number of shares, units) Portfolio Company Footnotes (1)(2) Investment (3) Interest Rate Spread (4) PIK Rate Reference (5) Maturity Date Principal /Par Amortized Cost (6) Fair Value Percentage of Net Assets Tapco Buyer LLC First lien senior secured loan 8.22 % 4.50 % - SOFR(M) 11/15/2030 10,471 10,340 10,576 1.0 % First lien senior secured loan 8.23 % 4.50 % - SOFR(M) 11/15/2030 2,921 2,887 2,950 0.3 % First lien senior secured delayed draw loan 8.23 % 4.50 % - SOFR(M) 11/15/2030 7,221 7,050 7,293 0.7 % First lien senior secured revolving loan 8.22 % 4.50 % - SOFR(M) 11/15/2030 - - - 0.0 % 246,404 243,220 243,536 21.9 % Containers & packaging Carton Packaging Buyer, Inc. (Century Box) First lien senior secured loan 10.09 % 6.25 % - SOFR(Q) 10/30/2028 23,776 23,400 23,538 2.1 % First lien senior secured loan 9.99 % 6.25 % - SOFR(S) 10/30/2028 11,905 11,692 11,786 1.0 % First lien senior secured revolving loan 9.98 % 6.25 % - SOFR(M) 10/30/2028 854 814 846 0.1 % Drew Foam Companies Inc. First lien senior secured loan 9.82 % 6.15 % - SOFR(Q) 12/5/2026 6,904 6,836 6,904 0.6 % First lien senior secured loan 10.02 % 6.15 % - SOFR(Q) 12/5/2026 19,625 19,549 19,625 1.8 % FCA, LLC First lien senior secured loan 9.21 % 5.00 % - SOFR(S) 7/18/2028 18,673 18,537 18,673 1.7 % First lien senior secured loan 9.47 % 5.75 % - SOFR(M) 7/18/2028 740 731 748 0.1 % M2S Group Intermediate Holdings, Inc. First lien senior secured loan 8.59 % 4.75 % - SOFR(M) 8/25/2031 37,471 35,215 36,534 3.3 % Monza Purchaser, LLC (Smyth) First lien senior secured loan 9.17 % 5.50 % - SOFR(Q) 2/28/2030 26,360 25,917 26,360 2.4 % First lien senior secured revolving loan 9.17 % 5.50 % - SOFR(Q) 2/28/2030 1,234 1,095 1,234 0.1 % First lien senior secured delayed draw loan 9.35 % 5.50 % - SOFR(Q) 2/28/2030 5,271 5,178 5,271 0.5 % The Robinette Company First lien senior secured loan 9.84 % 6.00 % - SOFR(Q) 5/10/2029 10,123 9,976 10,225 0.9 % First lien senior secured revolving loan 9.84 % 6.00 % - SOFR(Q) 5/10/2029 2,414 2,355 2,438 0.2 % First lien senior secured delayed draw loan 9.84 % 6.00 % - SOFR(Q) 5/10/2029 - - - 0.0 % WCHG Buyer, Inc. (Handgards) First lien senior secured loan 8.47 % 4.75 % - SOFR(M) 4/10/2031 37,363 37,007 37,363 3.4 % 202,713 198,302 201,545 18.2 % Diversified consumer services BCDI Meteor Acquisition, LLC First lien senior secured loan 10.77 % 7.10 % - SOFR(Q) 6/29/2028 15,722 15,523 15,722 1.4 % First lien senior secured loan 10.77 % 7.10 % - SOFR(Q) 6/29/2028 2,167 2,136 2,167 0.2 % 17,889 17,659 17,889 1.6 % Diversified telecommunication services Network Connex (f/k/a NTI Connect, LLC) First lien senior secured loan 8.57 % 4.90 % - SOFR(Q) 7/31/2027 3,552 3,542 3,552 0.3 % Financial services SGCP Intermediate, Inc. (SG Credit) (13)(14) 11.00 % 11.00 % - FIXED 7/15/2030 80,000 78,557 80,000 7.2 % 11.00 % 11.00 % - FIXED 7/15/2030 13,000 12,547 13,000 1.2 % 93,000 91,104 93,000 8.4 % Food products BC CS 2, L.P. (Cuisine Solutions, Inc.) (8)(14) 10.31 % 6.10 % - SOFR(S) 7/8/2028 14,793 14,604 14,793 1.3 % BR PJK Produce, LLC (Keany) First lien senior secured loan 10.39 % 6.40 % - SOFR(Q) 12/14/2027 29,042 28,733 29,042 2.6 % First lien senior secured loan 10.39 % 6.40 % - SOFR(Q) 12/14/2027 4,295 4,237 4,295 0.4 % First lien senior secured delayed draw loan 10.38 % 6.40 % - SOFR(Q) 12/14/2027 4,321 4,253 4,321 0.4 % First lien senior secured delayed draw loan 10.39 % 6.40 % - SOFR(Q) 12/14/2027 1,404 1,389 1,404 0.1 % CCFF Buyer, LLC (California Custom Fruits & Flavors, LLC) First lien senior secured loan 9.08 % 5.00 % - SOFR(S) 2/26/2030 13,757 13,500 13,894 1.3 % First lien senior secured delayed draw loan 9.06 % 5.00 % - SOFR(S) 2/26/2030 8,375 8,264 8,459 0.8 % First lien senior secured revolving loan 9.08 % 5.00 % - SOFR(S) 2/26/2030 - - - 0.0 % See accompanying notes to consolidated financial statements. F- 10 Kayne Anderson BDC, Inc. Consolidated Schedule of Investments As of December 31, 2025 (amounts in 000’s, except number of shares, units) Portfolio Company Footnotes (1)(2) Investment (3) Interest Rate Spread (4) PIK Rate Reference (5) Maturity Date Principal /Par Amortized Cost (6) Fair Value Percentage of Net Assets City Line Distributors LLC First lien senior secured loan 10.10 % 6.26 % - SOFR(Q) 8/31/2028 8,717 8,586 8,717 0.8 % First lien senior secured delayed draw loan 10.13 % 6.26 % - SOFR(Q) 8/31/2028 3,572 3,537 3,572 0.3 % First lien senior secured revolving loan 10.10 % 6.26 % - SOFR(Q) 8/31/2028 - - - 0.0 % Gulf Pacific Acquisition, LLC First lien senior secured loan 10.82 % 7.10 % - SOFR(M) 9/29/2028 19,771 19,523 19,771 1.8 % First lien senior secured delayed draw loan 10.83 % 7.10 % - SOFR(M) 9/29/2028 1,667 1,664 1,667 0.2 % First lien senior secured revolving loan 10.82 % 7.10 % - SOFR(M) 9/29/2028 2,697 2,635 2,697 0.2 % IF&P Foods, LLC (FreshEdge) First lien senior secured loan 9.40 % 5.73 % - SOFR(Q) 10/3/2028 26,694 26,345 26,427 2.4 % First lien senior secured loan 9.77 % 6.10 % - SOFR(Q) 10/3/2028 212 208 211 0.0 % First lien senior secured loan 9.02 % 5.35 % - SOFR(Q) 10/3/2028 704 683 690 0.1 % First lien senior secured delayed draw loan 9.40 % 5.73 % - SOFR(Q) 10/3/2028 3,964 3,917 3,924 0.4 % First lien senior secured revolving loan 9.40 % 5.73 % - SOFR(Q) 10/3/2028 3,490 3,450 3,455 0.3 % J&K Ingredients, LLC First lien senior secured loan 8.67 % 5.00 % - SOFR(Q) 11/16/2028 24,313 23,915 24,252 2.2 % First lien senior secured loan 8.67 % 5.00 % - SOFR(Q) 11/16/2028 7,888 7,811 7,868 0.7 % First lien senior secured loan 8.67 % 5.00 % - SOFR(Q) 11/16/2028 - - - 0.0 % ML Buyer, LLC (Mama Lycha Foods, LLC) First lien senior secured loan 9.49 % 5.75 % - SOFR(Q) 9/7/2029 11,439 11,260 11,553 1.0 % First lien senior secured revolving loan 9.49 % 5.75 % - SOFR(Q) 9/7/2029 798 739 806 0.1 % Siegel Egg Co., LLC (10)(11) First lien senior secured loan - - - - 12/29/2026 14,727 14,620 8,615 0.8 % First lien senior secured loan - - - - 12/29/2026 382 375 382 0.0 % First lien senior secured loan - - - - 12/29/2026 912 894 912 0.1 % First lien senior secured revolving loan - - - 12/29/2026 3,179 3,157 1,860 0.2 % Texas Coffee Holdco LLC First lien senior secured delayed draw loan 11.49 % 7.65 % - SOFR(Q) 10/31/2030 15,000 14,451 15,000 1.3 % First lien senior secured delayed draw loan 11.49 % 7.65 % - SOFR(Q) 10/31/2030 - - - 0.0 % Worldwide Produce Acquisition, LLC First lien senior secured delayed draw loan 11.59 % 2.50 % 5.25 % SOFR(Q) 1/18/2029 571 561 553 0.0 % First lien senior secured delayed draw loan 11.59 % 2.50 % 5.25 % SOFR(Q) 1/18/2029 474 455 459 0.0 % First lien senior secured delayed draw loan 11.59 % 2.50 % 5.25 % SOFR(Q) 1/18/2029 - - - 0.0 % First lien senior secured revolving loan 10.61 % 6.75 % - SOFR(Q) 1/18/2029 64 64 62 0.0 % First lien senior secured loan 11.59 % 2.50 % 5.25 % SOFR(Q) 1/18/2029 2,913 2,864 2,819 0.3 % 230,135 226,694 222,480 20.1 % Health care equipment & supplies ECS Opco 1, LLC (Spectrum Vascular) First lien senior secured loan 8.42 % 4.75 % - SOFR(Q) 3/26/2031 5,861 5,775 5,670 0.5 % First lien senior secured delayed draw loan 8.42 % 4.75 % - SOFR(Q) 3/26/2031 - - - 0.0 % First lien senior secured revolving loan 8.42 % 4.75 % - SOFR(Q) 3/26/2031 - - - 0.0 % LSL Industries, LLC First lien senior secured loan 10.67 % 6.76 % - SOFR(Q) 11/3/2027 17,897 17,531 17,763 1.6 % First lien senior secured delayed draw loan 10.67 % 6.76 % - SOFR(Q) 11/3/2027 - - - 0.0 % First lien senior secured revolving loan 10.67 % 6.76 % - SOFR(Q) 11/3/2027 - - - 0.0 % 23,758 23,306 23,433 2.1 % Health care providers & services Aegis Toxicology Sciences Corporation First lien senior secured loan 9.69 % 6.00 % - SOFR(Q) 6/20/2030 27,360 26,755 27,360 2.5 % First lien senior secured revolving loan 9.69 % 6.00 % - SOFR(Q) 6/20/2030 - - - 0.0 % See accompanying notes to consolidated financial statements. F- 11 Kayne Anderson BDC, Inc. Consolidated Schedule of Investments As of December 31, 2025 (amounts in 000’s, except number of shares, units) Portfolio Company Footnotes (1)(2) Investment (3) Interest Rate Spread (4) PIK Rate Reference (5) Maturity Date Principal /Par Amortized Cost (6) Fair Value Percentage of Net Assets Brightview, LLC First lien senior secured loan 9.58 % 5.86 % - SOFR(M) 12/14/2026 12,607 12,602 12,607 1.1 % First lien senior secured delayed draw loan 9.58 % 5.86 % - SOFR(M) 12/14/2026 1,684 1,683 1,684 0.2 % First lien senior secured revolving loan 9.58 % 5.86 % - SOFR(M) 12/14/2026 620 618 620 0.1 % Guardian Dentistry Practice Management, LLC First lien senior secured loan 9.33 % 5.61 % - SOFR(M) 8/20/2027 5,853 5,799 5,853 0.5 % First lien senior secured delayed draw loan 9.33 % 5.61 % - SOFR(M) 8/20/2027 11,472 11,371 11,472 1.0 % First lien senior secured delayed draw loan 9.33 % 5.61 % - SOFR(M) 8/20/2027 4,475 4,462 4,475 0.4 % First lien senior secured revolving loan 11.25 % 4.50 % - Prime 8/20/2027 155 155 155 0.0 % Guided Practice Solutions: Dental, LLC (GPS) First lien senior secured delayed draw loan 10.08 % 6.36 % - SOFR(M) 11/24/2026 16,486 16,345 16,486 1.5 % First lien senior secured delayed draw loan 10.08 % 6.36 % - SOFR(M) 11/24/2026 3,940 3,940 3,940 0.4 % First lien senior secured delayed draw loan 10.08 % 6.36 % - SOFR(M) 11/24/2026 9,637 9,609 9,637 0.9 % Integrated Dermatology LLC First lien senior secured delayed draw loan 10.35 % 6.50 % - SOFR(Q) 8/1/2030 25,425 24,907 25,552 2.3 % First lien senior secured revolving loan 10.35 % 6.50 % - SOFR(Q) 8/1/2030 - - - 0.0 % First lien senior secured delayed draw loan 10.36 % 6.50 % - SOFR(Q) 8/1/2030 938 835 942 0.1 % Light Wave Dental Management, LLC First lien senior secured revolving loan 9.19 % 5.50 % - SOFR(Q) 6/30/2029 3,837 3,751 3,837 0.3 % First lien senior secured loan 9.19 % 5.50 % - SOFR(Q) 6/30/2029 21,972 21,560 21,972 2.0 % First lien senior secured loan 9.19 % 5.50 % - SOFR(Q) 6/30/2029 2,727 2,680 2,727 0.2 % First lien senior secured loan 9.19 % 5.50 % - SOFR(Q) 6/30/2029 489 478 489 0.0 % First lien senior secured loan 9.19 % 5.50 % - SOFR(Q) 6/30/2029 2,265 2,234 2,265 0.2 % MVP VIP Borrower, LLC First lien senior secured loan 10.17 % 6.50 % - SOFR(Q) 1/3/2029 19,283 18,966 19,283 1.7 % First lien senior secured delayed draw loan 10.17 % 6.50 % - SOFR(Q) 1/3/2029 1,555 1,530 1,555 0.1 % NMA Holdings, LLC (Neuromonitoring Associates) First lien senior secured loan 8.70 % 5.00 % - SOFR(Q) 12/18/2030 16,261 15,974 16,423 1.5 % First lien senior secured revolving loan 8.70 % 5.00 % - SOFR(Q) 12/18/2030 - - - 0.0 % First lien senior secured delayed draw loan 8.70 % 5.00 % - SOFR(Q) 12/18/2030 769 732 777 0.1 % Redwood MSO, LLC (Smile Partners) First lien senior secured loan 9.17 % 5.50 % - SOFR(Q) 12/20/2029 11,103 10,920 11,103 1.0 % First lien senior secured delayed draw loan 9.17 % 5.50 % - SOFR(Q) 12/20/2029 1,216 1,190 1,216 0.1 % First lien senior secured revolving loan 11.25 % 4.50 % - PRIME 12/20/2029 283 267 283 0.0 % Refocus Management Services, LLC First lien senior secured loan 9.27 % 5.60 % - SOFR(Q) 2/14/2029 18,037 17,656 18,037 1.6 % First lien senior secured delayed draw loan 9.44 % 5.60 % - SOFR(Q) 2/14/2029 7,091 6,933 7,091 0.6 % First lien senior secured delayed draw loan 9.27 % 5.60 % - SOFR(Q) 2/14/2029 3,527 3,527 3,527 0.3 % First lien senior secured revolving loan 9.44 % 5.60 % - SOFR(Q) 2/14/2029 496 464 496 0.1 % Salt Dental Collective LLC First lien senior secured delayed draw loan 10.57 % 6.85 % - SOFR(M) 2/15/2028 3,940 3,940 3,940 0.4 % 235,503 231,883 235,804 21.2 % Household durables Curio Brands, LLC First lien senior secured loan 8.92 % 5.25 % - SOFR(Q) 4/2/2031 10,333 10,227 10,540 0.9 % First lien senior secured revolving loan 8.92 % 5.25 % - SOFR(Q) 4/2/2031 - - - 0.0 % First lien senior secured delayed draw loan 8.92 % 5.25 % - SOFR(Q) 4/2/2031 - - - 0.0 % Del-Air Heating, Air Conditioning & Refrigeration, LLC First lien senior secured loan 9.37 % 5.50 % - SOFR(Q) 2/4/2031 5,259 5,190 5,259 0.5 % First lien senior secured revolving loan 9.36 % 5.50 % - SOFR(Q) 2/4/2031 1,078 1,048 1,078 0.1 % First lien senior secured delayed draw loan 9.32 % 5.50 % - SOFR(Q) 2/4/2031 3,362 3,306 3,362 0.3 % 20,032 19,771 20,239 1.8 % See accompanying notes to consolidated financial statements. F- 12 Kayne Anderson BDC, Inc. Consolidated Schedule of Investments As of December 31, 2025 (amounts in 000’s, except number of shares, units) Portfolio Company Footnotes (1)(2) Investment (3) Interest Rate Spread (4) PIK Rate Reference (5) Maturity Date Principal /Par Amortized Cost (6) Fair Value Percentage of Net Assets Household products CREO Group Inc. (HMS Manufacturing) First lien senior secured loan 10.35 % 6.51 % - SOFR(Q) 9/24/2029 33,794 33,211 32,949 3.0 % First lien senior secured revolving loan 10.18 % 6.51 % - SOFR(Q) 9/24/2029 4,908 4,810 4,785 0.4 % Home Brands Group Holdings, Inc. (ReBath) First lien senior secured loan 8.72 % 5.00 % - SOFR(M) 1/8/2028 15,141 15,019 15,141 1.4 % First lien senior secured revolving loan 8.72 % 5.00 % - SOFR(M) 1/8/2028 - - - 0.0 % 53,843 53,040 52,875 4.8 % Insurance Allcat Claims Service, LLC First lien senior secured loan 8.57 % 4.85 % - SOFR(M) 7/7/2027 971 964 971 0.1 % First lien senior secured delayed draw loan 8.57 % 4.85 % - SOFR(M) 7/7/2027 21,169 20,850 21,169 1.9 % First lien senior secured delayed draw loan 8.57 % 4.85 % - SOFR(M) 7/7/2027 - - - 0.0 % First lien senior secured revolving loan 8.57 % 4.85 % - SOFR(M) 7/7/2027 - - - 0.0 % 22,140 21,814 22,140 2.0 % IT services Improving Acquisition LLC First lien senior secured loan 10.32 % 6.65 % - SOFR(Q) 7/26/2027 34,538 34,264 34,538 3.1 % First lien senior secured revolving loan 10.59 % 6.65 % - SOFR(M) 7/26/2027 167 156 167 0.0 % 34,705 34,420 34,705 3.1 % Leisure products MacNeill Pride Group Corp. First lien senior secured loan 10.18 % 6.51 % - SOFR(Q) 4/22/2026 7,824 7,816 7,824 0.7 % First lien senior secured delayed draw loan 10.18 % 6.51 % - SOFR(Q) 4/22/2026 1,465 1,463 1,465 0.1 % First lien senior secured delayed draw loan 10.18 % 6.51 % - SOFR(Q) 4/22/2026 1,639 1,631 1,639 0.2 % First lien senior secured revolving loan 10.18 % 6.51 % - SOFR(Q) 4/22/2026 - - - 0.0 % Olibre Borrower LLC (Revelyst) First lien senior secured loan 9.42 % 5.75 % - SOFR(Q) 1/3/2030 33,586 33,021 33,670 3.0 % TG Parent Newco LLC (Trademark Global LLC) (10)(11)(13) First lien senior secured loan - - - - 6/30/2027 12,623 12,555 7,100 0.6 % First lien senior secured revolving loan - - - - 6/30/2027 2,815 2,800 1,583 0.2 % VENUplus, Inc. (f/k/a CTM Group, Inc.) First lien senior secured loan 11.32 % 6.85 % 0.75 % SOFR(M) 11/30/2026 4,446 4,410 4,424 0.4 % 64,398 63,696 57,705 5.2 % Machinery MRC Keystone Acquisition LLC (Automated Handing Solutions) First lien senior secured loan 10.17 % 6.50 % - SOFR(Q) 12/18/2029 13,876 13,583 13,391 1.2 % First lien senior secured revolving loan 10.17 % 6.50 % - SOFR(Q) 12/18/2029 - - - 0.0 % CMT Intermediate Holdings, LLC (Capital Machine Technologies) First lien senior secured loan 9.22 % 5.50 % - SOFR(M) 3/29/2030 16,197 15,838 16,359 1.5 % First lien senior secured revolving loan 9.22 % 5.50 % - SOFR(M) 3/29/2030 - - - 0.0 % LEM Buyer, Inc. (CFS Technologies Intermediate, Inc.) First lien senior secured loan 9.62 % 5.75 % - SOFR(Q) 4/24/2031 11,150 10,997 11,150 1.0 % First lien senior secured loan 9.59 % 5.75 % - SOFR(Q) 4/24/2031 15,502 15,282 15,502 1.4 % First lien senior secured delayed draw loan 9.59 % 5.75 % - SOFR(Q) 4/24/2031 4,899 4,807 4,899 0.5 % First lien senior secured revolving loan 9.59 % 5.75 % - SOFR(Q) 4/24/2031 - - - 0.0 % Eppinger Technologies, LLC (8) First lien senior secured loan 12.32 % 7.90 % 0.75 % SOFR(Q) 2/4/2026 24,847 24,810 24,847 2.2 % First lien senior secured revolving loan 11.52 % 6.90 % 0.75 % SOFR(Q) 2/4/2026 1,884 1,880 1,884 0.2 % Luxium Solutions, LLC First lien senior secured loan 8.92 % 5.25 % - SOFR(Q) 12/1/2027 3,776 3,742 3,776 0.3 % First lien senior secured loan 8.92 % 5.25 % - SOFR(Q) 12/1/2027 4,650 4,608 4,650 0.4 % First lien senior secured delayed draw loan 8.92 % 5.25 % - SOFR(Q) 12/1/2027 1,221 1,215 1,221 0.1 % PVI Holdings, Inc (Vytl Controls Group Inc) First lien senior secured loan 8.92 % 4.94 % - SOFR(Q) 1/18/2028 23,411 23,250 23,411 2.1 % RMH Systems, LLC First lien senior secured loan 8.90 % 5.00 % - SOFR(Q) 2/4/2030 10,185 10,013 9,930 0.9 % First lien senior secured delayed draw loan 8.84 % 5.00 % - SOFR(Q) 2/4/2030 2,697 2,553 2,630 0.2 % First lien senior secured revolving loan 8.90 % 5.00 % - SOFR(Q) 2/4/2030 - - - 0.0 % United Titanium, LLC First lien senior secured loan 8.42 % 4.75 % - SOFR(M) 8/29/2031 18,412 18,146 18,596 1.7 % First lien senior secured revolving loan 8.42 % 4.75 % - SOFR(M) 8/29/2031 - - - 0.0 % 152,707 150,724 152,246 13.7 % See accompanying notes to consolidated financial statements. F- 13 Kayne Anderson BDC, Inc. Consolidated Schedule of Investments As of December 31, 2025 (amounts in 000’s, except number of shares, units) Portfolio Company Footnotes (1)(2) Investment (3) Interest Rate Spread (4) PIK Rate Reference (5) Maturity Date Principal /Par Amortized Cost (6) Fair Value Percentage of Net Assets Personal care products DRS Holdings III, Inc. (Dr. Scholl's) First lien senior secured loan 8.97 % 5.25 % - SOFR(M) 11/1/2028 10,039 9,984 10,039 0.9 % First lien senior secured revolving loan 8.97 % 5.25 % - SOFR(M) 11/1/2028 - - - 0.0 % PH Beauty Holdings III, Inc. First lien senior secured loan 8.78 % 5.00 % - SOFR(S) 9/28/2027 13,920 13,699 13,920 1.3 % 23,959 23,683 23,959 2.2 % Pharmaceuticals Foundation Consumer Brands, LLC First lien senior secured loan 9.09 % 5.15 % - SOFR(Q) 2/12/2029 6,103 6,055 6,103 0.6 % First lien senior secured revolving loan 9.09 % 5.15 % - SOFR(Q) 2/12/2029 - - - 0.0 % 6,103 6,055 6,103 0.6 % Professional services 4 Over International, LLC (15) First lien senior secured loan 10.82 % 7.10 % - SOFR(M) 12/7/2026 18,772 18,511 18,209 1.7 % CI (MG) Group, LLC (Mariani Premier Group) First lien senior secured loan 9.17 % 5.50 % - SOFR(Q) 3/27/2030 21,188 20,910 21,400 1.9 % First lien senior secured delayed draw loan 9.17 % 5.50 % - SOFR(Q) 3/27/2030 4,407 4,316 4,451 0.4 % First lien senior secured delayed draw loan 9.17 % 5.50 % - SOFR(Q) 3/27/2030 922 910 931 0.1 % First lien senior secured revolving loan 9.17 % 5.50 % - SOFR(Q) 3/27/2030 1,537 1,503 1,552 0.1 % DISA Holdings Corp. First lien senior secured delayed draw loan 8.99 % 5.00 % - SOFR(Q) 9/9/2028 8,236 8,126 8,236 0.7 % First lien senior secured delayed draw loan 8.99 % 5.00 % - SOFR(Q) 9/9/2028 1,051 1,050 1,051 0.1 % First lien senior secured revolving loan 8.99 % 5.00 % - SOFR(Q) 9/9/2028 631 601 631 0.1 % First lien senior secured loan 8.99 % 5.00 % - SOFR(Q) 9/9/2028 1,298 1,285 1,298 0.1 % First lien senior secured loan 8.99 % 5.00 % - SOFR(Q) 9/9/2028 21,729 21,392 21,729 2.0 % Envirotech Services, LLC First lien senior secured loan 9.34 % 5.50 % - SOFR(S) 1/18/2029 32,315 31,731 32,441 2.9 % First lien senior secured loan 9.33 % 5.50 % - SOFR(S) 1/18/2029 121 120 122 0.0 % First lien senior secured revolving loan 9.34 % 5.50 % - SOFR(S) 1/18/2029 - - - 0.0 % PGI Parent LLC (Prime Electric) First lien senior secured loan 8.67 % 5.00 % - SOFR(Q) 12/31/2031 13,160 13,000 13,160 1.2 % First lien senior secured revolving loan 8.67 % 5.00 % - SOFR(Q) 12/31/2031 - - - 0.0 % KAMC Holdings, Inc. (Franklin Energy) First lien senior secured loan 9.10 % 5.25 % - SOFR(Q) 8/1/2031 18,792 18,530 18,792 1.7 % First lien senior secured revolving loan 9.07 % 5.25 % - SOFR(Q) 8/1/2031 472 447 472 0.0 % 144,631 142,432 144,475 13.0 % Specialty retail Harbor Freight Tools USA Inc (7) First lien senior secured loan 5.97 % 2.25 % - SOFR(M) 6/11/2031 17,281 17,295 17,096 1.6 % Sundance Holdings Group, LLC (10)(11)(16) First lien senior secured loan - - - - 6/30/2025 9,246 9,210 239 0.0 % First lien senior secured delayed draw loan - - - - 6/30/2025 628 628 16 0.0 % First lien senior secured delayed draw loan - - - - 6/30/2025 173 152 260 0.0 % 27,328 27,285 17,611 1.6 % Textiles, apparel & luxury goods American Soccer Company, Incorporated (SCORE) First lien senior secured loan 14.07 % 7.40 % 3.00 % SOFR(Q) 7/20/2027 28,286 27,712 25,175 2.3 % First lien senior secured revolving loan 14.07 % 7.40 % 3.00 % SOFR(Q) 7/20/2027 4,843 4,751 4,310 0.4 % BEL USA, LLC (10)(11) First lien senior secured loan - - - - 6/2/2026 5,486 5,423 3,106 0.3 % First lien senior secured loan - - - - 6/2/2026 90 89 51 0.0 % YS Garments, LLC First lien senior secured loan 11.48 % 7.60 % - SOFR(Q) 8/9/2027 7,065 6,942 6,571 0.6 % 45,770 44,917 39,213 3.6 % Distributors (Trading companies & distributors) (17) AIDC IntermediateCo 2, LLC (Peak Technologies) First lien senior secured loan 8.97 % 5.25 % - SOFR(M) 7/22/2027 33,950 33,513 33,950 3.0 % CGI Automated Manufacturing, LLC First lien senior secured loan 10.83 % 2.61 % 4.50 % SOFR(M) 12/15/2028 17,386 17,072 17,298 1.6 % First lien senior secured loan 10.83 % 2.61 % 4.50 % SOFR(M) 12/15/2028 3,178 3,127 3,162 0.3 % First lien senior secured loan 10.83 % 2.61 % 4.50 % SOFR(M) 12/15/2028 6,699 6,614 6,665 0.6 % First lien senior secured delayed draw loan 10.83 % 2.61 % 4.50 % SOFR(M) 12/15/2028 3,625 3,524 3,607 0.3 % First lien senior secured revolving loan 10.83 % 7.11 % - SOFR(M) 12/15/2028 3 - 3 0.0 % See accompanying notes to consolidated financial statements. F- 14 Kayne Anderson BDC, Inc. Consolidated Schedule of Investments As of December 31, 2025 (amounts in 000’s, except number of shares, units) Portfolio Company Footnotes (1)(2) Investment (3) Interest Rate Spread (4) PIK Rate Reference (5) Maturity Date Principal /Par Amortized Cost (6) Fair Value Percentage of Net Assets Dusk Acquisition II Corporation (Motors & Armatures, Inc. – MARS) First lien senior secured loan 9.67 % 6.00 % - SOFR(Q) 7/12/2029 7,394 7,147 7,394 0.7 % First lien senior secured loan 9.67 % 6.00 % - SOFR(Q) 7/12/2029 3,905 3,835 3,905 0.4 % Engineered Fastener Company, LLC (EFC International) First lien senior secured loan 10.32 % 6.65 % - SOFR(Q) 11/1/2027 23,128 22,871 23,128 2.1 % Genuine Cable Group, LLC First lien senior secured loan 9.57 % 5.85 % - SOFR(M) 11/1/2026 28,468 28,246 28,397 2.5 % First lien senior secured loan 9.57 % 5.85 % - SOFR(M) 11/1/2026 5,394 5,348 5,381 0.5 % I.D. Images Acquisition, LLC First lien senior secured loan 9.47 % 5.75 % - SOFR(M) 7/30/2027 5,591 5,542 5,591 0.5 % First lien senior secured loan 9.47 % 5.75 % - SOFR(M) 7/30/2027 7,770 7,731 7,770 0.7 % First lien senior secured loan 9.47 % 5.75 % - SOFR(M) 