What changed in this filing

/stocks — the workspaceLOADING

Item 1. Financial Statements

2023-05-10 compared with 2022-11-02 · 705 added, 631 removed, 1199 unchanged (53% of the section changed)

3 unchanged sentences

(in thousands, except share amounts)

September 30,

March 31, 2023

Investments at fair value:

9 unchanged sentences

Prepaid expenses and other assets

Debt ($ 1,156,200 and $ 818,500 face amounts, respectively, reported net of unamortized debt issuance costs/market discount of $ 7,909 and $ 6,462 , respectively.

Debt ($ 1,122,200 and $ 1,093,200 face amounts, respectively, reported net of unamortized debt issuance costs of $ 6,678 and $ 7,202 , respectively.

See notes 6 and 7)

18 unchanged sentences

Three months ended

Nine months ended

September 30, 2022

September 30, 2021

September 30, 2022

September 30, 2021

March 31, 2023

March 31, 2022

INVESTMENT INCOME:

1 unchanged sentence

Companies more than 25% owned

Companies less than 5% owned

Companies more than 25% owned

12 unchanged sentences

REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND CASH EQUIVALENTS:

Net realized gain (loss) on investments and cash equivalents (companies less than 5% owned)

Net realized gain on investments and cash equivalents (companies less than 5% owned)

Net change in unrealized gain (loss) on investments and cash equivalents:

1 unchanged sentence

Companies more than 25% owned

Net change in unrealized gain (loss) on investments and cash equivalent s

Net realized and unrealized gain (loss) on investments and cash equivalents

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS

EARNINGS (LOSS) PER SHARE (see note 5)

Net change in unrealized loss on investments and cash equivalents

Net realized and unrealized loss on investments and cash equivalents

NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS

EARNINGS PER SHARE (see note 5)

See notes to consolidated financial statements.

3 unchanged sentences

Three months ended

Nine months ended

September 30, 2022

September 30, 2021

September 30, 2022

September 30, 2021

March 31, 2023

March 31, 2022

Increase (decrease) in net assets resulting from operations:

Net investment income

Net realized gain (loss)

Net change in unrealized gain (loss)

Net increase (decrease) in net assets resulting from operations

Net realized gain

Net change in unrealized loss

Net increase in net assets resulting from operations

Distributions to stockholders:

4 unchanged sentences

(see note 12) :

Issuance of common stock

Total increase (decrease) in net assets

Repurchases of common stock

Total decrease in net assets

Net assets at beginning of period

2 unchanged sentences

(see note 12) :

Issuance of common stock

Repurchases of common stock

See notes to consolidated financial statements.

2 unchanged sentences

(in thousands)

Nine months ended

September 30, 2022

September 30, 2021

Three months ended

March 31, 2023

March 31, 2022

Cash Flows from Operating Activities:

Net increase (decrease) in net assets resulting from

Adjustments to reconcile net increase (decrease) in net assets resulting from operations to net cash provided by operating activities:

Net realized (gain) loss on investments and cash equivalents

Net change in unrealized (gain) loss on investments

Net increase in net assets resulting from

Adjustments to reconcile net increase in net assets resulting from operations to net cash provided by operating activities:

Net realized gain on investments and cash equivalents

Net change in unrealized loss on investments

(Increase) decrease in operating assets:

8 unchanged sentences

Prepaid expenses and other assets

Cash acquired in merger

Increase (decrease) in operating liabilities:

6 unchanged sentences

Deferred financing costs/market discount

Net Cash Provided by (Used in) Operating Activities

Net Cash Provided by Operating Activities

Cash Flows from Financing Activities:

4 unchanged sentences

Repayment of secured borrowings

Repurchase of common stock

Net Cash Provided by (Used in) Financing Activities

NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS

NET INCREASE IN CASH AND CASH EQUIVALENTS

CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD

2 unchanged sentences

Cash paid for interest

Issuance of shares in connection with the Merger (1)

On April 1, 2022, in connection with the Merger (as defined in Note 1 “Organization”), the Company acquired net assets of $ 244,691 for the total stock consideration of $ 226,839 .

For further details, refer to Note 16 “Merger with SUNS”.

See notes to consolidated financial statements.

1 unchanged sentence

CONSOLIDATED SCHEDULE OF INVESTMENTS (unaudited)

September 30, 202 2

(in thousands, except share/unit amount s

March 31, 2023

(in thousands, except share/unit amounts)

Senior Secured Loans — 127.7 %

1 unchanged sentence

Aegis Toxicology Sciences Corporation(16)

Health Care Providers & Services

All State Ag Parts, LLC(16)

Trading Companies & Distributors

American Teleconferencing Services, Ltd.**

Communications Equipment

Communications

American Teleconferencing Services, Ltd.**

Communications Equipment

Communications

AmeriMark Intermediate Holdings, LLC(14)**

Internet & Catalog Retail

Internet & Catalog

Apex Services Partners, LLC(16)

Diversified Consumer Services

Consumer Services

Atria Wealth Solutions, Inc.(16)

Diversified Financial Services

Financial Services

Basic Fun, Inc.(16)

1 unchanged sentence

BayMark Health Services, Inc.(16)

Health Care Providers & Services

BDG Media, Inc.

1 unchanged sentence

(Spectrum Automotive)(16)

Diversified Consumer Services

Consumer Services

Composite Technology Acquisition Corp.(16)

2 unchanged sentences

Food Products

DeepIntent, Inc.

Enhanced Permanent Capital, LLC(3)

2 unchanged sentences

& ES Opco USA LLC (Bluefin)(16)

Trading Companies & Distributors

Enverus Holdings, Inc.

2 unchanged sentences

Building Products

Fertility (ITC) Investment Holdco, LLC

Foundation Consumer Brands, LLC(16)

1 unchanged sentence

GSM Acquisition Corp.(16)

Leisure Equipment & Products

Higginbotham Insurance Agency, Inc.(16)

1 unchanged sentence

Human Interest Inc.

Internet Software & Services

Inszone Mid, LLC

Ivy Fertility Services, LLC

Health Care Providers & Services

Internet Software &

Kaseya, Inc.(16)

Kid Distro Holdings, LLC (Distro Kid)(16)

Kingsbridge Holdings, LLC(2)

Multi-Sector Holdings

KORE Wireless Group, Inc.(16)

Wireless Telecommunication Services

Telecommunication

Logix Holding Company, LLC(16)

Communications Equipment

Communications

Luxury Asset Capital, LLC(16)

Thrifts & Mortgage Finance

Thrifts & Mortgage

Maurices, Incorporated(16)

Specialty Retail

MMIT Holdings, LLC

Maxor Acquisition, Inc.

Montefiore Nyack Hospital

Health Care Providers & Services

NAC Holdings Corporation (Jaguar)(16)

National Spine and Pain Centers, LLC

Health Care Providers & Services

OIS Management Services, LLC

Health Care Providers & Services

NSPC Intermediate Corp.

(National Spine)

One Touch Direct, LLC

Commercial Services & Supplies

Orthopedic Care Partners Management, LLC

Health Care Providers & Services

Pediatric Home Respiratory Services, LLC

Health Care Providers & Services

Foy & Associates Insurance Services, LLC

PhyNet Dermatology LLC

Health Care Providers & Services

Pinnacle Treatment Centers, Inc.(16)

Health Care Providers & Services

Plastics Management, LLC(16)

Health Care Providers & Services

PPT Management Holdings, LLC(16)

Health Care Providers & Services

RQM+ Corp.(16)

Life Sciences Tools & Services

Life Sciences

Tools & Services

RSC Acquisition, Inc.(16)

RxSense Holdings LLC(16)

Diversified Consumer Services

SHO Holding I Corporation (Shoes for Crews)(16)

Consumer Services

SCP Eye Care, LLC

SHO Holding I Corporation (Shoes for

Southern Orthodontic Partners Management, LLC(16)

Health Care Providers & Services

SPAR Marketing Force, Inc

Stryten Resources LLC

Auto Parts & Equipment

SunMed Group Holdings, LLC(16)

Health Care Equipment & Supplies

TAUC Management, LLC(16)

Health Care Providers & Services

Tilley Distribution, Inc.(16)

Trading Companies & Distributors

Ultimate Baked Goods Midco LLC (Rise Baking)(16)

Packaged Foods & Meats

Packaged Foods &

United Digestive MSO Parent, LLC

Urology Management Holdings, Inc.

Vessco Midco Holdings, LLC(16)

4 unchanged sentences

ACRES Commercial Mortgage, LLC

Diversified Financial Services

Varilease Finance, Inc.

Multi-Sector Holdings

Total Second Lien Asset-Based Senior Secured Loans

Financial Services

Second Lien Bank Debt/Senior Secured Loans

RD Holdco, Inc.** (2)

Diversified Consumer Services

Total Second Lien Bank Debt/Senior Secured Loans

Consumer Services

See notes to consolidated financial statements.

1 unchanged sentence

CONSOLIDATED SCHEDULE OF INVESTMENTS (unaudited) (continued)

September 30, 2022

(in thousands, except share/unit amount s

March 31, 2023

(in thousands, except share/unit amounts)

Senior Secured Loans (continued) —

8 unchanged sentences

Pharmaceuticals

Axcella Health Inc.

Pharmaceuticals

BridgeBio Pharma, Inc.(3)

3 unchanged sentences

Cerapedics, Inc.

Health Care Equipment & Supplies

Biotechnology

Glooko, Inc.(16)

Health Care Technology

Meditrina, Inc.

Health Care Equipment &

Neuronetics, Inc.(16)

Health Care Equipment & Supplies

Health Care Equipment &

OmniGuide Holdings, Inc.

Health Care Equipment & Supplies

Rubius Therapeutics, Inc.(16)

Pharmaceuticals

scPharmaceuticals, Inc.(16)

Pharmaceuticals

Health Care Equipment &

Outset Medical, Inc.(3)

Health Care Equipment &

Spectrum Pharmaceuticals, Inc.(16)

1 unchanged sentence

Vapotherm, Inc.

Health Care Equipment & Supplies

Health Care Equipment &

Total First Lien Life Science Senior Secured Loans

1 unchanged sentence

Equipment Financing — 26.2 %

A&A Crane and Rigging, LLC (10)

Commercial Services & Supplies

Aero Operating LLC (10)

1 unchanged sentence

3/1/2025 - 12/1/2026

AFG Dallas III, LLC (10)

1 unchanged sentence

10.00 - 11.29

Air Methods Corporation (10)

8/11/2026 - 3/1/2027

Air Methods Corporation (10)

11/3/2026 - 11/23/2026

1 unchanged sentence

Commercial Services & Supplies

Blackhawk Mining, LLC (10)

Oil, Gas & Consumable Fuels

Bazzini, LLC (10)

Food & Staples Retailing

Boart Longyear Company (10)

1 unchanged sentence

7/1/2024 - 10/7/2026

7/1/2024 - 1/1/2026

Bowman Energy Solutions, LLC (10)

Commercial Services & Supplies

Oil, Gas & Consumable Fuels

Capital City Jet Center, Inc.

10/4/2023 - 6/22/2026

Champion Air, LLC (10)

Carolina’s Contracting, LLC (10)

Diversified Consumer Services

CKD Holdings, Inc.

6/22/2026 - 9/22/2027

6/22/26 - 9/22/27

Clubcorp Holdings, Inc.

1 unchanged sentence

4/1/2025 - 4/1/2028

4/1/2025 - 10/1/2027

Complete Equipment Rentals, LLC (10)

Commercial Services & Supplies

Dongwon Autopart Technology Inc.

Auto Components

Drillers Choice, Inc.

Commercial Services & Supplies

EasyPak, LLC (10)

2 unchanged sentences

Diversified Consumer Services

12/9/2025 - 9/1/2027

Environmental Protection & Improvement Company, LLC (10)

1 unchanged sentence

Multi-Sector Holdings

Extreme Steel Crane & Rigging, LLC (10)

Commercial Services & Supplies

First American Commercial Bancorp, Inc.

1 unchanged sentence

10/1/2026 - 3/1/2027

11/1/2026 - 4/1/2027

First National Capital, LLC (10)

5 unchanged sentences

6/5/2023 - 10/5/2023

Georgia Jet, Inc.

5 unchanged sentences

5/1/2024 - 9/1/2025

International Automotive Components Group, North America, Inc.

1 unchanged sentence

Kool Pak, LLC (10)

Loc Performance Products, LLC (10)

Loyer Capital LLC (2)(12)

1 unchanged sentence

5/16/2024 - 9/25/2024

5/16/24 - 9/25/24

Lux Credit Consultants, LLC (10)

12/1/2024 - 12/1/2026

12/1/2024 - 10/1/2026

Lux Vending, LLC (10)

4 unchanged sentences

Commercial Services & Supplies

PCX Aerostructures LLC (10)

Aerospace & Defense

Rane Light Metal Castings Inc.

