What changed in this filing

/stocks — the workspaceLOADING

Item 1. Financial Statements

2022-08-08 compared with 2022-05-09 · 696 added, 635 removed, 3304 unchanged (29% of the section changed)

This section is long enough that the comparison stopped early. What follows is partial, and the remainder is not necessarily unchanged.

3 unchanged sentences

(in thousands, except shares and per share data)

March 31, 2022 December 31, 2021

June 30, 2022 December 31, 2021

Investments at fair value

Non-controlled/non-affiliated investments (cost of $2,523,515 and $2,323,224, respectively)

$ 2,456,609 $ 2,283,779

Non-controlled/affiliated investments (cost of $83,313 and $80,801, respectively)

151,045 134,775

Controlled investments (cost of $690,628 and $722,467, respectively)

692,537 755,810

Total investments at fair value (cost of $3,297,456 and $3,126,492, respectively)

3,300,191 3,174,364

Securities purchased under collateralized agreements to resell (cost of $30,000 and $30,000, respectively)

19,401 21,422

Cash and cash equivalents 40,712 58,077

5 unchanged sentences

SBA-guaranteed debentures 300,000 300,000

DB Credit Facility 224,300 226,300

Convertible Notes 201,366 201,417

DB Credit Facility 189,300 226,300

NMFC Credit Facility 120,895 127,192

1 unchanged sentence

Deferred financing costs (net of accumulated amortization of $44,092 and $40,713, respectively)

(16,910) (19,684)

Net borrowings 1,999,514 1,907,188

22 unchanged sentences

(in thousands, except shares and per share data)

Three Months Ended

March 31, 2022 March 31, 2021

Three Months Ended Six Months Ended

June 30, 2022 June 30, 2021 June 30, 2022 June 30, 2021

Investment income

28 unchanged sentences

Net investment income before income taxes 31,617 29,212 61,620 58,207

Income tax expense 95 1

Income tax (benefit) expense (87) 22 8 23

Net investment income 31,704 29,190 61,612 58,184

11 unchanged sentences

Provision for taxes (155) — (157) (115)

Net realized and unrealized gains 7,139 22,861

Net realized and unrealized (losses) gains (16,564) 49,988 (9,425) 72,849

Net increase in net assets resulting from operations 15,140 79,178 52,187 131,033

Net increase in net assets resulting from operations related to non-controlling interest in New Mountain Net Lease Corporation (855) (365)

Net decrease (increase) in net assets resulting from operations related to non-controlling interest in New Mountain Net Lease Corporation 814 (3,366) (41) (3,731)

Net increase in net assets resulting from operations related to New Mountain Finance Corporation $ 15,954 $ 75,812 $ 52,146 $ 127,302

10 unchanged sentences

(in thousands, except shares and per share data)

Three Months Ended

March 31, 2022 March 31, 2021

Three Months Ended Six Months Ended

June 30, 2022 June 30, 2021 June 30, 2022 June 30, 2021

Increase (decrease) in net assets resulting from operations:

5 unchanged sentences

Net increase in net assets resulting from operations 15,140 79,178 52,187 131,033

Net increase in net assets resulting from operations related to non-controlling interest in New Mountain Net Lease Corporation ("NMNLC") (855) (365)

Net decrease (increase) in net assets resulting from operations related to non-controlling interest in New Mountain Net Lease Corporation ("NMNLC") 814 (3,366) (41) (3,731)

Net increase in net assets resulting from operations related to New Mountain Finance Corporation 15,954 75,812 52,146 127,302

18 unchanged sentences

(in thousands)

Three Months Ended

March 31, 2022 March 31, 2021

Six Months Ended

June 30, 2022 June 30, 2021

Cash flows from operating activities

22 unchanged sentences

Cash repayments on drawn revolvers

15,809 16,600

Deferred tax asset — 101

3 unchanged sentences

Receivable from affiliates

(4,268) (2,094)

Increase (decrease) in operating liabilities:

7 unchanged sentences

Contributions related to non-controlling interest in New Mountain Net Lease Corporation ("NMNLC") — 211

Net cash flows (used in) provided by operating activities (45,170) 44,289

Net cash flows used in by operating activities (79,100) (9,347)

Cash flows from financing activities

10 unchanged sentences

Repayment of DB Credit Facility (77,000) (83,000)

Repayment of NMNLC Credit Facility II (12,300) —

Contributions related to non-controlling interest in NMNLC 124 —

Distributions related to non-controlling interest in NMNLC (7,940) —

15 unchanged sentences

Consolidated Schedule of Investments

March 31, 2022

June 30, 2022

(in thousands, except shares)

5 unchanged sentences

GS Acquisitionco, Inc.

Software First lien (2)(15) 7.25% (L + 5.75%/S) 8/7/2019 5/22/2026 $ 67,793 $ 67,552 $ 67,793

First lien (5)(15) 7.25% (L + 5.75%/S) 8/7/2019 5/22/2026 21,912 21,839 21,912

Software First lien (2)(15) 7.26% (L + 5.75%/Q) 8/7/2019 5/22/2026 $ 67,621 $ 67,392 $ 67,621

First lien (5)(15) 7.26% (L + 5.75%/Q) 8/7/2019 5/22/2026 21,856 21,787 21,856

First lien (3)(15)(18) - Drawn 8.63% (L + 5.75%/S) 8/7/2019 5/22/2026 1,479 1,470 1,479

1 unchanged sentence

PhyNet Dermatology LLC

Healthcare Services First lien (2)(15) 7.00% (L + 5.50% + 0.50% PIK/Q)* 9/17/2018 8/16/2024 49,551 49,331 49,551

First lien (3)(15) 7.00% (L + 5.50% + 0.50% PIK/Q)* 9/17/2018 8/16/2024 18,919 18,812 18,919

Healthcare Services First lien (2)(15) 6.75% (L + 5.75%/Q) 9/17/2018 8/16/2024 49,489 49,290 48,795

First lien (3)(15) 6.75% (L + 5.75%/Q) 9/17/2018 8/16/2024 18,866 18,770 18,602

68,060 67,397 4.94 %

Knockout Intermediate Holdings I Inc.

Software First lien (2) 8.29% (SOFR + 5.75%/S) 6/23/2022 6/25/2029 63,093 62,621 62,620 4.59 %

Associations, Inc.

Consumer Services First lien (2)(15) 7.50% (L + 4.00% + 2.50% PIK/Q)* 7/2/2021 7/2/2027 35,113 34,967 34,937

First lien (8)(15) 7.50% (L + 4.00% + 2.50% PIK/Q)* 7/2/2021 7/2/2027 8,644 8,604 8,601

First lien (3)(15) 7.50% (L + 4.00% + 2.50% PIK/Q)* 7/2/2021 7/2/2027 8,644 8,602 8,600

Consumer Services First lien (2)(15) 7.50% (L + 4.00% + 2.50% PIK/S)* 7/2/2021 7/2/2027 35,335 35,194 35,159

First lien (8)(15) 8.44% (SOFR + 4.00% + 2.50% PIK/Q)* 7/2/2021 7/2/2027 8,699 8,660 8,656

First lien (3)(15) 8.72% (SOFR + 4.00% + 2.50% PIK/Q)* 7/2/2021 7/2/2027 8,699 8,659 8,655

First lien (8)(15) 7.50% (L + 4.00% + 2.50% PIK/Q)* 7/2/2021 7/2/2027 5,253 5,231 5,227

1 unchanged sentence

61,905 61,855 4.53 %

Software First lien (8)(15) 7.50% (L + 6.50%/S) 9/12/2018 9/12/2024 41,635 41,431 41,635

First lien (8)(15) 7.50% (L + 6.50%/S) 6/14/2019 9/12/2024 8,667 8,622 8,667

First lien (3)(15)(18) - Drawn 7.50% (L + 6.50%/S) 9/12/2018 9/12/2024 2,915 2,886 2,915

Software First lien (8)(15) 7.72% (L + 6.50%/Q) 9/12/2018 9/12/2024 41,636 41,451 41,636

First lien (8)(15) 7.72% (L + 6.50%/Q) 6/14/2019 9/12/2024 8,667 8,626 8,667

First lien (3)(15) 7.72% (L + 6.50%/Q) 9/12/2018 9/12/2024 2,915 2,886 2,915

52,963 53,218 3.90 %

12 unchanged sentences

Consolidated Schedule of Investments (Continued)

March 31, 2022

June 30, 2022

(in thousands, except shares)

2 unchanged sentences

Value Percent of Net

NM GRC Holdco, LLC

Business Services First lien (2)(15) 8.50% (L + 6.00% + 1.50% PIK/M)* 2/9/2018 2/9/2024 $ 38,609 $ 38,542 $ 38,609

First lien (2)(15) 8.50% (L + 6.00% + 1.50% PIK/M)* 2/9/2018 2/9/2024 10,731 10,711 10,731

GC Waves Holdings, Inc.

Financial Services First lien (5)(15) 7.17% (L + 5.50%/M) 8/13/2021 8/13/2026 $ 21,997 $ 21,893 $ 21,997

First lien (2)(15) 7.17% (L + 5.50%/M) 8/13/2021 8/13/2026 13,278 13,192 13,278

First lien (2)(15) 7.17% (L + 5.50%/M) 8/13/2021 8/13/2026 10,604 10,506 10,604

First lien (3)(15)(18) - Drawn 7.17% (L + 5.50%/M) 4/11/2022 8/13/2026 764 757 764

46,348 46,643 3.42 %

9 unchanged sentences

First lien (4)(15) 7.53% (L + 6.00%/S) 9/17/2019 9/15/2023 10,427 10,427 10,427

First lien (3)(15)(18) - Drawn 7.00% (L + 6.00%/S) 9/15/2017 3/15/2023 1,738 1,720 1,738

First lien (3)(15) 7.55% (L + 6.00%/S) 9/15/2017 3/15/2023 1,738 1,720 1,738

45,237 45,272 3.32 %

4 unchanged sentences

44,932 44,221 3.24 %

Integro Parent Inc.

Insurance Services First lien (2)(15) 6.75% (L + 5.75%/S) 10/9/2015 10/31/2022 33,986 33,958 31,349

First lien (3)(15)(18) - Drawn 2.80% (L + 2.50%/S) 6/8/2018 4/30/2022 6,743 6,709 6,219

Second lien (8)(15) 10.25% (L + 9.25%/S) 10/9/2015 10/30/2023 10,000 9,973 6,500

50,640 44,068 3.22 %

Software First lien (8)(15) 7.50% (L + 5.50% + 1.00% PIK/Q)* 5/9/2019 5/2/2025 29,170 29,014 29,170

First lien (8)(15) 7.50% (L + 5.50% + 1.00% PIK/Q)* 9/8/2021 5/2/2025 7,816 7,757 7,816

First lien (3)(15) 7.50% (L + 5.50% + 1.00% PIK/Q)* 5/9/2019 5/2/2025 3,414 3,391 3,414

First lien (3)(15)(18) - Drawn 7.50% (L + 5.50% + 1.00% PIK/Q)* 9/8/2021 5/2/2025 1,908 1,893 1,908

42,055 42,308 3.09 %

The accompanying notes are an integral part of these consolidated financial statements.

New Mountain Finance Corporation

Consolidated Schedule of Investments (Continued)

March 31, 2022

(in thousands, except shares)

Portfolio Company, Location and Industry (1) Type of Investment Interest Rate (19) Acquisition Date Maturity / Expiration Date Principal

or Shares (17) Cost Fair

Value Percent of Net

Deca Dental Holdings LLC

1 unchanged sentence

First lien (3)(15)(18) - Drawn 8.00% (L + 5.75%/Q) 8/26/2021 8/28/2028 4,005 3,968 3,965

41,770 41,741 3.05 %

GC Waves Holdings, Inc.

Financial Services First lien (5)(15) 6.25% (L + 5.50%/M) 8/13/2021 8/13/2026 22,053 21,943 22,053

First lien (2)(15) 6.25% (L + 5.50%/M) 8/13/2021 8/13/2026 13,311 13,220 13,311

First lien (2)(15)(18) - Drawn 6.28% (L + 5.50%/M) 8/13/2021 8/13/2026 6,301 6,242 6,301

First lien (3)(15)(18) - Drawn 8.00% (L + 5.75%/Q) 8/26/2021 8/26/2027 1,009 999 999

42,676 42,636 3.11 %

Recorded Future, Inc.

Software First lien (8)(15) 6.26% (L + 5.25%/Q) 8/26/2019 7/3/2025 24,655 24,504 24,532

First lien (8)(15) 6.26% (L + 5.25%/Q) 3/26/2021 7/3/2025 12,748 12,667 12,685

Software First lien (8)(15) 8.13% (L + 5.25%/S) 8/26/2019 7/3/2025 24,593 24,453 24,470

First lien (8)(15) 8.13% (L + 5.25%/S) 3/26/2021 7/3/2025 12,716 12,641 12,653

37,094 37,123 2.72 %

Stamps.com Inc.

Software First lien (8)(15) 6.50% (L + 5.75%/Q) 10/5/2021 10/5/2028 37,273 36,922 36,900 2.70 %

OEC Holdco, LLC (22)

OEConnection LLC

Business Services Second lien (2)(15) 7.50% (L + 7.00%/M) 12/17/2021 9/25/2027 23,406 23,181 23,171

Second lien (2)(15) 7.50% (L + 7.00%/M) 9/25/2019 9/25/2027 12,044 11,953 11,924

35,134 35,095 2.57 %

Software First lien (8)(15) 6.87% (L + 5.75%/M) 10/5/2021 10/5/2028 37,180 36,840 36,808 2.70 %

MRI Software LLC

4 unchanged sentences

35,526 35,634 2.61 %

IG Investments Holdings, LLC

Business Services First lien (2)(15) 7.01% (L + 6.00%/Q) 9/22/2021 9/22/2028 29,355 29,079 29,061

First lien (2)(15) 7.01% (L + 6.00%/Q) 2/25/2022 9/22/2028 4,289 4,268 4,246

First lien (3)(15)(18) - Drawn 8.50% (P + 5.00%/Q) 9/22/2021 9/22/2027 460 455 455

33,802 33,762 2.47 %

The accompanying notes are an integral part of these consolidated financial statements.

1 unchanged sentence

Consolidated Schedule of Investments (Continued)

March 31, 2022

June 30, 2022

(in thousands, except shares)

4 unchanged sentences

Diligent Corporation

Software First lien (2)(15) 6.76% (L + 5.75%/Q) 3/30/2021 8/4/2025 $ 17,717 $ 17,647 $ 17,717

First lien (2)(15) 6.76% (L + 5.75%/Q) 3/4/2021 8/4/2025 9,880 9,841 9,880

Software First lien (2)(15) 8.63% (L + 5.75%/S) 3/30/2021 8/4/2025 $ 17,673 $ 17,607 $ 17,673

First lien (2)(15) 8.63% (L + 5.75%/S) 3/4/2021 8/4/2025 9,855 9,819 9,855

First lien (3)(15) 9.13% (L + 6.25%/S) 12/19/2018 8/4/2025 5,857 5,833 5,857

First lien (3)(15)(18) - Drawn 9.13% (L + 6.25%/S) 3/30/2021 8/4/2025 1,812 1,803 1,812

35,062 35,197 2.58 %

OEC Holdco, LLC (22)

OEConnection LLC

Business Services Second lien (2)(15) 8.60% (L + 7.00%/M) 12/17/2021 9/25/2027 23,406 23,189 23,171

Second lien (2)(15) 8.67% (L + 7.00%/M) 9/25/2019 9/25/2027 12,044 11,957 11,924

35,146 35,095 2.57 %

IG Investments Holdings, LLC

Business Services First lien (2)(15) 8.25% (L + 6.00%/Q) 9/22/2021 9/22/2028 29,281 29,014 28,988

First lien (2)(15) 8.25% (L + 6.00%/Q) 2/25/2022 9/22/2028 4,278 4,258 4,236

First lien (3)(15)(18) - Drawn 9.75% (P + 5.00%/Q) 9/22/2021 9/22/2027 632 626 626

33,898 33,850 2.48 %

Anaplan, Inc.

Software First lien (2) 8.01% (SOFR + 6.50%/M) 6/21/2022 6/21/2029 33,618 33,283 33,282 2.44 %

EAB Global, Inc.

Education Second lien (2)(15) 7.00% (L + 6.50%/S) 8/16/2021 8/16/2029 33,452 32,981 32,951 2.41 %

Education Second lien (2)(15) 7.54% (L + 6.50%/Q) 8/16/2021 8/16/2029 33,452 32,993 32,951 2.41 %

KAMC Holdings, Inc

2 unchanged sentences

37,298 32,558 2.38 %

Ansira Holdings, Inc.

Business Services First lien (8)(15) 7.50% (L + 6.50% PIK/Q)* 12/19/2016 12/20/2024 32,553 32,511 24,599

First lien (3)(15) 7.50% (L + 6.50% PIK/Q)* 12/19/2016 12/20/2024 8,182 8,173 6,182

40,684 30,781 2.25 %

Foreside Financial Group

Business Services First lien (2)(15) 7.12% (L + 5.50%/M) 5/26/2022 9/30/2027 32,128 31,812 31,807 2.33 %

DCA Investment Holding, LLC

Healthcare Services First lien (2)(15) 6.75% (SOFR + 6.00%/S) 3/12/2021 4/3/2028 19,823 19,696 19,823

First lien (2)(15) 6.75% (SOFR + 6.00%/S) 2/25/2022 4/3/2028 7,099 7,064 7,099

First lien (3)(15) 6.75% (SOFR + 6.00%/S) 3/12/2021 4/3/2028 3,298 3,273 3,298

Healthcare Services First lien (2)(15) 6.75% (SOFR + 6.00%/Q) 3/12/2021 4/3/2028 19,769 19,646 19,769

First lien (2)(15) 7.34% (SOFR + 6.00%/Q) 2/25/2022 4/3/2028 7,081 7,047 7,081

First lien (3)(15) 7.34% (SOFR + 6.00%/Q) 3/12/2021 4/3/2028 3,289 3,267 3,289

First lien (3)(15)(18) - Drawn 6.75% (SOFR + 6.00%/Q) 3/12/2021 4/3/2028 306 305 306

30,265 30,445 2.23 %

The accompanying notes are an integral part of these consolidated financial statements.

New Mountain Finance Corporation

Consolidated Schedule of Investments (Continued)

June 30, 2022

(in thousands, except shares)

Portfolio Company, Location and Industry (1) Type of Investment Interest Rate (19) Acquisition Date Maturity / Expiration Date Principal

or Shares (17) Cost Fair

Value Percent of Net

Granicus, Inc.

5 unchanged sentences

TigerConnect, Inc.

Healthcare Services First lien (2)(15) 7.75% (SOFR + 6.75%/Q) 2/16/2022 2/16/2028 29,868 29,574 29,570 2.16 %

Healthcare Services First lien (2)(15) 7.75% (SOFR + 6.75%/S) 2/16/2022 2/16/2028 29,868 29,585 29,570 2.17 %

OA Topco, L.P.

OA Buyer, Inc.

Healthcare Information Technology First lien (2)(15) 7.67% (L + 6.00%/M) 12/20/2021 12/20/2028 28,130 27,866 27,756

First lien (2)(15) 7.67% (L + 6.00%/M) 5/6/2022 12/20/2028 1,776 1,759 1,752

29,625 29,508 2.16 %

Foundational Education Group, Inc.

Education Second lien (5) 7.00% (L + 6.50%/M) 8/19/2021 8/31/2029 22,500 22,393 22,373

Education Second lien (5)(15) 8.82% (SOFR + 6.50%/Q) 8/19/2021 8/31/2029 22,500 22,396 21,312

Second lien (2)(15) 8.82% (SOFR + 6.50%/Q) 8/19/2021 8/31/2029 7,009 6,986 6,639

29,382 27,951 2.05 %

Ansira Holdings, Inc.

Business Services First lien (8)(15) 8.17% (L + 6.50% PIK/M)* 12/19/2016 12/20/2024 33,098 33,059 21,977

First lien (3)(15) 8.17% (L + 6.50% PIK/M)* 12/19/2016 12/20/2024 8,352 8,344 5,545

41,403 27,522 2.02 %

Software Second lien (4)(15) 10.51% (L + 8.00%/S) 12/14/2020 12/15/2028 22,500 22,355 21,897

Second lien (2)(15) 10.51% (L + 8.00%/S) 2/16/2022 12/15/2028 5,697 5,711 5,544

28,066 27,441 2.01 %

TMK Hawk Parent, Corp.

Distribution & Logistics First lien (2)(15) 5.17% (L + 3.50%/M) 6/24/2019 8/28/2024 16,479 15,294 13,811

First lien (8)(15) 5.17% (L + 3.50%/M) 10/23/2019 8/28/2024 15,894 14,448 13,320

29,742 27,131 1.99 %

VT Topco, Inc.

Business Services Second lien (2)(15) 8.42% (L + 6.75%/M) 7/30/2021 7/31/2026 16,183 16,132 16,183

Second lien (4)(15) 8.67% (L + 7.00%/M) 8/14/2018 7/31/2026 10,000 9,985 10,000

26,117 26,183 1.92 %

Fortis Solutions Group, LLC

Packaging First lien (8)(15) 7.65% (L + 5.50%/Q) 10/15/2021 10/13/2028 10,247 10,153 10,144

First lien (2)(15) 7.65% (L + 5.50%/Q) 10/15/2021 10/13/2028 10,247 10,153 10,144

First lien (3)(15) 7.65% (L + 5.50%/Q) 10/15/2021 10/13/2028 5,612 5,557 5,556

First lien (3)(15)(18) - Drawn 7.73% (L + 5.50%/Q) 10/15/2021 10/15/2027 191 189 189

26,052 26,033 1.91 %

The accompanying notes are an integral part of these consolidated financial statements.

1 unchanged sentence

Consolidated Schedule of Investments (Continued)

March 31, 2022

June 30, 2022

(in thousands, except shares)

2 unchanged sentences

Value Percent of Net

Software Second lien (4)(15) 8.75% (L + 8.00%/S) 12/14/2020 12/15/2028 $ 22,500 $ 22,351 $ 22,500

Second lien (2)(15) 8.75% (L + 8.00%/S) 2/16/2022 12/15/2028 5,697 5,711 5,697

DOCS, MSO, LLC

Healthcare Services First lien (8) 6.90% (SOFR + 5.75%/M) 6/1/2022 6/1/2028 $ 18,807 $ 18,807 $ 18,807

First lien (4) 6.90% (SOFR + 5.75%/M) 6/1/2022 6/1/2028 7,043 7,043 7,043

25,850 25,850 1.89 %

OA Topco, L.P.

OA Buyer, Inc.

Healthcare Information Technology First lien (2)(15) 6.75% (L + 6.00%/M) 12/20/2021 12/20/2028 28,201 27,927 27,918 2.04 %

TMK Hawk Parent, Corp.