7/30/2027 4,427 4,394 4,427 0.4 % First lien senior secured loan 9.47 % 5.75 % - SOFR(M) 7/30/2027 1,021 1,016 1,021 0.1 % First lien senior secured delayed draw loan 9.47 % 5.75 % - SOFR(M) 7/30/2027 2,433 2,401 2,433 0.2 % First lien senior secured revolving loan 9.47 % 5.75 % - SOFR(M) 7/30/2027 - - - 0.0 % Krayden Holdings, Inc. First lien senior secured delayed draw loan 8.42 % 4.75 % - SOFR(Q) 3/1/2029 1,772 1,772 1,772 0.2 % First lien senior secured delayed draw loan 8.42 % 4.75 % - SOFR(Q) 3/1/2029 1,772 1,772 1,772 0.2 % First lien senior secured revolving loan 8.48 % 4.75 % - SOFR(M) 3/1/2029 608 575 608 0.0 % First lien senior secured loan 8.42 % 4.75 % - SOFR(Q) 3/1/2029 9,300 9,121 9,300 0.8 % Lakewood Acquisition Corporation (R&B Wholesale) First lien senior secured loan 9.37 % 5.50 % - SOFR(Q) 1/24/2030 29,473 28,803 29,767 2.7 % First lien senior secured revolving loan 9.37 % 5.50 % - SOFR(Q) 1/24/2030 - - - 0.0 % OAO Acquisitions, Inc. (BearCom) First lien senior secured loan 8.74 % 5.00 % - SOFR(M) 12/27/2029 20,996 20,764 20,996 1.9 % First lien senior secured loan 8.74 % 5.00 % - SOFR(M) 12/27/2029 851 844 851 0.1 % First lien senior secured delayed draw loan 8.74 % 5.00 % - SOFR(M) 12/27/2029 4,463 4,433 4,463 0.4 % First lien senior secured revolving loan 8.74 % 5.00 % - SOFR(M) 12/27/2029 - - - 0.0 % TL Alpine Holding Corp. (Air Distribution Technologies Inc.) First lien senior secured loan 9.72 % 6.00 % - SOFR(Q) 8/1/2030 18,070 17,772 18,070 1.6 % Univar (Windsor Holdings LLC) (7) First lien senior secured loan 6.47 % 2.75 % - SOFR(M) 8/1/2030 9,860 9,907 9,874 0.9 % Workholding US Holdings, LLC (Forkardt Hardinge) First lien senior secured loan 9.36 % 5.50 % - SOFR(Q) 10/23/2029 7,303 7,164 7,303 0.6 % First lien senior secured revolving loan 9.27 % 5.50 % - SOFR(Q) 10/23/2029 3,422 3,365 3,422 0.3 % 262,262 258,673 262,330 23.6 % Wireless telecommunication services Centerline Communications, LLC (15) First lien senior secured loan 11.47 % - 11.47 % SOFR(Q) 8/10/2027 6,529 6,452 5,909 0.5 % (15) First lien senior secured loan 11.97 % - 11.97 % SOFR(Q) 8/10/2027 936 924 941 0.1 % (15) First lien senior secured loan 11.47 % - 11.47 % SOFR(Q) 8/10/2027 10,108 10,031 9,148 0.8 % (15) First lien senior secured delayed draw loan 11.47 % - 11.47 % SOFR(Q) 8/10/2027 7,842 7,785 7,097 0.6 % (15) First lien senior secured delayed draw loan 11.47 % - 11.47 % SOFR(Q) 8/10/2027 6,826 6,771 6,178 0.6 % (15) First lien senior secured revolving loan 11.47 % - 11.47 % SOFR(Q) 8/10/2027 1,998 1,979 1,808 0.2 % (15) First lien senior secured loan 11.47 % - 11.47 % SOFR(Q) 8/10/2027 1,119 1,103 1,013 0.1 % 35,358 35,045 32,094 2.9 % Total Debt Investments 2,196,232 2,163,739 2,157,399 194.4 % See accompanying notes to consolidated financial statements. F- 15 Kayne Anderson BDC, Inc. Consolidated Schedule of Investments As of December 31, 2025 (amounts in 000’s, except number of shares, units) Acquisition Number of Fair Percentage Investment Date Shares/Units Cost Value of Net Assets Equity Investments(10)(18) Building products US Masonry & Building Products Co. (f/k/a US Anchors Group, Inc.) (19) Class A common 7/15/2024 566,666 - - 0.0 % US Masonry & Building Products Co. (f/k/a US Anchors Group, Inc.) (19) Preferred 7/15/2024 566,666 566 608 0.1 % 566 608 0.1 % Commercial services & supplies American Equipment Holdings LLC (20) Class A units 4/8/2022 175 284 477 0.1 % ArborWorks Intermediate Holdco, LLC (19) Class A preferred units 11/6/2023 21,716 9,179 15,767 1.4 % ArborWorks Intermediate Holdco, LLC (19) Class B preferred units 11/6/2023 21,716 - - 0.0 % ArborWorks Intermediate Holdco, LLC (19) Class A common units 11/6/2023 2,604 - - 0.0 % Bloomington Holdings, LP (BW Fusion) (19) Class A1 common units 11/5/2024 500 500 400 0.0 % BLP Buyer, Inc. (Bishop Lifting Products) (21) Class A common 2/1/2022 582,469 652 814 0.1 % 10,615 17,458 1.6 % Containers & packaging Robinette Company Acquisition, LLC (19) Class A common units 5/10/2024 9 - 90 0.0 % Robinette Company Acquisition, LLC (19) Class A preferred units 5/10/2024 500 500 515 0.0 % 500 605 0.0 % Financial services SGCP Holdings, LLC (SG Credit) (13) Class A common 7/15/2025 408,387 11,437 11,437 1.0 % SGCP Holdings, LLC (SG Credit) (13) Class C common 7/15/2025 102,260 563 563 0.1 % 12,000 12,000 1.1 % Food products BC CS 2, L.P. (Cuisine Solutions, Inc.) (8)(14) Series A preferred stock 7/8/2022 2,000,000 2,000 3,440 0.3 % CCFF Parent, LLC (California Custom Fruits & Flavors, LLC) (19) Class A-1 units 2/26/2024 750 511 1,000 0.1 % City Line Distributors, LLC (19) Class A units 8/31/2023 669,866 670 621 0.1 % Gulf Pacific Holdings, LLC (20) Class A common 9/30/2022 250 250 - 0.0 % Gulf Pacific Holdings, LLC (20) Class C common 9/30/2022 - - 0.0 % ML Buyer, LLC (Mama Lycha Foods, LLC) (19) Class A units 9/9/2024 250 250 188 0.0 % Siegel Parent, LLC (22) Common 12/29/2021 250 250 - 0.0 % Siegel Parent, LLC (22) Convertible note 1/19/2024 28 28 - 0.0 % NSC Coffee Investors, LLC (19) Class A preferred 10/31/2025 182,277 2,000 2,000 0.2 % WPP Fairway Aggregator A, L.P. (IF&P Foods, LLC - FreshEdge) (20) Class A preferred 10/3/2022 773 773 476 0.0 % WPP Fairway Aggregator A, L.P. (IF&P Foods, LLC - FreshEdge) (20) Class B common 10/3/2022 - - 0.0 % 6,732 7,725 0.7 % Health care equipment & supplies LSL Industries, LLC (LSL Healthcare) (20) Common 11/1/2022 7,500 750 363 0.0 % Health care providers & services NMA Super Holdings, LLC (Neuromonitoring Associates) (19) Class A membership interests 12/18/2024 1,000,000 1,000 1,963 0.2 % Leisure products TG Parent Newco LLC (Trademark Global LLC) (13)(19) Common 9/16/2024 8 - - 0.0 % Machinery RMH Parent LLC (RMH Systems) (19) Class A-1 Units 2/4/2025 500 500 300 0.0 % Specialty retail Sundance Direct Holdings, Inc. (16) Common 10/27/2023 21,479 - - 0.0 % Textiles, apparel & luxury goods BVG SCORE Buyer, Inc. (American Soccer Company, Incorporated) (22) Common 7/20/2022 1,000,000 1,000 - 0.0 % BVG SCORE Buyer, Inc. (American Soccer Company, Incorporated) (22) Preferred 7/20/2022 97,964 98 - 0.0 % Total Equity Investments 33,761 41,022 3.7 % Total Debt and Equity Investments 2,197,500 2,198,421 198.1 % Number of Fair Percentage Shares Cost Value of Net Assets Investments in Money Market Funds Morgan Stanley Institutional Liquidity Fund, Institutional Class, 3.63 % (23) 25,409,468 25,409 25,409 2.3 % Total Investments in Money Market Funds 25,409,468 25,409 25,409 2.3 % Total Investments $ 2,222,909 $ 2,223,830 200.4 % - Liabilities in Excess of Other Assets ( 1,113,899 ) ( 100.4 )% Net Assets $ 1,109,931 100.0 % (1) As of December 31, 2025, unless otherwise noted, investments are non-controlled, non-affiliated investments. Non-controlled, non-affiliated investments are defined as investments in which the Company owns less than 5% of the portfolio company’s outstanding voting securities and does not have the power to exercise control over the management or policies of such portfolio company. As of December 31, 2025, the total value of the Company’s non-controlled, non-affiliated investments was $2,084,737. See accompanying notes to consolidated financial statements. F- 16 Kayne Anderson BDC, Inc. Consolidated Schedule of Investments As of December 31, 2025 (amounts in 000’s, except number of shares, units) (2) Unless otherwise noted, security is a Level 3 holding. As of December 31, 2025, the aggregate value of Level 3 securities held by the Company was $2,151,743. See Note 5 – Fair Value. (3) Debt investments are pledged to the Company’s credit facilities, and a single debt investment may be divided into parts that are individually pledged to separate credit facilities. (4) Includes Secured Overnight Financing Rate (“SOFR”) credit spread adjustment if applicable. (5) Unless otherwise noted, all loans contain a variable rate structure, that may be subject to an interest rate floor. Variable rate loans bear interest at a rate that may be determined by reference to either SOFR (which can include one-(M), three-(Q) or six-month (S) SOFR), or an alternate base rate (which can include the Federal Funds Effective Rate or the Prime Rate). (6) The amortized cost represents the original cost adjusted for the amortization of discounts and premiums, as applicable, on debt investments using the effective interest method. (7) Security is a Level 2 holding. As of December 31, 2025, the aggregate value of Level 2 securities held by the Company was $46,678. See Note 5 – Fair Value. (8) Non-qualifying investment as defined by Section 55(a) of the Investment Company Act of 1940. The Company may not acquire any non-qualifying asset unless, at the time of acquisition, qualifying assets represent at least 70% of the Company’s total assets. As of December 31, 2025, 2.2% of the Company’s total assets were in non-qualifying investments. (9) The Company may be entitled to receive additional interest as a result of an arrangement with other lenders in the syndication. In exchange for the higher interest rate, the “last-out” portion is at a greater risk of loss. Certain lenders represent a “first out” portion of the investment and have priority to the “last-out” portion with respect to payments of principal and interest. (10) Debt investment on non-accrual status as of December 31, 2025. (11) Non-income producing investment. (12) On February 5, 2026, the Company amended its senior credit facility with Regiment Security Partners LLC and capitalized all interest earned during fiscal 2025. As a result, the Company is reflecting all cash pay interest accrued in fiscal year 2025 as PIK interest income. (13) As defined in the 1940 Act, the Company is deemed to be an “affiliated person” of this portfolio company as the Company owns more than 5% but less than 25% of the portfolio company’s voting securities or has the power to exercise control over management or policies of such portfolio company, including through a management agreement (“non-controlled affiliate”). As of December 31, 2025, the total value of the Company’s investments in non-controlled affiliates was $113,684 (5.4% of amortized cost of total long-term investments) and are described below. In September 2024, the Company completed a restructure of the investment in Trademark Global LLC whereby the existing term loan and revolver became a restructured term loan and revolver and no debt was converted to equity. The Company received new common units in TG Parent Newco LLC for which it owns 6.23% of the overall business (Kayne Anderson entities in aggregate own 20.77%). In July 2025, the Company made an investment in SG Credit Partners, Inc. through debt and equity investments in SGCP Intermediate, Inc. and SGCP Holdings, LLC (collectively “SG Credit), an independent national credit platform focused on lower middle market investments. The Company’s investment in SG Credit was structured as an $80,000 term loan facility, $34,000 unfunded delayed draw term loan facility and a $12,000 common equity investment. Through the common equity investment, the Company owns 22.5% of the outstanding common equity of SG Credit. The common equity investment includes a call option providing the Company the right, but not the obligation, to purchase additional equity interests in SG Credit through June 30, 2028 (the “Option Expiration Date”). The fixed call option price is based on the performance of SG Credit over the option period. Upon exercise, the Company would own 72.0% - 91.0% of the outstanding common equity of SG Credit depending upon certain tag-along rights and any shares issued under SG Credit’s management incentive plan. If the call option is exercised, the Company would still not control SG Credit, nor would it consolidate its common equity investment in SG Credit. See accompanying notes to consolidated financial statements. F- 17 Kayne Anderson BDC, Inc. Consolidated Schedule of Investments As of December 31, 2025 (amounts in 000’s, except number of shares, units) Investment (1) Value at 12/31/2024 Gross Additions (a) Gross Reductions (b) Net Change in Unrealized Gains(Losses) Value at 12/31/2025 Interest and PIK Income Dividend Income Other Income TG Parent Newco LLC (Trademark Global LLC) - debt investment $ 12,196 $ - $ (82 ) $ (3,430 ) $ 8,684 $ - $ - $ - TG Parent Newco LLC (Trademark Global LLC) - equity investment - - - - - - - - SGCP Intermediate, Inc. (SG Credit) - debt investment - 91,103 - 1,897 93,000 4,763 - - SGCP Holdings, LLC (SG Credit) - equity investment - 12,000 - - 12,000 - - - Total $ 12,196 $ 103,103 $ (82 ) $ (1,533 ) $ 113,684 $ 4,763 $ - $ - (a) Gross additions may include increases in the cost basis of investments resulting from new investments, amounts related to payment-in-kind (“PIK”) interest capitalized and added to the principal balance of the respective loans, the accretion of discounts, the exchange of one or more existing investments for one or more new investments and the movement at fair value of an existing portfolio company into this controlled affiliated category from a different category. (b) Gross reductions may include decreases in the cost basis of investments resulting from principal collections related to investment repayments and sales, return of capital, the amortization of premiums and the exchange of one or more existing securities for one or more new securities. (14) The Company has a senior secured loan in an investment vehicle (BC CS 2, L.P.) that is collateralized by a preferred stock investment in Cuisine Solutions, Inc. that is characterized as subordinated debt. In addition, the Company’s senior secured loan in SG Credit is considered subordinated debt. (15) All or a portion of the stated interest rate may be settled in PIK for a specified period pursuant to the credit agreement. (16) Portfolio company is in a liquidation process and, as such, the maturity date of our debt investment in this portfolio company will not be finally determined until such process is complete. Our debt investment in this portfolio company is on non-accrual status. (17) The Company uses Global Industry Classification (GICS), Level 3 – Industry, for classifying the industry groupings of its portfolio companies. In instances where the composition of portfolio companies within a category does not as closely align with the GICS, Level 3 – Industry, the Company presents a more specific description, keeping the GICS, Level 3 – Industry in parenthesis for reference. (18) Security is exempt from registration under the Securities Act of 1933, as amended (the “Securities Act”), and may be deemed to be “restricted securities” under the Securities Act. (19) KABDC Corp, LLC, a wholly owned subsidiary of the Company, owns common and/or preferred equity of ArborWorks Intermediate Holdco, LLC, Bloomington Holdings, LP (BW Fusion), City Line Distributors LLC, CCFF Parent, LLC (California Custom Fruits & Flavors, LLC), ML Buyer, LLC (Mama Lycha Foods, LLC), NMA Super Holdings, LLC (Neuromonitoring Associates), NSC Coffee Investors, LLC (Texas Coffee Partners Ltd.), Robinette Company Acquisition, LLC, RMH Parent LLC (RMH Systems), TG Parent Newco LLC (Trademark Global LLC) and US Masonry & Building Products Co. (f/k/a US Anchors Group, Inc.). F- 18 (20) The Company owns 31.07% of a pass-through, taxable limited liability company, KSCF IV Equity Aggregator Blocker, LLC (the “Aggregator Blocker”), which holds the Company’s equity investments in American Equipment Holdings LLC, Gulf Pacific Holdings, LLC, WPP Fairway Aggregator A, L.P. (IF&P Foods, LLC - FreshEdge) and LSL Industries, LLC (LSL Healthcare). Through the Company’s ownership of the Aggregator Blocker, the Company owns the respective units of each company listed above in the Schedule of Investments. (21) The Company owns 0.53% of the common equity of BLP Buyer, Inc. (Bishop Lifting Products). (22) The Company owns 17.59% of a pass-through limited liability company, KSCF IV Equity Aggregator, LLC (the “Aggregator”), which holds the Company’s equity investments in Siegel Parent, LLC and BVG SCORE Buyer, Inc. (American Soccer Company, Incorporated). Through the Company’s ownership of the Aggregator, the Company owns the respective units of each company listed above in the Schedule of Investments. (23) The indicated rate is the yield as of December 31, 2025. Interest rate swap contracts Below are the Company’s outstanding interest rate swap contracts as of December 31, 2025. The Company designed each interest rate swap as the hedging instrument in a qualifying hedge accounting relationship. See Note 6 – Debt. Counterparty Hedged Instrument Company Receives Company Pays Maturity Date Notional Amount Fair Value Unrealized Appreciation (Depreciation) Upfront Payments / Receipts Regions Bank Series D Notes 5.80 % S + 2.3700% 6/30/2028 $ 60,000 $ (24 ) $ (24 ) - Regions Bank Series E Notes 6.15 % S + 2.6565% 10/15/2030 100,000 (275 ) (275 ) - $ 160,000 $ (299 ) $ (299 ) See accompanying notes to consolidated financial statements. F- 19 Kayne Anderson BDC, Inc. Consolidated Schedule of Investments As of December 31, 2024 (amounts in 000’s, except number of shares, units) Portfolio Company Footnotes (1)(2) Investment (3) Interest Rate Spread PIK Rate Reference (4) Maturity Date Principal / Par Amortized Cost (5) Fair Value Percentage of Net Assets Debt and Equity Investments Debt Investments Aerospace & defense Basel U.S. Acquisition Co., Inc. (IAC) (6) First lien senior secured loan 9.94 % 5.50 % - SOFR(Q) 12/5/2028 $ 18,308 $ 17,978 $ 18,570 1.6 % First lien senior secured loan 9.94 % 5.50 % - SOFR(Q) 12/5/2028 3,697 3,612 3,750 0.3 % First lien senior secured delayed draw loan 9.94 % 5.50 % - SOFR(Q) 7/8/2026 - - - 0.0 % First lien senior secured revolving loan 9.94 % 5.50 % - SOFR(Q) 12/5/2028 - - - 0.0 % Fastener Distribution Holdings, LLC First lien senior secured loan 9.31 % 4.75 % - SOFR(Q) 11/4/2031 20,067 19,870 20,067 1.7 % First lien senior secured delayed draw loan 9.31 % 4.75 % - SOFR(S) 11/4/2031 - - - 0.0 % TransDigm Inc (8) First lien senior secured loan 6.83 % 2.50 % - SOFR(Q) 2/28/2031 10,010 10,055 10,023 0.8 % Vitesse Systems Parent, LLC First lien senior secured loan 11.47 % 7.00 % - SOFR(M) 12/22/2028 30,896 30,249 30,819 2.6 % First lien senior secured revolving loan 11.56 % 7.00 % - SOFR(M) 12/22/2028 4,679 4,578 4,667 0.4 % 87,657 86,342 87,896 7.4 % Automobile components Clarios Global LP (6)(8) First lien senior secured loan 6.86 % 2.50 % - SOFR(M) 5/6/2030 10,060 10,098 10,090 0.8 % Speedstar Holding LLC First lien senior secured loan 10.59 % 6.00 % - SOFR(Q) 7/22/2027 6,100 6,040 6,131 0.5 % First lien senior secured delayed draw loan 10.59 % 6.00 % - SOFR(Q) 7/22/2027 666 650 669 0.1 % Vehicle Accessories, Inc. First lien senior secured loan 9.72 % 5.25 % - SOFR(M) 11/30/2026 26,424 26,179 26,424 2.2 % First lien senior secured revolving loan 9.72 % 5.25 % - SOFR(M) 11/30/2026 - - - 0.0 % WAM CR Acquisition, Inc. (Wolverine) First lien senior secured loan 10.58 % 6.25 % - SOFR(Q) 7/23/2029 26,830 26,327 27,232 2.3 % 70,080 69,294 70,546 5.9 % Biotechnology Alcami Corporation (Alcami) First lien senior secured delayed draw loan 11.55 % 7.00 % - SOFR(M) 12/21/2028 846 846 855 0.1 % First lien senior secured revolving loan 11.44 % 7.00 % - SOFR(M) 12/21/2028 117 81 119 0.0 % First lien senior secured loan 11.66 % 7.00 % - SOFR(Q) 12/21/2028 11,501 11,213 11,616 1.0 % 12,464 12,140 12,590 1.1 % Building products Eastern Wholesale Fence, LLC First lien senior secured loan 12.74 % 8.00 % - SOFR(Q) 10/30/2025 2,828 2,804 2,828 0.2 % First lien senior secured loan 12.74 % 8.00 % - SOFR(Q) 10/30/2025 15,678 15,468 15,678 1.3 % First lien senior secured revolving loan 12.74 % 8.00 % - SOFR(Q) 10/30/2025 1,077 1,074 1,077 0.1 % Ruff Roofers Buyer, LLC First lien senior secured loan 9.86 % 5.50 % - SOFR(M) 11/17/2029 7,115 6,880 7,115 0.6 % First lien senior secured revolving loan 10.11 % 5.75 % - SOFR(M) 11/17/2029 - - - 0.0 % First lien senior secured delayed draw loan 10.11 % 5.75 % - SOFR(M) 11/17/2029 3,818 3,782 3,818 0.3 % US Anchors Group, Inc. (Mechanical Plastics Corp.) First lien senior secured loan 9.33 % 5.00 % - SOFR(Q) 7/15/2029 14,109 13,800 14,109 1.2 % First lien senior secured revolving loan 9.33 % 5.00 % - SOFR(Q) 7/15/2029 - - - 0.0 % 44,625 43,808 44,625 3.7 % Chemicals Fralock Buyer LLC First lien senior secured loan 10.75 % 6.00 % 0.50 % SOFR(Q) 3/31/2025 9,286 9,278 9,263 0.8 % First lien senior secured loan 10.75 % 6.00 % 0.50 % SOFR(Q) 3/31/2025 2,388 2,385 2,382 0.2 % First lien senior secured revolving loan 10.83 % 6.00 % 0.50 % SOFR(Q) 3/31/2025 749 747 747 0.1 % Nouryon USA, LLC (f/k/a AkzoNobel Specialty Chemicals) (8) First lien senior secured loan 7.66 % 3.25 % - SOFR(Q) 4/3/2028 9,854 9,904 9,913 0.8 % 22,277 22,314 22,305 1.9 % Commercial services & supplies Advanced Environmental Monitoring (7) First lien senior secured loan 10.41 % 5.75 % - SOFR(Q) 1/29/2027 3,651 3,588 3,651 0.3 % First lien senior secured loan 10.23 % 5.75 % - SOFR(Q) 1/29/2026 7,372 7,266 7,372 0.6 % First lien senior secured loan 10.23 % 5.75 % - SOFR(Q) 1/29/2026 2,787 2,787 2,787 0.2 % Alight Solutions (Tempo Acquisition LLC) (8) First lien senior secured loan 6.61 % 2.25 % - SOFR(M) 8/31/2028 8,185 8,213 8,210 0.7 % Allentown, LLC First lien senior secured loan 11.66 % 6.00 % 1.00 % SOFR(Q) 4/22/2027 7,584 7,474 7,318 0.6 % First lien senior secured delayed draw loan 11.66 % 6.00 % 1.00 % SOFR(Q) 4/22/2027 1,370 1,346 1,322 0.1 % First lien senior secured revolving loan 12.50 % 5.00 % - PRIME 4/22/2027 367 357 354 0.0 % See accompanying notes to consolidated financial statements. F- 20 Kayne Anderson BDC, Inc. Consolidated Schedule of Investments As of December 31, 2024 (amounts in 000’s, except number of shares, units) Portfolio Company Footnotes (1)(2) Investment (3) Interest Rate Spread PIK Rate Reference (4) Maturity Date Principal / Par Amortized Cost (5) Fair Value Percentage of Net Assets American Equipment Holdings LLC First lien senior secured loan 10.67 % 6.00 % - SOFR(M) 11/5/2026 16,057 15,908 16,057 1.4 % First lien senior secured loan 10.67 % 6.00 % - SOFR(M) 11/5/2026 1,720 1,706 1,720 0.2 % First lien senior secured loan 10.56 % 6.00 % - SOFR(M) 11/5/2026 2,064 2,044 2,064 0.2 % First lien senior secured loan 10.45 % 6.00 % - SOFR(M) 11/5/2026 561 558 561 0.1 % First lien senior secured loan 10.50 % 6.00 % - SOFR(M) 11/5/2026 2,626 2,588 2,626 0.2 % First lien senior secured delayed draw loan 10.67 % 6.00 % - SOFR(M) 11/5/2026 6,176 6,110 6,176 0.5 % First lien senior secured delayed draw loan 10.60 % 6.00 % - SOFR(M) 11/5/2026 4,919 4,878 4,919 0.4 % First lien senior secured revolving loan 10.49 % 6.00 % - SOFR(M) 11/5/2026 2,557 2,481 2,557 0.2 % Arborworks Acquisition LLC (9)(10) First lien senior secured loan - - - - 11/6/2028 4,688 4,688 4,688 0.4 % First lien senior secured revolving loan - - - - 11/6/2028 948 948 948 0.1 % Bloomington Holdco, LLC (BW Fusion) First lien senior secured revolving loan 10.05 % 5.50 % - SOFR(Q) 5/1/2030 21,248 20,830 21,248 1.8 % First lien senior secured loan 10.05 % 5.50 % - SOFR(Q) 5/1/2030 3,612 3,417 3,612 0.3 % BLP Buyer, Inc. (Bishop Lifting Products) First lien senior secured loan 10.34 % 6.00 % - SOFR(M) 12/22/2029 25,969 25,538 26,163 2.2 % First lien senior secured loan 10.34 % 6.00 % - SOFR(M) 12/22/2029 1,220 1,198 1,229 0.1 % First lien senior secured delayed draw loan 10.34 % 6.00 % - SOFR(M) 12/22/2029 3,178 3,123 3,202 0.3 % First lien senior secured revolving loan 10.34 % 6.00 % - SOFR(M) 12/22/2029 757 692 762 0.1 % Connect America.com, LLC First lien senior secured loan 9.83 % 5.50 % - SOFR(Q) 10/11/2029 25,670 25,298 25,670 2.2 % Diverzify Intermediate LLC First lien senior secured delayed draw loan 10.53 % 5.75 % - SOFR(M) 4/4/2026 - - - 0.0 % First lien senior secured loan 10.53 % 5.75 % - SOFR(Q) 5/11/2027 6,033 5,902 5,957 0.5 % Gusmer Enterprises, Inc. First lien senior secured loan 11.47 % 7.00 % - SOFR(M) 5/7/2027 3,688 3,652 3,688 0.3 % First lien senior secured delayed draw loan 11.47 % 7.00 % - SOFR(M) 5/7/2027 4,828 4,784 4,828 0.4 % First lien senior secured delayed draw loan 11.47 % 7.00 % - SOFR(M) 5/7/2027 1,349 1,302 1,349 0.1 % First lien senior secured revolving loan 11.47 % 7.00 % - SOFR(Q) 5/7/2027 - - - 0.0 % Superior Intermediate LLC (Landmark Structures) First lien senior secured loan 10.35 % 6.00 % - SOFR(M) 12/18/2029 18,257 17,762 18,257 1.5 % First lien senior secured delayed draw loan 10.35 % 6.00 % - SOFR(M) 12/18/2029 - - - 0.0 % First lien senior secured revolving loan 10.38 % 6.00 % - SOFR(M) 12/18/2029 - - - 0.0 % PMFC Holding, LLC First lien senior secured loan 12.74 % 8.00 % - SOFR(Q) 12/19/2032 5,504 5,435 5,504 0.5 % First lien senior secured delayed draw loan 12.74 % 8.00 % - SOFR(Q) 12/19/2032 2,760 2,746 2,760 0.2 % First lien senior secured revolving loan 12.74 % 8.00 % - SOFR(Q) 12/19/2032 445 443 445 0.0 % Regiment Security Partners LLC First lien senior secured loan 12.50 % 8.00 % - SOFR(Q) 9/15/2026 6,360 6,298 6,360 0.5 % First lien senior secured delayed draw loan 12.50 % 8.00 % - SOFR(Q) 9/15/2026 2,602 2,582 2,602 0.2 % First lien senior secured revolving loan 12.50 % 8.00 % - SOFR(Q) 9/15/2026 1,452 1,434 1,452 0.1 % See accompanying notes to consolidated financial statements. F- 21 Kayne Anderson BDC, Inc. Consolidated Schedule of Investments As of December 31, 2024 (amounts in 000’s, except number of shares, units) Portfolio Company Footnotes (1)(2) Investment (3) Interest Rate Spread PIK Rate Reference (4) Maturity Date Principal / Par Amortized Cost (5) Fair Value Percentage of Net Assets Tapco Buyer LLC First lien senior secured loan 9.52 % 5.00 % - SOFR(Q) 11/15/2030 10,471 10,316 10,471 0.9 % First lien senior secured delayed draw loan 9.34 % 5.00 % - SOFR(Q) 11/15/2030 603 503 603 0.1 % First lien senior secured revolving loan 9.34 % 5.00 % - SOFR(Q) 11/15/2030 - - - 0.0 % 219,638 216,195 219,492 18.5 % Construction materials Quikrete Holdings Inc (8) First lien senior secured loan 6.61 % 2.25 % - SOFR(M) 3/19/2029 14,888 14,888 14,870 1.3 % Containers & packaging Carton Packaging Buyer, Inc. (Century Box) First lien senior secured loan 10.84 % 6.25 % - SOFR(Q) 10/30/2028 24,018 23,477 23,778 2.0 % First lien senior secured revolving loan 10.84 % 6.25 % - SOFR(S) 10/30/2028 - - - 0.0 % Drew Foam Companies, Inc. (7) First lien senior secured loan 10.48 % 6.00 % - SOFR(Q) 12/5/2026 6,978 6,835 6,978 0.6 % First lien senior secured loan 10.78 % 6.00 % - SOFR(Q) 12/5/2026 19,835 19,685 19,835 1.7 % FCA, LLC (FCA Packaging) First lien senior secured loan 10.13 % 5.00 % - SOFR(S) 7/18/2028 18,673 18,492 18,673 1.6 % First lien senior secured loan 10.11 % 5.75 % - SOFR(M) 7/18/2028 1,711 1,658 1,745 0.1 % First lien senior secured revolving loan 10.13 % 5.00 % - SOFR(S) 7/18/2028 - - - 0.0 % Innopak Industries, Inc. First lien senior secured loan 10.75 % 6.25 % - SOFR(M) 3/5/2027 7,241 7,116 7,241 0.6 % First lien senior secured loan 10.75 % 6.25 % - SOFR(M) 3/5/2027 5,925 5,821 5,925 0.5 % First lien senior secured loan 10.69 % 6.25 % - SOFR(M) 3/5/2027 14,775 14,529 14,775 1.2 % M2S Group Intermediate Holdings, Inc. First lien senior secured loan 9.09 % 4.75 % - SOFR(M) 8/22/2031 39,080 36,446 37,713 3.2 % The Robinette Company First lien senior secured loan 10.52 % 6.00 % - SOFR(Q) 5/10/2029 10,226 10,042 10,431 0.9 % First lien senior secured revolving loan 10.52 % 6.00 % - SOFR(Q) 5/10/2029 2,414 2,322 2,462 0.2 % First lien senior secured delayed draw loan 10.52 % 6.00 % - SOFR(M) 11/10/2025 - - - 0.0 % 150,876 146,423 149,556 12.6 % Diversified consumer services Fugue Finance B.V. (6)(8) First lien senior secured loan 8.25 % 3.75 % - SOFR(Q) 2/26/2031 2,985 2,979 3,001 0.3 % Diversified telecommunication services Liberty Global/Vodafone Ziggo (6)(8) First lien senior secured loan 7.01 % 2.50 % - SOFR(M) 4/30/2028 10,060 9,968 10,006 0.8 % Network Connex (f/k/a NTI Connect, LLC) First lien senior secured loan 9.48 % 5.00 % - SOFR(Q) 1/31/2026 3,552 3,530 3,552 0.3 % Virgin Media Bristor LLC (8) First lien senior secured loan 7.01 % 2.50 % - SOFR(M) 1/31/2028 17,500 17,343 17,361 1.5 % 31,112 30,841 30,919 2.6 % Electrical equipment Westinghouse (Wec US Holdings LTD) (8) First lien senior secured loan 6.80 % 2.25 % - SOFR(M) 1/27/2031 10,035 10,046 10,033 0.8 % See accompanying notes to consolidated financial statements. F- 22 Kayne Anderson BDC, Inc. Consolidated Schedule of Investments As of December 31, 2024 (amounts in 000’s, except number of shares, units) Portfolio Company Footnotes (1)(2) Investment (3) Interest Rate Spread PIK Rate Reference (4) Maturity Date Principal / Par Amortized Cost (5) Fair Value Percentage of Net Assets Food products BC CS 2, L.P. (Cuisine Solutions) (6)(11) - 12.55 % 8.00 % - SOFR(S) 7/8/2028 18,111 17,788 18,111 1.5 % BR PJK Produce, LLC (Keany) First lien senior secured loan 10.99 % 6.25 % - SOFR(Q) 11/14/2027 29,340 28,886 29,340 2.5 % First lien senior secured loan 10.99 % 6.25 % - SOFR(Q) 11/14/2027 4,338 4,249 4,338 0.4 % First lien senior secured delayed draw loan 10.99 % 6.25 % - SOFR(Q) 11/14/2027 4,364 4,263 4,364 0.4 % First lien senior secured delayed draw loan 10.99 % 6.25 % - SOFR(Q) 11/14/2027 1,418 1,395 1,418 0.1 % CCFF Buyer, LLC (California Custom Fruits & Flavors, LLC) First lien senior secured loan 9.77 % 5.25 % - SOFR(Q) 2/26/2030 13,896 13,587 13,896 1.2 % First lien senior secured delayed draw loan 9.77 % 5.25 % - SOFR(Q) 2/26/2030 7,926 7,622 7,926 0.7 % First lien senior secured revolving loan 9.77 % 5.00 % - SOFR(Q) 2/26/2030 - - - 0.0 % City Line Distributors, LLC First lien senior secured loan 10.47 % 6.00 % - SOFR(M) 8/31/2028 8,806 8,634 8,894 0.7 % First lien senior secured delayed draw loan 10.51 % 6.00 % - SOFR(M) 8/31/2028 3,608 3,550 3,645 0.3 % First lien senior secured revolving loan 10.47 % 6.00 % - SOFR(M) 8/31/2028 - - - 0.0 % Gulf Pacific Holdings, LLC First lien senior secured loan 10.46 % 6.00 % - SOFR(M) 9/30/2028 19,976 19,703 19,576 1.7 % First lien senior secured delayed draw loan 10.55 % 6.00 % - SOFR(M) 9/30/2028 1,684 1,684 1,651 0.1 % First lien senior secured revolving loan 10.46 % 6.00 % - SOFR(M) 9/30/2028 4,195 4,120 4,111 0.3 % IF&P Foods, LLC (FreshEdge) First lien senior secured loan 10.05 % 5.63 % - SOFR(Q) 7/23/2030 26,970 26,511 26,970 2.3 % First lien senior secured loan 10.43 % 6.00 % - SOFR(Q) 7/23/2030 214 210 214 0.0 % First lien senior secured loan 10.05 % 5.63 % - SOFR(Q) 7/23/2030 712 684 706 0.1 % First lien senior secured delayed draw loan 10.05 % 5.63 % - SOFR(Q) 7/23/2030 4,004 3,941 4,004 0.3 % First lien senior secured revolving loan 10.05 % 5.63 % - SOFR(Q) 7/23/2030 2,303 2,248 2,303 0.2 % J&K Ingredients, LLC First lien senior secured loan 10.83 % 6.50 % - SOFR(Q) 11/16/2028 11,465 11,230 11,580 1.0 % ML Buyer, LLC (Mama Lycha Foods, LLC) First lien senior secured loan 9.68 % 5.25 % - SOFR(Q) 9/9/2029 11,555 11,262 11,555 1.0 % First lien senior secured revolving loan 9.68 % 5.25 % - SOFR(Q) 9/9/2029 - - - 0.0 % Siegel Egg Co., LLC First lien senior secured loan 13.19 % 6.50 % 2.00 % SOFR(Q) 12/29/2026 14,651 14,541 12,600 1.1 % First lien senior secured revolving loan 13.19 % 6.50 % 2.00 % SOFR(Q) 12/29/2026 2,629 2,604 2,261 0.2 % Worldwide Produce Acquisition, LLC First lien senior secured delayed draw loan 11.00 % 6.75 % - SOFR(S) 1/18/2029 555 542 544 0.0 % First lien senior secured delayed draw loan 11.00 % 6.75 % - SOFR(S) 1/18/2029 461 437 452 0.0 % First lien senior secured revolving loan 11.00 % 6.75 % - SOFR(S) 1/18/2029 - - - 0.0 % First lien senior secured loan 11.00 % 6.75 % - SOFR(S) 1/18/2029 2,831 2,769 2,775 0.2 % 196,012 192,460 193,234 16.3 % Health care providers & services Brightview, LLC First lien senior secured loan 10.47 % 6.00 % - SOFR(M) 12/14/2026 12,738 12,729 12,611 1.1 % First lien senior secured delayed draw loan 10.47 % 6.00 % - SOFR(M) 12/14/2026 1,701 1,699 1,684 0.1 % First lien senior secured revolving loan 10.34 % 6.00 % - SOFR(M) 12/14/2026 774 771 767 0.1 % See accompanying notes to consolidated financial statements. F- 23 Kayne Anderson BDC, Inc. Consolidated Schedule of Investments As of December 31, 2024 (amounts in 000’s, except number of shares, units) Portfolio Company Footnotes (1)(2) Investment (3) Interest Rate Spread PIK Rate Reference (4) Maturity Date Principal / Par Amortized Cost (5) Fair Value Percentage of Net Assets Guardian Dentistry Partners First lien senior secured loan 9.72 % 5.25 % - SOFR(M) 8/20/2027 5,914 5,829 5,914 0.5 % First lien senior secured delayed draw loan 9.72 % 5.25 % - SOFR(M) 8/20/2027 11,592 11,433 11,592 1.0 % First lien senior secured delayed draw loan 9.72 % 5.25 % - SOFR(M) 8/20/2027 4,522 4,503 4,522 0.4 % First lien senior secured revolving loan 9.72 % 5.25 % - SOFR(M) 8/20/2027 - - - 0.0 % Guided Practice Solutions: Dental, LLC (GPS) First lien senior secured delayed draw loan 10.72 % 6.25 % - SOFR(M) 11/24/2026 16,654 16,348 16,654 1.4 % First lien senior secured delayed draw loan 10.72 % 6.25 % - SOFR(M) 11/24/2026 3,980 3,980 3,980 0.3 % First lien senior secured delayed draw loan 10.72 % 6.25 % - SOFR(M) 11/24/2026 9,734 9,634 9,734 0.8 % Light Wave Dental Management LLC First lien senior secured revolving loan 9.82 % 5.50 % - SOFR(Q) 6/30/2029 - - - 0.0 % First lien senior secured loan 9.82 % 5.50 % - SOFR(Q) 6/30/2029 22,198 21,583 22,198 1.9 % First lien senior secured loan 9.82 % 5.50 % - SOFR(Q) 6/30/2029 494 480 494 0.0 % First lien senior secured loan 9.85 % 5.50 % - SOFR(Q) 6/30/2029 2,288 2,250 2,288 0.2 % MVP VIP Borrower, LLC First lien senior secured loan 10.83 % 6.50 % - SOFR(Q) 1/3/2029 19,480 19,075 19,675 1.7 % First lien senior secured delayed draw loan 10.83 % 6.50 % - SOFR(Q) 1/3/2029 1,571 1,539 1,587 0.1 % NMA Holdings, LLC (Neuromonitoring Associates) First lien senior secured loan 9.60 % 5.25 % - SOFR(Q) 12/18/2030 16,425 16,046 16,425 1.4 % First lien senior secured revolving loan 9.60 % 5.25 % - SOFR(Q) 12/18/2030 - - - 0.0 % First lien senior secured delayed draw loan 9.60 % 5.25 % - SOFR(Q) 12/18/2030 - - - 0.0 % Redwood MSO, LLC (Smile Partners) First lien senior secured loan 9.60 % 5.25 % - SOFR(Q) 12/20/2029 11,216 10,955 11,216 1.0 % First lien senior secured delayed draw loan 9.60 % 5.25 % - SOFR(Q) 12/20/2029 - - - 0.0 % First lien senior secured revolving loan 11.75 % 4.25 % - PRIME 12/19/2030 - - - 0.0 % Refocus Management Services, LLC First lien senior secured loan 10.75 % 6.00 % - SOFR(Q) 2/14/2029 18,221 17,736 18,221 1.5 % First lien senior secured delayed draw loan 10.75 % 6.00 % - SOFR(Q) 2/14/2029 2,525 2,380 2,525 0.2 % First lien senior secured revolving loan 10.75 % 6.00 % - SOFR(Q) 2/14/2029 - - - 0.0 % Salt Dental Collective LLC First lien senior secured delayed draw loan 11.21 % 6.75 % - SOFR(Q) 2/15/2028 3,980 3,980 3,980 0.3 % 166,007 162,950 166,067 14.0 % Health care equipment & supplies LSL Industries, LLC (LSL Healthcare) First lien senior secured loan 11.78 % 7.00 % - SOFR(Q) 11/3/2027 19,084 18,518 18,655 1.6 % First lien senior secured delayed draw loan 11.78 % 7.00 % - SOFR(Q) 11/3/2027 - - - 0.0 % First lien senior secured revolving loan 11.78 % 7.00 % - SOFR(Q) 11/3/2027 - - - 0.0 % Medline Borrower LP (8) First lien senior secured loan 6.82 % 2.25 % - SOFR(M) 10/23/2028 9,985 10,024 10,012 0.8 % 29,069 28,542 28,667 2.4 % Hotels, restaurants & leisure Inspire Brands (8) First lien senior secured loan 6.86 % 2.50 % - SOFR(M) 12/15/2027 10,010 10,030 10,012 0.8 % Restaurant Brands (1011778 BC ULC) (6)(8) First lien senior secured loan 6.11 % 1.75 % - SOFR(M) 9/20/2030 17,369 17,387 17,264 1.5 % 27,379 27,417 27,276 2.3 % See accompanying notes to consolidated financial statements. F- 24 Kayne Anderson BDC, Inc. Consolidated Schedule of Investments As of December 31, 2024 (amounts in 000’s, except number of shares, units) Portfolio Company Footnotes (1)(2) Investment (3) Interest Rate Spread PIK Rate Reference (4) Maturity Date Principal / Par Amortized Cost (5) Fair Value Percentage of Net Assets Household durables Curio Brands, LLC First lien senior secured loan 9.48 % 5.00 % - SOFR(Q) 12/21/2027 16,286 16,060 16,286 1.4 % First lien senior secured revolving loan 9.48 % 5.00 % - SOFR(Q) 12/21/2027 - - - 0.0 % First lien senior secured delayed draw loan 9.48 % 5.00 % - SOFR(Q) 12/21/2027 3,911 3,911 3,911 0.3 % 20,197 19,971 20,197 1.7 % Household products Home Brands Group Holdings, Inc. (ReBath) First lien senior secured loan 9.49 % 4.75 % - SOFR(Q) 11/8/2026 15,373 15,238 15,373 1.3 % First lien senior secured revolving loan 9.49 % 4.75 % - SOFR(Q) 11/8/2026 - - - 0.0 % 15,373 15,238 15,373 1.3 % Insurance Allcat Claims Service, LLC First lien senior secured loan 10.46 % 6.00 % - SOFR(M) 7/7/2027 7,639 7,552 7,639 0.6 % First lien senior secured delayed draw loan 10.46 % 6.00 % - SOFR(M) 7/7/2027 21,387 20,960 21,387 1.8 % First lien senior secured revolving loan 10.69 % 6.00 % - SOFR(Q) 7/7/2027 - - - 0.0 % AmWINS Group Inc (8) First lien senior secured loan 6.72 % 2.25 % - SOFR(M) 2/22/2028 9,956 9,970 9,982 0.9 % 38,982 38,482 39,008 3.3 % IT services Improving Acquisition LLC First lien senior secured loan 11.00 % 6.50 % - SOFR(Q) 7/26/2027 33,616 33,198 33,616 2.8 % First lien senior secured revolving loan 11.00 % 6.50 % - SOFR(Q) 7/26/2027 - - - 0.0 % 33,616 33,198 33,616 2.8 % Leisure products MacNeill Pride Group Corp. First lien senior secured loan 11.84 % 6.75 % 0.50 % SOFR(Q) 4/22/2026 8,038 8,003 7,997 0.7 % First lien senior secured delayed draw loan 11.84 % 6.75 % 0.50 % SOFR(Q) 4/22/2026 1,505 1,499 1,497 0.1 % First lien senior secured delayed draw loan 11.84 % 6.75 % 0.50 % SOFR(Q) 4/22/2026 1,685 1,664 1,677 0.1 % First lien senior secured revolving loan 11.34 % 6.75 % - SOFR(Q) 4/22/2026 599 585 596 0.1 % Pixel Intermediate, LLC (6) First lien senior secured loan 10.92 % 6.50 % - SOFR(S) 2/1/2029 20,723 20,276 20,931 1.8 % First lien senior secured revolving loan 10.83 % 6.50 % - SOFR(Q) 2/1/2029 6,989 6,810 7,059 0.6 % Spinrite, Inc. (6) First lien senior secured loan 9.83 % 5.50 % - SOFR(Q) 6/30/2025 5,118 5,096 5,118 0.4 % First lien senior secured revolving loan 9.83 % 5.50 % - SOFR(Q) 6/30/2025 3,399 3,399 3,399 0.3 % TG Parent Newco LLC (Trademark Global LLC) (9)(10)(12) First lien senior secured loan - - - - 7/30/2030 12,623 12,623 9,972 0.8 % First lien senior secured revolving loan - - - - 7/30/2030 2,815 2,815 2,224 0.2 % VENUplus, Inc. (f/k/a CTM Group, Inc.) First lien senior secured loan 11.96 % 4.75 % 2.75 % SOFR(Q) 11/30/2026 4,431 4,359 4,365 0.4 % 67,925 67,129 64,835 5.5 % Machinery MRC Keystone Acquisition LLC (Automated Handing Solutions) First lien senior secured loan 10.85 % 6.50 % - SOFR(Q) 12/18/2029 14,016 13,660 14,016 1.2 % First lien senior secured revolving loan 10.85 % 6.50 % - SOFR(Q) 12/18/2029 - - - 0.0 % Eppinger Technologies, LLC (6) First lien senior secured loan 14.48 % 8.50 % 1.50 % SOFR(Q) 2/4/2026 24,886 24,606 24,886 2.1 % First lien senior secured revolving loan 13.23 % 7.25 % 1.50 % SOFR(Q) 2/4/2026 1,371 1,332 1,371 0.1 % Luxium Solutions, LLC First lien senior secured loan 10.58 % 6.25 % - SOFR(Q) 12/1/2027 3,815 3,766 3,815 0.3 % First lien senior secured loan 10.58 % 6.25 % - SOFR(Q) 12/1/2027 4,697 4,637 4,697 0.4 % First lien senior secured delayed draw loan 10.58 % 6.25 % - SOFR(Q) 12/1/2027 1,233 1,220 1,233 0.1 % See accompanying notes to consolidated financial statements. F- 25 Kayne Anderson BDC, Inc. Consolidated Schedule of Investments As of December 31, 2024 (amounts in 000’s, except number of shares, units) Portfolio Company Footnotes (1)(2) Investment (3) Interest Rate Spread PIK Rate Reference (4) Maturity Date Principal / Par Amortized Cost (5) Fair Value Percentage of Net Assets PVI Holdings, Inc First lien senior secured loan 9.68 % 4.94 % - SOFR(Q) 1/18/2028 23,653 23,423 23,653 2.0 % 73,671 72,644 73,671 6.2 % Media Directv Financing LLC (8) First lien senior secured loan 9.85 % 5.00 % - SOFR(Q) 8/2/2027 16,154 16,244 16,182 1.4 % Personal care products DRS Holdings III, Inc. (Dr. Scholl’s) First lien senior secured loan 10.71 % 6.25 % - SOFR(M) 11/1/2025 10,618 10,596 10,618 0.9 % First lien senior secured revolving loan 10.71 % 6.25 % - SOFR(M) 11/1/2025 - - - 0.0 % PH Beauty Holdings III, Inc. First lien senior secured loan 10.17 % 5.00 % - SOFR(S) 9/28/2025 10,496 10,422 10,496 0.9 % Phoenix YW Buyer, Inc. (Elida Beauty) First lien senior secured loan 9.33 % 5.00 % - SOFR(Q) 5/31/2030 11,013 10,747 11,013 0.9 % First lien senior secured revolving loan 9.33 % 5.00 % - SOFR(Q) 5/31/2030 - - - 0.0 % Silk Holdings III Corp. (Suave) First lien senior secured loan 9.83 % 5.50 % - SOFR(Q) 5/1/2029 19,700 18,899 19,700 1.7 % First lien senior secured loan 9.83 % 5.50 % - SOFR(Q) 5/1/2029 12,908 12,674 12,908 1.1 % First lien senior secured revolving loan 8.33 % 4.00 % - SOFR(Q) 5/1/2029 8,333 8,062 8,333 0.7 % 73,068 71,400 73,068 6.2 % Pharmaceuticals Foundation Consumer Brands LLC First lien senior secured loan 10.89 % 6.25 % - SOFR(Q) 2/12/2027 6,358 6,334 6,358 0.5 % First lien senior secured revolving loan 10.89 % 6.25 % - SOFR(Q) 2/12/2027 - - - 0.0 % Jazz Pharmaceuticals Inc. (6)(8) First lien senior secured loan 6.61 % 2.25 % - SOFR(M) 5/5/2028 17,301 17,407 17,334 1.5 % Organon & Co (6)(8) First lien senior secured loan 6.60 % 2.25 % - SOFR(Q) 5/19/2031 12,440 12,411 12,455 1.0 % 36,099 36,152 36,147 3.0 % Professional services 4 Over International, LLC First lien senior secured loan 11.46 % 7.00 % - SOFR(M) 12/7/2026 18,851 18,376 18,662 1.6 % DISA Holdings Corp. (DISA) First lien senior secured delayed draw loan 9.50 % 5.00 % - SOFR(Q) 9/9/2028 8,320 8,174 8,320 0.7 % First lien senior secured delayed draw loan 9.40 % 5.00 % - SOFR(Q) 9/9/2028 125 83 125 0.0 % First lien senior secured revolving loan 9.40 % 5.00 % - SOFR(Q) 9/9/2028 - - - 0.0 % First lien senior secured loan 9.50 % 5.00 % - SOFR(Q) 9/9/2028 1,311 1,294 1,311 0.1 % First lien senior secured loan 9.50 % 5.00 % - SOFR(Q) 9/9/2028 21,953 21,505 21,953 1.9 % Dun & Bradstreet Corp (8) First lien senior secured loan 6.59 % 2.25 % - SOFR(M) 1/18/2029 9,985 9,995 9,986 0.8 % Envirotech Services, LLC First lien senior secured loan 10.34 % 6.00 % - SOFR(Q) 1/18/2029 33,046 32,290 33,046 2.8 % First lien senior secured loan 10.35 % 6.00 % - SOFR(Q) 1/18/2029 124 122 124 0.0 % First lien senior secured revolving loan 10.34 % 6.00 % - SOFR(Q) 1/18/2029 - - - 0.0 % 93,715 91,839 93,527 7.9 % Semiconductors & semiconductor equipment MKS Instruments Inc. (6)(8) First lien senior secured loan 6.59 % 2.25 % - SOFR(M) 8/17/2029 11,823 11,871 11,846 1.0 % Specialty retail Great Outdoors Group, LLC (8) First lien senior secured loan 8.22 % 3.75 % - SOFR(M) 3/6/2028 17,321 17,361 17,382 1.5 % See accompanying notes to consolidated financial statements. F- 26 Kayne Anderson BDC, Inc. Consolidated Schedule of Investments As of December 31, 2024 (amounts in 000’s, except number of shares, units) Portfolio Company Footnotes (1)(2) Investment (3) Interest Rate Spread PIK Rate Reference (4) Maturity Date Principal / Par Amortized Cost (5) Fair Value Percentage of Net Assets Harbor Freight Tools USA Inc (8) First lien senior secured loan 6.86 % 2.75 % - SOFR(M) 10/19/2027 17,456 17,424 17,198 1.4 % Sundance Holdings Group, LLC (7)(9)(10) First lien senior secured loan - - - - 6/30/2025 9,414 9,412 6,590 0.5 % First lien senior secured delayed draw loan - - - - 6/30/2025 444 444 657 0.1 % 44,635 44,641 41,827 3.5 % Textiles, apparel & luxury goods American Soccer Company, Incorporated (SCORE) First lien senior secured loan 14.73 % 7.25 % 3.00 % SOFR(Q) 7/20/2027 27,799 26,870 27,799 2.3 % First lien senior secured revolving loan 14.73 % 7.25 % 3.00 % SOFR(Q) 7/20/2027 2,136 1,986 2,136 0.2 % BEL USA, LLC First lien senior secured loan 11.67 % 7.00 % - SOFR(Q) 6/2/2026 5,503 5,427 5,379 0.5 % First lien senior secured loan 11.67 % 7.00 % - SOFR(Q) 6/2/2026 90 89 88 0.0 % YS Garments, LLC First lien senior secured loan 12.25 % 7.50 % - SOFR(Q) 8/9/2026 6,263 6,210 6,075 0.5 % 41,791 40,582 41,477 3.5 % Trading companies & distributors AI DC Intermediate Co 2, LLC (Peak Technologies) First lien senior secured loan 9.59 % 5.25 % - SOFR(M) 7/22/2027 34,300 33,591 34,129 2.9 % TL Alpine Holding Corp. (Air Distribution Technologies Inc.) First lien senior secured loan 10.55 % 6.00 % - SOFR(M) 8/1/2030 18,253 17,905 18,435 1.5 % BCDI Meteor Acquisition, LLC (Meteor) First lien senior secured loan 11.43 % 7.00 % - SOFR(Q) 6/29/2028 16,133 15,859 16,133 1.3 % First lien senior secured loan 11.43 % 7.00 % - SOFR(Q) 6/29/2028 2,223 2,180 2,223 0.2 % CGI Automated Manufacturing, LLC First lien senior secured loan 11.59 % 7.00 % - SOFR(Q) 12/17/2026 16,979 16,565 16,979 1.4 % First lien senior secured loan 11.59 % 7.00 % - SOFR(Q) 12/17/2026 3,104 3,041 3,104 0.3 % First lien senior secured loan 11.59 % 7.00 % - SOFR(Q) 12/17/2026 6,542 6,447 6,542 0.5 % First lien senior secured delayed draw loan 11.59 % 7.00 % - SOFR(Q) 12/17/2026 3,541 3,467 3,541 