1 unchanged sentence

6/1/2023 - 11/1/2024

4/1/2023 - 11/1/2024

Royal Coach Lines, Inc.(10)

Royal Express Inc.

Sidelines Tree Service LLC (10)

Rotten Rock Hardscaping & Tree Service (10)

Diversified Consumer Services

Signet Marine Corporation (10)

Transportation Infrastructure

SLR Equipment Finance(2)

3 unchanged sentences

9/15/2026 - 12/29/2029

9/15/2026 - 7/1/2029

ST Coaches, LLC (10)

7/1/2023 - 1/25/2025

10/1/2022 - 1/25/2025

Star Coaches Inc.

6 unchanged sentences

11/1/2024 - 12/1/2026

Up Trucking Services, LLC (10)

Warrior Crane Services, LLC (10)

Crane & Rigging, LLC (10)

Commercial Services & Supplies

8/1/2024 - 8/1/2026

Up Trucking Services, LLC (10)

Wind River Environmental, LLC (10)

1 unchanged sentence

8/1/2024 - 10/5/2025

8/1/2024 - 10/5/25

Womble Company, Inc.

2 unchanged sentences

Transportation Infrastructure

9/23/2027 - 4/1/2028

Zamborelli Enterprises Pacific Souther Foundation (10)

Diversified Consumer Services

SLR Equipment Finance Equity Interests (2)(9)(17)*

1 unchanged sentence

Total Equipment Financing

Preferred Equity – 0.4 %

SOINT, LLC (2)(3)(4)

Aerospace & Defense

Total Preferred Equity

See notes to consolidated financial statements.

1 unchanged sentence

CONSOLIDATED SCHEDULE OF INVESTMENTS (unaudited) (continued)

September 30, 202 2

March 31, 2023

(in thousands, except share/unit amounts)

Preferred Equity – 0.4 %

SOINT, LLC (2)(3)(4)

Aerospace & Defense

Common Equity/Equity Interests/Warrants— 57.9 %

13 unchanged sentences

Multi-Sector Holdings

Meditrina, Inc.

Health Care Equipment & Supplies

NSPC Holdings, LLC (National Spine) *

Health Care Providers & Services

RD Holdco, Inc.

15 unchanged sentences

Diversified Financial Services

SLR Senior Lending Program LLC (2)(3)(25)

Asset Management

Spectrum Pharmaceuticals, Inc.

Biotechnology

TwentyEighty Investors, LLC*

Professional Services

Vapotherm, Inc.

11 unchanged sentences

Floating rate debt investments typically bear interest at a rate determined by reference to the London Interbank Offered Rate (“LIBOR” or “L”), the Secured Overnight Financing Rate (“SOFR” or “S”) or the prime index rate (“PRIME” or “P”), and which typically reset monthly, quarterly or semi-annually.

For each debt investment we have provided the current rate of interest, or in the case of leases the current implied yield, in effect as of September 30, 2022.

Denotes investments in which we are deemed to exercise a controlling influence over the management or policies of a company, as defined in the Investment Company Act of 1940, as amended (“1940 Act”), due to beneficially owning, either directly or through one or more controlled companies, more than 25 % of the outstanding voting securities of the investment.

Transactions during the nine months ended September 30, 2022 in these controlled investments are as follows:

For each debt investment we have provided the current rate of interest, or in the case of leases the current implied yield, in effect as of March 31, 2023.

Denotes investments in which we are deemed to exercise a controlling influence over the management or policies of a company, as defined in the Investment Company Act of 1940, as amended (the “1940 Act”), due to beneficially owning, either directly or through one or more controlled companies, more than 25 % of the outstanding voting securities of the investment.

Transactions during the three months ended March 31, 2023 in these controlled investments are as follows:

Name of Issuer

3 unchanged sentences

Fair Value at

September 30, 2022

March 31, 2023

Equipment Operating Leases, LLC

9 unchanged sentences

RD Holdco, Inc.

SLR Business Credi t

SLR Business Credit

SLR Credit Solutions

2 unchanged sentences

SLR Healthcare ABL

SLR Senior Lending Program LLC

See notes to consolidated financial statements.

1 unchanged sentence

CONSOLIDATED SCHEDULE OF INVESTMENTS (unaudited) (continued)

September 30, 2022

March 31, 2023

(in thousands)

2 unchanged sentences

investments in existing portfolio companies or could be required to dispose of investments at inappropriate times in order to comply with the 1940 Act.

As of September 30, 2022, on a fair value basis, non-qualifying

As of March 31, 2023, on a fair value basis, non-qualifying

assets in the portfolio represented 24.3 % of the total assets of the Company.

The Company’s investment in SOINT, LLC include a one dollar investment in common shares.

The Company’s investment in SOINT, LLC includes a one dollar investment in common shares.

Kingsbridge Holdings, LLC is held through KBH Topco LLC, a Delaware corporation.

29 unchanged sentences

See note 14 to the consolidated financial statements.

BridgeBio Pharma, Inc.

may elect to defer up to 3.00 % of the coupon as PIK.

OmniGuide Holdings, Inc.

may elect to defer up to 10.00 % of the coupon as PIK.

Vapotherm, Inc.

may elect to defer up to 9.00 % of the coupon as PIK.

See note 17 to the consolidated financial statements.

may elect to defer up to 3.875 % of the coupon as PIK.

producing security.

3 unchanged sentences

CONSOLIDATED SCHEDULE OF INVESTMENTS (unaudited) (continued)

September 30, 2022

March 31, 2023

(in thousands)

2 unchanged sentences

Investments (at fair value) as

of September 30, 2022

of March 31, 2023

Diversified Financial Services (includes SLR Credit Solutions, SLR Business Credit and SLR Healthcare ABL)

Multi-Sector Holdings (includes Kingsbridge Holdings, LLC, SLR Equipment Finance, Equipment Operating Leases, LLC and Loyer Capital LLC)

Pharmaceuticals

Health Care Providers & Services

Health Care Equipment & Supplies

Pharmaceuticals

Biotechnology

Diversified Consumer Services

Wireless Telecommunication Services

Personal Products

Capital Markets

Personal Products

Thrifts & Mortgage Finance

Life Sciences Tools & Services

Auto Parts & Equipment

Packaged Foods & Meats

Internet & Catalog Retail

Building Products

Life Sciences Tools & Services

Commercial Services & Supplies

Wireless Telecommunication Services

Internet Software & Services

Building Products

Trading Companies & Distributors

Commercial Services & Supplies

Health Care Technology

Transportation Infrastructure

Communications Equipment

Specialty Retail

Internet & Catalog Retail

Leisure Equipment & Products

Food Products

Auto Components

Specialty Retail

Asset Management

Hotels, Restaurants & Leisure .

Metals & Mining

Auto Components

Oil, Gas & Consumable Fuels

Aerospace & Defense

Consumer Finance

Food Products

Metals & Mining

Food & Staples Retailing

Water Utilities

Consumer Finance

Construction & Engineering

Energy Equipment & Services

Oil, Gas & Consumable Fuels

Containers & Packaging

Transportation Infrastructure

Professional Services

Total Investments

7 unchanged sentences

Aegis Toxicology Sciences Corporation(16)

Health Care Providers & Services

Alteon Health, LLC

Health Care Providers & Services

Health Care Providers &

All State Ag Parts, LLC(16)

Trading Companies &

American Teleconferencing Services, Ltd.**

4 unchanged sentences

Internet & Catalog Retail

Apex Services Partners, LLC(16)

Diversified Consumer

Atria Wealth Solutions, Inc.(16)

Diversified Financial Services

Diversified Financial

Basic Fun, Inc.(16)

Specialty Retail

BayMark Health Services, Inc.(16)

Health Care Providers &

BDG Media, Inc.

CC SAG Holdings Corp.

(Spectrum Automotive)(16)

Diversified Consumer Services

Community Brands ParentCo, LLC (f/k/a Ministry Brands)

Diversified Consumer

Composite Technology Acquisition Corp.(16)

Building Products

Copper River Seafoods, Inc.

Food Products

DeepIntent, Inc.

Enhanced Permanent Capital, LLC(3)

Capital Markets

ENS Holdings III Corp.

& ES Opco USA LLC (Bluefin)(16)..

Trading Companies &

Enverus Holdings, Inc.

(fka Drilling Info Holdings)(16)

Erie Construction Mid-west,

Building Products

Foundation Consumer Brands, LLC(16)

Personal Products

Inszone Mid, LLC.

GSM Acquisition Corp.(16)

Leisure Equipment &

Higginbotham Insurance Agency,

High Street Buyer, Inc.(16)

Human Interest Inc.

Internet Software & Services

Ivy Fertility Services, LLC

Health Care Providers & Services

Health Care Providers &

Kaseya, Inc.(16)

Kid Distro Holdings, LLC (Distro Kid)(16)

2 unchanged sentences

KORE Wireless Group, Inc.(16)

Wireless Telecommunication Services

Telecommunication Services

Logix Holding Company, LLC(16)

Communications Equipment

Luxury Asset Capital, LLC(16)

Thrifts & Mortgage Finance

Maurices, Incorporated(16)

Specialty Retail

MMIT Holdings, LLC

NAC Holdings Corporation (Jaguar)

Montefiore Nyack Hospital

Health Care Providers &

NAC Holdings Corporation

National Spine and Pain Centers, LLC

Health Care Providers &

One Touch Direct, LLC

Commercial Services & Supplies

Commercial Services &

Orthopedic Care Partners Management, LLC

Health Care Providers &

Pediatric Home Respiratory Services, LLC

Health Care Providers &

Foy & Associates Insurance Services, LLC

PhyNet Dermatology LLC

Health Care Providers & Services

Health Care Providers &

Pinnacle Treatment Centers, Inc.(16)

Health Care Providers & Services

Health Care Providers &

Plastics Management, LLC(16)

Health Care Providers &

PPT Management Holdings, LLC(16)

Health Care Providers & Services

Life Sciences Tools & Services

Stryten Energy LLC

Health Care Providers &

RQM+ Corp.(16)

Life Sciences Tools &

RSC Acquisition, Inc.(16)

RxSense Holdings LLC(16)

Diversified Consumer

SCP Eye Care, LLC

Health Care Providers &

SHO Holding I Corporation (Shoes for Crews)(16)

Southern Orthodontic Partners Management, LLC(16)

Health Care Providers &

SPAR Marketing Force, Inc

Stryten Resources LLC

Auto Parts & Equipment

SunMed Group Holdings, LLC(16)

Health Care Equipment & Supplies

Health Care Equipment &

TAUC Management, LLC(16)

Health Care Providers &

Tilley Distribution, Inc.(16)

Trading Companies &

Ultimate Baked Goods Midco LLC (Rise Baking)(16)

Packaged Foods & Meats

USR Parent, Inc.

Specialty Retail

Vessco Midco Holdings, LLC(16)

Water Utilities

World Insurance Associates, LLC(16)

Total First Lien Bank Debt/Senior Secured Loans

1 unchanged sentence

ACRES Commercial Mortgage, LLC

Diversified Financial Services

Varilease Finance, Inc.

Multi-Sector Holdings

Total Second Lien Asset-Based Senior Secured Loans

Diversified Financial

Second Lien Bank Debt/Senior Secured Loans

PhyMed Management LLC

Health Care Providers & Services

Rug Doctor LLC (2)

Diversified Consumer Services

Total Second Lien Bank Debt/Senior Secured Loans

RD Holdco, Inc.** (2)

Diversified Consumer

See notes to consolidated financial statements.

SLR INVESTMENT CORP.

CONSOLIDATED SCHEDULE OF INVESTMENTS (continued)

December 31, 2022

(in thousands, except share/unit amounts)

Senior Secured Loans (continued) —

First Lien Life Science Senior Secured Loans

1 unchanged sentence

Pharmaceuticals

Apeel Technology, Inc

Biotechnology

Arcutis Biotherapeutics, Inc.(3)

2 unchanged sentences

Pharmaceuticals

Axcella Health Inc.

Pharmaceuticals

BridgeBio Pharma, Inc.(3)

3 unchanged sentences

Cerapedics, Inc.

Health Care Equipment & Supplies

Delphinus Medical Technologies, Inc.

Health Care Equipment & Supplies

Health Care Technology

Biotechnology

Glooko, Inc.(16)

Meditrina, Inc.

Equipment & Supplies

Neuronetics, Inc.(16)

Health Care Equipment & Supplies

Equipment & Supplies

OmniGuide Holdings, Inc.

Health Care Equipment & Supplies

Rezolute, Inc

Equipment & Supplies

Outset Medical, Inc.(3)

Equipment & Supplies

Spectrum Pharmaceuticals, Inc.(16)

Biotechnology

Rubius Therapeutics, Inc.

Pharmaceuticals

scPharmaceuticals, Inc.