Distribution & Logistics First lien (2) 4.50% (L + 3.50%/M) 6/24/2019 8/28/2024 16,521 15,206 14,125

First lien (8) 4.50% (L + 3.50%/M) 10/23/2019 8/28/2024 15,934 14,332 13,624

HS Purchaser, LLC / Help/Systems Holdings, Inc.

Software Second lien (5) 7.56% (SOFR + 6.75%/Q) 11/14/2019 11/19/2027 22,500 22,410 21,600

Second lien (2) 7.56% (SOFR + 6.75%/Q) 11/14/2019 11/19/2027 4,208 4,177 4,040

26,587 25,640 1.88 %

1 unchanged sentence

Healthcare Services Second lien (2)(15) 8.92% (L + 7.25%/M) 1/22/2021 1/5/2029 26,762 26,647 25,590 1.87 %

HS Purchaser, LLC / Help/Systems Holdings, Inc.

Software Second lien (5) 7.50% (L + 6.75%/M) 11/14/2019 11/19/2027 22,500 22,407 22,317

Second lien (2) 7.50% (L + 6.75%/M) 11/14/2019 11/19/2027 4,208 4,176 4,174

26,583 26,491 1.94 %

VT Topco, Inc.

Business Services Second lien (2)(15) 7.76% (L + 6.75%/Q) 7/30/2021 7/31/2026 16,183 16,129 16,183

Second lien (4)(15) 7.76% (L + 6.75%/Q) 8/14/2018 7/31/2026 10,000 9,984 10,000

26,113 26,183 1.91 %

CRCI Longhorn Holdings, Inc.

2 unchanged sentences

25,708 25,204 1.85 %

Software Second lien (4)(15) 7.50% (L + 6.75%/S) 6/27/2019 3/2/2029 22,500 22,220 22,500

Second lien (3)(15) 7.50% (L + 6.75%/S) 4/29/2021 3/2/2029 3,000 2,986 3,000

Software Second lien (4)(15) 7.82% (L + 6.75%/M) 6/27/2019 3/2/2029 22,500 22,227 21,953

Second lien (3)(15) 7.82% (L + 6.75%/M) 4/29/2021 3/2/2029 3,000 2,987 2,927

25,214 24,880 1.82 %

NMC Crimson Holdings, Inc.

Healthcare Services First lien (8)(15) 6.75% (L + 6.00%/M) 3/1/2021 3/1/2028 19,259 19,006 19,259

First lien (2)(15) 6.75% (L + 6.00%/M) 3/2/2021 3/1/2028 4,913 4,848 4,913

Healthcare Services First lien (8)(15) 6.97% (L + 6.00%/Q) 3/1/2021 3/1/2028 19,259 19,015 19,103

First lien (2)(15) 6.97% (L + 6.00%/Q) 3/2/2021 3/1/2028 4,913 4,850 4,873

23,865 23,976 1.76 %

ACI Parent Inc.

ACI Group Holdings, Inc.

Healthcare Services First lien (2)(15) 7.75% (L + 5.50%/Q) 8/2/2021 8/2/2028 22,194 21,996 21,972

First lien (3)(15)(18) - Drawn 7.75% (L + 5.50%/Q) 8/2/2021 8/2/2028 967 958 958

22,954 22,930 1.68 %

Convey Health Solutions, Inc.**

2 unchanged sentences

22,303 22,465 1.65 %

AmeriVet Partners Management, Inc.

Consumer Services First lien (2)(15) 7.70% (SOFR + 5.50%/Q) 2/25/2022 2/25/2028 22,434 22,327 22,322 1.64 %

Spring Education Group, Inc (fka SSH Group Holdings, Inc.)

Education Second lien (2)(15) 10.50% (L + 8.25%/Q) 7/26/2018 7/30/2026 21,959 21,924 21,690 1.59 %

Cardinal Parent, Inc.

Software First lien (4) 6.13% (L + 4.50%/M) 10/30/2020 11/12/2027 12,035 11,963 11,463

Second lien (4)(15) 9.37% (L + 7.75%/M) 11/12/2020 11/13/2028 9,767 9,684 9,864

21,647 21,327 1.56 %

The accompanying notes are an integral part of these consolidated financial statements.

1 unchanged sentence

Consolidated Schedule of Investments (Continued)

March 31, 2022

June 30, 2022

(in thousands, except shares)

2 unchanged sentences

Value Percent of Net

AmeriVet Partners Management, Inc.

Consumer Services First lien (2)(15) 6.30% (SOFR + 5.50%/Q) 2/25/2022 2/25/2028 $ 22,490 $ 22,379 $ 22,378 1.64 %

ACI Parent Inc.

ACI Group Holdings, Inc.

Healthcare Services First lien (2)(15) 6.51% (L + 5.50%/Q) 8/2/2021 8/2/2028 22,250 22,045 22,028

First lien (3)(15)(18) - Drawn 6.51% (L + 5.50%/Q) 8/2/2021 8/2/2028 59 58 58

22,103 22,086 1.61 %

Cardinal Parent, Inc.

Software First lien (4) 5.25% (L + 4.50%/Q) 10/30/2020 11/12/2027 12,066 11,990 12,052

Second lien (4)(15) 8.50% (L + 7.75%/Q) 11/12/2020 11/13/2028 9,767 9,682 9,864

YLG Holdings, Inc.

Business Services First lien (5)(15) 6.75% (L + 5.00%/S) 11/1/2019 10/31/2025 $ 17,953 $ 17,899 $ 17,953

First lien (5)(15) 6.42% (L + 5.00%/S) 11/1/2019 10/31/2025 2,338 2,330 2,338

First lien (3)(15)(18) - Drawn 8.75% (P + 4.00%/Q) 11/1/2019 10/31/2025 119 118 119

20,347 20,410 1.50 %

Spring Education Group, Inc (fka SSH Group Holdings, Inc.)

Education Second lien (2) 9.26% (L + 8.25%/Q) 7/26/2018 7/30/2026 21,959 21,922 21,337 1.56 %

MED Parentco, LP

Healthcare Services Second lien (8) 8.71% (L + 8.25%/M) 8/2/2019 8/30/2027 20,857 20,739 20,788 1.52 %

Bullhorn, Inc.

6 unchanged sentences

20,287 20,382 1.49 %

YLG Holdings, Inc.

Business Services First lien (5)(15) 6.25% (L + 5.25%/S) 11/1/2019 10/31/2025 17,999 17,941 17,999

First lien (5)(15) 6.25% (L + 5.25%/S) 11/1/2019 10/31/2025 2,344 2,335 2,344

20,276 20,343 1.49 %

Fortis Solutions Group, LLC

Packaging First lien (8)(15) 6.51% (L + 5.50%/Q) 10/15/2021 10/13/2028 10,273 10,175 10,170

Notorious Topco, LLC

Consumer Products First lien (8)(15) 8.00% (L + 6.50%/S) 11/23/2021 11/23/2027 10,102 10,032 10,026

First lien (8)(15) 8.46% (L + 6.50%/Q) 5/10/2022 11/23/2027 9,975 9,902 9,900

First lien (3)(15)(18) - Drawn 8.00% (L + 6.50%/S) 11/23/2021 5/24/2027 381 379 379

20,313 20,305 1.49 %

MED Parentco, LP

Healthcare Services Second lien (8)(15) 9.92% (L + 8.25%/M) 8/2/2019 8/30/2027 20,857 20,744 19,802 1.45 %

Xactly Corporation

Software First lien (4)(15) 8.49% (L + 7.25%/Q) 7/31/2017 7/31/2023 19,047 19,018 19,047

First lien (3)(15)(18) - Drawn 8.80% (L + 7.25%/Q) 7/31/2017 7/31/2023 608 602 608

19,620 19,655 1.44 %

DG Investment Intermediate Holdings 2, Inc.

Business Services Second lien (3) 8.42% (L + 6.75%/M) 3/18/2021 3/30/2029 20,313 20,269 19,449 1.42 %

Infogain Corporation

Software First lien (2)(15) 6.99% (L + 5.75%/Q) 7/30/2021 7/28/2028 18,994 18,867 18,827

First lien (3)(15)(18) - Drawn 6.96% (L + 5.75%/Q) 7/30/2021 7/30/2026 287 285 285

19,152 19,112 1.40 %

Wealth Enhancement Group, LLC

Financial Services First lien (3)(15)(18) - Drawn 7.68% (SOFR + 6.00%/S) 8/13/2021 10/4/2027 15,883 15,842 15,883

First lien (3)(15) 7.00% (L + 6.00%/S) 1/10/2022 10/4/2027 1,260 1,248 1,260

First lien (3)(15) 7.52% (SOFR + 6.00%/S) 1/10/2022 10/4/2027 845 837 845

First lien (3)(15)(18) - Drawn 7.00% (L + 6.00%/Q) 8/13/2021 10/4/2027 676 674 676

18,601 18,664 1.37 %

The accompanying notes are an integral part of these consolidated financial statements.

1 unchanged sentence

Consolidated Schedule of Investments (Continued)

March 31, 2022

June 30, 2022

(in thousands, except shares)

2 unchanged sentences

Value Percent of Net

Infogain Corporation

Software First lien (2)(15) 6.75% (L + 5.75%/S) 7/30/2021 7/28/2028 $ 19,042 $ 18,910 $ 18,899

First lien (3)(15)(18) - Drawn 6.75% (L + 5.75%/Q) 7/30/2021 7/30/2026 765 760 760

Trinity Air Consultants Holdings Corporation

Business Services First lien (2)(15) 7.08% (L + 5.25%/S) 6/30/2021 6/29/2027 $ 15,382 $ 15,249 $ 15,228

First lien (3)(15)(18) - Drawn 6.85% (L + 5.25%/S) 6/30/2021 6/29/2027 2,889 2,861 2,860

18,110 18,088 1.32 %

Xactly Corporation

Software First lien (4)(15) 8.25% (L + 7.25%/S) 7/31/2017 7/31/2023 19,047 19,011 19,047 1.39 %

Bluefin Holding, LLC

Software Second lien (8)(15) 8.26% (L + 7.75%/Q) 9/6/2019 9/3/2027 18,000 18,000 18,000 1.32 %

AAC Lender Holdings, LLC (33)

4 unchanged sentences

29,632 18,028 1.32 %

Trinity Air Consultants Holdings Corporation

Business Services First lien (2)(15) 6.00% (L + 5.25%/S) 6/30/2021 6/29/2027 15,382 15,244 15,326

First lien (3)(15)(18) - Drawn 6.15% (L + 5.25%/S) 6/30/2021 6/29/2027 1,876 1,857 1,869

Bluefin Holding, LLC

Software First lien (3)(15)(18) - Drawn 6.36% (L + 4.25%/S) 9/6/2019 9/6/2024 424 418 410

Second lien (8)(15) 9.83% (L + 7.75%/S) 9/6/2019 9/3/2027 18,000 18,000 17,465

18,418 17,875 1.31 %

Coyote Buyer, LLC

Specialty Chemicals & Materials First lien (5)(15) 7.00% (L + 6.00%/S) 3/13/2020 2/6/2026 13,866 13,820 13,865

First lien (5)(15) 10.25% (L + 8.00%/Q) 10/15/2020 8/6/2026 2,495 2,477 2,495

First lien (3)(15)(18) - Drawn 7.54% (L + 6.00%/Q) 3/13/2020 2/6/2025 304 302 304

16,599 16,664 1.22 %

The Kleinfelder Group, Inc.

4 unchanged sentences

16,112 16,165 1.18 %

Coyote Buyer, LLC

Specialty Chemicals & Materials First lien (5)(15) 7.00% (L + 6.00%/S) 3/13/2020 2/6/2026 13,901 13,853 13,901

First lien (5)(15) 9.00% (L + 8.00%/S) 10/15/2020 8/6/2026 2,502 2,482 2,502

16,335 16,403 1.20 %

Pioneer Topco I, L.P.

6 unchanged sentences

Consolidated Schedule of Investments (Continued)

March 31, 2022

June 30, 2022

(in thousands, except shares)

2 unchanged sentences

Value Percent of Net

Hill International, Inc.

Business Services First lien (2)(15) 6.76% (L + 5.75%/Q) 6/21/2017 11/5/2023 $ 15,050 $ 15,031 $ 15,050 1.10 %

CFS Management, LLC

Healthcare Services First lien (2)(15) 7.25% (SOFR + 6.25%/Q) 8/6/2019 7/1/2024 11,468 11,440 11,468

First lien (3)(15) 7.25% (SOFR + 6.25%/Q) 8/6/2019 7/1/2024 3,416 3,406 3,416

14,846 14,884 1.09 %

Wealth Enhancement Group, LLC

Financial Services First lien (3)(15) 6.75% (L + 5.75%/S) 1/10/2022 10/4/2027 1,263 1,251 1,263

First lien (3)(15) 6.75% (L + 5.75%/M) 1/10/2022 10/4/2027 847 839 847

First lien (3)(15)(18) - Drawn 6.75% (L + 5.75%/M) 8/13/2021 10/4/2027 11,821 11,799 11,821

First lien (3)(15)(18) - Drawn 6.75% (L + 5.75%/M) 8/13/2021 10/4/2027 293 292 293

14,181 14,224 1.04 %

FS WhiteWater Holdings, LLC (38)

3 unchanged sentences

First lien (5)(15)(18) - Drawn 6.99% (L + 5.75%/Q) 12/20/2021 12/21/2027 932 948 922

14,186 14,181 1.04 %

Galway Borrower LLC

Insurance Services First lien (2)(15) 6.26% (L + 5.25%/Q) 9/30/2021 9/29/2028 13,652 13,523 13,515

First lien (3)(15)(18) - Drawn 6.80% (L + 5.75%/Q) 12/20/2021 12/21/2027 357 353 353

15,104 15,068 1.10 %

Hill International, Inc.

Business Services First lien (2)(15) 8.38% (SOFR + 6.85%/M) 6/21/2017 11/5/2023 15,010 14,995 15,010 1.10 %

CFS Management, LLC

Healthcare Services First lien (2)(15) 8.57% (SOFR + 6.25%/Q) 8/6/2019 7/1/2024 11,439 11,414 11,439

First lien (3)(15) 8.57% (SOFR + 6.25%/Q) 8/6/2019 7/1/2024 3,407 3,398 3,407

14,812 14,846 1.09 %

Daxko Acquisition Corporation

Software First lien (8)(15) 7.75% (L + 5.50%/Q) 10/15/2021 10/16/2028 13,210 13,089 13,045

First lien (3)(15) 7.17% (L + 5.50%/M) 10/15/2021 10/16/2028 1,113 1,102 1,099

14,191 14,144 1.04 %

Castle Management Borrower LLC

Business Services First lien (2)(15) 3.19% (L + 2.19%/Q) 5/31/2018 2/15/2025 14,590 14,566 13,554 0.99 %

Transcendia Holdings, Inc.

2 unchanged sentences

Healthcare Services First lien (8)(15) 10.95% (L + 8.25%/S) 9/5/2018 9/5/2024 13,444 13,415 13,444 0.98 %

Castle Management Borrower LLC

Business Services First lien (2)(15) 3.19% (L + 2.19%/Q) 5/31/2018 2/15/2025 14,590 14,563 13,433 0.98 %

The accompanying notes are an integral part of these consolidated financial statements.

New Mountain Finance Corporation

Consolidated Schedule of Investments (Continued)

March 31, 2022

(in thousands, except shares)

Portfolio Company, Location and Industry (1) Type of Investment Interest Rate (19) Acquisition Date Maturity / Expiration Date Principal

or Shares (17) Cost Fair

Value Percent of Net

Daxko Acquisition Corporation

Software First lien (8)(15) 6.25% (L + 5.50%/Q) 10/15/2021 10/16/2028 $ 13,244 $ 13,118 $ 13,111

First lien (3)(15)(18) - Drawn 6.25% (L + 5.50%/S) 10/15/2021 10/16/2028 295 292 292

13,410 13,403 0.98 %

FR Arsenal Holdings II Corp.

Business Services First lien (2)(15) 8.50% (L + 7.50%/S) 9/29/2016 9/8/2022 14,770 14,755 13,201 0.97 %

Business Services First lien (2)(15) 11.25% (L + 7.50% + 2.00% PIK/Q)* 9/29/2016 9/8/2022 14,662 14,656 13,105 0.96 %

IMO Investor Holdings, Inc.

Healthcare Information Technology First lien (2)(15) 7.65% (SOFR + 6.00%/S) 5/11/2022 5/11/2029 13,007 12,879 12,877

First lien (3)(15)(18) - Drawn 7.24% (SOFR + 6.00%/M) 5/11/2022 5/11/2028 155 153 153

13,032 13,030 0.95 %

USRP Holdings, Inc.

1 unchanged sentence

First lien (3)(15) 7.75% (L + 5.50%/Q) 7/22/2021 7/23/2027 1,480 1,466 1,465

First lien (3)(15)(18) - Drawn 6.51% (L + 5.50%/Q) 7/22/2021 7/23/2027 15 15 15

12,736 12,720 0.93 %

1 unchanged sentence

Software First lien (5)(15) 9.25% (L + 7.00%/Q) 4/16/2021 4/16/2027 12,347 12,270 12,347 0.90 %

Software First lien (8)(15) 8.25% (L + 7.25%/Q) 1/10/2019 1/10/2025 11,203 11,084 11,203

First lien (3)(15)(18) - Drawn 8.25% (L + 7.25%/Q) 1/10/2019 1/10/2025 827 810 827

Software First lien (8)(15) 7.25% (L + 6.00%/M) 1/10/2019 1/10/2025 11,203 11,094 11,203

First lien (3)(15)(18) - Drawn 7.25% (L + 6.00%/M) 1/10/2019 1/10/2025 827 810 827

11,904 12,030 0.88 %

The accompanying notes are an integral part of these consolidated financial statements.

New Mountain Finance Corporation

Consolidated Schedule of Investments (Continued)

June 30, 2022

(in thousands, except shares)

Portfolio Company, Location and Industry (1) Type of Investment Interest Rate (19) Acquisition Date Maturity / Expiration Date Principal

or Shares (17) Cost Fair

Value Percent of Net

CHA Holdings, Inc.

4 unchanged sentences

Healthcare Services First lien (2)(15) 6.75% (L + 5.75%/Q) 6/18/2021 6/18/2028 10,511 10,385 10,282 0.75 %

Business Products Second lien (8) 7.71% (L + 7.25%/M) 2/23/2018 3/8/2026 10,788 10,765 10,393 0.76 %

Notorious Topco, LLC

Consumer Products First lien (8)(15) 8.00% (L + 6.50%/S) 11/23/2021 11/23/2027 10,127 10,055 10,051

First lien (3)(15)(18) - Drawn 8.00% (L + 6.50%/S) 11/23/2021 5/24/2027 235 233 233

10,288 10,284 0.75 %

Quartz Holding Company

Software Second lien (3) 9.67% (L + 8.00%/M) 4/2/2019 4/2/2027 10,000 9,865 9,750 0.71 %

Geo Parent Corporation

Business Services First lien (2)(15) 5.71% (L + 5.25%/M) 12/13/2018 12/19/2025 9,785 9,756 9,785 0.72 %

PPVA Black Elk (Equity) LLC

Business Services Subordinated (3)(15) — 5/3/2013 — 14,500 14,500 9,377 0.69 %

The accompanying notes are an integral part of these consolidated financial statements.

New Mountain Finance Corporation

Consolidated Schedule of Investments (Continued)

March 31, 2022

(in thousands, except shares)

Portfolio Company, Location and Industry (1) Type of Investment Interest Rate (19) Acquisition Date Maturity / Expiration Date Principal

or Shares (17) Cost Fair

Value Percent of Net

AgKnowledge Holdings Company, Inc.

Business Services First lien (2)(15) 6.25% (L + 4.75%/S) 11/30/2018 7/21/2023 $ 9,142 $ 9,128 $ 9,142 0.67 %

CG Group Holdings, LLC

Specialty Chemicals & Materials First lien (2)(15) 6.26% (L + 5.25%/Q) 7/19/2021 7/19/2027 8,281 8,197 8,188

First lien (3)(15)(18) - Drawn 6.25% (L + 5.25%/M) 7/19/2021 7/19/2026 906 895 896

Specialty Chemicals & Materials First lien (2)(15) 9.50% (L + 5.25% + 2.00% PIK/Q)* 7/19/2021 7/19/2027 8,275 8,195 7,747

First lien (3)(15)(18) - Drawn 8.92% (L + 5.25% + 2.00% PIK/M)* 7/19/2021 7/19/2026 907 897 849

9,092 8,596 0.63 %

Business Products Second lien (8)(15) 8.92% (L + 7.25%/M) 2/23/2018 3/8/2026 10,788 10,766 8,179 0.60 %

AgKnowledge Holdings Company, Inc.

Business Services First lien (2)(15) 6.25% (L + 4.75%/S) 11/30/2018 7/21/2023 8,089 8,079 8,089 0.59 %

Energize Holdco LLC

Business Services Second lien (2)(15) 7.25% (L + 6.75%/M) 11/19/2021 12/7/2029 7,950 7,911 7,910 0.58 %

Business Services Second lien (2)(15) 9.00% (L + 6.75%/Q) 11/19/2021 12/7/2029 7,950 7,912 7,865 0.58 %

KPSKY Acquisition Inc.

3 unchanged sentences

Community Brands ParentCo, LLC

Software First lien (2)(15) 6.50% (SOFR + 5.75%/Q) 2/24/2022 2/24/2028 7,217 7,146 7,145 0.52 %

Restaurant Technologies, Inc.

Business Services Second lien (4) 9.00% (P + 5.50%/M) 9/24/2018 10/1/2026 6,722 6,711 6,722 0.49 %

Software First lien (2)(15) 7.38% (SOFR + 5.75%/M) 2/24/2022 2/24/2028 7,199 7,130 7,114 0.52 %

Healthcare Services Second lien (3)(15) 11.69% (L + 10.00% PIK/Q)* 10/3/2016 3/28/2024 6,960 6,937 6,417 0.47 %

6 unchanged sentences

5,830 5,826 0.43 %

Sun Acquirer Corp.

Consumer Services First lien (2)(15) 6.76% (L + 5.75%/Q) 9/8/2021 9/8/2028 4,015 3,982 3,974

First lien (3)(15)(18) - Drawn 6.76% (L + 5.75%/Q) 9/8/2021 9/8/2028 1,581 1,567 1,566

5,549 5,540 0.41 %

Pye-Barker Fire & Safety, LLC

Business Services First lien (3)(15)(18) - Drawn 6.46% (L + 5.50%/Q) 11/26/2021 11/26/2027 3,722 3,686 3,722 0.27 %

The accompanying notes are an integral part of these consolidated financial statements.

1 unchanged sentence

Consolidated Schedule of Investments (Continued)

March 31, 2022

June 30, 2022

(in thousands, except shares)

2 unchanged sentences

Value Percent of Net

Sun Acquirer Corp.