0.3 % First lien senior secured revolving loan 11.59 % 7.00 % - SOFR(Q) 12/17/2026 479 421 479 0.0 % Dusk Acquisition II Corporation (Motors & Armatures, Inc. – MARS) First lien senior secured loan 10.33 % 6.00 % - SOFR(Q) 7/12/2029 26,133 25,663 26,133 2.2 % First lien senior secured loan 10.33 % 6.00 % - SOFR(Q) 7/12/2029 13,801 13,500 13,801 1.2 % Energy Acquisition LP (Electrical Components International, Inc. - ECI) First lien senior secured loan 11.28 % 6.50 % - SOFR(Q) 5/10/2029 26,149 25,672 26,541 2.2 % First lien senior secured delayed draw loan 11.28 % 6.50 % - SOFR(Q) 5/11/2026 - - - 0.0 % Engineered Fastener Company, LLC (EFC International) First lien senior secured loan 10.98 % 6.50 % - SOFR(Q) 11/1/2027 23,366 22,986 23,471 2.0 % Genuine Cable Group, LLC First lien senior secured loan 10.21 % 5.75 % - SOFR(M) 11/1/2026 28,763 28,285 28,691 2.4 % First lien senior secured loan 10.21 % 5.75 % - SOFR(M) 11/1/2026 5,450 5,348 5,436 0.5 % See accompanying notes to consolidated financial statements. F- 27 Kayne Anderson BDC, Inc. Consolidated Schedule of Investments As of December 31, 2024 (amounts in 000’s, except number of shares, units) Portfolio Company Footnotes (1)(2) Investment (3) Interest Rate Spread PIK Rate Reference (4) Maturity Date Principal / Par Amortized Cost (5) Fair Value Percentage of Net Assets I.D. Images Acquisition, LLC First lien senior secured loan 10.11 % 5.75 % - SOFR(M) 7/30/2027 5,652 5,572 5,652 0.5 % First lien senior secured loan 10.11 % 5.75 % - SOFR(M) 7/30/2027 7,854 7,792 7,854 0.7 % First lien senior secured loan 10.11 % 5.75 % - SOFR(M) 7/30/2027 4,474 4,423 4,474 0.4 % First lien senior secured loan 10.11 % 5.75 % - SOFR(M) 7/30/2027 1,032 1,024 1,032 0.1 % First lien senior secured delayed draw loan 10.11 % 5.75 % - SOFR(M) 7/30/2027 2,459 2,407 2,459 0.2 % First lien senior secured revolving loan 10.11 % 5.75 % - SOFR(M) 7/30/2027 - - - 0.0 % Krayden Holdings, Inc. First lien senior secured delayed draw loan 9.11 % 4.75 % - SOFR(M) 3/1/2029 - - - 0.0 % First lien senior secured revolving loan 9.11 % 4.75 % - SOFR(M) 3/1/2029 - - - 0.0 % First lien senior secured loan 9.11 % 4.75 % - SOFR(M) 3/1/2029 9,395 9,110 9,395 0.8 % OAO Acquisitions, Inc. (BearCom) First lien senior secured loan 9.98 % 5.50 % - SOFR(M) 12/27/2029 21,210 20,932 21,210 1.8 % First lien senior secured loan 9.87 % 5.50 % - SOFR(M) 12/27/2029 857 849 857 0.1 % First lien senior secured delayed draw loan 9.87 % 5.50 % - SOFR(M) 12/27/2025 4,498 4,420 4,498 0.4 % First lien senior secured revolving loan 9.87 % 5.50 % - SOFR(M) 12/27/2029 - - - 0.0 % Univar (Windsor Holdings LLC) (8) First lien senior secured loan 7.86 % 3.50 % - SOFR(M) 8/1/2030 9,960 10,018 10,065 0.8 % Workholding US Holdings, LLC (Forkardt Hardinge) First lien senior secured loan 10.13 % 5.50 % - SOFR(Q) 10/23/2029 7,377 7,208 7,377 0.6 % First lien senior secured revolving loan 10.09 % 5.50 % - SOFR(Q) 10/23/2029 555 484 555 0.1 % 300,539 295,169 301,066 25.4 % Wireless telecommunication services Centerline Communications, LLC First lien senior secured loan 12.12 % 6.00 % 1.50 % SOFR(Q) 8/10/2027 5,884 5,770 5,413 0.5 % First lien senior secured loan 12.12 % 6.00 % 1.50 % SOFR(Q) 8/10/2027 854 835 854 0.1 % First lien senior secured loan 12.12 % 6.00 % 1.50 % SOFR(Q) 8/10/2027 9,109 8,984 8,380 0.7 % First lien senior secured delayed draw loan 12.12 % 6.00 % 1.50 % SOFR(Q) 8/10/2027 7,066 6,984 6,501 0.5 % First lien senior secured delayed draw loan 12.15 % 6.00 % 1.50 % SOFR(Q) 8/10/2027 6,220 6,140 5,722 0.5 % First lien senior secured revolving loan 12.00 % 6.00 % 1.50 % SOFR(Q) 8/10/2027 1,824 1,796 1,678 0.1 % First lien senior secured loan 12.16 % 6.00 % 1.50 % SOFR(Q) 8/10/2027 1,023 1,000 941 0.1 % 31,980 31,509 29,489 2.5 % Total Debt Investments 1,984,672 1,952,708 1,972,406 166.3 % See accompanying notes to consolidated financial statements. F- 28 Kayne Anderson BDC, Inc. Consolidated Schedule of Investments As of December 31, 2024 (amounts in 000’s, except number of shares, units) Footnotes (1)(2) Acquisition Date Number of Shares/Units Cost Fair Value Percentage of Net Assets Equity Investments(10)(13) Automobile components Vehicle Accessories, Inc. - Class A common (14) 2/25/2022 128,250 - 589 0.1 % Vehicle Accessories, Inc. - preferred (14) 2/25/2022 250,000 250 318 0.0 % 250 907 0.1 % Building Products US Anchors Investor, LP - preferred (15) 7/15/2024 500,000 500 500 0.0 % US Anchors Investor, LP - Class A Common (15) 7/15/2024 500,000 - - 0.0 % 500 500 0.0 % Commercial services & supplies American Equipment Holdings LLC - Class A units (16) 4/8/2022 426 284 570 0.1 % Arborworks Acquisition LLC - Class A preferred units (15) 11/6/2023 21,716 9,179 11,114 0.9 % Arborworks Acquisition LLC - Class B preferred units (15) 11/6/2023 21,716 - - 0.0 % Arborworks Acquisition LLC - Class A common units (15) 11/6/2023 2,604 - - 0.0 % Bloomington Holdings, LP (BW Fusion) - Class A1 common units (15) 11/5/2024 500 500 500 0.0 % BLP Buyer, Inc. (Bishop Lifting Products) - Class A common (17) 2/1/2022 582,469 652 1,097 0.1 % 10,615 13,281 1.1 % Containers & packaging Robinette Company Acquisition, LLC - Class A common units (15) 5/10/2024 9 - 83 0.0 % Robinette Company Acquisition, LLC - Class A preferred units (15) 5/10/2024 500 500 515 0.1 % 500 598 0.1 % Food products BC CS 2, L.P. (Cuisine Solutions) (6)(11) 7/8/2022 2,000,000 2,000 3,062 0.3 % CCFF Parent, LLC (California Custom Fruits & Flavors, LLC) - Class A-1 units (15) 2/26/2024 750 511 936 0.1 % City Line Distributors, LLC - Class A units (15) 8/31/2023 669,866 670 518 0.0 % Gulf Pacific Holdings, LLC - Class A common (16) 9/30/2022 250 250 46 0.0 % Gulf Pacific Holdings, LLC - Class C common (16) 9/30/2022 250 - - 0.0 % IF&P Foods, LLC (FreshEdge) - Class A preferred (16) 10/3/2022 773 773 908 0.1 % IF&P Foods, LLC (FreshEdge) - Class B common (16) 10/3/2022 750 - - 0.0 % ML Buyer, LLC (Mama Lycha Foods, LLC) - Class A units (15) 9/9/2024 250 250 250 0.0 % Siegel Parent, LLC - Common (18) 12/29/2021 250 250 - 0.0 % Siegel Egg Co., LLC - Convertible Note (18) 1/19/2024 28 28 16 0.0 % 4,732 5,736 0.5 % Health care equipment & supplies LSL Industries, LLC (LSL Healthcare) - common (16) 11/1/2022 7,500 750 274 0.0 % Health care providers & services NMA Super Holdings, LLC (BW Fusion) - Class A membership interests (15) 12/18/2024 1,000,000 1,000 1,000 0.1 % Leisure products TG Parent Newco LLC (Trademark Global LLC) – common (10)(12)(15) 9/16/2024 8 - - 0.0 % Specialty retail Sundance Direct Holdings, Inc. - common 10/27/2023 21,479 - - 0.0 % Textiles, apparel & luxury goods American Soccer Company, Incorporated (SCORE) - common (18) 7/20/2022 1,000,000 1,000 441 0.0 % Total Equity Investments 19,347 22,737 1.9 % Total Debt and Equity Investments 1,972,055 1,995,143 168.2 % Number of Shares Cost Fair Value Percentage of Net Assets Short-Term Investments Morgan Stanley Institutional Liquidity Fund, Institutional Class, 4.24 % (19) 48,683,210 48,683 48,683 4.1 % Total Short-Term Investments 48,683,210 48,683 48,683 4.1 % Total Investments $ 2,020,738 $ 2,043,826 172.3 % Liabilities in Excess of Other Assets ( 857,484 ) ( 72.3 )% Net Assets $ 1,186,342 100.0 % (1) As of December 31, 2024, unless otherwise noted, investments are non-controlled, non-affiliated investments. Non-controlled, non-affiliated investments are defined as investments in which the Company owns less than 5% of the portfolio company’s outstanding voting securities and does not have the power to exercise control over the management or policies of such portfolio company. As of December 31, 2024, the total value of the Company’s non-controlled, non-affiliated investments was $1,982,947. See accompanying notes to consolidated financial statements. F- 29 Kayne Anderson BDC, Inc. Consolidated Schedule of Investments As of December 31, 2024 (amounts in 000’s, except number of shares, units) (2) Unless otherwise noted, security is a Level 3 holding. As of December 31, 2024, the aggregate value of Level 3 securities held by the Company was $1,741,919. See Note 5 – Fair Value. (3) Debt investments are pledged to the Company’s credit facilities, and a single debt investment may be divided into parts that are individually pledged to separate credit facilities. (4) Unless otherwise noted, all loans contain a variable rate structure, that may be subject to an interest rate floor. Variable rate loans bear interest at a rate that may be determined by reference to either the Secured Overnight Financing Rate (“SOFR”) (which can include one-(M), three-(Q) or six-month (S) SOFR), or an alternate base rate (which can include the Federal Funds Effective Rate or the Prime Rate). (5) The amortized cost represents the original cost adjusted for the amortization of discounts and premiums, as applicable, on debt investments using the effective interest method. (6) Non-qualifying investment as defined by Section 55(a) of the Investment Company Act of 1940. The Company may not acquire any non-qualifying asset unless, at the time of acquisition, qualifying assets represent at least 70% of the Company’s total assets. As of December 31, 2024, 9.0% of the Company’s total assets were in non-qualifying investments. (7) The Company may be entitled to receive additional interest as a result of an arrangement with other lenders in the syndication. In exchange for the higher interest rate, the “last-out” portion is at a greater risk of loss. Certain lenders represent a “first out” portion of the investment and have priority to the “last-out” portion with respect to payments of principal and interest. (8) Security is a Level 2 holding. As of December 31, 2024, the aggregate value of Level 2 securities held by the Company was $253,224. See Note 5 – Fair Value. (9) Debt investment on non-accrual status as of December 31, 2024. (10) Non-income producing investment. (11) The Company has a senior secured loan in an investment vehicle (BC CS 2, L.P.) that is collateralized by a preferred stock investment in Cuisine Solutions, Inc. This investment is characterized as subordinated debt. (12) In September 2024, the Company completed a restructure of the investment in Trademark Global LLC whereby the existing term loan and revolver became a restructured term loan and revolver and no debt was converted to equity. The Company did receive new common units in TG Parent Newco LLC for which it owns 6.23% of the overall business (Kayne Anderson entities as a whole own 20.77%). As of December 31, 2024, the amortized cost basis of Trademark Global LLC was $15,438 and was 0.8% of the total amortized cost basis of our debt investments of $1,952,708. The restructure extended the maturity from July 30, 2024 to July 30, 2030; the rate changed from S + 5.75% to S + 8.50%. See accompanying notes to consolidated financial statements. F- 30 Kayne Anderson BDC, Inc. Consolidated Schedule of Investments As of December 31, 2024 (amounts in 000’s, except number of shares, units) As defined in the 1940 Act, the Company is deemed to be an “affiliated person” of this portfolio company as the Company owns more than 5% but less than 25% of the portfolio company’s voting securities or has the power to exercise control over management or policies of such portfolio company, including through a management agreement (“non-controlled affiliate”). As of December 31, 2024, the total value of the Company’s non-controlled affiliated investments was $12,196. Transactions related to the Company’s investment in a non-controlled affiliate for the period December 31, 2024 were as follows: Investment (1) Value at 12/30/2023 Gross Additions (a) Gross Reductions (b) Net Change in Unrealized Gains (Losses) Value at 12/31/2024 Interest and PIK Income Dividend Income Other Income Trademark Global, LLC $ 13,129 $ 1,035 $ - $ (1,968 ) $ 12,196 $ 754 $ - $ - TG Parent Newco LLC (Trademark Global LLC) - - - - - - - - Total $ 13,129 $ 1,035 $ - $ (1,968 ) $ 12,196 $ 754 $ - $ - (a) Gross additions may include increases in the cost basis of investments resulting from new investments, amounts related to payment-in-kind (“PIK”) interest capitalized and added to the principal balance of the respective loans, the accretion of discounts, the exchange of one or more existing investments for one or more new investments and the movement at fair value of an existing portfolio company into this controlled affiliated category from a different category. (b) Gross reductions may include decreases in the cost basis of investments resulting from principal collections related to investment repayments and sales, return of capital, the amortization of premiums and the exchange of one or more existing securities for one or more new securities. (13) Security is exempt from registration under the Securities Act of 1933, as amended (the “Securities Act”), and may be deemed to be “restricted securities” under the Securities Act. (14) The Company owns 0.19% of the common equity and 0.43% of the preferred equity of Vehicle Accessorie s, Inc. (15) KABDC Corp, LLC, a wholly owned subsidiary of the Company, owns common and/or preferred equity of Arborworks Acquisition LLC, Bloomington Holdings, LP (BW Fusion), City Line Distributors, LLC, CCFF Parent, LLC (California Custom Fruits & Flavors, LLC), ML Buyer, LLC (Mama Lycha Foods, LLC), NMA Super Holdings, LLC (Neuromonitoring Associates), Robinette Company Acquisition, LLC, TG Parent Newco LLC (Trademark Global LLC) and US Anchors, LP (Mechanical Plastics Corp.). (16) The Company owns 33.46% of a pass-through, taxable limited liability company, KSCF IV Equity Aggregator Blocker, LLC (the “Aggregator Blocker”), which holds the Company’s equity investments in American Equipment Holdings LLC, Gulf Pacific Holdings, LLC, IF&P Foods, LLC (FreshEdge) and LSL Industries, LLC (LSL Healthcare). Through the Company’s ownership of the Aggregator Blocker, the Company owns the respective units of each company listed above in the Schedule of Investments. (17) The Company owns 0.53% of the common equity BLP Buyer, Inc. (Bishop Lifting Products). (18) The Company owns 17.15% of a pass-through limited liability company, KSCF IV Equity Aggregator, LLC (the “Aggregator”), which holds the Company’s equity investments in Siegel Parent, LLC and American Soccer Company, Incorporated (SCORE). Through the Company’s ownership of the Aggregator, the Company owns the respective units of each company listed above in the Schedule of Investments. (19) The indicated rate is the yield as of December 31, 2024. See accompanying notes to consolidated financial statements. F- 31 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) Note 1. Organization Organization Kayne Anderson BDC, Inc. (the “Company”) is an externally managed, closed-end, non-diversified management investment company that has elected to be regulated as a business development company (“BDC”) under the Investment Company Act of 1940, as amended (the “1940 Act”). In addition, for U.S. federal income tax purposes, the Company intends to qualify as a regulated investment company (“RIC”) under Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”). The Company is a Delaware corporation formed to make investments in middle-market companies and commenced operations on February 5, 2021. Following its initial public offering, the Company’s common stock began trading on the New York Stock Exchange (“NYSE”) under the ticker symbol “KBDC” on May 22, 2024. The Company is managed by KA Credit Advisors, LLC (the “Advisor”), an indirect controlled subsidiary of Kayne Anderson Capital Advisors, L.P. (“Kayne Anderson”), a prominent alternative investment management firm. The Advisor operates within Kayne Anderson’s middle market private credit platform (“KAPC” or “Kayne Anderson Private Credit”). The Advisor is registered with the United States Securities and Exchange Commission (the “SEC”) under the Investment Advisory Act of 1940, as amended. Subject to the overall supervision of the Company’s board of directors (the “Board”), the Advisor is responsible for originating prospective investments, conducting research and due diligence investigations on potential investments, analyzing investment opportunities, negotiating and structuring investments, determining the value of the investments and monitoring its investments and portfolio companies on an ongoing basis. The Board consists of seven directors, four of whom are independent. The Company’s investment objective is to generate current income and, to a lesser extent, capital appreciation primarily through debt investments in middle-market companies. Note 2. Significant Accounting Policies A.  Basis of Presentation — the accompanying financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). The Company is an investment company and follows accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) Topic 946 — “Financial Services — Investment Companies.” In the opinion of management, all adjustments, which are of a normal recurring nature, considered necessary for the fair statement of the consolidated financial statements for the periods presented, have been included. Certain prior period information has been reclassified or conformed to the current period presentation and has no effect on the Company’s consolidated statements of assets and liabilities or consolidated statement of operations as previously reported. B. Consolidation — as provided under Regulation S-X and ASC Topic 946 – “Financial Services – Investment Companies”, the Company will generally not consolidate its investment in a company other than a wholly-owned investment company or controlled operating company whose business consists of providing services to the Company. F- 32 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) Accordingly, the Company consolidated the accounts of the Company’s wholly-owned subsidiaries, Kayne Anderson BDC Financing, LLC, (“KABDCF”); Kayne Anderson BDC Financing II, LLC (“KABDCF II”), and KABDC Corp, LLC in its consolidated financial statements. All significant intercompany balances and transactions have been eliminated in consolidation. KABDC Corp, LLC is a Delaware LLC that has elected to be treated as a corporation for U.S. tax purposes and was formed to facilitate compliance with the requirements to be treated as a RIC under the Code by holding (directly or indirectly through a subsidiary) equity or equity related investments in portfolio companies organized as limited liability companies or limited partnerships. C.  Use of Estimates — the preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of income and expenses during the period. Actual results could differ materially from those estimates. D.  Cash and Cash Equivalents — cash and cash equivalents include short-term, liquid investments with an original maturity of three months or less and include money market fund accounts. Cash equivalents, which are the Company’s investments in money market fund accounts, are presented on the Company’s consolidated schedule of investments, and within investments on the Company’s consolidated statement of assets and liabilities. E. Investment Valuation, Fair Value — the Company conducts the valuation of its investments consistent with GAAP and the 1940 Act. The Company’s investments will be valued no less frequently than quarterly, in accordance with the terms of Topic 820 of the Financial Accounting Standards Board’s Accounting Standards Codification, Fair Value Measurement and Disclosures (“ASC 820”). Pursuant to Rule 2a-5 under the 1940 Act, the Board of Directors has designated the Advisor as the “valuation designee” to perform fair value determinations of the Company’s portfolio holdings, subject to oversight by and periodic reporting to the Board. The valuation designee performs fair valuation of the Company’s portfolio holdings in accordance with the Advisor’s Valuation Program, as approved by the Board. Traded Investments (Level 1 or Level 2) Investments for which market quotations are readily available will typically be valued at those market quotations. Traded investments such as corporate bonds, preferred stock, bank notes, broadly syndicated loans or loan participations are valued by using the bid price provided by an independent pricing service, by an independent broker, the agent bank, syndicate bank or principal market maker. When price quotes for investments are not available, or such prices are stale or do not represent fair value in the judgment of the Company’s Advisor, fair market value will be determined using the Advisor’s valuation process for investments that are privately issued or otherwise restricted as to resale. F- 33 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) The Company may also invest, to a lesser extent, in equity securities purchased in conjunction with debt investments. While the Company anticipates these equity securities to be issued by privately held companies, the Company may hold equity securities that are publicly traded. Equity securities listed on any exchange other than the NASDAQ Stock Market, Inc. (“NASDAQ”) are valued, except as indicated below, at the last sale price on the business day as of which such value is being determined. If there has been no sale on such day, the securities are valued at the mean of the most recent bid and ask prices on such day. Securities admitted to trade on the NASDAQ are valued at the NASDAQ official closing price. Equity securities traded on more than one securities exchange are valued at the last sale price on the business day as of which such value is being determined at the close of the exchange representing the principal market for such securities. Equity securities traded in the over-the-counter market, but excluding securities admitted to trading on the NASDAQ, are valued at the closing bid prices. Non-Traded Investments (Level 3) Investments that are privately issued or otherwise restricted as to resale, as well as any security for which (a) reliable market quotations are not available in the judgment of the Company’s Advisor, or (b) the independent pricing service or independent broker does not provide prices or provides a price that in the judgment of the Company’s Advisor is stale or does not represent fair value, shall each be valued in a manner that most fairly reflects fair value of the security on the valuation date. The Company expects that a significant majority of its investments will be Level 3 investments. Unless otherwise determined by the Advisor, the following valuation process is