Pharmaceuticals

SOC Telemed, Inc.

Health Care Providers & Services

Vapotherm, Inc.

Equipment & Supplies

Total First Lien Life Science Senior Secured Loans

Total Senior Secured Loans

See notes to consolidated financial statements.

SLR INVESTMENT CORP.

CONSOLIDATED SCHEDULE OF INVESTMENTS (continued)

December 31, 2021

(in thousands, except share/unit amounts)

Interest Rate (1)

Equipment Financing — 26.6 %

2 unchanged sentences

3/1/2025 - 12/1/2026

AFG Dallas III, LLC (10)

Diversified Consumer Services

8/11/2026 - 8/29/2026

1 unchanged sentence

11/3/2026 - 11/23/2026

AmeraMex International, Inc.

Commercial Services & Supplies

Blackhawk Mining, LLC (10)

Oil, Gas & Consumable Fuels

10.97 - 11.16 %

3/1/2022 - 11/1/2022

Bazzini, LLC (10)

Food & Staples Retailing

Boart Longyear Company (10)

1 unchanged sentence

7/1/2024 - 10/7/2026

7/1/2024 - 1/1/2026

Bowman Energy Solutions, LLC (10)

Commercial Services & Supplies

Oil, Gas & Consumable Fuels

Capital City Jet Center, Inc.

1 unchanged sentence

Champion Air, LLC (10)

CKD Holdings, Inc.

3/22/2026 - 9/22/2027

Clubcorp Holdings, Inc.

1 unchanged sentence

4/1/2025 - 1/1/2028

6/1/2025 - 1/1/2027

Dongwon Autopart Technology Inc.

Auto Components

Drillers Choice, Inc.

Commercial Services & Supplies

EasyPak, LLC (10)

Containers & Packaging

Energy Drilling Services, LLC (10)

Diversified Consumer Services

12/9/2025 - 9/1/2027

Environmental Protection & Improvement Company, LLC (10)

1 unchanged sentence

Multi-Sector Holdings

7.53 - 8.37 %

8/1/2022 - 4/27/2025

First American Commercial Bancorp, Inc.

Diversified Financial Services

10/1/2026 - 3/1/2027

First National Capital, LLC (10)

5 unchanged sentences

6/5/2023 - 10/5/2023

Georgia Jet, Inc.

GMT Corporation (10)

Haljoe Coaches USA, LLC (10)

Hawkeye Contracting Company, LLC (10)

3 unchanged sentences

5/1/2024 - 9/1/2025

International Automotive Components Group, North America, Inc.

1 unchanged sentence

Kool Pak, LLC (10)

Loc Performance Products, LLC (10)

Loyer Capital LLC (2)(12)

1 unchanged sentence

5/16/2024 - 9/25/2024

5/16/24 - 9/25/24

Lux Credit Consultants, LLC (10)

12/1/2024 - 12/1/2026

12/1/2024 - 12/1/2025

Lux Vending, LLC (10)

4 unchanged sentences

Commercial Services & Supplies

PCX Aerostructures LLC (10)

Aerospace & Defense

Rane Light Metal Castings Inc.

1 unchanged sentence

4/1/2023 - 11/1/2024

Rossco Crane & Rigging, Inc.

Commercial Services & Supplies

Royal Coach Lines, Inc.(10)

Royal Express Inc.

Sidelines Tree Service LLC (10)

Rotten Rock Hardscaping & Tree Service (10)

Diversified Consumer Services

South Texas Oilfield Solutions, LLC (10)

Energy Equipment & Services

12.52 - 13.76 %

Signet Marine Corporation (10)

Transportation Infrastructure

SLR Equipment Finance(2)

Multi-Sector Holdings

Smiley Lifting Solutions, LLC(10)

Commercial Services & Supplies

9/15/2026 - 12/29/2029

1 unchanged sentence

7/1/2023 - 1/25/2025

10/1/2022 - 1/25/2025

Stafford Logistics, Inc.

Commercial Services & Supplies

Star Coaches Inc.

Sturgeon Services International Inc.

Energy Equipment & Services

Superior Transportation, Inc.

10.22 - 10.63

Tailwinds, LLC (10)

Air Freight & Logistics

8.50 - 9.00 %

8/1/2024 - 10/16/2025

The Smedley Company & Smedley Services, Inc.

Commercial Services & Supplies

10.21 - 15.36 %

10/29/2023 - 2/10/2024

Trinity Equipment Rentals, Inc.

1 unchanged sentence

11/1/2024 - 12/1/2026

Trolleys, Inc.

Up Trucking Services, LLC (10)

Warrior Crane Services, LLC (10)

Crane & Rigging, LLC (10)

Commercial Services & Supplies

8/1/2024 - 8/1/2026

Up Trucking Services, LLC (10)

Wind River Environmental, LLC (10)

1 unchanged sentence

8/1/2024 - 10/5/2025

8/1/2024 - 10/5/25

Womble Company, Inc.

Energy Equipment & Services

Worldwide Flight Services, Inc.

Transportation Infrastructure

9/23/2027 - 10/28/2027

Zamborelli Enterprises Pacific Souther Foundation (10)

Diversified Consumer Services

SLR Equipment Finance Equity Interests (2)(9)(17)*

1 unchanged sentence

Total Equipment Financing

Preferred Equity – 0.7 %

SOAGG LLC (2)(3)(4)

Aerospace & Defense

SOINT, LLC (2)(3)(4)

Aerospace & Defense

Total Preferred Equity

See notes to consolidated financial statements.

3 unchanged sentences

(in thousands, except share/unit amounts)

Preferred Equity – 0.4 %

SOINT, LLC (2)(3)(4)

Aerospace & Defense

Common Equity/Equity Interests/Warrants— 57.1 %

13 unchanged sentences

Multi-Sector Holdings

Meditrina, Inc.

Health Care Equipment & Supplies

RD Holdco, Inc.

2 unchanged sentences

RD Holdco, Inc.

(Rug Doctor) Class B (2)*

Diversified Consumer Services

4 unchanged sentences

Health Care Equipment & Supplies

SLR Business Credit (2)(3)(19)

Diversified Financial Services

SLR Credit Solutions (2)(3)(20)

Diversified Financial Services

SLR Healthcare ABL (2)(3)(21)

Diversified Financial Services

SLR Senior Lending Program LLC (2)(3)(25)

Asset Management

Spectrum Pharmaceuticals, Inc.

Biotechnology

Vapotherm, Inc.

Health Care Equipment & Supplies

Venus Concept Ltd.

3 unchanged sentences

Total Investments (6) — 208.7 %

Acquisition Date

Cash Equivalents — 41.8 %

3 unchanged sentences

Net Assets — 100.0 %

Floating rate debt investments typically bear interest at a rate determined by reference to the London Interbank Offered Rate (“LIBOR”), and which typically reset monthly, quarterly or semi-annually.

For each debt investment we have provided the current rate of interest, or in the case of leases the current implied yield, in effect as of December 31, 2022.

4 unchanged sentences

December 31, 2021

Interest/Dividend

Fair Value at

AviatorCap SII, LLC

December 31, 2022

Equipment Operating Leases, LLC

8 unchanged sentences

(Rug Doctor, warrants)

Rug Doctor LLC

RD Holdco, Inc.

SLR Business Credit

SLR Credit Solutions

1 unchanged sentence

SLR Equipment Finance (debt)

SLR Healthcare ABL

SLR Senior Lending Program LLC

See notes to consolidated financial statements.

8 unchanged sentences

assets in the portfolio represented 24.2 % of the total assets of the Company.

The Company’s investments in SOAGG, LLC and SOINT, LLC include a two and one dollar investment in common shares, respectively.

The Company’s investment in SOINT, LLC includes a one dollar investment in common shares.

Kingsbridge Holdings, LLC is held through KBH Topco LLC, a Delaware corporation.

7 unchanged sentences

All investments are Level 3 unless otherwise indicated.

Floating rate instruments accrue interest at a predetermined spread relative to an index, typically the LIBOR or PRIME rate.

These instruments are often subject to a LIBOR or PRIME rate floor.

Floating rate instruments accrue interest at a predetermined spread relative to an index, typically the LIBOR, SOFR or PRIME rate.

These instruments are often subject to a LIBOR, SOFR or PRIME rate floor.

Denotes a Level 1 investment.

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and Amerimark Intermediate Holdings, LLC are each co-Borrowers.

Spread is 6.00 % Cash / 2.00 % PIK.

Spread is 2.50 % Cash / 12.50 % PIK.

Amerimark may elect to defer up to 8.00 % of the coupon as PIK.

Spread is 5.75 % Cash / 0.50 % PIK.

Indicates an investment that is wholly or partially held by the Company through its wholly-owned financing subsidiary SUNS SPV LLC (the “SUNS SPV”).

Such investments are pledged as collateral under the Senior Secured Revolving SPV Credit Facility (the “SPV Credit Facility”) (see Note 7 to the consolidated financial statements) and are not generally available to creditors, if any, of the Company.

See note 11 to the consolidated financial statements.

See note 13 to the consolidated financial statements.

See note 15 to the consolidated financial statements.

See note 9 to the consolidated financial statements.

See note 14 to the consolidated financial statements.

BridgeBio Pharma, Inc.

may elect to defer up to 3.00 % of the coupon as PIK.

OmniGuide Holdings, Inc.

may elect to defer up to 10.00 % of the coupon as PIK.

Vapotherm, Inc.

may elect to defer up to 8.00 % of the coupon as PIK.

See note 17 to the consolidated financial statements.

may elect to defer up to 3.875 % of the coupon as PIK.

producing security.

9 unchanged sentences

of December 31, 2022

Diversified Financial Services (includes SLR Credit Solutions, SLR Business Credit and SLR Healthcare ABL)

Multi-Sector Holdings (includes Kingsbridge Holdings, LLC, SLR Equipment Finance, Equipment Operating Leases, LLC and Loyer Capital LLC)

Diversified Financial Services (includes SLR Credit Solutions)

Health Care Providers & Services

Pharmaceuticals

Health Care Equipment & Supplies

Pharmaceuticals

Biotechnology

Wireless Telecommunication Services

Personal Products

Diversified Consumer Services

Commercial Services & Supplies

Personal Products

Capital Markets

Thrifts & Mortgage Finance

Life Sciences Tools & Services

Auto Parts & Equipment

Internet & Catalog Retail

Packaged Foods & Meats

Life Sciences Tools & Services

Wireless Telecommunication Services

Commercial Services & Supplies

Internet & Catalog Retail

Internet Software & Services

Building Products

Trading Companies & Distributors

Health Care Technology

Transportation Infrastructure

Communications Equipment

Leisure Equipment & Products

Specialty Retail

Asset Management

Food Products

Auto Components

Health Care Technology

Hotels, Restaurants & Leisure

Oil, Gas & Consumable Fuels

Aerospace & Defense

Metals & Mining

Hotels, Restaurants & Leisure

Food & Staples Retailing

Water Utilities

Consumer Finance

Air Freight & Logistics

Energy Equipment & Services

Oil, Gas & Consumable Fuels

Construction & Engineering

Energy Equipment & Services

Containers & Packaging

3 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)

September 30, 2022

March 31, 2023

(in thousands, except share amounts)

Solar Capital LLC, a Maryland limited liability company, was formed in February 2007 and commenced operations on March 13, 2007 with initial capital of $ 1,200,000 of which 47.04 % was funded by affiliated parties.

Immediately prior to our initial public offering, through a series of transactions, SLR Investment Corp.

(the “Company”, “we”, “us” or “our”), merged with Solar Capital LLC, leaving SLR Investment Corp.

as the surviving entity (the “Pre-IPO

SLR Investment Corp.

issued an aggregate of approximately 26.65 million shares of common stock and $ 125,000 in senior unsecured notes to the existing Solar Capital LLC unit holders in connection with the Pre-IPO

SLR Investment Corp.

had no assets or operations prior to completion of the Pre-IPO

Merger and as a result, the historical books and records of Solar Capital LLC have become the books and records of the surviving entity.

The number of shares used to calculate weighted average shares for use in computations on a per share basis have been decreased retroactively by a factor of approximately 0.4022 for all periods prior to February 9, 2010.

This factor represents the effective impact of the reduction in shares resulting from the Pre-IPO

SLR Investment Corp., a Maryland corporation formed in November 2007, is a closed-end,

(the “Company”, “we”, “us” or “our”), a Maryland corporation formed in November 2007, is a closed-end,

externally managed, non-diversified

8 unchanged sentences

From time to time, we may also invest in public companies that are thinly traded.

On December 1, 2021, we entered into an Agreement and Plan of Merger (the “Merger Agreement”), with SLR Senior Investment Corp., a Maryland corporation (“SUNS”), Solstice Merger Sub, Inc., a Maryland corporation and our wholly-owned subsidiary (“Merger Sub”), and, solely for the limited purposes set forth therein, SLR Capital Partners, LLC (the “Investment Adviser”).