Consumer Services First lien (2)(15) 7.42% (L + 5.75%/M) 9/8/2021 9/8/2028 $ 4,005 $ 3,973 $ 3,965

First lien (3)(15)(18) - Drawn 7.42% (L + 5.75%/M) 9/8/2021 9/8/2028 1,665 1,649 1,648

First lien (3)(15)(18) - Drawn 9.50% (P + 4.75%/Q) 9/8/2021 9/8/2027 56 58 55

5,680 5,668 0.42 %

Pye-Barker Fire & Safety, LLC

Business Services First lien (3)(15)(18) - Drawn 7.75% (L + 5.50%/Q) 11/26/2021 11/26/2027 3,713 3,678 3,713 0.27 %

Education Management Corporation (20)

11 unchanged sentences

Total Funded Debt Investments - United States $ 2,165,716 $ 2,107,717 154.39 %

Funded Debt Investments - United Kingdom

Integro Parent Inc.**

Insurance Services First lien (2)(15) 7.85% (SOFR + 2.50% + 3.75% PIK/Q)* 10/9/2015 5/8/2023 $ 34,909 $ 34,868 $ 34,908

First lien (3)(15) 7.85% (SOFR + 2.50% + 3.75% PIK/Q)* 6/8/2018 5/8/2023 6,892 6,858 6,892

First lien (2)(15) 13.63% (SOFR + 12.00%/S) 5/10/2022 5/6/2023 1,747 1,747 1,747

First lien (3)(15) 13.63% (SOFR + 12.00%/S) 5/10/2022 5/6/2023 347 347 347

First lien (2)(15)(18) - Drawn 13.63% (SOFR + 12.00%/S) 5/10/2022 5/6/2023 159 159 159

First lien (3)(15)(18) - Drawn 13.63% (SOFR + 12.00%/S) 5/10/2022 5/6/2023 32 32 32

Second lien (8)(15) 11.43% (SOFR + 10.25% PIK/Q)(42)* 10/9/2015 10/30/2023 10,451 10,392 6,769

54,403 50,854 3.73 %

The accompanying notes are an integral part of these consolidated financial statements.

New Mountain Finance Corporation

Consolidated Schedule of Investments (Continued)

June 30, 2022

(in thousands, except shares)

Portfolio Company, Location and Industry (1) Type of Investment Interest Rate (19) Acquisition Date Maturity / Expiration Date Principal

or Shares (17) Cost Fair

Value Percent of Net

Aston FinCo S.a r.l.

/ Aston US Finco, LLC**

Software Second lien (8)(15) 9.92% (L + 8.25%/M) 10/8/2019 10/8/2027 $ 34,459 $ 34,257 $ 34,460 2.52 %

Total Funded Debt Investments - United Kingdom $ 88,660 $ 85,314 6.25 %

Funded Debt Investments - Netherlands

Tahoe Finco, LLC**

Information Technology First lien (2)(15) 6.75% (L + 6.00%/Q) 10/1/2021 9/29/2028 $ 35,000 $ 34,670 $ 34,650

First lien (8)(15) 6.75% (L + 6.00%/Q) 10/1/2021 9/29/2028 24,189 23,961 23,947

Information Technology First lien (2)(15) 7.12% (L + 6.00%/M) 10/1/2021 9/29/2028 $ 35,000 $ 34,680 $ 34,650

First lien (8)(15) 7.12% (L + 6.00%/M) 10/1/2021 9/29/2028 24,189 23,968 23,947

58,648 58,597 4.29 %

8 unchanged sentences

Total Funded Debt Investments - Jersey $ 39,838 $ 36,994 2.71 %

Funded Debt Investments - United Kingdom

Aston FinCo S.a r.l.

/ Aston US Finco, LLC**

Software Second lien (8)(15) 8.71% (L + 8.25%/M) 10/8/2019 10/8/2027 $ 34,459 $ 34,249 $ 34,459 2.52 %

Total Funded Debt Investments - United Kingdom $ 34,249 $ 34,459 2.52 %

The accompanying notes are an integral part of these consolidated financial statements.

New Mountain Finance Corporation

Consolidated Schedule of Investments (Continued)

March 31, 2022

(in thousands, except shares)

Portfolio Company, Location and Industry (1) Type of Investment Interest Rate (19) Acquisition Date Maturity / Expiration Date Principal

or Shares (17) Cost Fair

Value Percent of Net

Funded Debt Investments - United Arab Emirates

GEMS Menasa (Cayman) Limited**

Education First lien (8) 6.00% (L + 5.00%/S) 7/30/2019 7/31/2026 $ 10,507 $ 10,472 $ 10,494 0.77 %

Education First lien (8) 6.57% (L + 5.00%/Q) 7/30/2019 7/31/2026 10,481 $ 10,447 $ 9,918 0.73 %

Total Funded Debt Investments - United Arab Emirates $ 10,447 $ 9,918 0.73 %

3 unchanged sentences

Distribution & Logistics Preferred shares (3)(15) — 9/13/2021 — 56,271 $ 60,360 $ 59,793 4.38 %

Knockout Intermediate Holdings I (41)

Software Preferred shares (3) — 6/23/2022 — 15,150 14,961 14,961 1.09 %

Symplr Software Intermediate Holdings, Inc.

4 unchanged sentences

Healthcare Services Preferred shares (3)(15) — 8/2/2021 — 12,500 13,769 13,757 1.01 %

The accompanying notes are an integral part of these consolidated financial statements.

New Mountain Finance Corporation

Consolidated Schedule of Investments (Continued)

June 30, 2022

(in thousands, except shares)

Portfolio Company, Location and Industry (1) Type of Investment Interest Rate (19) Acquisition Date Maturity / Expiration Date Principal

or Shares (17) Cost Fair

Value Percent of Net

Project Essential Super Parent, Inc.

Software Preferred shares (3)(15) — 4/20/2021 — 10,000 $ 11,169 $ 11,152 0.82 %

Diamond Parent Holdings Corp.

1 unchanged sentence

Software Preferred shares (3)(15) — 4/6/2021 — 10,000 10,937 10,936 0.80 %

Project Essential Super Parent, Inc.

Software Preferred shares (3)(15) — 4/20/2021 — 10,000 10,879 10,864 0.79 %

OEC Holdco, LLC (22)

Business Services Preferred shares (12)(15) — 12/17/2021 — 7,214 7,566 7,448 0.54 %

FS WhiteWater Holdings, LLC (38)

Consumer Services Ordinary shares (5)(15) — 12/20/2021 — 50,000 5,000 5,000 0.37 %

HB Wealth Management, LLC (37)

Financial Services Preferred shares (11)(15) — 9/30/2021 — 48,303 4,804 5,125 0.38 %

FS WhiteWater Holdings, LLC (38)

Consumer Services Ordinary shares (5)(15) — 12/20/2021 — 50,000 5,000 5,000 0.37 %

Appriss Health Holdings, Inc.

7 unchanged sentences

Education Preferred shares (9)(15) — 8/12/2013 — 372 83 158 0.01 %

The accompanying notes are an integral part of these consolidated financial statements.

New Mountain Finance Corporation

Consolidated Schedule of Investments (Continued)

March 31, 2022

(in thousands, except shares)

Portfolio Company, Location and Industry (1) Type of Investment Interest Rate (19) Acquisition Date Maturity / Expiration Date Principal

or Shares (17) Cost Fair

Value Percent of Net

Education Management Corporation (20)

12 unchanged sentences

Total Funded Investments $ 2,524,253 $ 2,458,270 180.07 %

Unfunded Debt Investments - United States

NMC Crimson Holdings, Inc.

Healthcare Services First lien (3)(15)(18) - Undrawn — 3/1/2021 3/1/2023 $ 10,664 $ — $ — — %

AAC Lender Holdings, LLC (33)

American Achievement Corporation (aka AAC Holding Corp.)

Education First lien (3)(15)(18) - Undrawn — 1/25/2021 9/30/2026 2,652 — — — %

DCA Investment Holding, LLC

Healthcare Services First lien (3)(15)(18) - Undrawn — 3/12/2021 3/10/2023 3,286 — — — %

Wealth Enhancement Group, LLC

Financial Services First lien (3)(15)(18) - Undrawn — 8/13/2021 10/4/2027 892 (2) —

First lien (3)(15)(18) - Undrawn — 8/13/2021 6/3/2022 7,240 (18) —

The accompanying notes are an integral part of these consolidated financial statements.

1 unchanged sentence

Consolidated Schedule of Investments (Continued)

March 31, 2022

June 30, 2022

(in thousands, except shares)

2 unchanged sentences

Value Percent of Net

Unfunded Debt Investments - United States

DOCS, MSO, LLC

Healthcare Services First lien (3)(18) - Undrawn — 6/1/2022 6/3/2024 6,561 $ — $ — — %

First lien (4)(18) - Undrawn — 6/1/2022 6/3/2024 2,457 — —

First lien (3)(18) - Undrawn — 6/1/2022 6/1/2028 2,405 — —

AAC Lender Holdings, LLC (33)

DCA Investment Holding, LLC

Healthcare Services First lien (3)(15)(18) - Undrawn — 3/12/2021 3/10/2023 2,980 — — — %

American Achievement Corporation (aka AAC Holding Corp.)

Education First lien (3)(15)(18) - Undrawn — 1/25/2021 9/30/2026 2,652 — — — %

AgKnowledge Holdings Company, Inc.

Business Services First lien (3)(15)(18) - Undrawn — 11/30/2018 7/21/2023 526 (3) — — %

GS Acquisitionco, Inc.

Software First lien (3)(15)(18) - Undrawn — 8/7/2019 5/22/2026 888 (5) — — %

Coyote Buyer, LLC

Specialty Chemicals & Materials First lien (3)(15)(18) - Undrawn — 3/13/2020 2/6/2025 709 (4) — — %

Appriss Health Holdings, Inc.

Appriss Health, LLC

Healthcare Information Technology First lien (3)(15)(18) - Undrawn — 5/6/2021 5/6/2027 417 (4) — — %

Kele Holdco, Inc.

3 unchanged sentences

First lien (3)(15)(18) - Undrawn — 11/26/2021 11/26/2024 905 (9) —

Bullhorn, Inc.

Software First lien (3)(15)(18) - Undrawn — 10/5/2021 11/8/2022 1,221 (3) —

First lien (3)(15)(18) - Undrawn — 9/24/2019 9/30/2026 852 (6) —

Xactly Corporation

Software First lien (3)(15)(18) - Undrawn — 7/31/2017 7/31/2023 992 (10) — — %

MRI Software LLC

Software First lien (2)(15)(18) - Undrawn — 3/24/2021 6/30/2022 1,879 — —

First lien (3)(15)(18) - Undrawn — 2/11/2022 8/16/2023 7,754 — —

First lien (3)(15)(18) - Undrawn — 1/31/2020 2/10/2026 2,002 (10) —

Diamond Parent Holdings Corp.

4 unchanged sentences

Consolidated Schedule of Investments (Continued)

March 31, 2022

June 30, 2022

(in thousands, except shares)

2 unchanged sentences

Value Percent of Net

YLG Holdings, Inc.

Business Services First lien (5)(15)(18) - Undrawn — 10/22/2021 10/22/2023 $ 2,078 $ — $ —

Bullhorn, Inc.

Software First lien (3)(15)(18) - Undrawn — 10/5/2021 11/8/2022 $ 1,221 $ (3) $ —

First lien (3)(15)(18) - Undrawn — 9/24/2019 9/30/2026 852 (6) —

Bluefin Holding, LLC

MRI Software LLC

Software First lien (3)(15)(18) - Undrawn — 2/11/2022 8/16/2023 7,754 — —

First lien (3)(15)(18) - Undrawn — 1/31/2020 2/10/2026 2,002 (10) —

Calabrio, Inc.

Software First lien (3)(15)(18) - Undrawn — 4/16/2021 4/16/2027 1,487 (11) — — %

GC Waves Holdings, Inc.

Wealth Enhancement Group, LLC

Financial Services First lien (3)(15)(18) - Undrawn — 5/2/2022 5/2/2024 15,805 — —

First lien (3)(15)(18) - Undrawn — 8/13/2021 10/4/2027 1,364 (3) —

First lien (3)(15)(18) - Undrawn — 8/13/2021 6/3/2022 3,152 (8) —

Granicus, Inc.

Software First lien (3)(15)(18) - Undrawn — 1/27/2021 1/29/2027 2,414 (18) —

First lien (3)(15)(18) - Undrawn — 4/23/2021 4/21/2023 1,822 — —

CG Group Holdings, LLC

Specialty Chemicals & Materials First lien (3)(15)(18) - Undrawn — 7/19/2021 7/19/2026 226 (3) (3) (0.00) %

KPSKY Acquisition Inc.

Industrial Services First lien (3)(15)(18) - Undrawn — 10/19/2021 10/19/2023 403 — (4) (0.00) %

Appriss Health Holdings, Inc.

Appriss Health, LLC

Healthcare Information Technology First lien (3)(15)(18) - Undrawn — 5/6/2021 5/6/2027 417 (4) (4) (0.00) %

Safety Borrower Holdings LLC

Information Services First lien (3)(15)(18) - Undrawn — 9/1/2021 9/1/2027 384 (2) (2)

YLG Holdings, Inc.

Business Services First lien (5)(15)(18) - Undrawn — 10/22/2021 10/22/2023 2,078 — —

First lien (3)(15)(18) - Undrawn — 11/1/2019 10/31/2025 3,849 (19) —

(2) (8) (0.00) %

Software First lien (3)(15)(18) - Undrawn — 1/10/2019 1/10/2025 1,240 (25) — — %

GS Acquisitionco, Inc.

Software First lien (3)(15)(18) - Undrawn — 8/7/2019 5/22/2026 4,438 (27) — — %

The accompanying notes are an integral part of these consolidated financial statements.

1 unchanged sentence

Consolidated Schedule of Investments (Continued)

March 31, 2022

June 30, 2022

(in thousands, except shares)

2 unchanged sentences

Value Percent of Net

USRP Holdings, Inc.

Federal Services First lien (3)(15)(18) - Undrawn — 7/22/2021 7/23/2027 $ 878 $ (9) $ (9) (0.00) %

Calabrio, Inc.

Software First lien (3)(15)(18) - Undrawn — 4/16/2021 4/16/2027 1,487 (11) (10) (0.00) %

Community Brands ParentCo, LLC

Software First lien (3)(15)(18) - Undrawn — 2/24/2022 2/24/2028 425 (4) (4)

GC Waves Holdings, Inc.

Financial Services First lien (3)(15)(18) - Undrawn — 10/31/2019 8/13/2026 $ 3,951 $ (30) $ —

First lien (3)(15)(18) - Undrawn — 4/11/2022 4/11/2024 16,647 — —

(4) (12) (0.00) %

Recorded Future, Inc.

Xactly Corporation

Software First lien (3)(15)(18) - Undrawn — 7/31/2017 7/31/2023 383 (4) — — %

Notorious Topco, LLC

Consumer Products First lien (3)(15)(18) - Undrawn — 11/23/2021 5/24/2027 645 (5) (5)

Safety Borrower Holdings LLC

Information Services First lien (3)(15)(18) - Undrawn — 9/1/2021 9/1/2027 384 (2) (2)

First lien (3)(15)(18) - Undrawn — 9/1/2021 9/1/2022 1,279 — (6)

(2) (8) (0.00)%

Trinity Air Consultants Holdings Corporation

Business Services First lien (3)(15)(18) - Undrawn — 6/30/2021 6/29/2027 1,501 (15) (5)

USRP Holdings, Inc.

Federal Services First lien (3)(15)(18) - Undrawn — 7/22/2021 7/23/2027 893 (9) (9) (0.00)%

KPSKY Acquisition Inc.

Industrial Services First lien (3)(15)(18) - Undrawn — 10/19/2021 10/19/2023 48 — —

First lien (3)(15)(18) - Undrawn — 6/17/2022 6/17/2024 1,168 — (12)

— (12) (0.00)%

Associations, Inc.

Consumer Services First lien (3)(15)(18) - Undrawn — 7/2/2021 7/2/2027 3,543 (18) (18) (0.00) %

Specialtycare, Inc.

Healthcare Services First lien (3)(15)(18) - Undrawn — 6/18/2021 6/18/2026 559 (8) (7)

CG Group Holdings, LLC

Specialty Chemicals & Materials First lien (3)(15)(18) - Undrawn — 7/19/2021 7/19/2026 226 (3) (14) (0.00)%

Notorious Topco, LLC

Consumer Products First lien (3)(15)(18) - Undrawn — 11/23/2021 5/24/2027 499 (4) (4)

First lien (3)(15)(18) - Undrawn — 11/23/2021 11/23/2023 1,467 — (11)

(4) (15) (0.00)%

Granicus, Inc.

Recorded Future, Inc.

Software First lien (3)(15)(18) - Undrawn — 8/26/2019 7/3/2025 2,981 (20) (15) (0.00)%

Community Brands ParentCo, LLC

Software First lien (3)(15)(18) - Undrawn — 2/24/2022 2/24/2028 425 (4) (5)

First lien (3)(15)(18) - Undrawn — 2/24/2022 2/26/2024 849 — (10)

3 unchanged sentences

Consolidated Schedule of Investments (Continued)

March 31, 2022

June 30, 2022

(in thousands, except shares)

4 unchanged sentences

Business Services First lien (3)(15)(18) - Undrawn — 9/22/2021 9/22/2027 $ 1,666 $ (17) $ (17) (0.00)%

Associations, Inc.

Consumer Services First lien (3)(15)(18) - Undrawn — 7/2/2021 7/2/2027 3,543 (18) (18) (0.00)%

Sun Acquirer Corp.

2 unchanged sentences

(16) (18) (0.00)%

Infogain Corporation

Software First lien (3)(15)(18) - Undrawn — 7/30/2021 7/30/2026 3,062 (23) (23) (0.00) %

Daxko Acquisition Corporation

5 unchanged sentences

Software First lien (3)(15)(18) - Undrawn — 11/1/2021 11/1/2027 2,446 (24) (24) (0.00)%

Galway Borrower LLC

Insurance Services First lien (3)(15)(18) - Undrawn — 9/30/2021 9/30/2027 984 (10) (10)

Infogain Corporation

Software First lien (3)(15)(18) - Undrawn — 7/30/2021 7/30/2026 3,540 (27) (31) (0.00)%

Specialtycare, Inc.

Healthcare Services First lien (3)(15)(18) - Undrawn — 6/18/2021 6/18/2026 559 (8) (12)

First lien (3)(15)(18) - Undrawn — 6/18/2021 6/18/2023 946 (3) (21)

(11) (33) (0.00)%

OA Topco, L.P.

OA Buyer, Inc.

Healthcare Information Technology First lien (3)(15)(18) - Undrawn — 12/20/2021 12/20/2028 3,600 (36) (36) (0.00) %

FS WhiteWater Holdings, LLC (38)

3 unchanged sentences

(36) (36) (0.00)%

Bluefin Holding, LLC

Software First lien (3)(15)(18) - Undrawn — 9/6/2019 9/6/2024 1,091 (16) (37) (0.00)%

The accompanying notes are an integral part of these consolidated financial statements.

1 unchanged sentence

Consolidated Schedule of Investments (Continued)

March 31, 2022

June 30, 2022

(in thousands, except shares)

2 unchanged sentences

Value Percent of Net

Trinity Air Consultants Holdings Corporation

Business Services First lien (3)(15)(18) - Undrawn — 6/30/2021 6/29/2027 $ 1,501 $ (15) $ (15)

First lien (3)(15)(18) - Undrawn — 6/30/2021 6/29/2023 2,364 — (24)

(15) (39) (0.00)%

IMO Investor Holdings, Inc.

Healthcare Information Technology First lien (3)(15)(18) - Undrawn — 5/11/2022 5/11/2028 1,394 (14) (14)

First lien (3)(15)(18) - Undrawn — 5/11/2022 5/13/2024 3,097 — (31)

(14) (45) (0.00)%

OA Topco, L.P.

OA Buyer, Inc.

Healthcare Information Technology First lien (3)(15)(18) - Undrawn — 12/20/2021 12/20/2028 3,600 (36) (48) (0.00)%

TigerConnect, Inc.

2 unchanged sentences

(43) (55) (0.01) %

Knockout Intermediate Holdings I Inc.

Software First lien (3)(18) - Undrawn — 6/23/2022 6/25/2029 3,851 (29) (29)

First lien (3)(18) - Undrawn — 6/23/2022 6/24/2024 3,851 — (29)

(29) (58) (0.01) %

NMC Crimson Holdings, Inc.

Healthcare Services First lien (3)(15)(18) - Undrawn — 3/1/2021 3/1/2023 10,664 — (86) (0.01) %

AmeriVet Partners Management, Inc.

2 unchanged sentences

(10) (89) (0.01) %

Foreside Financial Group, LLC

Business Services First lien (3)(15)(18) - Undrawn — 5/26/2022 5/26/2024 6,984 — (70)

First lien (3)(15)(18) - Undrawn — 5/26/2022 9/30/2027 2,095 (21) (21)

(21) (91) (0.01) %

The accompanying notes are an integral part of these consolidated financial statements.

New Mountain Finance Corporation

Consolidated Schedule of Investments (Continued)

June 30, 2022

(in thousands, except shares)

Portfolio Company, Location and Industry (1) Type of Investment Interest Rate (19) Acquisition Date Maturity / Expiration Date Principal

or Shares (17) Cost Fair

Value Percent of Net

ACI Parent Inc.

6 unchanged sentences

First lien (3)(15)(18) - Undrawn — 10/15/2021 10/15/2027 2,670 (27) (27)

First lien (3)(15)(18) - Undrawn — 10/15/2021 10/13/2023 2,718 — (27)

(27) (103) (0.01) %

10 unchanged sentences

Total Unfunded Debt Investments - United States $ (694) $ (1,516) (0.11) %

The accompanying notes are an integral part of these consolidated financial statements.

New Mountain Finance Corporation

Consolidated Schedule of Investments (Continued)

March 31, 2022

(in thousands, except shares)

Portfolio Company, Location and Industry (1) Type of Investment Interest Rate (19) Acquisition Date Maturity / Expiration Date Principal

or Shares (17) Cost Fair

Value Percent of Net

Unfunded Debt Investments - Jersey

6 unchanged sentences

Total Unfunded Debt Investments - Netherlands $ (44) $ (44) (0.00)%

The accompanying notes are an integral part of these consolidated financial statements.

New Mountain Finance Corporation

Consolidated Schedule of Investments (Continued)

June 30, 2022

(in thousands, except shares)

Portfolio Company, Location and Industry (1) Type of Investment Interest Rate (19) Acquisition Date Maturity / Expiration Date Principal

or Shares (17) Cost Fair

Value Percent of Net

Unfunded Debt Investments - United Kingdom

Integro Parent Inc.**

Insurance Services First lien (2)(15)(18) - Undrawn — 5/10/2022 5/6/2023 $ 1,588 $ — $ —

First lien (3)(15)(18) - Undrawn — 5/10/2022 5/6/2023 315 — —

Total Unfunded Debt Investments - United Kingdom $ — $ — — %

Total Unfunded Debt Investments $ (738) $ (1,661) (0.12) %

24 unchanged sentences

Consolidated Schedule of Investments (Continued)

March 31, 2022

June 30, 2022

(in thousands, except shares)

34 unchanged sentences

Total Funded Debt Investments - United States $ 199,829 $ 183,876 13.47 %

Equity - United States

NMFC Senior Loan Program III LLC**

Investment Fund Membership interest (3)(15) — 5/4/2018 — — $ 140,000 $ 140,000 10.25 %

NMFC Senior Loan Program IV LLC**

Investment Fund Membership interest (3)(15) — 5/5/2021 — — 112,400 112,400 8.24 %

The accompanying notes are an integral part of these consolidated financial statements.