used for the Company’s Level 3 investments: ● Valuation Designee . The applicable investments will be valued no less frequently than quarterly by the Advisor, with new investments valued at the time such investment was made. The value of each Level 3 investment will be initially reviewed by the persons responsible for such portfolio company or investment. The Advisor will use a standardized template designed to approximate fair market value based on observable market inputs, updated credit statistics and unobservable inputs to determine a preliminary value. The Advisor will specify the titles of the persons responsible for determining the fair value of Company investments, including by specifying the particular functions for which they are responsible, and will reasonably segregate fair value determinations from the portfolio management of the Company such that the portfolio manager(s) may not determine, or effectively determine by exerting substantial influence on, the fair values ascribed to portfolio investments. ● Valuation Firm . Quarterly, a third-party valuation firm engaged by the Advisor reviews the valuation methodologies and calculations employed for each of the Company’s investments that the Advisor has placed on the “watch list” and approximately 25 % of the Company’s remaining investments. The third-party valuation firm will review and independently value all of the Level 3 investments at least once per year, on a rolling twelve-month basis. The quarterly report issued by the third-party valuation firm will provide positive assurance on the fair values of the investments reviewed. ● Oversight . The Board has appointed the Advisor as the valuation designee for the Company for purposes of making determinations of fair value as permitted by Rule 2a-5 under the 1940 Act. The Audit Committee shall aid the Board in overseeing the Advisor’s fair valuation of securities that are not publicly traded or for which current market values are not readily available. The Audit Committee shall meet quarterly to review the fair value determinations, processes and written reports of the Advisor as part of the Board’s oversight responsibilities . Determination of fair value involves subjective judgments and estimates. Accordingly, the notes to the Company’s financial statements express the uncertainty with respect to the possible effect of such valuations, and any change in such valuations, on the Company’s financial statements. F. Interest Income Recognition — Interest income is recorded on an accrual basis and includes the accretion of discounts, amortization of premiums and payment-in-kind (“PIK”) interest. Discounts from and premiums to par value on investments purchased are accreted/amortized into interest income over the life of the respective security using the effective yield method. To the extent loans contain PIK provisions, PIK interest, computed at the contractual rate specified in each applicable agreement, is accrued and recorded as interest income and added to the principal balance of the loan. PIK interest income added to the principal balance is generally collected upon repayment of the outstanding principal. The Company does not accrue PIK interest if, in the opinion of the Advisor, the portfolio company valuation indicates that the PIK interest is not likely to be collectible. If the Company believes PIK is not expected to be realized, the investment generating PIK will be placed on non-accrual status. When a PIK investment is placed on non-accrual status, the accrued, uncapitalized interest is generally reversed through PIK interest income. Previously capitalized PIK interest is not reversed when an investment is placed on non-accrual status. To maintain the Company’s status as a RIC, this non-cash source of income must be paid out to stockholders in the form of dividends for the year the income was earned, even though the Company has not yet collected the cash. The amortized cost of investments represents the original cost adjusted for any accretion of discounts, amortization of premiums and PIK interest. For the years ended December 31, 2025, 2024 and 2023, the Company had $ 9,093 , $ 2,706 and $ 1,652 , respectively, of PIK interest income included in interest income, which represents 3.9 %, 1.3 % and 1.0 %, respectively, of aggregate interest income. F- 34 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) Loans are generally placed on non-accrual status when it has been determined that a significant impairment in the financial condition and ability of the borrower to repay principal and interest has occurred and is expected to continue such that it is probable the collectability of full amount of the loan (principal and interest) is doubtful. Accrued and unpaid interest is generally reversed when a loan is placed on non-accrual status. If cash payments are received subsequent to a loan being placed on non-accrual status, these payments will first be applied to previously accrued but uncollected interest, then to recover the principal. Additionally, any original issue discount and market discount are no longer accreted to interest income as of the date the loan is placed on non-accrual status. Non-accrual loans are restored to accrual status when past due principal and interest are paid or there is no longer a reasonable doubt that such principal or interest will be collected in full and, in the Company’s judgment, principal and interest are likely to remain current. The Company may make exceptions to this policy if the loan has sufficient collateral value (i.e., typically measured as enterprise value of the portfolio company) or is in the process of collection. As of December 31, 2025, the Company had five debt investments on non-accrual status, which comprised 2.6 % and 1.4 %, respectively, of total debt investments at cost and fair value. As of December 31, 2024, the Company had three debt investment on non-accrual status, which comprised 1.6 % and 1.3 %, respectively, of total debt investments at cost and fair value. G. Debt Issuance Costs — Costs incurred by the Company related to the issuance of its debt (credit facilities) are capitalized and amortized over the period the debt is outstanding. The Company has classified the costs incurred to issue its credit facilities as a deduction from the carrying value of the credit facilities on the Statement of Assets and Liabilities. For the purpose of calculating the Company’s asset coverage ratios pursuant to the 1940 Act, deferred issuance costs are not deducted from the carrying value of debt or preferred stock. H. Dividends to Common Stockholders — Dividends to common stockholders are recorded on the record date. The amount to be paid out as a dividend is determined by the Company’s board of directors each quarter and is generally based upon the earnings estimated by management and considers the level of undistributed taxable income carried forward from the prior year for distribution in the current year. Net realized capital gains, if any, are generally distributed, although the Company may decide to retain such capital gains for investment. I. Income Taxes — it is the Company’s intention to continue to be treated as and to qualify each year for special tax treatment afforded a RIC under the Code. As long as the Company meets certain requirements that govern its sources of income, diversification of assets and timely distribution of earnings to stockholders, the Company will not be subject to U.S. federal income tax. The Company must pay distributions equal to 90 % of its investment company taxable income (ordinary income and short-term capital gains) to qualify as a RIC and it must distribute all of its taxable income (ordinary income, short-term capital gains and long-term capital gains) to avoid federal income taxes. The Company will be subject to federal income tax on any undistributed portion of income. For purposes of the distribution test, the Company may elect to treat as paid on the last day of its taxable year all or part of any distributions that are declared after the end of its taxable year if such distributions are declared before the due date of its tax return, including any extensions. All RICs are subject to a non-deductible 4% excise tax on income that is not distributed on a timely basis in accordance with the calendar year distribution requirements. To avoid the tax, the Company must distribute during each calendar year an amount at least equal to the sum of (i) 98% of its ordinary income for the calendar year, (ii) 98.2% of its net capital gains for the one-year period ending on December 31, the last day of our taxable year, and (iii) undistributed amounts from previous years on which the Company paid no U.S. federal income tax. A distribution will be treated as paid during the calendar year if it is paid during the calendar year or declared by the Company in October, November or December of such year, payable to stockholders of record on a date during such months and paid by the Company no later than January of the following year. Any such distributions paid during January of the following year will be deemed to be received by stockholders on December 31 of the year the distributions are declared, rather than when the distributions are actually received. F- 35 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) The Company’s wholly owned subsidiary, KABDC Corp, LLC has elected to be a corporation and is obligated to pay federal and state income tax on its taxable income. KABDC Corp, LLC invests in partnerships and includes its allocable share of the taxable income or loss in computing its own taxable income. Deferred income taxes reflect (i) taxes on unrealized gains (losses), which are attributable to the difference between fair value and tax cost basis, (ii) the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes and (iii) the net tax benefit of accumulated net operating and capital losses. Income tax expense, if any, is included under the income category for which it relates in the Consolidated Statements of Operations. To the extent KABDC Corp, LLC has a deferred tax asset, consideration is given as to whether or not a valuation allowance is required. The need to establish a valuation allowance for deferred tax assets is assessed periodically based on the Income Tax Topic of the FASB Accounting Standards Codification (ASC 740), that it is more likely than not that some portion or all of the deferred tax asset will not be realized. In the assessment for a valuation allowance, consideration is given to all positive and negative evidence related to the realization of the deferred tax asset. This assessment considers, among other matters, the nature, frequency and severity of current and cumulative losses, forecasts of future profitability, the duration of statutory carryforward periods and the associated risk that certain loss carryforwards may expire unused. KABDC Corp, LLC may rely to some extent on information provided by portfolio investments, which may not necessarily be timely, to estimate taxable income allocable to the units/shares of such companies held in the portfolio and to estimate the associated current and/or deferred tax liability. The Company evaluates tax positions taken or expected to be taken in the course of preparing its financial statements to determine whether the tax positions are “more-likely-than-not” to be sustained by the applicable tax authority. Tax positions not deemed to meet the “more-likely-than-not” threshold are reserved and recorded as a tax benefit or expense in the current year. All penalties and interest associated with income taxes are included in income tax expense. Conclusions regarding tax positions are subject to review and may be adjusted at a later date based on factors including, but not limited to, on-going analyses of tax laws, regulations and interpretations thereof. J. Commitments and Contingencies — in the normal course of business, the Company may enter into contracts that provide a variety of general indemnifications. Any exposure to the Company under these arrangements could involve future claims that may be made against the Company. Currently, no such claims exist or are expected to arise and, accordingly, the Company has not accrued any liability in connection with such indemnifications. K. Recent Accounting Pronouncements — In December 2023, the FASB issued Accounting Standards Update (“ASU”) No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. ASU No. 2023-09 requires additional disaggregated disclosures on the entity’s effective tax rate reconciliation and additional details on income taxes paid. ASU No. 2023-09 is effective on a prospective basis, with the option for retrospective application, for annual periods beginning after December 15, 2024 and early adoption is permitted. The Company adopted ASU 2023-09 for the year ended December 31, 2025 on a prospective basis and concluded that the application of this guidance did not have any material impact on its consolidated financial statements. See Note 10 – Income Taxes. L . Derivative Instruments — The Company follows the guidance in ASC 815 Derivatives and Hedging, when accounting for its derivative instruments. The Company designated certain interest rate swaps as hedging instruments, and as a result, the entire change in the fair value of the hedging instrument shall be recorded in the same line item of the Consolidated Statements of Operations as the hedged item. The Company’s interest rate swaps are used to hedge the Company’s fixed rate debt, and therefore both the periodic payment and the change in fair value for the effective hedge, if applicable, will be recognized as components of interest expense in the Consolidated Statements of Operations. F- 36 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) Note 3. Agreements and Related Party Transactions A. Controlled / Affiliated Portfolio Companies — under the 1940 Act, the Company is required to separately identify non-controlled investments where it owns 5 % or more of a portfolio company’s outstanding voting securities and/or has the power to exercise control over the management or policies of such portfolio company as investments in “affiliated” companies. In addition, under the 1940 Act, the Company is required to separately identify investments where it owns more than 25 % of a portfolio company’s outstanding voting securities and/or has the power to exercise control over the management or policies of such portfolio company as investments in “controlled” companies. Under the 1940 Act, “non-affiliated investments” are defined as investments that are neither controlled investments nor affiliated investments. Detailed information with respect to the Company’s non-controlled, non-affiliated, and non-controlled, affiliated, investments is contained in the accompanying consolidated financial statements, including the consolidated schedule of investments. B. Administration Agreement — on February 5, 2021, the Company entered into an Administration Agreement with its Advisor, which serves as its Administrator and provides or oversees the performance of its required administrative services and professional services rendered by others, which include (but are not limited to), accounting, payment of our expenses, legal, compliance, operations, technology and investor relations, preparation and filing of its tax returns, and preparation of financial reports provided to its stockholders and filed with the SEC. On February 12, 2026, the Board approved an additional one-year term of the Administration Agreement through March 15, 2027. The Company reimburses the Administrator for its costs and expenses incurred in performing its obligations under the Administration Agreement, which may include its allocable portion of office facilities, overhead, and compensation paid to or compensatory distributions received by its officers (including our Chief Compliance Officer and Chief Financial Officer) and its respective staff who provide services to the Company. As the Company reimburses the Administrator for its expenses, the Company indirectly bears such cost. The Administration Agreement may be terminated by either party with 60 days’ written notice. C. Investment Advisory Agreement — on February 5, 2021, the Company entered into an Investment Advisory Agreement with its Advisor. Pursuant to the Investment Advisory Agreement with its Advisor, the Company pays its Advisor a fee for investment advisory and management services consisting of two components—a base management fee and an incentive fee. The Advisor may, from time-to-time, grant waivers on the Company’s obligations, including waivers of the base management fee and/or incentive fee, under the Investment Advisory Agreement. The Investment Advisory Agreement may be terminated by either party with 60 days’ written notice. On March 6, 2024, the Board approved an amended and restated investment advisory agreement (the “Amended Investment Advisory Agreement”) and a fee waiver agreement (the “Fee Waiver Agreement”) between the Company and the Advisor, which became effective upon the completion of the initial public offering of the Company’s shares of common stock on May 24, 2024 (the “IPO Date”). The Amended Investment Advisory Agreement is materially the same as the Investment Advisory Agreement except, following the IPO Date, the base management fee is calculated at an annual rate of 1.00 % and the incentive fee on income is subject to a twelve-quarter lookback quarterly hurdle rate of 1.50 % as opposed to a single quarter measurement and is subject to an Incentive Fee Cap (as defined below) based on the Company’s Cumulative Pre-Incentive Fee Net Return (as defined below). This lookback feature provides that the Advisor’s income incentive fee may be reduced if the Company’s portfolio experiences aggregate write-downs or net capital losses during the applicable Trailing Twelve Quarters (as defined below). Pursuant to the Fee Waiver Agreement, commencing on the IPO Date, the Advisor implemented waivers of (i) the income incentive fee for three calendar quarters commencing the quarter the initial public offering was completed and (ii) a portion of the base management fee for one year following the completion of the initial public offering. Amounts waived by the Advisor pursuant to the Fee Waiver Agreement are not subject to recoupment by the Advisor. On February 12, 2026, the Board approved an additional one-year term of the Investment Advisory Agreement through March 15, 2027. F- 37 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) Base Management Fee Pre-IPO Base Management Fee Prior to the IPO Date, the base management fee was calculated at an annual rate of 0.90 % of the fair market value of the Company’s investments including, in each case, assets purchased with borrowings under credit facilities and issuances of senior unsecured notes, but excluding cash, U.S. government securities and commercial paper instruments maturing within one year of purchase. Post-IPO Base Management Fee Commencing on the IPO Date, the base management fee is calculated at an annual rate of 1.00 % of the fair market value of the Company’s investments. Since the IPO Date was on a date other than the first day of a calendar quarter, the management fee was calculated for the calendar quarter at a weighted rate based on the fee rates applicable before and after the IPO Date based on the number of days in such calendar quarter before and after the IPO Date. Pursuant to the Fee Waiver Agreement, commencing on the IPO Date, the Advisor has contractually agreed to waive the base management fee at an annual rate of 0.25 % for one year following the IPO Date. For the year ended December 31, 2025, the Company incurred base management fees of $ 19,668 net of waiver of $ 2,071 . For the year ended December 31, 2024, the Company incurred base management fees of $ 14,587 , net of waiver of $ 2,900 . For the year ended December 31, 2023, the Company incurred base management fees of $ 11,433 . Incentive Fee The Company also pays the Advisor an incentive fee. The incentive fee consists of two parts—an incentive fee on income and an incentive fee on capital gains. Described in more detail below, these components of the incentive fee are largely independent of each other with the result that one component may be payable even if the other is not. Incentive Fee on Income The incentive fee based on income (the “income incentive fee”) is determined and paid quarterly in arrears in cash. The Company’s quarterly pre-incentive fee net investment income must exceed a preferred return of 1.50 % of the Company’s net asset value (“NAV”) at the end of the immediately preceding calendar quarter ( 6.0 % annualized but not compounded) (the “Hurdle Amount”) in order for the Company to receive an income incentive fee. Pre-IPO Incentive Fee on Income Prior to the IPO Date, the income incentive fee is calculated as 100% of our pre-incentive fee net investment income for the immediately preceding calendar quarter in excess of 1.50% of the Company’s NAV at the end of the immediately preceding calendar quarter until the Advisor has received 10% of the total pre-incentive fee net income for that calendar quarter and, for pre-incentive fee net investment income in excess of 1.6667%, 10% of all remaining pre-incentive fee net investment income for that quarter. Pre-incentive fee net investment income excludes any realized capital gains, realized capital losses or unrealized capital appreciation or depreciation. Post-IPO Incentive Fee on Income Commencing on the IPO Date, the Company pays the Advisor an income incentive fee based on its aggregate pre-incentive fee net investment income with respect to (i) the quarter ended June 30, 2024 (the “First Calendar Quarter”) and (ii) each subsequent calendar quarter, with the then-current calendar quarter and the eleven preceding calendar quarters beginning with the quarter ended September 30, 2024 (or the appropriate portion thereof in the case of any of the Company’s first eleven calendar quarters that commence after the First Calendar Quarter) (those calendar quarters after the First Calendar Quarter, the “Trailing Twelve Quarters”). F- 38 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) For the First Calendar Quarter, pre-incentive fee net investment income in respect of the First Calendar Quarter was compared to a hurdle rate of 1.50 % ( 6.00 % annualized). The income incentive fee for