The Merger Agreement provided that, subject to the conditions set forth in the Merger Agreement, Merger Sub will merge with and into SUNS, with SUNS continuing as the surviving company and as SUNS’s wholly-owned subsidiary (the “Merger,”) and, immediately thereafter, SUNS will merge with and into us, with us continuing as the surviving company (together with the Merger, the “Mergers”).

The Mergers closed on April 1, 2022.

See Note 16 for additional information.

On April 1, 2022, we acquired SLR Senior Investment Corp., a Maryland corporation (“SUNS”) pursuant to that certain Agreement and Plan of Merger (the “Merger Agreement”), dated as of December 1, 2021, by and among us, SUNS, Solstice Merger Sub, Inc., a Maryland corporation and our wholly-owned subsidiary (“Merger Sub”), and, solely for the limited purposes set forth therein, SLR Capital Partners, LLC (the “Investment Adviser”).

Pursuant to the Merger Agreement, Merger Sub merged with and into SUNS, with SUNS continuing as the surviving company and as SUNS’s wholly-owned subsidiary (the “Merger,”) and, immediately thereafter, SUNS merged with and into us, with us continuing as the surviving company (together with the Merger, the “Mergers”).

In accordance with the terms of the Merger Agreement, at the effective time of the Merger, each outstanding share of SUNS’s common stock was converted into the right to receive 0.7796 shares of our common stock (with SUNS’s stockholders receiving cash in lieu of fractional shares of our common stock).

As a result of the Mergers, we issued an aggregate of 12,511,825 shares of our common stock to former SUNS stockholders.

Significant Accounting Policies

11 unchanged sentences

The current period’s results of operations will not necessarily be indicative of results that ultimately may be achieved for the fiscal year ending on December 31, 2023.

In the opinion of management, all adjustments, which are of a normal recurring nature, considered necessary for the fair presentation of financial statements, have been included.

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

September 30, 2022

March 31, 2023

(in thousands, except share amounts)

In the opinion of management, all adjustments, which are of a normal recurring nature, considered necessary for the fair presentation of financial statements, have been included.

The significant accounting policies consistently followed by the Company are:

Investment transactions are accounted for on the trade date;

Under procedures established by the board of directors (the “Board”), we value investments, including certain senior secured debt, subordinated debt and other debt securities with maturities greater than 60 days, for which market quotations are readily available, at such market quotations (unless they are deemed not to represent fair value).

GAAP, at such market quotations (unless they are deemed not to represent fair value).

A market quotation is readily available for a security only when that quotation is a quoted price (unadjusted) in active markets for identical investments that the Company can access at the measurement date, provided that a quotation will not be readily available if it is not reliable.

9 unchanged sentences

Such determination of fair values involves subjective judgments and estimates.

With respect to investments for which market quotations are not readily available or when such market quotations are deemed not to represent fair value, the Board has approved a multi-step valuation process each quarter, as described below:

With respect to investments for which market quotations are not readily available or when such market quotations are deemed not to represent fair value under U.S.

GAAP, the Board has approved a multi-step valuation process each quarter, as described below:

our quarterly valuation process begins with each portfolio company or investment being initially valued by the investment professionals of the Investment Adviser responsible for the portfolio investment;

3 unchanged sentences

the Board discusses valuations and determines the fair value of each investment in our portfolio in good faith based on the input of the Investment Adviser, the respective independent valuation firm, if any, and the audit committee.

The valuation principles set forth above may be modified from time to time, in whole or in part, as determined by the Board in its sole discretion.

The Board will also (1) periodically assess and manage valuation risks;

(2) establish and apply fair value methodologies;

(3) test fair value methodologies;

(4) oversee and evaluate third-party pricing services, as applicable;

(5) oversee the reporting required by Rule 2a-5

under the 1940 Act;

and (6) maintain recordkeeping requirements under Rule 2a-5.

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

September 30, 2022

March 31, 2023

(in thousands, except share amounts)

8 unchanged sentences

When available, broker quotations and/or quotations provided by pricing services are considered as an input in the valuation process.

For the nine months ended September 30, 2022, there has been no change to the Company’s valuation approaches or techniques and the nature of the related inputs considered in the valuation process.

For the three months ended March 31, 2023, there has been no change to the Company’s valuation approaches or techniques and the nature of the related inputs considered in the valuation process.

ASC Topic 820 classifies the inputs used to measure these fair values into the following hierarchy:

11 unchanged sentences

Capital structuring fees, amendment fees, consent fees, and any other non-recurring

fee income as well as management fee and other fee income for services rendered, if any, are recorded as other income when earned.

fee income as well as a management fee and other fee income for services rendered, if any, are recorded as other income when earned.

The Company intends to comply with the applicable provisions of the Code pertaining to regulated investment companies to make distributions of taxable income sufficient to relieve it of substantially all U.S.

13 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

September 30, 2022

March 31, 2023

(in thousands, except share amounts)

29 unchanged sentences

Treasury bills, repurchase agreements and other high-quality, short-term debt securities would qualify as cash equivalents.

Recent Accounting Pronouncements

In March 2020, the FASB issued Accounting Standards Update No.

“Reference Rate Reform (Topic 848):

Facilitation of the Effects of Reference Rate Reform on Financial Reporting.” The guidance provides optional expedients and exceptions for applying GAAP to contract modifications, hedging relationships and other transactions, subject to meeting certain criteria, that reference LIBOR or another reference rate expected to be discontinued because of the reference rate reform.

is effective for all entities as of March 12, 2020 through December 31, 2022.

The Company has determined that the adoption of this guidance has not had a material impact on the Company’s consolidated financial statements and disclosures.

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

September 30, 2022

March 31, 2023

(in thousands, except share amounts)

The Company has an investment advisory and management agreement (the “Advisory Agreement”) with the Investment Adviser, under which the Investment Adviser will manage the day-to-day

operations of, and provide investment advisory services to the Company.

The Company has an investment advisory and management agreement (the “Advisory Agreement”) with the Investment Adviser, under which 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 a performance-based incentive fee.

27 unchanged sentences

For financial statement purposes, the second part of the performance-based incentive fee is accrued based upon 20 % of cumulative net realized gains and net unrealized capital appreciation.

No accrual was required for the three and nine months ended September 30, 2022 and 2021.

For the three and nine months ended September 30, 2022, the Company recognized $ 7,890 and $ 22,019 , respectively, in base management fees and $ 4,965 and $ 9,699 , respectively, in gross performance-based incentive fees.

For the three and nine months ended September 30, 2022, $ 194 and $ 1,552 of such performance-based incentive fees were waived.

For the three and nine months ended September 30, 2021, the Company recognized $ 7,142 and $ 20,842 , respectively, in base management fees and $ 698 and $ 8,444 , respectively, in performance-based incentive fees.

The Investment Adviser has agreed to waive incentive fees resulting from income earned due to the accretion of purchase discount allocated to investments acquired as a result of the Merger.

No accrual was required for the three months ended March 31, 2023 and 2022.

For the three months ended March 31, 2023 and 2022, the Company recognized $ 7,706 and $ 7,216 , respectively, in base management fees and $ 5,509 and $ 0 , respectively, in performance-based incentive fees.

For the three months ended March 31, 2023 and 2022, $ 110 and $ 0 , respectively, of such performance-based incentive fees were waived.

The Investment Adviser has agreed to waive incentive fees resulting from income earned due to the accretion of purchase discount allocated to investments acquired as a result of the Mergers.

Fees waived pursuant to the above are not subject to recoupment by the Investment Adviser.

3 unchanged sentences

The Company typically reimburses the Administrator on a quarterly basis.

For the three and nine months ended September 30, 2022, the Company recognized expenses under the Administration Agreement of $ 1,132 and $ 3,684 respectively.

For the three and nine months ended September 30, 2021, the Company recognized expenses under the Administration Agreement of $ 1,435 and $ 4,170 respectively.

No managerial assistance fees were accrued or collected for the three and nine months ended September 30, 2022 and 2021.

For the three months ended March 31, 2023 and 2022, the Company recognized expenses under the Administration Agreement of $ 1,508 and $ 1,183 respectively.

No managerial assistance fees were accrued or collected for the three months ended March 31, 2023 and 2022.

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

September 30, 2022

March 31, 2023

(in thousands, except share amounts)

Net Asset Value Per Share

At September 30, 2022, the Company’s total net assets and net asset value per share were $ 1,006,225 and $ 18.37 , respectively.

At March 31, 2023, the Company’s total net assets and net asset value per share were $ 984,178 and $ 18.04 , respectively.

This compares to total net assets and net asset value per share at December 31, 2022 of $ 999,731 and $ 18.33 , respectively.

1 unchanged sentence

The following table sets forth the computation of basic and diluted net increase in net assets per share resulting from operations, pursuant to ASC 260-10,

for the three and nine months ended September 30, 2022 and 2021:

Three months ended September 30,

Nine months ended September 30,

Earnings (loss) per share (basic & diluted)

Numerator - net increase (decrease) in net assets resulting from operations:

for the three months ended March 31, 2023 and 2022:

Three months ended March 31,

Earnings per share (basic & diluted)

Numerator - net increase in net assets resulting from operations:

Denominator - weighted average shares:

Earnings (loss) per share:

Earnings per share:

Fair value is defined as the price 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.

21 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

September 30, 2022

March 31, 2023

(in thousands, except share amounts)

The following tables present the balances of assets and liabilities measured at fair value on a recurring basis, as of September 30, 2022 and December 31, 2021:

The following tables present the balances of assets measured at fair value on a recurring basis, as of March 31, 2023 and December 31, 2022:

Fair Value Measurements

As of September 30, 2022

As of March 31, 2023

Net Asset Value*

Senior Secured Loans

5 unchanged sentences

As of December 31, 2022

Net Asset Value*

Senior Secured Loans

3 unchanged sentences

Total Investments $

2022 Unsecured Notes

In accordance with ASC 820-10,

certain investments that are measured using the net asset value per share (or its equivalent) as a practical expedient for fair value have not been classified in the fair value hierarchy.

The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the Consolidated Statements of Assets and Liabilities.

The portfolio investment in this category is SSLP.

See Note 17 for more information on this investment, including its investment strategy and the Company’s unfunded equity commitment to SSLP.

This investment is not redeemable by the Company absent an election by the members of the entity to liquidate all investments and distribute the proceeds to the members.

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

September 30, 2022

March 31, 2023

(in thousands, except share amounts)

The following tables provide a summary of the changes in fair value of Level 3 assets and liabilities for the three and nine months ended September 30, 2022, as well as the portion of gains or losses included in income attributable to unrealized gains or losses related to those assets and liabilities still held at September 30, 2022:

The following tables provide a summary of the changes in fair value of Level 3 assets for the three months ended March 31, 2023, as well as the portion of gains or losses included in income attributable to unrealized gains or losses related to those assets still held at March 31, 2023:

Fair Value Measurements Using Level 3 Inputs

2 unchanged sentences

Common Equity/

Fair value, June

Total gains or losses included in earnings:

Net realized loss

Net change in unrealized gain (loss)

Purchase of investment securities

Proceeds from dispositions of investment securities

Transfers in/out of Level 3

Fair value, September

Unrealized gains (losses) for the period relating to those Level 3 assets that were still held by the Company at the end of the period:

Net change in unrealized gain (loss)

Senior Secured

Preferred Equity

Common Equity/

Fair value, December

Total gains or losses included in earnings:

Net realized loss

Net change in unrealized loss

Net realized gain

Net change in unrealized gain (loss)

Purchase of investment securities

1 unchanged sentence

Transfers in/out of Level 3

Fair value, September

Fair value, March

Unrealized losses for the period relating to those Level 3 assets that were still held by the Company at the end of the period:

Net change in unrealized loss

Includes positions acquired from SUNS as a result of the Merger.

Net change in unrealized gain (loss)

While the Company has not made an election to apply the fair value option of accounting to any of its current debt obligations, if the Company’s debt obligations were carried at fair value at March 31, 2023, the fair value of the Credit Facility, SPV Credit Facility, 2024 Unsecured Notes, 2025 Unsecured Notes, 2026 Unsecured Notes, 2027 Unsecured Notes and 2027 Series F Unsecured Notes would be $ 488,000 , $ 164,200 , $ 118,750 , $ 79,688 , $ 67,875 , $ 42,750 and $ 117,788 , respectively.