1 unchanged sentence

Consolidated Schedule of Investments (Continued)

March 31, 2022

June 30, 2022

(in thousands, except shares)

2 unchanged sentences

Value Percent of Net

Equity - United States

NMFC Senior Loan Program III LLC**

Investment Fund Membership interest (3)(15) — 5/4/2018 — — $ 140,000 $ 140,000 10.24 %

NMFC Senior Loan Program IV LLC**

Investment Fund Membership interest (3)(15) — 5/5/2021 — — 112,400 112,400 8.22 %

NM NL Holdings, L.P.**

5 unchanged sentences

39,921 50,521 3.70 %

Net Lease Membership interest (7)(15) — 10/6/2017 — — 12,538 23,247 1.70 %

UniTek Global Services, Inc.

7 unchanged sentences

78,964 26,123 1.91 %

NM APP US LLC

Net Lease Membership interest (7)(15) — 10/6/2017 — — 12,538 21,067 1.54 %

Net Lease Membership interest (7)(15) — 2/1/2018 — — — 16,852 1.23 %

New Permian Holdco, Inc.

1 unchanged sentence

Net Lease Membership interest (7)(15) — 9/30/2019 — — 6,272 8,184 0.60 %

NM GP Holdco, LLC**

Net Lease Membership interest (7)(15) — 6/20/2018 — — 861 1,051 0.08 %

NHME Holdings Corp.

Healthcare Services Ordinary shares (3)(15) — 11/27/2018 — 640,000 4,000 — — %

QID TRH Holdings LLC (21)

Haven Midstream Holdings LLC

Specialty Chemicals & Materials Ordinary shares (14)(15) — — 80 — —

Profit Interest (6)(15) — — 5 — —

Net Lease Membership interest (7)(15) — 2/1/2018 — — — — — %

NM APP US LLC

Net Lease Membership interest (7)(15) — 9/13/2016 — — — — — %

The accompanying notes are an integral part of these consolidated financial statements.

1 unchanged sentence

Consolidated Schedule of Investments (Continued)

March 31, 2022

June 30, 2022

(in thousands, except shares)

4 unchanged sentences

Net Lease Membership interest (7)(15) — 8/12/2016 — — — — — %

NM GP Holdco, LLC**

Net Lease Membership interest (7)(15) — 11/15/2016 — — — — — %

Net Lease Membership interest (7)(15) — 11/15/2016 — — 9,318 60 0.00 %

NHME Holdings Corp.(28)

Healthcare Services Ordinary shares (3)(15) — 11/27/2018 — 640,000 4,000 — — %

QID TRH Holdings LLC (21)

Haven Midstream Holdings LLC

Specialty Chemicals & Materials Ordinary shares (14)(15) — 10/1/2021 — 80 — —

Profit Interest (6)(15) — 10/1/2021 — 5 — —

Total Shares - United States $ 482,454 $ 472,590 34.62 %

21 unchanged sentences

Total Investments $ 3,297,456 $ 3,300,191 241.74 %

The accompanying notes are an integral part of these consolidated financial statements.

New Mountain Finance Corporation

Consolidated Schedule of Investments (Continued)

March 31, 2022

(in thousands, except shares)

(1) New Mountain Finance Corporation (the "Company") generally acquires its investments in private transactions exempt from registration under the Securities Act of 1933, as amended (the "Securities Act").

9 unchanged sentences

(7) Investment is held in New Mountain Net Lease Corporation.

The accompanying notes are an integral part of these consolidated financial statements.

New Mountain Finance Corporation

Consolidated Schedule of Investments (Continued)

June 30, 2022

(in thousands, except shares)

(8) Investment is pledged as collateral for the DB Credit Facility, a revolving credit facility among New Mountain Finance DB, L.L.C as the Borrower and Deutsche Bank AG, New York Branch as the Facility Agent.

10 unchanged sentences

dollars as of the valuation date.

As of March 31, 2022, the par value U.S.

As of June 30, 2022, the par value U.S.

dollar equivalent of the first lien term loan, drawn first lien term loan and the undrawn first lien term loan is $15,685, $7,727 and $8,206, respectively.

5 unchanged sentences

A majority of the variable rate debt investments bear interest at a rate that may be determined by reference to the London Interbank Offered Rate (L), the Prime Rate (P), the Sterling Overnight Interbank Average Rate (SONIA), Secured Overnight Financing Rate (SOFR), and the alternative base rate (Base) and which resets daily (D), weekly (W), monthly (M), quarterly (Q), semi-annually (S) or annually (A).

For each investment the current interest rate provided reflects the rate in effect as of March 31, 2022.

For each investment the current interest rate provided reflects the rate in effect as of June 30, 2022.

(20) The Company holds investments in Education Management Corporation and one related entity of Education Management Corporation.

2 unchanged sentences

The Company holds 4.6% of the Class B profits interest in QID NGL, LLC (which at closing represented 97% of the ownership in the class B units in QID TRH Holdings, LLC), class A common units of Haven Midstream Holdings LLC, and holds a tranche A first lien term loan, a tranche B first lien term loan and a first lien revolver in Haven Midstream LLC.

Subsequent to March 31, 2022, Haven Midstream LLC ceased operations at its Haven KS natural gas processing plant due to a fire;

Haven Midstream LLC is currently working with various experts to determine the cause and extent of the fire in order to determine next steps.

On April 14, 2022, Haven Midstream LLC ceased operations at its Haven KS natural gas processing plant due to a fire that caused extensive damage.

Haven Midstream LLC is currently working with its insurance providers to assess coverage amounts and payout timing, and with various experts to assess rebuild options and viability.

(22) The Company holds preferred equity in OEC Holdco, LLC, and two second lien term loans in OEConnection LLC, a wholly-owned subsidiary of OEC Holdco, LLC.

7 unchanged sentences

that is entitled to receive cumulative preferential dividends at a rate of 13.5% per annum payable in additional shares.

The accompanying notes are an integral part of these consolidated financial statements.

New Mountain Finance Corporation

Consolidated Schedule of Investments (Continued)

March 31, 2022

(in thousands, except shares)

(26) The Company holds preferred equity in UniTek Global Services, Inc.

8 unchanged sentences

(32) The Company holds ordinary shares in New Benevis Topco, LLC, and holds first lien last out term loans and subordinated notes in New Benevis Holdco Inc., a wholly-owned subsidiary of New Benevis Topco, LLC.

The accompanying notes are an integral part of these consolidated financial statements.

New Mountain Finance Corporation

Consolidated Schedule of Investments (Continued)

June 30, 2022

(in thousands, except shares)

(33) The Company holds ordinary shares in AAC Lender Holdings, LLC and a first lien term loan, first lien revolver and subordinated notes in American Achievement Corporation, a partially-owned subsidiary of AAC Lender Holdings, LLC.

(34) The Company holds preferred equity in Project Essential Super Parent, LLC that is entitled to receive cumulative preferential dividends at a rate of L + 9.50% per annum.

(34) The Company holds preferred equity in Project Essential Super Parent, Inc.

that is entitled to receive cumulative preferential dividends at a rate of L + 9.50% per annum.

(35) The Company holds investments in two wholly-owned subsidiary of Diamond Parent Holdings Corp.

12 unchanged sentences

(40) The Company holds ordinary shares in OA Topco, L.P., and a first lien term loan and a first lien revolver in OA Buyer, Inc., a wholly-owned subsidary of OA Topco, L.P.

(41) The Company holds preferred equity in Knockout Intermediate Holdings I Inc.

and a first lien term loan, a first lien revolver and a first lien delayed draw in Kaseya, Inc., a wholly-owned subsidiary of Knockout Intermediate Holdings I, Inc.

The preferred equity is entitled to received cumulative preferential dividends at a rate of 11.75% per annum.

(42) Investment or a portion of the investment is on non-accrual status.

Investments , for details.

(42) The Company holds one security purchased under a collateralized agreement to resell on its Consolidated Statement of Assets and Liabilities with a cost basis of $30,000 and a fair value of $19,401 as of March 31, 2022.

(43) The Company holds one security purchased under a collateralized agreement to resell on its Consolidated Statement of Assets and Liabilities with a cost basis of $30,000 and a fair value of $19,401 as of June 30, 2022.

Summary of Significant Accounting Policies , for details.

(44) Denotes investments in which the Company is an “Affiliated Person”, as defined in the Investment Company Act of 1940, as amended (the "1940 Act"), due to owning or holding the power to vote 5.0% or more of the outstanding voting securities of the investment but not controlling the company.

Fair value as of March 31, 2022 and December 31, 2021 along with transactions during the three months ended March 31, 2022 in which the issuer was a non-controlled/affiliated investment is as follows:

Portfolio Company Fair Value at December 31, 2021 Gross

(Losses) Net Change In

Appreciation Fair Value at March 31, 2022 Interest

Income Dividend

Fair value as of June 30, 2022 and December 31, 2021 along with transactions during the six months ended June 30, 2022 in which the issuer was a non-controlled/affiliated investment is as follows:

Portfolio Company Fair Value at December 31, 2021 Gross Additions (A) Gross Redemptions (B) Net Change In Unrealized Appreciation (Depreciation) Fair Value at June 30, 2022 Net Realized Gains (Losses) Interest Income Dividend Income Other Income

Permian Holdco 3, Inc.

8 unchanged sentences

Consolidated Schedule of Investments (Continued)

March 31, 2022

June 30, 2022

(in thousands, except shares)

(45) Denotes investments in which the Company is in “Control”, as defined in the 1940 Act, due to owning or holding the power to vote more than 25.0% of the outstanding voting securities of the investment.

Fair value as of March 31, 2022 and December 31, 2021, along with transactions during the three months ended March 31, 2022 in which the issuer was a controlled investment, is as follows:

Portfolio Company Fair Value at December 31, 2021 Gross

Gains Net Change In

(Depreciation) Fair Value at March 31, 2022 Interest

Income Dividend

Fair value as of June 30, 2022 and December 31, 2021, along with transactions during the six months ended June 30, 2022 in which the issuer was a controlled investment, is as follows:

Portfolio Company (1) Fair Value at December 31, 2021 Gross Additions (A) Gross Redemptions (B) Net Change In Unrealized Appreciation (Depreciation) Fair Value at June 30, 2022 Net Realized Gains (Losses) Interest Income Dividend Income Other Income

National HME, Inc./NHME Holdings Corp.

28 unchanged sentences

Qualifying assets must represent at least 70.0% of the Company’s total assets at the time of acquisition of any additional non-qualifying assets.

As of March 31, 2022, 16.3% of the Company’s total assets are represented by investments at fair value that are considered non-qualifying assets.

As of June 30, 2022, 17.2% of the Company’s total assets are represented by investments at fair value that are considered non-qualifying assets.

The accompanying notes are an integral part of these consolidated financial statements.

1 unchanged sentence

Consolidated Schedule of Investments (Continued)

March 31, 2022

June 30, 2022

Investment Type Percent of Total

5 unchanged sentences

Total investments 100.00 %

March 31, 2022

June 30, 2022

Industry Type Percent of Total

1 unchanged sentence

Software 26.74 %

Business Services 16.28 %

Healthcare Services 16.20 %

Business Services 15.13 %

Education 8.12 %

Investment Funds (includes investments in joint ventures) 7.65 %

Net Lease 6.16 %

Consumer Services 4.72 %

Net Lease 4.24 %

Distribution & Logistics 3.12 %

1 unchanged sentence

Financial Services 2.13 %

Healthcare Information Technology 2.06 %

Information Technology 1.77 %

Insurance Services 1.54 %

Healthcare Information Technology 1.64 %

Energy 1.45 %

Packaging 1.19 %

Consumer Products 0.61 %

Federal Services 0.39 %

Business Products 0.25 %

Consumer Products 0.32 %

Industrial Services 0.23 %

1 unchanged sentence

Total investments 100.00 %

March 31, 2022

June 30, 2022

Interest Rate Type Percent of Total

1012 unchanged sentences

New Mountain Finance Corporation

March 31, 2022

June 30, 2022

(in thousands, except share data)

3 unchanged sentences

NMFC has elected to be treated, and intends to comply with the requirements to continue to qualify annually, as a regulated investment company (“RIC”) under Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”).

Since NMFC’s IPO, and through March 31, 2022, NMFC raised approximately $926,084 in net proceeds from additional offerings of its common stock.

Since NMFC’s IPO, and through June 30, 2022, NMFC raised approximately $942,661 in net proceeds from additional offerings of its common stock.

New Mountain Finance Advisers BDC, L.L.C.

31 unchanged sentences

("NMF Servicing"), which serves as the administrative agent on certain investment transactions.

New Mountain Net Lease Corporation ("NMNLC") is a majority-owned consolidated subsidiary of the Company, which acquires commercial real estate properties that are subject to "triple net" leases has elected to be treated, and intends to comply with the requirements to continue to qualify annually, as a real estate investment trust, or REIT, within the meaning of Section 856(a) of the Code.

New Mountain Net Lease Corporation ("NMNLC") is a majority-owned consolidated subsidiary of the Company, which acquires commercial real estate properties that are subject to "triple net" leases and has elected to be treated, and intends to comply with the requirements to continue to qualify annually, as a real estate investment trust, or REIT, within the meaning of Section 856(a) of the Code.

The Company’s investment objective is to generate current income and capital appreciation through the sourcing and origination of debt securities at all levels of the capital structure, including first and second lien debt, notes, bonds and mezzanine securities.

9 unchanged sentences

The Company’s portfolio may be concentrated in a limited number of industries.

As of March 31, 2022, the Company’s top five industry concentrations were software, business services, healthcare services, education and investment funds (which includes the Company's investments in its joint ventures).

As of June 30, 2022, the Company’s top five industry concentrations were software, healthcare services, business services, education and investment funds (which includes the Company's investments in its joint ventures).

Summary of Significant Accounting Policies

1 unchanged sentence

The Company is an investment company following accounting and reporting guidance in Accounting Standards Codification Topic 946, Financial Services—Investment Companies , (“ASC 946”).

NMFC consolidates its wholly-owned direct and indirect subsidiaries:

The Company consolidates its wholly-owned direct and indirect subsidiaries:

NMF Holdings, NMFDB, NMF Servicing, SBIC I, SBIC I GP, SBIC II, SBIC II GP, NMF Ancora, NMF QID, NMF YP, NMF Permian, NMF HB, NMF TRM, NMF Pioneer and NMF OEC and its majority-owned consolidated subsidiary:

42 unchanged sentences

NMNLC was formed to acquire commercial real estate properties that are subject to "triple net" leases.

NMNLC's investments are disclosed on the Company's Consolidated Schedule of Investments as of March 31, 2022.

NMNLC's investments are disclosed on the Company's Consolidated Schedule of Investments as of June 30, 2022.

On March 30, 2020, an affiliate of the Investment Adviser purchased directly from NMNLC 105,030 shares of NMNLC’s common stock at a price of $107.73 per share, which represented the net asset value per share of NMNLC at the date of purchase, for an aggregate purchase price of approximately $11,315.

Immediately thereafter, NMNLC redeemed 105,030 shares of its common stock held by NMFC in exchange for a promissory note with a principal amount of $11,315 and a 7.0% interest rate, which was repaid by NMNLC to NMFC on March 31, 2020.

Below is certain summarized property information for NMNLC as of March 31, 2022:

Below is certain summarized property information for NMNLC as of June 30, 2022:

Lease Total Fair Value as of

Portfolio Company Tenant Expiration Date Location Square Feet March 31, 2022

Portfolio Company Tenant Expiration Date Location Square Feet June 30, 2022

NM NL Holdings LP / NM GP Holdco LLC Various Various Various Various $ 98,295

NM CLFX LP Victor Equipment Company 8/31/2033 TX 423 21,067

NM APP US LLC Plasman Corp, LLC / A-Brite LP 9/30/2033 AL / OH 261 17,872

NM GLCR LP Arctic Glacier U.S.A.

2/28/2038 CA 48 16,852

NM APP Canada, Corp.

1 unchanged sentence

9/30/2031 Canada 436 12,314

NM DRVT LLC FMH Conveyors, LLC 10/31/2031 AR 195 9,023

NM YI, LLC Young Innovations, Inc.

10/31/2039 IL / MO 212 8,184

NM JRA LLC J.R.

Automation Technologies, LLC 1/31/2031 MI 88 4,223

NM KRLN LLC None N/A MD 95 60

Collateralized agreements or repurchase financings —The Company follows the guidance in Accounting Standards Codification Topic 860, Transfers and Servicing—Secured Borrowing and Collateral (“ASC 860”), when accounting for transactions involving the purchases of securities under collateralized agreements to resell (resale agreements).

1 unchanged sentence

Interest on collateralized agreements is accrued and recognized over the life of the transaction and included in interest income.

As of March 31, 2022 and December 31, 2021, the Company held one collateralized agreement to resell with a cost basis of $30,000 and $30,000, respectively, and a fair value of $19,401 and $21,422, respectively.

As of June 30, 2022 and December 31, 2021, the Company held one collateralized agreement to resell with a cost basis of $30,000 and $30,000, respectively, and a fair value of $19,401 and $21,422, respectively.

The collateralized agreement to resell is on non-accrual.

11 unchanged sentences

These securities have original maturities of three months or less.

The Company did not hold any cash equivalents as of March 31, 2022 and December 31, 2021.

The Company did not hold any cash equivalents as of June 30, 2022 and December 31, 2021.

Revenue recognition

8 unchanged sentences

The PIK interest and dividends are added to the principal or share balances on the capitalization dates and are generally due at maturity or when redeemed by the issuer.

For the three months ended March 31, 2022 and March 31, 2021, the Company recognized PIK and non-cash interest from investments of $8,523 and $5,838, respectively, and PIK and non-cash dividends from investments of $5,079 and $5,187, respectively.

For the three and six months ended June 30, 2022, the Company recognized PIK and non-cash interest from investments of $7,292 and $15,815, respectively, and PIK and non-cash dividends from investments of $5,304 and $10,383, respectively.

For the three and six months ended June 30, 2021, the Company recognized PIK and non-cash interest from investments of $5,530 and $11,368, respectively, and PIK and non-cash dividends from investments of $5,846 and $11,033, respectively.

Dividend income on common equity is recorded on the record date for private portfolio companies or on the ex-dividend date for publicly traded portfolio companies.

4 unchanged sentences

Previously capitalized PIK interest or dividends are not reversed when an investment is placed on non-accrual status.

Interest or dividend payments received on non-accrual investments may be recognized as income or applied to principal depending upon management’s judgment of the ultimate collectibility.

Interest or dividend payments received on non-accrual investments may be recognized as income or applied to principal depending upon management’s

judgment of the ultimate collectibility.

Non-accrual investments are restored to accrual status when past due principal and interest is paid and, in management’s judgment, are likely to remain current.

18 unchanged sentences

federal income tax on the portion of taxable income and gains timely distributed to its stockholders.

To continue to qualify and be subject to tax as a RIC, the Company is required to meet certain income and asset diversification tests in addition to distributing at least 90.0% of its investment company taxable income, as defined by the Code.

To continue to qualify and be subject to tax treatment as a RIC, the Company is required to meet certain income and asset diversification tests in addition to timely distributing at least 90.0% of its investment company taxable income, as defined by the Code.

federal income tax regulations differ from GAAP, distributions in accordance with tax regulations may differ from net investment income and realized gains recognized for financial reporting purposes.

11 unchanged sentences

federal income tax purposes.

For the three months ended March 31, 2022 and March 31, 2021, the Company recognized a total income tax provision of approximately $97 and $116, respectively, for the Company’s consolidated subsidiaries.

For the three months ended March 31, 2022 and March 31, 2021, the Company recorded current income tax expense of approximately $95 and $1, respectively, and deferred income tax provision of approximately $2 and $115, respectively.

As of March 31, 2022 and December 31, 2021, the Company had $14 and $13, respectively, of deferred tax liabilities primarily relating to deferred taxes attributable to certain differences between the computation of income for U.S.

For the three and six months ended June 30, 2022, the Company recognized a total income tax provision of approximately $68 and $165, respectively, for the Company’s consolidated subsidiaries.

For the three and six months ended June 30, 2022, the Company recorded current income tax (benefit) expense of approximately $(87) and $8, respectively, and deferred income tax provision of approximately $155 and $157, respectively.

For the three and six months ended June 30, 2021, the Company recognized a total income tax provision of approximately $22 and $138, respectively, for the Company’s consolidated subsidiaries.

For the three and six months ended June 30, 2021, the Company recorded current income tax expense of approximately $22 and $23, respectively, and deferred income tax provision of approximately $0 and $115, respectively.

As of June 30, 2022 and December 31, 2021, the Company had $169 and $13, respectively, of deferred tax liabilities primarily relating to deferred taxes attributable to certain differences between the computation of income for U.S.

federal income tax purposes as compared to GAAP.

Based on its analysis, the Company has determined that there were no uncertain income tax positions that do not meet the more likely than not threshold as defined by Accounting Standards Codification Topic 740 ("ASC 740") through December 31, 2021.

through December 31, 2021.

The 2018 through 2021 tax years remain subject to examination by the U.S.

16 unchanged sentences

On December 22, 2021, the Company's board of directors extended the Company's Repurchase Program and the Company expects the Repurchase Program to be in place until the earlier of December 31, 2022 or until $50,000 of its outstanding shares of common stock have been repurchased.

During the three months ended March 31, 2022 and March 31, 2021, the Company did not repurchase any shares of the Company's common stock.

During the three and six months ended June 30, 2022 and June 30, 2021, the Company did not repurchase any shares of the Company's common stock.

The Company previously repurchased $2,948 of its common stock under the Repurchase Program.

15 unchanged sentences

Changes in the economic environment, financial markets, and other metrics used in determining these estimates could cause actual results to differ from the estimates used, and the differences could be material.

At March 31, 2022, the Company's investments consisted of the following:

At June 30, 2022, the Company's investments consisted of the following:

Investment Cost and Fair Value by Type

8 unchanged sentences

Software $ 889,044 $ 882,086

Business Services 588,296 530,392

Healthcare Services 561,209 534,702

Business Services 558,848 499,368

Education 206,554 267,964

Investment Funds (includes investments in joint ventures) 252,400 252,400

Net Lease 135,974 200,651

Consumer Services 156,397 155,833

Net Lease 103,359 139,860

Distribution & Logistics 106,206 103,089

1 unchanged sentence

Financial Services 69,712 70,432

Healthcare Information Technology 68,483 68,097

Information Technology 58,604 58,553

Insurance Services 54,403 50,854

Healthcare Information Technology 53,269 53,400

Energy 51,716 47,773

Packaging 40,434 39,378

Consumer Products 20,309 20,290

Federal Services 12,727 12,711

Business Products 10,766 8,179

Consumer Products 10,283 10,268

Industrial Services 7,687 7,669

32 unchanged sentences

Total investments $ 3,126,492 $ 3,174,364

As of March 31, 2022, the Company's aggregate principal amount of its subordinated position and first lien term loans in American Achievement Corporation ("AAC") was $5,230 and $29,403, respectively.