the First Calendar Quarter was determined as follows: ● no income incentive fee is payable to the Advisor if the aggregate pre-incentive fee net investment income for the First Calendar Quarter does not exceed that hurdle rate; ● 100 % of the aggregate pre-incentive fee net investment income with respect to that portion of such pre-incentive fee net investment income, if any, that exceeds that hurdle rate, but is less than a quarterly rate of 1.6667 % for the portion of the First Calendar Quarter before the initial public offering and a quarterly rate of 1.7647 % for the portion of the First Calendar Quarter after the initial public offering, referred to the “catch-up.” The “catch-up” is meant to provide the Advisor with 10.0 % of the Company’s pre-incentive fee net investment income for the portion of the First Calendar Quarter before the initial public offering and 15.0 % for the balance of that First Calendar Quarter, as if the hurdle rate did not apply; and ● 10.0 % of the aggregate pre-incentive fee net investment income, if any, that exceeds a quarterly rate of 1.6667 % for the portion of the First Calendar Quarter before the initial public offering and 15.0 % of the aggregate pre-incentive fee net investment income, if any, that exceeds a quarterly rate of 1.7647 % for the balance of the First Calendar Quarter. Commencing with the quarter ended September 30, 2024, subject to the Incentive Fee Cap (described below), the pre-incentive fee net investment income in respect of the relevant Trailing Twelve Quarters is compared to a “Hurdle Rate” equal to the product of (i) the hurdle rate of 1.50 % per quarter ( 6.00 % annualized) and (ii) the sum of our net assets at the beginning of each applicable calendar quarter comprising the relevant Trailing Twelve Quarters. The Hurdle Rate is calculated after making appropriate adjustments to the Company’s net asset value at the beginning of each applicable calendar quarter for all issuances by the Company of shares of its common stock, including issuances pursuant to its dividend reinvestment plan, and distributions during the applicable calendar quarter. The income incentive fee for each calendar quarter is determined as follows: ● no income incentive fee is payable to the Advisor in any calendar quarter in which aggregate pre-incentive fee net investment income in respect of the relevant Trailing Twelve Quarters does not exceed the Hurdle Rate; ● 100 % of the aggregate pre-incentive fee net investment income in respect of the Trailing Twelve Quarters with respect to that portion of such pre-incentive fee net investment income, if any, that exceeds the Hurdle Rate, but is less than or equal to an amount, which we refer to as the “Catch-up Amount,” determined on a quarterly basis by multiplying 1.7647 % by the Company’s net asset value at the beginning of each applicable calendar quarter comprising the relevant Trailing Twelve Quarters (after making appropriate adjustments to the Company’s net asset value at the beginning of each applicable calendar quarter for all issuances by the Company of shares of its common stock, including issuances pursuant to its dividend reinvestment plan, and distributions during the applicable calendar quarter); and ● 15.0 % of the aggregate pre-incentive fee net investment income in respect of the Trailing Twelve Quarters that exceeds the Catch-up Amount. F- 39 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) Commencing with the quarter ended September 30, 2024, each income incentive fee is subject to an “Incentive Fee Cap” that in respect of any calendar quarter is an amount equal to 15.0 % of the Cumulative Pre-Incentive Fee Net Return (as defined below) during the Trailing Twelve Quarters less the aggregate income incentive fees that were paid to the Advisor in the preceding eleven calendar quarters (or portion thereof) comprising the relevant Trailing Twelve Quarters. In the event the Incentive Fee Cap is zero or a negative value then no income incentive fee shall be payable and if the Incentive Fee Cap is less than the amount of income incentive fee that would otherwise be payable, the amount of income incentive fee shall be reduced to an amount equal to the Incentive Fee Cap. “Cumulative Pre-Incentive Fee Net Return” means (x) with respect to the First Calendar Quarter, the sum of pre-incentive fee net investment income in respect of the First Calendar Quarter, (y) with respect to the relevant Trailing Twelve Quarters, the pre-incentive fee net investment income in respect of the relevant Trailing Twelve Quarters minus any Net Capital Loss (as defined below), if any, in respect of the relevant Trailing Twelve Quarters. If, in any quarter, the Incentive Fee Cap is zero or a negative value, the Company will pay no income incentive fee to the Advisor for such quarter. If, in any quarter, the Incentive Fee Cap for such quarter is a positive value but is less than the income incentive fee that is payable to the Advisor for such quarter (before giving effect to the Incentive Fee Cap) calculated as described above, the Company will pay an income incentive fee to the Advisor equal to the Incentive Fee Cap for such quarter. If, in any quarter, the Incentive Fee Cap for such quarter is equal to or greater than the income incentive fee that is payable to the Advisor for such quarter (before giving effect to the Incentive Fee Cap) calculated as described above, the Company will pay an income incentive fee to the Advisor equal to the incentive fee calculated as described above for such quarter without regard to the Incentive Fee Cap. “Net Capital Loss” in respect of a particular period means the difference, if positive, between (i) aggregate capital losses, whether realized or unrealized, in such period and (ii) aggregate capital gains, whether realized or unrealized, in such period. These calculations are prorated for any period of less than three months and adjusted for any share issuances or repurchases during the relevant quarter. Amounts waived by the Advisor pursuant to the Fee Waiver Agreement are not subject to recoupment by the Advisor. Incentive Fee on Capital Gains Pre-IPO Incentive Fee on Capital Gains Prior to the IPO Date, the incentive fee on capital gains (the “capital gains incentive fee”) was calculated and payable in arrears in cash as 10 % of the Company’s realized capital gains, if any, on a cumulative basis from formation through (a) the day before our initial public offering (“IPO”), (b) upon consummation of a Liquidity Event (as defined in the Investment Advisory Agreement) or (c) upon the termination of the Investment Advisory Agreement, computed net of all realized capital losses and unrealized capital depreciation on a cumulative basis, less the aggregate amount of any previously paid capital gain incentive fees. For the purpose of computing the capital gain incentive fee, the calculation methodology looked through derivative financial instruments or swaps as if the Company owned the reference assets directly. Post-IPO Incentive Fee on Capital Gains Commencing on the IPO Date, the incentive fee on capital gains is calculated and payable in arrears in cash as 15.0 % of the Company’s realized capital gains, if any, on a cumulative basis from formation through the end of a given calendar year or upon termination of the Investment Advisory Agreement, computed net of all realized capital losses and unrealized capital depreciation on a cumulative basis, less the aggregate amount of any previously paid capital gain incentive fees. In the event that the Investment Advisory Agreement terminates as of a date that is not a fiscal year end, the termination date will be treated as though it were a fiscal year end for purposes of calculating and paying a capital gain incentive fee. For the year ended December 31, 2025, the Company incurred incentive fees on income of $ 17,296 , and no incentive fees on capital gains. For the year ended December 31, 2024, the Company incurred incentive fees on income of $ 2,631 , net of waivers of $ 14,818 , and no incentive fees on capital gains. For the year ended December 31, 2023, the Company incurred incentive fees on income of $ 9,433 and no incentive fees on capital gains. F- 40 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) Note 4. Investments The following table presents the composition of the Company’s investment portfolio at amortized cost and fair value as of December 31, 2025 and 2024: December 31, 2025 December 31, 2024 Amortized Fair Amortized Fair Cost Value Cost Value First-lien senior secured debt investments $ 2,163,739 $ 2,157,399 $ 1,952,708 $ 1,972,406 Equity investments 33,761 41,022 19,347 22,737 Investments in money market funds 25,409 25,409 48,683 48,683 Total Investments $ 2,222,909 $ 2,223,830 $ 2,020,738 $ 2,043,826 As of December 31, 2025 and 2024, $ 49,949 and $ 188,253 , respectively, of the Company’s total assets were non-qualifying assets, as defined by Section 55(a) of the 1940 Act. The Company uses Global Industry Classification Standards (GICS), Level 3 – Industry, for classifying the industry groupings of its portfolio companies. The industry composition of long-term investments based on fair value as of December 31, 2025 and 2024 was as follows: December 31, 2025 December 31, 2024 Distributors 11.9 % 15.1 % Commercial services & supplies 11.9 % 11.7 % Health care providers & services 10.8 % 8.4 % Food products 10.5 % 10.0 % Containers & packaging 9.1 % 7.5 % Machinery 6.9 % 3.7 % Professional services 6.6 % 4.7 % Financial services (1) 4.8 % - % Aerospace & defense 3.8 % 4.4 % Chemicals 3.7 % 1.1 % Leisure products 2.6 % 3.2 % Household products 2.4 % 0.8 % Textiles, apparel & luxury goods 1.8 % 2.1 % Automobile components 1.7 % 3.6 % Building products 1.6 % 2.3 % IT services 1.6 % 1.7 % Wireless telecommunication services 1.5 % 1.5 % Personal care products 1.1 % 3.7 % Health care equipment & supplies 1.1 % 1.4 % Insurance 1.0 % 2.0 % Household durables 0.9 % 1.0 % Diversified consumer services 0.8 % - % Specialty retail 0.8 % 2.1 % Biotechnology 0.6 % 0.6 % Pharmaceuticals 0.3 % 1.8 % Diversified telecommunication services 0.2 % 1.5 % Hotels, restaurants & leisure - % 1.4 % Media - % 0.8 % Diversified consumer services - % 0.1 % Construction materials - % 0.7 % Semiconductors & semiconductor equipment - % 0.6 % Electrical equipment - % 0.5 % 100.0 % 100.0 % (1) Includes the Company’s debt and equity investment in SGCP Partners, Inc . (SG Credit), through investments in SGCP Intermediate, Inc. and SGCP Holdings, LLC, an asset based lending platform company, where the Company has a minority investment. F- 41 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) Note 5. Fair Value The Fair Value Measurement Topic of the FASB Accounting Standards Codification (ASC 820) defines fair value as the price at which an orderly transaction to sell an asset or to transfer a liability would take place between market participants under current market conditions at the measurement date. As required by ASC 820, the Company has performed an analysis of all investments measured at fair value to determine the significance and character of all inputs to their fair value determination. Inputs are the assumptions, along with considerations of risk, that a market participant would use to value an asset or a liability. In general, observable inputs are based on market data that is readily available, regularly distributed and verifiable that the Company obtains from independent, third-party sources. Unobservable inputs are developed by the Company based on its own assumptions of how market participants would value an asset or a liability. The fair value hierarchy prioritizes the inputs to valuation techniques used to measure fair value into the following three broad categories. Level 1 — Valuations based on quoted unadjusted prices for identical instruments in active markets traded on a national exchange to which the Company has access at the date of measurement. Level 2 — Valuations based on quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which all significant inputs and significant value drivers are observable in active markets. Level 2 inputs are those in markets for which there are few transactions, the prices are not current, little public information exists or instances where prices vary substantially over time or among brokered market makers. Level 3 — Model derived valuations in which one or more significant inputs or significant value drivers are unobservable. Unobservable inputs are those inputs that reflect the Company’s own assumptions that market participants would use to price the asset or liability based on the best available information. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, the determination of which category within the fair value hierarchy is appropriate for any given financial instrument is based on the lowest level of input that is significant to the fair value measurement. Assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the financial instrument. F- 42 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) The following tables present the fair value hierarchy of investments as of December 31, 2025 and December 31, 2024. Note that the valuation levels below are not necessarily an indication of the risk or liquidity associated with the underlying investment. Fair Value Hierarchy as of December 31, 2025 Investments: Level 1 Level 2 Level 3 Total First-lien senior secured debt investments $ - $ 46,678 $ 2,110,721 $ 2,157,399 Equity investments - - 41,022 41,022 Investments in money market funds 25,409 - - 25,409 Total Investments $ 25,409 $ 46,678 $ 2,151,743 $ 2,223,830 Interest rate swaps - ( 299 ) - ( 299 ) Total $ 25,409 $ 46,379 $ 2,151,743 $ 2,223,531 Fair Value Hierarchy as of December 31, 2024 Investments: Level 1 Level 2 Level 3 Total First-lien senior secured debt investments $ - $ 253,224 $ 1,719,182 $ 1,972,406 Equity investments - - 22,737 22,737 Short-term investments 48,683 - - 48,683 Total Investments $ 48,683 $ 253,224 $ 1,741,919 $ 2,043,826 The following tables present changes in the fair value of investments for which Level 3 inputs were used to determine the fair value as of and for the years ended December 31, 2025 and 2024. First-lien senior secured Private equity For the year ended December 31, 2025 debt investments investments Total Fair value, beginning of period $ 1,719,182 $ 22,737 $ 1,741,919 Purchases of investments 759,291 14,664 773,955 Proceeds from sales of investments and principal repayments ( 363,530 ) ( 856 ) ( 364,386 ) Net change in unrealized gain (loss) ( 25,848 ) 3,870 ( 21,978 ) Net realized gain (loss) - 607 607 Net accretion of discount on investments 15,255 - 15,255 PIK interest and dividends 6,371 - 6,371 Transfers into (out of) Level 3 - - - Fair value, end of period $ 2,110,721 $ 41,022 $ 2,151,743 For the year ended December 31, 2024 First-lien senior secured debt investments Private equity investments Total Fair value, beginning of period $ 1,346,174 $ 17,324 $ 1,363,498 Purchases of investments 649,920 3,563 653,483 Proceeds from sales of investments and principal repayments ( 294,804 ) ( 958 ) ( 295,762 ) Net change in unrealized gain (loss) 1,127 2,100 3,227 Net realized gain (loss) - 708 708 Net accretion of discount on investments 12,747 - 12,747 PIK interest and dividends 4,018 - 4,018 Transfers into (out of) Level 3 - - - Fair value, end of period $ 1,719,182 $ 22,737 $ 1,741,919 F- 43 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) For the years ended December 31, 2025 and 2024, the Company did not recognize any transfers to or from Level 3. The increase in unrealized gain (loss) relates to investments that were held during the period. The Company includes these unrealized gains and losses on the Statement of Operations – Net Change in Unrealized Gains (Losses). Valuation Techniques and Unobservable Inputs Non-traded debt investments are typically valued using either a market yield analysis or an enterprise value analysis. For debt investments that are not considered to be credit impaired, the Advisor uses a market yield analysis to determine fair value. If the debt investment is considered to be credit impaired (which is determined by performing an enterprise value analysis), the Advisor will use the enterprise value analysis or a liquidation basis analysis to determine fair value. To determine fair value using a market yield analysis, the Advisor discounts the contractual cash flows of each investment at an appropriate discount rate (the market yield). To determine the estimated market yield for its debt investments, the Advisor analyzes changes in the risk/reward (measured by yields and leverage) of middle market indices as compared to changes in risk/reward for the underlying investment and estimates the appropriate discount rate for such debt investment. In this context, the discount rate and the fair market value of the investment is impacted by the structure and pricing of the security relative to current market yields for similar investments in similar businesses as well as the financial performance of such business. In performing this analysis, the Advisor considers data sources including, but not limited to: (i) industry publications, such as S&P Global’s High-End Middle Market Lending Review; Thomson Reuter’s Refinitiv Middle Market Monthly Stats; CapitalIQ; Pitchbook News; The Lead Left, and other data sources; (ii) comparable investments reviewed or completed by affiliates of the Advisor, and (iii) information obtained and provided by the Advisor’s independent valuation managers. To determine if a debt investment is credit impaired, the Advisor estimates the enterprise value of the business and compares such estimate to the outstanding indebtedness of such business. The Advisor utilizes the following valuation methodologies to determine the estimated enterprise value of the company: (i) analysis of valuations of publicly traded companies in a similar line of business (“public company comparable analysis”), (ii) analysis of valuations of M&A transaction valuations for companies in a similar line of business (“precedent transaction analysis”), (iii) discounted cash flows (“DCF analysis”) and (iv) other valuation methodologies. In determining the non-traded debt investment valuations, the following factors are considered, where relevant: the nature and realizable value of any collateral; the company’s ability to make interest payments, amortization payments (if any) and other fixed charges; call features, put features and other relevant terms of the debt security; the company’s historical and projected financial results; the markets in which the company does business; changes in the interest rate environment and the credit markets generally that may affect the price at which similar investments may be valued; and other relevant factors. Equity investments in private companies are typically valued using one of or a combination of the following valuation techniques: (i) public company comparable analysis, (ii) precedent transaction analysis and (iii) DCF analysis. F- 44 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) Under all of these valuation techniques, the Advisor estimates operating results of the companies in which it invests, including earnings before interest expense, income tax expense, depreciation and amortization (“EBITDA”) and free cash flow. These estimates utilize unobservable inputs such as historical operating results, which may be unaudited, and projected operating results, which will be based on operating assumptions for such company. Investment performance data utilized will be the most recently available as of the measurement date which in many cases may reflect up to a one quarter lag in information. These estimates will be sensitive to changes in assumptions specific to such company as well as general assumptions for the industry. Other unobservable inputs utilized in the valuation techniques outlined above include: discounts for lack of marketability, selection of publicly traded companies, selection of similar precedent transactions, selected ranges for valuation multiples and expected required rates of return (discount rates). Quantitative Table for Valuation Techniques The following tables present quantitative information about the significant unobservable inputs of the Company’s Level 3 investments as of December 31, 2025 and December 31, 2024. The tables are not intended to be all-inclusive but instead capture the significant unobservable inputs relevant to the Advisor’s determination of fair value. The Company calculates weighted average, based on the value of the unobservable input of each investment relative to the fair value of the investment compared to the total fair value of all investments. First-lien senior secured debt investments include the Company’s senior secured loan in an investment vehicle (BC CS 2, L.P.), which is considered subordinated debt since it is collateralized by a preferred stock investment in Cuisine Solutions, Inc. As of December 31, 2025 Valuation Unobservable Weighted Fair Value Technique Input Range Average First-lien senior secured debt investments $ 2,110,721 Discounted cash flow analysis Discount rate 6.4 % - 15.0 % 9.5 % Preferred equity investment 15,767 Discounted cash flow analysis Discount rate 15.0 % 15.0 % Common equity investments 14,000 Precedent Transaction Analysis Original cost 1.0 1.0 Other equity investments 11,255 Comparable Multiples EV / EBITDA 6.3 - 17.2 10.6 $ 2,151,743 As of December 31, 2024 Fair Value Valuation Technique Unobservable Input Range Weighted Average First-lien senior secured debt investments $ 1,719,182 Discounted cash flow analysis Discount rate 8.2 % - 15.0 % 10.1 % Preferred equity investment 11,114 Discounted cash flow analysis Discount rate 15.0 % 15.0 % Preferred equity investment 500 Precedent Transaction Analysis Original cost 1.0 1.0 Common equity investment 1,750 Precedent Transaction Analysis Original cost 1.0 1.0 Other equity investments 9,373 Comparable Multiples EV / EBITDA 7.6 - 17.2 11.3 $ 1,741,919 F- 45 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) Note 6. Debt Corporate Credit Facility As of December 31, 2025, the Company had a senior secured revolving credit facility (the “Corporate Credit Facility”), that has a total commitment of $ 475,000 which has a maturity date of November 22, 2029 . The Corporate Credit Facility also provides for a feature that allows the Company, under certain circumstances, to increase the overall size of the Corporate Credit Facility to a maximum of $ 600,000 . The interest rate on the Corporate Credit Facility is equal to Term SOFR (a forward-looking rate based on SOFR futures) plus an applicable spread of 2.10 % per annum or an “alternate base rate” (as defined in the agreements governing the Corporate Credit Facility) plus an applicable spread of 1.00 %. The Company is also required to pay a commitment fee of 0.375 % per annum on any unused portion of the Corporate Credit Facility. Under the Corporate Credit Facility, the Company is required to comply with various covenants, reporting requirements and other customary requirements for similar revolving credit facilities, including, without limitation, covenants related to: (a) limitations on the incurrence of additional indebtedness and liens, (b) limitations on certain investments, (c) limitations on certain restricted payments, (d) maintaining a certain minimum stockholders’ equity, and (e) maintaining a ratio of total assets (less total liabilities not representing indebtedness) to total indebtedness of the Company and its consolidated subsidiaries of not less than 1.5:1.0. These covenants are subject to important limitations and exceptions that are described in the agreements governing the Corporate Credit Facility. Amounts available to borrow under the Corporate Credit Facility are subject to compliance with a borrowing base that applies different advance rates to different types of assets (based on their value as determined pursuant to the Corporate Credit Facility) that are pledged as collateral. The Corporate Credit Facility is secured by certain assets in the Company’s portfolio and excludes investments held by Kayne Anderson BDC Financing LLC (“KABDCF”) under the Revolving Funding Facility and by Kayne Anderson BDC Financing II, LLC (“KABDCF II”) under the Revolving Funding Facility II (each as defined below). For the years ended December 31, 2025 and 2024, the average amount of borrowings outstanding under the Corporate Credit Facility was $ 234,921 and $ 173,911 , respectively, with a weighted average interest rate of 6.35 % and 7.42 %, respectively, for the Corporate Facility portion. As of December 31, 2025, the Company had $ 135,000 outstanding under the Corporate Credit Facility at a weighted average interest rate of 5.87 %. Revolving Funding Facility As of December 31, 2025, the Company and KABDCF, a wholly-owned, special purpose financing subsidiary, had a senior secured revolving funding facility (the “Revolving Funding Facility”), that has a total commitment of $ 675,000 . The end of the reinvestment period is February 13, 2028 , and the maturity date is February 13, 2030. The interest rate on the Revolving Funding Facility is SOFR plus 2.15 % per annum. The Revolving Funding Facility is secured by all of the assets held by KABDCF, and the Company has agreed that it will not grant or allow a lien on the membership interest of KABDCF. See Note 13 – Subsequent Events. KABDCF is also required to pay a commitment fee of between 0.50 % and 1.50 % per annum depending on the size of the unused portion of the Revolving Funding Facility. Amounts available to borrow under the Revolving Funding Facility are subject to a borrowing base that applies different advance rates to different types of assets held by KABDCF and is subject to limitations with respect to the loans securing the Revolving Funding Facility, including restrictions on, loan size, industry concentration, payment frequency and status, as well as restrictions on portfolio company leverage, all of which may also affect the borrowing base and therefore amounts available to borrow. The Company and KABDCF are also required to comply with various covenants, reporting requirements and other customary requirements for similar facilities. These covenants are subject to important limitations and exceptions that are described in the agreements governing the Revolving Funding Facility. F- 46 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) For the years ended December 31, 2025 and 2024, the average amount of borrowings outstanding under the Revolving Funding Facility was $ 531,522 and $ 371,041 , respectively, with a weighted average interest rate of 6.44 % and 7.67 %, respectively. As of December 31, 2025, the Company had $ 525,000 outstanding under the Revolving Funding Facility at a weighted average interest rate of 5.81 %. See Note 13 – Subsequent Events. Revolving Funding Facility II As of December 31, 2025, the Company and KABDCF II, a wholly-owned, special purpose financing subsidiary, had a senior secured revolving credit facility (the “Revolving Funding Facility II”). The Revolving Funding Facility II has an initial commitment of $ 250,000 which, under certain circumstances, can be increased up to $ 500,000 . The Revolving Funding Facility II is secured by all of the assets held by KABDCF II, and the Company has agreed that it will not grant or allow a lien on the membership interest of KABDCF II. The end of the reinvestment period is December 22, 2027, and the maturity date is December 22, 2029. The interest rate on the Revolving Funding Facility II is 3-month term SOFR plus 2.25 %. KABDCF II is also required to pay a commitment fee of 0.55 % on the unused portion of the Revolving Funding Facility II. Amounts available to borrow under the Revolving Funding Facility II are subject to a borrowing base that has limitations with respect to the loans securing the Revolving Funding Facility II, including limitations on, loan size, payment frequency and status, sector concentrations, as well as restrictions on portfolio company leverage, all of which may also affect the borrowing base and therefore amounts available to borrow. The Company and KABDCF II are also required to comply with various covenants, reporting requirements and other customary requirements for similar facilities. These covenants are subject to important limitations and exceptions that are described in the agreements governing the Revolving Funding Facility II. For the year ended December 31, 2025 and 2024, the average amount of borrowings outstanding under the Revolving Funding Facility was $ 170,178 and $ 82,432 , respectively, with a weighted average interest rate of 6.51 % and 7.84 %, respectively. As of December 31, 2025, the Company had $ 195,000 outstanding under the Revolving Funding Facility II at a weighted average interest rate of 6.23 %. Senior Unsecured Notes As of December 31, 2025, the Company had $ 275,000 aggregate principal amount of senior unsecured notes (the “Notes”). On October 15, 2025, the Company completed a private placement offering of $ 200,000 of senior unsecured notes (the “Series C, D and E Notes”). The private placement consisted of $ 40,000 of floating rate Series C Notes with an interest rate of SOFR plus 2.32 % per annum due June 2028; $ 60,000 of 5.80 % Series D Notes due June 2028 and $ 100,000 of 6.15 % Series E Notes due October 2030. Net proceeds from the offering were used to refinance existing debt and for general corporate purposes. In connection with the Series D and Series E Notes, the Company entered into interest rate swaps to more closely align the interest rates of the Company’s liabilities with the Company’s investment portfolio, which consists of predominantly floating rate loans. Under the interest rate swap agreement related to the Series D Notes, the Company receives a fixed interest rate of 5.80 % per annum and pays a floating interest rate of SOFR plus 2.37 % per annum on the $ 60,000 of the Series D Notes. Under the interest rate swap agreement related to the Series E Notes, the Company receives a fixed interest rate of 6.15 % per annum and pays a floating interest rate of SOFR plus 2.6565 % per annum on the $ 100,000 of the Series E Notes. The Company designated each interest rate swap as the hedging instrument in a qualifying hedge accounting relationship. F- 47 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) The table below sets forth a summary of the key terms of each series of Notes outstanding at December 31, 2025. Principal Estimated Outstanding Fair Value Fixed/Floating Series December 31, 2025 Unamortized Issuance Costs December 31, 2025 Interest Rate Maturity A $ 25,000 $ 118 $ 26,196 8.65 % 6/30/2027 B 50,000 319 53,756 8.74 % 6/30/2028 C 40,000 322 41,024 SOFR + 2.32 % 6/30/2028 D 60,000 484 61,894 5.80 % (1) 6/30/2028 E 100,000 1,317 103,488 6.15 % (2) 10/15/2030 $ 275,000 $ 2,560 $ 286,358 (1) The effective interest rate including the effects of the interest rate swap is SOFR + 2.37 %. (2) The effective interest rate including the effects of the interest rate swap is SOFR + 2.6565 %. Holders of the fixed rate Series A, B, D and E Notes are entitled to receive cash interest payments semi-annually (on January 30 and July 30) at the fixed rate. Holders of the floating rate Series C Notes are entitled to receive cash interest payments quarterly (on January 30, April 30, July 30 and October 30) at the floating rate. As of December 31, 2025, the weighted average interest rate on the outstanding Notes was 6.77 %. As of December 31, 2025, the Notes were rated “BBB” by Kroll Bond Rating Agency (“KBRA”). The Company is required to maintain a current rating from one rating agency with respect to the Notes. In the event the Company does not maintain a current rating from a rating agency for a specified period of time or the credit rating on the Notes falls below “BBB-” (a “Below Investment Grade Event”), the interest rate per annum on the Notes will increase by 1.0 % during the period the Notes are rated below “BBB-”. In the event the Company’s Secured Debt Ratio exceeds 55 % (a “Secured Debt Ratio Event”), the interest rate per annum on the Notes will increase by 1.5 % during the period the ratio is above stated percentage. If a Below Investment Grade Event and a Secured Debt Ratio Event is continuing at the same time the aggregate increase in interest rate per annum will not exceed 2.0 %. The Notes were issued in private placement offerings to institutional investors and are not listed on any exchange or automated quotation system. The Notes contain various covenants related to other indebtedness, liens and limits on the Company’s overall leverage. The Company must maintain a minimum amount of shareholder equity and the Company’s asset coverage ratio must be greater than 150 % as of the last business day of each fiscal quarter. The Notes are redeemable in certain circumstances at the option of the Company and may be redeemed under certain circumstances to cure the asset coverage ratio covenant. The Notes are unsecured obligations of the Company and, upon liquidation, dissolution or winding up of the Company, will rank: (1) senior to all of the Company’s outstanding common shares; (2) on parity with any unsecured creditors of the Company and any unsecured senior securities representing indebtedness of the Company; and (3) junior to any secured creditors of the Company. At December 31, 2025, the Company was in compliance with all covenants under the Notes agreements. As a result of the Company’s designation of the interest rate swaps as hedging instruments in qualifying fair value hedge accounting relationships, the Company is required to fair value the hedging instruments and the related hedged items, with the changes in the fair value of each being recorded in interest expense. The net losses related to the fair value hedges were approximately zero for the year ended December 31,2025, which is included in “Interest expense” in the Company’s consolidated statement of operations. The balance sheet impact of fair valuing the interest rate swaps as of December 31, 2025, is presented below. There was no interest rate swap activity for the years ended December 31, 2024 and 2023. As of December 31, 2025 Description Notional Amount Maturity Date Gross Amount of Recognized Assets Gross Amount of Recognized Liabilities Balance Sheet Location of Amounts Interest rate swap 60,000 6/30/2028 $ - $ ( 24 ) Accrued expenses and other liabilities Interest rate swap 100,000 10/15/2030 - ( 275 ) Accrued expenses and other liabilities $ - $ ( 299 ) F- 48 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) Debt obligations consisted of the following as of December 31, 2025 and 2024. December 31, 2025 Aggregate Principal Committed Outstanding Principal Amount Available (1) Net Carrying Value (2) Notes (3) $ 275,000 $ 275,000 $ - $ 272,141 Corporate Credit Facility 475,000 135,000 340,000 131,628 Revolving Funding Facility 675,000 525,000 150,000 520,329 Revolving Funding Facility II 250,000 195,000 55,000 192,900 Total debt $ 1,675,000 $ 1,130,000 $ 545,000 $ 1,116,998 (1) The amounts available under the Company’s credit facilities do not reflect any limitations related to each borrowing base as of December 31, 2025. (2) The carrying value of the Notes, Corporate Credit Facility, Revolving Funding Facility and Revolving Funding Facility II are presented net of deferred financing costs totaling $ 12,703 . (3) Net carrying value is inclusive of change in fair market value of effective hedges. December 31, 2024 Aggregate Principal Committed Outstanding Principal Amount Available (1) Net Carrying Value (2) Notes $ 75,000 $ 75,000 $ - $ 74,357 Corporate Credit Facility 475,000 250,000 225,000 246,765 Revolving Funding Facility 600,000 420,000 180,000 415,254 Revolving Funding Facility II 150,000 113,000 37,000 111,749 Total debt $ 1,300,000 $ 858,000 $ 442,000 $ 848,125 (1) The amounts available under the Company’s credit facilities do not reflect any limitations related to each borrowing base as of December 31, 2024. (2) The carrying value of the Notes, Corporate Credit Facility, Revolving Funding Facility and Revolving Funding Facility II are presented net of deferred financing costs totaling $ 9,875 . For the years ended December 31, 2025, 2024 and 2023, the components of interest expense were as follows: For the years ended December 31, 2025 2024 2023 Interest expense $ 72,391 $ 57,798 $ 49,620 Amortization of debt issuance costs 3,970 3,718 2,694 Total interest expense $ 76,361 $ 61,516 $ 52,314 Average interest rate 7.1 % 8.6 % 8.4 % Average borrowings $ 1,054,360 $ 705,690 $ 624,464 F- 49 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) Note 7. Common Stock and Share Transactions As of December 31, 2025, the Company had 100,000,000 shares of common stock authorized and 67,998,184 shares outstanding. As of December 31, 2025, KAPC Investment Holdings, L.P., a controlled affiliate of Kayne Anderson, owned 957,217 shares of the Company. These shares were purchased on May 22, 2024 in conjunction with the Company’s IPO. Common Stock Issuances The following tables summarize the number of common stock shares issued and aggregate proceeds received from such issuances related to the Company’s capital call notices pursuant to subscription agreements with investors for the years ended December 31, 2024 and 2023. On May 24, 2024, the Company completed its IPO and began trading on the NYSE under the ticker symbol “KBDC.” For the year ended December 31, 2024 Common stock issue date Offering price per share Common stock shares issued Aggregate offering amount February 14, 2024 $ 16.74 7,089,771 $ 118,689 April 2, 2024 $ 16.63 16,232,415 269,945 May 24, 2024 $ 16.63 6,000,000 99,780 Total common stock issued 29,322,186 $ 488,414 For the year ended December 31, 2023 Aggregate Offering price Common stock offering Common stock issue date per share shares issued amount April 4, 2023 $ 16.61 3,010,942 $ 50,000 August 8, 2023 $ 16.82 2,411,582 40,575 Total common stock issued 5,422,524 $ 90,575 F- 50 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) Share Repurchase Plan On May 21, 2024, the Company entered into a share repurchase plan, or the Company 10b5-1 Plan, to acquire up to $ 100,000 in the aggregate of the Company’s Common Stock at prices below the Company’s net asset value per share over a specified period, in accordance with the guidelines specified in Rule 10b5-1 and Rule 10b-18 of the Securities Exchange Act of 1934, as amended. The Company 10b5-1 Plan was approved by the Board of Directors on March 6, 2024. The Company 10b5-1 Plan requires Morgan Stanley Corporation as the Company’s agent, to repurchase Common Stock on its behalf when the market price per share is below the most recently reported net asset value per share (including any updates, corrections or adjustments publicly announced by the Company to any previously announced net asset value per share, including any distributions declared). Under the Company 10b5-1 Plan, the volume of purchases would be expected to increase as the price of the Company’s Common Stock declines, subject to volume restrictions. The timing and amount of any share repurchases will depend on the terms and conditions of the Company 10b5-1 Plan, the market price of the Company’s Common Stock and trading volumes, and no assurance can be given that Common Stock be repurchased in any particular amount or at all. The repurchase of shares pursuant to the Company 10b5-1 Plan is intended to satisfy the conditions of Rule 10b5-1 and Rule 10b-18 under the Exchange Act, and will otherwise be subject to applicable law, including Regulation M, which may prohibit repurchases under certain circumstances. The Company 10b5-1 Plan commenced on July 23, 2024. On May 1, 2025, the Board of Directors of the Company authorized an amendment to the Company 10b5-1 Plan to extend the expiration to May 24, 2026. Under the amended and restated plan (effective May 25, 2025), the Company may repurchase up to $ 100,000 of the outstanding common stock in the open market at a price per share that meets certain thresholds below its net asset value per share. The Company 10b5-1 Plan will terminate upon the earliest to occur of (i) the close of business on May 24, 2026, (ii) the end of the trading day on which the aggregate purchase price for all shares purchased under the Company 10b5-1 Plan equals $ 100,000 and (iii) the occurrence of certain other events described in the Company 10b5-1 Plan. For the year ended December 31, 2025, the agent has repurchased shares of common stock pursuant to the Plan as follows: Period Total number of shares repurchased Average price paid per share Approximate dollar value of shares that have been purchased under the plan Approximate dollar value of shares that may yet be purchased under the plan March 1 - 31, 2025 23,688 $ 16.23 $ 384 $ 98,090 April 1 - 30, 2025 304,967 $ 15.46 4,714 $ 93,377 May 1 - 24, 2025 178,981 $ 15.85 2,837 $ 90,539 May 25 - 31, 2025 804 $ 15.67 13 $ 99,987 June 1 - 30, 2025 77,231 $ 15.61 1,205 $ 98,782 July 1 - 31, 2025 83,982 $ 15.58 1,309 $ 97,473 August 1 - 31, 2025 273,807 $ 15.22 4,166 $ 93,307 September 1 - 30, 2025 592,402 $ 14.26 8,446 $ 84,862 October 1 - 31, 2025 1,214,147 $ 13.94 16,930 $ 67,932 November 1 - 30, 2025 458,356 $ 14.44 6,616 $ 61,315 December 1 - 31, 2025 94,112 $ 14.60 1,374 $ 59,941 Total stock repurchased 3,302,477 $ 47,994 F- 51 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) Dividends and Dividend Reinvestment The following tables summarize the dividends declared and payable by the Company for the years ended December 31, 2025, 2024 and 2023 . For the year ended December 31, 2025, both of the $ 0.10 per share dividend with payment dates of March 18, 2025 and June 24, 2025 were the final two of three special dividends declared by the Board of Directors in conjunction with the Company’s IPO in May 2024. For the year ended December 31, 2024, the $ 0.10 per share dividend with a payment date of December 20, 2024 was the first of three special dividends declared by the Board of Directors in conjunction with the Company’s IPO in May 2024. See Note 13 – Subsequent Events. For the year ended December 31, 2025 Dividend declaration date Dividend record date Dividend payment date Dividend per share May 8, 2024 March 3, 2025 March 18, 2025 $ 0.10 March 3, 2025 March 31, 2025 April 15, 2025 0.40 May 8, 2024 June 9, 2025 June 24, 2025 0.10 May 1, 2025 June 30, 2025 July 16, 2025 0.40 August 5, 2025 September 30, 2025 October 16, 2025 0.40 November 4, 2025 December 31, 2025 January 16, 2026 0.40 Total dividends declared $ 1.80 For the year ended December 31, 2024 Dividend declaration date Dividend record date Dividend payment date Dividend per share March 6, 2024 March 29, 2024 April 17, 2024 $ 0.40 May 8, 2024 June 28, 2024 July 15, 2024 0.40 August 7, 2024 September 30, 2024 October 15, 2024 0.40 May 8, 2024 December 5, 2024 December 20, 2024 0.10 November 6, 2024 December 31, 2024 January 15, 2025 0.40 Total dividends declared $ 1.70 For the year ended December 31, 2023 Dividend Dividend declaration date Dividend record date Dividend payment date per share March 7, 2023 March 31, 2023 April 14, 2023 $ 0.47 May 10, 2023 June 30, 2023 July 14, 2023 0.53 August 10, 2023 September 29, 2023 October 13, 2023 0.53 November 9, 2023 December 29, 2023 January 16, 2024 0.53 Total dividends declared $ 2.06 The following tables summarize the amounts received and shares of common stock issued to shareholders pursuant to the Company’s dividend reinvestment plan (“DRIP”) for the years ended December 31, 2025, 2024 and 2023. See Note 13 - Subsequent Events. For the year ended December 31, 2025 Dividend record date Dividend payment date DRIP shares issued DRIP value December 31, 2024 January 15, 2025 205,626 $ 3,434 March 3, 2025 March 18, 2025 35,346 593 March 31, 2025 April 15, 2025 - - June 9, 2025 June 24, 2025 - - June 30, 2025 July 16, 2025 - - September 30, 2025 October 16, 2025 - - 240,972 $ 4,027 F- 52 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) For the dividend paid on January 15, 2025, the DRIP value was $ 3,923 . Of this amount, $ 3,434 was reinvested into the Company through the issuance of 205,626 shares of common stock and $ 489 was fulfilled through open market purchases of common stock. For the dividend paid on April 15, 2025, the DRIP value was $ 2,401 and was fulfilled through open market purchases of common stock. For the special dividend paid on June 24, 2025, the DRIP value was $ 257 and was fulfilled through open market purchases of common stock. For the dividend paid on July 16, 2025, the DRIP value was $ 380 and was fulfilled through open market purchases of common stock. For the dividend paid on October 16, 2025, the DRIP value was $ 174 and was fulfilled through open market purchases of common stock. For the dividend paid on January 16, 2026, the DRIP value was $ 219 . This DRIP is excluded from the table above, as the DRIP share activity was after December 31, 2025. For the year ended December 31, 2024 DRIP shares DRIP Dividend record date Dividend payment date issued value December 29, 2023 January 16, 2024 95,791 $ 1,573 March 29, 2024 April 17, 2024 94,816 1,577 June 28, 2024 July 15, 2024 - - September 30, 2024 October 15, 2024 - - December 5, 2024 December 20, 2024 37,843 632 228,450 $ 3,782 For the dividend paid on July 15, 2024, the DRIP value was $ 4,431 and fulfilled through open market purchases of common stock. For the dividend paid on October 15, 2024, the DRIP value was $ 4,521 and was fulfilled through open market purchases of common stock. F- 53 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) For the dividend paid on December 20, 2024, the DRIP value was $ 1,084 . Of this DRIP amount, $ 452 was fulfilled through open market purchases of common stock and $ 632 was fulfilled with the issuance of 37,843 shares of common stock. For the dividend paid on January 15, 2025, the DRIP value was $ 3,923 . This DRIP is excluded from the table above, as the DRIP share activity was after December 31, 2024. For the year ended December 31, 2023 DRIP shares DRIP Dividend record date Dividend payment date issued value December 29, 2022 January 13, 2023 57,860 $ 955 March 31, 2023 April 14, 2023 65,733 1,089 June 30, 2023 July 14, 2023 81,527 1,352 September 29, 2023 October 13, 2023 96,731 1,586 301,851 $ 4,982 For the dividend paid on January 16, 2024, there were 95,791 shares issued with a DRIP value of $ 1,573 . These shares are excluded from the table above, as the DRIP shares were issued after December 31, 2023. On May 8, 2024, in conjunction with the Company’s IPO, the Board of Directors declared the following special dividends: Record date Pay date Special Dividend December 5, 2024 December 20, 2024 $ 0.10 March 3, 2025 March 18, 2025 $ 0.10 June 9, 2025 June 24, 2025 $ 0.10 Note 8. Commitments and Contingencies The Company had an aggregate of $ 287,456 and $ 186,282 , respectively, of unfunded commitments, including $ 171,137 and $ 126,738 , respectively, of unfunded commitments on revolvers, to provide debt financing to its portfolio companies as of December 31, 2025 and December 31, 2024. These commitments are not reflected in the Company’s consolidated statement of assets and liabilities but are generally incorporated into the Company’s determination of its liquidity. Consequently, such commitments result in an element of credit risk in excess of the amount recognized in the Company’s consolidated statement of assets and liabilities. The Company’s unfunded revolving commitments are generally available on a borrower’s demand and may remain outstanding until the maturity date of the underlying senior secured loan. The Company’s unfunded delayed draw term loan commitments are generally subject to the satisfaction of certain financial and nonfinancial covenants and certain operational metrics. The commitment period for unfunded delayed draw term loan commitments may be shorter than the maturity date if drawn or funded. F- 54 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) A summary of the composition of the unfunded commitments as of December 31, 2025 and 2024 is shown in the table below. As of As of December 31, 2025 December 31, 2024 Aegis Toxicology Sciences Corporation $ 5,769 $ - AeriTek Global Holdings LLC 645 - Alcami Corporation 1,232 1,447 Allcat Claims Service, LLC 17,407 10,803 Allentown, LLC 928 663 American Equipment Holdings LLC 5,479 2,922 American Soccer Company, Incorporated (SCORE) - 2,601 Arborworks Acquisition, LLC 439 1,792 Aviation Concepts, LLC 13,127 - Basel U.S. Acquisition Co., Inc. (IAC) - 2,930 Bloomington Holdco, LLC (BW Fusion) 6,421 6,421 BLP Buyer, Inc. (Bishop Lifting Products) 862 2,878 Brightview, LLC 155 - Carton Packaging Buyer, Inc. (Century Box) 1,993 2,848 CCFF Buyer, LLC (California Custom Fruits & Flavors, LLC) 9,284 9,812 CGI Automated Manufacturing, LLC 2,717 2,242 CI (MG) Group, LLC (Mariani Premier Group) 5,938 - City Line Distributors LLC 2,530 2,530 CMT Intermediate Holdings, LLC (Capital Machine Technologies) 3,803 - CREO Group Inc. (HMS Manufacturing) 1,043 - Curio Brands, LLC 2,605 1,719 Del-Air Heating, Air Conditioning & Refrigeration, LLC 3,137 - DISA Holdings Corp. 1,766 3,331 Diverzify Intermediate, LLC 3,155 3,155 DRS Holdings III, Inc. (Dr. Scholl’s) 310 310 Eastern Wholesale Fence - 198 ECS Opco 1, LLC (Spectrum Vascular) 2,540 - Energy Acquisition LP (Electrical Components International, Inc. - ECI) - 1,442 Envirotech Services, LLC 6,746 6,746 Eppinger Technologies, LLC 632 1,145 Fastener Distribution Holdings, LLC 4,610 7,502 Foundation Consumer Brands, LLC 577 577 Fralock Buyer LLC 500 - Gage CR Acquisition, LLC 6,258 - Guardian Dentistry Practice Management, LLC 618 773 Gulf Pacific Acquisition, LLC 899 1,798 Gusmer Enterprises, Inc. 2,941 3,676 Home Brands Group Holdings, Inc. (ReBath) 2,099 2,099 I.D. Images Acquisition, LLC 2,020 2,020 IF&P Foods, LLC (FreshEdge) 1,626 2,813 Improving Acquisition LLC 1,504 1,672 Integrated Dermatology LLC 11,548 - J&K Ingredients, LLC 1,890 - KAMC Holdings, Inc. (Franklin Energy) 1,365 - Krayden Holdings, Inc. 1,268 5,438 Lakewood Acquisition Corporation (R&B Wholesale) 10,305 - LEM Buyer, Inc. (CFS Technologies Intermediate, Inc.) 1,885 - Light Wave Dental Management, LLC 334 4,171 LSL Industries, LLC 5,224 5,224 MacNeill Pride Group 2,397 1,798 ML Buyer, LLC (Mama Lycha Foods, LLC) 3,193 3,991 Monza Purchaser, LLC (Smyth) 6,990 - MRC Keystone Acquisition LLC (Automated Handing Solutions) 3,864 3,864 NMA Holdings, LLC (Neuromonitoring Associates) 6,687 7,459 OAO Acquisitions, Inc. (BearCom) 2,482 2,482 PGI Parent LLC (Prime Electric) 2,840 - PH Beauty Holdings III, Inc. 2,009 - Phoenix YW Buyer, Inc. (Elida Beauty) - 1,960 Pixel Intermediate, LLC - 1,482 PMFC Holding, LLC 411 - Redwood MSO, LLC (Smile Partners) 1,283 2,784 Refocus Management Services, LLC 5,999 6,269 Regiment Security Partners LLC 776 104 RMH Systems, LLC 7,964 - The Robinette Company 1,609 5,047 Ruff Roofers Buyer, LLC 10,065 7,138 SGCP Intermediate, Inc. (SG Credit) 21,000 - Siegel Egg Co., LLC - 501 Silk Holdings III Corp. (Suave) - 6,667 Speedstar Holding LLC 666 666 Sundance Holdings Group, LLC 377 - Superior Intermediate LLC (Landmark Structures) 10,006 10,006 Tapco Buyer LLC 10,120 9,435 Texas Coffee Holdco LLC 15,000 - TL Atlas Merger Sub Corp. (Zep) 4,789 - Trademark Global LLC 480 480 United Titanium, LLC 4,343 - US Masonry & Building Products Co. (f/k/a US Anchors Group, Inc.) 3,335 2,819 Vehicle Accessories, Inc. - 2,064 Workholding US Holdings, LLC (Forkardt Hardinge) 277 3,144 Worldwide Produce Acquisition, LLC 360 424 Total unfunded commitments $ 287,456 $ 186,282 From time to time, the Company may become a party to certain legal proceedings incidental to the normal course of its business. As of December 31, 2025 and 2024, management was not aware of any material pending or threatened litigation that would require accounting recognition or financial statement disclosure. F- 55 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) Note 9. Earnings Per Share In accordance with the provisions of ASC Topic 260, Earnings per Share (“ASC 260”), basic earnings per share is computed by dividing earnings available to common stockholders by the weighted average number of shares outstanding during the period. Other potentially dilutive common shares, and the related impact to earnings, are considered when calculating earnings per share on a diluted basis. As of December 31, 2025, 2024 and 2023, there were no dilutive shares. The following table sets forth the computation of basic and diluted earnings per share of common stock for the years ended December 31, 2025, 2024 and 2023. For the years ended December 31, 2025 2024 2023 Net increase (decrease) in net assets resulting from operations $ 93,706 $ 131,940 $ 77,075 Weighted average shares of common stock outstanding - basic and diluted 70,255,235 63,762,377 39,250,232 Earnings (loss) per share of common stock - basic and diluted $ 1.33 $ 2.07 $ 1.96 Note 10. Income Taxes The Company has elected to be treated as a RIC under the Code beginning with the taxable year end December 31, 2021. As a RIC, the Company is not subject to a federal excise tax based on distributive requirements of its taxable income on a calendar year basis. Depending on the level of taxable income earned in a tax year, the Company may choose to carry forward taxable income in excess of current year distributions into the next tax year and pay a 4 % excise tax on such income, to the extent required. The Company makes certain adjustments to the classification of net assets as a result of permanent book-to-tax differences, which include differences in the book and tax basis of certain assets and liabilities, and nondeductible federal taxes or losses among other items. To the extent these differences are permanent, they are charged or credited to additional paid in capital, or total distributable earnings (losses), as appropriate. The permanent differences for tax purposes from distributable earnings to additional paid in capital were reclassified for tax purposes for the tax years ended December 31, 2025, 2024 and 2023. These reclassifications have no impact on net assets. For the years ended December 31, 2025 2024 2023 Increase (decrease) in distributable earnings $ 431 $ 819 $ 101 Increase (decrease) in additional paid-in capital $ ( 431 ) $ ( 819 ) $ ( 101 ) Taxable income generally differs from the net increase in net assets resulting from operations for financial reporting purposes due to (1) unrealized appreciation (depreciation) on investments, as gains and losses are generally not included in taxable income until these are realized; (2) income or loss recognition on exited investments; (3) non-deductible U.S. federal excise taxes; and (4) other non-deductible expense. The following reconciles net increase in net assets resulting from operations to taxable income for the years ended December 31, 2025, 2024 and 2023: For the years ended December 31, 2025 2024 2023 Net increase (decrease) in net assets resulting from operations $ 93,706 $ 131,940 $ 77,075 Net change in unrealized losses (gains) from investments, net of deferred income tax expense, if any 23,827 ( 2,098 ) ( 2,944 ) Net realized gains from investments (1) - ( 570 ) - Non-deductible expenses, including excise taxes and offering costs disallowed 431 819 101 Capital loss carryforward 79 - 10,686 Other book tax differences ( 65 ) ( 66 ) ( 65 ) Taxable income before deductions for distributions $ 117,978 $ 130,025 $ 84,853 (1) The realized gains of $ 570 are offset by capital losses generated for the year ended December 31, 2023 of $ 10,686 . F- 56 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) For income tax purposes, distributions made to stockholders are reported as ordinary income, capital gains, non-taxable return of capital, or a combination thereof. For the years ended December 31, 2025, 2024 and 2023, the Company incurred $ 431 , $ 817 and $ 101 , respectively, of U.S. federal excise tax. The final determination of tax character will not be made until the Company files its tax return for each tax year and the tax characteristics of all distributions will be reported to stockholders on Form 1099 after the end of each calendar year. The tax character of distributions paid to stockholders during the tax years ended December 31, 2025, 2024 and 2023 were as follows. For the years ended December 31, 2025 2024 2023 Ordinary income $ 126,150 $ 111,908 $ 81,617 Capital gains - - - Return of capital - - - Total $ 126,150 $ 111,908 $ 81,617 For the years ended December 31, 2025, 2024 and 2023, the components of accumulated earnings on a tax basis were as follows. For the years ended December 31, 2025 2024 2023 Undistributed net investment income (loss) $ 14,173 $ 22,345 $ 4,227 Undistributed capital gains - - - Capital loss carryforward ( 13,436 ) ( 13,357 ) ( 10,686 ) Other accumulated gain (loss) - - - Other temporary book / tax differences ( 662 ) ( 727 ) ( 792 ) Net unrealized appreciation (depreciation), net of deferred income tax expense 1,787 25,614 20,275 Total $ 1,862 $ 33,875 $ 13,024 Capital losses can be carried forward indefinitely to offset future capital gains. As of December 31, 2025, the Company had a capital loss carryforward of $ 401 , which was characterized as short-term, and $ 13,035 , which was characterized as long-term. As of December 31, 2024, the Company had a capital loss carryforward of $ 401 , which was characterized as short-term, and $ 12,956 , which was characterized as long-term. As of December 31, 2023, the Company had a capital loss carryforward of $ 263 , which was characterized as short-term, and $ 10,423 , which was characterized as long-term. As of December 31, 2025, 2024 and 2023, the Company’s aggregate unrealized appreciation and depreciation on investments based on cost for U.S. federal income tax purposes was as follows: For the years ended December 31, 2025 2024 2023 Tax cost $ 2,219,668 $ 2,017,154 $ 1,356,025 Gross unrealized appreciation 40,132 36,977 25,718 Gross unrealized depreciation ( 35,970 ) ( 10,646 ) ( 5,443 ) Net unrealized appreciation/(depreciation) on investments $ 4,162 $ 26,331 $ 20,275 KABDC Corp, LLC, a wholly owned subsidiary, has elected to be treated as a corporation for U.S. tax purposes. As such, KABDC Corp, LLC is subject to U.S. Federal, state and local taxes. For year ended December 31, 2025, KABDC Corp, LLC had a deferred income tax expense of $ 1,658 and its net deferred tax liability was $ 2,375 . For the year ended December 31, 2024, KABDC Corp, LLC had a deferred tax expense and net deferred tax liability of $ 717 . The net deferred tax liability of $ 2,375 and $ 717 is included in accrued expense and other liabilities on the Company’s Consolidated Statement of Assets and Liabilities as of December 31, 2025 and 2024, respectively. For the year ended December 31, 2023, KABDC Corp, LLC did not have a material provision for income taxes. F- 57 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) FASB ASC Topic 740, Accounting for Uncertainty in Income Taxes (“ASC 740”) provides guidance for how uncertain tax positions should be recognized, measured, presented, and disclosed in the consolidated financial statements. ASC 740 requires the evaluation of tax positions taken or expected to be taken in the course of preparing the Company’s tax returns to determine whether the tax positions are “more-likely-than-not” of being sustained by the applicable tax authority. The Company recognizes the tax benefits of uncertain tax positions only where the position is “more likely than not” to be sustained assuming examination by tax authorities. As of December 31, 2025, 2024 and 2023, management has analyzed the Company’s tax positions, and has concluded that no liability for unrecognized tax benefits should be recorded related to uncertain tax positions taken in the Company’s current year tax return. The Company is not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will change materially in the next 12 months. Management’s determinations regarding ASC 740 may be subject to review and adjustment at a later date based upon factors including, but not limited to, an ongoing analysis of tax laws, regulations and interpretations thereof. Note 11. Financial Highlights The following per share of common stock data has been derived from information provided in the audited financial statements. The following is a schedule of financial highlights for the years ended December 31, 2025, 2024, 2023, 2022 and 2021. For the years ended December 31, (amounts in thousands, except share and per share amounts) 2025 2024 2023 2022 2021 Per Common Share Operating Performance (1) Net Asset Value, Beginning of Period (2) $ 16.70 $ 16.42 $ 16.50 16.22 $ 14.86 Results of Operations: Net Investment Income 1.67 2.03 2.16 1.48 0.94 Net Realized and Unrealized Gain (Loss) on Investments (3) ( 0.34 ) 0.06 ( 0.18 ) 0.14 1.28 Net Increase (Decrease) in Net Assets Resulting from Operations 1.33 2.09 1.98 1.62 2.22 Dividends to Common Stockholders Dividends ( 1.80 ) ( 1.70 ) ( 2.06 ) ( 1.34 ) ( 0.86 ) Net Decrease in Net Assets Resulting from Dividends ( 1.80 ) ( 1.70 ) ( 2.06 ) ( 1.34 ) ( 0.86 ) Capital Share Transactions Issuance of Common Stock, net of Underwriting and Offering Costs - ( 0.11 ) - - - Repurchase of Common Stock 0.09 - - - - Net Increase (Decrease) Resulting from Capital Share Transactions 0.09 ( 0.11 ) - - - Net Asset Value, End of Period $ 16.32 $ 16.70 $ 16.42 $ 16.50 $ 16.22 Per Share Market Value, End of Period $ 14.32 $ 16.54 $ N/A N/A N/A Shares Outstanding, End of Period 67,998,184 71,059,689 41,603,666 35,879,291 19,227,902 Ratio/Supplemental Data Net assets, end of period $ 1,109,931 $ 1,186,342 $ 683,056 592,041 $ 311,969 Weighted-average shares outstanding 70,255,235 63,762,377 39,250,232 27,184,302 10,718,083 Total Return based on net asset value (4) 9.8 % 12.6 % 12.5 % 10.3 % 14.2 % Total Return based on market value (5) ( 2.7 )% 7.5 % N/A N/A N/A Portfolio turnover 26.4 % 20.7 % 15.5 % 17.6 % 31.3 % Ratio of operating expenses to average net assets before waivers (6) 10.4 % 10.1 % 11.9 % 7.9 % 5.8 % Ratio of operating expenses to average net assets with waiver (6) 10.2 % 8.3 % 11.9 % 7.9 % 5.8 % Ratio of net investment income (loss) to average net assets (6) 10.2 % 12.8 % 13.3 % 9.1 % 6.8 % (1) The per common share data was derived by using weighted average shares outstanding. F- 58 Kayne Anderson BDC, Inc. Notes to Consolidated Financial Statements (amounts in 000’s, except share and per share amounts) (2) On February 5, 2021, the initial offering price of $ 15.00 per share less $ 0.14 per share of organizational costs. (3) Realized and unrealized gains and losses per share in this caption are balancing amounts necessary to reconcile the change in net asset value per share for the period and may not reconcile with the aggregate gains and losses in the Consolidated Statement of Operations due to share transactions during the period. For the years ended December 31, 2025, 2024, 2023, 2022 and 2021, such share transactions include the effect of share issuances of $ 0.00 , $ 0.00 , $ 0.00 , $ 0.04 and $ 0.19 per share, respectively. During the period, shares were issued at prices that reflect the aggregate amount of the Company’s initial organizational and offering expenses. As a result, investors subscribing after the initial capital call are allocated organizational expenses consistently with all stockholders. (4) Total return is calculated as the change in net asset value (“NAV”) per share during the period, plus distributions per share (if any), divided by the beginning NAV per share. The calculation also assumes reinvestment of dividends at actual prices pursuant to the Company’s dividend reinvestment plan. Total return is not annualized. (5) Total return based on market value is calculated as the change in market value per share during the respective periods, plus distributions per share, if any, divided by the beginning market value per share. The calculation also assumes reinvestment of dividends at actual prices pursuant to the Company’s dividend reinvestment plan. The beginning market value per share is based on the initial public offering price of $ 16.63 per share and not annualized. (6) The ratios reflect an annualized amount, except in the case of non-recurring expenses (e.g. initial organizational expense of $ 175 for the period February 5, 2021 (commencement of operations) through December 31, 2021). Note 12. Segment Reporting The Company operates through a single operating and reporting segment with an investment objective to generate both current income and capital appreciation through debt and equity investments. The CODM is comprised of the Company’s co-chief executive officers and these CODMs assess the performance and make operating decisions of the Company on a consolidated basis primarily based on the Company’s net increase in stockholders’ equity resulting from operations (“net income”). In addition to numerous other factors and metrics, the CODMs utilize net income as a key metric in determining the amount of dividends to be distributed to the Company’s stockholders. As the Company’s operations comprise of a single reporting segment, the segment assets are reflected on the accompanying consolidated balance sheet as “total assets” and the significant segment expenses are listed on the accompanying consolidated statement of operations. Note 13. Subsequent Events The Company’s management has evaluated subsequent events through the date of issuance of the financial statements included herein. There have been no subsequent events that require recognition or disclosure in these financial statements except as described below. On January 16, 2026, the Company paid a regular dividend of $ 0.40 per share to each common stockholder of record as of December 31, 2025. The total dividend was $ 27,213 , and, of this amount, $ 219 was DRIP which was fulfilled through open market purchases of common stock. On February 12, 2026, the Board of Directors of the Company declared a regular dividend to common stockholders in the amount of $ 0.40 per share. The regular dividend of $ 0.40 per share will be paid on April 16, 2026 to stockholders of record as of the close of business on March 31, 2026, payable in cash or shares of common stock of the Company pursuant to the Company’s Dividend Reinvestment Plan, as amended. On February 20, 2026, the Company and its wholly owned special purposes financing subsidiary, KABDCF, amended the Revolving Funding Facility. Under the terms of the amendment, the Company extended the final maturity date to February 20, 2031 and reduced the interest rate on borrowings from daily SOFR plus 2.15 % to daily SOFR plus 1.95 % per annum. From January 1, 2026 to February 20, 2026, the Company’s agent repurchased 1,020,586 shares of common stock at an average price of $ 14.25 per share for a total amount of $ 14,543 . As of February 20, 2026, $ 45,398 remains for repurchase under the Company’s amended 10b5-1 Plan. F- 59 ITEM 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE There are not and have not been any disagreements between us and our accountant on any matter of accounting principles, practices or financial statement disclosure.