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

September 30, 2022

March 31, 2023

(in thousands, except share amounts)

The following table shows a reconciliation of the beginning and ending balances for fair valued liabilities measured using significant unobservable inputs (Level 3) for the three and nine months ended September 30, 2022:

2022 Unsecured Notes

For the three months ended

September 30, 2022

Beginning fair value

Net realized (gain) loss

Net change in unrealized (gain) loss

Transfers in/out of Level 3

Ending fair value

2022 Unsecured Notes

For the nine months ended

September 30, 2022

Beginning fair value

Net realized (gain) loss

Net change in unrealized (gain) loss

Transfers in/out of Level 3

Ending fair value

The Company made an election to apply the fair value option of accounting to the 2022 Unsecured Notes, in accordance with ASC 825-10.

On May 8, 2022, the borrowings were repaid in full.

The following table provides a summary of the changes in fair value of Level 3 assets for the year ended December 31, 2022, as well as the portion of gains or losses included in income attributable to unrealized gains or losses related to those assets still held at December 31, 2022:

6 unchanged sentences

Net realized gain (loss)

Net change in unrealized gain (loss)

Net change in unrealized loss

Purchase of investment securities(1)

2 unchanged sentences

Fair value, December

Unrealized gains (losses) for the period relating to those Level 3 assets that were still held by the Company at the end of the period:

Net change in unrealized gain (loss)

On February 17, 2021, the Company exercised its warrants in Senseonics Holdings, Inc., receiving shares in the common stock of Senseonics Holdings, Inc.

The common stock of Senseonics Holdings, Inc.

is publicly traded, so this position is considered to be a Level 1 asset.

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

September 30, 2022

(in thousands, except share amounts)

Unrealized losses for the period relating to those Level 3 assets that were still held by the Company at the end of the period:

Net change in unrealized loss

(1) Includes positions acquired from SUNS as a result of the Mergers.

The following table shows a reconciliation of the beginning and ending balances for fair valued liabilities measured using significant unobservable inputs (Level 3) for the year ended December 31, 2022:

7 unchanged sentences

Ending fair value

The Company made elections to apply the fair value option of accounting to the 2022 Unsecured Notes, in accordance with ASC 825-10.

On December 31, 2021, there were borrowings of $ 150,000 on the 2022 Unsecured Notes.

The Company made an election to apply the fair value option of accounting to the 2022 Unsecured Notes, in accordance with ASC 825-10.

On May 8, 2022, the borrowings were repaid in full.

While the Company has not made an election to apply the fair value option of accounting to any of its other debt obligations, if the Company’s debt obligations were carried at fair value at December 31, 2022, the fair value of the Credit Facility, SPV Credit Facility, 2023 Unsecured Notes, 2024 Unsecured Notes, 2025 Unsecured Notes, 2026 Unsecured Notes, 2027 Unsecured Notes and 2027 Series F Unsecured Notes would be $ 393,000 , $ 155,200 , $ 75,000 , $ 118,750 , $ 79,688 , $ 68,250 , $ 42,875 and $ 118,125 , respectively.

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

March 31, 2023

(in thousands, except share amounts)

Quantitative Information about Level 3 Fair Value Measurements

4 unchanged sentences

Significant unobservable quantitative inputs typically used in the fair value measurement of the Company’s Level 3 assets and liabilities primarily reflect current market yields, including indices, and readily available quotes from brokers, dealers, and pricing services as indicated by comparable assets and liabilities, as well as enterprise values, returns on equity and earnings before income taxes, depreciation and amortization (“EBITDA”) multiples of similar companies, and comparable market transactions for equity securities.

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

September 30, 2022

(in thousands, except share amounts)

Quantitative information about the Company’s Level 3 asset and liability fair value measurements as of September 30, 2022 is summarized in the table below:

Quantitative information about the Company’s Level 3 asset and liability fair value measurements

as of March 31, 2023 is summarized

Fair Value at

September 30, 2022

March 31, 2023

Principal Valuation

4 unchanged sentences

1,209,664 47,166

Income Approach Market Multiple (1)

Market Yield Comparable Multiple

7.6 % – 17.8 % ( 10.9 %)

0.1 x- 21.4 x( 12.0 x)

Income Approach

Market Multiple

Comparable Multiple

Equipment Financing

117,733 120,820

Income Approach Market Multiple (2)

Market Yield Comparable Multiple

8.5 % – 9.7 % ( 9.7 %)

1.0 x- 1.28 x

Income Approach

Market Multiple

Comparable Multiple

Preferred Equity

Income Approach

5.0 % – 5.0 % ( 5.0 %)

Common Equity/Equity Interests/Warrants

147,629 411,880

Market Multiple

Market Approach

Comparable Multiple Return on Equity

7.0 x – 9.3 x ( 8.1 x)

6.3 % – 37.7 % ( 9.7 %)

Comparable Multiple

Return on Equity

Investments are valued using a sum-of-the

parts analysis, using expected revenue multiples for certain segments of the businesses and expected EBITDA multiples for certain segments of the businesses.

Includes $ 120,820 of investments valued using a transaction multiple.

Includes $ 120,820 of investments valued using an implied multiple.

Includes $ 995 of investments valued using a Black-Scholes model and $ 148,444 of investments valued using an EBITDA multiple.

Quantitative information about the Company’s Level 3 asset and liability fair value measurements as of December 31, 2021 is summarized in the table below:

Quantitative information about the Company’s Level 3 asset and liability fair value measurements as of December 31, 2022 is summarized

in the table below:

Fair Value at

6 unchanged sentences

1,212,842 32,572

Income Approach Market Multiple (1)

Income Approach

Market Multiple (1)

Market Yield Comparable Multiple

4.0 % – 19.6 % ( 8.7 %)

2.0 x- 3.0 x( 2.5 x)/ 2.0 x- 3.0 x( 2.5 x)

9.4 % – 18.2 % ( 12.0 %) 0.1 x- 21.4 x ( 12.4 x)

Equipment Financing

145,132 120,820

Income Approach Market Approach

Market Yield Return on Equity

7.1 % – 20.3 % ( 9.8 %)

Income Approach

Market Multiple (2)

Market Yield Comparable Multiple

8.5 % – 9.7 % ( 9.7 %) 1.1 x- 1.4 x ( 1.2 x)

Preferred Equity

7 unchanged sentences

7.8 x – 9.8 x ( 8.8 x) 6.6 % – 35.2 % ( 9.2 %)

6.1 % – 18.5 % ( 8.6 %)

2022 Unsecured Notes

Income Approach

2.2 % – 4.6 % ( 4.5 %)

Investments are valued using a sum-of-the

parts analysis, using expected EBITDA multiples (2x-3x)

for certain segments of the business and expected revenue multiples (2x-3x)

for certain segments of the business.

parts analysis, using expected revenue multiples for certain segments of the businesses and expected EBITDA multiples for certain segments of the businesses.

Includes $ 120,820 of investments valued using an implied multiple.

Includes $ 676 of investments valued using a Black-Scholes model and $ 148,444 of investments valued using an EBITDA multiple.

4 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

September 30, 2022

March 31, 2023

(in thousands, except share amounts)

Our debt obligations consisted of the following as of September 30, 2022 and December 31, 2021:

September 30, 2022

Our debt obligations consisted of the following as of March 31, 2023 and December 31, 2022:

March 31, 2023

December 31, 2022

4 unchanged sentences

2023 Unsecured Notes

2022 Tranche C Notes

2024 Unsecured Notes

2 unchanged sentences

2027 Unsecured Notes

2027 Series F Unsecured Notes

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 5,132 and $ 4,485 as of September 30, 2022 and December 31, 2021, respectively.

Carrying Value equals the Face Amount net of unamortized market discount of $ 964 as of September 30, 2022.

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 9 and $ 36 as of September 30, 2022 and December 31, 2021, respectively.

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 119 and $ 408 as of September 30, 2022 and December 31, 2021, respectively.

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 650 and $ 857 as of September 30, 2022 and December 31, 2021, respectively.

Carrying Value equals the Face Amount net of unamortized market discount of $ 428 as of September 30, 2022.

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 532 and $ 616 as of September 30, 2022 and December 31, 2021, respectively.

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 50 and $ 60 as of September 30, 2022 and December 31, 2021, respectively.

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 25 as of September 30, 2022.

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 4,453 and $ 4,746 as of March 31, 2023 and December 31, 2022, respectively.

Carrying Value equals the Face Amount net of unamortized market discount of $ 833 and $ 898 as of March 31, 2023 and December 31, 2022, respectively.

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 21 as of December 31, 2022.

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 509 and $ 579 as of March 31, 2023 and December 31, 2022, respectively.

Carrying Value equals the Face Amount net of unamortized market discount of $ 346 and $ 387 as of March 31, 2023 and December 31, 2022, respectively.

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 473 and $ 502 as of March 31, 2023 and December 31, 2022, respectively.

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 44 and $ 47 as of March 31, 2023 and December 31, 2022, respectively.

Carrying Value equals the Face Amount net of unamortized debt issuance costs of $ 20 and $ 22 as of March 31, 2023 and December 31, 2022, respectively.

Unsecured Notes

9 unchanged sentences

The 2027 Unsecured Notes were issued in a private placement only to qualified institutional buyers.

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

September 30, 2022

(in thousands, except share amounts)

On December 18, 2019, the Company closed a private offering of $ 125,000 of the 2024 Unsecured Notes with a fixed interest rate of 4.20 % and a maturity date of December 15, 2024 .

1 unchanged sentence

The 2024 Unsecured Notes were issued in a private placement only to qualified institutional buyers.

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

March 31, 2023

(in thousands, except share amounts)

On December 18, 2019, the Company closed a private offering of $ 75,000 of the 2026 Unsecured Notes with a fixed interest rate of 4.375 % and a maturity date of December 15, 2026 .

1 unchanged sentence

The 2026 Unsecured Notes were issued in a private placement only to qualified institutional buyers.

On December 28, 2017, the Company closed a private offering of $ 21,000 of the 2022 Tranche C Notes with a fixed interest rate of 4.50 % and a maturity date of December 28, 2022.

Interest on the 2022 Tranche C Notes is due semi-annually on June 28 and December 28 .

The 2022 Tranche C Notes were issued in a private placement only to qualified institutional buyers.

On November 22, 2017, we issued $ 75,000 in aggregate principal amount of publicly registered 2023 Unsecured Notes for net proceeds of $ 73,846 .

Interest on the 2023 Unsecured Notes is paid semi-annually on January 20 and July 20 , at a fixed rate of 4.50 % per year, commencing on January 20, 2018.

The 2023 Unsecured Notes mature on January 20, 2023 .

On February 15, 2017, the Company closed a private offering of $ 100,000 of the 2022 Unsecured Notes with a fixed interest rate of 4.60 % and a maturity date of May 8, 2022 .

Interest on the 2022 Unsecured Notes is due semi-annually on May 8 and November 8 .

The 2022 Unsecured Notes were issued in a private placement only to qualified institutional buyers.

On November 8, 2016, the Company closed a private offering of $ 50,000 of the 2022 Unsecured Notes with a fixed interest rate of 4.40 % and a maturity date of May 8, 2022

Interest on the 2022 Unsecured Notes is due semi-annually on May 8 and November 8 .

The 2022 Unsecured Notes were issued in a private placement only to qualified institutional buyers.

The 2022 Unsecured Notes were repaid in full at maturity.

The 2023 Unsecured Notes were repaid in full on the maturity date, January 20, 2023 .

Revolving and Term Loan Facilities

8 unchanged sentences

The SPV Credit Facility also includes usual and customary events of default for credit facilities of this nature.

At September 30, 2022, outstanding USD equivalent borrowings under the SPV Credit Facility totaled $ 130,200 .

At March 31, 2023, outstanding USD equivalent borrowings under the SPV Credit Facility totaled $ 164,200 .

On December 28, 2021, the Company closed on Amendment No.

1 to its August 28, 2019 senior secured credit agreement (the “Credit Facility”).

Following the amendment, the Credit Facility is composed of $ 600,000 of revolving credit and $ 100,000 of term loans.

Following the amendment and a November 2022 upsizing, the Credit Facility is composed of $ 625,000 of revolving credit and $ 100,000 of term loans.

Borrowings generally bear interest at a rate per annum equal to the base rate plus a range of 1.75 %- 2.00 %

4 unchanged sentences

In addition, the Credit Facility contains certain financial covenants that among other things, requires the Company to maintain a minimum shareholder’s equity and a minimum asset coverage ratio.

At September 30, 2022, outstanding USD equivalent borrowings under the Credit Facility totaled $ 460,000 , composed of $ 360,000 of revolving credit and $ 100,000 of term loans.

Certain covenants on our issued debt may restrict our business activities, including limitations that could hinder our ability to finance additional loans and investments or to make the distributions required to maintain our status as a RIC under Subchapter M of the Code.

At March 31, 2023, outstanding USD equivalent borrowings under the Credit Facility totaled $ 488,000 , composed of $ 388,000 of revolving credit and $ 100,000 of term loans.

covenants on our issued debt may restrict our business activities, including limitations that could hinder our ability to finance additional loans and investments or to make the distributions required to maintain our status as a RIC under Subchapter M of the Code.

average annualized interest cost for all borrowings for the three months ended March 31, 2023 and the year ended December 31, 2022 was

4.09 %, respectively.