As of June 30, 2022, the Company's aggregate principal amount of its second lien term loan in Integro Parent Inc.

("Integro") was $10,451.

During the second quarter of 2022, the Company placed an aggregate principal amount of $3,658 of its second lien position on non-accrual status.

As of June 30, 2022, the Company's position in Integro on non-accrual status had an aggregate cost basis of $3,637, an aggregate fair value of $2,369, total unearned interest income of $101 and $101, respectively, for the three and six months then ended and total unearned other income of $36 and $36, respectively, for the three and six months then ended.

During the second quarter of 2022, the Company placed its second lien positions in National HME, Inc.

("National HME") on non-accrual status.

As of June 30, 2022, the Company's second lien positions in National HME had an aggregate cost basis of $36,512, an aggregate fair value of $8,548, and total unearned interest income of $1,163 and $1,163, respectively, for the three and six months then ended.

As of June 30, 2022, the Company's aggregate principal amount of its subordinated position and first lien term loans in American Achievement Corporation ("AAC") was $5,230 and $29,678, respectively.

During the first quarter of 2021, the Company placed an aggregate principal amount of $5,230 of its subordinated position on non-accrual status.

During the third quarter of 2021, the Company placed an aggregate principal amount of $12,787 of its first lien term loans on non-accrual status.

As of March 31, 2022, the Company's positions in AAC on non-accrual status had an aggregate cost basis of $12,659, an aggregate fair value of $7,022 and total unearned interest income of $296 for the three months then ended.

As of June 30, 2022, the Company's positions in AAC on non-accrual status had an aggregate cost basis of $12,769, an

aggregate fair value of $7,211 and total unearned interest income of $310 and $606, respectively, for the three and six months then ended.

During the third quarter of 2021, the Company placed its second lien position in Sierra Hamilton Holdings Corporation ("Sierra") on non-accrual status.

As of March 31, 2022, the Company's second lien position in Sierra had an aggregate cost basis of $5, an aggregate fair value of $0, and total unearned interest income of $0 for the three months then ended.

As of June 30, 2022, the Company's second lien position in Sierra had an aggregate cost basis of $5, an aggregate fair value of $0, and total unearned interest income of $0 and $0, respectively, for the three and six months then ended.

During the first quarter of 2020, the Company placed its junior preferred shares in UniTek Global Services, Inc.

("UniTek") on non-accrual status.

As of March 31, 2022, the Company's junior preferred shares in UniTek had an aggregate cost basis of $34,393, an aggregate fair value of $0 and total unearned dividend income of $1,594 for the three months then ended.

As of June 30, 2022, the Company's junior preferred shares in UniTek had an aggregate cost basis of $34,393, an aggregate fair value of $0 and total unearned dividend income of $1,647 and $3,241, respectively, for the three and six months then ended.

During the third quarter of 2021, the Company placed an aggregate principal amount of $19,795 of its investment in the senior preferred shares of UniTek on non-accrual status.

As of March 31, 2022, the Company's senior preferred shares in

UniTek had an aggregate cost basis of $19,795, an aggregate fair value of approximately $3,632 and total unearned dividend income of approximately $1,084 for the three months then ended.

As of June 30, 2022, the Company's senior preferred shares in UniTek had an aggregate cost basis of $19,795, an aggregate fair value of approximately $7,633 and total unearned dividend income of approximately $1,136 and $2,220, respectively, for the three and six months then ended.

During the first quarter of 2018, the Company placed its first lien positions in Education Management II LLC ("EDMC") on non-accrual status as EDMC announced its intention to wind down and liquidate the business.

As of March 31, 2022, the Company's investment in EDMC, which was placed on non-accrual status, represented an aggregate cost basis of $956, an aggregate fair value of $0 and total unearned interest income of $4 for the three months then ended.

As of March 31, 2022, the Company had unfunded commitments on revolving credit facilities and bridge facilities of $94,031 and $0, respectively.

As of March 31, 2022, the Company had unfunded commitments in the form of delayed draws or other future funding commitments of $144,268.

The unfunded commitments on revolving credit facilities and delayed draws are disclosed on the Company’s Consolidated Schedule of Investments as of March 31, 2022.

As of June 30, 2022, the Company's investment in EDMC, which was placed on non-accrual status, represented an aggregate cost basis of $956, an aggregate fair value of $0 and total unearned interest income of $5 and $9, respectively, for the three and six months then ended.

As of June 30, 2022, the Company had unfunded commitments on revolving credit facilities and bridge facilities of $98,487 and $0, respectively.

As of June 30, 2022, the Company had unfunded commitments in the form of delayed draws or other future funding commitments of $182,299.

The unfunded commitments on revolving credit facilities and delayed draws are disclosed on the Company’s Consolidated Schedule of Investments as of June 30, 2022.

As of December 31, 2021, the Company had unfunded commitments on revolving credit facilities and bridge facilities of $86,989 and $0, respectively.

16 unchanged sentences

During the year ended December 31, 2018, the Company received a $1,500 payment from its insurance carrier in respect to the settlement.

As of March 31, 2022 and December 31, 2021, the SPP Agreement has a cost basis of $14,500 and $14,500, respectively, and a fair value of $9,377 and $10,354, respectively, which is reflective of the higher inherent risk in this transaction.

As of June 30, 2022 and December 31, 2021, the SPP Agreement has a cost basis of $14,500 and $14,500, respectively, and a fair value of $9,377 and $10,354, respectively, which is reflective of the higher inherent risk in this transaction.

NMFC Senior Loan Program III LLC

1 unchanged sentence

SLP III is structured as a private joint venture investment fund between the Company and SkyKnight Income II, LLC (“SkyKnight II”) and operates under a limited liability company agreement (the "SLP III Agreement").

The purpose of the joint venture is to invest primarily in senior secured loans issued by portfolio companies within the Company's core industry verticals.

The purpose of the joint venture is to invest primarily in senior secured loans issued by portfolio companies

within the Company's core industry verticals.

These investments are typically broadly syndicated first lien loans.

4 unchanged sentences

Any decision by SLP III to call down on capital commitments requires approval by the board of managers of SLP III.

As of March 31, 2022, the Company and SkyKnight II have committed and contributed $140,000 and $35,000, respectively, of equity to SLP III.

The Company’s investment in SLP III is disclosed on the Company’s Consolidated Schedule of Investments as of March 31, 2022 and December 31, 2021.

As of June 30, 2022, the Company and SkyKnight II have committed and contributed $140,000 and $35,000, respectively, of equity to SLP III.

The Company’s investment in SLP III is disclosed on the Company’s Consolidated Schedule of Investments as of June 30, 2022 and December 31, 2021.

On May 2, 2018, SLP III entered into its revolving credit facility with Citibank, N.A., which matures on January 8, 2026.

Effective July 8, 2021, the reinvestment period was extended to July 8, 2024.

As of the most recent amendment on July 8, 2021, during the reinvestment period the credit facility bears interest at a rate of the London Interbank Offered Rate

("LIBOR") plus 1.60% and after the reinvestment period it will bear interest at a rate of LIBOR plus 1.90%.

As of the most recent amendment on July 8, 2021, during the reinvestment period the credit facility bears interest at a rate of the London Interbank Offered Rate ("LIBOR") plus 1.60% and after the reinvestment period it will bear interest at a rate of LIBOR plus 1.90%.

Prior to July 8, 2021, the credit facility bore interest at a rate of LIBOR plus 1.70%.

Effective November 23, 2020, SLP III's revolving credit facility has a maximum borrowing capacity of $525,000.

As of March 31, 2022 and December 31, 2021, SLP III had total investments with an aggregate fair value of approximately $695,232 and $702,148, respectively, and debt outstanding under its credit facility of $517,600 and $510,900, respectively.

As of March 31, 2022 and December 31, 2021, none of SLP III's investments were on non-accrual.

Additionally, as of March 31, 2022 and December 31, 2021, SLP III had unfunded commitments in the form of delayed draws of $4,852 and $4,569, respectively.

Below is a summary of SLP III's portfolio, along with a listing of the individual investments in SLP III's portfolio as of March 31, 2022 and December 31, 2021:

March 31, 2022 December 31, 2021

As of June 30, 2022 and December 31, 2021, SLP III had total investments with an aggregate fair value of approximately $654,639 and $702,148, respectively, and debt outstanding under its credit facility of $514,500 and $510,900, respectively.

As of June 30, 2022 and December 31, 2021, none of SLP III's investments were on non-accrual.

Additionally, as of June 30, 2022 and December 31, 2021, SLP III had unfunded commitments in the form of delayed draws of $4,479 and $4,569, respectively.

Below is a summary of SLP III's portfolio, along with a listing of the individual investments in SLP III's portfolio as of June 30, 2022 and December 31, 2021:

June 30, 2022 December 31, 2021

First lien investments (1) $ 697,482 $ 709,517

5 unchanged sentences

(2) Computed as the all in interest rate in effect on accruing investments divided by the total principal amount of investments.

The following table is a listing of the individual investments in SLP III's portfolio as of March 31, 2022:

The following table is a listing of the individual investments in SLP III's portfolio as of June 30, 2022:

Portfolio Company and Type of Investment Industry Interest Rate (1) Maturity Date Principal Amount or Par Value Cost Fair

12 unchanged sentences

Distribution & Logistics 5.67% (L + 4.00%) 6/11/2026 4,280 4,254 4,024

BCPE Empire Holdings, Inc.

Distribution & Logistics 6.25% (SOFR + 4.63%) 6/11/2026 3,273 3,159 3,158

Bearcat Buyer, Inc.

9 unchanged sentences

Software 5.67% (L + 4.00%) 4/18/2025 4,289 4,282 4,135

Brown Group Holding, LLC Distribution & Logistics 5.54% (SOFR + 3.75%) 7/2/2029 7,063 6,886 6,815

Cano Health, LLC Healthcare Services 5.63% (SOFR + 4.00%) 11/23/2027 10,286 10,251 9,482

8 unchanged sentences

Confluent Health, LLC Healthcare Services 5.67% (L + 4.00%) 11/30/2028 12,023 11,966 11,227

Confluent Health, LLC Healthcare Services 6.50% (P + 3.00%) 11/30/2028 171 170 170

Confluent Health, LLC Healthcare Services 5.67% (L + 4.00%) 11/30/2028 514 511 480

Confluent Medical Technologies, Inc.

21 unchanged sentences

Foundational Education Group, Inc.

Education 4.75% (L + 4.25%) 8/31/2028 9,476 9,388 9,476

Education 6.07% (SOFR + 3.75%) 8/31/2028 9,453 9,367 9,074

Frontline Technologies Intermediate Holdings, LLC Software 6.49% (L + 5.25%) 9/18/2023 6,368 6,368 6,368

4 unchanged sentences

Help/Systems Holdings, Inc.

Software 4.75% (L + 4.00%) 11/19/2026 18,208 18,072 18,060

Software 5.63% (SOFR + 4.00%) 11/19/2026 18,161 18,033 17,077

Higginbotham Insurance Agency, Inc.

1 unchanged sentence

HighTower Holding, LLC Financial Services 5.10% (L + 4.00%) 4/21/2028 4,802 4,760 4,490

Houghton Mifflin Harcourt Company Education 6.88% (SOFR + 5.25%) 4/9/2029 5,667 5,497 5,153

Software 4.82% (L + 3.75%) 3/2/2028 15,884 15,871 14,720

10 unchanged sentences

Mavis Tire Express Services Topco Corp.

Retail 4.75% (L + 4.00%) 5/4/2028 4,206 4,187 4,185

MED ParentCo, LP Healthcare Services 4.71% (L + 4.25%) 8/31/2026 12,686 12,605 12,578

Retail 5.63% (SOFR + 4.00%) 5/4/2028 4,197 4,179 3,924

Portfolio Company and Type of Investment Industry Interest Rate (1) Maturity Date Principal Amount or Par Value Cost Fair

MED ParentCo, LP Healthcare Services 5.92% (L + 4.25%) 8/31/2026 $ 12,653 $ 12,576 $ 11,435

Mercury Borrower, Inc.

1 unchanged sentence

MH Sub I, LLC (Micro Holding Corp.) Software 5.42% (L + 3.75%) 9/13/2024 10,750 10,727 10,145

Mitnick Corporate Purchaser, Inc.

Software 6.05% (SOFR + 4.75%) 5/2/2029 4,667 4,643 4,489

National Intergovernmental Purchasing Alliance Company Business Services 5.75% (L + 3.50%) 5/23/2025 8,500 8,498 8,097

4 unchanged sentences

5.67% (L + 4.00%) 10/1/2027 3,960 3,960 3,778

Newport Group Holdings II, Inc.

Business Services 4.51% (L + 3.50%) 9/12/2025 4,825 4,812 4,816

Outcomes Group Holdings, Inc.

36 unchanged sentences

Trader Interactive, LLC (fka Dominion Web Solutions LLC) Business Services 5.42% (L + 3.75%) 7/28/2028 4,647 4,625 4,472

Unified Women's Healthcare, LP Healthcare Services 5.00% (L + 4.25%) 12/20/2027 9,925 9,860 9,848

Valcour Packaging, LLC Packaging 5.22% (L + 3.75%) 10/4/2028 4,527 4,514 4,267

4 unchanged sentences

Business Services 5.42% (L + 3.75%) 8/1/2025 842 839 806

VT Topco, Inc.

Business Services 4.98% (L + 3.75%) 8/1/2025 31 31 30

Waystar Technologies, Inc.

19 unchanged sentences

A majority of the variable rate debt investments bear interest at a rate that may be determined by reference to the LIBOR (L), the Prime Rate (P), Secured Overnight Financing Rate (SOFR), and the alternative base rate (Base).

For each investment, the current interest rate provided reflects the rate in effect as of March 31, 2022.

For each investment, the current interest rate provided reflects the rate in effect as of June 30, 2022.

(2) Represents the fair value in accordance with Accounting Standards Codification Topic 820, Fair Value Measurement and Disclosures ("ASC 820").

152 unchanged sentences

Business Services — 8/1/2023 149 — (1)

$ 4,569 $ (13) $ (1)

$ 709,517 $ 701,743 $ 702,148

Total Unfunded Investments $ 4,569 $ (13) $ (1)

Total Investments $ 709,517 $ 701,743 $ 702,148

(1) All interest is payable in cash unless otherwise indicated.

3 unchanged sentences

The Company's board of directors does not determine the fair value of the investments held by SLP III.

Below is certain summarized financial information for SLP III as of March 31, 2022 and December 31, 2021 and for the three months ended March 31, 2022 and March 31, 2021:

Below is certain summarized financial information for SLP III as of June 30, 2022 and December 31, 2021 and for the three and six months ended June 30, 2022 and June 30, 2021:

Selected Balance Sheet Information:

March 31, 2022 December 31, 2021

June 30, 2022 December 31, 2021

Investments at fair value (cost of $689,672 and $701,743)

$ 654,639 $ 702,148

Cash and other assets 12,754 16,505

3 unchanged sentences

Deferred financing costs (net of accumulated amortization of $4,083 and $3,338, respectively)

(2,453) (3,198)

Payable for unsettled securities purchased 6,886 34,552

5 unchanged sentences

Selected Statement of Operations Information:

Three Months Ended

March 31, 2022 March 31, 2021

Three Months Ended Six Months Ended

June 30, 2022 June 30, 2021 June 30, 2022 June 30, 2021

Interest income $ 8,724 $ 7,826 $ 16,654 $ 15,197

8 unchanged sentences

Net (decrease) increase in members' capital $ (24,873) $ 6,243 $ (25,290) $ 15,983

For the three months ended March 31, 2022 and March 31, 2021, the Company earned approximately $4,638 and $4,527 respectively, of dividend income related to SLP III, which is included in dividend income.

As of March 31, 2022 and December 31, 2021, approximately $4,638 and $4,025, respectively, of dividend income related to SLP III was included in interest and dividend receivable.

For the three and six months ended June 30, 2022, the Company earned approximately $4,360 and $8,998, respectively, of dividend income related to SLP III, which is included in dividend income.

For the three and six months ended June 30, 2021, the Company earned approximately $4,485 and $9,012, respectively, of dividend income related to SLP III, which is included in dividend income.

As of June 30, 2022 and December 31, 2021, approximately $4,360 and $4,025, respectively, of dividend income related to SLP III was included in interest and dividend receivable.

The Company has determined that SLP III is an investment company under ASC 946;

13 unchanged sentences

SLP IV is capitalized with equity contributions which were transferred and contributed from its members.

As of March 31, 2022, the Company and SkyKnight Alpha have transferred and contributed $112,400 and $30,600, respectively, of their membership interests in SLP I and SLP II to SLP IV.

The Company’s investment in SLP IV is disclosed on the Company’s Consolidated Schedule of Investments as of March 31, 2022 and December 31, 2021.

As of June 30, 2022, the Company and SkyKnight Alpha have transferred and contributed $112,400 and $30,600, respectively, of their membership interests in SLP I and SLP II to SLP IV.

The Company’s investment in SLP IV is disclosed on the Company’s Consolidated Schedule of Investments as of June 30, 2022 and December 31, 2021.

On May 5, 2021, SLP IV entered into a $370,000 revolving credit facility with Wells Fargo Bank, National Association which matures on May 5, 2026 and bears interest at a rate of LIBOR plus 1.60% per annum.

As of March 31, 2022 and December 31, 2021, SLP IV had total investments with an aggregate fair value of approximately $496,516 and $504,948, respectively, and debt outstanding under its credit facility of $359,637 and $360,137, respectively.

As of March 31, 2022 and December 31, 2021, none of SLP IV’s investments were on non-accrual.

Additionally, as of March 31, 2022 and December 31, 2021, SLP IV had unfunded commitments in the form of delayed draws of $4,815 and $6,103, respectively.

Below is a summary of SLP IV's consolidated portfolio, along with a listing of the individual investments in SLP IV's consolidated portfolio as of March 31, 2022 and December 31, 2021:

March 31, 2022 December 31, 2021

As of June 30, 2022 and December 31, 2021, SLP IV had total investments with an aggregate fair value of approximately $489,753 and $504,948, respectively, and debt outstanding under its credit facility of $364,937 and $360,137, respectively.

As of June 30, 2022 and December 31, 2021, none of SLP IV’s investments were on non-accrual.

Additionally, as of June 30, 2022 and December 31, 2021, SLP IV had unfunded commitments in the form of delayed draws of $4,277 and $6,103, respectively.

Below is a summary of SLP IV's consolidated portfolio, along with a listing of the individual investments in SLP IV's consolidated portfolio as of June 30, 2022 and December 31, 2021:

June 30, 2022 December 31, 2021

First lien investments (1) $ 521,079 513,298

5 unchanged sentences

(2) Computed as the all in interest rate in effect on accruing investments divided by the total principal amount of investments.

The following table is a listing of the individual investments in SLP IV's consolidated portfolio as of March 31, 2022:

The following table is a listing of the individual investments in SLP IV's consolidated portfolio as of June 30, 2022:

Portfolio Company and Type of Investment Industry Interest Rate (1) Maturity Date Principal Amount or Par Value Cost Fair

7 unchanged sentences

Healthcare Information Technology 5.01% (SOFR + 3.50%) 2/15/2029 2,311 2,300 2,133

Barracuda Networks, Inc.

Software 6.29% (SOFR + 4.50%) 5/17/2029 5,000 4,850 4,750

Bayou Intermediate II, LLC Healthcare Services 5.79% (L + 4.50%) 8/2/2028 8,650 8,611 8,239

10 unchanged sentences

Software 5.67% (L + 4.00%) 4/18/2025 2,358 2,354 2,273

Brown Group Holding, LLC Distribution & Logistics 5.54% (SOFR + 3.75%) 7/2/2029 5,438 5,302 5,247

Cano Health, LLC Healthcare Services 5.63% (SOFR + 4.00%) 11/23/2027 8,090 8,084 7,458

7 unchanged sentences

Business Services 6.75% (L + 4.50%) 4/10/2025 1,994 1,989 1,994

Confluent Health, LLC Healthcare Services 6.50% (P + 3.00%) 11/30/2028 114 114 113

Confluent Health, LLC Healthcare Services 5.67% (L + 4.00%) 11/30/2028 343 341 320

Confluent Health, LLC Healthcare Services 5.67% (L + 4.00%) 11/30/2028 8,055 8,017 7,522

Confluent Medical Technologies, Inc.

2 unchanged sentences

Software 5.42% (L + 3.75%) 10/16/2028 3,239 3,224 2,909

Software 4.21% (L + 3.75%) 11/29/2024 2,322 2,319 2,305

Dealer Tire, LLC Distribution & Logistics 5.92% (L + 4.25%) 12/12/2025 10,694 10,677 10,246

10 unchanged sentences

Foundational Education Group, Inc.

Education 4.75% (L + 4.25%) 8/31/2028 6,484 6,423 6,484

Education 6.07% (S + 3.75%) 8/31/2028 6,468 6,409 6,209

Geo Parent Corporation Business Services 6.92% (L + 5.25%) 12/19/2025 9,760 9,517 9,516

Greenway Health, LLC Healthcare Information Technology 5.25% (L + 3.75%) 2/16/2024 20,839 20,811 18,885

2 unchanged sentences

Help/Systems Holdings, Inc.

Software 4.75% (L + 4.00%) 11/19/2026 9,884 9,853 9,803

Software 5.63% (SOFR + 4.00%) 11/19/2026 9,859 9,829 9,270

Houghton Mifflin Harcourt Company Education 6.88% (SOFR + 5.25%) 4/9/2029 4,048 3,929 3,681

Hunter Holdco 3 Limited Healthcare Services 6.50% (L + 4.25%) 8/19/2028 3,949 3,914 3,762

11 unchanged sentences

Mavis Tire Express Services Topco Corp.

Retail 4.75% (L + 4.00%) 5/4/2028 8,411 8,374 8,369

Retail 5.63% (SOFR + 4.00%) 5/4/2028 8,393 8,357 7,847

Mercury Borrower, Inc.

4 unchanged sentences

Healthcare Information Technology 5.67% (L + 4.00%) 10/1/2027 6,930 6,930 6,612

Portfolio Company and Type of Investment Industry Interest Rate (1) Maturity Date Principal Amount or Par Value Cost Fair

OEConnection LLC Business Services 5.60% (L + 4.00%) 9/25/2026 $ 4,102 $ 4,074 $ 3,815

1 unchanged sentence

Specialty Chemicals & Materials 4.83% (SOFR + 4.00%) 2/26/2029 1,339 1,336 1,264

Portfolio Company and Type of Investment Industry Interest Rate (1) Maturity Date Principal Amount or Par Value Cost Fair

PetVet Care Centers, LLC Consumer Services 4.25% (L + 3.50%) 2/14/2025 $ 9,949 $ 9,926 $ 9,901

PetVet Care Centers, LLC (fka Pearl Intermediate Parent LLC) Consumer Services 5.17% (L + 3.50%) 2/14/2025 9,923 9,903 9,386

Physician Partners, LLC Healthcare Services 5.63% (SOFR + 4.00%) 12/26/2028 6,118 6,060 5,759

21 unchanged sentences

Trader Interactive, LLC (fka Dominion Web Solutions LLC) Business Services 5.42% (L + 3.75%) 7/28/2028 5,018 4,996 4,830

Unified Women's Healthcare, LP Healthcare Services 5.00% (L + 4.25%) 12/20/2027 7,382 7,348 7,324

USIC Holdings, Inc.

5 unchanged sentences

Business Services 5.97% (L + 3.75%) 8/1/2025 309 307 296

VT Topco, Inc.

Business Services 5.42% (L + 3.75%) 8/1/2025 8,419 8,386 8,061

WP CityMD Bidco LLC Healthcare Services 5.50% (L + 3.25%) 12/22/2028 1,740 1,744 1,641

3 unchanged sentences

Consumer Services 6.40% (SOFR + 4.75%) 3/9/2028 9,975 9,784 9,875

Zone Climate Services, Inc.

Consumer Services 6.03% (SOFR + 4.75%) 3/9/2028 2,193 2,151 2,171

Total Funded Investments $ 516,802 $ 513,984 $ 489,957

3 unchanged sentences

Confluent Health, LLC Healthcare Services — 11/30/2028 1,416 (7) (94)

Therapy Brands Holdings LLC Healthcare Information Technology — 5/18/2023 1,470 — (9)

Thermostat Purchaser III, Inc.

Business Services — 8/31/2023 748 — (41)

Therapy Brands Holdings LLC Healthcare Information Technology — 5/18/2023 1,470 — (28)

VT Topco, Inc.

4 unchanged sentences

For each investment, the current interest rate provided reflects the rate in effect as of March 31, 2022.

For each investment, the current interest rate provided reflects the rate in effect as of June 30, 2022.

(2) Represents the fair value in accordance with ASC 820.

125 unchanged sentences

A majority of the variable rate debt investments bear interest at a rate that may be determined by reference to the LIBOR (L), the Prime Rate (P) and the alternative base rate (Base).

For each investment, the current interest rate provided reflects the rate in effect as of March 31, 2022.

For each investment, the current interest rate provided reflects the rate in effect as of June 30, 2022.

(2) Represents the fair value in accordance with ASC 820.

The Company's board of directors does not determine the fair value of the investments held by SLP IV.

Below is certain summarized consolidated financial information for SLP IV as of March 31, 2022 and December 31, 2021 and for the three months ended March 31, 2022:

Below is certain summarized consolidated financial information for SLP IV as of June 30, 2022 and December 31, 2021 and for the three and six months ended June 30, 2022:

Selected Consolidated Balance Sheet Information:

March 31, 2022 December 31, 2021

June 30, 2022 December 31, 2021

Investments at fair value (cost of $513,977 and $505,043, respectively)

$ 489,753 $ 504,948

Receivable from unsettled securities sold — 2,595

3 unchanged sentences

Deferred financing costs (net of accumulated amortization of $544 and $396, respectively)

(2,311) (2,609)

Distribution payable 3,800 3,396

5 unchanged sentences

Selected Consolidated Statement of Operations Information:

Three Months Ended

March 31, 2022

Three Months Ended Six Months Ended

June 30, 2022 June 30, 2021(1) June 30, 2022 June 30, 2021(1)

Interest income $ 6,481 $ 3,227 $ 12,416 $ 3,227

5 unchanged sentences

Net investment income 3,801 2,098 7,815 2,098

Net realized losses on investments (2)

Net change in unrealized depreciation of investments (3,710)

Net increase in members' capital $ 303

For the three months ended March 31, 2022, the Company earned approximately $3,372 of dividend income related to SLP IV, which is included in dividend income.

As of March 31, 2022 and December 31, 2021, approximately $3,372 and $2,670, respectively, of dividend income related to SLP IV was included in interest and dividend receivable.

Net realized gains on investments 10 224 8 224

Net change in unrealized (depreciation) appreciation of investments (20,419) 2,052 (24,129) 2,052

Net (decrease) increase in members' capital $ (16,608) $ 4,374 $ (16,306) $ 4,374

(1) Reflects the results of operations for the period from May 5, 2021 through June 30, 2021.

For the three and six months ended June 30, 2022, the Company earned approximately $2,987 and $6,359, respectively, of dividend income related to SLP IV, which is included in dividend income.

For the period from May 5, 2021 through June 30, 2021, the Company earned approximately $2,428 of dividend income related to SLP IV, which is included in dividend income.

As of June 30, 2022 and December 31, 2021, approximately $2,987 and $2,670, respectively, of dividend income related to SLP IV was included in interest and dividend receivable.

The Company has determined that SLP IV is an investment company under ASC 946;

4 unchanged sentences

In accordance with Regulation S-X Rule 10-01(b)(1), the Company evaluates its unconsolidated controlled portfolio companies to determine if any are as “significant subsidiaries.” This determination is made based upon an analysis performed under Rules 3-09 and 4-08(g) of Regulation S-X, pursuant to which the Company must determine if any of its portfolio companies are considered a “significant subsidiary" as defined by Rule 1-02(w) of Regulation S-X under this rule.

As of March 31, 2022, the Company did not have any portfolio companies that were deemed to be a "significant subsidiary."

As of June 30, 2022, the Company did not have any portfolio companies that were deemed to be a "significant subsidiary."

Investment Risk Factors

12 unchanged sentences

The Company’s operating results and portfolio companies may be negatively impacted by the COVID-19 pandemic.

While several countries, as well as certain states, counties and cities in the United States, have relaxed initial public health restrictions with the view to partially or fully reopening their economies, many cities have since experienced a surge in the reported number of cases, hospitalizations and deaths related to the COVID-19 pandemic.

These surges have led to the re-introduction of such restrictions and business shutdowns in certain states in the United States and globally and could continue to lead to the re-introduction of such restrictions elsewhere.

Health advisors warn that recurring COVID-19 outbreaks, including outbreaks of variants such as the delta and omicron variants, as well as any other variants, will continue if reopening is pursued too soon or in the wrong manner, which may lead to the re-introduction or continuation of certain public health restrictions (such as instituting quarantines, prohibitions on travel and the closure of offices, businesses, schools, retail stores and other public venues).

Additionally, travelers from the United States are restricted from visiting many countries including countries in Europe, Asia, Africa and South America.

These continued travel restrictions may prolong the global economic downturn.

In addition, although the Federal Food and Drug Administration authorized vaccines beginning in December 2020 and a significant portion of the U.S.

population have been vaccinated, and it remains unclear how quickly the vaccines will continue to be distributed nationwide and globally, or when “herd immunity” will be achieved and the restrictions that were imposed to slow the spread of the virus will be lifted entirely.

Any delay in distributing the vaccines could lead people to continue to self-isolate and not participate in the economy at pre-pandemic levels for a prolonged period of time.

At the time of this Quarterly Report on Form 10-Q, public health restrictions have been partially or fully lifted throughout most of the United States and globally.

However, new variants of COVID-19, challenges regarding distribution, hesitancy and efficacy of COVID-19 vaccines and treatments, and the reintroduction of related advisories and restrictions may prolong the effects of the COVID-19 pandemic.

To the extent its portfolio companies are adversely impacted by the effects of the COVID-19 pandemic, the Company may have a material adverse impact on future net investment income, the fair value of its portfolio investments and its financial condition.

While general economic conditions have improved since the beginning of the COVID-19 pandemic, the Company continues to see reductions in business activity and financial transactions, supply chain interruptions and overall economic and financial market instability both in the United States and globally.

The COVID-19 pandemic has and continues to have an adverse impact on the markets and the economy in general, which could have a material adverse impact on, among other things, the ability of lenders to originate loans, the volume and type of loans originated, and the volume and type of amendments and waivers granted to borrowers and remedial actions taken in the event of a borrower default, each of which could negatively impact the amount and quality of loans available for investment by the Company and returns to the Company, among other things.

Any potential impact to the Company's results of operations will depend to a large extent on future developments and new information that could emerge regarding the duration and severity of COVID-19 and the actions taken by authorities and other entities to contain COVID-19 or treat its impact, all of which are beyond the Company's control.

These potential impacts, while uncertain, could adversely affect the Company's and its portfolio companies’ operating results.

Even after the COVID-19 pandemic subsides, the U.S.

economy and most other major global economies may continue to experience a recession, and we anticipate our business and operations could be materially adversely affected by a prolonged recession in the United States and other major markets.

This outbreak is having, and any future outbreaks could have, an adverse impact on the markets and the economy in general, which could have a material adverse impact on, among other things, the ability of lenders to originate loans, the volume and type of loans originated, and the volume and type of amendments and waivers granted to borrowers and remedial actions taken in the event of a borrower default, each of which could negatively impact the amount and quality of loans available for investment by the Company and returns to the Company, among other things.

As of the date of this Quarterly Report on Form 10-Q, it is impossible to determine the scope of this outbreak, or any future outbreaks, how long any such outbreak, market disruption or uncertainties may last, the effect any governmental actions will have or the full potential impact on the Company and our portfolio companies.

Any potential impact to our results of operations will depend to a large extent on future developments and new information that could emerge regarding the duration and severity of COVID-19 and the actions taken by authorities and other entities to contain COVID-19 or treat its impact, all of which are beyond our control.

These potential impacts, while uncertain, could adversely affect our and our portfolio companies’ operating results.

economy and most other major global economies may continue to experience downturns, and the Company anticipates its business and operations could be materially adversely affected by a prolonged recession in the United States and other major markets.

Fair value is the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

18 unchanged sentences

Changes in the observability of valuation inputs may result in the transfer of certain investments within the fair value hierarchy from period to period.

The following table summarizes the levels in the fair value hierarchy that the Company’s portfolio investments fall into as of March 31, 2022:

The following table summarizes the levels in the fair value hierarchy that the Company’s portfolio investments fall into as of June 30, 2022:

Total Level I Level II Level III

11 unchanged sentences

Total investments $ 3,174,364 $ — $ 330,908 $ 2,843,456

The following table summarizes the changes in fair value of Level III portfolio investments for the three months ended March 31, 2022, as well as the portion of appreciation (depreciation) included in income attributable to unrealized appreciation (depreciation) related to those assets and liabilities still held by the Company at March 31, 2022:

The following table summarizes the changes in fair value of Level III portfolio investments for the three months ended June 30, 2022, as well as the portion of appreciation (depreciation) included in income attributable to unrealized appreciation (depreciation) related to those assets and liabilities still held by the Company at June 30, 2022:

Total First Lien Second Lien Subordinated Equity and

Fair Value, December 31, 2021 $ 2,843,456 $ 1,635,143 $ 319,120 $ 50,742 $ 838,451

Fair Value, March 31, 2022 $ 3,046,993 $ 1,711,500 $ 446,914 $ 54,867 $ 833,712

Total gains or losses included in earnings:

5 unchanged sentences

Transfers out of Level III(1) (75,436) — (75,436) — —

Fair Value, June 30, 2022 $ 3,129,485 $ 1,835,954 $ 434,069 $ 55,968 $ 803,494

Unrealized (depreciation) appreciation for the period relating to those Level III assets that were still held by the Company at the end of the period:

$ (1,298) $ 3,991 $ (15,042) $ (144) $ 9,897

(1) As of June 30, 2022, portfolio investments were transferred into Level III from Level II and out of Level III into Level II at fair value as of the beginning of the period in which the reclassification occurred.

The following table summarizes the changes in fair value of Level III portfolio investments for the three months ended June 30, 2021, as well as the portion of appreciation (depreciation) included in income attributable to unrealized appreciation (depreciation) related to those assets and liabilities still held by the Company at June 30, 2021:

Total First Lien Second Lien Subordinated Equity and

Fair Value, March 31, 2021 $ 2,640,571 $ 1,499,850 $ 394,918 $ 37,295 $ 708,508

Total gains or losses included in earnings:

Net realized gains (losses) on investments 79 79 — — —

Net change in unrealized appreciation (depreciation) 50,787 (5,916) (1,160) 219 57,644

Purchases, including capitalized PIK and revolver fundings 88,862 64,896 1,410 468 22,088

Proceeds from sales and paydowns of investments (40,734) (33,353) (7,381) — —

Transfers into Level III(1) 52,570 32,120 20,450 — —

Transfers out of Level III(1) (209,246) (113,780) (95,466) — —

Fair Value, June 30, 2021 $ 2,582,889 $ 1,443,896 $ 312,771 $ 37,982 $ 788,240

Unrealized appreciation (depreciation) for the period relating to those Level III assets that were still held by the Company at the end of the period:

$ 50,898 $ (5,878) $ (1,087) $ 219 $ 57,644

(1) As of March 31, 2022, portfolio investments were transferred into Level III from Level II and out of Level III into Level II at fair value as of the beginning of the period in which the reclassification occurred.

The following table summarizes the changes in fair value of Level III portfolio investments for the three months ended March 31, 2021, as well as the portion of appreciation (depreciation) included in income attributable to unrealized appreciation (depreciation) related to those assets and liabilities still held by the Company at March 31, 2021:

(1) As of June 30, 2021, portfolio investments were transferred into Level III from Level II and out of Level III into Level II at fair value as of the beginning of the period in which the reclassification occurred.

The following table summarizes the changes in fair value of Level III portfolio investments for the six months ended June 30, 2022, as well as the portion of appreciation (depreciation) included in income attributable to unrealized appreciation (depreciation) related to those assets and liabilities still held by the Company at June 30, 2022:

Total First Lien Second Lien Subordinated Equity and

1 unchanged sentence

Total gains or losses included in earnings:

Net realized (losses) gains on investments (12,070) 142 2 (5,150) (7,064)

Net change in unrealized appreciation 34,754 7,803 3,442 5,061 18,448

Net realized gains (losses) on investments 35,690 (664) — — 36,354

Net change in unrealized (depreciation) appreciation (37,591) 5,861 (31,296) (1,551) (10,605)

Purchases, including capitalized PIK and revolver fundings 440,759 399,092 11,846 6,777 23,044

2 unchanged sentences

Transfers out of Level III(1) (10,000) — (10,000) — —

Fair Value, March 31, 2021 $ 2,640,571 $ 1,499,850 $ 394,918 $ 37,295 $ 708,508

Fair Value, June 30, 2022 $ 3,129,485 $ 1,835,954 $ 434,069 $ 55,968 $ 803,494

Unrealized appreciation (depreciation) for the period relating to those Level III assets that were still held by the Company at the end of the period:

$ 1,878 $ 3,775 $ (31,296) $ (1,551) $ 30,950

(1) As of March 31, 2021, portfolio investments were transferred into Level III from Level II and out of Level III into Level II at fair value as of the beginning of the period in which the reclassification occurred.

Except as noted in the tables above, there were no other transfers in or out of Level I, II, or III during the three months ended March 31, 2022 and March 31, 2021.

The following table summarizes the changes in fair value of Level III portfolio investments for the six months ended June 30, 2021, as well as the portion of appreciation (depreciation) included in income attributable to unrealized appreciation (depreciation) related to those assets and liabilities still held by the Company at June 30, 2021:

Total First Lien Second Lien Subordinated Equity and

Fair Value, December 31, 2020 $ 2,737,857 $ 1,483,367 $ 570,033 $ 36,939 $ 647,518

Total gains or losses included in earnings:

Net realized (losses) gains on investments (11,991) 221 2 (5,150) (7,064)

Net change in unrealized apppreciation 84,009 1,728 909 5,280 76,092

Purchases, including capitalized PIK and revolver fundings 265,432 190,066 2,759 913 71,694

Proceeds from sales and paydowns of investments (218,872) (144,632) (74,240) — —

Transfers into Level III(1) 20,203 — 20,203 — —

Transfers out of Level III(1) (293,749) (86,854) (206,895) — —

Fair Value, June 30, 2021 $ 2,582,889 $ 1,443,896 $ 312,771 $ 37,982 $ 788,240

Unrealized appreciation for the period relating to those Level III assets that were still held by the Company at the end of the period:

$ 71,178 $ 1,312 $ 707 $ 130 $ 69,029

Except as noted in the tables above, there were no other transfers in or out of Level I, II, or III during the three and six months ended June 30, 2022 and June 30, 2021.

Transfers into Level III occur as quotations obtained through pricing services are deemed not representative of fair value as of the balance sheet date and such assets are internally valued.

23 unchanged sentences

Significant increases or decreases in the EBITDA or revenue multiple will result in an increase or decrease in enterprise value, which may result in an increase or decrease in the fair value estimate of the investment.

In applying the market based approach as of March 31, 2022 and December 31, 2021, the Company used the relevant EBITDA or revenue multiple ranges set forth in the table below to determine the enterprise value of its portfolio companies.

In applying the market based approach as of June 30, 2022 and December 31, 2021, the Company used the relevant EBITDA or revenue multiple ranges set forth in the table below to determine the enterprise value of its portfolio companies.

The Company believes these were reasonable ranges in light of current comparable company trading levels and the specific portfolio companies involved.

6 unchanged sentences

Significant increases or decreases in the discount rate would result in a decrease or increase in the fair value measurement.

In applying the income based approach as of March 31, 2022 and December 31, 2021, the Company used the discount ranges set forth in the table below to value investments in its portfolio companies.

The unobservable inputs used in the fair value measurement of the Company's Level III investments as of March 31, 2022 were as follows:

Type Fair Value as of March 31, 2022 Approach Unobservable Input Low High Weighted

In applying the income based approach as of June 30, 2022 and December 31, 2021, the Company used the discount ranges set forth in the table below to value investments in its portfolio companies.

The unobservable inputs used in the fair value measurement of the Company's Level III investments as of June 30, 2022 were as follows:

Type Fair Value as of June 30, 2022 Approach Unobservable Input Low High Weighted

First lien $ 1,651,266 Market & income approach EBITDA multiple 5.0x 38.0x 15.0x

1 unchanged sentence

Discount rate 7.6 % 16.0 % 10.0 %

184,688 Other N/A(1) N/A N/A N/A

Second lien 427,300 Market & income approach EBITDA multiple 8.8x 32.0x 15.6x

27 unchanged sentences

(1) Fair value was determined based on transaction pricing or recent acquisition or sale as the best measure of fair value with no material changes in operations of the related portfolio company since the transaction date.

Based on a comparison to similar BDC credit facilities, the terms and conditions of the Holdings Credit Facility, the NMFC Credit Facility and the DB Credit Facility are representative of market.

The carrying values of the Holdings Credit Facility, NMFC Credit Facility and DB Credit Facility approximate fair value as of March 31, 2022, as the facilities are continually monitored and examined by both the borrower and the lender and are considered Level III.

Based on a comparison to similar BDC credit facilities, the terms and conditions of the Holdings Credit Facility, the NMFC Credit Facility and the DB Credit Facility (each defined below) are representative of market.

The carrying values of the Holdings Credit Facility, NMFC Credit Facility and DB Credit Facility approximate fair value as of June 30, 2022, as the facilities are continually monitored and examined by both the borrower and the lender and are considered Level III.

Borrowings, for details.

The carrying value of the SBA-guaranteed debentures, the 2017A Unsecured Notes, the 2018A Unsecured Notes, the 2018B Unsecured Notes, the 2019A Unsecured Notes and the 2021A Unsecured Notes approximate fair value as of March 31, 2022 based on a comparison of market interest rates for the Company’s borrowings and similar entities and are considered Level III.

The fair value of the Convertible Notes as of March 31, 2022 was $213,199 which was based on quoted prices and considered Level II.

The carrying value of the SBA-guaranteed debentures, the 2017A Unsecured Notes, the 2018A Unsecured Notes, the 2018B Unsecured Notes, the 2019A Unsecured Notes, the 2021A Unsecured Notes and the 2022A Unsecured Notes (each defined below) approximate fair value as of June 30, 2022 based on a comparison of market interest rates for the Company’s borrowings and similar entities and are considered Level III.

The fair value of the Convertible Notes (defined below) as of June 30, 2022 was $201,451 which was based on quoted prices and considered Level II.

Borrowings , for details.

The carrying value of the collateralized agreement approximates fair value as of March 31, 2022 and is considered Level III.

The carrying value of the collateralized agreement approximates fair value as of June 30, 2022 and is considered Level III.

The fair value of other financial assets and liabilities approximates their carrying value based on the short-term nature of these items.

7 unchanged sentences

The Company's board of directors held such meeting by virtual means in reliance on relief provided by the U.S.

Securities and Exchange Commission (the "SEC") in response to the COVID-19 pandemic.

Under the Investment Management Agreement, the Investment Adviser

manages the day-to-day operations of, and provides investment advisory services to, the Company.

Securities and Exchange Commission

(the "SEC") in response to the COVID-19 pandemic (the "COVID Relief").

As a condition of the COVID Relief, the Company's board of directors will ratify the approval of the Investment Management Agreement at its next in-person meeting.

Under the Investment Management Agreement, the Investment Adviser manages the day-to-day operations of, and provides investment advisory services to, the Company.

For providing these services, the Investment Adviser receives a fee from the Company, consisting of two components—a base management fee and an incentive fee.

13 unchanged sentences

The Investment Adviser cannot recoup management fees that the Investment Adviser has previously waived.

For the three months ended March 31, 2022 and March 31, 2021, management fees waived were approximately $1,092 and $3,637, respectively.

For the three and six months ended June 30, 2022, management fees waived were approximately $1,142 and $2,234, respectively.

For the three and six months ended June 30, 2021, management fees waived were approximately $3,804 and $7,441, respectively.

The incentive fee consists of two parts.

The first part is calculated and payable quarterly in arrears and equals 20.0% of the Company’s “Pre-Incentive Fee Net Investment Income” for the immediately preceding quarter, subject to a “preferred return”, or “hurdle”, and a “catch-up” feature.

“Pre-Incentive Fee Net Investment Income” means interest income, dividend income and any other income (including any other fees (other than fees for providing managerial assistance), such as commitment, origination, structuring, upfront, diligence and consulting fees or other fees that the Company receives from portfolio companies) accrued during the calendar quarter, minus the Company’s operating expenses for the quarter (including the base management fee, expenses payable under an administration agreement, as amended and restated (the “Administration Agreement”), with the Administrator, and any interest expense and distributions paid on any issued and outstanding preferred stock (of which there are none as of March 31, 2022), but excluding the incentive fee).