These costs are exclusive of other credit facility expenses such as unused fees, agency fees and other prepaid expenses related to establishing and/or amending the Credit Facility, the SPV Credit Facility, the 2023 Unsecured Notes, the 2024 Unsecured Notes, the 2025 Unsecured Notes, the 2026 Unsecured Notes, the 2027 Unsecured Notes and the 2027 Series F Unsecured Notes (collectively the “Debt Instruments”), if any.

The maximum amounts borrowed on the Debt Instruments during the three months ended March 31, 2023 and the year ended December 31, 2022 were $

1,122,200 and $

1,164,200 , respectively.

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

September 30, 2022

March 31, 2023

(in thousands, except share amounts)

The average annualized interest cost for all borrowings for the nine months ended September 30, 2022 and the year ended December 31, 2021 was 3.81 % and 3.64 %, respectively.

These costs are exclusive of other credit facility expenses such as unused fees, agency fees and other prepaid expenses related to establishing and/or amending the Credit Facility, the SPV Credit Facility, the 2022 Unsecured Notes, the 2022 Tranche C Notes, the 2023 Unsecured Notes, the 2024 Unsecured Notes, the 2025 Unsecured Notes, the 2026 Unsecured Notes, the 2027 Unsecured Notes and the 2027 Series F Unsecured Notes (collectively the “Debt Instruments”), if any.

The maximum amounts borrowed on the Debt Instruments during the nine months ended September 30, 2022 and the year ended December 31, 2021 were $ 1,157,100 and $ 902,550 , respectively.

Financial Highlights

The following is a schedule of financial highlights for the nine months ended September 30, 2022 and 2021:

Nine months ended

September 30, 2022

Nine months ended

September 30, 2021

The following is a schedule of financial highlights for the three months ended March 31, 2023 and 2022:

Three months ended

March 31, 2023

Three months ended

March 31, 2022

Per Share Data:

1 unchanged sentence

Net investment income

Net realized and unrealized gain (loss)

Net increase (decrease) in net assets resulting from operations

Issuance of common stock in connection with the Merger

Net realized and unrealized loss

Net increase in net assets resulting from operations

Distributions to stockholders:

From net investment income

From distributable earnings

From return of capital

11 unchanged sentences

Portfolio turnover ratio

Calculated using the average shares outstanding method, except for the issuance of common stock in connection with the Merger, which reflects the actual amount per Share for the applicable period.

Calculated using the average shares outstanding method.

Total return is based on the change in market price per share during the period and takes into account distributions, if any, reinvested in accordance with the dividend reinvestment plan.

2 unchanged sentences

Not annualized for periods less than one year.

The amount shown may not correspond with the aggregate amount for the period as it includes the effect of the timing of the Merger.

The ratio of operating expenses to average net assets and the ratio of total expenses to average net assets is shown net of a permanent incentive fee waiver (see note 3).

For the nine months ended September 30, 2022, the ratios of operating expenses to average net assets and total expenses to average net assets would be 4.06 % and 7.28 %, respectively, without the incentive fee waiver.

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

September 30, 2022

(in thousands, except share amounts)

SLR Credit Solutions

The ratio of operating expenses to average net assets and the ratio of total expenses to average net assets is shown net of the performance-based incentive fee waiver (see note 3).

For the three months ended March 31, 2023, the ratios of operating expenses to average net assets and total expenses to average net assets would be 1.62 % and 3.15 %, respectively, without the performance-based incentive fee waiver.

R Credit Solutions

On December 28, 2012, we acquired an equity interest in Crystal Capital Financial Holdings LLC (“Crystal Financial”) for $ 275,000 in cash.

5 unchanged sentences

On September 30, 2016, Crystal Capital Financial Holdings LLC was dissolved.

As of September 30, 2022, total commitments to the revolving credit facility are $ 250,000 .

As of September 30, 2022 SLR Credit had 27 funded commitments to 21 different issuers with total funded loans of approximately $ 354,853 on total assets of $ 375,603 .

As of March 31, 2023, total commitments to the revolving credit facility are $ 300,000 .

As of March 31, 2023 SLR Credit had 28 funded commitments to 24 different issuers with total funded loans of approximately $ 423,163 on total assets of $ 435,275 .

As of December 31, 2022 SLR Credit had 29 funded commitments to 25 different issuers with total funded loans of approximately $ 439,484 on total assets of $ 460,683 .

As of September 30, 2022 and December 31, 2021, the largest loan outstanding totaled $ 34,178 and $ 35,000 , respectively.

As of March 31, 2023 and December 31, 2022, the largest loan outstanding totaled $ 37,232 and $ 33,420 , respectively.

For the same periods, the average exposure per issuer was $ 17,632 and $ 17,579 , respectively.

SLR Credit’s credit facility, which is non-recourse

to the Company, had approximately $ 139,497 and $ 100,742 of borrowings outstanding at September 30, 2022 and December 31, 2021, respectively.

For the three months ended September 30, 2022 and 2021, SLR Credit had net income of $ 3,897 and $ 5,445 , respectively, on gross income of $ 8,596 and $ 9,508 , respectively.

For the nine months ended September 30, 2022 and 2021, SLR Credit had net income of $ 8,557 and $ 12,497 respectively, on gross income of $ 22,171 and $ 27,239 , respectively.

to the Company, had approximately $ 207,837 and $ 224,325 of borrowings outstanding at March 31, 2023 and December 31, 2022, respectively.

For the three months ended March 31, 2023 and 2022, SLR Credit had net income (loss) of ($ 9,672 ) and $ 2,780 , respectively, on gross income of $ 14,555 and $ 6,694 , respectively.

Due to timing and non-cash

2 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

September 30, 2022

March 31, 2023

(in thousands, except share amounts)

2 unchanged sentences

The Company had unfunded debt and equity commitments to various revolving and delayed-draw term loans as well as to SLR Credit and SLR Healthcare.

The total amount of these unfunded commitments as of September 30, 2022 and December 31, 2021 is $ 310,204 and $ 226,733 , respectively, comprised of the following:

The total amount of these unfunded commitments as of March 31, 2023 and December 31, 2022 is $ 336,319 and $ 323,663 , respectively, comprised of the following:

SLR Credit Solutions*

Outset Medical, Inc

Apeel Technology, Inc

World Insurance Associates, LLC

CC SAG Holdings Corp.

1 unchanged sentence

Human Interest, Inc

Spectrum Pharmaceuticals, Inc.

BridgeBio Pharma, Inc.

BDG Media, Inc

RSC Acquisition, Inc.

World Insurance Associates, LLC

Spectrum Pharmaceuticals, Inc.

Arcutis Biotherapeutics, Inc

Atria Wealth Solutions, Inc

Ardelyx, Inc.

Copper River Seafoods, Inc.

Luxury Asset Capital, LLC

OIS Management Services, LLC

Cerapedics, Inc

United Digestive MSO Parent, LLC

RSC Acquisition, Inc

Urology Management Holdings, Inc

SLR Equipment Finance

Vessco Midco Holdings, LLC

Meditrina, Inc

One Touch Direct, LLC

Maurices, Incorporated

DeepIntent, Inc

Foundation Consumer Brands, LLC

Inszone Mid, LLC

Maurices, Incorporated

Basic Fun, Inc

Kid Distro Holdings, LLC

Plastics Management, LLC

SPAR Marketing Force, Inc.

SCP Eye Care, LLC

Ultimate Baked Goods Midco LLC

Pediatric Home Respiratory Services, LLC

Southern Orthodontic Partners Management, LLC

Basic Fun, Inc.

Copper River Seafoods, Inc.

Foy & Associates Insurance Services, LLC

Orthopedic Care Partners Management, LLC

MMIT Holdings, LLC

SPAR Marketing Force, Inc.

Ivy Fertility Services, LLC

NAC Holdings Corporation

Montefiore Nyack Hospital

SLR Healthcare ABL*

1 unchanged sentence

Erie Construction Mid-west,

Composite Technology Acquisition Corp.

Enverus Holdings, Inc.

SLR Equipment Finance

American Teleconferencing Services, Ltd

SunMed Group Holdings, LLC

All State Ag Parts, LLC

Ultimate Baked Goods Midco LLC

BayMark Health Services, Inc.

Enverus Holdings, Inc

Orthopedic Care Partners Management, LLC.

Composite Technology Acquisition Corp

Pinnacle Treatment Centers, Inc.

SunMed Group Holdings, LLC

GSM Acquisition Corp

High Street Buyer, Inc.

Tilley Distribution, Inc.

High Street Buyer, Inc.

ENS Holdings III Corp, LLC

TAUC Management, LLC

Rezolute, Inc.

SOC Telemed, Inc.

Neuronetics, Inc.

All State Ag Parts, LLC

Plastics Management, LLC

Ivy Fertility Services, LLC

NAC Holdings Corporation

Foy & Associates Insurance Services, LLC.

BayMark Health Services, Inc.

Total Commitments

2 unchanged sentences

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

September 30, 2022

March 31, 2023

(in thousands, except share amounts)

In addition to the above, please see SLR Senior Lending Program LLC herein where the Company has a remaining equity commitment of $40,500 in which the Company also controls such funding.

The credit agreements of the above loan commitments contain customary lending provisions and/or are subject to the portfolio company’s achievement of certain milestones that allow relief to the Company from funding obligations for previously made commitments in instances where the underlying company experiences materially adverse events that affect the financial condition or business outlook for the company.

Since these commitments may expire without being drawn upon, unfunded commitments do not necessarily represent future cash requirements or future earning assets for the Company.

As of September 30, 2022 and December 31, 2021, the Company had sufficient cash available and/or liquid securities available to fund its commitments and had reviewed them for any appropriate fair value adjustment.

As of March 31, 2023 and December 31, 2022, the Company had sufficient cash available and/or liquid securities available to fund its commitments and had reviewed them for any appropriate

fair value adjustment.

SLR Equipment Finance

On July 31, 2017, we acquired a 100 % equity interest in NEF Holdings, LLC, which conducts its business through its wholly-owned subsidiary Nations Equipment Finance, LLC.

Effective February 25, 2021, Nations Equipment Finance, LLC and its related companies is doing business as SLR Equipment Finance (“SLR Equipment”).

Effective February 25, 2021, Nations Equipment Finance, LLC and its related companies are doing business as SLR Equipment Finance (“SLR Equipment”).

SLR Equipment is an independent equipment finance company that provides senior secured loans and leases primarily to U.S.

4 unchanged sentences

In September 2019, SLR Equipment amended the facility, increasing commitments to $ 213,957 with an accordion feature to expand up to $ 313,957 and extended the maturity date of the facility to July 31, 2023 .

As of September 30, 2022, SLR Equipment had 129 funded equipment-backed leases and loans to 59 different customers with a total net investment in leases and loans of approximately $ 189,254 on total assets of $ 241,189 .

As of March 31, 2023, SLR Equipment had 129 funded equipment-backed leases and loans to 53 different customers with a total net investment in leases and loans of approximately $ 188,633 on total assets of $ 236,635 .

As of December 31, 2022, SLR Equipment had 131 funded equipment-backed leases and loans to 59 different customers with a total net investment in leases and loans of approximately $ 190,830 on total assets of $ 241,813 .

As of September 30, 2022 and December 31, 2021, the largest position outstanding totaled $ 19,272 and $ 19,207 , respectively.

As of March 31, 2023 and December 31, 2022, the largest position outstanding totaled $ 19,259 and $ 19,259 , respectively.

For the same periods, the average exposure per customer was $ 3,559 and $ 3,234 , respectively.

SLR Equipment’s credit facility, which is non-recourse

to the Company, had approximately $ 110,997 and $ 118,002 of borrowings outstanding at September 30, 2022 and December 31, 2021, respectively.

For the three months ended September 30, 2022 and September 30, 2021, SLR Equipment had net income (loss) of $ 1,034 and ($ 306 ), respectively, on gross income of $ 6,486 and $ 5,809 , respectively.

For the nine months ended September 30, 2022 and September 30, 2021, SLR Equipment had net loss of $ 125 and $ 2,301 , respectively, on gross income of $ 15,704 and $ 16,443 , respectively.

to the Company, had approximately $ 113,132 and $ 114,977 of borrowings outstanding at March 31, 2023 and December 31, 2022, respectively.

For the three months ended March 31, 2023 and March 31, 2022, SLR Equipment had net income of $ 1,038 and $ 594 , respectively, on gross income of $ 6,337 and $ 5,173 , respectively.

Due to timing and non-cash

items, there may be material differences between GAAP net income and cash available for distributions.

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

September 30, 2022

(in thousands, except share amounts)

Capital Share Transactions

As of September 30, 2022 and September 30, 2021, 200,000,000 shares of $ 0.01 par value capital stock were authorized.

As of March 31, 2023 and March 31, 2022, 200,000,000 shares of $ 0.01 par value capital stock were authorized.

Transactions in capital stock were as follows:

Three months ended

September 30, 2022

Three months ended

September 30, 2021

Three months ended

September 30, 2022

Three months ended

September 30, 2021

Shares issued in connection with the Mergers

Nine months ended

September 30, 2022

Nine months ended

September 30, 2021

Nine months ended

September 30, 2022

Nine months ended

September 30, 2021

Shares issued in connection with the Mergers

For the three months

ended March 31, 2023

For the three months

ended March 31, 2022

For the three months

ended March 31, 2023

For the three months

ended March 31, 2022

Kingsbridge Holdings, LLC

On November 3, 2020, the Company acquired an 87.5 % equity interest in Kingsbridge Holdings, LLC (“KBH”) through KBH Topco LLC (“KBHT”), a newly formed Delaware corporation.

On November 3, 2020, the Company acquired 87.5 % of the equity securities of Kingsbridge Holdings, LLC (“KBH”) through KBH Topco LLC (“KBHT”), a Delaware corporation.

KBH is a residual focused independent mid-ticket

2 unchanged sentences

The Company invested $ 216,596 to effect the transaction, of which $ 136,596 was invested to acquire 87.5 % of KBHT’s equity and $ 80,000 in KBH’s debt.

The existing management team of KBH committed to continue to lead KBH after the transaction.

The existing management team of KBH committed to continuing to lead KBH after the transaction.

Following the transaction, the Company owns 87.5 % of KBHT equity and the KBH management team owns the remaining 12.5 % of KBHT’s equity.

As of September 30, 2022 and December 31, 2021, KBHT had total assets of $ 774,619 and $ 738,425 , respectively.

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

March 31, 2023

(in thousands, except share amounts)

As of March 31, 2023 and December 31, 2022, KBHT had total assets of $ 778,489 and $ 777,151 , respectively.

For the same periods, debt recourse to KBHT totaled $ 225,119 and $ 222,094 , respectively, and non-recourse

1 unchanged sentence

None of the debt is recourse to the Company.

For the three months ended September 30, 2022 and 2021, KBHT had net income of $ 3,327 and $ 3,163 , respectively, on gross income of $ 71,332 and $ 60,510 , respectively.

For the nine months ended September 30, 2022 and 2021, KBHT had net income of $ 10,393 and $ 10,314 , respectively, on gross income of $ 215,074 and $ 180,079 , respectively.

For the three months ended March 31, 2023 and 2022, KBHT had net income of $ 2,627 and $ 3,399 , respectively, on gross income of $ 68,007 and $ 66,426 , respectively.

Due to timing and non-cash

3 unchanged sentences

SUNS acquired an equity interest in SLR Healthcare ABL, f/k/a Gemino Healthcare Finance, LLC (“SLR Healthcare”) on September 30, 2013.

SLR Healthcare is a commercial finance company that originates, underwrites, and manages primarily secured, asset-based loans for small and mid-sized

SLR Healthcare is a commercial finance company that originates, underwrites, and manages primarily secured, asset-based loans for small and

companies operating in the healthcare industry.

SUNS initial investment in SLR Healthcare ABL was $

The management team of SLR Healthcare co-invested

The management team of SLR Healthcare

in the transaction and continues to lead SLR Healthcare.

As of September 30, 2022, SLR Healthcare’s management team and the Company own approximately 7 % and 93 % of the equity in SLR Healthcare, respectively.

SLRC acquired SLR Healthcare in connection with the Merger on April 1, 2022.

Concurrent with the closing of the transaction, SLR Healthcare entered into a new, four-year , non-recourse,

$ 100,000 credit facility with non-affiliates,

which was expandable to $ 150,000 under its accordion feature.

Effective March 31, 2014, the credit facility was expanded to $ 105,000 and again on June 27, 2014 to $ 110,000 .

On May 27, 2016, SLR Healthcare entered into a new $ 125,000 credit facility which replaced the previously existing facility.

The new facility has similar terms as compared to the previous facility and includes an accordion feature increase to $ 200,000 and had a maturity date of May 27, 2020 .

On June 28, 2019, this $ 125,000 facility was amended, extending the maturity date to June 28, 2023 .

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

September 30, 2022

(in thousands, except share amounts)

As of September 30, 2022, SLR Healthcare’s management team and the Company own approximately

93 % of the equity in SLR Healthcare, respectively.

SLRC acquired SLR Healthcare in connection with the Mergers on April 1, 2022.

Concurrent with the closing of the transaction, SLR Healthcare entered into a new,

non-recourse,

100,000 credit facility with

non-affiliates,

which was expandable to $

150,000 under its accordion feature.

Effective March 31, 2014, the credit facility was expanded to $

105,000 and again on June 27, 2014 to $

On May 27, 2016, SLR Healthcare entered into a new $

125,000 credit facility which replaced the previously existing facility.

The new facility has similar terms as compared to the previous facility and includes an accordion feature increase to $

200,000 and had a maturity date of

May 27, 2020 .

On June 28, 2019, this $

125,000 facility was amended, extending the maturity date to

June 28, 2023 .

On March 31, 2023, the facility was again amended, adjusting capacity to $

100,000 and extending the maturity date to

March 31, 2026 .

SLR Healthcare currently manages a highly diverse portfolio of directly-originated and underwritten senior-secured commitments.

As of September 30, 2022, the portfolio totaled approximat e

of commitments with a total net investment in loans of $ 81,360 on total assets of $ 93,010 .

As of March 31, 2023, the portfolio totaled approximately $ 258,600 of commitments with a total net investment in loans of $ 105,667 on total assets of $ 113,753 .

As of December 31, 2022, the portfolio totaled approximately $ 242,106 of commitments with a total net investment in loans of $ 92,383 on total assets of $ 108,705 .

At September 30, 2022, the portfolio consisted of 37 issuers with an average balance of approximately $ 2,199 versus 36 issuers with an average balance of approximately $ 2,267 at December 31, 2021.

At March 31, 2023, the portfolio consisted of 41 issuers with an average balance of approximately $ 2,577 versus 41 issuers with an average balance of approximately $ 2,253 at December 31, 2022.

All of the commitments in SLR Healthcare’s portfolio are floating-rate, senior-secured, cash-pay

SLR Healthcare’s credit facility, which is non-recourse

to us, had approximately $ 62,000 and $ 60,000 of borrowings outstanding at September 30, 2022 and December 31, 2021 , respectively.

For the three months ended September 30, 2022 and 2021, SLR Healthcare had net income (loss) of $ 822 and ($ 40 ), respectively, on gross income of $ 3,020 and $ 2,631 , respectively.

For the nine months ended September 30, 2022 and 2021, SLR Healthcare had net income of $ 2,543 and $ 494 , respectively, on gross income of $ 7,898 and $ 7,035 , respectively.

to us, had approximately $ 83,500 and $ 77,000 of borrowings outstanding at March 31, 2023 and December 31, 2022, respectively.

For the three months ended March 31, 2023 and 2022, SLR Healthcare had net income of $ 1,120 and $ 873 , respectively, on gross income of $ 3,836 and $ 2,391 , respectively.

Due to timing and non-cash

items, there may

be material differences between GAAP net income and cash available for distributions.

items, there may be material differences between GAAP net income and cash available for distributions.

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

March 31, 2023

(in thousands, except share amounts)

SLR Business Credit

15 unchanged sentences

The transaction purchase price of $ 66,671 was financed with equity from SUNS of $ 19,000 and borrowings on NMC’s credit facility of $ 47,671 .

SLRC acquired SLR Business Credit in connection with the Merger on April 1, 2022.

SLRC acquired SLR Business Credit in connection with the Mergers on April 1, 2022.

SLR Business Credit currently manages a highly diverse portfolio of directly-originated and underwritten senior-secured commitments.

September 30, 2022, the portfolio totaled approximately $ 554,171 of commitments, of which $ 295,973 were funded, on total assets of $ 346,278 .

December 31, 2021, the portfolio totaled approximately $ 513,869 of commitments, of which $ 248,652 were funded, on total assets of $ 290,794 .

September 30, 2022, the portfolio consisted of 109 issuers with an average balance of approximately $ 2,715 versus 125 issuers with an average balance

of approximately $ 1,989 at December 31, 2021.

NMC has a senior credit facility with a bank lending group for $ 240,000 which expires on

November 13, 2025 .

As of March 31, 2023, the portfolio totaled approximately $ 596,999 of commitments, of which $ 242,400 were funded, on total assets of $ 287,345 .

As of December 31, 2022, the portfolio totaled approximately $ 603,432 of commitments, of which $ 286,006 were funded, on total assets of $ 332,247 .

At March 31, 2023, the portfolio consisted of 100 issuers with an average balance of approximately $ 2,424 versus 108 issuers with an average balance of approximately $ 2,648 at December 31, 2022.

NMC has a senior credit facility with a bank lending group for $ 285,307 which expires on November 13, 2025 .

Borrowings are secured by substantially all of NMC’s assets.

NMC’s credit facility, which is non-recourse

approximately $ 237,510 and $ 183,252 of borrowings outstanding at September 30, 2022 and December 31, 2021, respectively.

For the three months

ended September 30, 2022 and 2021, SLR Business Credit had net income of $ 1,977 and $ 2,577 , respectively, on gross income of $ 7,607 and $ 6,857 ,

respectively.

For the nine months ended September 30, 2022 and 2021, SLR Business Credit had net income of $ 5,703 and $ 4,737 , respectively, on

gross income of $ 20,378 and $ 16,674 , respectively.

to us, had approximately $ 183,460 and $ 214,425 of borrowings outstanding at March 31, 2023 and December 31, 2022, respectively.

For the three months ended March 31, 2023 and 2022, SLR Business Credit had net income of $ 2,017 and $ 1,869 respectively, on gross income of $ 9,331 and $ 6,145 , respectively.

Due to timing and non-cash

items, there may be material differences between GAAP net income

and cash available for distributions.

As such, and subject to fluctuations in SLR Business Credit’s funded commitments, the timing of originations, and

the repayments of financings, the Company cannot guarantee that SLR Business Credit will be able to maintain consistent dividend payments to us.

items, there may be material differences between GAAP net income and cash available for distributions.

As such, and subject to fluctuations in SLR Business Credit’s funded commitments, the timing of originations, and the repayments of financings, the Company cannot guarantee that SLR Business Credit will be able to maintain consistent dividend payments to us.

Stock Repurchase Program

On May 3, 2022, our Board authorized a program for the purpose of repurchasing up to $ 50,000 of our outstanding shares of common stock.

Under the repurchase program, we may, but are not obligated to, repurchase shares of our outstanding common stock in the open market from time to time provided that we comply with our code of ethics and the guidelines specified in Rule 10b-18

of the 1934 Act, including certain price, market volume and timing constraints.

In addition, any repurchases will be conducted in accordance with the 1940 Act.

Unless amended or extended by our Board, we expect the repurchase program to be in place until the earlier of May 1, 2023 or until $ 50,000

of our outstanding shares of common stock have been repurchased.

The timing and number of shares to be repurchased will depend on a number of factors, including market conditions.

There are no assurances that we will engage in any repurchases beyond what is reported herein.

For the three months ended March 31, 2023, the Company repurchased 746 shares at an average price of approximately $ 14.02 per share, inclusive of commissions.

The total dollar amount of shares repurchased for the three months ended March 31, 2023 was $ 10 .

During the fiscal year ended December 31, 2022, the Company repurchased 217,271 shares at an average price of approximately $ 13.98 per share, inclusive of commissions.

The total dollar amount of shares repurchased for the fiscal year ended December 31, 2022 was $ 3,038 .

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

September 30, 2022

March 31, 2023

(in thousands, except share amounts)

Merger with SUNS

On December 1, 2021, we entered into the Merger Agreement, which provides that, subject to the conditions set forth in the Merger Agreement, Merger Sub will merge with and into SUNS, with SUNS continuing as the surviving company and as our wholly-owned subsidiary and, immediately thereafter, SUNS will merge with and into us, with us continuing as the surviving company.

Both the Board and SUNS’s board of directors, including all of the respective independent directors, in each case, on the recommendation of a special committee comprised solely of the independent directors of us or SUNS, as applicable, have approved the Merger Agreement and the transactions contemplated thereby.

The Merger Agreement contains customary representations and warranties by each of us, SUNS and the Investment Adviser.

The Merger Agreement also contains customary covenants, including, among others, covenants relating to the operation of each of our and SUNS’s businesses during the period prior to the closing of the Mergers.

Consummation of the Mergers, which occurred on April 1, 2022, was subject to certain closing conditions as disclosed in the Merger Agreement.

On April 1, 2022, the Company completed its previously announced acquisition of SUNS.

Pursuant to the Merger Agreement, Merger Sub was first merged with and into SUNS, with SUNS as the surviving corporation, and, immediately following the Merger, SUNS was then merged with and into the Company, with the Company as the surviving company.

In accordance with the terms of the Merger Agreement, at the effective time of the Merger, each outstanding share of SUNS’s common stock was converted into the right to receive 0.7796 shares of the Company’s common stock (with SUNS’s stockholders receiving cash in lieu of fractional shares of the Company’s common stock).

As a result of the Mergers, the Company issued an aggregate of 12,511,825 shares of its common stock to former SUNS stockholders.

The Merger is accounted for as an asset acquisition of SLR Senior Investment Corp.

by the Company in accordance with the asset acquisition method of accounting as detailed in ASC 805-50,

Business Combinations – Related Issues, with the fair value of total consideration paid in conjunction with the Merger allocated to the assets acquired and liabilities assumed based on their relative fair values as of the date of the Merger.

Generally, under asset acquisition accounting, acquiring assets in groups not only requires ascertaining the cost of the asset (or net assets), but also allocating that cost to the individual assets (or individual assets and liabilities) that make up the group.

The cost of the group of assets acquired in an asset acquisition is allocated to the individual assets acquired or liabilities assumed based on their relative fair values of net identifiable assets acquired other than certain “non-qualifying”

assets (for example cash) and does not give rise to goodwill.

The Company is the accounting survivor of the Merger.

The Merger was considered a tax-free

reorganization and the historical cost basis of the acquired SUNS investments are carried forward for tax purposes.

Prior to the Merger, SUNS was also managed by the Investment Adviser.

The following table summarizes the allocation of the purchase price to the assets acquired and liabilities assumed as a result of the Merger:

Common stock issued by the Company (1)

Assets acquired:

Investments, at fair value

Total assets acquired

Liabilities assumed:

Debt, at fair value

Other liabilities

Total liabilities assumed

Net assets acquired

Total purchase discount

Based on the market price at closing of $ 18.13 , adjusted for transaction costs.

SLR Senior Lending Program LLC

On October 12, 2022, the Company entered into an amended and restated limited liability company agreement with Sunstone Senior Credit L.P.

(the “Investor”) to create a joint venture vehicle, SLR Senior Lending Program LLC (“SSLP”).

SSLP is expected to invest primarily in senior secured cash flow loans.

The Company and the Investor each have made initial equity commitments of $ 50,000 , resulting in a total equity commitment of $ 100,000 .

Investment decisions and all material decisions in respect of SSLP must be approved by representatives of the Company and the Investor.

On December 1, 2022, SSLP commenced operations.

On December 12, 2022, SSLP as servicer and SLR Senior Lending Program SPV LLC (“SSLP SPV”), a newly formed wholly owned subsidiary of SSLP, as borrower entered into a $ 100,000 senior secured revolving credit facility (the “SSLP Facility”) with Goldman Sachs Bank USA acting as administrative agent.

The SSLP Facility is scheduled to mature on December 12, 2027 .

The SSLP Facility generally bears interest at a rate of SOFR plus 3.25 %.

SSLP and SSLP SPV, as applicable, have made certain customary representations and warranties, and are required to comply with various covenants, including leverage restrictions, reporting requirements and other customary requirements for similar credit facilities.

The SSLP Facility also includes usual and customary events of default for credit facilities of this nature.

At March 31, 2023, there were $ 27,900 of borrowings outstanding on the SSLP Facility.

As of March 31, 2023, the Company and the Investor had contributed combined equity capital in the amount of $ 19,000 .

As of March 31, 2023, the Company and the Investors’ remaining commitments to SSLP totaled $ 40,500 and $ 40,500 , respectively.

The Company, along with the Investor, controls the funding of SSLP and SSLP may not call the unfunded commitments of the Company or the Investor without the approval of both the Company and the Investor.

As of March 31, 2023 and December 31, 2022, SSLP had total assets of $ 46,000 and $ 19,105 , respectively.

For the same periods, SSLP’s portfolio consisted of floating rate senior secured loans to 18 and 7 different borrowers, respectively.

For the three months ended March 31, 2023, SSLP invested $ 29,829 in 12 portfolio companies.

Investments prepaid totaled $ 3,215 for the three months ended March 31, 2023.

For the period December 1, 2022 (commencement of operations) through December 31, 2022, SSLP invested $ 18,100 in 7 portfolio companies.

Investments prepaid totaled $ 68 for the period December 1, 2022 (commencement of operations) through December 31, 2022.

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

September 30, 2022

March 31, 2023

(in thousands, except share amounts)

Letter Agreement

On April 1, 2022, in connection with the consummation of the Mergers, the Company entered into a letter agreement (the “Letter Agreement”) pursuant to which the Investment Adviser voluntarily agreed to a permanent 25 basis point reduction of the annual base management fee rate payable by the Company to the Investment Adviser pursuant to the Advisory Agreement, resulting in an annual base management fee rate payable by the Company to the Investment Adviser of 1.50 % on gross assets up to 200 % of the Company’s total net assets.

The Company retained the annual base management fee rate payable by the Company to the Investment Adviser of 1.00 % on gross assets that exceed 200 % of the Company’s total net assets.

Stock Repurchase Program

On May 3, 2022, our Board authorized a program for the purpose of repurchasing up to $ 50,000 of our outstanding shares of common stock.

SSLP Portfolio as of March 31, 2023

Aegis Toxicology Sciences Corporation (4)

Health Care Providers &

Atria Wealth Solutions, Inc.

Diversified Financial

BayMark Health Services, Inc.

Health Care Providers &

ENS Holdings III Corp.

& ES Opco USA LLC (4)

Trading Companies &

Foundation Consumer Brands, LLC (4)

Personal Products

Higginbotham Insurance Agency, Inc.

High Street Buyer, Inc.

Kid Distro Holdings, LLC (4)

PhyNet Dermatology LLC (4)

Health Care Providers &

Pinnacle Treatment Centers, Inc.

Health Care Providers &

Plastics Management, LLC (4)

Health Care Providers &

Life Sciences Tools &

RSC Acquisition, Inc.

RxSense Holdings LLC (4)

Diversified Consumer

SunMed Group Holdings, LLC (4)

Equipment & Supplies

Tilley Distribution, Inc.

Trading Companies &

Urology Management Holdings, Inc.

Health Care Providers &

Floating rate instruments accrue interest at a predetermined spread relative to an index, typically the LIBOR or SOFR.

These instruments are typically subject to a LIBOR or SOFR floor.

Floating rate debt investments typically bear interest at a rate determined by reference to either the LIBOR (“L”) or SOFR (“S”), and which typically reset monthly, quarterly or semi-annually.

For each debt investment we have provided the current interest rate in effect as of March 31, 2023.

Represents the fair value in accordance with ASC Topic 820.

The determination of such fair value is not included in the Board’s valuation process described elsewhere herein.

The Company also holds this security on its Consolidated Statements of Assets and Liabilities.

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

March 31, 2023

(in thousands, except share amounts)

SSLP Portfolio as of December 31, 2022 (audited)

Atria Wealth Solutions, Inc.

Diversified Financial

BayMark Health Services, Inc.

Health Care Providers &

ENS Holdings III Corp.

& ES Opco USA LLC (4)

Trading Companies &

Foundation Consumer Brands, LLC (4)

Personal Products

High Street Buyer, Inc.

Ivy Fertility Services, LLC (4)

Health Care Providers &

Kid Distro Holdings, LLC (4)

Floating rate instruments accrue interest at a predetermined spread relative to an index, typically the LIBOR or SOFR.

These instruments are typically subject to a LIBOR or SOFR floor.

For each debt investment we have provided the current interest rate in effect as of December 31, 2022.

Represents the fair value in accordance with ASC Topic 820.

The determination of such fair value is not included in the Board’s valuation process described elsewhere herein.

The Company also holds this security on its Consolidated Statements of Assets and Liabilities.

Below is certain summarized financial information for SSLP as of March 31, 2023 and December 31, 2022 and for the three months ended March 31, 2023 and for the period December 1, 2022 (commencement of operations) through December 31, 2022:

2022 (audited)

Selected Balance Sheet Information for SSLP:

Investments at fair value (cost $ 44,686 and $ 18,032 , respectively)

Cash and other assets

Debt outstanding

Interest payable and other credit facility related expenses

Accrued expenses and other payables

Total liabilities

Members’ equity

Total liabilities and members’ equity

SLR INVESTMENT CORP.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)(continued)

March 31, 2023

(in thousands, except share amounts)

For the three

March 31, 2023

For the period

December 1, 2022

(commencement

of operations) to

2022 (audited)

Selected Income Statement Information for SSLP:

Interest income

Service fees*

Interest and other credit facility expenses

Organizational costs

Other general and administrative expenses

Total expenses

Net investment income (loss)

Realized gain on investments

Net change in unrealized gain on investments

Net realized and unrealized gain on investments

Net income (loss)

Service fees are included within the Company’s Consolidated Statements of Operations as other income.

Subsequent Events

The Company has evaluated the need for disclosures and/or adjustments resulting from subsequent events through the date the consolidated financial statements were issued.

On April 4, 2023, the Board declared a monthly distribution of $ 0.136667 per share payable on May 2, 2023 to holders of record as of April 20, 2023.

On May 9, 2023, our Board authorized an extension of a program for the purpose of repurchasing up to $ 50,000 of our outstanding shares of common stock.

1 unchanged sentence

In addition, any repurchases will be conducted in accordance with the 1940 Act.

Unless amended or extended by our Board, we expect the repurchase program to be in place until the earlier of May 1, 2023 or until $50,000 of our outstanding shares of common stock have been repurchased.

The timing and number of shares to be repurchased will depend on a number of factors, including market conditions.

Unless further amended or extended by our Board, we expect the repurchase program to be in place until the earlier of May 10, 2024 or until $ 50,000 of our outstanding shares of common stock have been repurchased.

To date, approximately $ 3,048 of repurchases have been made by us under the repurchase program.

The timing and number of additional shares to be repurchased will depend on a number of factors, including market conditions.

There are no assurances that we will engage in any repurchases.

As of September 30, 2022, no repurchases have taken place.

Subsequent Events

The Company has evaluated the need for disclosures and/or adjustments resulting from subsequent events through the date the consolidated financial statements were issued.

On October 5, 2022, our Board declared a monthly distribution of $ 0.136667 per share payable on November 2, 2022 to holders of record as of October 20, 2022.

On October 12, 2022, the Company entered into a joint venture agreement with SunStone Senior Credit L.P.

(the “Investor”) to create SLR Senior Lending Program LLC (“SSLP”).

The joint venture is expected to invest primarily in senior secured cash flow loans.

The Company and the Investor each have made initial equity commitments of $ 50,000 , resulting in a total equity commitment of $ 100,000 .

SSLP intends to seek third party financing to allow the joint venture to utilize leverage.

The Company and the Investor expect to begin funding SSLP with investments prior to the end of 2022.

Investment decisions and all material decisions in respect of SSLP must be approved by representatives of the Company and the Investor.

On November 2, 2022, our Board declared a monthly distribution of $ 0.136667 per share payable on December 1, 2022 to holders of record as of November 17, 2022.

On May 10, 2023, the Board declared a monthly distribution of $ 0.136667 per share payable on June 1, 2023 to holders of record as of May 24, 2023.

Report of Independent Registered Public Accounting Firm

3 unchanged sentences

We have reviewed the consolidated statement of assets and liabilities of SLR Investment Corp.

(and subsidiaries) (the Company), including the consolidated schedule of investments, as of September 30, 2022, the related consolidated statements of operations and changes in net assets, for the three-month and nine-month periods ended September 30, 2022 and 2021, the related consolidated statements of cash flows for the nine-month periods ended September 30, 2022 and 2021, and the related notes (collectively, the consolidated interim financial information).

(and subsidiaries) (the Company), including the consolidated schedule of investments, as of March 31, 2023, the related consolidated statements of operations, changes in net assets, and cash flows for the three-month periods ended March 31, 2023 and 2022, and the related notes (collectively, the consolidated interim financial information).

Based on our reviews, we are not aware of any material modifications that should be made to the consolidated interim financial information for it to be in conformity with U.S.

1 unchanged sentence

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, including the consolidated schedule of investments, of the Company as of December 31, 2022, 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 March 1, 2022, we expressed an unqualified opinion on those consolidated financial statements.

and in our report dated February 28, 2023, 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, including the consolidated schedule of investments, as of December 31, 2022, is fairly stated, in all material respects, in relation to the consolidated statement of assets and liabilities, including the consolidated schedule of investments, from which it has been derived.

8 unchanged sentences

New York, New York

November 2, 2022

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