“Pre-Incentive Fee Net Investment Income” means interest income, dividend income and any other income (including any other fees (other than fees for providing managerial assistance), such as commitment, origination, structuring, upfront, diligence and consulting fees or other fees that the Company receives from portfolio companies) accrued during the calendar quarter, minus the Company’s operating expenses for the quarter (including the base management fee, expenses payable under an administration agreement, as amended and restated (the “Administration Agreement”), with the Administrator, and any interest expense and distributions paid on any issued and outstanding preferred stock (of which there were none as of June 30, 2022), but excluding the incentive fee).

Pre-Incentive Fee Net Investment Income includes, in the case of investments with a deferred interest feature (such as original issue discount, debt instruments with PIK interest and zero coupon securities), accrued income that the Company has not yet received in cash.

11 unchanged sentences

Actual amounts paid to the Investment Adviser are consistent with the Investment Management Agreement and are based only on actual realized capital gains computed net of all realized capital losses and unrealized capital depreciation on a cumulative basis from inception through the end of each calendar year as if the entire portfolio was sold at fair value.

The following table summarizes the management fees and incentive fees incurred by the Company for the three months ended March 31, 2022 and March 31, 2021:

Three Months Ended

March 31, 2022 March 31, 2021

The following table summarizes the management fees and incentive fees incurred by the Company for the three and six months ended June 30, 2022 and June 30, 2021:

Three Months Ended Six Months Ended

June 30, 2022 June 30, 2021 June 30, 2022 June 30, 2021

Management fee $ 11,770 $ 13,725 $ 23,323 $ 27,145

3 unchanged sentences

Accrued capital gains incentive fees(1) $ — $ — $ — $ —

(1) As of March 31, 2022 and March 31, 2021, no actual capital gains incentive fee was owed under the Investment Management Agreement by the Company, as cumulative net realized capital gains did not exceed cumulative unrealized capital depreciation.

(1) As of June 30, 2022 and June 30, 2021, no actual capital gains incentive fee was owed under the Investment Management Agreement by the Company, as cumulative net realized capital gains did not exceed cumulative unrealized capital depreciation.

The Company has entered into the Administration Agreement with the Administrator under which the Administrator provides administrative services.

1 unchanged sentence

The Administrator maintains, or oversees the maintenance of, the Company's consolidated financial records, prepares reports filed with the SEC, generally monitors the payment of the Company's expenses and oversees the performance of administrative and professional services rendered by others.

The Company will reimburse the Administrator for the Company's allocable portion of overhead and other expenses incurred by the Administrator in performing its obligations to the Company under the Administration Agreement.

The Company reimburses the Administrator for the Company's allocable portion of overhead and other expenses incurred by the Administrator in performing its obligations to the Company under the Administration Agreement.

Pursuant to the Administration Agreement and further restricted by the Company, the Administrator may, in its own discretion, submit to the Company for reimbursement some or all of the expenses that the Administrator has incurred on behalf of the Company during any quarterly period.

2 unchanged sentences

The Administrator cannot recoup any expenses that the Administrator has previously waived.

For the three months ended March 31, 2022 and March 31, 2021, approximately $791 and $754, respectively, of indirect administrative expenses were included in administrative expenses of which $238 and $0, respectively, were waived by the Administrator.

As of March 31, 2022 and December 31, 2021, approximately $1,042 and $545, respectively, of indirect administrative expenses were included in payable to affiliates.

For the three months ended March 31, 2022 and March 31, 2021, the reimbursement to the Administrator represented approximately 0.02% and 0.02%, respectively, of the Company's gross assets.

For the three and six months ended June 30, 2022, approximately $567 and $1,358, respectively, of indirect administrative expenses were included in administrative expenses of which $0 and $238, respectively, were waived by the Administrator.

For the three and six months ended June 30, 2021 , approximately $667 and $1,421, respectively, of indirect administrative expenses were included in administrative expenses of which $0 and $0, respectively, were waived by the Administrator.

As of June 30, 2022 and December 31, 2021, approximately $644 and $545, respectively, of indirect administrative expenses were included in payable to affiliates.

For the three and six months ended June 30, 2022, the reimbursement to the Administrator represented approximately 0.02% and 0.03%, respectively, of the Company's gross assets.

For the three and six months ended June 30, 2021 , the reimbursement to the Administrator represented approximately 0.02% and 0.04%, respectively, of the Company's gross assets.

The Company, the Investment Adviser and the Administrator have also entered into a Trademark License Agreement, as amended, with New Mountain Capital, pursuant to which New Mountain Capital has agreed to grant the Company, the Investment Adviser and the Administrator a non-exclusive, royalty-free license to use the "New Mountain" and the "New Mountain Finance" names, as well as the NMF logo.

5 unchanged sentences

The Temporary Relief is no longer effective;

however, the Company intends to file an application to amend its existing Exemptive Order to permit the Company to continue to co-invest in its existing portfolio companies with certain affiliates that are private funds if such private funds did not have an investment in such existing portfolio company, subject to certain conditions.

however, the Company filed an application to amend its existing Exemptive Order on May 24, 2022, as amended on June 22, 2022, to permit the Company to continue to co-invest in its existing portfolio companies with certain affiliates that are private funds if such private funds did not have an investment in such existing portfolio company, subject to certain conditions.

There can be no assurance if and when the Company will receive the exemptive order.

16 unchanged sentences

Any such investments will be made only to the extent permitted by applicable law and interpretive positions of the SEC and its staff and consistent with the Investment Adviser’s allocation procedures.

On October 8, 2019, the SEC issued an exemptive order (the “Exemptive Order”), which superseded a prior order issued on December 18, 2017, which permits the Company to co-invest in portfolio companies with certain funds or entities managed by the Investment Adviser or its affiliates in certain negotiated transactions where co-investing would otherwise be prohibited under the 1940 Act, subject to the conditions of the Exemptive Order.

On October 8, 2019, the SEC issued an exemptive order (the “Exemptive Order”), which

superseded a prior order issued on December 18, 2017, which permits the Company to co-invest in portfolio companies with certain funds or entities managed by the Investment Adviser or its affiliates in certain negotiated transactions where co-investing would otherwise be prohibited under the 1940 Act, subject to the conditions of the Exemptive Order.

Pursuant to the Exemptive Order, the Company is permitted to co-invest with its affiliates if a “required majority” (as defined in Section 57(o) of the 1940 Act) of the Company's independent directors make certain conclusions in connection with a co-investment transaction, including, but not limited to, that (1) the terms of the potential co-investment transaction, including the consideration to be paid, are reasonable and fair to the Company and its stockholders and do not involve overreaching in respect of the Company or its stockholders on the part of any person concerned, and (2) the potential co-investment transaction is consistent with the interests of the Company's stockholders and is consistent with its then-current investment objective and strategies.

9 unchanged sentences

As a result of the Company's exemptive relief received on November 5, 2014, the Company is permitted to exclude its SBA-guaranteed debentures from the 150.0% asset coverage ratio that the Company is required to maintain under the 1940 Act.

The agreements governing the NMFC Credit Facility, the Convertible Notes and the Unsecured Notes contain certain covenants and terms, including a requirement that the Company not exceed a debt-to-equity ratio of 1.65 to 1.00 at the time of incurring additional indebtedness and a requirement that the Company not exceed a secured debt ratio of 0.70 to 1.00 at any time.

As of March 31, 2022, the Company’s asset coverage ratio was 181.3%.

The agreements governing the NMFC Credit Facility, the Convertible Notes and the Unsecured Notes (each defined below) contain certain covenants and terms, including a requirement that the Company not exceed a debt-to-equity ratio of 1.65 to 1.00 at the time of incurring additional indebtedness and a requirement that the Company not exceed a secured debt ratio of 0.70 to 1.00 at any time.

As of June 30, 2022, the Company’s asset coverage ratio was 178.8%.

Holdings Credit Facility —On October 24, 2017, the Company entered into the Third Amended and Restated Loan and Security Agreement among the Company, as the Collateral Manager, NMF Holdings, as the Borrower, Wells Fargo Securities, LLC, as the Administrative Agent and Wells Fargo Bank, National Association, as the Lender and Collateral Custodian (as amended from time to time, the "Holdings Credit Facility").

As of the most recent amendment on April 20, 2021, the maturity date of the Holdings Credit Facility is April 20, 2026, and the maximum facility amount is the lesser of $800,000 and the actual commitments of the lenders to make advances as of such date.

As of March 31, 2022, the maximum amount of revolving borrowings available under the Holdings Credit Facility is $730,000.

As of June 30, 2022, the maximum amount of revolving borrowings available under the Holdings Credit Facility is $730,000.

Under the Holdings Credit Facility, NMF Holdings is permitted to borrow up to 25.0%, 45.0%, 67.5% or 70.0% of the purchase price of pledged assets, subject to approval by Wells Fargo Bank, National Association.

6 unchanged sentences

From September 30, 2020 to April 19, 2021 the Holdings Credit Facility bore interest at a rate of LIBOR plus 2.00% per annum for Broadly Syndicated Loans (as defined in the Fourth Amendment Loan and Security Agreement) and LIBOR plus 2.50% per annum for all other investments.

The Holdings Credit Facility also charges a non-usage fee, based on the unused facility amount multiplied by the Non-Usage Fee Rate (as defined in the Third Amended and Restated Loan and Security Agreement).

The following table summarizes the interest expense, non-usage fees and amortization of financing costs incurred on the Holdings Credit Facility for the three months ended March 31, 2022 and March 31, 2021:

Three Months Ended

March 31, 2022 March 31, 2021

The Holdings Credit

Facility also charges a non-usage fee, based on the unused facility amount multiplied by the Non-Usage Fee Rate (as defined in the Third Amended and Restated Loan and Security Agreement).

The following table summarizes the interest expense, non-usage fees and amortization of financing costs incurred on the Holdings Credit Facility for the three and six months ended June 30, 2022 and June 30, 2021:

Three Months Ended Six Months Ended

June 30, 2022 June 30, 2021 June 30, 2022 June 30, 2021

Interest expense $ 4,269 $ 2,446 $ 7,203 $ 5,160

4 unchanged sentences

Average debt outstanding $ 583,817 $ 469,053 $ 567,033 $ 459,660

As of March 31, 2022 and December 31, 2021, the outstanding balance on the Holdings Credit Facility was $576,263 and $545,263, respectively, and NMF Holdings was in compliance with the applicable covenants in the Holdings Credit Facility on such dates.

As of June 30, 2022 and December 31, 2021, the outstanding balance on the Holdings Credit Facility was $615,463 and $545,263, respectively, and NMF Holdings was in compliance with the applicable covenants in the Holdings Credit Facility on such dates.

NMFC Credit Facility —The Amended and Restated Senior Secured Revolving Credit Agreement, (as amended from time to time, and together with the related guarantee and security agreement, the "RCA"), dated June 4, 2021, among the Company, as the Borrower, Goldman Sachs Bank USA, as the Administrative Agent and Collateral Agent, and Goldman Sachs Bank USA, Morgan Stanley Bank, N.A., Stifel Bank & Trust and MUFG Union Bank, N.A., as Lenders (the "NMFC Credit Facility"), is structured as a senior secured revolving credit facility.

1 unchanged sentence

As of the most recent amendment on June 4, 2021, the maturity date of the NMFC Credit Facility is June 4, 2026.

As of March 31, 2022, the maximum amount of revolving borrowings available under the NMFC Credit Facility was $198,500.

As of June 30, 2022, the maximum amount of revolving borrowings available under the NMFC Credit Facility was $198,500.

The Company is permitted to borrow at various advance rates depending on the type of portfolio investment, as outlined in the RCA.

3 unchanged sentences

Prior to June 4, 2021, the NMFC Credit Facility bore interest at a rate of LIBOR plus 2.50% per annum or the prime rate plus 1.50% per annum, and charged a commitment fee, based on the unused facility amount multiplied by 0.375% per annum (as defined in the RCA).

The following table summarizes the interest expense, non-usage fees and amortization of financing costs incurred on the NMFC Credit Facility for the three months ended March 31, 2022 and March 31, 2021:

Three Months Ended

March 31, 2022 March 31, 2021

The following table summarizes the interest expense, non-usage fees and amortization of financing costs incurred on the NMFC Credit Facility for the three and six months ended June 30, 2022 and June 30, 2021:

Three Months Ended Six Months Ended

June 30, 2022 June 30, 2021 June 30, 2022 June 30, 2021

Interest expense $ 1,055 $ 922 $ 1,926 $ 1,607

4 unchanged sentences

Average debt outstanding $ 144,278 $ 145,868 $ 148,401 $ 125,276

As of March 31, 2022 and December 31, 2021, the outstanding balance on the NMFC Credit Facility was $131,860 and $127,192, which included £17,400 and £16,400, respectively, denominated in British Pound Sterling ("GBP") that has been converted to U.S.

As of June 30, 2022 and December 31, 2021, the outstanding balance on the NMFC Credit Facility was $120,895 and $127,192, which included £18,800 and £16,400, respectively, denominated in British Pound Sterling ("GBP") that has been converted to U.S.

dollars, and NMFC was in compliance with the applicable covenants in the NMFC Credit Facility on such dates.

5 unchanged sentences

On May 4, 2020, the Company entered into an Amended and Restated Uncommitted Revolving Loan Agreement with NMF Investments III, L.L.C., which increased the maximum amounts of revolving borrowings available thereunder from $30,000 to $50,000.

As of March 31, 2022, the maximum amount of revolving borrowings available under the Unsecured Management Company Revolver was $50,000 and no borrowings were outstanding.

For the three months ended March 31, 2022 and March 31, 2021, amortization of financing costs were $3 and $3, respectively.

As of June 30, 2022, the maximum amount of revolving borrowings available under the Unsecured Management Company Revolver was $50,000 and no borrowings were outstanding.

For the three and six months ended June 30, 2022, amortization of financing costs were $3 and $7, respectively.

For the three and six months ended June 30, 2021, amortization of financing costs were $3 and $6, respectively.

DB Credit Facility —The Loan Financing and Servicing Agreement (the "LFSA") dated December 14, 2018 and as amended from time to time, among NMFDB as the borrower, Deutsche Bank AG, New York Branch ("Deutsche Bank") as the facility agent, Lender and other agent from time to time party thereto and U.S.

Bank National Association, as collateral agent and collateral custodian (the "DB Credit Facility"), is structured as a secured revolving credit facility and the maturity date is March 25, 2026.

As of March 31, 2022, the maximum amount of revolving borrowings available under the DB Credit Facility was $280,000.

As of June 30, 2022, the maximum amount of revolving borrowings available under the DB Credit Facility was $280,000.

The Company is permitted to borrow at various advance rates depending on the type of portfolio investment, as outlined in the LFSA.

9 unchanged sentences

The Company is also charged a non-usage fee, based on the unused facility amount multiplied by the Undrawn Fee Rate (as defined in the LFSA) and a facility agent fee of 0.25% per annum on the total facility amount.

The following table summarizes the interest expense, non-usage fees and amortization of financing costs incurred on the DB Credit Facility for the three months ended March 31, 2022 and March 31, 2021:

Three Months Ended

March 31, 2022 March 31, 2021

The following table summarizes the interest expense, non-usage fees and amortization of financing costs incurred on the DB Credit Facility for the three and six months ended June 30, 2022 and June 30, 2021:

Three Months Ended Six Months Ended

June 30, 2022 June 30, 2021 June 30, 2022 June 30, 2021

Interest expense(1) $ 2,107 $ 1,474 $ 3,873 $ 3,133

5 unchanged sentences

(1) Interest expense includes the portion of the facility agent fee applicable to the drawn portion of the DB Credit Facility and non-usage fee includes the portion of the facility agent fee applicable to the undrawn portion of the DB Credit Facility.

As of March 31, 2022 and December 31, 2021, the outstanding balance on the DB Credit Facility was $224,300 and $226,300, respectively, and NMFDB was in compliance with the applicable covenants in the DB Credit Facility on such dates.

NMNLC Credit Facility II —The Credit Agreement (together with the related guarantee and security agreement, the "NMNLC CA"), dated February 26, 2021, by and between NMNLC, as the Borrower, and City National Bank, as the Lender

(the "NMNLC Credit Facility II"), is structured as a senior secured revolving credit facility.

As of the most recent amendment on December 7, 2021, the NMNLC CA matures on February 25, 2023.

As of June 30, 2022 and December 31, 2021, the outstanding balance on the DB Credit Facility was $189,300 and $226,300, respectively, and NMFDB was in compliance with the applicable covenants in the DB Credit Facility on such dates.

As of the most recent amendment on March 16, 2022, the NMNLC CA matures on February 25, 2023.

The NMNLC Credit Facility II is guaranteed by the Company and proceeds from the NMNLC Credit Facility II are able to be used for funding of additional acquisition properties.

As of March 31, 2022, the maximum amount of revolving borrowings available under the NMNLC Credit Facility II is $20,000.

As of June 30, 2022, the maximum amount of revolving borrowings available under the NMNLC Credit Facility II is $10,000.

Prior to the amendment on December 7, 2021, the NMNLC Credit Facility II bore interest at a rate of LIBOR plus 2.75% per annum, and charged a commitment fee, based on the unused facility amount multiplied by 0.05% per annum (as defined in the NMNLC CA).

As of December 7, 2021, the NMNLC Credit Facility II bears interest at a rate of the Secured Overnight Financing Rate ("SOFR") plus 2.75% per annum with a 0.35% floor and charges a commitment fee, based on the unused facility amount multiplied by 0.05% per annum (as defined in the NMNLC CA).

For the three months ended March 31, 2022 and March 31, 2021, interest expense, non-usage fees and amortization of financing costs were $118 and $0, $1 and $0, and $27 and $8, respectively and the weighted average interest rate and effective interest rate was 3.1% and 0% and 3.9% and 0%, respectively.

As of March 31, 2022 and December 31, 2021, the outstanding balance on the NMNLC Credit Facility II was $15,200 and $15,200, respectively, and NMNLC was in compliance with the applicable covenants in the NMNLC Credit Facility II on such date.

Prior to the amendment on March 16, 2022, the maximum amount of revolving borrowings available under the NMNLC Credit Facility II was $20,000.

As of the March 16, 2022 amendment and effective May 1, 2022, the maximum amount of revolving borrowings available under the NMNLC Credit Facility II was $10,000.

For the three and six months ended June 30, 2022, interest expense, non-usage fees and amortization of financing costs were $82 and $200, $0 and $1, and $8 and $35, respectively and the weighted average interest rate and effective interest rate was 3.4% and 3.2% and 3.7% and 3.8%, respectively.

For the three and six months ended June 30, 2021, interest expense, non-usage fees and amortization of financing costs were $0 and $0, $2 and $2, and $23 and $31, respectively.

As of June 30, 2022 and December 31, 2021, the outstanding balance on the NMNLC Credit Facility II was $2,900 and $15,200, respectively, and NMNLC was in compliance with the applicable covenants in the NMNLC Credit Facility II on such date.

Convertible Notes —On August 20, 2018, the Company closed a registered public offering of $100,000 aggregate principal amount of unsecured convertible notes (the “Convertible Notes”), pursuant to an indenture, dated August 20, 2018, as supplemented by a first supplemental indenture thereto, dated August 20, 2018 (together the “2018A Indenture”).

12 unchanged sentences

These covenants are subject to limitations and exceptions that are described in the 2018A Indenture.

The following table summarizes certain key terms related to the convertible features of the Company’s Convertible Notes as of March 31, 2022:

The following table summarizes certain key terms related to the convertible features of the Company’s Convertible Notes as of June 30, 2022:

Convertible Notes

2 unchanged sentences

Initial conversion price $ 15.18

Conversion premium at March 31, 2022 10.0 %

Conversion rate at March 31, 2022(1)(2) 65.8762

Conversion price at March 31, 2022(2)(3) $ 15.18

Conversion premium at June 30, 2022 10.0 %

Conversion rate at June 30, 2022(1)(2) 65.8762

Conversion price at June 30, 2022(2)(3) $ 15.18

Last conversion price calculation date August 20, 2021

1 unchanged sentence

(2) Represents conversion rate and conversion price, as applicable, taking into account certain de minimis adjustments that will be made on the conversion date.

(3) The conversion price in effect at March 31, 2022 was calculated on the last anniversary of the issuance and will be calculated again on the next anniversary, unless the exercise price shall have changed by more than 1.0% before the anniversary.

(3) The conversion price in effect at June 30, 2022 was calculated on the last anniversary of the issuance and will be calculated again on the next anniversary, unless the exercise price shall have changed by more than 1.0% before the anniversary.

The conversion rate will be subject to adjustment upon certain events, such as stock splits and combinations, mergers, spin-offs, increases in dividends in excess of $0.34 per share per quarter and certain changes in control.

8 unchanged sentences

Earnings Per Share , the issuance is considered part of the if-converted method for calculation of diluted earnings per share.

The following table summarizes the interest expense, amortization of financing costs and amortization of premium incurred on the Convertible Notes for the three months ended March 31, 2022 and March 31, 2021:

Three Months Ended

March 31, 2022 March 31, 2021

The following table summarizes the interest expense, amortization of financing costs and amortization of premium incurred on the Convertible Notes for the three and six months ended June 30, 2022 and June 30, 2021:

Three Months Ended Six Months Ended

June 30, 2022 June 30, 2021 June 30, 2022 June 30, 2021

Interest expense $ 2,893 $ 2,893 $ 5,786 $ 5,786

4 unchanged sentences

Average debt outstanding $ 201,250 $ 201,250 $ 201,250 $ 201,250

As of March 31, 2022 and December 31, 2021, the outstanding balance on the Convertible Notes was $201,250 and $201,250, respectively, and NMFC was in compliance with the terms of the 2018A Indenture on such date.

As of June 30, 2022 and December 31, 2021, the outstanding balance on the Convertible Notes was $201,250 and $201,250, respectively, and NMFC was in compliance with the terms of the 2018A Indenture on such date.

Unsecured Notes —On May 6, 2016, the Company issued $50,000 in aggregate principal amount of five-year unsecured notes (the “2016 Unsecured Notes”), pursuant to a note purchase agreement, dated May 4, 2016, to an institutional investor in a private placement.

5 unchanged sentences

On July 5, 2018, the Company issued $50,000 in aggregate principal amount of five year unsecured notes that mature on June 28, 2023 (the "2018B Unsecured Notes") pursuant to the NPA and a third supplement to the NPA (the "Third Supplement").

On April 30, 2019, the Company issued $116,500 in aggregate principal amount of five year unsecured notes that mature on April 30, 2024 (the "2019A Unsecured Notes") pursuant to the NPA and a fourth supplement to the NPA.

On January 29, 2021, the Company issued $200,000 in aggregate principal amount of five year unsecured notes that mature on January 29, 2026 (the "2021A Unsecured Notes") pursuant to the NPA and a fifth supplement to the NPA.

On June 15, 2022, the Company issued $75,000 in aggregate principal amount of five year unsecured notes that mature on June 15, 2027 (the "2022A Unsecured Notes") pursuant to the NPA and a sixth supplement to the NPA (the "Sixth Supplement").

The NPA provides for future issuances of unsecured notes in separate series or tranches.

5 unchanged sentences

The 2021A Unsecured Notes bear interest at an annual rate of 3.875%, payable semi-annually in arrears on January 29 and July 29 of each year, which commenced on July 29, 2021.

The 2022A Unsecured Notes bear interest at an annual rate of 5.900%, payable semi-annually in arrears on June 15 and December 15 of each year.

These interest rates are subject to increase in the event that:

3 unchanged sentences

The NPA contains customary terms and conditions for unsecured notes issued in a private placement, including, without limitation, an option to offer to prepay all or a portion of the unsecured notes under its governance at par (plus a make-whole amount, if applicable), affirmative and negative covenants such as information reporting, maintenance of the Company’s status as a BDC under the 1940 Act and a RIC under the Code, minimum stockholders’ equity, minimum asset coverage ratio, and prohibitions on certain fundamental changes at the Company or any subsidiary guarantor, as well as customary events of default with customary cure and notice, including, without limitation, nonpayment, misrepresentation in a material respect, breach of covenant, cross-default under other indebtedness of the Company or certain significant subsidiaries, certain judgments and orders, and certain events of bankruptcy.

The Third Supplement includes additional financial covenants related to asset coverage as well as other terms.

On September 25, 2018, the Company closed a registered public offering of $50,000 in aggregate principal amount of five-year unsecured notes that mature on October 1, 2023 (the "5.75% Unsecured Notes" and together with the 2016 Unsecured Notes, 2017A Unsecured Notes, 2018A Unsecured Notes, 2018B Unsecured Notes, 2019A Unsecured Notes and the 2021A Unsecured Notes, the "Unsecured Notes") pursuant to an indenture, dated August 20, 2018, as supplemented by a second supplemental indenture thereto, dated September 25, 2018 (together, the "2018B Indenture").

The Third Supplement, Fourth Supplement, Fifth Supplement and Sixth Supplement all include additional financial covenants related to asset coverage as well as other terms.

On September 25, 2018, the Company closed a registered public offering of $50,000 in aggregate principal amount of five-year unsecured notes that mature on October 1, 2023 (the "5.75% Unsecured Notes" and together with the 2016 Unsecured Notes, 2017A Unsecured Notes, 2018A Unsecured Notes, 2018B Unsecured Notes, 2019A Unsecured Notes, the 2021A Unsecured Notes and the 2022A Unsecured Notes, the "Unsecured Notes") pursuant to an indenture, dated August 20, 2018, as supplemented by a second supplemental indenture thereto, dated September 25, 2018 (together, the "2018B Indenture").

On October 17, 2018, in connection with the registered public offering, the Company issued an additional $1,750 aggregate principal amount of the 5.75% Unsecured Notes pursuant to the exercise of an overallotment option by the underwriters of the 5.75% Unsecured Notes.

7 unchanged sentences

and structurally junior to all existing and future indebtedness (including trade payables) incurred by the Company’s subsidiaries and financing vehicles.

The following table summarizes the interest expense and amortization of financing costs incurred on the Unsecured Notes for the three months ended March 31, 2022 and March 31, 2021:

Three Months Ended

March 31, 2022 March 31, 2021

The following table summarizes the interest expense and amortization of financing costs incurred on the Unsecured Notes for the three and six months ended June 30, 2022 and June 30, 2021:

Three Months Ended Six Months Ended

June 30, 2022 June 30, 2021 June 30, 2022 June 30, 2021

Interest expense $ 6,154 $ 5,958 $ 12,112 $ 12,485

3 unchanged sentences

Average debt outstanding $ 524,687 $ 511,500 $ 518,130 $ 521,807

As of March 31, 2022 and December 31, 2021, the outstanding balance on the Unsecured Notes was $511,500 and $511,500, respectively, and the Company was in compliance with the terms of the NPA as of such dates, as applicable.

As of June 30, 2022 and December 31, 2021, the outstanding balance on the Unsecured Notes was $586,500 and $511,500, respectively, and the Company was in compliance with the terms of the NPA as of such dates, as applicable.

SBA-guaranteed debentures —On August 1, 2014 and August 25, 2017, respectively, SBIC I and SBIC II received licenses from the SBA to operate as SBICs.

7 unchanged sentences

In June 2018, legislation amended the 1958 Act by increasing the individual leverage limit from $150,000 to $175,000, subject to SBA approvals.

As of March 31, 2022 and December 31, 2021, SBIC I had regulatory capital of $75,000 and $75,000, respectively, and SBA-guaranteed debentures outstanding of $150,000 and $150,000, respectively.

As of March 31, 2022 and December 31, 2021, SBIC II had regulatory capital of $75,000 and $75,000, respectively, and $150,000 and $150,000, respectively, of SBA-guaranteed debentures outstanding.

As of June 30, 2022 and December 31, 2021, SBIC I had regulatory capital of $75,000 and $75,000, respectively, and SBA-guaranteed debentures outstanding of $150,000 and $150,000, respectively.

As of June 30, 2022 and December 31, 2021, SBIC II had regulatory capital of $75,000 and $75,000, respectively, and $150,000 and $150,000, respectively, of SBA-guaranteed debentures outstanding.

The SBA-guaranteed debentures incur upfront fees of 3.435%, which consists of a 1.00% commitment fee and a 2.435% issuance discount, which are amortized over the life of the SBA-guaranteed debentures.

The following table summarizes the Company’s SBA-guaranteed debentures as of March 31, 2022:

The following table summarizes the Company’s SBA-guaranteed debentures as of June 30, 2022:

Issuance Date Maturity Date Debenture Amount Interest Rate SBA Annual Charge

18 unchanged sentences

Once pooled, which occurs in March and September each year, the SBA-guaranteed debentures bear interest at a fixed rate that is set to the current 10-year treasury rate plus a spread at each pooling date.

The following table summarizes the interest expense and amortization of financing costs incurred on the SBA-guaranteed debentures for the three months ended March 31, 2022 and March 31, 2021:

Three Months Ended

March 31, 2022 March 31, 2021

The following table summarizes the interest expense and amortization of financing costs incurred on the SBA-guaranteed debentures for the three and six months ended June 30, 2022 and June 30, 2021:

Three Months Ended Six Months Ended

June 30, 2022 June 30, 2021 June 30, 2022 June 30, 2021

Interest expense $ 2,021 $ 2,021 $ 4,019 $ 4,019

6 unchanged sentences

SBICs are subject to an annual periodic examination by an SBA examiner to determine the SBIC's compliance with the relevant SBA regulations and an annual financial audit of its financial statements that are prepared on a basis of accounting other than GAAP (such as ASC 820) by an independent auditor.

As of March 31, 2022 and December 31, 2021, SBIC I and SBIC II were in compliance with SBA regulatory requirements.

As of June 30, 2022 and December 31, 2021, SBIC I and SBIC II were in compliance with SBA regulatory requirements.

Leverage risk factors —The Company utilizes and may utilize leverage to the maximum extent permitted by the law for investment and other general business purposes.

8 unchanged sentences

The Company has elected to be treated, and intends to comply with the requirements to continue to qualify annually, as a RIC under Subchapter M of the Code.

In order to continue to qualify and be subject to tax as a RIC, among other things, the Company is required to timely distribute to its stockholders at least 90.0% of its investment company taxable income, as defined by the Code, for each year.

In order to continue to qualify and be subject to tax treatment as a RIC, among other things, the Company is required to timely distribute to its stockholders at least 90.0% of its investment company taxable income, as defined by the Code, for each year.

The Company, among other things, intends to make and will continue to make the requisite distributions to its stockholders, which will generally relieve the Company from U.S.

federal, state, and local income taxes (excluding excise taxes which may be imposed under the Code).

Additionally, as a BDC, the Company must not acquire any assets other than "qualifying assets" specified in the 1940 Act unless, at the time the acquisition is made, at least 70.0% of its total assets are qualifying assets (with certain limited exceptions).

Additionally, as a BDC, the Company must not acquire any assets other than "qualifying assets" as defined in Section 55(a) of the 1940 Act unless, at the time the acquisition is made, at least 70.0% of its total assets are qualifying assets (with certain limited exceptions).

In addition, the Company must offer to make available to all "eligible portfolio companies" (as defined in the 1940 Act) significant managerial assistance.

2 unchanged sentences

The Company may also enter into future funding commitments such as revolving credit facilities, bridge financing commitments or delayed draw commitments.

As of March 31, 2022, the Company had unfunded commitments on revolving credit facilities of $94,031, no outstanding bridge financing commitments and other future funding commitments of $144,268.

As of June 30, 2022, the Company had unfunded commitments on revolving credit facilities of $98,487, no outstanding bridge financing commitments and other future funding commitments of $182,299.

As of December 31, 2021, the Company had unfunded commitments on revolving credit facilities of $86,989, no outstanding bridge financing commitments and other future funding commitments of $128,446.

The unfunded commitments on revolving credit facilities and delayed draws are disclosed on the Company’s Consolidated Schedules of Investments.

The Company also had revolving borrowings available under the Holdings Credit Facility, the DB Credit Facility, the NMFC Credit Facility, the Unsecured Management Company Revolver and the NMNLC Credit Facility II as of March 31, 2022 and December 31, 2021.

Borrowings , for details.

The Company may from time to time enter into financing commitment letters.

As of March 31, 2022 and December 31, 2021, the Company had commitment letters to purchase investments in the aggregate par amount of $53,989 and $6,800, respectively, which could require funding in the future.

As of June 30, 2022 and December 31, 2021, the Company had commitment letters to purchase investments in the aggregate par amount of $62,086 and $6,800, respectively, which could require funding in the future.

COVID-19 Developments

On March 11, 2020 the World Health Organization declared COVID-19 a global pandemic and recommended containment and mitigation measures worldwide.

The net asset value of the Company experienced a significant reduction from the period of March 31, 2020 through December 31, 2020 as compared to its net asset value as of December 31, 2019, due to an increase in unrealized depreciation of its investment portfolio resulting from decreases in fair value of investments.

These decreases were attributable to the impact of the COVID-19 pandemic on the markets.

As of March 31, 2022, the net asset value of the Company has experienced a recovery from that of March 31, 2020.

The Company has been closely monitoring, and will continue to monitor, the impact of the COVID-19 pandemic, including those caused by variants such as the delta and omicron variants, as well as any other variants, and its impact on all aspects of the Company's business, including how it will impact the Company's portfolio companies, employees, due diligence and underwriting processes, and financial markets.

Further, the operational and financial performance of the portfolio companies in which the Company makes investments may be significantly impacted by COVID-19, which may in turn impact the valuation of the Company's investments.

The Company believes that its portfolio companies have taken, and continue to take, immediate actions to effectively and efficiently respond to the challenges posed by COVID-19 and related restrictions imposed by state and local governments, including developing liquidity plans supported by internal cash reserves, and shareholder support.

The COVID-19 pandemic and preventative measures taken to contain or mitigate its spread have caused, and are continuing to cause, business shutdowns and cancellations of events and travel.

In addition, while consumer demand for

goods and services has begun to rebound, we continue to see reductions in business activity and financial transactions, supply chain interruptions and overall economic and financial market instability both in the United States and globally.

Such effects will likely continue for the duration of the pandemic, which is uncertain, and for some period thereafter.

The extent of the impact of the COVID-19 pandemic on the financial performance of our current and future investments will depend on future developments, including the duration and spread of the outbreak, how quickly vaccines will continue to be distributed nationwide and globally, whether a "herd immunity" will be achieved, whether the restrictions that were imposed to slow the spread of the virus will be lifted entirely and the impact of the COVID-19 pandemic on the financial markets and the overall economy, all of which are highly uncertain and cannot be predicted.

To the extent the Company’s portfolio companies are adversely impacted by the continued effects of the COVID-19 pandemic, the Company may experience a material adverse impact on the its future net investment income, the fair value of its portfolio investments, its financial condition and the results of operations and financial condition of its portfolio companies.

The table below illustrates the effect of certain transactions on the net asset accounts of the Company during the three months ended March 31, 2022:

The Company's operating results and portfolio companies may be negatively impacted by the ongoing COVID-19 pandemic.

The Company has been closely monitoring, and will continue to monitor, the impact of the COVID-19 pandemic, including new variants of COVID-19, on all aspects of its business, including how it will impact the Company's portfolio companies, employees, due diligence, and the financial markets.

Any effects of the COVID-19 pandemic will likely continue for the duration of the pandemic, which is uncertain, and for some period thereafter.

The extent of the impact of the COVID-19 pandemic on the financial performance of the Company's current and future investments will depend on future developments, including the duration and spread of the virus, related advisories and restrictions, and the health of the financial markets and economy, all of which are highly uncertain and cannot be predicted.

To the extent the Company's portfolio companies are adversely impacted by the effects of the COVID-19 pandemic, it may have a material adverse impact on the Company's future net investment income, the fair value of the Company's portfolio investments and the Company's financial condition.

Even after the COVID-19 pandemic subsides, the U.S.

economy and most other major global economies may continue to experience downturns, and the Company anticipates its

business and operations could be materially adversely affected by a prolonged recession in the United States and other major markets.

The table below illustrates the effect of certain transactions on the net asset accounts of the Company during the three and six months ended June 30, 2022:

Accumulated Overdistributed Earnings

11 unchanged sentences

Net assets at March 31, 2022 99,498,562 $ 995 $ 1,294,300 $ 118,314 $ (74,503) $ 10,262 $ 1,349,368 $ 18,472 $ 1,367,840

The table below illustrates the effect of certain transactions on the net asset accounts of the Company during the three months ended March 31, 2021:

Accumulated Overdistributed Earnings

Issuances of common stock 1,218,366 12 16,565 — — — 16,577 — 16,577

Offering costs — — (74) — — — (74) (74)

Distributions declared — — — (30,215) — — (30,215) (4,190) (34,405)

Contributions related to non-controlling interest in NMNLC — — — — — — — 123 123

Net increase (decrease) in net assets resulting from operations — — — 31,396 14,849 (30,291) 15,954 (814) 15,140

Net assets at June 30, 2022 100,716,928 $ 1,007 $ 1,310,791 $ 119,495 $ (59,654) $ (20,029) $ 1,351,610 $ 13,591 $ 1,365,201

The table below illustrates the effect of certain transactions on the net asset accounts of the Company during the three and six months ended June 30, 2021:

Accumulated Undistributed (Overdistributed) Earnings

Common Stock Paid in

1 unchanged sentence

Net Investment Accumulated Net Realized

Unrealized (Depreciation) Total Net Assets Non-Controlling Interest in Total

Shares Par Amount of Par Income Losses Appreciation of NMFC NMNLC Net Assets

Unrealized Appreciation Total Net Assets Non-Controlling Interest in Total

Shares Par Amount of Par Income Gains (Depreciation) of NMFC NMNLC Net Assets

Net assets at December 31, 2020 96,827,342 $ 968 $ 1,269,671 $ 105,981 $ (88,250) $ (66,495) $ 1,221,875 $ 15,014 $ 1,236,889

3 unchanged sentences

Net assets at March 31, 2021 96,827,342 $ 968 $ 1,269,671 $ 105,601 $ (98,746) $ (33,177) $ 1,244,317 $ 18,481 $ 1,262,798

Issuances of common stock 79,646 1 1,048 — — — 1,049 — 1,049

Distributions declared — — — (29,048) — — (29,048) (330) (29,378)

Distributions related to non-controlling interest in NMNLC — — — — — — — (2,561) (2,561)

Net increase in net assets resulting from operations — — — 28,845 180 46,787 75,812 3,366 79,178

Net assets at June 30, 2021 96,906,988 $ 969 $ 1,270,719 $ 105,398 $ (98,566) $ 13,610 $ 1,292,130 $ 18,956 $ 1,311,086

On November 3, 2021, the Company entered into an equity distribution agreement (the “Distribution Agreement”) with B.

2 unchanged sentences

(collectively, the “Agents”).

The Distribution Agreement

provides that the Company may issue and sell its shares from time to time through the Agents, up to $250,000 worth of its common stock by means of at-the-market ("ATM") offerings.

For the three months ended March 31, 2022, the Company sold 1,511,836 shares of common stock under the Distribution Agreement.

For the same period, the Company received total accumulated net proceeds of approximately $20,474, including $295 of offering expenses, from these sales.

The Distribution Agreement provides that the Company may issue and sell its shares from time to time through the Agents, up to $250,000 worth of its common stock by means of at-the-market ("ATM") offerings.

For the three and six months ended June 30, 2022, the Company sold 1,218,366 and 2,730,202, respectively, shares of common stock under the Distribution Agreement.

For the same period, the Company received total accumulated net proceeds of approximately $16,577 and $37,051, respectively, including $132 and $427, respectively, of offering expenses, from these sales.

The Company generally uses net proceeds from these ATM offerings to make investments, to pay down liabilities and for general corporate purposes.

As of March 31, 2022, shares representing approximately $216,615 of its common stock remain available for issuance and sale under the Distribution Agreement.

As of June 30, 2022, shares representing approximately $199,906 of its common stock remain available for issuance and sale under the Distribution Agreement.

Earnings Per Share

The following information sets forth the computation of basic and diluted net increase in the Company’s net assets per share resulting from operations for the three months ended March 31, 2022 and March 31, 2021:

Three Months Ended

March 31, 2022 March 31, 2021

The following information sets forth the computation of basic and diluted net increase in the Company’s net assets per share resulting from operations for the three and six months ended June 30, 2022 and June 30, 2021:

Three Months Ended Six Months Ended

June 30, 2022 June 30, 2021 June 30, 2022 June 30, 2021

Earnings per share—basic

16 unchanged sentences

(1) In applying the if-converted method, conversion is not assumed for purposes of computing diluted earnings per share if the effect would be anti-dilutive.

For the three months ended March 31, 2022 and March 31, 2021, there was no anti-dilution.

For the three and six months ended June 30, 2022 and June 30, 2021, there was no anti-dilution.

Financial Highlights

The following information sets forth the Company's financial highlights for the three months ended March 31, 2022 and March 31, 2021:

Three Months Ended

March 31, 2022 March 31, 2021

The following information sets forth the Company's financial highlights for the six months ended June 30, 2022 and June 30, 2021:

Six Months Ended

June 30, 2022 June 30, 2021

Per share data(1):

1 unchanged sentence

Net investment income 0.61 0.59

Net realized and unrealized gains 0.07 0.23

Net realized and unrealized (losses) gains (0.08) 0.72

Total net increase 0.53 1.31

Distributions declared to stockholders from net investment income (0.60) (0.60)

Net asset value, March 31, 2022 and March 31, 2021, respectively $ 13.56 $ 12.85

Per share market value, March 31, 2022 and March 31, 2021, respectively $ 13.85 $ 12.40

Net asset value, June 30, 2022 and June 30, 2021, respectively $ 13.42 $ 13.33

Per share market value, June 30, 2022 and June 30, 2021, respectively $ 11.91 $ 13.17

Total return based on market value(2) (9.00) % 21.38 %

12 unchanged sentences

Average debt outstanding—Convertible Notes 201,250 201,250

Average debt outstanding—NMFC Credit Facility(4) 152,570 104,456

Average debt outstanding—NMNLC Credit Facility II 15,200 —

Asset coverage ratio(5) 181.26 % 184.58 %

Portfolio turnover 2.94 % 6.69 %

(1) Per share data is based on weighted average shares outstanding for the respective period (except for distributions declared to stockholders, which is based on actual rate per share).

(2) Total return is calculated assuming a purchase of common stock at the opening of the first day of the year and a sale on the closing of the last business day of the period.

Dividends and distributions, if any, are assumed for purposes of this calculation, to be reinvested at prices obtained under the Company’s dividend reinvestment plan.

Total return does not reflect sales load.

(3) Total return is calculated assuming a purchase at net asset value on the opening of the first day of the year and a sale at net asset value on the last day of the period.

Dividends and distributions, if any, are assumed for purposes of this calculation, to be reinvested at the net asset value on the last day of the respective quarter.

Total return does not reflect sales load.

(4) Under the NMFC Credit Facility, the Company may borrow in U.S.

dollars or certain other permitted currencies.

As of March 31, 2022, the Company had borrowings denominated in GBP of £17,400 that has been converted to U.S.

(5) On November 5, 2014, the Company received exemptive relief from the SEC allowing the Company to modify the asset coverage requirement to exclude the SBA-guaranteed debentures from this calculation.

Recent Accounting Standards Updates

In March 2020, the Financial Accounting Standards Board (the "FASB") issued ASU 2020-04, Reference Rate Reform.

The amendments in ASU 2020-04 provide optional expedients and exceptions for applying GAAP to contracts, hedging relationships, and other transactions affected by reference rate reform if certain criteria are met.

The standard is effective as of March 12, 2020 through December 31, 2022.

Management is currently evaluating the impact of the optional guidance on the Company's consolidated financial statements and disclosures.

The Company did not utilize the optional expedients and exceptions provided by ASU 2020-04 during the quarter ended March 31, 2022.

Rule 2a-5 under the 1940 Act was recently adopted by the SEC and establishes requirements for determining fair value in good faith for purposes of the 1940 Act.

The Company is evaluating the impact of adopting Rule 2a-5 on the consolidated financial statements and intends to comply with the new rule’s requirements on or before the compliance date in September 2022.

Subsequent Events

On May 3, 2022, the Company’s board of directors declared a second quarter 2022 distribution of $0.30 per share payable on June 30, 2022 to holders of record as of June 16, 2022.

Deloitte & Touche LLP

30 Rockefeller Plaza

New York, NY 10112

www.deloitte.com

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the shareholders and the board of directors of New Mountain Finance Corporation

Results of Review of Interim Financial Information

We have reviewed the accompanying consolidated statement of assets and liabilities of New Mountain Finance Corporation and subsidiaries (the “Company”), including the consolidated schedule of investments, as of March 31, 2022, and the related consolidated statements of operations, changes in net assets, and cash flows for the three-month periods ended March 31, 2022 and 2021, and the related notes (collectively referred to as the "interim financial information").

Based on our reviews, we are not aware of any material modifications that should be made to the accompanying interim financial information for it to be in conformity with accounting principles generally accepted in the United States of America.

We have previously audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (PCAOB), the consolidated statement of assets and liabilities of the Company, including the consolidated schedule of investments, as of December 31, 2021, and the related consolidated statements of operations, changes in net assets and cash flows for the year then ended (not presented herein);

and in our report dated February 28, 2022, we expressed an unqualified opinion on those consolidated financial statements.

In our opinion, the information set forth in the accompanying consolidated statement of assets and liabilities as of December 31, 2021, is fairly stated, in all material respects, in relation to the consolidated statement of assets and liabilities from which it has been derived.

Basis for Review Results

This interim financial information is the responsibility of the Company's management.

We are a public accounting firm registered with the 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 reviews in accordance with standards of the PCAOB.

A review of interim financial information consists principally of applying analytical procedures and making inquiries of persons responsible for financial and accounting matters.

It is substantially less in scope than an audit conducted in accordance with the standards of the PCAOB, the objective of which is the expression of an opinion regarding the financial statements taken as a whole.

Accordingly, we do not express such an opinion.

/s/ DELOITTE & TOUCHE LLP

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements