SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549



ý			QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934



¨			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934



Maryland						06-1798488
(State or other jurisdiction of						(I.R.S. Employer
incorporation or organization)						Identification No.)

~~3700 Glenwood Avenue,~~300 South Tryon Street, Suite ~~530~~ ~~Raleigh,~~2500 Charlotte, North Carolina						~~27612~~28202
(Address of principal executive offices)						(Zip Code)

Former Name, Former Address and Former Fiscal Year, if Changed Since Last Report: N/A


Title of Each Class	Trading Symbol	Name of Each Exchange on Which Registered
Common Stock, par value $0.001 per share	BBDC	The New York Stock Exchange

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ý No ¨

Indicate by check mark whether the registrant has submitted electronically ~~and posted on its corporate Web site, if any,~~ every Interactive Data File required to be submitted ~~and posted~~ pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit ~~and post~~ such files). Yes ¨ No ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company, or an emerging growth company. See the definitions of ~~“large~~"large accelerated filer,~~” “accelerated~~" "accelerated filer,~~” “smaller~~" "smaller reporting ~~company”~~company," and "emerging growth company" in Rule 12b-2 of the Exchange Act. ~~(Check one):~~



Large accelerated filer	ý¨	Accelerated filer	¨
Non-accelerated filer	¨ ~~(Do not check if a smaller reporting company)~~ ý	Smaller reporting company	¨
		Emerging growth company	¨
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.			¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ¨ No ý

The number of shares outstanding of the registrant’s ~~Common Stock~~common stock on ~~November 1, 2017~~May 6, 2021 was ~~47,740,832.~~65,316,085.

~~TRIANGLE CAPITAL CORPORATION~~BARINGS BDC, INC.

PART I – FINANCIAL INFORMATION

Item 1. Financial Statements.

~~TRIANGLE CAPITAL CORPORATION~~Barings BDC, Inc.

Consolidated Balance Sheets

September 30, 2017 December 31, 2016
(Unaudited)
Assets:
Investments at fair value:
Non-Control / Non-Affiliate investments (cost of $998,836,068 and $888,974,154 as of September 30, 2017 and December 31, 2016, respectively) $ 908,181,226
$ 857,604,639
Affiliate investments (cost of $153,091,223 and $162,539,224 as of September 30, 2017 and December 31, 2016, respectively) 146,607,453
161,510,773
Control investments (cost of $86,861,024 and $45,418,113 as of September 30, 2017 and December 31, 2016, respectively) 36,403,000
18,791,769
Total investments at fair value 1,091,191,679
1,037,907,181
Cash and cash equivalents 81,003,756
107,087,663
Interest, fees and other receivables 9,744,381
10,189,788
Prepaid expenses and other current assets 1,827,994
1,659,570
Deferred financing fees 5,439,945
2,699,960
Property and equipment, net 91,195
106,494
Total assets $ 1,189,298,950
$ 1,159,650,656
Liabilities:
Accounts payable and accrued liabilities $ 5,540,240
$ 6,797,244
Interest payable 1,723,664
3,996,940
Taxes payable —
489,691
Deferred income taxes 1,196,745
2,053,701
Borrowings under credit facility 141,118,837
127,011,475
Notes 163,241,179
162,755,381
SBA-guaranteed debentures payable 246,084,869
245,389,966
Total liabilities 558,905,534
548,494,398
Commitments and contingencies (Note 8)
Net Assets:
Common stock, $0.001 par value per share (150,000,000 shares authorized, 47,740,832 and 40,401,292 shares issued and outstanding as of September 30, 2017 and December 31, 2016, respectively) 47,741
40,401
Additional paid-in capital 822,780,495
686,835,054
Net investment income in excess of (less than) distributions (4,483,783 ) 5,884,512
Accumulated realized losses (41,242,051 ) (24,211,594 )
Net unrealized depreciation (146,708,986 ) (57,392,115 )
Total net assets 630,393,416
611,156,258
Total liabilities and net assets $ 1,189,298,950
$ 1,159,650,656
Net asset value per share $ 13.20
$ 15.13


	March 31, 2021		December 31, 2020
	(Unaudited)
Assets:
Investments at fair value:
Non-Control / Non-Affiliate investments (cost of $1,389,212,763 and $1,318,614,617 as of March 31, 2021 and December 31, 2020, respectively)	$	1,401,742,025	$	1,325,783,281
Affiliate investments (cost of $95,442,223 and $76,055,873 as of March 31, 2021 and December 31, 2020, respectively)	100,429,674		78,598,633
Control investments (cost of $30,326,428 and $25,826,428 as of March 31, 2021 and December 31, 2020, respectively)	26,386,362		25,855,796
Short-term investments (cost of $73,569,174 and $65,558,227 as of March 31, 2021 and December 31, 2020, respectively)	73,565,676		65,558,227
Total investments at fair value	1,602,123,737		1,495,795,937
Cash (restricted cash of $3,488,403 and $3,488,336 at March 31, 2021 and December 31, 2020, respectively)	21,168,184		62,651,340
Foreign currencies (cost of $19,342,513 and $29,555,465 as of March 31, 2021 and December 31, 2020, respectively)	19,346,907		29,836,121
Interest and fees receivable	19,637,124		21,617,843
Prepaid expenses and other assets	1,123,361		2,014,558
Credit support agreement (cost of $13,600,000 as of both March 31, 2021 and December 31, 2020)	12,000,000		13,600,000
Deferred financing fees	3,802,971		4,110,564
Receivable from unsettled transactions	47,911,907		47,412,382
Total assets	$	1,727,114,191	$	1,677,038,745
Liabilities:
Accounts payable and accrued liabilities	$	2,528,070	$	6,045,443
Interest payable	4,084,372		2,219,274
Administrative fees payable	500,000		675,000
Base management fees payable	3,929,251		3,413,270
Incentive management fees payable	2,721,741		—
Derivative liabilities	142,099		1,336,283
Payable from unsettled transactions	—		1,548,578
Borrowings under credit facilities	611,144,523		719,660,707

Notes payable (net of deferred financing fees)	374,181,388		224,335,666
Total liabilities	999,231,444		959,234,221
Commitments and contingencies (Note 7)
Net Assets:
Common stock, $0.001 par value per share (150,000,000 shares authorized and 65,316,085 shares issued and outstanding as of both March 31, 2021 and December 31, 2020)	65,316		65,316
Additional paid-in capital	1,027,707,047		1,027,707,047
Total distributable earnings (loss)	(299,889,616)		(309,967,839)
Total net assets	727,882,747		717,804,524
Total liabilities and net assets	$	1,727,114,191	$	1,677,038,745
Net asset value per share	$	11.14	$	10.99

See accompanying notes.

~~TRIANGLE CAPITAL CORPORATION~~

Barings BDC, Inc.

Unaudited Consolidated Statements of Operations


	Three Months Ended		Three Months Ended
	March 31, 2021		March 31, 2020
Investment income:
Interest income:
Non-Control / Non-Affiliate investments	$	25,096,325	$	17,396,411

Control investments	107,237		—
Short-term investments	10,679		277,991
Total interest income	25,214,241		17,674,402
Dividend income:

Affiliate investments	71,500		—

Total dividend income	71,500		—
Fee and other income:
Non-Control / Non-Affiliate investments	1,973,062		960,993

Control investments	160,113		—
Total fee and other income	2,133,175		960,993
Payment-in-kind interest income:
Non-Control / Non-Affiliate investments	3,037,325		43,572
Affiliate investments	136,462		—

Total payment-in-kind interest income	3,173,787		43,572
Interest income from cash	528		631
Total investment income	30,593,231		18,679,598
Operating expenses:
Interest and other financing fees	7,284,709		6,004,133
Base management fee (Note 2)	3,929,251		3,912,373
Incentive management fees (Note 2)	2,721,741		—

Compensation expenses	—		48,410
General and administrative expenses (Note 2)	2,301,434		1,420,613
Total operating expenses	16,237,135		11,385,529


Net investment income	14,356,096		7,294,069
Income taxes, including excise tax benefit	(18,038)		—
Net investment income after taxes	14,374,134		7,294,069


Barings BDC, Inc. Unaudited Consolidated Statements of Operations - (Continued)													Barings BDC, Inc. Unaudited Consolidated Statements of Operations - (Continued)
														Three Months Ended		Three Months Ended
														March 31, 2021		March 31, 2020
	Three Months Ended			Three Months Ended			Nine Months Ended			Nine Months Ended
	September 30, 2017			September 30, 2016			September 30, 2017			September 30, 2016
Investment income:
Interest income:
Non-Control / Non-Affiliate investments	$	20,629,534		$	17,270,300		$	62,755,411		$	52,938,976
Affiliate investments	3,329,256			3,380,867			10,580,976			10,121,974
Control investments	281,147			303,708			861,294			764,622
Total interest income	24,239,937			20,954,875			74,197,681			63,825,572
Dividend income:
Non-Control / Non-Affiliate investments	57,515			167,468			1,318,748			(1,030,703		)
Affiliate investments	137,470			244,233			241,714			706,495
Control investments	—			—			—			300,000
Total dividend income	194,985			411,701			1,560,462			(24,208		)
Fee and other income:
Non-Control / Non-Affiliate investments	2,104,631			1,585,403			4,980,285			5,662,081
Affiliate investments	479,802			319,289			951,091			855,855
Control investments	107,292			110,000			307,292			310,000
Total fee and other income	2,691,725			2,014,692			6,238,668			6,827,936
Payment-in-kind interest income:
Non-Control / Non-Affiliate investments	1,963,525			2,719,831			6,756,172			8,373,124
Affiliate investments	622,613			1,175,899			2,118,550			3,259,634
Total payment-in-kind interest income	2,586,138			3,895,730			8,874,722			11,632,758
Interest income from cash and cash equivalents	175,273			135,459			421,062			228,129
Total investment income	29,888,058			27,412,457			91,292,595			82,490,187
Operating expenses:
Interest and other financing fees	7,394,241			6,757,718			21,418,371			20,040,942
Compensation expenses	4,323,708			3,963,797			12,149,527			17,510,762
General and administrative expenses	1,019,192			859,785			3,403,385			3,170,330
Total operating expenses	12,737,141			11,581,300			36,971,283			40,722,034
Net investment income	17,150,917			15,831,157			54,321,312			41,768,153
Realized and unrealized gains (losses) on investments and foreign currency borrowings:
Realized and unrealized gains (losses) on investments, credit support agreement and foreign currency transactions:													Realized and unrealized gains (losses) on investments, credit support agreement and foreign currency transactions:
Net realized gains (losses):													Net realized gains (losses):
Non-Control / Non-Affiliate investments	4,066,263			(11,213,561		)	(3,036,048		)	(5,007,647		)	Non-Control / Non-Affiliate investments	2,891,040		(157,978)
Affiliate investments	(4,443,680		)	2,106			(999,336		)	(1,680,198		)	Affiliate investments	(76,631)		—
Control investments	(8,503,633		)	—			(12,995,073		)	—
Net realized losses	(8,881,050		)	(11,211,455		)	(17,030,457		)	(6,687,845		)

Net realized gains (losses) on investments													Net realized gains (losses) on investments	2,814,409		(157,978)
Foreign currency transactions													Foreign currency transactions	(974,829)		(144,394)
Net realized gains (losses)													Net realized gains (losses)	1,839,580		(302,372)
Net unrealized appreciation (depreciation):													Net unrealized appreciation (depreciation):
Non-Control / Non-Affiliate investments	(64,601,974		)	11,731,534			(70,083,204		)	(596,458		)	Non-Control / Non-Affiliate investments	5,357,095		(117,361,056)
Affiliate investments	(2,313,261		)	(303,939		)	(11,651,017		)	1,130,412			Affiliate investments	2,444,697		(3,833,223)
Control investments	2,047,411			(8,546,464		)	(5,981,149		)	(8,098,464		)	Control investments	(3,969,434)		—
Net unrealized appreciation (depreciation) on investments	(64,867,824		)	2,881,131			(87,715,370		)	(7,564,510		)	Net unrealized appreciation (depreciation) on investments	3,832,358		(121,194,279)
Foreign currency borrowings	(897,734		)	342,409			(1,601,501		)	(569,382		)
Credit support agreement													Credit support agreement	(1,600,000)		—

Foreign currency transactions													Foreign currency transactions	4,041,797		1,798,226
Net unrealized appreciation (depreciation)	(65,765,558		)	3,223,540			(89,316,871		)	(8,133,892		)	Net unrealized appreciation (depreciation)	6,274,155		(119,396,053)
Net realized and unrealized losses on investments and foreign currency borrowings	(74,646,608		)	(7,987,915		)	(106,347,328		)	(14,821,737		)
Tax benefit (provision)	(985		)	36,431			(305,166		)	47,342
Net realized gains (losses) and unrealized appreciation (depreciation) on investments, credit support agreement and foreign currency transactions													Net realized gains (losses) and unrealized appreciation (depreciation) on investments, credit support agreement and foreign currency transactions	8,113,735		(119,698,425)
Loss on extinguishment of debt													Loss on extinguishment of debt	—		(137,390)
Benefit from taxes													Benefit from taxes	410		19,999
Net increase (decrease) in net assets resulting from operations	$	(57,496,676	)	$	7,879,673		$	(52,331,182	)	$	26,993,758		Net increase (decrease) in net assets resulting from operations	$	22,488,279	$	(112,521,747)
Net investment income per share—basic and diluted	$	0.36		$	0.42		$	1.18		$	1.19		Net investment income per share—basic and diluted	$	0.22	$	0.15
Net increase (decrease) in net assets resulting from operations per share—basic and diluted	$	(1.20	)	$	0.21		$	(1.14	)	$	0.77		Net increase (decrease) in net assets resulting from operations per share—basic and diluted	$	0.34	$	(2.30)
Dividends/distributions per share:													Dividends/distributions per share:
Regular quarterly dividends/distributions	$	0.45		$	0.45		$	1.35		$	1.44

Total dividends/distributions per share	$	0.45		$	0.45		$	1.35		$	1.44		Total dividends/distributions per share	$	0.19	$	0.16
Weighted average shares outstanding—basic and diluted	47,743,990			38,115,449			46,079,139			35,199,704			Weighted average shares outstanding—basic and diluted	65,316,085		48,887,393

See accompanying notes.

~~TRIANGLE CAPITAL CORPORATION~~Barings BDC, Inc.

Unaudited Consolidated Statements of Changes in Net Assets


	Common Stock			Additional Paid-In Capital		Total Distributable Earnings (Loss)		Total Net Assets
	Number of Shares	Par Value
Balance, December 31, 2019	48,950,803	$	48,951	$	853,766,370	$	(282,940,612)	$	570,874,709
Net investment income	—	—		—		7,314,068		7,314,068

Net realized loss on investments / foreign currency transactions	—	—		—		(302,372)		(302,372)
Net unrealized depreciation of investments / foreign currency transactions	—	—		—		(119,396,053)		(119,396,053)
Loss on extinguishment of debt	—	—		—		(137,390)		(137,390)

Dividends / distributions	—	—		—		(7,823,964)		(7,823,964)


Purchases of shares in repurchase plan	(661,981)	(662)		(4,783,428)		—		(4,784,090)


Balance, March 31, 2020	48,288,822	$	48,289	$	848,982,942	$	(403,286,323)	$	445,744,908

Common Stock
Additional
Paid-In
Capital

Investment
Income
in Excess of
Distributions
Accumulated
Realized
Losses on Investments
Net
Unrealized
Depreciation

Total
Net
Assets

Number
of Shares

Par
Value

Balance, December 31, 2015 33,375,126
$ 33,375
$ 549,242,439
$ 16,127,141
$ (25,813,329 ) $ (31,221,871 ) $ 508,367,755
Net investment income —
—
—
41,768,153
—
—
41,768,153
Stock-based compensation —
—
7,502,500
—
—
—
7,502,500
Realized gain (loss) on investments —
—
—
—
(6,687,845 ) 7,532,502
844,657
Net unrealized loss on investments / foreign currency —
—
—
—
—
(15,666,394 ) (15,666,394 )
Tax benefit —
—
—
47,342
—
—
47,342
Dividends / distributions 120,562
120
2,325,851
(51,389,199 ) —
—
(49,063,228 )
Public offering of common stock 6,742,362
6,742
129,129,554
—
—
—
129,136,296
Issuance of restricted stock 364,605
365
(365 ) —
—
—
—
Common stock withheld for payroll taxes upon vesting of restricted stock (197,252 ) (197 ) (3,581,675 ) —
—
—
(3,581,872 )
Balance, September 30, 2016 40,405,403
$ 40,405
$ 684,618,304
$ 6,553,437
$ (32,501,174 ) $ (39,355,763 ) $ 619,355,209


	Common Stock			Additional Paid-In Capital		Total Distributable Earnings (Loss)		Total Net Assets
	Number of Shares	Par Value
Balance, December 31, 2020	65,316,085	$	65,316	$	1,027,707,047	$	(309,967,839)	$	717,804,524
Net investment income	—	—		—		14,374,134		14,374,134

Net realized gain on investments / foreign currency transactions	—	—		—		1,839,580		1,839,580
Net unrealized appreciation of investments / CSA / foreign currency transactions	—	—		—		6,274,155		6,274,155

Benefit from taxes	—	—		—		410		410
Dividends / distributions	—	—		—		(12,410,056)		(12,410,056)

Deemed contribution - from Adviser	—	—		—		—		—



Balance, March 31, 2021	65,316,085	$	65,316	$	1,027,707,047	$	(299,889,616)	$	727,882,747

Common Stock
Additional
Paid-In
Capital

Investment
Income
in Excess of (Less Than)
Distributions

Accumulated
Realized
Losses on Investments

Net
Unrealized
Depreciation

Total
Net
Assets

Number
of Shares

Par
Value

Balance, December 31, 2016 40,401,292
$ 40,401
$ 686,835,054
$ 5,884,512
$ (24,211,594 ) $ (57,392,115 ) $ 611,156,258
Net investment income —
—
—
54,321,312
—
—
54,321,312
Stock-based compensation —
—
4,499,374
—
—
—
4,499,374
Realized gain (loss) on investments —
—
—
—
(17,030,457 ) 18,724,566
1,694,109
Net unrealized loss on investments / foreign currency —
—
—
—
—
(108,041,437 ) (108,041,437 )
Tax provision —
—
—
(305,166 ) —
—
(305,166 )
Dividends / distributions 91,366
91
1,637,467
(64,384,441 ) —
—
(62,746,883 )
Public offering of common stock 7,000,000
7,000
131,989,144
—
—
—
131,996,144
Issuance of restricted stock 360,470
361
(361 ) —
—
—
—
Common stock withheld for payroll taxes upon vesting of restricted stock (112,296 ) (112 ) (2,180,183 ) —
—
—
(2,180,295 )
Balance, September 30, 2017 47,740,832
$ 47,741
$ 822,780,495
$ (4,483,783 ) $ (41,242,051 ) $ (146,708,986 ) $ 630,393,416

See accompanying notes.

~~TRIANGLE CAPITAL CORPORATION~~

Barings BDC, Inc.

Unaudited Consolidated Statements of Cash Flows

Nine Months Ended Nine Months Ended
September 30, 2017 September 30, 2016
Cash flows from operating activities:
Net increase (decrease) in net assets resulting from operations $ (52,331,182 ) $ 26,993,758
Adjustments to reconcile net increase (decrease) in net assets resulting from operations to net cash provided by (used in) operating activities:
Purchases of portfolio investments (391,502,625 ) (163,867,651 )
Repayments received/sales of portfolio investments 231,730,067
182,153,894
Loan origination and other fees received 5,733,890
3,205,460
Net realized loss on investments 17,030,457
6,687,845
Net unrealized depreciation on investments 88,572,326
9,525,827
Net unrealized depreciation on foreign currency borrowings 1,601,501
569,382
Deferred income taxes (856,956 ) (1,961,317 )
Payment-in-kind interest accrued, net of payments received (519,326 ) (4,177,550 )
Amortization of deferred financing fees 1,857,810
1,644,826
Accretion of loan origination and other fees (3,863,096 ) (3,676,003 )
Accretion of loan discounts (466,191 ) (307,081 )
Accretion of discount on SBA-guaranteed debentures payable —
31,899
Depreciation expense 51,275
52,369
Stock-based compensation 4,499,374
7,502,500
Changes in operating assets and liabilities:
Interest, fees and other receivables 445,407
(2,074,332 )
Prepaid expenses and other current assets (168,424 ) (743,114 )
Accounts payable and accrued liabilities (1,257,004 ) (2,827,297 )
Interest payable (2,273,276 ) (2,176,980 )
Taxes payable (489,691 ) (735,498 )
Net cash provided by (used in) operating activities (102,205,664 ) 55,820,937
Cash flows from investing activities:
Purchases of property and equipment (35,976 ) (69,177 )
Net cash used in investing activities (35,976 ) (69,177 )
Cash flows from financing activities:
Borrowings under SBA-guaranteed debentures payable —
32,800,000
Repayments of SBA-guaranteed debentures payable —
(7,800,000 )
Borrowings under credit facility 106,700,000
68,901,849
Repayments of credit facility (94,194,139 ) (109,300,000 )
Financing fees paid (3,417,094 ) (1,123,400 )
Net proceeds related to public offering of common stock 131,996,144
129,136,296
Common stock withheld for payroll taxes upon vesting of restricted stock (2,180,295 ) (3,581,872 )
Cash dividends/distributions paid (62,746,883 ) (49,063,228 )
Net cash provided by financing activities 76,157,733
59,969,645
Net increase (decrease) in cash and cash equivalents (26,083,907 ) 115,721,405
Cash and cash equivalents, beginning of period 107,087,663
52,615,418
Cash and cash equivalents, end of period $ 81,003,756
$ 168,336,823
Supplemental disclosure of cash flow information:
Cash paid for interest $ 20,955,808
$ 19,929,857
Summary of non-cash financing transactions:
Dividends/distributions paid through DRIP share issuances $ 1,637,558
$ 2,325,971


	Three Months Ended		Three Months Ended
	March 31, 2021		March 31, 2020
Cash flows from operating activities:
Net increase (decrease) in net assets resulting from operations	$	22,488,279	$	(112,521,747)
Adjustments to reconcile net increase (decrease) in net assets resulting from operations to net cash provided by (used in) operating activities:
Purchases of portfolio investments	(276,455,607)		(123,200,667)

Repayments received / sales of portfolio investments	188,160,373		155,852,583

Purchases of short-term investments	(198,550,029)		(221,916,363)
Sales of short-term investments	190,541,780		218,025,496
Loan origination and other fees received	4,578,368		2,704,423
Net realized (gain) loss on investments	(2,814,409)		157,978
Net realized loss on foreign currency transactions	974,829		144,394
Net unrealized (appreciation) depreciation of investments	(3,832,358)		121,194,279
Net unrealized depreciation of CSA	1,600,000		—
Net unrealized appreciation of foreign currency transactions	(4,041,797)		(1,798,226)

Payment-in-kind interest	(3,173,786)		(43,572)
Amortization of deferred financing fees	343,997		375,257
Loss on extinguishment of debt	—		137,390

Accretion of loan origination and other fees	(1,481,038)		(658,005)
Amortization / accretion of purchased loan premium / discount	(1,979,787)		(188,402)



Changes in operating assets and liabilities:
Interest and fees receivables	(2,935,424)		(1,483,011)
Prepaid expenses and other assets	1,264,058		(798,647)
Accounts payable and accrued liabilities	(1,668,440)		452,640
Interest payable	1,868,804		(471,825)


Net cash provided by (used in) operating activities	(85,112,187)		35,963,975




Cash flows from financing activities:


Borrowings under credit facilities	29,823,707		58,085,614
Repayments of credit facilities	(134,083,152)		(69,000,000)

Repayment of debt securitization	—		(26,974,371)
Proceeds from notes	150,000,000		—
Financing fees paid	(190,682)		—

Purchases of shares in repurchase plan	—		(4,784,090)

Cash dividends / distributions paid	(12,410,056)		(7,823,964)
Net cash provided by (used in) financing activities	33,139,817		(50,496,811)
Net decrease in cash and foreign currencies	(51,972,370)		(14,532,836)
Cash and foreign currencies, beginning of period	92,487,461		21,991,565
Cash and foreign currencies, end of period	$	40,515,091	$	7,458,729
Supplemental disclosure of cash flow information:
Cash paid for interest	$	4,903,435	$	5,407,506

See accompanying notes.

Barings BDC, Inc.

Unaudited Consolidated Schedule of Investments

March 31, 2021


Portfolio Company(6)	Industry	Type of Investment(1) (2)	Principal Amount		Cost		Fair Value
Non–Control / Non–Affiliate Investments:

1WorldSync, Inc. (3.8%)*(7) (8) (9)	IT Consulting & Other Services	First Lien Senior Secured Term Loan (LIBOR + 6.25%, 7.3% Cash, Acquired 07/19, Due 07/25)	$	27,639,522	$	27,174,789	$	27,405,692
			27,639,522		27,174,789		27,405,692

Accelerate Learning, Inc. (1.0%)*(7) (8) (11)	Education Services	First Lien Senior Secured Term Loan (LIBOR + 5.0%, 6.0% Cash, Acquired 12/18, Due 12/24)	7,567,965		7,467,329		7,462,014
			7,567,965		7,467,329		7,462,014

Accurus Aerospace Corporation (2.9%)*(7) (8) (11)	Aerospace & Defense	First Lien Senior Secured Term Loan (LIBOR + 4.5%, 5.5% Cash, 1.50% PIK, Acquired 10/18, Due 10/24)	24,500,000		24,265,957		20,874,000
			24,500,000		24,265,957		20,874,000

ADE Holdings (d/b/a AD Education) (0.7%)*(3) (7) (8) (16)	Education Services	First Lien Senior Secured Term Loan (EURIBOR + 5.0%, 5.0% Cash, Acquired 01/20, Due 01/27)	5,244,442		4,981,803		5,244,442
			5,244,442		4,981,803		5,244,442

Advantage Software Company (The), LLC (2.2%)*(7) (8) (11)	Advertising, Printing & Publishing	First Lien Senior Secured Term Loan (LIBOR + 6.5%, 7.5% Cash, Acquired 01/21, Due 01/27)	15,872,836		15,487,093		15,476,015
		Class A Partnership Units (7,054.59 units, Acquired 01/21)			705,459		712,443
		Class B Partnership Units (3,496.31 units, Acquired 01/21)			—		22,656
			15,872,836		16,192,552		16,211,114

AEP Holdings, Inc. (2.4%)*(7) (8)	Wholesale	First Lien Senior Secured Term Loan (EURIBOR + 5.75%, 6.8% Cash, Acquired 11/20, Due 11/25) (15)	7,104,768		7,159,388		6,962,673
		First Lien Senior Secured Term Loan (LIBOR + 5.75%, 6.8% Cash, Acquired 11/20, Due 11/25) (11)	10,752,921		10,546,205		10,537,863
			17,857,689		17,705,593		17,500,536

Aftermath Bidco Corporation (1.3%)* (7) (8) (11)	Professional Services	First Lien Senior Secured Term Loan (LIBOR + 5.75%, 6.8% Cash, Acquired 04/19, Due 04/25)	9,425,284		9,273,369		9,425,284
			9,425,284		9,273,369		9,425,284

Ahead DB Borrower, LLC. (0.3%)*(7) (8) (12)	Technology Distributors	Second Lien Senior Secured Term Loan (LIBOR + 8.5%, 9.5% Cash, Acquired 10/20, Due 10/28)	2,139,295		2,077,504		2,075,117
			2,139,295		2,077,504		2,075,117

Air Canada 2020-2 Class B Pass Through Trust (1.1%)*	Airlines	Structured Secured Note - Class B (9.0% Cash, Acquired 09/20, Due 10/25)	7,500,000		7,500,000		8,318,087
			7,500,000		7,500,000		8,318,087

American Dental Partners, Inc. (1.3%)*(7) (8) (11)	Health Care Services	First Lien Senior Secured Term Loan (LIBOR + 4.25%, 5.3% Cash, Acquired 11/18, Due 03/23)	9,775,000		9,763,132		9,452,425
			9,775,000		9,763,132		9,452,425

American Scaffold, Inc. (1.3%)*(7) (8) (11)	Aerospace & Defense	First Lien Senior Secured Term Loan (LIBOR + 5.25%, 6.3% Cash, Acquired 09/19, Due 09/25)	9,662,226		9,493,555		9,662,226
			9,662,226		9,493,555		9,662,226

Anagram Holdings, LLC (2.2%)*(3)	Chemicals, Plastics, & Rubber	First Lien Senior Secured Note (10.0% Cash, 5.0% PIK, Acquired 08/20, Due 08/25)	14,044,112		12,975,530		15,940,067
			14,044,112		12,975,530		15,940,067

Anchorage Capital CLO Ltd: Series 2013-1A (0.3%)*(3) (8) (11)	Structured Finance	Structured Secured Note - Class DR (LIBOR + 6.8%, 7.0% Cash, Acquired 03/20, Due 10/30)	2,000,000		1,747,226		1,954,474
			2,000,000		1,747,226		1,954,474

Anju Software, Inc. (1.9%)*(7) (8) (9)	Application Software	First Lien Senior Secured Term Loan (LIBOR + 5.5%, 5.6% Cash, Acquired 02/19, Due 02/25)	13,666,508		13,422,227		13,603,917
			13,666,508		13,422,227		13,603,917

Apex Bidco Limited (0.3%)*(3) (7)	Business Equipment & Services	First Lien Senior Secured Term Loan (GBP LIBOR + 6.25%, 6.8% Cash, Acquired 01/20, Due 01/27) (8) (13)	2,010,615		1,856,499		1,974,143
		Subordinated Senior Unsecured Term Loan (8.0% PIK, Acquired 01/20, Due 07/27)	266,526		247,209		261,692
			2,277,141		2,103,708		2,235,835

Apus Bidco Limited (2.6%)*(3) (7) (8) (14)	Banking, Finance, Insurance & Real Estate	First Lien Senior Secured Term Loan (GBP LIBOR + 5.5%, 5.5% Cash, Acquired 02/21, Due 03/28)	19,530,223		18,987,653		18,993,142
			19,530,223		18,987,653		18,993,142

AQA Acquisition Holding, Inc. (1.9%)*(7) (8) (11)	High Tech Industries	Second Lien Senior Secured Term Loan (LIBOR + 7.5%, 8.5% Cash, Acquired 03/21, Due 03/29)	14,477,878		14,075,714		14,075,393
			14,477,878		14,075,714		14,075,393

Barings BDC, Inc.

Unaudited Consolidated Schedule of Investments — (Continued)

March 31, 2021

TRIANGLE CAPITAL CORPORATION
Unaudited Consolidated Schedule of Investments
September 30, 2017
Portfolio Company Industry
Type of Investment^(1)(2)(7)

Principal
Amount
Cost
Fair
Value⁽³⁾
Non–Control / Non–Affiliate Investments:

Access Medical Acquisition, Inc. (3%)* Operator of Primary Care Clinics Subordinated Notes (10% Cash, 2% PIK, Due 01/22) $ 13,819,514
$ 13,620,530
$ 13,620,530
Class A Units (1,500,000 units) 901,026
2,610,000
13,819,514
14,521,556
16,230,530

Aden & Anais Holdings, Inc. (0%)* Baby Products Common Stock (20,000 shares) 2,000,000
1,117,000
2,000,000
1,117,000

AM General, LLC (5%)* Defense Manufacturing
Senior Note (LIBOR + 7.25%, 8.5% Cash,
Due 12/21)⁽⁸⁾
9,500,000
9,368,788
9,410,000

Second Lien Term Note (LIBOR +11.75%, 13.0% Cash, Due 06/22)⁽⁸⁾
20,000,000
19,459,561
19,641,000
29,500,000
28,828,349
29,051,000

Avantor Performance Materials Holdings, LLC (2%)* Life Sciences and Advanced Technologies
Second Lien Term Note (LIBOR + 8.25%, 9.5% Cash, Due 03/25)⁽⁸⁾
15,000,000
14,856,508
14,976,000
15,000,000
14,856,508
14,976,000

AVL Holdings, Inc. (0%)* Manufacturer and Distributor for Independent Artists and Authors Common Stock (138 shares) 1,300,000
2,049,000
1,300,000
2,049,000

Baker Hill Acquisition, LLC (2%)* Loan Origination Software Solutions Provider
Second Lien Term Notes (LIBOR + 11.0%, 12.3% Cash, Due 03/21)⁽⁸⁾
13,500,000
13,358,951
11,000,000

Delayed Draw Term Note (LIBOR + 11.0%, 12.3% Cash, Due 03/21)⁽⁸⁾
1,500,000
1,481,072
1,481,072
Limited Partnership Interest 1,498,500
103,000
15,000,000
16,338,523
12,584,072

Cafe Enterprises, Inc. (1%)* Restaurant
Second Lien Term Note (Prime + 5.75%, 10.0% Cash, Due 03/19)⁽⁶⁾⁽⁸⁾
2,000,000
1,990,411
1,454,000

Subordinated Note (7% Cash, 7% PIK, Due 09/19)⁽⁶⁾
14,632,863
13,745,570
2,801,000
Series C Preferred Stock (10,000 shares) 1,000,000
—
16,632,863
16,735,981
4,255,000

Captek Softgel International, Inc.
(5%)*
Nutraceuticals Manufacturer Subordinated Note (10% Cash, 1.5% PIK, Due 01/23) 30,695,433
30,405,827
30,405,827
Common Stock (38,023 shares) 3,957,697
4,059,000
30,695,433
34,363,524
34,464,827

Carolina Beverage Group, LLC (0%)* Beverage Manufacturing and Packaging Class B Units (11,974 units) 119,735
1,183,000
119,735
1,183,000

Centerfield Media Holding Company (0%)* Digital Marketing Common Shares (500 shares) 500,000
1,121,000

500,000
1,121,000

CIBT Global, Inc. (2%)* Provider of Mobility Services
Second Lien Term Note (LIBOR + 7.75%, 9.1% Cash, Due 06/25)⁽⁸⁾
10,000,000
9,902,191
9,840,000
10,000,000
9,902,191
9,840,000

CIS Acquisition, LLC (0%)* Secure Communications and Computing Solutions Provider Units (1.09 units) 277,538
277,538
277,538
277,538

Community Intervention Services, Inc. (1%)* Provider of Behavioral Health Services
Subordinated Note (7% Cash, 6% PIK, Due 01/21) ⁽⁶⁾
20,294,798
17,732,558
3,717,000
20,294,798
17,732,558
3,717,000

Constellis Holdings, LLC (1%)* Provider of Security and Risk Management Services
Second Lien Term Note (LIBOR + 9.0%, 10.3% Cash, Due 04/25)⁽⁸⁾
5,000,000
4,928,155
4,903,000
5,000,000
4,928,155
4,903,000

CPower Ultimate HoldCo, LLC (0%)* Demand Response Business Units (345,542 units) 345,542
345,542
345,542
345,542

CWS Holding Company, LLC (0%)* Manufacturer of Custom Windows and Sliding Doors Class A Units (1,500,000 units) 1,500,000
1,624,000
1,500,000
1,624,000


Portfolio Company(6)	Industry	Type of Investment(1) (2)	Principal Amount		Cost		Fair Value
Arch Global Precision LLC (2.4%)*(7) (8) (11)	Industrial Machinery	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.0% Cash, Acquired 04/19, Due 04/26)	$	17,210,844	$	17,064,183	$	17,210,844
			17,210,844		17,064,183		17,210,844

Archimede (0.7%)*(3) (7) (8) (15)	Consumer Services	First Lien Senior Secured Term Loan (EURIBOR + 6.5%, 6.5% Cash, Acquired 10/20, Due 10/27)	4,936,258		4,923,115		4,822,475
			4,936,258		4,923,115		4,822,475

Argus Bidco Limited (0.4%)*(3) (7) (8) (13)	High Tech Industries	First Lien Senior Secured Term Loan (GBP LIBOR + 5.5%, 5.8% Cash, Acquired 12/20, Due 12/27)	2,732,225		2,541,695		2,658,619
			2,732,225		2,541,695		2,658,619

Armstrong Transport Group (Pele Buyer, LLC ) (1.0%)*(7) (8) (11)	Air Freight & Logistics	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 06/19, Due 06/24)	5,327,863		5,256,328		5,284,761
		First Lien Senior Secured Term Loan (LIBOR + 6.0%, 7.0% Cash, Acquired 07/20, Due 06/24)	1,990,291		1,956,918		1,990,291
			7,318,154		7,213,246		7,275,052

Ascensus Specialties, LLC (1.0%)*(7) (8) (9)	Specialty Chemicals	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 4.9% Cash, Acquired 09/19, Due 09/26)	7,001,675		6,944,619		6,931,658
			7,001,675		6,944,619		6,931,658

ASPEQ Heating Group LLC (1.2%)* (7) (8) (11)	Building Products, Air & Heating	First Lien Senior Secured Term Loan (LIBOR + 5.25%, 6.3% Cash, Acquired 11/19, Due 11/25)	8,922,910		8,815,883		8,851,526
			8,922,910		8,815,883		8,851,526

Auxi International (0.2%)*(3) (7) (8) (16)	Commercial Finance	First Lien Senior Secured Term Loan (EURIBOR + 5.75%, 5.8% Cash, Acquired 12/19, Due 12/26)	1,645,419		1,516,306		1,619,866
			1,645,419		1,516,306		1,619,866

AVSC Holding Corp. (1.5%)*	Advertising	First Lien Senior Secured Term Loan (LIBOR + 3.25%, 4.3% Cash, 0.25% PIK, Acquired 08/18, Due 03/25)(8) (11)	4,885,464		4,327,220		4,320,754
		First Lien Senior Secured Term Loan (LIBOR + 4.5%, 5.5% Cash, 1.0% PIK, Acquired 08/18, Due 03/25)(8) (11)	746,242		683,375		674,886
		First Lien Senior Secured Term Loan (5.0% Cash, 10.0% PIK, Acquired 11/20, Due 10/26)	4,988,220		4,858,438		5,786,335
			10,619,926		9,869,033		10,781,975

BDP International, Inc. (f/k/a BDP Buyer, LLC) (2.0%)*(7) (8) (9)	Air Freight & Logistics	First Lien Senior Secured Term Loan (LIBOR + 5.25%, 6.3% Cash, Acquired 12/18, Due 12/24)	14,962,427		14,707,774		14,694,617
			14,962,427		14,707,774		14,694,617

Beacon Pointe Advisors, LLC (0.1%)*(7) (8) (11)	Asset Manager & Custody Bank	First Lien Senior Secured Term Loan (LIBOR + 5.0%, 6.0% Cash, Acquired 03/20, Due 03/26)	993,636		974,611		993,636
			993,636		974,611		993,636

Benify (Bennevis AB) (0.2%)*(3) (7) (8) (17)	High Tech Industries	First Lien Senior Secured Term Loan (STIBOR + 5.25%, 5.3% Cash, Acquired 07/19, Due 07/26)	1,335,915		1,220,032		1,335,915
			1,335,915		1,220,032		1,335,915

Bidwax (1.8%)*(3) (7) (8) (15)	Non-durable Consumer Goods	First Lien Senior Secured Term Loan (EURIBOR + 6.5%, 6.5% Cash, Acquired 02/21, Due 02/28)	13,868,533		13,702,817		13,383,722
			13,868,533		13,702,817		13,383,722

BigHand UK Bidco Limited (0.7%)*(3) (7) (8) (13)	High Tech Industries	First Lien Senior Secured Term Loan (GBP LIBOR + 5.5%, 5.5% Cash, Acquired 01/21, Due 01/28)	5,531,266		5,248,666		5,310,015
			5,531,266		5,248,666		5,310,015

Black Diamond Equipment Rentals LLC (1.1%)*(7) (20)	Equipment Rental	Second Lien Loan (12.5% Cash, Acquired 12/20, Due 06/22)	7,500,000		7,500,000		7,500,000
		Warrant (3.13 units, Acquired 12/20)			847,000		726,000
			7,500,000		8,347,000		8,226,000

British Airways 2020-1 Class B Pass Through Trust (0.2%)*	Airlines	Structured Secured Note - Class B (8.4% Cash, Acquired 11/20, Due 11/28)	1,474,876		1,474,876		1,684,288
			1,474,876		1,474,876		1,684,288

British Engineering Services Holdco Limited (2.1%)*(3) (7) (8) (14)	Commercial Services & Supplies	First Lien Senior Secured Term Loan (GBP LIBOR + 5.25%, 5.5% Cash, Acquired 12/20, Due 12/27)	15,819,664		15,032,999		15,380,784
			15,819,664		15,032,999		15,380,784

Brown Machine Group Holdings, LLC (0.9%)*(7) (8) (9)	Industrial Equipment	First Lien Senior Secured Term Loan (LIBOR + 5.25%, 6.3% Cash, Acquired 10/18, Due 10/24)	6,722,144		6,662,673		6,722,144
			6,722,144		6,662,673		6,722,144

Barings BDC, Inc.

Unaudited Consolidated Schedule of Investments — (Continued)

March 31, 2021

TRIANGLE CAPITAL CORPORATION
Unaudited Consolidated Schedule of Investments — (Continued)
September 30, 2017
Portfolio Company Industry
Type of Investment^(1)(2)(7)

Principal
Amount
Cost
Fair
Value⁽³⁾
Data Source Holdings, LLC (0%)* Print Supply Chain Management Services Common Units (47,503 units) $ 1,000,000
$ 882,000
1,000,000
882,000

Del Real, LLC (3%)* Hispanic Refrigerated Foods Company Subordinated Note (11% Cash, Due 04/23) $ 14,000,000
13,751,325
13,751,325
Class A Units (3,000,000 units) 3,000,000
3,442,000
14,000,000
16,751,325
17,193,325

Dimora Brands, Inc. (3%)* Hardware Designer and Distributor
Second Lien Term Note (LIBOR + 8.5%, 9.7% Cash, Due 08/25)⁽⁸⁾
20,000,000
19,600,000
19,600,000
20,000,000
19,600,000
19,600,000

DLC Acquisition, LLC (6%)* Staffing Firm
Senior Notes (LIBOR + 8.0%, 10% Cash, Due 12/20)⁽⁸⁾
21,978,125
21,785,931
21,785,931
Senior Note (10% Cash, 2% PIK, Due 12/20) 17,187,831
17,024,644
17,024,644
39,165,956
38,810,575
38,810,575

Dyno Acquiror, Inc. (1%)* Sewing Products and Seasonal Decorative Products Supplier Subordinated Note (10.5% Cash, 1.5% PIK, Due 08/20) 4,646,082
4,623,967
4,623,967
Series A Units (600,000 units) 600,000
591,000
4,646,082
5,223,967
5,214,967

Eckler's Holdings, Inc. (0%)* Restoration Parts and Accessories for Classic Cars and Trucks
Subordinated Note (7.7% Cash, Due 06/19)⁽⁶⁾
13,941,700
13,242,814
3,126,000
Common Stock (18,029 shares) 183,562
—
Series A Preferred Stock (1,596 shares) 1,596,126
—
Series B Preferred Stock (702 shares) 435,127
—
13,941,700
15,457,629
3,126,000

Fridababy Holdings, LLC (4%)* Baby Products
Subordinated Notes (LIBOR + 9.0%, 10.3% Cash, Due 10/21)⁽⁸⁾
23,000,000
22,614,777
22,614,777
Class B Units (4,500 units) 273,401
288,000
23,000,000
22,888,178
22,902,777

FrontStream Holdings, LLC (1%)* Payment and Donation Management Product Service Provider
Subordinated Note (LIBOR + 6.0%, 7.3% Cash, Due 12/20)⁽⁶⁾⁽⁸⁾
14,624,745
14,272,931
7,315,000
Series C-2 Preferred Shares (500 shares) 500,000
—
14,624,745
14,772,931
7,315,000

Frozen Specialties, Inc. (2%)* Frozen Foods Manufacturer Subordinated Note (10% Cash, 4% PIK, Due 3/18) 14,094,381
14,094,381
14,094,381
14,094,381
14,094,381
14,094,381

GST AutoLeather, Inc. (0%)* Supplier of Automotive Interior Leather
Subordinated Note (11% Cash, 2% PIK, Due 01/21)⁽⁶⁾
24,140,883
23,073,507
2,450,000
24,140,883
23,073,507
2,450,000

Halo Branded Solutions, Inc. (2%)* Supply Chain Services Subordinated Notes (11% Cash, 1% PIK, Due 10/22) 10,490,124
10,292,192
10,292,192
Class A1 Units (2,600 units) 2,600,000
4,034,000
10,490,124
12,892,192
14,326,192

HemaSource, Inc. (2%)* Medical Products Distributor Subordinated Note (9.5% Cash, 1.5% PIK, Due 01/24) 10,030,833
9,836,481
9,836,481
Class A Units (1,000,000 units) 1,000,000
1,000,000
10,030,833
10,836,481
10,836,481

HKW Capital Partners IV, L.P.
(0%)*⁽⁴⁾
Multi-Sector Holdings 0.6% Limited Partnership Interest 922,279
1,533,000
922,279
1,533,000

HTC Borrower, LLC (4%)* Hunting and Outdoor Products Subordinated Notes (10% Cash, 3% PIK, Due 09/20) 26,730,722
26,501,283
26,501,283
26,730,722
26,501,283
26,501,283

ICP Industrial, Inc. (4%)* Coatings Formulator and Manufacturer
Second Lien Term Note (LIBOR + 8.5%, 9.7% Cash, Due 04/22)⁽⁸⁾
7,500,000
7,442,511
7,442,511
Subordinated Notes (10% Cash, 1% PIK, Due 10/22) 8,149,614
8,021,608
8,021,608
Subordinated Notes (14% PIK, Due 10/22) 6,374,723
6,325,018
6,325,018
Class A Units (1,289 units) 1,751,483
1,643,000
22,024,337
23,540,620
23,432,137

IDERA, Inc. (2%)* Software Provider
Second Lien Term Note (LIBOR + 9.0%, 10.2% Cash, Due 06/25)⁽⁸⁾
10,000,000
9,853,115
9,853,115
10,000,000
9,853,115
9,853,115


Portfolio Company(6)	Industry	Type of Investment(1) (2)	Principal Amount		Cost		Fair Value
Cadent, LLC (f/k/a Cross MediaWorks) (1.0%)*(7) (8) (11)	Media & Entertainment	First Lien Senior Secured Term Loan (LIBOR + 5.25%, 6.3% Cash, Acquired 09/18, Due 09/23)	$	7,532,846	$	7,494,339	$	7,532,846
			7,532,846		7,494,339		7,532,846

Carlson Travel, Inc (1.0%)*	Business Travel Management	First Lien Senior Secured Note (6.8% Cash, Acquired 09/20, Due 12/25)	3,000,000		2,362,500		2,745,000
		Super Senior Senior Secured Term Loan (10.5% Cash, Acquired 12/20, Due 3/25)	4,239,000		4,153,781		4,408,560
		Common Stock (1,962 units, Acquired 11/20)(7)			88,290		88,290
			7,239,000		6,604,571		7,241,850

Centralis Finco S.a.r.l. (0.1%)*(3) (7) (8) (15)	Diversified Financial Services	First Lien Senior Secured Term Loan (EURIBOR + 5.25%, 5.3% Cash, Acquired 05/20, Due 05/27)	833,687		734,407		833,687
			833,687		734,407		833,687

Cineworld Group PLC (1.4%)*(3)	Leisure Products	First Lien Senior Secured Term Loan (LIBOR + 2.50%, 3.5% Cash, Acquired 04/20, Due 02/25)(8) (11)	9,014,914		6,018,763		7,685,394
		Super Senior Secured Term Loan (7.0% Cash, 8.3% PIK, Acquired 11/20, Due 05/24)	1,679,196		1,454,572		2,117,886
		Warrants (553,375 units, Acquired 12/20)			101,602		457,332
			10,694,110		7,574,937		10,260,612

Classic Collision (Summit Buyer, LLC) (1.8%)*(7) (8) (11)	Auto Collision Repair Centers	First Lien Senior Secured Term Loan (LIBOR + 4.5%, 5.5% Cash, Acquired 01/20, Due 01/26)	13,191,054		12,969,490		12,918,142
			13,191,054		12,969,490		12,918,142

CM Acquisitions Holdings Inc. (3.3%)*(7) (8) (12)	Internet & Direct Marketing	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 05/19, Due 05/25)	24,001,562		23,662,616		23,899,349
			24,001,562		23,662,616		23,899,349

CMT Opco Holding, LLC (Concept Machine) (0.6%)*(7) (8) (11)	Distributors	First Lien Senior Secured Term Loan (LIBOR + 5.0%, 6.0% Cash, Acquired 01/20, Due 01/25)	4,155,516		4,089,508		3,877,097
		LLC Units (8,782 units, Acquired 01/20)			351,709		251,973
			4,155,516		4,441,217		4,129,070

Command Alkon (Project Potter Buyer, LLC) (2.8%)*(7) (8) (9)	Software	First Lien Senior Secured Term Loan (LIBOR + 8.25%, 9.3% Cash, Acquired 04/20, Due 04/27)	20,900,728		20,315,830		20,469,964
		Class A Units (90.384 units, Acquired 04/20)			90,384		97,537
		Class B Units (33,324.69 units, Acquired 04/20)			—		9,897
			20,900,728		20,406,214		20,577,398

Confie Seguros Holding II Co. (0.3%)*(7) (8) (9)	Insurance Brokerage Services	Second Lien Senior Secured Term Loan (LIBOR + 8.5%, 8.6% Cash, Acquired 10/19, Due 11/25)	2,500,000		2,375,861		2,437,500
			2,500,000		2,375,861		2,437,500

Contabo Finco S.À R.L (0.2%)*(3) (7) (8) (15)	Internet Software & Services	First Lien Senior Secured Term Loan (EURIBOR + 4.75%, 4.8% Cash, Acquired 10/19, Due 10/26)	1,424,880		1,311,897		1,408,439
			1,424,880		1,311,897		1,408,439

CSL DualCom (0.2%)*(3) (7) (8) (14)	Tele-communications	First Lien Senior Secured Term Loan (GBP LIBOR + 5.5%, 5.5% Cash, Acquired 09/20, Due 09/27)	1,366,458		1,196,365		1,307,335
			1,366,458		1,196,365		1,307,335

Custom Alloy Corporation (5.6%)*(7) (20)	Manufacturer of Pipe Fittings & Forgings	Second Lien Loan (15.0% PIK, Acquired 12/20, Due 04/22)	45,000,185		37,043,142		36,810,151
		Revolver (15.0% PIK, Acquired 12/20, Due 04/21)	4,255,152		3,737,652		3,731,768
			49,255,337		40,780,794		40,541,919

CW Group Holdings, LLC (0.7%)*(7) (8) (11)	High Tech Industries	First Lien Senior Secured Term Loan (LIBOR + 6.0%, 7.0% Cash, Acquired 01/21, Due 01/27)	4,838,710		4,732,394		4,729,839
		LLC Units (161,290.32 units, Acquired 01/21)			161,290		159,355
			4,838,710		4,893,684		4,889,194

Dart Buyer, Inc. (1.7%)*(3) (7) (8) (11)	Aerospace & Defense	First Lien Senior Secured Term Loan (LIBOR + 5.0%, 6.0% Cash, Acquired 04/19, Due 04/25)	12,279,705		12,073,545		12,181,587
			12,279,705		12,073,545		12,181,587

Discovery Education, Inc. (3.3%)*(7) (8) (10)	Publishing	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 10/20, Due 10/26)	23,940,000		23,546,094		23,940,000
			23,940,000		23,546,094		23,940,000

Distinct Holdings, Inc. (1.0%)*(7) (8) (11)	Systems Software	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 04/19, Due 12/23)	7,227,381		7,171,357		7,104,516
			7,227,381		7,171,357		7,104,516

Barings BDC, Inc.

Unaudited Consolidated Schedule of Investments — (Continued)

March 31, 2021

TRIANGLE CAPITAL CORPORATION
Unaudited Consolidated Schedule of Investments — (Continued)
September 30, 2017
Portfolio Company Industry
Type of Investment^(1)(2)(7)

Principal
Amount
Cost
Fair
Value⁽³⁾
Inland Pipe Rehabilitation Holding Company LLC (0%)* Cleaning and Repair Services Membership Interest Purchase Warrant (3%) $ 853,500
$ 596,000
853,500
596,000

Integrated Efficiency Solutions, Inc. (3%)* Energy Services Contracting Firm
Senior Secured Term Note (LIBOR + 9.25%, 10.6% Cash, Due 06/22)⁽⁸⁾
$ 18,500,000
18,188,844
18,188,844
Series B Preferred Units (238,095 units) 300,000
300,000
18,500,000
18,488,844
18,488,844

IPS Structural Adhesives Holdings, Inc. (2%)* Specialty Adhesives and Plumbing Products Manufacturer
Second Lien Term Note (LIBOR + 9.5%, 10.7% Cash, Due 12/24)⁽⁸⁾
15,000,000
14,718,778
14,903,000
15,000,000
14,718,778
14,903,000

Keystone Peer Review Organization, Inc. (0%)* Healthcare - Managed Care
Second Lien Term Note (LIBOR + 9.25%, 10.6% Cash, Due 05/25)⁽⁸⁾
3,000,000
2,942,497
2,927,000
3,000,000
2,942,497
2,927,000

KidKraft, Inc. (4%)* Children's Toy Manufacturer and Distributor Second Lien Term Note (11% Cash, 1% PIK, Due 03/22) 27,876,081
27,401,586
27,401,586
27,876,081
27,401,586
27,401,586

K-Square Restaurant Partners, LP (0%)* Restaurant Class A Units of Limited Partnership (2,000 units) 638,260
2,759,000
638,260
2,759,000

Lakeview Health Holdings, Inc. (3%)* Substance Abuse Treatment Service Provider
Senior Note (LIBOR + 6.75%, 8.1% Cash,
Due 12/21)⁽⁸⁾
18,473,037
18,298,370
18,298,370
Common Stock (2,000 shares) 2,000,000
1,149,000
18,473,037
20,298,370
19,447,370

Media Storm, LLC (1%)* Marketing Services
Subordinated Note (10% Cash, Due 08/19)⁽⁶⁾
6,709,091
6,541,519
3,571,000
Membership Units (1,216,204 units) 1,176,957
—
6,709,091
7,718,476
3,571,000

MIC Holding LLC (1%)* Firearm Accessories Manufacturer and Distributor Preferred Units (1,470 units) 1,470,000
3,333,000
Common Units (30,000 units) 30,000
5,572,000
1,500,000
8,905,000

Micross Solutions LLC (3%)* Provider of Semiconductor Products and Services
Senior Note (LIBOR + 5.50%, 6.8% Cash,
Due 08/23)⁽⁸⁾
15,000,000
14,820,000
14,820,000
Class A-2 Common Units (1,979,524 units) 2,019,693
2,246,000
15,000,000
16,839,693
17,066,000

Motor Vehicle Software Corporation (3%)* Provider of EVR Services Subordinated Note (10% Cash, 0.5% PIK, Due 03/21) 20,321,960
20,043,031
20,043,031
Class A Units (1,000,000 units) 1,087,460
1,526,000
20,321,960
21,130,491
21,569,031

Nautic Partners VII, LP (0%)*⁽⁴⁾
Multi-Sector Holdings 0.4% Limited Partnership Interest 1,180,910
1,748,000
1,180,910
1,748,000

Nomacorc, LLC (3%)* Synthetic Wine Cork Producer Subordinated Note (10% Cash, 2.3% PIK, Due 07/21) 21,234,114
20,972,775
17,400,000
Limited Partnership Interest 2,161,185
—
21,234,114
23,133,960
17,400,000

Orchid Underwriters Agency, LLC (1%)* Insurance Underwriter Subordinated Note (10% Cash, 1.5% PIK, Due 03/23) 2,127,072
2,086,080
2,086,080
Subordinated Note (13.5% PIK, Due 03/24) 785,362
770,531
770,531
Class A Preferred Units (15,000 units) 338,158
927,000
Class A Common Units (15,000 units) —
1,153,000
2,912,434
3,194,769
4,936,611

ProAmpac PG Borrower LLC (2%)* Manufacturer of Flexible Packaging Products
Second Lien Term Note (LIBOR + 8.5%, 9.8% Cash, Due 11/24)⁽⁸⁾
15,000,000
14,789,664
14,982,000
15,000,000
14,789,664
14,982,000

Q International Courier, LLC (2%)* Third-Party Logistics Provider
Second Lien Term Note (LIBOR + 8.25%, 9.6% Cash, Due 09/25)⁽⁸⁾
14,000,000
13,720,000
13,720,000
14,000,000
13,720,000
13,720,000


Portfolio Company(6)	Industry	Type of Investment(1) (2)	Principal Amount		Cost		Fair Value
DreamStart Bidco SAS (d/b/a SmartTrade) (0.3%)*(3) (7) (8) (16)	Diversified Financial Services	First Lien Senior Secured Term Loan (EURIBOR + 4.5%, 4.5% Cash, 1.25% PIK, Acquired 03/20, Due 03/27)	$	2,151,891	$	1,949,744	$	2,096,657
			2,151,891		1,949,744		2,096,657

Dukane IAS, LLC (0.6%)*(7) (20)	Welding Equipment Manufacturer	Second Lien Note (10.5% Cash, 2.5% PIK, Acquired 12/20, Due 12/24)	4,662,430		4,662,430		4,662,430
			4,662,430		4,662,430		4,662,430

Entact Environmental Services, Inc. (1.6%)*(7) (8) (10)	Environmental Industries	First Lien Senior Secured Term Loan (LIBOR + 5.75%, 6.8% Cash, Acquired 02/21, Due 12/25)	11,733,602		11,619,173		11,616,266
			11,733,602		11,619,173		11,616,266

Exeter Property Group, LLC (2.6%)*(7) (8) (9)	Real Estate	First Lien Senior Secured Term Loan (LIBOR + 4.5%, 4.6% Cash, Acquired 02/19, Due 08/24)	19,313,644		19,067,722		19,054,572
			19,313,644		19,067,722		19,054,572

F24 (Stairway BidCo Gmbh) (0.2%)*(3) (7) (8) (15)	Software Services	First Lien Senior Secured Term Loan (EURIBOR + 6.5%, 6.5% Cash, Acquired 08/20, Due 08/27)	1,674,814		1,636,558		1,674,814
			1,674,814		1,636,558		1,674,814

Ferrellgas L.P. (0.4%)*	Oil & Gas Equipment & Services	OpCo Preferred Units (2,886 units, Acquired 03/21)			2,799,420		2,799,420
					2,799,420		2,799,420

Fineline Technologies, Inc. (0.6%)*(7) (8) (11)	Consumer Services	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 02/21, Due 02/27)	4,400,000		4,313,818		4,312,500
			4,400,000		4,313,818		4,312,500

FitzMark Buyer, LLC (0.4%)*(7) (8) (10)	Cargo & Transportation	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 12/20, Due 12/26)	2,823,530		2,741,157		2,745,849
			2,823,530		2,741,157		2,745,849

Foundation Risk Partners, Corp. (1.5%)*(7) (8) (11)	Financial Services	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 09/20, Due 11/23)	9,035,091		8,838,934		8,932,016
		Second Lien Senior Secured Term Loan (LIBOR + 8.50%, 9.5% Cash, Acquired 09/20, Due 11/24)	1,722,222		1,596,554		1,657,638
			10,757,313		10,435,488		10,589,654

GoldenTree Loan Opportunities IX, Limited: Series 2014-9A (0.2%)*(3) (8) (11)	Structured Finance	Structured Secured Note - Class DR2 (LIBOR + 3.0%, 3.2% Cash, Acquired 03/20, Due 10/29)	1,250,000		923,797		1,222,291
			1,250,000		923,797		1,222,291

GTM Intermediate Holdings, Inc. (0.9%)*(7) (20)	Medical Equipment Manufacturer	Second Lien Loan (11.0% Cash, 1.0% PIK, Acquired 12/20, Due 11/24)	5,128,824		5,077,667		5,103,180
		Common Stock (2 shares, Acquired 12/20)			1,078,778		1,200,288
			5,128,824		6,156,445		6,303,468

Gulf Finance, LLC (0.1%)*(8) (9)	Oil & Gas Exploration & Production	First Lien Senior Secured Term Loan (LIBOR + 5.25%, 6.3% Cash, Acquired 10/18, Due 08/23)	1,045,438		950,087		863,229
			1,045,438		950,087		863,229

Hawaiian Airlines 2020-1 Class B Pass Through Certificates (1.0%)*	Airlines	Structured Secured Note - Class B (11.3% Cash, Acquired 08/20, Due 09/25)	6,796,296		6,796,296		7,591,887
			6,796,296		6,796,296		7,591,887

Heartland, LLC (1.2%)*(7) (8) (11)	Commercial Services & Supplies	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 08/19, Due 08/25)	8,808,417		8,653,425		8,691,488
			8,808,417		8,653,425		8,691,488

Heilbron (f/k/a Sucsez (Bolt Bidco B.V.)) (2.7%)*(3) (7) (8)	Insurance	First Lien Senior Secured Term Loan (EURIBOR + 5.50%, 5.5% Cash, Acquired 09/19, Due 09/26)(15)	8,613,351		7,940,194		8,508,268
		First Lien Senior Secured Term Loan (EURIBOR + 6.50%, 6.5% Cash, Acquired 07/20, Due 09/26) (16)	10,871,521		10,847,615		10,871,521
			19,484,872		18,787,809		19,379,789

Highpoint Global LLC (0.7%)*(7) (20)	Government Services	Second Lien Note (12.0% Cash, 2.0% PIK, Acquired 12/20, Due 09/22)	5,334,928		5,313,697		5,334,928
			5,334,928		5,313,697		5,334,928

Holley Performance Products (Holley Purchaser, Inc.) (2.3%)*(7) (8) (11)	Automotive Parts & Equipment	First Lien Senior Secured Term Loan (LIBOR + 5.0%, 5.2% Cash, Acquired 10/18, Due 10/25)	16,936,387		16,762,536		16,936,387
			16,936,387		16,762,536		16,936,387

Home Care Assistance, LLC (0.9%)*(7) (8) (11)	Healthcare & Pharmaceuticals	First Lien Senior Secured Term Loan (LIBOR + 5.0%, 6.0% Cash, Acquired 03/21, Due 03/27)	6,805,814		6,609,104		6,608,932
			6,805,814		6,609,104		6,608,932

Barings BDC, Inc.

Unaudited Consolidated Schedule of Investments — (Continued)

March 31, 2021

TRIANGLE CAPITAL CORPORATION
Unaudited Consolidated Schedule of Investments — (Continued)
September 30, 2017
Portfolio Company Industry
Type of Investment^(1)(2)(7)

Principal
Amount
Cost
Fair
Value⁽³⁾
REP WWEX Acquisition Parent, LLC (2%)* Third-Party Logistics Provider
Second Lien Term Note (LIBOR + 8.75%, 10.2% Cash, Due 02/25)⁽⁸⁾
$ 15,000,000
$ 14,789,517
$ 14,920,000
15,000,000
14,789,517
14,920,000

RMP Group, Inc. (2%)* Provider of RCM Services to Hospitals and Physician Groups Subordinated Note (10.5% Cash, 1% PIK, Due 09/22) 10,058,460
9,872,305
9,872,305
Units (1,000 units) 1,000,000
706,000
10,058,460
10,872,305
10,578,305

RockYou, Inc. (0%)* Mobile Game Advertising Network Common Stock (67,585 shares) 111,000
111,000
111,000
111,000

Rotolo Consultants, Inc. (2%)* Landscape Services Subordinated Note (11% Cash, 3% PIK, Due 08/21) 7,574,709
7,467,551
7,467,551
Series A Preferred Units (39 units) 3,654,253
5,691,000
7,574,709
11,121,804
13,158,551

SCA Pharmaceuticals, LLC (2%)* Provider of Pharmaceutical Products
Subordinated Note (LIBOR + 9.0%, 10.3% Cash, Due 12/20)⁽⁸⁾
10,000,000
9,820,631
9,820,631
10,000,000
9,820,631
9,820,631

Schweiger Dermatology Group, LLC (3%)* Provider of Dermatology Services
Senior Notes (LIBOR + 8.5%, 9.8% Cash,
Due 06/22)⁽⁸⁾
20,000,000
19,639,784
19,639,784
20,000,000
19,639,784
19,639,784

SCUF Gaming, Inc. (4%)* Gaming Controller Manufacturer
Senior Notes (LIBOR + 8.5%, 9.7% Cash,
Due 12/21)⁽⁸⁾
25,008,000
24,568,745
24,568,745

Revolver Loan (LIBOR + 8.5%, 9.7% Cash,
Due 06/18)⁽⁸⁾
1,500,000
1,500,000
1,500,000
Common Stock (27,112 shares) 742,000
316,000
26,508,000
26,810,745
26,384,745

Smile Brands, Inc. (4%)* Dental Service Organization Subordinated Notes (10% Cash, 2% PIK, Due 02/23) 22,681,843
22,289,511
22,289,511
Class A Units (3,000 units) 3,000,000
2,876,000
22,681,843
25,289,511
25,165,511

SPC Partners V, LP (0%)*⁽⁴⁾
Multi-Sector Holdings 0.7% Limited Partnership Interest 2,247,369
2,321,000
2,247,369
2,321,000

Specialized Desanders, Inc. (2%)*⁽⁴⁾
Sand and Particulate Removal Equipment Provider for Oil and Gas Companies Subordinated Note (11% Cash, 2% PIK, Due 10/20) 10,117,769
10,053,062
7,463,727
Class C Partnership Units (2,000,000 units) 1,937,421
3,662,000
10,117,769
11,990,483
11,125,727

St. Croix Hospice Acquisition Corp. (1%)* Hospice Services Provider
Second Lien Term Note (LIBOR + 8.75%, 10.0% Cash, Due 03/24)⁽⁸⁾
9,200,000
9,062,000
9,062,000
Series A Preferred Units (500 units) 500,000
500,000
Class B Common Units (500 units) —
—
9,200,000
9,562,000
9,562,000

Tate's Bake Shop (2%)* Producer of Baked Goods Subordinated Note (10% Cash, 3% PIK, Due 02/20) 10,983,585
10,879,180
10,983,585
Limited Partnership Interest 925,000
1,760,000
10,983,585
11,804,180
12,743,585

Tax Advisors Group, LLC (2%)* Tax Advisory Services Subordinated Note (10% Cash, 2% PIK, Due 12/22) 12,400,000
12,160,592
12,160,592
Class A Units (386 units) 1,458,824
1,458,824
12,400,000
13,619,416
13,619,416

TCFI Merlin LLC ("Merlin") and TCFI CSG LLC ("CSG") (3%)* Specialty Staffing Service Provider
Senior Notes (LIBOR + 8.5%, 9.7% Cash,
Due 09/19)⁽⁸⁾
20,184,192
19,918,528
19,918,528
Limited Partnership Units - Merlin (500,500 units) 285,485
645,000
Class A Units - CSG (100,000 units) 100,000
158,000
20,184,192
20,304,013
20,721,528

The Cook & Boardman Group, LLC (3%)* Distributor of Doors and Related Products Subordinated Note (10% Cash, 2.5% PIK, Due 03/20) 15,123,450
14,977,282
14,977,282
Class A Units (1,400,000 units) 1,400,000
2,773,000
15,123,450
16,377,282
17,750,282


Portfolio Company(6)	Industry	Type of Investment(1) (2)	Principal Amount		Cost		Fair Value
HTI Technology & Industries (1.70%)* (7) (20)	Electronic Component Manufacturing	Second Lien Note (12.0% Cash, 4.8% PIK, Acquired 12/20, Due 09/24)	$	12,773,156	$	12,268,357	$	12,262,230
			12,773,156		12,268,357		12,262,230

HW Holdco, LLC (Hanley Wood LLC) (1.0%)*(7) (8) (11)	Advertising	First Lien Senior Secured Term Loan (LIBOR + 4.5%, 5.5% Cash, Acquired 12/18, Due 12/24)	7,488,911		7,366,059		7,458,956
			7,488,911		7,366,059		7,458,956

Hyperion Materials & Technologies, Inc. (1.9%)*(7) (8) (11)	Industrial Machinery	First Lien Senior Secured Term Loan (LIBOR + 5.5%, 6.5% Cash, Acquired 08/19, Due 08/26)	13,820,806		13,616,971		13,737,881
			13,820,806		13,616,971		13,737,881

IGL Holdings III Corp. (1.7%)*(7) (8) (11)	Commercial Printing	First Lien Senior Secured Term Loan (LIBOR + 5.75%, 6.8% Cash, Acquired 11/20, Due 11/26)	12,618,367		12,269,889		12,618,367
			12,618,367		12,269,889		12,618,367

IM Analytics Holding, LLC (d/b/a NVT) (0.9%)*(7) (8) (11)	Electronic Instruments & Components	First Lien Senior Secured Term Loan (LIBOR + 7.0%, 8.0% Cash, Acquired 11/19, Due 11/23)	8,188,461		8,132,009		6,788,234
		Warrant (68,950 units, Acquired 11/19)			—		—
			8,188,461		8,132,009		6,788,234

INOS 19-090 GmbH (0.7%)*(3) (7) (8) (15)	Aerospace & Defense	First Lien Senior Secured Term Loan (EURIBOR + 6.1%, 6.1% Cash, Acquired 12/20, Due 12/27)	5,447,702		5,460,878		5,269,155
			5,447,702		5,460,878		5,269,155

International Precision Components (0.9%)*(7) (20)	Plastic Injection Molding	Second Lien Loan (12.0% Cash, 2.0% PIK, Acquired 12/20, Due 10/24)	6,825,092		6,723,232		6,756,841
			6,825,092		6,723,232		6,756,841

ISS#2, LLC (d/b/a Industrial Services Solutions) (0.8%)*(7) (8) (11)	Commercial Services & Supplies	First Lien Senior Secured Term Loan (LIBOR + 5.5%, 6.5% Cash, Acquired 02/20, Due 02/26)	6,802,373		6,688,583		6,074,519
			6,802,373		6,688,583		6,074,519

Jade Bidco Limited (Jane's) (1.2%)*(3) (7) (8)	Aerospace & Defense	First Lien Senior Secured Term Loan (LIBOR + 4.5%, 4.8% Cash, 2.0% PIK, Acquired 11/19, Due 12/26)(12)	7,188,226		7,027,268		7,116,344
		First Lien Senior Secured Term Loan (EURIBOR + 4.5%, 4.5% Cash, 2.0% PIK, Acquired 11/19, Due 12/26)(16)	1,347,749		1,239,285		1,334,272
			8,535,975		8,266,553		8,450,616

Jedson Engineering, Inc. (0.4%)*(7) (20)	Engineering & Construction Management	First Lien Loan (12.0% Cash, 3.0% PIK, Acquired 12/20, Due 06/22)	3,000,000		3,000,000		3,000,000
			3,000,000		3,000,000		3,000,000

JetBlue 2019-1 Class B Pass Through Trust (0.7%)*	Airlines	Structured Secured Note - Class B (8.0% Cash, Acquired 08/20, Due 11/27)	4,721,693		4,721,693		5,382,580
			4,721,693		4,721,693		5,382,580

Kano Laboratories LLC (1.2%)*(7) (8) (11)	Chemicals, Plastics & Rubber	First Lien Senior Secured Term Loan (LIBOR + 5.0%, 6.0% Cash, Acquired 11/20, Due 09/26)	8,845,864		8,592,780		8,845,864
		Partnership Equity (203.2 units, Acquired 11/20)			203,198		200,281
			8,845,864		8,795,978		9,046,145

Kene Acquisition, Inc. (En Engineering) (1.0%)*(7) (8) (11)	Oil & Gas Equipment & Services	First Lien Senior Secured Term Loan (LIBOR + 4.25%, 5.3% Cash, Acquired 08/19, Due 08/26)	7,280,199		7,165,384		7,214,531
			7,280,199		7,165,384		7,214,531

Kona Buyer, LLC (3.4%)*(7) (8) (11)	High Tech Industries	First Lien Senior Secured Term Loan (LIBOR + 5.5%, 6.3% Cash, Acquired 12/20, Due 12/27)	25,000,000		24,401,937		24,551,000
			25,000,000		24,401,937		24,551,000

LAC Intermediate, LLC (f/k/a Lighthouse Autism Center) (4.7%)*(7) (8) (11)	Healthcare & Pharmaceuticals	First Lien Senior Secured Term Loan (LIBOR + 5.75%, 6.8% Cash, Acquired 10/18, Due 10/24)	34,387,034		33,717,144		33,613,326
		Class A LLC Units (154,320 units, Acquired 10/18)			154,320		323,300
			34,387,034		33,871,464		33,936,626

LAF International (1.2%)*(3) (7) (8) (15)	Healthcare & Pharmaceuticals	First Lien Senior Secured Term Loan (EURIBOR + 6.0%, 6.0% Cash, Acquired 03/21, Due 03/28)	8,567,933		8,646,286		8,423,077
			8,567,933		8,646,286		8,423,077

Learfield Communications, LLC (1.0%)*	Broadcasting	First Lien Senior Secured Term Loan (LIBOR + 3.25%, 4.3% Cash, Acquired 08/20, Due 12/23)(8) (9)	136,446		96,195		125,315
		First Lien Senior Secured Term Loan (LIBOR + 3.0%, 3.0% Cash, 10.2% PIK, Acquired 08/20, Due 12/23)(11)	7,365,032		7,305,433		7,352,732
			7,501,478		7,401,628		7,478,047

Barings BDC, Inc.

Unaudited Consolidated Schedule of Investments — (Continued)

March 31, 2021

TRIANGLE CAPITAL CORPORATION
Unaudited Consolidated Schedule of Investments — (Continued)
September 30, 2017
Portfolio Company Industry
Type of Investment^(1)(2)(7)

Principal
Amount
Cost
Fair
Value⁽³⁾
Tosca Services, LLC (4%)* Perishable Food Supply Chain Management
Senior Note (LIBOR + 9.5%, 10.7% Cash,
Due 12/20)⁽⁸⁾
$ 28,258,474
$ 27,997,197
$ 27,997,197
28,258,474
27,997,197
27,997,197

Trademark Global LLC (3%)* Supplier to Mass Market Internet Retail Subordinated Note (10% Cash, 1.3% PIK, Due 04/23) 14,800,000
14,603,600
14,603,600
Class A Units (1,500,000 units) 1,500,000
1,500,000
Class B Units (1,500,000 units) —
363,000
14,800,000
16,103,600
16,466,600

Travelpro Products, Inc. ("Travelpro") and TP - Holiday Group Limited ("TP") (3%)* Luggage and Travel Bag Supplier Second Lien Term Note - Travelpro (11% Cash, 2% PIK, Due 11/22) 10,280,411
10,094,230
10,094,230

Second Lien Term Note - TP (11% Cash, 2% PIK, Due 11/22)⁽⁴⁾
9,105,711
8,938,148
9,376,544
Common Units - Travelpro (2,000,000 units) 2,000,000
2,266,000
19,386,122
21,032,378
21,736,774

United Biologics, LLC (2%)* Allergy Immunotherapy Senior Note (12% Cash, 2% PIK, Due 04/18) 12,955,563
12,955,562
11,605,000
Class A-1 Common Units (18,818 units) 137,324
—
Class A Common Units (177,935 units) 1,999,989
—
Class A-2 Common Kicker Units (444,003 units) —
—
Class A-1 Common Kicker Units (14,114 units) —
—
Class A, Class A-1, Class A-1 Kicker & Class B Unit Purchase Warrants 838,117
—
12,955,563
15,930,992
11,605,000

Vantage Mobility International, LLC (5%)* Wheelchair Accessible Vehicle Manufacturer Subordinated Notes (10.5% Cash, Due 09/21) 30,708,796
30,189,737
30,189,737
Class A Units (1,750,000 units) 1,750,000
995,000
30,708,796
31,939,737
31,184,737

Wheel Pros Holdings, Inc. (3%)* Wheel/Rim and Performance Tire Distributor
Subordinated Note (LIBOR + 7.0%, 11% Cash, Due 06/20)⁽⁸⁾
16,435,000
16,198,669
16,198,669
Class A Units (2,000 units) 1,954,144
2,087,000
16,435,000
18,152,813
18,285,669

Women's Marketing, Inc. (0%)* Full-Service Media Organization
Subordinated Note (11% Cash, 1.5% PIK, Due 06/21)⁽⁶⁾
18,537,823
16,141,439
—
Class A Common Units (16,300 units) 1,630,000
—
18,537,823
17,771,439
—

WSO Holdings, LP (0%)* Organic/Fair Trade Sugar, Syrup, Nectar and Honey Producer Common Points (3,121 points) 3,089,581
2,396,000
3,089,581
2,396,000

YummyEarth Inc. (4%)* Organic Candy Manufacturer
Senior Notes (LIBOR + 8.5%, 9.8% Cash,
Due 08/20)⁽⁸⁾
30,250,000
29,943,370
24,657,000
Limited Partnership Interest 3,496,500
—
30,250,000
33,439,870
24,657,000

Subtotal Non–Control / Non–Affiliate Investments 942,022,874
998,836,068
908,181,226

Affiliate Investments:
All Metals Holding, LLC (1%)* Steel Processor and Distributor Subordinated Note (12% Cash, 1% PIK, Due 12/21) 6,482,284
6,319,348
6,319,348
Units (318,977 units) 793,331
790,000
6,482,284
7,112,679
7,109,348

Consolidated Lumber Holdings, LLC (0%)* Lumber Yard Operator Class A Units (15,000 units) 1,500,000
2,972,000

1,500,000
2,972,000

DPII Holdings, LLC (0%)* Satellite Communication Business
Tranche III Subordinated Note (19% PIK, Due 01/18)⁽⁶⁾
2,778,885
2,148,462
2,148,000

Tranche I & II Subordinated Notes (12% Cash, 4% PIK, Due 01/18)⁽⁶⁾
3,859,842
2,881,603
502,000
Class A Membership Interest (17,308 units) 1,107,692
—
6,638,727
6,137,757
2,650,000


Portfolio Company(6)	Industry	Type of Investment(1) (2)	Principal Amount		Cost		Fair Value
Legal Solutions Holdings (1.4%)*(7) (20)	Business Services	Senior Subordinated Loan (6.0% Cash, 10.0% PIK, Acquired 12/20, Due 03/22)	$	10,663,569	$	9,862,913	$	9,863,801
			10,663,569		9,862,913		9,863,801

LivTech Purchaser, Inc. (0.1%)*(7) (8) (11)	Business Services	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 01/21, Due 12/25)	552,248		540,237		539,748
			552,248		540,237		539,748

Media Recovery, Inc. (SpotSee) (1.0%)*(7) (8)	Containers, Packaging & Glass	First Lien Senior Secured Term Loan (LIBOR + 6.0%, 7.0% Cash, Acquired 11/19, Due 11/25) (11)	2,955,281		2,906,802		2,903,564
		First Lien Senior Secured Term Loan (GBP LIBOR + 6.0%, 7.0% Cash, Acquired 12/20, Due 12/26) (14)	4,584,486		4,347,360		4,504,258
			7,539,767		7,254,162		7,407,822

Modern Star Holdings Bidco Pty Limited. (0.6%)*(3) (7) (8) (18)	Non-durable Consumer Goods	First Lien Senior Secured Term Loan (BBSY + 6.25%, 6.8% Cash, Acquired 12/20, Due 12/26)	4,672,838		4,440,698		4,488,221
			4,672,838		4,440,698		4,488,221

MSG National Properties (0.3%)*(3) (7) (8) (11)	Hotel, Gaming, & Leisure	First Lien Senior Secured Term Loan (LIBOR + 6.25%, 7.0% Cash, Acquired 11/20, Due 11/25)	2,461,759		2,392,506		2,523,303
			2,461,759		2,392,506		2,523,303

Murphy Midco Limited (0.6%)*(3) (7) (8) (13)	Media, Diversified & Production	First Lien Senior Secured Term Loan (GBP LIBOR + 5.5%, 5.5% Cash, Acquired 11/20, Due 11/27)	4,683,649		4,262,242		4,472,750
			4,683,649		4,262,242		4,472,750

Music Reports, Inc. (0.8%)*(7) (8) (9)	Media & Entertainment	First Lien Senior Secured Term Loan (LIBOR + 6.25%, 7.3% Cash, Acquired 08/20, Due 08/26)	5,578,990		5,450,971		5,523,200
			5,578,990		5,450,971		5,523,200

Navia Benefit Solutions, Inc. (0.8%)* (7) (8) (11)	Healthcare & Pharmaceuticals	First Lien Senior Secured Term Loan (LIBOR + 5.25%, 6.3% Cash, Acquired 02/21, Due 02/27)	6,000,000		5,829,009		5,825,000
			6,000,000		5,829,009		5,825,000

NGS US Finco, LLC (f/k/a Dresser Natural Gas Solutions) (1.6%)*(7) (8) (9)	Energy Equipment & Services	First Lien Senior Secured Term Loan (LIBOR + 4.25%, 5.3% Cash, Acquired 10/18, Due 10/25)	11,825,516		11,785,078		11,683,609
			11,825,516		11,785,078		11,683,609

Odeon Cinemas Group Limited (0.5%)*(3) (7)	Hotel, Gaming, & Leisure	First Lien Senior Secured Term Loan (10.75% Cash, Acquired 02/21, Due 08/23)	1,376,251		1,332,439		1,390,014
		First Lien Senior Secured Term Loan (10.75% Cash, Acquired 02/21, Due 08/23)	2,478,707		2,472,983		2,503,494
			3,854,958		3,805,422		3,893,508

Omni Intermediate Holdings, LLC (1.2%)*(7) (8) (9)	Transportation	First Lien Senior Secured Term Loan (LIBOR + 5.0%, 6.0% Cash, Acquired 12/20, Due 12/26)	9,000,000		8,739,450		8,752,500
			9,000,000		8,739,450		8,752,500

Options Technology Ltd. (1.3%)*(3) (7) (8) (11)	Computer Services	First Lien Senior Secured Term Loan (LIBOR + 4.5%, 5.5% Cash, Acquired 12/19, Due 12/25)	9,771,813		9,569,224		9,628,377
			9,771,813		9,569,224		9,628,377

Pacific Health Supplies Bidco Pty Limited (1.2%)*(3) (7) (8) (18)	Healthcare & Pharmaceuticals	First Lien Senior Secured Term Loan (BBSY + 6.0%, 6.5% Cash, Acquired 12/20, Due 12/25)	9,196,755		8,642,055		8,914,484
			9,196,755		8,642,055		8,914,484

Pare SAS (SAS Maurice MARLE) (0.7%)*(3) (7) (8) (16)	Health Care Equipment	First Lien Senior Secured Term Loan (EURIBOR + 5.25%, 5.3% Cash, 1.5% PIK, Acquired 12/19, Due 12/26)	4,848,650		4,529,605		4,800,164
			4,848,650		4,529,605		4,800,164

Patriot New Midco 1 Limited (Forensic Risk Alliance) (1.1%)*(3) (7) (8)	Diversified Financial Services	First Lien Senior Secured Term Loan (LIBOR + 5.75%, 6.8% Cash, Acquired 02/20, Due 02/27)(11)	4,489,471		4,377,523		4,426,619
		First Lien Senior Secured Term Loan (EURIBOR + 5.75%, 5.8% Cash, Acquired 02/20, Due 02/27) (15)	3,964,194		3,584,353		3,908,695
			8,453,665		7,961,876		8,335,314

PerTronix, LLC (1.0%)*(7) (8) (12)	Automotive	First Lien Senior Secured Term Loan (LIBOR + 5.25%, 6.3% Cash, Acquired 10/20, Due 10/26)	7,287,692		7,184,750		7,287,692
			7,287,692		7,184,750		7,287,692

Premier Technical Services Group (Project Graphite) (0.4%)*(3) (7) (8) (13)	Construction & Engineering	First Lien Senior Secured Term Loan (GBP LIBOR + 6.75%, 7.3% Cash, Acquired 08/19, Due 06/26)	3,137,901		2,686,018		3,085,003
			3,137,901		2,686,018		3,085,003

Premium Franchise Brands, LLC (3.0%)*(7) (8) (11)	Research & Consulting Services	First Lien Senior Secured Term Loan (LIBOR + 6.25%, 7.3% Cash, Acquired 12/20, Due 12/26)	21,945,000		21,522,183		21,545,820
			21,945,000		21,522,183		21,545,820

Barings BDC, Inc.

Unaudited Consolidated Schedule of Investments — (Continued)

March 31, 2021

TRIANGLE CAPITAL CORPORATION
Unaudited Consolidated Schedule of Investments — (Continued)
September 30, 2017
Portfolio Company Industry
Type of Investment^(1)(2)(7)

Principal
Amount
Cost
Fair
Value⁽³⁾
FCL Holding SPV, LLC (0%)* Commercial Printing Services Class A Interest (24,873 units) $ 292,000
$ 602,000
Class B Interest (48,427 units) —
—
Class C Interest (3,746 units) —
—
292,000
602,000

Mac Land Holdings, Inc. (0%)* Environmental and Facilities Services Common Stock (139 shares) 369,000
369,000
369,000
369,000

NB Products, Inc. (8%)* Distributor of Work Apparel and Accessories Subordinated Note (12% Cash, 2% PIK, Due 02/20) $ 23,453,631
23,166,924
23,166,924
Jr. Subordinated Note (10% PIK, Due 02/20) 5,067,665
4,980,083
4,980,083
Jr. Subordinated Bridge Note (20% PIK, Due 05/21) 2,318,244
2,294,294
2,294,294
Series A Redeemable Senior Preferred Stock (7,839 shares) 7,621,648
10,134,000
Common Stock (1,668,691 shares) 333,738
11,133,000
30,839,540
38,396,687
51,708,301

Passport Food Group, LLC (3%)* Manufacturer of Ethnic Food Products
Senior Notes (LIBOR + 9.0%, 10.3% Cash,
Due 03/22)⁽⁸⁾
20,000,000
19,631,708
17,684,000
Common Stock (20,000 shares) 2,000,000
783,000
20,000,000
21,631,708
18,467,000

PCX Aerostructures, LLC (4%)* Aerospace Components Manufacturer Subordinated Note (10.5% Cash, Due 10/19) 31,647,359
31,219,054
24,799,000
Series A Preferred Stock (6,066 shares) 6,065,621
—
Series B Preferred Stock (411 shares) 410,514
—
Class A Common Stock (121,922 shares) 30,480
—
31,647,359
37,725,669
24,799,000

Team Waste, LLC (2%)* Environmental and Facilities Services Subordinated Note (10% Cash, 2% PIK, Due 8/23) 4,006,667
3,916,667
3,916,667
Preferred Units (500,000 units) 10,000,000
10,000,000
4,006,667
13,916,667
13,916,667

Technology Crops, LLC (1%)* Supply Chain Management Services Subordinated Notes (12% Cash, 5% PIK, Due 11/17) 12,294,102
12,294,102
9,451,000
Common Units (50 units) 500,000
—
12,294,102
12,794,102
9,451,000

TGaS Advisors, LLC (2%)* Advisory Solutions to Pharmaceutical Companies Senior Note (10% Cash, 1% PIK, Due 11/19) 9,560,682
9,453,137
9,453,137
Preferred Units (1,685,357 units) 1,556,069
1,336,000
9,560,682
11,009,206
10,789,137

Tulcan Fund IV, L.P. (0%)* Custom Forging and Fastener Supplies Common Units (1,000,000 units) 1,000,000
—
1,000,000
—

United Retirement Plan Consultants, Inc. (0%)* Retirement Plan Administrator Series A Preferred Shares (9,400 shares) 205,748
286,000
Common Shares (100,000 shares) 1,000,000
348,000
1,205,748
634,000

Wythe Will Tzetzo, LLC (0%)* �� Confectionery Goods Distributor Series A Preferred Units (99,829 units) —
3,140,000
—
3,140,000

Subtotal Affiliate Investments 121,469,361
153,091,223
146,607,453

Control Investments:
CRS Reprocessing, LLC (1%)* Fluid
Reprocessing
Services
Debtor in Possession Loan (8% PIK, Due (11/17)⁽⁶⁾
700,000
700,000
700,000

Senior Notes (LIBOR + 3.5%, Due 06/17)⁽⁶⁾⁽⁸⁾
2,942,769
2,942,769
502,000

Split Collateral Term Loans (8% Cash, Due 06/17)⁽⁶⁾
31,243,725
17,542,464
6,557,000

Subordinated Note (5% Cash, Due 09/17)⁽⁶⁾
7,136,824
125,000
—
Series F Preferred Units (705,321 units) 9,134,807
—
Common Units (15,174 units) —
—
42,023,318
30,445,040
7,759,000

DialogDirect, Inc. (2%)* Business Process Outsourcing Provider
Subordinated Notes (8% PIK, Due 10/19)⁽⁶⁾
21,005,082
20,020,226
10,197,000
Class A Common Units (1,176,500 units)

—
—
21,005,082
20,020,226
10,197,000


Portfolio Company(6)	Industry	Type of Investment(1) (2)	Principal Amount		Cost		Fair Value

Process Equipment, Inc. (ProcessBarron) (0.8%)*(7) (8) (11)	Industrial Air & Material Handling Equipment	First Lien Senior Secured Term Loan (LIBOR + 5.25%, 6.3% Cash, Acquired 03/19, Due 03/25)	$	6,173,594	$	6,096,724	$	5,543,887
			6,173,594		6,096,724		5,543,887

Professional Datasolutions, Inc. (PDI) (2.3%)*(7) (8) (19)	Application Software	First Lien Senior Secured Term Loan (LIBOR + 4.5%, 5.5% Cash, Acquired 03/19, Due 10/24)	16,881,613		16,863,369		16,785,556
			16,881,613		16,863,369		16,785,556

Protego Bidco B.V. (1.2%)*(3) (7) (8) (15)	Aerospace & Defense	First Lien Senior Secured Term Loan (EURIBOR + 6.0%, 6.0% Cash, Acquired 03/21, Due 03/28)	9,208,487		8,955,994		8,771,084
			9,208,487		8,955,994		8,771,084

PSC UK Pty Ltd. (0.4%)*(3) (7) (8) (13)	Insurance Services	First Lien Senior Secured Term Loan (GBP LIBOR + 6.0%, 6.5% Cash, Acquired 11/19, Due 10/24)	2,709,861		2,444,000		2,648,176
			2,709,861		2,444,000		2,648,176

Questel Unite (2.8%)*(3) (7) (8) (15)	Business Services	First Lien Senior Secured Term Loan (EURIBOR + 6.25%, 6.8% Cash, Acquired 12/20, Due 12/27)	20,703,270		20,684,768		20,334,237
			20,703,270		20,684,768		20,334,237

Radwell International, LLC (1.9%)*(7) (8) (11)	Wholesale	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 12/20, Due 12/26)	14,220,264		13,917,380		13,935,809
			14,220,264		13,917,380		13,935,809

Recovery Point Systems, Inc. (1.6%)*(7) (8) (11)	Technology	First Lien Senior Secured Term Loan (LIBOR + 6.5%, 7.5% Cash, Acquired 03/20, Due 07/26)	11,736,797		11,522,211		11,736,797
		Partnership Equity (187,235 units, Acquired 03/21)			187,235		187,235
			11,736,797		11,709,446		11,924,032

REP SEKO MERGER SUB LLC (1.1%)* (7) (8) (11)	Air Freight & Logistics	First Lien Senior Secured Term Loan (LIBOR + 5.0%, 6.0% Cash, Acquired 12/20, Due 12/26)	7,671,682		7,447,161		7,660,913
			7,671,682		7,447,161		7,660,913

RPX Corporation (2.3%)*(7) (8) (11)	Research & Consulting Services	First Lien Senior Secured Term Loan (LIBOR + 6.0%, 7.0% Cash, Acquired 10/20, Due 10/25)	16,712,500		16,358,646		16,612,225
			16,712,500		16,358,646		16,612,225

Ruffalo Noel Levitz, LLC (1.3%)*(7) (8) (11)	Media Services	First Lien Senior Secured Term Loan (LIBOR + 6.0%, 7.0% Cash, Acquired 01/19, Due 05/22)	9,592,266		9,539,242		9,555,336
			9,592,266		9,539,242		9,555,336

Safety Products Holdings, LLC (2.1%)* (7) (8) (9)	Non-durable Consumer Goods	First Lien Senior Secured Term Loan (LIBOR + 6.0%, 7.0% Cash, Acquired 12/20, Due 12/26)	15,574,673		15,099,325		15,127,000
		Preferred Stock (372.1 shares, Acquired 12/20)			372,088		372,090
			15,574,673		15,471,413		15,499,090

Scaled Agile, Inc. (0.7%)*(7) (8) (11)	Research & Consulting Services	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 06/19, Due 06/24)	4,847,151		4,811,132		4,847,151
			4,847,151		4,811,132		4,847,151

Serta Simmons Bedding LLC (1.5%)*(8) (9)	Home Furnishings	Super Priority First Out (LIBOR + 7.5%, 8.5% Cash, Acquired 6/20, Due 08/23)	7,405,891		7,232,172		7,475,950
		Super Priority Second Out (LIBOR + 7.5%, 8.5% Cash, Acquired 6/20, Due 08/23)	3,634,684		3,378,205		3,463,163
			11,040,575		10,610,377		10,939,113

Sigmatek Systems, LLC (1.3%)*(7) (8) (11)	High Tech Industries	First Lien Senior Secured Term Loan (LIBOR + 5.25%, 6.3% Cash, Acquired 01/21, Due 01/27)	9,975,000		9,782,539		9,787,825
			9,975,000		9,782,539		9,787,825

SISU ACQUISITIONCO., INC. (1.9%)*(7) (8) (11)	Aerospace & Defense	First Lien Senior Secured Term Loan (LIBOR + 5.25%, 6.3% Cash, Acquired 12/20, Due 12/26)	14,097,503		13,826,164		13,841,069
			14,097,503		13,826,164		13,841,069

SMA Holdings, Inc. (1.0%)*(7) (20)	Consulting	First Lien Loan (11.0% Cash, Acquired 12/20, Due 06/24)	7,000,000		6,720,000		6,720,000
		Warrants (2.0 units, Acquired 12/20)			286,781		250,978
			7,000,000		7,006,781		6,970,978

Smile Brands Group Inc. (2.0%)*(7) (8)	Health Care Services	First Lien Senior Secured Term Loan (LIBOR + 5.17%, 5.4% Cash, Acquired 10/18, Due 10/24)(9)	5,861,902		5,825,907		5,768,111
		First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 12/20, Due 10/24)(11)	9,287,715		9,024,221		9,033,598
			15,149,617		14,850,128		14,801,709

Barings BDC, Inc.

Unaudited Consolidated Schedule of Investments — (Continued)

March 31, 2021

TRIANGLE CAPITAL CORPORATION
Unaudited Consolidated Schedule of Investments — (Continued)
September 30, 2017
Portfolio Company Industry
Type of Investment^(1)(2)(7)

Principal
Amount
Cost
Fair
Value⁽³⁾

Frank Entertainment Group, LLC
(1%)* Movie Theatre and Family Entertainment Operator
Senior Note (6% Cash, Due 06/19)⁽⁶⁾
$ 10,939,428
$ 10,526,358
$ 6,169,000

Second Lien Term Note (2.5% Cash, Due 09/19)⁽⁶⁾
2,078,396
2,050,693
—
Redeemable Preferred Units (2,800,000 units) 2,800,000
—
Class B Redeemable Preferred Units (2,800,000 units) 2,800,000
—
Class A Common Units (606,552 units) 1,000,000
—
13,017,824
19,177,051
6,169,000

Frontstreet Facility Solutions, Inc. (1%)* Retail, Restaurant and Commercial Facilities Maintenance Subordinated Note (13% Cash, Due 03/21) 8,462,629
8,439,709
4,250,000
Series A Convertible Preferred Stock (60,000 shares) 250,575
—
Series B Convertible Preferred Stock (20,000 shares) 500,144
—
Common Stock (27,890 shares) 279

8,462,629
9,190,707
4,250,000

SRC Worldwide, Inc. (1%)* Specialty Chemical Manufacturer Common Stock (5,000 shares) 8,028,000
8,028,000
8,028,000
8,028,000

Subtotal Control Investments 84,508,853
86,861,024
36,403,000

Total Investments, September 30, 2017 (173%)* $ 1,148,001,088
$ 1,238,788,315
$ 1,091,191,679


Portfolio Company(6)	Industry	Type of Investment(1) (2)	Principal Amount		Cost		Fair Value
SN BUYER, LLC (3.4%)*(7) (8) (11)	Health Care Services	First Lien Senior Secured Term Loan (LIBOR + 6.25%, 7.3% Cash, Acquired 12/20, Due 11/26)	$	25,000,000	$	24,519,748	$	24,650,000
			25,000,000		24,519,748		24,650,000

Springbrook Software (SBRK Intermediate, Inc.) (1.3%)*(7) (8) (11)	Enterprise Software & Services	First Lien Senior Secured Term Loan (LIBOR + 5.75%, 6.8% Cash, Acquired 12/19, Due 12/26)	9,303,664		9,114,611		9,265,286
			9,303,664		9,114,611		9,265,286

SPT Acquico Limited (0.4%)*(3) (7) (8) (11)	High Tech Industries	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 01/21, Due 12/27)	2,658,312		2,593,530		2,591,854
			2,658,312		2,593,530		2,591,854

SSCP Pegasus Midco Limited (1.6%)*(3) (7) (8) (14)	Healthcare & Pharmaceuticals	First Lien Senior Secured Term Loan (GBP LIBOR + 6.75%, 6.8% Cash, Acquired 12/20, Due 11/27)	12,072,963		11,049,371		11,399,247
			12,072,963		11,049,371		11,399,247

Syniverse Holdings, Inc. (2.4%)*(8) (11)	Technology Distributors	First Lien Senior Secured Term Loan (LIBOR + 5.0%, 6.0% Cash, Acquired 08/18, Due 03/23)	17,435,517		16,149,215		17,175,903
			17,435,517		16,149,215		17,175,903

The Hilb Group, LLC (2.0%)*(7) (8) (11)	Insurance Brokerage	First Lien Senior Secured Term Loan (LIBOR + 5.75%, 6.8% Cash, Acquired 12/19, Due 12/26)	11,636,693		11,391,659		11,229,409
		First Lien Senior Secured Term Loan (LIBOR + 6.25%, 7.3% Cash, Acquired 12/19, Due 12/26)	3,646,217		3,435,906		3,448,894
			15,282,910		14,827,565		14,678,303

Total Safety U.S. Inc. (0.9%)*(8) (11)	Diversified Support Services	First Lien Senior Secured Term Loan (LIBOR + 6.0%, 7.0% Cash, Acquired 11/19, Due 08/25)	6,766,049		6,534,648		6,759,283
			6,766,049		6,534,648		6,759,283

Transit Technologies LLC (0.7%)*(7) (8) (11)	Software	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.0% Cash, Acquired 02/20, Due 02/25)	6,035,305		5,869,127		5,443,845
			6,035,305		5,869,127		5,443,845

Transportation Insight, LLC (3.2%)*(7) (8) (9)	Air Freight & Logistics	First Lien Senior Secured Term Loan (LIBOR + 4.5%, 4.6% Cash, Acquired 08/18, Due 12/24)	24,444,375		24,293,447		23,637,711
			24,444,375		24,293,447		23,637,711

Trident Maritime Systems, Inc. (3.4%)*(7) (8) (9)	Aerospace & Defense	First Lien Senior Secured Term Loan (LIBOR + 5.5%, 6.5% Cash, Acquired 02/21, Due 02/27)	25,000,000		24,570,501		24,562,500
			25,000,000		24,570,501		24,562,500

Truck-Lite Co., LLC (3.1%)*(7) (8) (11)	Automotive Parts & Equipment	First Lien Senior Secured Term Loan (LIBOR + 6.25%, 7.3% Cash, Acquired 12/19, Due 12/26)	22,296,635		21,918,311		22,252,041
			22,296,635		21,918,311		22,252,041

Trystar, LLC (2.3%)*(7) (8) (11)	Power Distribution Solutions	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 09/18, Due 09/23)	16,185,659		16,004,667		16,120,916
		Class A LLC Units (384.5 units, Acquired 09/18)			395,995		369,443
			16,185,659		16,400,662		16,490,359

Tuf-Tug, Inc. (0.0%)*(7) (20)	Safety Equipment Manufacturer	Common Stock (24.6 shares, Acquired 12/20)			385,047		—
					385,047		—

Turf Products, LLC (1.2%)*(7) (20)	Landscaping & Irrigation Equipment Distributor	Senior Subordinated Debt (10.0% Cash, Acquired 12/20, Due 10/23)	8,697,056		8,383,962		8,436,144
			8,697,056		8,383,962		8,436,144

U.S. Gas & Electric, Inc. (0.2%)*(7) (20)	Energy Services	Second Lien Loan (9.5% Cash, Acquired 12/20, Due 07/25)	2,285,250		1,785,250		1,785,250
		Second Lien Loan (9.5% Cash, Acquired 12/20, Due 07/25)(21)	2,485,469		—		—
			4,770,719		1,785,250		1,785,250

U.S. Silica Company (0.2%)*(3) (8) (9)	Metal & Glass Containers	First Lien Senior Secured Term Loan (LIBOR + 4.0%, 5.0% Cash, Acquired 08/18, Due 05/25)	1,483,670		1,486,303		1,429,887
			1,483,670		1,486,303		1,429,887

UKFast Leaders Limited (1.7%)*(3) (7) (8) (13)	Technology	First Lien Senior Secured Term Loan (GBP LIBOR + 6.75%, 6.8% Cash, Acquired 09/20, Due 9/27)	12,541,181		11,365,814		12,453,392
			12,541,181		11,365,814		12,453,392

USLS Acquisition, Inc. (f/k/a US Legal Support, Inc.) (2.1%)*(7) (8) (11)	Legal Services	First Lien Senior Secured Term Loan (LIBOR + 5.75%, 6.8% Cash, Acquired 11/18, Due 11/24)	16,305,092		16,096,032		15,408,312
			16,305,092		16,096,032		15,408,312

Barings BDC, Inc.

Unaudited Consolidated Schedule of Investments — (Continued)

March 31, 2021


Portfolio Company(6)	Industry	Type of Investment(1) (2)	Principal Amount		Cost		Fair Value
Utac Ceram (1.4%)*(3) (7) (8)	Business Services	First Lien Senior Secured Term Loan (EURIBOR + 5.75%, 5.8% Cash, Acquired 09/20, Due 09/27)(15)	$	1,762,949	$	1,701,654	$	1,714,468
		First Lien Senior Secured Term Loan (LIBOR + 5.75%, 5.8% Cash, Acquired 02/21, Due 09/27)(10)	8,491,000		8,288,343		8,257,498
			10,253,949		9,989,997		9,971,966

Validity, Inc. (0.7%)*(7) (8) (9)	IT Consulting & Other Services	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 4.9% Cash, Acquired 07/19, Due 05/25)	5,013,118		4,891,028		4,767,474
			5,013,118		4,891,028		4,767,474

W2O Holdings, Inc. (0.0%)* (7) (8)	Healthcare Technology	Undrawn Delayed Draw Term Loan (LIBOR + 5.0%, 5.0% Cash, Acquired 10/20, Due 06/25)	—		(111,213)		—
			—		(111,213)		—

Winebow Group, LLC, (The) (2.3%)*(8) (9)	Consumer Goods	First Lien Senior Secured Term Loan (LIBOR + 3.75%, 4.8% Cash, Acquired 11/19, Due 07/21)	10,599,445		10,355,135		10,472,252
		Second Lien Senior Secured Term Loan (LIBOR + 7.5%, 8.5% Cash, Acquired 10/19, Due 01/22)	7,141,980		6,125,843		6,427,782
			17,741,425		16,480,978		16,900,034

World 50, Inc. (1.7%)*(7) (8) (9)	Professional Services	First Lien Senior Secured Term Loan (LIBOR + 5.25%, 6.3% Cash, Acquired 01/20, Due 01/26)	3,304,887		3,214,069		3,304,887
		First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 09/20, Due 01/26)	9,077,684		8,890,933		8,896,130
			12,382,571		12,105,002		12,201,017

Subtotal Non–Control / Non–Affiliate Investments (192.6%)			1,430,510,004		1,389,212,763		1,401,742,025

Affiliate Investments: (4)
Jocassee Partners LLC (4.0%)*(3)	Investment Funds & Vehicles	9.1% Member Interest, Acquired 06/19			25,158,270		28,950,050
					25,158,270		28,950,050

JSC Tekers Holdings (0.7%)*(3) (7) (20)	Real Estate Management	Preferred Stock (9,159,085 shares, Acquired 12/20)			4,753,000		4,945,906
		Common Stock (3,201 shares, Acquired 12/20)			—		—
					4,753,000		4,945,906

Security Holdings B.V. (4.8%)*(3) (7) (20)	Electrical Engineering	Bridge Loan (5.0% PIK, Acquired 12/20, Due 05/22)	5,451,205		5,451,207		5,451,205
		Senior Subordinated Loan (3.1% PIK, Acquired 12/20, Due 05/22)	8,815,745		8,815,746		8,815,745
		Common Stock (1,099.5 shares, Acquired 12/20)			21,264,000		20,955,588
			14,266,950		35,530,953		35,222,538

Thompson Rivers LLC (4.3%)*(3)	Investment Funds & Vehicles	24.7% Member Interest, Acquired 06/20			30,000,000		31,311,180
					30,000,000		31,311,180

Subtotal Affiliate Investments (13.8%)			14,266,950		95,442,223		100,429,674

Control Investments:(5)
MVC Automotive Group Gmbh (1.9%)*(3) (7) (20)	Other Diversified Financial Services	Bridge Loan (6.0% Cash, Acquired 12/20, Due 12/21)	7,149,166		7,149,166		7,149,166
		Common Equity Interest (18,000 shares, Acquired 12/20)			9,553,000		6,922,044
			7,149,166		16,702,166		14,071,210

MVC Private Equity Fund LP (1.1%)*(3) (20)	Investment Funds & Vehicles	General Partnership Interest			224,978		194,174
		Limited Partnership Interest			8,899,284		7,646,750
					9,124,262		7,840,924

Waccamaw River LLC (0.6%)*(3)	Investment Funds & Vehicles	50% Member Interest, Acquired 02/21			4,500,000		4,474,228
					4,500,000		4,474,228

Subtotal Control Investments (3.6%)			7,149,166		30,326,428		26,386,362

Barings BDC, Inc.

Unaudited Consolidated Schedule of Investments — (Continued)

March 31, 2021


Portfolio Company(6)	Industry	Type of Investment(1) (2)	Principal Amount		Cost		Fair Value
Short-Term Investments:

BlackRock, Inc. (4.8%)*	Money Market Fund	BlackRock Liquidity Temporary Fund (0.05% yield)			$	35,001,688	$	34,998,190
					35,001,688		34,998,190

JPMorgan Chase & Co. (5.3%)*	Money Market Fund	JPMorgan Prime Money Market Fund (0.09% yield)			38,567,486		38,567,486
					38,567,486		38,567,486

Subtotal Short-Term Investments (10.1%)					73,569,174		73,565,676

Total Investments, March 31, 2021 (220.1%)*			$	1,451,926,120	$	1,588,550,588	$	1,602,123,737

Derivative Instruments


Credit Support Agreement(a)(b)(d)
Description	Counter Party	Settlement Date(c)	Notional Amount		Value		Unrealized Appreciation (Depreciation)
Credit Support Agreement	Barings LLC	01/01/31	$	23,000,000	$	12,000,000	$	(1,600,000)

Total Credit Support Agreement, March 31, 2021							$	(1,600,000)

(a) The Credit Support Agreement covers all of the investments acquired by the Company from MVC Capital, Inc. ("MVC") in connection with the MVC Acquisition (as defined in “Note 1 – Organization, Business and Basis of Presentation”) and any investments received by the Company in connection with the restructuring, amendment, extension or other modification (including the issuance of new securities) of any of the investments acquired by the Company from MVC in connection with the MVC Acquisition (collectively, the “Reference Portfolio”). Each investment that is included in the Reference Portfolio is denoted in the above Schedule of Investments with footnote (20).

(b) The Company and Barings LLC entered into a Credit Support Agreement pursuant to which Barings LLC agreed to provide credit support to the Company in the amount of up to $23.0 million.

(c) Settlement Date means the earlier of (1) January 1, 2031 and (2) the date on which the entire Reference Portfolio has been realized or written off.

(d) See “Note 2 – Agreements and Related Party Transactions” for additional information regarding the Credit Support Agreement.


Foreign Currency Forward Contracts:
Description	Notional Amount to be Purchased	Notional Amount to be Sold	Settlement Date	Unrealized Appreciation (Depreciation)
Foreign currency forward contract (AUD)	$785,238	A$1,013,380	04/06/21	$	13,397
Foreign currency forward contract (AUD)	A$1,013,380	$773,688	04/06/21	(1,847)
Foreign currency forward contract (AUD)	$545,678	A$714,511	07/07/21	1,269

Foreign currency forward contract (EUR)	€5,800,000	$6,809,925	04/01/21	6,812
Foreign currency forward contract (EUR)	$16,496,839	€13,762,578	04/06/21	321,689
Foreign currency forward contract (EUR)	€13,762,578	$16,201,506	04/06/21	(26,356)
Foreign currency forward contract (EUR)	$24,184,783	€20,518,045	07/07/21	22,423

Foreign currency forward contract (GBP)	$33,170,791	£24,072,758	04/06/21	(42,405)
Foreign currency forward contract (GBP)	£24,072,758	$33,277,695	04/06/21	(64,500)
Foreign currency forward contract (GBP)	$3,289,859	£2,388,498	07/07/21	(6,517)

Foreign currency forward contract (SEK)	$164,325	1,356,628kr	04/06/21	8,682
Foreign currency forward contract (SEK)	1,356,628kr	$156,117	04/06/21	(475)
Foreign currency forward contract (SEK)	$176,315	1,530,825kr	07/07/21	533
Total Foreign Currency Forward Contracts, March 31, 2021				$	232,705

* Fair value as a ~~percent~~percentage of net assets.

(1)All debt investments are income producing, unless otherwise noted. Equity and any equity-linked investments are non-income producing, unless otherwise noted. The Company's Board of Directors (the "Board") determined in good faith that all investments were valued at fair value in accordance with the Company's valuation policies and procedures and the Investment Company Act of 1940, as amended, (the "1940 Act") based on, among other things, the input of the Company's external investment adviser, Barings LLC ("Barings"), the Company’s Audit Committee and independent valuation firms that have been engaged to assist in the valuation of the Company's middle-market investments. In addition, all debt investments are variable rate investments unless otherwise noted. Index-based floating interest rates are generally subject to a contractual minimum interest rate. A majority of the variable rate loans in the Company's investment portfolio bear interest at a rate that may be determined by reference to LIBOR, EURIBOR, GBP LIBOR, BBSY, STIBOR or an alternate Base Rate (commonly based on the Federal Funds Rate or the Prime Rate), which typically reset semi-annually, quarterly, or monthly at the borrower's option. The borrower may also elect to have multiple interest reset periods for each loan.

(2)All of the Company’s portfolio company investments (including joint venture and short-term investments), which as of March 31, 2021 represented 220.1% of the Company’s net assets, are subject to legal restrictions on sales. The acquisition date represents the date of the Company's initial investment in the relevant portfolio company.


~~(1)~~	All debt investments are income producing, unless otherwise noted. Equity and equity-linked investments are non-income producing, unless otherwise noted. The fair values of all investments were determined using significant unobservable inputs.


~~(2)~~	~~Disclosures of interest rates on notes include cash interest rates and payment-in-kind (“PIK”) interest rates.~~


~~(3)~~	~~All investments are restricted as to resale and were valued at fair value as determined in good faith by the Board of Directors.~~

~~(4)~~

Investment is not a qualifying investment as defined under Section 55(a) of the Investment Company Act of 1940, as amended. Non-qualifying assets represent 2.4% of total investments at fair value as of September 30, 2017. Qualifying assets must represent at least 70% of total assets at the time of acquisition of any additional non-qualifying assets. If at any time qualifying assets do not represent at least 70% of the Company's total assets, the Company will be precluded from acquiring any additional non-qualifying asset until such time as it complies with the requirements of Section 55(a).


~~(5)~~	~~PIK non-accrual investment~~


~~(6)~~	~~Non-accrual investment~~


~~(7)~~	All of the Company's investments, unless otherwise noted, are encumbered either as security for the Company's senior secured credit facility or in support of the SBA-guaranteed debentures issued by Triangle Mezzanine Fund LLLP and Triangle Mezzanine Fund II LP.

~~(8)~~

Index-based floating interest rate is subject to contractual minimum interest rate. A majority of the variable rate loans in the Company's investment portfolio bear interest at a rate that may be determined by reference to either LIBOR or an alternate Base Rate (commonly based on the Federal Funds Rate or the Prime Rate), which typically resets semi-annually, quarterly, or monthly at the borrower's option. The borrower may also elect to have multiple interest reset periods for each loan.

(3)Investment is not a qualifying investment as defined under Section 55(a) of the 1940 Act. Non-qualifying assets represent 25.5% of total investments at fair value as of March 31, 2021. Qualifying assets must represent at least 70% of total assets at the time of acquisition of any additional non-qualifying assets. If at any time qualifying assets do not represent at least 70% of the Company's total assets, the Company will be precluded from acquiring any additional non-qualifying asset until such time as it complies with the requirements of Section 55(a).

Barings BDC, Inc.

Unaudited Consolidated Schedule of Investments — (Continued)

March 31, 2021

(4)As defined in the 1940 Act, the Company is deemed to be an “affiliated person” of the portfolio company as the Company owns between 5% or more, up to 25% (inclusive), of the portfolio company's voting securities (“non-controlled affiliate”). Transactions related to investments in non-controlled "Affiliate Investments" for the three months ended March 31, 2021 were as follows:


		Amount of Realized Gain (Loss)		Amount of Unrealized Gain (Loss)		Amount of Interest or Dividends Credited to Income(b)		December 31, 2020 Value		Gross Additions (c)		Gross Reductions (d)		March 31, 2021 Value
Portfolio Company	Type of Investment(a)
Advantage Insurance, Inc.(e)	Preferred Stock (587,001 shares)	$	(76,631)	$	—	$	71,500	$	5,946,641	$	—	$	5,946,641	$	—
		(76,631)		—		71,500		5,946,641		—		5,946,641		—

Jocassee Partners LLC	9.1% Member Interest	—		1,326,230		—		22,623,820		6,326,230		—		28,950,050
		—		1,326,230		—		22,623,820		6,326,230		—		28,950,050

JSC Tekers Holdings(e)	Common Stock (3,201 shares)	—		192,909		—		4,753,000		192,909		3		4,945,906
	Preferred Stock (9,159,085 shares)	—		—		—		—		—		—		—
		—		192,909		—		4,753,000		192,909		3		4,945,906

Security Holdings B.V(e)	Bridge Loan (5.0% PIK 5/31/2021)	—		—		68,140		5,187,508		263,697		—		5,451,205
	Senior Subordinated Loan (3.1% PIK)	—		—		68,322		8,746,454		69,291		—		8,815,745
	Common Equity Interest	—		(373,782)		—		21,329,370		—		373,782		20,955,588
		—		(373,782)		136,462		35,263,332		332,988		373,782		35,222,538

Thompson Rivers LLC	24.7% Member Interest	—		1,299,340		—		10,011,840		21,299,340		—		31,311,180
		—		1,299,340		—		10,011,840		21,299,340		—		31,311,180

Total Affiliate Investments		$	(76,631)	$	2,444,697	$	207,962	$	78,598,633	$	28,151,467	$	6,320,426	$	100,429,674

(a) Equity and equity-linked investments are non-income producing, unless otherwise noted.

(b) Represents the total amount of interest, fees or dividends credited to income for the portion of the year an investment was included in the Affiliate category.

(c) Gross additions include increases in the cost basis of investments resulting from new investments and follow-on investments. Gross additions also include net increases in unrealized appreciation or net decreases in unrealized depreciation.

(d) Gross reductions include decreases in the total cost basis of investments resulting from principal repayments or sales. Gross reductions also include net increases in unrealized depreciation or net decreases in unrealized appreciation.

(e) The fair value of the investment was determined using significant unobservable inputs.

Barings BDC, Inc.

Unaudited Consolidated Schedule of Investments — (Continued)

March 31, 2021

(5) As defined in the 1940 Act, the Company is deemed to be both an “affiliated person” and “control” the portfolio company because it owns more than 25% of the portfolio company’s outstanding voting securities or it has the power to exercise control over the management or policies of such portfolio company (including through a management agreement). Transactions as of and during the three months ended March 31, 2021 in which the portfolio company is deemed to be a "Control Investment" of the Company are as follows:


		Amount of Realized Gain (Loss)		Amount of Unrealized Gain (Loss)		Amount of Interest or Dividends Credited to Income(b)		December 31, 2020 Value		Gross Additions (c)		Gross Reductions (d)		March 31, 2021 Value
Portfolio Company	Type of Investment(a)
MVC Automotive Group GmbH(e)	Common Equity Interest	$	—	$	(2,660,324)	$	—	$	9,582,368	$	—	$	2,660,324	$	6,922,044
	Bridge Loan (6.0% PIK 12/31/2021)	—		—		107,237		7,149,166		—		—		7,149,166
		—		(2,660,324)		107,237		16,731,534		—		2,660,324		14,071,210

MVC Private Equity Fund LP(e)	Limited Partnership Interest	—		(1,252,534)		—		8,899,284		—		1,252,534		7,646,750
	General Partnership Interest	—		(30,804)		160,113		224,978		—		30,804		194,174
		—		(1,283,338)		160,113		9,124,262		—		1,283,338		7,840,924
Waccamaw River LLC	50% Member Interest	—		(25,772)		—		—		4,500,000		25,772		4,474,228
		—		(25,772)		—		—		4,500,000		25,772		4,474,228

Total Control Investments		$	—	$	(3,969,434)	$	267,350	$	25,855,796	$	4,500,000	$	3,969,434	$	26,386,362

(a) Equity and equity-linked investments are non-income producing, unless otherwise noted.

(b) Represents the total amount of interest, fees or dividends credited to income for the portion of the year an investment was included in the Control category.

(e) The fair value of the investment was determined using significant unobservable inputs.

(6)Some or all of the investment is or will be encumbered as security for the Company's $800.0 million senior secured credit facility with ING Capital LLC initially entered into in February 2019 (as amended, restated and otherwise modified from time to time, the "February 2019 Credit Facility").

(7)The fair value of the investment was determined using significant unobservable inputs.

(8)Debt investment includes interest rate floor feature.

(9)The interest rate on these loans is subject to 1 Month LIBOR, which as of March 31, 2021 was 0.11113%.

(10)The interest rate on these loans is subject to 2 Month LIBOR, which as of March 31, 2021 was 0.13363%.

(11)The interest rate on these loans is subject to 3 Month LIBOR, which as of March 31, 2021 was 0.19425%.

(12)The interest rate on these loans is subject to 6 Month LIBOR, which as of March 31, 2021 was 0.20525%.

(13)The interest rate on these loans is subject to 3 Month GBP LIBOR, which as of March 31, 2021 was 0.08788%.

(14)The interest rate on these loans is subject to 6 Month GBP LIBOR, which as of March 31, 2021 was 0.11275%.

(15)The interest rate on these loans is subject to 3 Month EURIBOR, which as of March 31, 2021 was -0.53800%.

(16)The interest rate on these loans is subject to 6 Month EURIBOR, which as of March 31, 2021 was -0.50900%.

(17)The interest rate on these loans is subject to 3 Month STIBOR, which as of March 31, 2021 was -0.01100%.

(18)The interest rate on these loans is subject to 1 Month BBSY, which as of March 31, 2021 was 0.01470%.

(19)The interest rate on these loans is subject to 12 Month LIBOR, which as of March 31, 2021 was 0.28313%.

(20)Investment was purchased as part of the MVC Acquisition and is part of the Reference Portfolio for purposes of the Credit Support Agreement.

(21)In 2017, MVC received $5.7 million of 9.5% second lien callable notes due in 2025, in lieu of an escrow to satisfy any indemnification claims associated with MVC’s sale of its equity investment in U.S. Gas & Electric. Effective January 1, 2018, the cost basis of the U.S. Gas second lien loan was decreased by approximately $3.0 million due to a working capital adjustment. This loan is still subject to indemnification adjustments.

See accompanying notes.

Barings BDC, Inc.

Consolidated Schedule of Investments

December 31, 2020


Portfolio Company(6)	Industry	Type of Investment(1) (2)	Principal Amount		Cost		Fair Value
Non–Control / Non–Affiliate Investments:

1WorldSync, Inc. (4.0%)*(7) (9) (12)	IT Consulting & Other Services	First Lien Senior Secured Term Loan (LIBOR + 6.25%, 7.3% Cash, Acquired 07/19, Due 07/25)	$	29,000,000	$	28,490,102	$	28,420,000
			29,000,000		28,490,102		28,420,000

Accelerate Learning, Inc. (1.0%)*(7) (9) (12)	Education Services	First Lien Senior Secured Term Loan (LIBOR + 5.0%, 6.0% Cash, Acquired 12/18, Due 12/24)	7,567,965		7,461,410		7,258,435
			7,567,965		7,461,410		7,258,435

Accurus Aerospace Corporation (2.9%)*(7) (9) (12)	Aerospace & Defense	First Lien Senior Secured Term Loan (LIBOR + 5.5%, 6.5% Cash, Acquired 10/18, Due 10/24)	24,500,000		24,251,575		20,506,500
			24,500,000		24,251,575		20,506,500

ADE Holding (d/b/a AD Education) (0.8%)*(3) (7) (9) (19)	Education Services	First Lien Senior Secured Term Loan (EURIBOR + 5.0%, 5.0% Cash, Acquired 01/20, Due 01/27)	5,459,746		4,977,557		5,459,746
			5,459,746		4,977,557		5,459,746

AEP Holdings, Inc. (1.8%)*(7) (9)	Wholesale	First Lien Senior Secured Term Loan (EURIBOR + 5.75%, 6.8% Cash, Acquired 11/20, Due 11/25) (18)	4,362,794		4,143,810		4,275,538
		First Lien Senior Secured Term Loan (LIBOR + 5.75%, 6.8% Cash, Acquired 11/20, Due 11/25) (12)	8,902,516		8,727,725		8,724,466
			13,265,310		12,871,535		13,000,004

Aftermath Bidco Corporation (1.3%)* (7) (9) (12)	Professional Services	First Lien Senior Secured Term Loan (LIBOR + 5.75%, 6.8% Cash, Acquired 04/19, Due 04/25)	9,425,284		9,265,301		9,335,155
			9,425,284		9,265,301		9,335,155

Ahead DB Borrower, LLC. (0.3%)*(7) (9) (12)	Technology Distributors	Second Lien Senior Secured Term Loan (LIBOR + 8.5%, 9.5% Cash, Acquired 10/20, Due 10/28)	2,139,295		2,076,161		2,075,117
			2,139,295		2,076,161		2,075,117

Air Canada 2020-2 Class B Pass Through Trust (1.1%)*	Airlines	Structured Secured Note - Class B (9.0% Cash, Acquired 09/20, Due 10/25)	7,500,000		7,500,000		8,077,169
			7,500,000		7,500,000		8,077,169

American Dental Partners, Inc. (1.3%)*(7) (9) (12)	Health Care Services	First Lien Senior Secured Term Loan (LIBOR + 4.25%, 5.3% Cash, Acquired 11/18, Due 03/23)	9,800,000		9,786,672		9,396,240
			9,800,000		9,786,672		9,396,240

American Scaffold, Inc. (1.3%)*(7) (9) (12)	Aerospace & Defense	First Lien Senior Secured Term Loan (LIBOR + 5.25%, 6.3% Cash, Acquired 09/19, Due 09/25)	9,686,750		9,509,443		9,686,750
			9,686,750		9,509,443		9,686,750

Anagram Holdings, LLC (2.2%)*(3)	Chemicals, Plastics, & Rubber	First Lien Senior Secured Note (10.0% Cash, 5.0% PIK, Acquired 08/20, Due 08/25)	13,673,780		12,565,289		15,588,108
			13,673,780		12,565,289		15,588,108

Anchorage Capital CLO Ltd: Series 2013-1A (0.3%)*(3) (9) (12)	Structured Finance	Structured Secured Note - Class DR (LIBOR + 6.8%, 7.0% Cash, Acquired 03/20, Due 10/30)	2,000,000		1,743,066		2,000,156
			2,000,000		1,743,066		2,000,156

Anju Software, Inc. (1.9%)*(7) (12)	Application Software	First Lien Senior Secured Term Loan (LIBOR + 6.25%, 6.4% Cash, Acquired 02/19, Due 02/25)	13,701,182		13,442,543		13,385,963
			13,701,182		13,442,543		13,385,963

Apex Bidco Limited (0.3%)*(3) (7)	Business Equipment & Services	First Lien Senior Secured Term Loan (GBP LIBOR + 6.50%, 7.0% Cash, Acquired 01/20, Due 01/27) (9) (15)	1,992,033		1,851,359		1,950,974
		Subordinated Senior Unsecured Term Loan (8.0% PIK, Acquired 01/20, Due 07/27)	258,955		241,837		253,618
			2,250,988		2,093,196		2,204,592

AQA Acquisition Holding, Inc. (f/k/a SmartBear) (0.7%)*(7) (9) (12)	High Tech Industries	Second Lien Senior Secured Term Loan (LIBOR + 8.0%, 9.0% Cash, Acquired 10/18, Due 05/24)	4,959,088		4,877,581		4,959,088
			4,959,088		4,877,581		4,959,088

Arch Global Precision LLC (2.3%)*(7) (12)	Industrial Machinery	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.0% Cash, Acquired 04/19, Due 04/26)	16,649,218		16,496,045		16,557,510
			16,649,218		16,496,045		16,557,510

Archimede (0.4%)*(3) (7) (9) (17)	Consumer Services	First Lien Senior Secured Term Loan (EURIBOR + 6.0%, 6.0% Cash, Acquired 10/20, Due 10/27)	2,677,354		2,510,391		2,610,420
			2,677,354		2,510,391		2,610,420

Argus Bidco Limited (0.8%)*(3) (7) (9) (15)	High Tech Industries	First Lien Senior Secured Term Loan (GBP LIBOR + 5.5%, 5.8% Cash, Acquired 12/20, Due 12/27)	5,715,005		5,383,300		5,543,555
			5,715,005		5,383,300		5,543,555

Barings BDC, Inc.

Consolidated Schedule of Investments — (Continued)

December 31, 2020

TRIANGLE CAPITAL CORPORATION
Consolidated Schedule of Investments
December 31, 2016

Portfolio Company Industry
Type of Investment^(1)(2)(7)

Principal
Amount
Cost
Fair
Value⁽³⁾
Non–Control / Non–Affiliate Investments:
ACA Holdings LLC (0%)* Security Company Preferred Units (2,000,000 units) $ 2,000,000
$ 1,242,000
2,000,000
1,242,000

Access Medical Acquisition, Inc. (3%)* Operator of Primary Care Clinics Subordinated Notes (10% Cash, 2% PIK, Due 01/22) $ 13,819,514
13,593,292
13,593,292
Class A Units (1,500,000 units) 901,026
3,618,000
13,819,514
14,494,318
17,211,292

Aden & Anais Holdings, Inc. (0%)* Baby Products Common Stock (20,000 shares) 2,000,000
2,000,000
2,000,000
2,000,000

Agilex Flavors & Fragrances, Inc. (2%)* Custom Fragrance Producer Subordinated Note (12% Cash, Due 11/21) 13,168,124
13,048,983
13,048,983
Common Units (1,250 units) 1,250,000
2,227,000
13,168,124
14,298,983
15,275,983

AGM Automotive, LLC (1%)* Auto Industry Interior Components Supplier Units (1,500,000 units) 630,134
4,266,000
630,134
4,266,000

Avkem International, LLC (1%)* Flux and Foundry Manufacturer and Supplier Subordinated Note (10% Cash, 4% PIK, Due 12/17) 4,112,935
4,075,177
4,075,177
4,112,935
4,075,177
4,075,177

AVL Holdings, Inc. (0%)* Manufacturer and Distributor for Independent Artists and Authors Common Stock (138 shares) 1,300,000
1,767,000
1,300,000
1,767,000

Baker Hill Acquisition, LLC (2%)* Loan Origination Software Solutions Provider
Subordinated Notes (LIBOR + 11.0%, 12% Cash, Due 03/21)⁽⁸⁾
13,500,000
13,334,260
12,320,000
Limited Partnership Interest 1,498,500
721,000
13,500,000
14,832,760
13,041,000

Cafe Enterprises, Inc. (2%)* Restaurant Subordinated Note (7% Cash, 7% PIK, Due 09/19) 13,882,800
13,743,461
10,331,000
Series C Preferred Stock (10,000 shares) 1,000,000
—
13,882,800
14,743,461
10,331,000

Capital Contractors, Inc. (0%)* Janitorial and Facilities Maintenance Services Subordinated Notes (5% Cash, Due 6/20) 9,843,542
9,711,658
—
Series A Redeemable Preferred Stock (200 shares) 2,000,000
—
Common Stock Warrants (20 shares) 492,000
—
9,843,542
12,203,658
—

Captek Softgel International, Inc.
(3%)*
Nutraceutical Manufacturer Subordinated Note (10% Cash, 2.5% PIK, Due 06/21) 15,407,336
15,150,497
15,150,497
Common Stock (15,000 shares) 1,500,000
1,500,000
15,407,336
16,650,497
16,650,497

Carolina Beverage Group, LLC (0%)* Beverage Manufacturing
and Packaging Class B Units (11,974 units) 119,735
264,000
119,735
264,000

Centerfield Media Holding Company (4%)* Digital Marketing Subordinated Note (10% Cash, 3.5% PIK, Due 03/21) 18,857,978
18,567,590
19,235,000
Common Shares (1,000 shares) 1,000,000
2,220,000
18,857,978
19,567,590
21,455,000

Community Intervention Services, Inc. (2%)* Provider of Behavioral Health Services
Subordinated Note (7% Cash, 6% PIK, Due 01/21) ⁽⁵⁾
18,736,265
17,717,756
14,134,000
18,736,265
17,717,756
14,134,000

Comverge, Inc. (3%)* Provider of Intelligent Energy Management Solutions Senior Note (12% Cash, Due 05/18) 15,505,583
15,406,749
15,406,749
Preferred Stock (703 shares) 554,458
835,000
Common Stock (1,000,000 shares) 100,000
353,000
15,505,583
16,061,207
16,594,749

CPower Ultimate HoldCo, LLC (0%)* Demand Response Business Units (345,542 units) 345,542
345,542
345,542
345,542


Portfolio Company(6)	Industry	Type of Investment(1) (2)	Principal Amount		Cost		Fair Value
Armstrong Transport Group (Pele Buyer, LLC ) (1.0%)*(7) (9) (12)	Air Freight & Logistics	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 06/19, Due 06/24)	$	5,354,941	$	5,277,976	$	5,302,778
		First Lien Senior Secured Term Loan (LIBOR + 6.0%, 7.0% Cash, Acquired 07/20, Due 06/24)	2,000,318		1,964,493		2,000,318
			7,355,259		7,242,469		7,303,096

Ascensus Specialties, LLC (1.0%)*(7) (9) (10)	Specialty Chemicals	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 4.9% Cash, Acquired 09/19, Due 09/26)	7,019,401		6,959,939		6,978,909
			7,019,401		6,959,939		6,978,909

ASPEQ Heating Group LLC (1.2%)* (7) (9) (12)	Building Products, Air & Heating	First Lien Senior Secured Term Loan (LIBOR + 5.25%, 6.3% Cash, Acquired 11/19, Due 11/25)	8,945,499		8,833,249		8,862,629
			8,945,499		8,833,249		8,862,629

Auxi International (0.2%)*(3) (7) (9) (19)	Commercial Finance	First Lien Senior Secured Term Loan (EURIBOR + 5.75%, 5.8% Cash, Acquired 12/19, Due 12/26)	1,712,970		1,514,901		1,682,438
			1,712,970		1,514,901		1,682,438

AVSC Holding Corp. (1.4%)*(9) (12)	Advertising	First Lien Senior Secured Term Loan (LIBOR + 3.25%, 4.3% Cash, 0.25% PIK, Acquired 08/18, Due 03/25)	4,904,496		4,313,104		4,165,780
		First Lien Senior Secured Term Loan (LIBOR + 4.50%, 5.5% Cash, 1.0% PIK, Acquired 08/18, Due 03/25)	748,116		682,722		665,823
		First Lien Senior Secured Term Loan (5.0% Cash, 10.0% PIK, Acquired 11/20, Due 10/26)	4,951,086		4,816,560		5,668,994
			10,603,698		9,812,386		10,500,597

Bass Pro Group, LLC (0.3%)*(9) (12)	General Merchandise Stores	First Lien Senior Secured Term Loan (LIBOR + 5.0%, 5.8% Cash, Acquired 03/20, Due 09/24)	1,979,540		1,793,950		1,983,083
			1,979,540		1,793,950		1,983,083

BDP International, Inc. (f/k/a BDP Buyer, LLC) (4.8%)*(7) (9) (12)	Air Freight & Logistics	First Lien Senior Secured Term Loan (LIBOR + 5.25%, 6.3% Cash, Acquired 12/18, Due 12/24)	34,937,500		34,387,459		34,238,750
			34,937,500		34,387,459		34,238,750

Beacon Pointe Advisors, LLC (0.1%)*(7) (9) (12)	Asset Manager & Custody Bank	First Lien Senior Secured Term Loan (LIBOR + 5.0%, 6.0% Cash, Acquired 03/20, Due 03/26)	631,591		611,703		631,591
			631,591		611,703		631,591

Benify (Bennevis AB) (0.2%)*(3) (7) (9) (20)	High Tech Industries	First Lien Senior Secured Term Loan (STIBOR + 5.25%, 5.3% Cash, Acquired 07/19, Due 07/26)	1,588,980		1,366,586		1,576,555
			1,588,980		1,366,586		1,576,555

Black Diamond Equipment Rentals LLC (1.2%)*(7) (23)	Equipment Rental	Second Lien Loan (12.5% Cash, Acquired 12/20, Due 06/22)	7,500,000		7,500,000		7,500,000
		Warrant (1.0 unit, Acquired 12/20)			847,000		847,000
			7,500,000		8,347,000		8,347,000

British Airways 2020-1 Class B Pass Through Trust (0.2%)*	Airlines	Structured Secured Note - Class B (8.4% Cash, Acquired 11/20, Due 11/28)	1,500,000		1,500,000		1,661,827
			1,500,000		1,500,000		1,661,827

British Engineering Services Holdco Limited (1.1%)*(3) (7) (9) (15)	Commercial Services & Supplies	First Lien Senior Secured Term Loan (GBP LIBOR + 5.25%, 5.5% Cash, Acquired 12/20, Due 12/27)	8,667,451		7,989,566		8,191,066
			8,667,451		7,989,566		8,191,066

Brown Machine Group Holdings, LLC (0.7%)*(7) (9) (12)	Industrial Equipment	First Lien Senior Secured Term Loan (LIBOR + 5.25%, 6.3% Cash, Acquired 10/18, Due 10/24)	5,286,022		5,241,933		5,286,022
			5,286,022		5,241,933		5,286,022

Cadent, LLC (f/k/a Cross MediaWorks) (1.0%)*(7) (9) (12)	Media & Entertainment	First Lien Senior Secured Term Loan (LIBOR + 5.5%, 6.5% Cash, Acquired 09/18, Due 09/23)	7,532,846		7,490,785		7,361,851
			7,532,846		7,490,785		7,361,851

Carlson Travel, Inc (1.0%)*	Business Travel Management	First Lien Senior Secured Note (6.8% Cash, Acquired 09/20, Due 12/25)	3,000,000		2,362,500		2,471,250
		Super Senior Senior Secured Term Loan (10.5% Cash, Acquired 12/20, Due 3/25)	4,239,000		4,149,608		4,376,768
		Common Stock (1,962 units, Acquired 11/20)(7)			88,290		68,670
			7,239,000		6,600,398		6,916,688

Carlyle Aviation Partners Ltd. (0.2%)*	Structured Finance	Structured Secured Note, Series 2019-2 - Class A (3.4% Cash, Acquired 3/20, Due 11/39)	912,844		826,343		863,003
		Structured Secured Note, Series 2018-2 - Class A (4.5% Cash, Acquired 3/20, Due 11/38)	432,194		391,920		408,302
			1,345,038		1,218,263		1,271,305

Barings BDC, Inc.

Consolidated Schedule of Investments — (Continued)

December 31, 2020

TRIANGLE CAPITAL CORPORATION
Consolidated Schedule of Investments — (Continued)
December 31, 2016
Portfolio Company Industry
Type of Investment^(1)(2)(7)

Principal
Amount
Cost
Fair
Value⁽³⁾
CWS Holding Company, LLC (0%)* Manufacturer of Custom Windows and Sliding Doors Class A Units (1,500,000 units) $ 1,500,000
$ 2,076,000
1,500,000
2,076,000

Data Source Holdings, LLC (0%)* Print Supply Chain Management Services Common Units (47,503 units) 1,000,000
940,000
1,000,000
940,000

Del Real, LLC (2%)* Hispanic Refrigerated Foods Company Subordinated Note (11% Cash, Due 04/23) $ 14,000,000
13,727,515
13,727,515
Class A Units (3,000,000 units) 3,000,000
3,000,000
14,000,000
16,727,515
16,727,515

DialogDirect, Inc. (2%)* Business Process Outsourcing Provider Subordinated Notes (12% Cash, 1.5% PIK, Due 04/20) 16,126,541
16,020,226
11,994,000
16,126,541
16,020,226
11,994,000

Dimora Brands, Inc. (2%)* Hardware Designer and Distributor
Subordinated Note (LIBOR + 10.0%, 11% Cash, Due 10/23)⁽⁸⁾
12,500,000
12,267,514
12,267,514
12,500,000
12,267,514
12,267,514

DLC Acquisition, LLC (6%)* Staffing Firm
Senior Notes (LIBOR + 8.0%, 10% Cash, Due 12/20)⁽⁸⁾
21,312,500
21,047,577
21,047,577
Senior Note (10% Cash, 2% PIK, Due 12/20) 16,929,763
16,735,793
16,735,793
38,242,263
37,783,370
37,783,370

Dyno Acquiror, Inc. (1%)* Sewing Products and Seasonal Decorative Products Supplier Subordinated Note (12% Cash, 2% PIK, Due 11/19) 7,531,330
7,474,744
7,474,744
Series A Units (600,000 units) 600,000
739,000
7,531,330
8,074,744
8,213,744

Eckler's Holdings, Inc. (1%)* Restoration Parts and Accessories for Classic Cars and Trucks Subordinated Note (11% Cash, 4.5% PIK, Due 07/18) 9,941,563
9,882,596
8,396,000
Common Stock (18,029 shares) 183,562
—
Series A Preferred Stock (1,596 shares) 1,596,126
—
Series B Preferred Stock (185 shares) 185,127
—
9,941,563
11,847,411
8,396,000

Fresh-G Restaurant Holding, LLC (0%)* Restaurant Class A Units (5,000 units) 500,000
—
500,000
—

Flowchem Holdings LLC (0%)* Services to Crude Oil Pipeline Operators Common Units (1,000,000 units) 782,356
2,552,000
782,356
2,552,000

Fridababy Holdings, LLC (4%)* Baby Products
Senior Notes (LIBOR + 9.0%, 10% Cash, Due 10/21)⁽⁸⁾
23,000,000
22,558,007
22,558,007
Class B Units (4,500 units) 273,401
273,401
23,000,000
22,831,408
22,831,408

FrontStream Holdings, LLC (2%)* Payment and Donation Management Product Service Provider Subordinated Note (12.5% Cash, Due 12/20) 13,375,000
13,254,632
12,643,000
Series C-2 Preferred Shares (500 shares) 500,000
435,000
13,375,000
13,754,632
13,078,000

Frontstreet Facility Solutions, Inc. (1%)* Retail, Restaurant and Commercial Facilities Maintenance Subordinated Note (11% Cash, 2% PIK, Due 07/18) 8,462,629
8,418,332
6,771,000
Series A Convertible Preferred Stock (2,500 shares) 250,000
—
Series B Convertible Preferred Stock (5,556 shares) 500,000
—
8,462,629
9,168,332
6,771,000

Frozen Specialties, Inc. (2%)* Frozen Foods Manufacturer Subordinated Note (10% Cash, 4% PIK, Due 12/17) 13,675,353
13,675,353
13,675,353
13,675,353
13,675,353
13,675,353

GST AutoLeather, Inc. (4%)* Supplier of Automotive Interior Leather Subordinated Note (11% Cash, 2% PIK, Due 01/21) 23,131,473
22,812,032
22,812,032
23,131,473
22,812,032
22,812,032

Halo Branded Solutions, Inc. (2%)* Supply Chain Services Subordinated Notes (11% Cash, 1% PIK, Due 10/22) 10,410,398
10,190,992
10,190,992
Class A1 Units (2,600 units) 2,600,000
3,308,000
10,410,398
12,790,992
13,498,992

HKW Capital Partners IV, L.P.
(0%)*⁽⁴⁾
Multi-Sector Holdings 0.6% Limited Partnership Interest 835,283
1,231,000
835,283
1,231,000


Portfolio Company(6)	Industry	Type of Investment(1) (2)	Principal Amount		Cost		Fair Value
Centralis Finco S.a.r.l. (0.1%)*(3) (7) (9) (18)	Diversified Financial Services	First Lien Senior Secured Term Loan (EURIBOR + 5.25%, 5.3% Cash, Acquired 05/20, Due 05/27)	$	867,913	$	732,995	$	867,913
			867,913		732,995		867,913

Cineworld Group PLC (1.1%)*(3) (9) (13)	Leisure Products	First Lien Senior Secured Term Loan (LIBOR + 2.50%, 2.8% Cash, Acquired 04/20, Due 02/25)	9,070,729		5,915,501		6,121,290
		Super Senior Secured Term Loan (7.0% Cash, 8.3% PIK, Acquired 11/20, Due 05/24)	1,618,242		1,446,976		1,920,318
		Warrants (553,375 units, Acquired 12/20)			101,602		166,416
			10,688,971		7,464,079		8,208,024

Classic Collision (Summit Buyer, LLC) (1.6%)*(7) (9) (12)	Auto Collision Repair Centers	First Lien Senior Secured Term Loan (LIBOR + 4.5%, 5.5% Cash, Acquired 01/20, Due 01/26)	12,006,341		11,774,075		11,820,664
			12,006,341		11,774,075		11,820,664

CM Acquisitions Holdings Inc. (3.4%)*(7) (9) (13)	Internet & Direct Marketing	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 05/19, Due 05/25)	24,655,278		24,287,477		24,196,657
			24,655,278		24,287,477		24,196,657

CMT Opco Holding, LLC (Concept Machine) (0.6%)*(7) (9) (12)	Distributors	First Lien Senior Secured Term Loan (LIBOR + 5.0%, 6.0% Cash, Acquired 01/20, Due 01/25)	4,425,935		4,351,646		4,097,088
		LLC Units (8,309 units, Acquired 01/20)			332,904		230,492
			4,425,935		4,684,550		4,327,580

Command Alkon (Project Potter Buyer, LLC) (3.0%)*(7) (9) (10)	Software	First Lien Senior Secured Term Loan (LIBOR + 8.25%, 9.3% Cash, Acquired 04/20, Due 04/27)	22,166,804		21,527,201		21,501,800
		Class A Units (90.384 units, Acquired 04/20)			90,384		93,510
		Class B Units (33,324.69 units, Acquired 04/20)			—		8,165
			22,166,804		21,617,585		21,603,475

Confie Seguros Holding II Co. (0.3%)*(9) (12)	Insurance Brokerage Services	Second Lien Senior Secured Term Loan (LIBOR + 8.5%, 8.7% Cash, Acquired 10/19, Due 11/25)	2,500,000		2,370,563		2,233,600
			2,500,000		2,370,563		2,233,600

Contabo Finco S.À R.L (0.2%)*(3) (7) (9) (18)	Internet Software & Services	First Lien Senior Secured Term Loan (EURIBOR + 4.75%, 4.8% Cash, Acquired 10/19, Due 10/26)	1,483,377		1,310,386		1,454,918
			1,483,377		1,310,386		1,454,918

CSL DualCom (0.5%)*(3) (7) (9) (15)	Tele-communications	First Lien Senior Secured Term Loan (GBP LIBOR + 5.5%, 5.6% Cash, Acquired 09/20, Due 09/27)	3,776,936		3,339,563		3,646,170
			3,776,936		3,339,563		3,646,170

Custom Alloy Corporation (4.8%)*(7) (23)	Manufacturer of Pipe Fittings & Forgings	Second Lien Loan (15.0% PIK, Acquired 12/20, Due 04/22)	39,391,300		31,434,257		31,434,257
		Revolver (15.0% PIK, Acquired 12/20, Due 04/21)	3,745,808		3,228,308		3,228,308
			43,137,108		34,662,565		34,662,565

Dart Buyer, Inc. (1.7%)*(3) (7) (9) (12)	Aerospace & Defense	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 04/19, Due 04/25)	12,310,907		12,092,929		12,188,061
			12,310,907		12,092,929		12,188,061

Diamond Sports Group, LLC (0.1%)*(9) (10)	Broadcasting	First Lien Senior Secured Term Loan (LIBOR + 3.25%, 3.4% Cash, Acquired 03/20, Due 08/26)	989,975		790,536		872,208
			989,975		790,536		872,208

Discovery Education, Inc. (3.7%)*(7) (9) (10)	Publishing	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 10/20, Due 10/26)	27,000,000		26,538,991		26,527,500
			27,000,000		26,538,991		26,527,500

Distinct Holdings, Inc. (1.0%)*(7) (9) (10)	Systems Software	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 04/19, Due 12/23)	7,516,792		7,453,665		7,475,638
			7,516,792		7,453,665		7,475,638

DreamStart Bidco SAS (d/b/a SmartTrade) (0.3%)*(3) (7) (9) (19)	Diversified Financial Services	First Lien Senior Secured Term Loan (EURIBOR + 4.5%, 4.5% Cash, 1.8% PIK, Acquired 03/20, Due 03/27)	2,232,173		1,939,189		2,176,655
			2,232,173		1,939,189		2,176,655

Dukane IAS, LLC (0.6%)*(7) (23)	Welding Equipment Manufacturer	Second Lien Note (10.5% Cash, 2.5% PIK, Acquired 12/20, Due 12/24)	4,604,374		4,604,374		4,604,374
			4,604,374		4,604,374		4,604,374

Envision Healthcare Corp. (0.4%)*(9) (10)	Health Care Services	First Lien Senior Secured Term Loan (LIBOR + 3.75%, 3.9% Cash, Acquired 03/20, Due 10/25)	3,156,772		2,259,339		2,623,688
			3,156,772		2,259,339		2,623,688

Barings BDC, Inc.

Consolidated Schedule of Investments — (Continued)

December 31, 2020

TRIANGLE CAPITAL CORPORATION
Consolidated Schedule of Investments — (Continued)
December 31, 2016
Portfolio Company Industry
Type of Investment^(1)(2)(7)

Principal
Amount
Cost
Fair
Value⁽³⁾

HTC Borrower, LLC (4%)* Hunting and Outdoor Products Subordinated Notes (10% Cash, 3% PIK, Due 09/20) $ 26,131,706
$ 25,854,767
$ 25,854,767
26,131,706
25,854,767
25,854,767

ICP Industrial, Inc. (4%)* Coatings Formulator and Manufacturer
Second Lien Term Note (LIBOR + 8.5%, 9.5% Cash, Due 04/22)⁽⁸⁾
7,500,000
7,435,556
7,435,556
Subordinated Notes (10% Cash, 1% PIK, Due 10/22) 8,088,123
7,946,278
7,946,278
Subordinated Notes (14% PIK, Due 10/22) 5,743,159
5,688,352
5,688,352
Class A Units (1,289 units) 1,751,483
1,929,000
21,331,282
22,821,669
22,999,186

Inland Pipe Rehabilitation Holding Company LLC (0%)* Cleaning and Repair Services Membership Interest Purchase Warrant (3%) 853,500
1,527,000
853,500
1,527,000

IPS Structural Adhesives Holdings, Inc. (2%)* Specialty Adhesives and Plumbing Products Manufacturer
Second Lien Term Note (LIBOR + 9.5%, 10.5% Cash, Due 12/24)⁽⁸⁾
15,000,000
14,700,000
14,700,000
15,000,000
14,700,000
14,700,000

KidKraft, Inc. (4%)* Children's Toy Manufacturer and Distributor Second Lien Term Note (11% Cash, 1% PIK, Due 03/22) 27,668,623
27,135,218
27,135,218
27,668,623
27,135,218
27,135,218

K-Square Restaurant Partners, LP (1%)* Restaurant Class A Units of Limited Partnership (2,000 units) 638,260
3,830,000
638,260
3,830,000

Lakeview Health Holdings, Inc. (3%)* Substance Abuse Treatment Service Provider
Senior Note (LIBOR + 6.75%, 7.8% Cash, Due 12/21)⁽⁸⁾
18,612,633
18,412,633
18,412,633
Common Stock (2,000 shares) 2,000,000
2,000,000
18,612,633
20,412,633
20,412,633

Media Storm, LLC (1%)* Marketing Services Subordinated Note (10% Cash, Due 08/19) 6,545,455
6,533,934
5,055,000
Membership Units (1,216,204 units) 1,176,957
260,000
6,545,455
7,710,891
5,315,000

MIC Holding LLC (2%)* Firearm Accessories Manufacturer and Distributor Preferred Units (1,470 units) 1,470,000
3,012,000
Common Units (30,000 units) 30,000
8,837,000
1,500,000
11,849,000

Micross Solutions LLC (4%)* Provider of Semiconductor Products and Services Subordinated Note (12% Cash, 3% PIK, Due 06/18) 24,435,074
24,342,230
24,342,230
Class A-2 Common Units (1,979,524 units) 2,019,693
1,875,000
24,435,074
26,361,923
26,217,230

Motor Vehicle Software Corporation (3%)* Provider of EVR Services Subordinated Note (10% Cash, 0.5% PIK, Due 03/21) 20,245,100
19,917,945
19,917,945
Class A Units (1,000,000 units) 1,076,210
1,372,000
20,245,100
20,994,155
21,289,945

Nautic Partners VII, LP (0%)*⁽⁴⁾
Multi-Sector Holdings 0.4% Limited Partnership Interest 1,093,312
1,520,000
1,093,312
1,520,000

Nomacorc, LLC (3%)* Synthetic Wine Cork Producer Subordinated Note (10% Cash, 2.3% PIK, Due 07/21) 20,875,890
20,572,926
16,597,000
Limited Partnership Interest 2,150,637
—
20,875,890
22,723,563
16,597,000

Orchid Underwriters Agency, LLC (4%)* Insurance Underwriter Term B Note (10% Cash, Due 11/19) 21,409,670
21,125,036
21,125,036
Class A Preferred Units (15,000 units) 1,500,000
1,972,000
Class A Common Units (15,000 units) —
1,624,000
21,409,670
22,625,036
24,721,036

PowerDirect Marketing, LLC (0%)* Marketing Services
Senior Note (13% Cash, 2% PIK, Due 06/17)⁽⁶⁾
8,573,531
5,077,482
850,000
Common Unit Purchase Warrants 590,200
—
8,573,531
5,667,682
850,000

ProAmpac PG Borrower LLC (2%)* Manufacturer of Flexible Packaging Products
Second Lien Term Note (LIBOR + 8.5%, 9.5% Cash, Due 11/24)⁽⁸⁾
15,000,000
14,775,000
14,775,000
15,000,000
14,775,000
14,775,000


Portfolio Company(6)	Industry	Type of Investment(1) (2)	Principal Amount		Cost		Fair Value
Exeter Property Group, LLC (2.6%)*(7) (9) (10)	Real Estate	First Lien Senior Secured Term Loan (LIBOR + 4.5%, 4.7% Cash, Acquired 02/19, Due 08/24)	$	19,363,647	$	19,100,177	$	18,976,374
			19,363,647		19,100,177		18,976,374

F24 (Stairway BidCo Gmbh) (0.3%)*(3) (7) (9) (18)	Software Services	First Lien Senior Secured Term Loan (EURIBOR + 6.5%, 6.5% Cash, Acquired 08/20, Due 08/27)	1,855,625		1,734,062		1,805,715
			1,855,625		1,734,062		1,805,715

FitzMark Buyer, LLC (0.5%)*(7) (9) (10)	Cargo & Transportation	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 12/20, Due 12/26)	3,529,412		3,429,854		3,429,412
			3,529,412		3,429,854		3,429,412

Foundation Risk Partners, Corp. (1.4%)*(7) (9) (12)	Financial Services	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 09/20, Due 11/23)	8,789,777		8,575,855		8,576,718
		Second Lien Senior Secured Term Loan (LIBOR + 8.50%, 9.5% Cash, Acquired 09/20, Due 11/24)	1,722,222		1,588,593		1,602,355
			10,511,999		10,164,448		10,179,073

GoldenTree Loan Opportunities IX, Limited: Series 2014-9A (0.2%)*(3) (9) (12)	Structured Finance	Structured Secured Note - Class DR2 (LIBOR + 3.0%, 3.2% Cash, Acquired 03/20, Due 10/29)	1,250,000		916,935		1,231,963
			1,250,000		916,935		1,231,963

GTM Intermediate Holdings, Inc. (0.9%)*(7) (23)	Medical Equipment Manufacturer	Second Lien Loan (11.0% Cash, 1.0% PIK, Acquired 12/20, Due 11/24)	5,115,750		5,064,593		5,064,593
		Common Stock (2 shares, Acquired 12/20)			1,078,778		1,078,778
			5,115,750		6,143,371		6,143,371

Gulf Finance, LLC (0.1%)*(9) (10)	Oil & Gas Exploration & Production	First Lien Senior Secured Term Loan (LIBOR + 5.25%, 6.3% Cash, Acquired 10/18, Due 08/23)	1,048,305		944,246		788,105
			1,048,305		944,246		788,105

Hawaiian Airlines 2020-1 Class B Pass Through Certificates (1.1%)*	Airlines	Structured Secured Note - Class B (11.3% Cash, Acquired 08/20, Due 09/25)	7,500,000		7,500,000		7,738,286
			7,500,000		7,500,000		7,738,286

Heartland, LLC (1.2%)*(7) (9) (12)	Commercial Services & Supplies	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 08/19, Due 08/25)	8,831,018		8,667,194		8,582,892
			8,831,018		8,667,194		8,582,892

Heilbron (f/k/a Sucsez (Bolt Bidco B.V.)) (1.6%)*(3) (7) (9)	Insurance	First Lien Senior Secured Term Loan (EURIBOR + 5.25%, 5.3% Cash, Acquired 09/19, Due 09/26)(19)	10,413,655		9,216,174		10,266,128
		First Lien Senior Secured Term Loan (EURIBOR + 6.25%, 6.3% Cash, Acquired 07/20, Due 09/26) (18)	1,092,757		820,169		1,092,757
			11,506,412		10,036,343		11,358,885

Highbridge Loan Management Ltd: Series 2014A-19 (0.1%)*(3) (9) (12)	Structured Finance	Structured Secured Note - Class E (LIBOR + 6.75%, 7.0% Cash, Acquired 03/20, Due 07/30)	1,000,000		833,749		978,180
			1,000,000		833,749		978,180

Highpoint Global LLC (0.7%)*(7) (23)	Government Services	Second Lien Note (12.0% Cash, 2.0% PIK, Acquired 12/20, Due 09/22)	5,307,799		5,286,568		5,286,568
			5,307,799		5,286,568		5,286,568

Holley Performance Products (Holley Purchaser, Inc.) (2.4%)*(7) (9) (12)	Automotive Parts & Equipment	First Lien Senior Secured Term Loan (LIBOR + 5.0%, 5.2% Cash, Acquired 10/18, Due 10/25)	16,936,387		16,754,221		16,936,387
			16,936,387		16,754,221		16,936,387

HTI Technology & Industries (1.70%)* (7) (23)	Electronic Component Manufacturing	Second Lien Note (12.0% Cash, 4.8% PIK, Acquired 12/20, Due 09/24)	12,619,964		12,115,165		12,115,165
			12,619,964		12,115,165		12,115,165

HW Holdco, LLC (Hanley Wood LLC) (1.0%)*(7) (9) (12)	Advertising	First Lien Senior Secured Term Loan (LIBOR + 4.5%, 5.5% Cash, Acquired 12/18, Due 12/24)	7,527,218		7,396,115		7,527,218
			7,527,218		7,396,115		7,527,218

Hyperion Materials & Technologies, Inc. (1.9%)*(7) (9) (12)	Industrial Machinery	First Lien Senior Secured Term Loan (LIBOR + 5.5%, 6.5% Cash, Acquired 08/19, Due 08/26)	13,855,795		13,643,767		13,700,560
			13,855,795		13,643,767		13,700,560

IGL Holdings III Corp. (1.9%)*(7) (9) (12)	Commercial Printing	First Lien Senior Secured Term Loan (LIBOR + 5.75%, 6.8% Cash, Acquired 11/20, Due 11/26)	14,025,147		13,635,887		13,626,360
			14,025,147		13,635,887		13,626,360

IM Analytics Holding, LLC (d/b/a NVT) (1.0%)*(7) (9) (12)	Electronic Instruments & Components	First Lien Senior Secured Term Loan (LIBOR + 7.0%, 8.0% Cash, Acquired 11/19, Due 11/23)	8,209,191		8,147,872		6,982,738
		Warrant (68,950 units, Acquired 11/19)			—		—
			8,209,191		8,147,872		6,982,738

Barings BDC, Inc.

Consolidated Schedule of Investments — (Continued)

December 31, 2020

TRIANGLE CAPITAL CORPORATION
Consolidated Schedule of Investments — (Continued)
December 31, 2016
Portfolio Company Industry
Type of Investment^(1)(2)(7)

Principal
Amount
Cost
Fair
Value⁽³⁾
RockYou, Inc. (0%)* Mobile Game Advertising Network Common Stock (67,585 shares) $ 111,000
$ 111,000
111,000
111,000

Rotolo Consultants, Inc. (1%)* Landscape Services Subordinated Note (11% Cash, 3% PIK, Due 08/21) $ 6,904,210
6,792,686
6,792,686
Series A Preferred Units (39 units) 3,654,253
1,671,000
6,904,210
10,446,939
8,463,686

SCA Pharmaceuticals, LLC (0%)* Provider of Pharmaceutical Products
Subordinated Note (LIBOR + 9.0%, 10% Cash, Due 12/20)⁽⁸⁾
3,000,000
2,700,000
2,700,000
3,000,000
2,700,000
2,700,000

SCUF Gaming, Inc. (4%)* Gaming Controller Manufacturer
Senior Notes (LIBOR + 8.5%, 9.5% Cash, Due 12/21)⁽⁸⁾
25,008,000
24,507,840
24,507,840
Common Stock (27,112 shares) 742,000
742,000
25,008,000
25,249,840
25,249,840

Smile Brands, Inc. (4%)* Dental Service Organization Subordinated Notes (10% Cash, 2% PIK, Due 02/23) 22,341,283
21,910,129
21,910,129
Class A Units (3,000 units) 3,000,000
3,000,000
22,341,283
24,910,129
24,910,129

SPC Partners V, LP (0%)*⁽⁴⁾
Multi-Sector Holdings 0.7% Limited Partnership Interest 1,922,865
2,019,000
1,922,865
2,019,000

Specialized Desanders, Inc. (2%)*⁽⁴⁾
Sand and Particulate Removal Equipment Provider for Oil and Gas Companies Subordinated Note (12% Cash, 2% PIK, Due 03/20) 16,110,042
15,966,524
12,524,143
Class C Partnership Units (2,000,000 units) 1,937,421
2,813,000
16,110,042
17,903,945
15,337,143

Tate's Bake Shop (2%)* Producer of Baked Goods Subordinated Note (10% Cash, 3% PIK, Due 02/20) 10,737,451
10,606,430
10,606,430
Limited Partnership Interest 925,000
1,310,000
10,737,451
11,531,430
11,916,430

TCFI Merlin LLC (2%)* Specialty Staffing Service Provider Senior Notes (10% Cash, 1% PIK, Due 09/19) 13,396,027
13,212,935
13,212,935
Limited Partnership Units (500,500 units) 500,000
578,000
13,396,027
13,712,935
13,790,935

The Cook & Boardman Group, LLC (3%)* Distributor of Doors and Related Products Subordinated Note (10% Cash, 2.5% PIK, Due 03/20) 14,840,320
14,656,890
14,656,890
Class A Units (1,400,000 units) 1,400,000
2,663,000
14,840,320
16,056,890
17,319,890

Trademark Global LLC (3%)* Supplier to Mass Market Internet Retail Subordinated Note (10% Cash, 1.3% PIK, Due 04/23) 14,800,000
14,584,165
14,584,165
Class A Units (1,500,000 units) 1,500,000
1,500,000
Class B Units (1,500,000 units) —
—
14,800,000
16,084,165
16,084,165

Travelpro Products, Inc. ("Travelpro") and TP - Holiday Group Limited ("TP") (3%)* Luggage and Travel Bag Supplier Second Lien Term Note - Travelpro (11% Cash, 2% PIK, Due 11/22) 10,126,055
9,919,675
9,919,675

Second Lien Term Note - TP (11% Cash, 2% PIK, Due 11/22)⁽⁴⁾
8,970,540
8,784,798
8,562,599
Common Units - Travelpro (2,000,000 units) 2,000,000
2,077,000
19,096,595
20,704,473
20,559,274

United Biologics, LLC (2%)* Allergy Immunotherapy Senior Note (12% Cash, 2% PIK, Due 04/18) 12,758,807
12,686,184
12,686,184
Class A-1 Common Units (18,818 units) 137,324
137,000
Class A Common Units (177,935 units) 1,999,989
1,767,000
Class A-2 Common Kicker Units (444,003 units) —
—
Class A-1 Common Kicker Units (14,114 units) —
—
Class A, Class A-1, Class A-1 Kicker & Class B Unit Purchase Warrants 838,117
361,000
12,758,807
15,661,614
14,951,184

Vantage Mobility International, LLC (5%)* Wheelchair Accessible Vehicle Manufacturer Subordinated Notes (10.2% Cash, Due 09/21) 29,350,000
28,785,893
28,785,893
Class A Units (1,750,000 units) 1,750,000
1,750,000
29,350,000
30,535,893
30,535,893


Portfolio Company(6)	Industry	Type of Investment(1) (2)	Principal Amount		Cost		Fair Value
INOS 19-090 GmbH (1.7%)*(3) (7) (9) (18)	Aerospace & Defense	First Lien Senior Secured Term Loan (EURIBOR + 6.1%, 6.1% Cash, Acquired 12/20, Due 10/27)	$	12,275,911	$	11,888,699	$	11,934,913
			12,275,911		11,888,699		11,934,913

Institutional Shareholder Services, Inc. (0.7%)*(7) (9) (12)	Diversified Support Services	Second Lien Senior Secured Term Loan (LIBOR + 8.5%, 8.7% Cash, Acquired 03/19, Due 03/27)	4,951,685		4,830,132		4,951,685
			4,951,685		4,830,132		4,951,685

International Precision Components (1.0%)*(7) (23)	Plastic Injection Molding	Second Lien Loan (12.0% Cash, 2.0% PIK, Acquired 12/20, Due 10/24)	7,000,000		6,895,000		6,895,000
			7,000,000		6,895,000		6,895,000

ISS#2, LLC (d/b/a Industrial Services Solutions) (0.9%)*(7) (9) (12)	Commercial Services & Supplies	First Lien Senior Secured Term Loan (LIBOR + 5.5%, 6.5% Cash, Acquired 02/20, Due 02/26)	6,819,551		6,700,432		6,300,583
			6,819,551		6,700,432		6,300,583

Jade Bidco Limited (Jane's) (1.7%)*(3) (7) (9)	Aerospace & Defense	First Lien Senior Secured Term Loan (LIBOR + 4.5%, 4.8% Cash, 2.0% PIK, Acquired 11/19, Due 12/26)(13)	10,538,414		10,291,098		10,353,797
		First Lien Senior Secured Term Loan (EURIBOR + 4.5%, 4.5% Cash, 2.0% PIK, Acquired 11/19, Due 12/26)(19)	2,057,007		1,813,166		2,020,971
			12,595,421		12,104,264		12,374,768

Jedson Engineering, Inc. (0.4%)*(7) (8) (23)	Engineering & Construction Management	First Lien Loan (12.0% Cash, 3.0% PIK, Acquired 12/20, Due 06/22)	9,560,423		3,000,000		3,000,000
			9,560,423		3,000,000		3,000,000

JetBlue 2019-1 Class B Pass Through Trust (0.7%)*	Airlines	Structured Secured Note - Class B (8.0% Cash, Acquired 08/20, Due 11/27)	4,721,693		4,721,693		5,048,044
			4,721,693		4,721,693		5,048,044

Kano Laboratories LLC (1.4%)*(7) (9) (12)	Chemicals, Plastics & Rubber	First Lien Senior Secured Term Loan (LIBOR + 5.0%, 6.0% Cash, Acquired 11/20, Due 09/26)	9,873,095		9,589,856		9,584,754
		Partnership Equity (227.2 units, Acquired 11/20)			227,198		227,200
			9,873,095		9,817,054		9,811,954

Kenan Advantage Group Inc. (0.6%)* (9) (10)	Trucking	First Lien Senior Secured Term Loan (LIBOR + 3.0%, 4.0% Cash, Acquired 08/18, Due 07/22)	4,265,453		4,263,951		4,217,125
			4,265,453		4,263,951		4,217,125

Kene Acquisition, Inc. (En Engineering) (1.0%)*(7) (9) (12)	Oil & Gas Equipment & Services	First Lien Senior Secured Term Loan (LIBOR + 4.25%, 5.3% Cash, Acquired 08/19, Due 08/26)	7,298,712		7,173,784		7,202,679
			7,298,712		7,173,784		7,202,679

Kona Buyer, LLC (4.8%)*(7) (9) (12)	High Tech Industries	First Lien Senior Secured Term Loan (LIBOR + 5.5%, 6.3% Cash, Acquired 12/20, Due 12/27)	35,000,000		34,132,135		34,125,000
			35,000,000		34,132,135		34,125,000

LAC Intermediate, LLC (f/k/a Lighthouse Autism Center) (1.3%)*(7) (9) (12)	Healthcare & Pharmaceuticals	First Lien Senior Secured Term Loan (LIBOR + 5.75%, 6.8% Cash, Acquired 10/18, Due 10/24)	9,218,032		9,083,136		8,987,581
		Class A LLC Units (154,320 units, Acquired 10/18)			154,320		184,312
			9,218,032		9,237,456		9,171,893

Learfield Communications, LLC (1.0%)*	Broadcasting	First Lien Senior Secured Term Loan (LIBOR + 3.25%, 4.3% Cash, Acquired 08/20, Due 12/23)(9)(10)	136,803		96,446		123,073
		First Lien Senior Secured Term Loan (LIBOR + 3.00%, 3.2% Cash, 10.0% PIK, Acquired 08/20, Due 12/23)(12)	7,181,368		7,117,163		7,133,468
			7,318,171		7,213,609		7,256,541

Legal Solutions Holdings (1.3%)*(7) (23)	Business Services	Senior Subordinated Loan (6.0% Cash, 10.0% PIK, Acquired 12/20, Due 03/22)	10,398,126		9,597,471		9,597,471
			10,398,126		9,597,471		9,597,471

MB2 Dental Solutions, LLC (1.0%)*(7) (9) (12)	Health Care Services	First Lien Senior Secured Term Loan (LIBOR + 6.5%, 6.7% Cash, Acquired 09/19, Due 09/23)	7,443,622		7,381,819		7,443,622
			7,443,622		7,381,819		7,443,622

Media Recovery, Inc. (SpotSee) (1.3%)*(7) (9) (12)	Containers, Packaging & Glass	First Lien Senior Secured Term Loan (LIBOR + 6.0%, 7.0% Cash, Acquired 11/19, Due 11/25)	9,179,626		8,873,020		9,018,983
			9,179,626		8,873,020		9,018,983

Modern Star Holdings Bidco Pty Limited. (1.4%)*(3) (7) (9) (22)	Non-durable Consumer Goods	First Lien Senior Secured Term Loan (BBSY + 6.25%, 6.8% Cash, Acquired 12/20, Due 12/26)	10,482,797		9,973,821		10,101,881
			10,482,797		9,973,821		10,101,881

Barings BDC, Inc.

Consolidated Schedule of Investments — (Continued)

December 31, 2020

TRIANGLE CAPITAL CORPORATION
Consolidated Schedule of Investments — (Continued)
December 31, 2016
Portfolio Company Industry
Type of Investment^(1)(2)(7)

Principal
Amount
Cost
Fair
Value⁽³⁾
Water Pik, Inc. (5%)* Oral Health and Shower Head Supplier
Second Lien Term Loan (LIBOR + 8.75%, 9.8% Cash, Due 01/21)⁽⁸⁾
$ 31,150,970
$ 30,769,847
$ 30,769,847
31,150,970
30,769,847
30,769,847

Wheel Pros Holdings, Inc. (3%)* Wheel/Rim and Performance Tire Distributor
Subordinated Note (LIBOR + 7.0%, 11% Cash, Due 06/20)⁽⁸⁾
13,822,500
13,605,040
13,605,040
Class A Units (2,000 units) 1,954,144
1,954,000
13,822,500
15,559,184
15,559,040

Women's Marketing, Inc. (2%)* Full-Service Media Organization
Subordinated Note (11% Cash, 1.5% PIK, Due 06/21)⁽⁶⁾
16,868,045
16,141,439
11,093,000
Class A Common Units (16,300 units) 1,630,000
—
16,868,045
17,771,439
11,093,000

WSO Holdings, LP (1%)* Organic/Fair Trade Sugar, Syrup, Nectar and Honey Producer Common Points (3,000 points) 3,000,000
3,576,000
3,000,000
3,576,000

YummyEarth Inc. (3%)* Organic Candy Manufacturer
Senior Notes (LIBOR + 8.5%, 9.5% Cash, Due 08/20)⁽⁸⁾
22,000,000
21,565,471
19,564,000
Limited Partnership Interest 3,496,500
—
22,000,000
25,061,971
19,564,000

Subtotal Non–Control / Non–Affiliate Investments 825,243,841
888,974,154
857,604,639

Affiliate Investments:
All Metals Holding, LLC (1%)* Steel Processor and Distributor Subordinated Note (12% Cash, 1% PIK, Due 12/21) 6,433,333
6,249,220
6,249,220
Units (318,977 units) 793,331
754,000
6,433,333
7,042,551
7,003,220

CIS Secure Computing Inc. (2%)* Secure Communications and Computing Solutions Provider Subordinated Note (12% Cash, 3% PIK, Due 03/18) 11,670,708
11,670,708
11,670,708
Common Stock (84 shares) 502,320
2,155,000
11,670,708
12,173,028
13,825,708

Consolidated Lumber Company LLC (1%)* Lumber Yard Operator Subordinated Note (10% Cash, 2% PIK, Due 09/20) 4,193,848
4,121,389
4,278,000
Class A Units (15,000 units) 1,500,000
2,481,000
4,193,848
5,621,389
6,759,000

DPII Holdings, LLC (0%)* Satellite Communication Business
Tranche I & II Subordinated Notes (12% Cash, 4% PIK, Due 01/18)⁽⁶⁾
3,744,709
3,227,001
2,356,001

Tranche III Subordinated Note (19% PIK, Due 01/18)⁽⁶⁾
2,408,752
2,148,462
—
Class A Membership Interest (17,308 units) 1,107,692
—
6,153,461
6,483,155
2,356,001

FCL Holding SPV, LLC (0%)* Commercial Printing Services Class A Interest (24,873 units) 292,000
645,000
Class B Interest (48,427 units) —
101,000
Class C Interest (3,746 units) —
—
292,000
746,000

Frank Entertainment Group, LLC
(3%)*
Movie Theatre and Family Entertainment Operator
Senior Note (LIBOR + 7%, 10% Cash, 5.8% PIK, Due 06/18)⁽⁸⁾
9,997,644
9,940,684
9,940,684
Class A Redeemable Preferred Units (10.5% Cash) (196,718 units) 3,934,666
4,566,904
Class B Redeemable Preferred Units (18,667 units) 433,334
1,660,810
Class C Redeemable Preferred Units (25,846 units) 600,000
600,000
Class A Common Units (43,077 units) 1,000,000
—
Class A Common Warrants 632,000
—
9,997,644
16,540,684
16,768,398

MS Bakery Holdings, Inc. (1%)* Baked Goods Provider Preferred Units (233 units) 211,867
397,000
Common B Units (3,000 units) 23,140
2,110,000
Common A Units (1,652 units) 14,993
1,162,000
250,000
3,669,000


Portfolio Company(6)	Industry	Type of Investment(1) (2)	Principal Amount		Cost		Fair Value
MSG National Properties (0.3%)*(3) (7) (9) (12)	Hotel, Gaming, & Leisure	First Lien Senior Secured Term Loan (LIBOR + 6.25%, 7.0% Cash, Acquired 11/20, Due 11/25)	$	2,461,759	$	2,389,417	$	2,474,068
			2,461,759		2,389,417		2,474,068

Murphy Midco Limited (1.3%)*(3) (7) (9) (16)	Media, Diversified & Production	First Lien Senior Secured Term Loan (GBP LIBOR + 5.50%, 5.5% Cash, Acquired 11/20, Due 11/27)	9,904,416		9,228,222		9,508,239
			9,904,416		9,228,222		9,508,239

Music Reports, Inc. (0.8%)*(7) (9) (10)	Media & Entertainment	First Lien Senior Secured Term Loan (LIBOR + 6.25%, 7.3% Cash, Acquired 08/20, Due 08/26)	5,592,972		5,459,912		5,469,461
			5,592,972		5,459,912		5,469,461

Neuberger Berman CLO Ltd: Series 2020-36A (0.3%)*(3) (9) (12)	Structured Finance	Structured Secured Note - Class E (LIBOR + 7.81%, 8.0% Cash, Acquired 03/20, Due 04/33)	2,500,000		2,476,562		2,501,790
			2,500,000		2,476,562		2,501,790

NGS US Finco, LLC (f/k/a Dresser Natural Gas Solutions) (1.6%)*(7) (9) (10)	Energy Equipment & Services	First Lien Senior Secured Term Loan (LIBOR + 4.25%, 5.3% Cash, Acquired 10/18, Due 10/25)	11,855,804		11,813,315		11,645,956
			11,855,804		11,813,315		11,645,956

Omni Intermediate Holdings, LLC (1.4%)*(7) (9) (10)	Transportation	First Lien Senior Secured Term Loan (LIBOR + 5.0%, 6.0% Cash, Acquired 12/20, Due 12/26)	10,000,000		9,700,263		9,700,000
			10,000,000		9,700,263		9,700,000

Options Technology Ltd. (1.3%)*(3) (7) (9) (12)	Computer Services	First Lien Senior Secured Term Loan (LIBOR + 4.5%, 5.5% Cash, Acquired 12/19, Due 12/25)	9,796,552		9,583,342		9,633,049
			9,796,552		9,583,342		9,633,049

Pacific Health Supplies Bidco Pty Limited (2.5%)*(3) (7) (9) (21)	Healthcare & Pharmaceuticals	First Lien Senior Secured Term Loan (BBSY + 6.0%, 6.5% Cash, Acquired 12/20, Due 12/25)	18,489,367		17,237,355		17,919,335
			18,489,367		17,237,355		17,919,335

Pare SAS (SAS Maurice MARLE) (0.7%)*(3) (7) (9) (19)	Health Care Equipment	First Lien Senior Secured Term Loan (EURIBOR + 5.25%, 5.3% Cash, 1.5% PIK, Acquired 12/19, Due 12/26)	4,817,430		4,305,403		4,683,024
			4,817,430		4,305,403		4,683,024

Patriot New Midco 1 Limited (Forensic Risk Alliance) (1.2%)*(3) (7) (9)	Diversified Financial Services	First Lien Senior Secured Term Loan (LIBOR + 5.75%, 6.8% Cash, Acquired 02/20, Due 02/27)(12)	4,489,471		4,372,581		4,388,907
		First Lien Senior Secured Term Loan (EURIBOR + 5.75%, 5.8% Cash, Acquired 02/20, Due 02/27) (18)	4,126,940		3,579,755		4,034,496
			8,616,411		7,952,336		8,423,403

PerTronix, LLC (1.1%)*(7) (9) (13)	Automotive	First Lien Senior Secured Term Loan (LIBOR + 5.25%, 6.3% Cash, Acquired 10/20, Due 10/26)	8,308,515		8,186,879		8,183,887
			8,308,515		8,186,879		8,183,887

Playtika Holding Corp. (0.5%)*(9) (12)	Leisure, Amusement & Entertainment	First Lien Senior Secured Term Loan (LIBOR + 6.0%, 7.0% Cash, Acquired 03/20, Due 12/24)	3,800,000		3,536,230		3,818,582
			3,800,000		3,536,230		3,818,582

Premier Technical Services Group (Project Graphite) (0.4%)*(3) (7) (9) (15)	Construction & Engineering	First Lien Senior Secured Term Loan (GBP LIBOR + 6.75%, 7.3% Cash, Acquired 08/19, Due 06/26)	3,108,900		2,681,906		3,039,998
			3,108,900		2,681,906		3,039,998

Premium Franchise Brands, LLC (3.4%)*(7) (9) (12)	Research & Consulting Services	First Lien Senior Secured Term Loan (LIBOR + 6.25%, 7.3% Cash, Acquired 12/20, Due 12/26)	25,000,000		24,501,666		24,500,000
			25,000,000		24,501,666		24,500,000

Process Equipment, Inc. (ProcessBarron) (0.8%)*(7) (9) (12)	Industrial Air & Material Handling Equipment	First Lien Senior Secured Term Loan (LIBOR + 5.25%, 6.3% Cash, Acquired 03/19, Due 03/25)	6,173,594		6,090,812		5,612,414
			6,173,594		6,090,812		5,612,414

Professional Datasolutions, Inc. (PDI) (2.3%)*(7) (9) (12)	Application Software	First Lien Senior Secured Term Loan (LIBOR + 4.5%, 5.5% Cash, Acquired 03/19, Due 10/24)	16,924,678		16,905,254		16,628,496
			16,924,678		16,905,254		16,628,496

PSC UK Pty Ltd. (0.4%)*(3) (7) (9) (15)	Insurance Services	First Lien Senior Secured Term Loan (GBP LIBOR + 6.0%, 6.5% Cash, Acquired 11/19, Due 10/24)	2,684,817		2,439,292		2,614,299
			2,684,817		2,439,292		2,614,299

Questel Unite (3.1%)*(3) (7) (9) (18)	Business Services	First Lien Senior Secured Term Loan (EURIBOR + 6.25%, 7.3% Cash, Acquired 12/20, Due 12/27)	22,451,369		21,728,443		21,905,058
			22,451,369		21,728,443		21,905,058

Barings BDC, Inc.

Consolidated Schedule of Investments — (Continued)

December 31, 2020

TRIANGLE CAPITAL CORPORATION
Consolidated Schedule of Investments — (Continued)
December 31, 2016
Portfolio Company Industry
Type of Investment^(1)(2)(7)

Principal
Amount
Cost
Fair
Value⁽³⁾
NB Products, Inc. (8%)* Distributor of Work Apparel and Accessories Subordinated Note (12% Cash, 2% PIK, Due 02/20) $ 23,105,315
$ 22,751,190
$ 22,751,190
Jr. Subordinated Note (10% PIK, Due 02/20) 4,705,830
4,595,921
4,595,921
Jr. Subordinated Bridge Note (20% PIK, Due 05/21) 2,002,586
1,972,727
1,972,727
Series A Redeemable Senior Preferred Stock (7,839 shares) 7,621,648
9,412,000
Common Stock (1,668,691 shares) 333,738
9,779,000
29,813,731
37,275,224
48,510,838

PCX Aerostructures, LLC (4%)* Aerospace Component Manufacturer Subordinated Note (10.5% Cash, Due 10/19) 29,647,359
29,148,152
21,960,000
Series A Preferred Stock (6,066 shares) 6,065,621
—
Series B Preferred Stock (411 shares) 410,514
—
Class A Common Stock (121,922 shares) 30,480
—
29,647,359
35,654,767
21,960,000

Team Waste, LLC (1%)* Environmental and Facilities Services Preferred Units (455,000 units) 9,100,000
9,100,000
9,100,000
9,100,000

Technology Crops, LLC (2%)* Supply Chain Management Services Subordinated Notes (12% Cash, 5% PIK, Due 09/17) 11,837,622
11,837,622
11,837,622
Common Units (50 units) 500,000
—
11,837,622
12,337,622
11,837,622

TGaS Advisors, LLC (2%)* Advisory Solutions to Pharmaceutical Companies Senior Note (10% Cash, 1% PIK, Due 11/19) 9,674,276
9,521,986
9,521,986
Preferred Units (1,685,357 units) 1,556,069
1,270,000
9,674,276
11,078,055
10,791,986

Tulcan Fund IV, L.P. (0%)* Custom Forging and Fastener Supplies Common Units (1,000,000 units) 1,000,000
—
1,000,000
—

United Retirement Plan Consultants, Inc. (0%)* Retirement Plan Administrator Series A Preferred Shares (9,400 shares) 205,748
257,000
Common Shares (100,000 shares) 1,000,000
301,000
1,205,748
558,000

Waste Recyclers Holdings, LLC (0%)* Environmental and Facilities Services Class A Preferred Units (280 units) 2,251,100
—
Class B Preferred Units (11,484,867 units) 3,304,218
817,000
Common Unit Purchase Warrant (1,170,083 units) 748,900
—
Common Units (153,219 units) 180,783
—
6,485,001
817,000

Wythe Will Tzetzo, LLC (1%)* Confectionery Goods Distributor Series A Preferred Units (99,829 units) —
6,808,000
—
6,808,000

Subtotal Affiliate Investments 119,421,982
162,539,224
161,510,773

Control Investments:
CRS Reprocessing, LLC (1%)* Fluid
Reprocessing
Services
Senior Notes (LIBOR + 3.5%, 4.3% Cash, Due 06/17)⁽⁸⁾
2,942,769
2,942,769
2,942,769
Split Collateral Term Loans (8% Cash, Due 06/17) 11,192,464
11,192,464
6,182,000
Series F Preferred Units (705,321 units) 9,134,807
—
Common Units (15,174 units) —
—
14,135,233
23,270,040
9,124,769

DCWV Acquisition Corporation
(0%)*
Arts & Crafts and Home Decor Products Designer and Supplier
Senior Subordinated Note (15% PIK, Due 12/19)⁽⁶⁾
291,875
250,000
250,000

Subordinated Note (12% Cash, 3% PIK, Due 12/19)⁽⁶⁾
8,090,699
6,178,633
1,389,000

Jr. Subordinated Note (15% PIK, Due 12/19)⁽⁶⁾
2,440,829
2,000,000
—
Series A Preferred Equity (1,200 shares) 1,200,000
—
100% Common Shares —
—
10,823,403
9,628,633
1,639,000


Portfolio Company(6)	Industry	Type of Investment(1) (2)	Principal Amount		Cost		Fair Value
Radwell International, LLC (1.9%)*(7) (9) (12)	Wholesale	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 12/20, Due 12/26)	$	14,264,053	$	13,916,962	$	13,914,053
			14,264,053		13,916,962		13,914,053

Recovery Point Systems, Inc. (1.6%)*(7) (9) (10)	Technology	First Lien Senior Secured Term Loan (LIBOR + 6.5%, 7.5% Cash, Acquired 03/20, Due 07/26)	11,795,776		11,572,084		11,766,287
			11,795,776		11,572,084		11,766,287

REP SEKO MERGER SUB LLC (1.2%)* (7) (9) (10)	Air Freight & Logistics	First Lien Senior Secured Term Loan (LIBOR + 5.0%, 6.0% Cash, Acquired 12/20, Due 12/26)	8,545,455		8,290,487		8,345,456
			8,545,455		8,290,487		8,345,456

RPX Corporation (2.4%)*(7) (9) (12)	Research & Consulting Services	First Lien Senior Secured Term Loan (LIBOR + 6.0%, 7.0% Cash, Acquired 10/20, Due 10/25)	17,500,000		17,110,715		17,106,250
			17,500,000		17,110,715		17,106,250

RR Ltd: Series 2019-6A (0.3%)*(3) (12)	Structured Finance	Structured Secured Note - Class D (LIBOR + 6.75%, 7.0% Cash, Acquired 03/20, Due 04/30)	2,000,000		1,661,539		2,000,124
			2,000,000		1,661,539		2,000,124

Ruffalo Noel Levitz, LLC (1.3%)*(7) (9) (12)	Media Services	First Lien Senior Secured Term Loan (LIBOR + 6.0%, 7.0% Cash, Acquired 01/19, Due 05/22)	9,616,736		9,552,719		9,567,718
			9,616,736		9,552,719		9,567,718

Safety Products Holdings, LLC (2.5%)* (9) (12)	Non-durable Consumer Goods	First Lien Senior Secured Term Loan (LIBOR + 6.0%, 7.0% Cash, Acquired 12/20, Due 12/26)(7)	18,108,567		17,559,056		17,555,609
		Common Stock (424.1 units, Acquired 12/20)			424,088		424,090
			18,108,567		17,983,144		17,979,699

Scaled Agile, Inc. (0.7%)*(7) (9) (10)	Research & Consulting Services	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 06/19, Due 06/24)	4,845,720		4,807,839		4,797,263
			4,845,720		4,807,839		4,797,263

Serta Simmons Bedding LLC (1.5%)*(9) (10)	Home Furnishings	Super Priority First Out (LIBOR + 7.5%, 8.5% Cash, Acquired 6/20, Due 08/23)	7,424,499		7,234,063		7,498,744
		Super Priority Second Out (LIBOR + 7.5%, 8.5% Cash, Acquired 6/20, Due 08/23)	3,643,817		3,379,870		3,272,913
			11,068,316		10,613,933		10,771,657

SISU ACQUISITIONCO., INC. (2.2%)*(7) (9) (12)	Aerospace & Defense	First Lien Senior Secured Term Loan (LIBOR + 5.25%, 6.3% Cash, Acquired 12/20, Due 12/26)	16,132,835		15,811,282		15,810,178
			16,132,835		15,811,282		15,810,178

SMA Holdings, Inc. (1.0%)*(7) (23)	Consulting	First Lien Loan (11.0% Cash, Acquired 12/20, Due 06/24)	7,000,000		6,720,000		6,720,000
		Warrants (2.0 units, Acquired 12/20)			286,781		286,781
			7,000,000		7,006,781		7,006,781

Smile Brands Group Inc. (2.1%)*(7) (9) (12)	Health Care Services	First Lien Senior Secured Term Loan (LIBOR + 5.17%, 5.4% Cash, Acquired 10/18, Due 10/24)	5,880,607		5,842,184		5,824,154
		First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 12/20, Due 10/24)	9,310,993		9,030,258		9,024,500
			15,191,600		14,872,442		14,848,654

SN BUYER, LLC (4.8%)*(7) (9) (12)	Health Care Services	First Lien Senior Secured Term Loan (LIBOR + 6.25%, 7.3% Cash, Acquired 12/20, Due 11/26)	35,000,000		34,304,393		34,300,000
			35,000,000		34,304,393		34,300,000

Springbrook Software (SBRK Intermediate, Inc.) (1.3%)*(7) (9) (12)	Enterprise Software & Services	First Lien Senior Secured Term Loan (LIBOR + 5.75%, 6.8% Cash, Acquired 12/19, Due 12/26)	9,349,719		9,152,983		9,201,599
			9,349,719		9,152,983		9,201,599

SSCP Pegasus Midco Limited (2.3%)*(3) (7) (9) (16)	Healthcare & Pharmaceuticals	First Lien Senior Secured Term Loan (GBP LIBOR + 6.75%, 6.8% Cash, Acquired 12/20, Due 11/27)	17,664,989		16,498,614		16,733,353
			17,664,989		16,498,614		16,733,353

Syniverse Holdings, Inc. (2.2%)*(9) (12)	Technology Distributors	First Lien Senior Secured Term Loan (LIBOR + 5.0%, 6.0% Cash, Acquired 08/18, Due 03/23)	17,480,454		16,048,735		15,749,365
			17,480,454		16,048,735		15,749,365

Team Health Holdings, Inc. (0.8%)*(9) (10)	Health Care Services	First Lien Senior Secured Term Loan (LIBOR + 2.75%, 3.8% Cash, Acquired 09/18, Due 02/24)	6,822,785		6,659,174		6,058,906
			6,822,785		6,659,174		6,058,906

Barings BDC, Inc.

Consolidated Schedule of Investments — (Continued)

December 31, 2020

TRIANGLE CAPITAL CORPORATION
Consolidated Schedule of Investments — (Continued)
December 31, 2016
Portfolio Company Industry
Type of Investment^(1)(2)(7)

Principal
Amount
Cost
Fair
Value⁽³⁾
Gerli & Company (0%)* Specialty Woven Fabrics Manufacturer
Subordinated Note (13% Cash, Due 1/17)⁽⁶⁾
$ 648,527
$ 375,000
$ —
Subordinated Note (8.5% Cash, Due 1/17)⁽⁶⁾
4,900,843
3,000,000
—
Class A Preferred Shares (1,211 shares) 855,000
—
Class C Preferred Shares (744 shares) —
—
Class E Preferred Shares (400 shares) 161,440
—
Common Stock (300 shares) 100,000
—
5,549,370
4,491,440
—

SRC Worldwide, Inc. (1%)* Specialty Chemical Manufacturer Common Stock (5,000 shares) 8,028,000
8,028,000
8,028,000
8,028,000

Subtotal Control Investments 30,508,006
45,418,113
18,791,769

Total Investments, December 31, 2016 (170%)* $ 975,173,829
$ 1,096,931,491
$ 1,037,907,181


Portfolio Company(6)	Industry	Type of Investment(1) (2)	Principal Amount		Cost		Fair Value
The Hilb Group, LLC (2.1%)*(7) (9)	Insurance Brokerage	First Lien Senior Secured Term Loan (LIBOR + 5.75%, 6.8% Cash, Acquired 12/19, Due 12/26)(11)	$	11,667,719	$	11,413,365	$	11,541,707
		First Lien Senior Secured Term Loan (LIBOR + 6.0%, 7.0% Cash, Acquired 12/19, Due 12/26)(12)	3,602,001		3,374,934		3,373,303
			15,269,720		14,788,299		14,915,010

Total Safety U.S. Inc. (0.9%)* (12)	Diversified Support Services	First Lien Senior Secured Term Loan (LIBOR + 6.0%, 7.0% Cash, Acquired 11/19, Due 08/25)	6,857,482		6,611,003		6,576,325
			6,857,482		6,611,003		6,576,325

Transit Technologies LLC (0.7%)*(7) (9) (12)	Software	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.0% Cash, Acquired 02/20, Due 02/25)	6,035,305		5,859,123		5,221,746
			6,035,305		5,859,123		5,221,746

Transportation Insight, LLC (3.3%)*(7) (9) (12)	Air Freight & Logistics	First Lien Senior Secured Term Loan (LIBOR + 4.5%, 4.6% Cash, Acquired 08/18, Due 12/24)	24,506,875		24,346,335		23,899,105
			24,506,875		24,346,335		23,899,105

Truck-Lite Co., LLC (3.0%)*(7) (9) (12)	Automotive Parts & Equipment	First Lien Senior Secured Term Loan (LIBOR + 6.25%, 7.3% Cash, Acquired 12/19, Due 12/26)	22,352,885		21,960,470		21,791,827
			22,352,885		21,960,470		21,791,827

Trystar, LLC (2.5%)*(7) (9) (12)	Power Distribution Solutions	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 09/18, Due 09/23)	17,596,398		17,384,658		17,288,461
		Class A LLC Units (384.5 units, Acquired 09/18)			395,995		339,474
			17,596,398		17,780,653		17,627,935

Tuf-Tug, Inc. (0.1%)*(7) (23)	Safety Equipment Manufacturer	Common Stock (24.6 shares, Acquired 12/20)			385,047		$	385,047
					385,047		385,047

Turf Products, LLC (1.2%)*(7) (23)	Landscaping & Irrigation Equipment Distributor	Senior Subordinated Debt (10.0% Cash, Acquired 12/20, Due 10/23)	8,697,056		8,383,962		8,383,962
			8,697,056		8,383,962		8,383,962

U.S. Gas & Electric, Inc. (0.2%)*(7) (23)	Energy Services	Second Lien Loan (9.5% Cash, Acquired 12/20, Due 07/25)	2,285,250		1,785,250		1,785,250
		Second Lien Loan (9.5% Cash, Acquired 12/20, Due 07/25)(24)	2,485,469		—		—
			4,770,719		1,785,250		1,785,250

U.S. Silica Company (0.2%)*(3) (9) (10)	Metal & Glass Containers	First Lien Senior Secured Term Loan (LIBOR + 4.0%, 5.0% Cash, Acquired 08/18, Due 05/25)	1,487,525		1,490,312		1,299,724
			1,487,525		1,490,312		1,299,724

UKFast Leaders Limited (3.3%)*(3) (7) (9) (14)	Technology	First Lien Senior Secured Term Loan (GBP LIBOR + 6.75%, 6.8% Cash, Acquired 09/20, Due 9/27)	24,226,278		22,140,865		23,625,466
			24,226,278		22,140,865		23,625,466

USF Holdings LLC (U.S. Farathane, LLC) (0.4%)*(9) (12)	Auto Parts & Equipment	First Lien Senior Secured Term Loan (LIBOR + 3.5%, 4.5% Cash, Acquired 08/18, Due 12/21)	3,088,580		3,092,541		2,849,214
			3,088,580		3,092,541		2,849,214

USLS Acquisition, Inc. (f/k/a US Legal Support, Inc.) (2.1%)*(7) (9) (12)	Legal Services	First Lien Senior Secured Term Loan (LIBOR + 5.75%, 6.8% Cash, Acquired 11/18, Due 11/24)	16,388,428		16,165,710		15,226,488
			16,388,428		16,165,710		15,226,488

Utac Ceram (0.2%)*(3) (7) (9) (18)	Business Services	First Lien Senior Secured Term Loan (EURIBOR + 5.75%, 5.8% Cash, Acquired 09/20, Due 09/27)	1,713,064		1,524,242		1,651,143
			1,713,064		1,524,242		1,651,143

Validity, Inc. (0.6%)*(7) (9) (10)	IT Consulting & Other Services	First Lien Senior Secured Term Loan (LIBOR + 4.75%, 4.9% Cash, Acquired 07/19, Due 05/25)	5,025,862		4,896,882		4,586,098
			5,025,862		4,896,882		4,586,098

W2O Holdings, Inc. (0.0%)* (7) (9)	Healthcare Technology	Undrawn Delayed Draw Term Loan (LIBOR + 5.0%, 5.0% Cash, Acquired 10/20, Due 06/25)	—		(115,981)		(104,214)
			—		(115,981)		(104,214)

Winebow Group, LLC, (The) (2.1%)*(9) (10)	Consumer Goods	First Lien Senior Secured Term Loan (LIBOR + 3.75%, 4.8% Cash, Acquired 11/19, Due 07/21)	10,599,445		10,113,510		9,690,543
		Second Lien Senior Secured Term Loan (LIBOR + 7.5%, 8.5% Cash, Acquired 10/19, Due 01/22)	7,141,980		4,813,864		5,713,584
			17,741,425		14,927,374		15,404,127

Barings BDC, Inc.

Consolidated Schedule of Investments — (Continued)

December 31, 2020


Portfolio Company(6)	Industry	Type of Investment(1) (2)	Principal Amount		Cost		Fair Value
World 50, Inc. (1.7%)*(7) (9) (10)	Professional Services	First Lien Senior Secured Term Loan (LIBOR + 5.25%, 6.3% Cash, Acquired 01/20, Due 01/26)	$	3,313,191	$	3,218,141	$	3,313,191
		First Lien Senior Secured Term Loan (LIBOR + 4.75%, 5.8% Cash, Acquired 09/20, Due 01/26)	9,100,607		8,905,025		8,940,436
			12,413,798		12,123,166		12,253,627

Subtotal Non–Control / Non–Affiliate Investments (184.7%)			1,378,776,392		1,318,614,617		1,325,783,281

Affiliate Investment: (4)
Advantage Insurance, Inc. (0.8%)*(7) (23)	Banking, Finance, Insurance, & Real Estate	Preferred Stock (587,001 shares, Acquired 12/20)			5,946,641		5,946,641
					5,946,641		5,946,641

Jocassee Partners LLC (3.2%)*(3)	Investment Funds & Vehicles	9.1% Member Interest, Acquired 06/19			20,158,270		22,623,820
					20,158,270		22,623,820

JSC Tekers Holdings (0.7%)*(3) (7) (23)	Real Estate Management	Preferred Stock (9,159,085 shares, Acquired 12/20)			4,753,000		4,753,000
		Common Stock (3,201 shares, Acquired 12/20)			—		—
					4,753,000		4,753,000

Security Holdings B.V. (4.9%)*(3) (7) (23)	Electrical Engineering	Bridge Loan (5.0% PIK, Acquired 12/20, Due 05/22)	5,187,506		5,187,508		5,187,508
		Senior Subordinated Loan (3.1% PIK, Acquired 12/20, Due 05/22)	8,746,454		8,746,454		8,746,454
		Common Stock (1,099.5 shares, Acquired 12/20)			21,264,000		21,329,370
			13,933,960		35,197,962		35,263,332

Thompson Rivers LLC (1.4%)*(3)	Investment Funds & Vehicles	10% Member Interest, Acquired 06/20			10,000,000		10,011,840
					10,000,000		10,011,840

Subtotal Affiliate Investments (11.0%)			13,933,960		76,055,873		78,598,633

Control Investments:(5)
MVC Automotive Group Gmbh (2.3%)*(3) (7) (23)	Other Diversified Financial Services	Bridge Loan (6.0% Cash, Acquired 12/20, Due 12/21)	7,149,166		7,149,166		7,149,166
		Common Equity Interest (18,000 shares, Acquired 12/20)			9,553,000		9,582,368
			7,149,166		16,702,166		16,731,534

MVC Private Equity Fund LP (1.3%)*(3) (23)	Investment Funds & Vehicles	General Partnership Interest			224,978		224,978
		Limited Partnership Interest			8,899,284		8,899,284
					9,124,262		9,124,262

Subtotal Control Investments (3.6%)			7,149,166		25,826,428		25,855,796

Short-Term Investments:

BlackRock, Inc. (4.2%)*	Money Market Fund	BlackRock Liquidity Temporary Fund (0.08% yield)			30,000,000		30,000,000
					30,000,000		30,000,000

JPMorgan Chase & Co. (5.0%)*	Money Market Fund	JPMorgan Prime Money Market Fund (0.09% yield)			35,558,227		35,558,227
					35,558,227		35,558,227

Subtotal Short-Term Investments (9.1%)					65,558,227		65,558,227

Total Investments, December 31, 2020 (208.4%)*			$	1,399,859,518	$	1,486,055,145	$	1,495,795,937

Barings BDC, Inc.

Consolidated Schedule of Investments — (Continued)

December 31, 2020

Derivative Instruments


Credit Support Agreement(a)(b)(d)
Description	Counter Party	Settlement Date(c)	Notional Amount		Value		Unrealized Appreciation (Depreciation)
Credit Support Agreement	Barings LLC	01/01/31	$	23,000,000	$	13,600,000	$	—

Total Credit Support Agreement, December 31, 2020							$	—

(a) The Credit Support Agreement covers all of the investments acquired by the Company from MVC in connection with the MVC Acquisition (as defined in “Note 1 – Organization, Business and Basis of Presentation”) and any investments received by the Company in connection with the restructuring, amendment, extension or other modification (including the issuance of new securities) of any of the investments acquired by the Company from MVC in connection with the MVC Acquisition (collectively, the “Reference Portfolio”). Each investment that is included in the Reference Portfolio is denoted in the above Schedule of Investments with footnote (23).

(b) The Company and Barings LLC entered into a Credit Support Agreement pursuant to which Barings LLC agreed to provide credit support to the Company in the amount of up to $23.0 million.

(c) Settlement Date means the earlier of (1) January 1, 2031 and (2) the date on which the entire Reference Portfolio has been realized or written off.

(d) See “Note 2 – Agreements and Related Party Transactions” for additional information regarding the Credit Support Agreement.


Foreign Currency Forward Contracts:
Description	Notional Amount to be Purchased	Notional Amount to be Sold	Settlement Date	Unrealized Appreciation (Depreciation)
Foreign currency forward contract (AUD)	$8,471,304	A$11,378,670	01/05/21	$	(309,049)
Foreign currency forward contract (AUD)	A$11,378,670	$8,610,504	01/05/21	169,849
Foreign currency forward contract (AUD)	$148,019	A$193,882	04/06/21	(1,698)

Foreign currency forward contract (EUR)	$13,472,749	€11,406,604	01/05/21	(483,801)
Foreign currency forward contract (EUR)	€11,406,604	$13,518,023	01/05/21	438,526
Foreign currency forward contract (EUR)	$561,754	€456,604	04/06/21	1,944

Foreign currency forward contract (GBP)	$13,554,607	£10,215,299	01/05/21	(409,190)
Foreign currency forward contract (GBP)	£10,215,299	$13,717,678	01/05/21	246,118
Foreign currency forward contract (GBP)	$13,109,849	£9,672,758	04/06/21	(119,769)

Foreign currency forward contract (SEK)	$141,603	1,259,406kr	01/05/21	(11,748)
Foreign currency forward contract (SEK)	1,259,406kr	$152,396	01/05/21	955
Foreign currency forward contract (SEK)	$164,325	1,356,628kr	04/06/21	(1,028)

Total Foreign Currency Forward Contracts, December 31, 2020				$	(478,891)

* Fair value as a ~~percent~~percentage of net ~~assets~~assets.

(1)All debt investments are income producing, unless otherwise noted. Equity and any equity-linked investments are non-income producing, unless otherwise noted. The Board determined in good faith that all investments were valued at fair value in accordance with the Company's valuation policies and procedures and the 1940 Act based on, among other things, the input of the Company's external investment adviser, Barings, the Company’s Audit Committee and independent valuation firms that have been engaged to assist in the valuation of the Company's middle-market investments. In addition, all debt investments are variable rate investments unless otherwise noted. Index-based floating interest rates are generally subject to a contractual minimum interest rate. A majority of the variable rate loans in the Company's investment portfolio bear interest at a rate that may be determined by reference to LIBOR, EURIBOR, GBP LIBOR, BBSY, STIBOR or an alternate Base Rate (commonly based on the Federal Funds Rate or the Prime Rate), which typically reset semi-annually, quarterly, or monthly at the borrower's option. The borrower may also elect to have multiple interest reset periods for each loan.

(2)All of the Company’s portfolio company investments (including joint venture and short-term investments), which as of December 31, 2020 represented 208.4% of the Company’s net assets, are subject to legal restrictions on sales. The acquisition date represents the date of the Company's initial investment in the relevant portfolio company.

(3)Investment is not a qualifying investment as defined under Section 55(a) of the 1940 Act. Non-qualifying assets represent 23.4% of total investments at fair value as of December 31, 2020. Qualifying assets must represent at least 70% of total assets at the time of acquisition of any additional non-qualifying assets. If at any time qualifying assets do not represent at least 70% of the Company's total assets, the Company will be precluded from acquiring any additional non-qualifying asset until such time as it complies with the requirements of Section 55(a).


~~(1)~~	All debt investments are income producing, unless otherwise noted. Equity and equity-linked investments are non-income producing, unless otherwise noted. The fair values of all investments were determined using significant unobservable inputs.


~~(2)~~	~~Disclosures of interest rates on notes include cash interest rates and payment-in-kind (“PIK”) interest rates.~~


~~(3)~~	~~All investments are restricted as to resale and were valued at fair value as determined in good faith by the Board of Directors.~~

~~(4)~~

Investment is not a qualifying investment as defined under Section 55(a) of the Investment Company Act of 1940, as amended. Non-qualifying assets represent 2.5% of total investments at fair value as of December 31, 2016. Qualifying assets must represent at least 70% of total assets at the time of acquisition of any additional non-qualifying assets. If at any time qualifying assets do not represent at least 70% of the Company's total assets, the Company will be precluded from acquiring any additional non-qualifying asset until such time as it complies with the requirements of Section 55(a).


~~(5)~~	~~PIK non-accrual investment~~


~~(6)~~	~~Non-accrual investment~~


~~(7)~~	All of the Company's investments, unless otherwise noted, are encumbered either as security for the Company's senior secured credit facility or in support of the SBA-guaranteed debentures issued by Triangle Mezzanine Fund LLLP and Triangle Mezzanine Fund II LP.

~~(8)~~

Barings BDC, Inc.

Consolidated Schedule of Investments — (Continued)

December 31, 2020


		Amount of Realized Gain (Loss)		Amount of Unrealized Gain (Loss)		Amount of Interest or Dividends Credited to Income(b)		December 31, 2019 Value		Gross Additions (c)		Gross Reductions (d)		December 31, 2020 Value
Portfolio Company	Type of Investment(a)
Advantage Insurance, Inc.(e)	Preferred Stock (587,001 shares)	$	—	$	—	$	—	$	—	$	5,946,641	$	—	$	5,946,641
		—		—		—		—		5,946,641		—		5,946,641

Jocassee Partners LLC	9.1% Member Interest	—		2,394,007		—		10,229,813		12,394,007		—		22,623,820
		—		2,394,007		—		10,229,813		12,394,007		—		22,623,820

JSC Tekers Holdings(e)	Common Stock (3,201 shares)	—		—		—		—		—		—		—
	Preferred Stock (9,159,085 shares)	—		—		—		—		4,753,000		—		4,753,000
		—		—		—		—		4,753,000		—		4,753,000

Security Holdings B.V(e)	Bridge Loan (5.0% PIK)	—		—		—		—		5,187,508		—		5,187,508
	Senior Subordinated Loan (3.1% PIK)	—		—		—		—		8,746,454		—		8,746,454
	Common Stock (1,099.5 shares)	—		65,370		—		—		21,329,370		—		21,329,370
		—		65,370		—		—		35,263,332		—		35,263,332

Thompson Rivers LLC	10% Member Interest	—		11,840		—		—		10,011,840		—		10,011,840
		—		11,840		—		—		10,011,840		—		10,011,840

Total Affiliate Investments		$	—	$	2,471,217	$	—	$	10,229,813	$	68,368,820	$	—	$	78,598,633

(a) Equity and equity-linked investments are non-income producing, unless otherwise noted.

(b) Represents the total amount of interest, fees or dividends credited to income for the portion of the year an investment was included in the Affiliate category.

(e) The fair value of the investment was determined using significant unobservable inputs.

Barings BDC, Inc.

Consolidated Schedule of Investments — (Continued)

December 31, 2020

(5) As defined in the 1940 Act, the Company is deemed to be both an “affiliated person” and “control” the portfolio company because it owns more than 25% of the portfolio company’s outstanding voting securities or it has the power to exercise control over the management or policies of such portfolio company (including through a management agreement). Transactions as of and during the year ended December 31, 2020 in which the portfolio company is deemed to be a "Control Investment" of the Company are as follows:


		Amount of Realized Gain (Loss)		Amount of Unrealized Gain (Loss)		Amount of Interest or Dividends Credited to Income(b)		December 31, 2019 Value		Gross Additions (c)		Gross Reductions (d)		December 31, 2020 Value
Portfolio Company	Type of Investment(a)
MVC Automotive Group GmbH(e)	Common Equity Interest (18,000 shares)	$	—	$	29,368	$	—	$	—	$	9,582,368	$	—	$	9,582,368
	Bridge Loan (6.0% PIK)	—		—		9,532		—		7,149,166		—		7,149,166
		—		29,368		9,532		—		16,731,534		—		16,731,534

MVC Private Equity Fund LP(e)	Limited Partnership Interest	—		—		—		—		8,899,284		—		8,899,284
	General Partnership Interest	—		—		5,292		—		224,978		—		224,978
		—		—		5,292		—		9,124,262		—		9,124,262

Total Control Investments		$	—	$	29,368	$	14,824	$	—	$	25,855,796	$	—	$	25,855,796

(a) Equity and equity-linked investments are non-income producing, unless otherwise noted.

(b) Represents the total amount of interest, fees or dividends credited to income for the portion of the year an investment was included in the Control category.

(e) The fair value of the investment was determined using significant unobservable inputs.

(6)Some or all of the investment is or will be encumbered as security for the February 2019 Credit Facility.

(7)The fair value of the investment was determined using significant unobservable inputs.

(8)Non-accrual investment.

(9)Debt investment includes interest rate floor feature.

(10)The interest rate on these loans is subject to 1 Month LIBOR, which as of December 31, 2020 was 0.14388%.

(11)The interest rate on these loans is subject to 2 Month LIBOR, which as of December 31, 2020 was 0.19038%.

(12)The interest rate on these loans is subject to 3 Month LIBOR, which as of December 31, 2020 was 0.23838%.

(13)The interest rate on these loans is subject to 6 Month LIBOR, which as of December 31, 2020 was 0.25763%.

(14)The interest rate on these loans is subject to 2 month GBP LIBOR, which as of December 31, 2020 was 0.06088%.

(15)The interest rate on these loans is subject to 3 Month GBP LIBOR, which as of December 31, 2020 was 0.02550%.

(16)The interest rate on these loans is subject to 6 Month GBP LIBOR, which as of December 31, 2020 was 0.02988%.

(17)The interest rate on these loans is subject to 1 Month EURIBOR, which as of December 31, 2020 was -0.55400%.

(18)The interest rate on these loans is subject to 3 Month EURIBOR, which as of December 31, 2020 was -0.54500%.

(19)The interest rate on these loans is subject to 6 Month EURIBOR, which as of December 31, 2020 was -0.526%.

(20)The interest rate on these loans is subject to 3 Month STIBOR, which as of December 31, 2020 was -0.08500%.

(21)The interest rate on these loans is subject to 1 Month BBSY, which as of December 31, 2020 was 0.01000%.

(22)The interest rate on these loans is subject to 3 Month BBSY, which as of December 31, 2020 was 0.01000%.

(23)Investment was purchased as part of the MVC Acquisition and is part of the Reference Portfolio for purposes of the Credit Support Agreement.

(24)In 2017, MVC Capital, Inc. received $5.7 million of 9.5% second lien callable notes due in 2025, in lieu of an escrow to satisfy any indemnification claims associated with MVC Capital, Inc's sale of its equity investment in U.S. Gas & Electric. Effective January 1, 2018, the cost basis of the U.S. Gas second lien loan was decreased by approximately $3.0 million due to a working capital adjustment. This loan is still subject to indemnification adjustments.

See accompanying notes.

~~TRIANGLE CAPITAL CORPORATION~~

Barings BDC, Inc.

Notes to Unaudited Consolidated Financial Statements

1. ORGANIZATION, BUSINESS AND BASIS OF PRESENTATION

~~Organization and Business~~

~~Triangle Capital Corporation~~Barings BDC, Inc. (the “Company”) and its ~~wholly owned~~wholly-owned subsidiaries including Triangle Mezzanine Fund LLLP (“Triangle SBIC”), Triangle Mezzanine Fund II LP (“Triangle SBIC II”) and Triangle Mezzanine Fund III LP (“Triangle SBIC III”) (collectively, the “Company”), are specialty finance companies. Triangle SBIC, Triangle SBIC II and Triangle SBIC III are specialty finance limited partnerships formed to make investments primarily in lower middle market companies located throughout the United States. On September 11, 2003, Triangle SBIC was licensed to operate as a Small Business Investment Company (“SBIC”) under the authority of the United States Small Business Administration (“SBA”). On May 26, 2010, Triangle SBIC II obtained its license to operate as an SBIC and on January 6, 2017, Triangle SBIC III obtained its license to operate as an SBIC. As SBICs, Triangle SBIC, Triangle SBIC II and Triangle SBIC III are subject to a variety of regulations concerning, among other things, the size and nature of the companies in which they may invest and the structure of those investments.

The Company currently operates as a closed-end, non-diversified investment company and has elected to be treated as a business development company ~~("BDC"~~(“BDC”) under the ~~Investment Company Act of~~ 1940 ~~as amended (the "1940 Act").~~Act. The Company is internally managed by its executive officers under the supervision of its Board of Directors (the "Board"). The Company does not pay management or advisory fees, but instead incurs the operating costs associated with employing executive management and investment and portfolio management professionals. Triangle SBIC has ~~also~~ elected for federal income tax purposes to be treated as a ~~BDC~~regulated investment company (“RIC”) under the ~~1940 Act.~~Internal Revenue Code of 1986, as amended (the “Code”).

Organization

The Company is a Maryland corporation incorporated on October 10, 2006. On August 2, 2018, the Company entered into an investment advisory agreement (the “Original Advisory Agreement”) and an administration agreement (the “Administration Agreement”) and became an externally-managed BDC managed by Barings LLC (“Barings” or the “Adviser”). An externally-managed BDC generally does not have any employees, and its investment and management functions are provided by an outside investment adviser and administrator under an investment advisory agreement and administration agreement. Instead of the Company directly compensating employees, the Company pays the Adviser for investment and management services pursuant to the terms of the Amended and Restated Advisory Agreement (as defined in “Note 2 - Agreements and Related Party Transactions”) (and, prior to January 1, 2021, under the terms of the Original Advisory Agreement) and the Administration Agreement. See “Note 2 - Agreements and Related Party Transactions” for additional information regarding the Company’s investment advisory agreement and administration agreement.

Basis of Presentation

The financial statements of the Company include the accounts of ~~Triangle Capital Corporation~~Barings BDC, Inc. and its wholly-owned subsidiaries. The effects of all intercompany transactions between ~~Triangle Capital Corporation~~the Company and its wholly-owned subsidiaries have been eliminated in consolidation. ~~Under the~~The Company is an investment company ~~rules~~ and, ~~regulations pursuant to Article 6 of Regulation S-X~~therefore, applies the specialized accounting and ~~Financial Accounting Standards Board ("FASB")~~reporting guidance in Accounting Standards Codification ~~("ASC"~~(“ASC”) Topic 946, Financial Services -– Investment ~~Companies~~,Companies. ASC Topic 946 states that consolidation by the Company of an investee that is ~~precluded from consolidating portfolio company investments, including those in which it has a controlling interest, unless the portfolio~~not an investment company is ~~another investment company. An exception to this general principle occurs if~~not appropriate, except when the Company holds a controlling interest in an operating company that provides all or substantially all of its services directly to the Company or to its portfolio companies. None of the portfolio investments made by the Company qualify for this exception. Therefore, the Company's investment portfolio is carried on the Unaudited and Audited Consolidated Balance Sheets at fair value, as discussed further in Note 2,3, with any adjustments to fair value recognized as “Net unrealized appreciation (depreciation)” on the Unaudited Consolidated Statements of Operations.

The accompanying unaudited consolidated financial statements are presented in conformity with accounting principles generally accepted in the United States (“U.S. GAAP”) for interim financial information and pursuant to the requirements for reporting on Form 10-Q and ~~Article~~Articles 6, 10 and 12 of Regulation S-X. Accordingly, certain disclosures accompanying annual consolidated financial statements prepared in accordance with U.S. GAAP are omitted. In the opinion of management, all adjustments, consisting solely of normal recurring adjustments necessary for the fair presentation of financial statements for the interim period, have been reflected in the unaudited consolidated financial statements. The current period’s results of operations are not necessarily indicative of results that ultimately may be achieved for the full fiscal year. Additionally, the unaudited consolidated financial statements and accompanying notes should be read in conjunction with the audited consolidated financial statements and notes thereto for the year ended December 31, ~~2016~~.2020. Financial statements prepared on a U.S. GAAP basis require management to make estimates and assumptions that affect the amounts and disclosures reported in the unaudited consolidated financial statements and accompanying notes. Such estimates and assumptions could change in the future as more information becomes known, which could impact the amounts reported and disclosed herein.

~~Public Offering~~Recently Issued Accounting Standards

In March 2020, the FASB issued Accounting Standards Update, 2020-04, Facilitation of ~~Common Stock~~the Effects of Reference Rate Reform on Financial Reporting (“ASU 2020-04”). The amendments in ASU 2020-04 provide optional expedients and exceptions for applying U.S. GAAP to contracts, hedging relationships and other transactions affected by reference rate reform if certain criteria are met. ASU 2020-04 is effective for all entities as of March 12, 2020 through December 31, 2022. The Company is currently evaluating the impact of adopting ASU 2020-04 on its consolidated financial statements.

On February 28, 2017, the Company filed a prospectus supplement pursuant to which 7,000,000 shares of common stock were offered for sale at a price to the public of $19.50 per share. Pursuant to this offering, 7,000,000 shares were sold and delivered resulting in net proceeds to the Company, after underwriting discounts and offering expenses, of approximately $132.0 million.

~~TRIANGLE CAPITAL CORPORATION~~Barings BDC, Inc.

Notes to Unaudited Consolidated Financial Statements — (Continued)

Share Purchase Programs

On February 27, 2020, the Board approved an open-market share repurchase program for the 2020 fiscal year (the “2020 Share Repurchase Program”). Under the 2020 Share Repurchase Program, the Company was authorized during fiscal year 2020 to repurchase up to a maximum of 5.0% of the amount of shares outstanding as of February 27, 2020 if shares traded below net asset value (“NAV”) per share, subject to liquidity and regulatory constraints.

Purchases under the 2020 Share Repurchase Program were made in open-market transactions and included transactions being executed by a broker selected by the Company that had been delegated the authority to repurchase shares on the Company's behalf in the open market in accordance with applicable rules under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), including Rules 10b5-1 and 10b-18 thereunder, and pursuant to, and under the terms and limitations of, the 2020 Share Repurchase Program. During the three months ended March 31, 2020, the Company repurchased a total of 661,981 shares of its common stock in the open market under the 2020 Share Repurchase Program at an average price of $7.23 per share, including broker commissions.

In connection with the completion of the Company’s acquisition of MVC Capital, Inc. (“MVC”), a Delaware corporation, on December 23, 2020 (the “MVC Acquisition”), the Company committed to make open-market purchases of shares of its common stock in an aggregate amount of up to $15.0 million at then-current market prices at any time shares trade below 90% of the Company’s then most recently disclosed NAV per share. Any repurchases pursuant to the authorized program will occur during the 12-month period commencing upon the filing of this quarterly report on Form 10-Q for the quarter ended March 31, 2021 and will be made in accordance with applicable legal, contractual and regulatory requirements.

2. AGREEMENTS AND RELATED PARTY TRANSACTIONS

On August 2, 2018, the Company entered into the Original Advisory Agreement and the Administration Agreement with the Adviser, an investment adviser registered under the Investment Advisers Act of 1940, as amended. In connection with the MVC Acquisition, on December 23, 2020, the Company entered into an amended and restated investment advisory agreement (the “Amended and Restated Advisory Agreement”) with the Adviser, following approval of the Amended and Restated Advisory Agreement by the Company’s stockholders at its December 23, 2020 special meeting of stockholders. The terms of the Amended and Restated Advisory Agreement became effective on January 1, 2021.

The Amended and Restated Advisory Agreement amended the Original Advisory Agreement to, among other things, (i) reduce the annual base management fee payable to the Adviser from 1.375% to 1.250% of the Company’s gross assets, (ii) reset the commencement date for the rolling 12-quarter “look-back” provision used to calculate the income incentive fee and incentive fee cap to January 1, 2021 from January 1, 2020 and (iii) describe the fact that the Company may enter into guarantees, sureties and other credit support arrangements with respect to one or more of its investments, including the impact of these arrangements on the income incentive fee cap.

Investment Advisory Agreement

Pursuant to the Amended and Restated Advisory Agreement, the Adviser manages the Company's day-to-day operations and provides the Company with investment advisory services. Among other things, the Adviser (i) determines the composition of the portfolio of the Company, the nature and timing of the changes therein and the manner of implementing such changes; (ii) identifies, evaluates and negotiates the structure of the investments made by the Company; (iii) executes, closes, services and monitors the investments that the Company makes; (iv) determines the securities and other assets that the Company will purchase, retain or sell; (v) performs due diligence on prospective portfolio companies and (vi) provides the Company with such other investment advisory, research and related services as the Company may, from time to time, reasonably require for the investment of its funds.

The Amended and Restated Advisory Agreement provides that, absent fraud, willful misfeasance, bad faith or gross negligence in the performance of its duties or by reason of the reckless disregard of its duties and obligations, the Adviser, and its officers, managers, partners, agents, employees, controlling persons, members and any other person or entity affiliated with the Adviser (collectively, the "IA Indemnified Parties"), are entitled to indemnification from the Company for any damages, liabilities, costs, demands, charges, claims and expenses (including reasonable attorneys’ fees and amounts reasonably paid in settlement) incurred by the IA Indemnified Parties in or by reason of any pending, threatened or completed action, suit, investigation or other proceeding (including an action or suit by or in the right of the Company or its security holders) arising out of any actions or omissions or otherwise based upon the performance of any of the Adviser’s duties or obligations under the Amended and Restated Advisory Agreement or otherwise as an investment adviser of the Company. The Adviser’s services under the Amended and Restated Advisory Agreement are not exclusive, and the Adviser is generally free to furnish similar

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Notes to Unaudited Consolidated Financial Statements — (Continued)

services to other entities so long as its performance under the Amended and Restated Advisory Agreement is not adversely affected.

The Adviser has entered into a personnel-sharing arrangement with its affiliate, Barings International Investment Limited (“BIIL”). BIIL is a wholly-owned subsidiary of Baring Asset Management Limited, which in turn is an indirect, wholly-owned subsidiary of the Adviser. Pursuant to this arrangement, certain employees of BIIL may serve as “associated persons” of the Adviser and, in this capacity, subject to the oversight and supervision of the Adviser, may provide research and related services, and discretionary investment management and trading services (including acting as portfolio managers) to the Company on behalf of the Adviser. This arrangement is based on no-action letters of the staff of the Securities and Exchange Commission (the “SEC”) that permit SEC-registered investment advisers to rely on and use the resources of advisory affiliates or "participating affiliates," subject to the supervision of that SEC-registered investment adviser. BIIL is a “participating affiliate” of the Adviser, and the BIIL employees are “associated persons” of the Adviser.

Under the Amended and Restated Advisory Agreement, the Company pays the Adviser (i) a base management fee (the “Base Management Fee”) and (ii) an incentive fee (the “Incentive Fee”) as compensation for the investment advisory and management services it provides the Company thereunder.

Pre-January 1, 2021 Base Management Fee

For the period from January 1, 2020 through December 31, 2020, the Base Management Fee was calculated based on the Company's gross assets, including assets purchased with borrowed funds or other forms of leverage and excluding cash and cash equivalents, at an annual rate of 1.375%.

The Base Management Fee was payable quarterly in arrears on a calendar quarter basis. The Base Management Fee was calculated based on the average value of the Company’s gross assets, excluding cash and cash equivalents, at the end of the two most recently completed calendar quarters prior to the quarter for which such fees are being calculated. Base Management Fees for any partial month or quarter were appropriately pro-rated.

Post-December 31, 2020 Base Management Fee

Beginning January 1, 2021, the Base Management Fee is calculated based on the Company’s gross assets, including assets purchased with borrowed funds or other forms of leverage and excluding cash and cash equivalents, at an annual rate of 1.25%. The Base Management Fee is payable quarterly in arrears on a calendar quarter basis. The Base Management Fee will be calculated based on the average value of the Company’s gross assets, excluding cash and cash equivalents, at the end of the two most recently completed calendar quarters prior to the quarter for which such fees are being calculated. Base Management Fees for any partial month or quarter will be appropriately pro-rated.

For the three months ended March 31, 2021, the Base Management Fee determined in accordance with the terms of the Amended and Restated Advisory Agreement was approximately $3.9 million. For the three months ended, March 31, 2020, the Base Management Fee determined in accordance with the terms of the Original Advisory Agreement was approximately $3.9 million. As of March 31, 2021, the Base Management Fee of $3.9 million for the three months ended March 31, 2021 was unpaid and included in “Base management fees payable” in the accompanying Unaudited Consolidated Balance Sheet. As of December 31, 2020, the Base Management Fee of $3.4 million for the three months ended December 31, 2020 was unpaid and included in “Base management fees payable” in the accompanying Consolidated Balance Sheet.

Pre-January 1, 2021 Incentive Fee

For the period from August 2, 2018 through December 31, 2020, under the Original Advisory Agreement, the Incentive Fee was comprised of two parts: (1) a portion based on the Company’s pre-incentive fee net investment income (the "Pre-2021 Income-Based Fee") and (2) a portion based on the net capital gains received on the Company’s portfolio of securities on a cumulative basis for each calendar year, net of all realized capital losses and all unrealized capital depreciation for that same calendar year (the "Pre-2021 Capital Gains Fee").

The Pre-2021 Income-Based Fee was calculated as follows:

(i)For each quarter from and after August 2, 2018 through December 31, 2019 (the "Pre-2020 Period"), the Pre-2021 Income-Based Fee was calculated and payable quarterly in arrears based on the Pre-Incentive Fee Net Investment Income for the immediately preceding calendar quarter for which such fees were being calculated. In respect of the Pre-2020 Period, "Pre-Incentive Fee Net Investment Income" meant interest income, dividend income and any other income (including any other fees, such as commitment, origination, structuring, diligence, managerial assistance and consulting fees or other fees that the Company receives from portfolio companies) accrued during the relevant

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Notes to Unaudited Consolidated Financial Statements — (Continued)

calendar quarter, minus the Company’s operating expenses for such quarter (including the Base Management Fee, expenses payable under the Administration Agreement, any interest expense and any dividends paid on any issued and outstanding preferred stock, but excluding the Incentive Fee). Pre-Incentive Fee Net Investment Income included, in the case of investments with a deferred interest feature (such as original issue discount, debt instruments with payment-in-kind interest and zero coupon securities), accrued income not yet received in cash. Pre-Incentive Fee Net Investment Income did not include any realized capital gains, realized capital losses or unrealized capital appreciation or depreciation.

(ii)For each quarter beginning on and after January 1, 2020 (the "Post-2019 Period"), the Pre-2021 Income-Based Fee was calculated and payable quarterly in arrears based on the Pre-Incentive Fee Net Investment Income for the immediately preceding calendar quarter and the eleven preceding calendar quarters (or such fewer number of preceding calendar quarters counting each calendar quarter beginning on or after January 1, 2020) (each such period referred to as the "Pre-2021 Trailing Twelve Quarters") for which such fees were being calculated and was payable promptly following the filing of the Company’s financial statements for such quarter. In respect of the Post-2019 Period, "Pre-Incentive Fee Net Investment Income" meant interest income, dividend income and any other income (including any other fees, such as commitment, origination, structuring, diligence, managerial assistance and consulting fees or other fees that the Company receives from portfolio companies) accrued during the relevant Pre-2021 Trailing Twelve Quarters, minus the Company’s operating expenses for such Pre-2021 Trailing Twelve Quarters (including the Base Management Fee, expenses payable under the Administration Agreement, any interest expense and any dividends paid on any issued and outstanding preferred stock, but excluding the Incentive Fee) divided by the number of quarters that comprise the relevant Pre-2021 Trailing Twelve Quarters. Pre-Incentive Fee Net Investment Income included, in the case of investments with a deferred interest feature (such as original issue discount, debt instruments with payment-in-kind interest and zero coupon securities), accrued income not yet received in cash. Pre-Incentive Fee Net Investment Income did not include any realized capital gains, realized capital losses or unrealized capital appreciation or depreciation.

(iii)Pre-Incentive Fee Net Investment Income, expressed as a rate of return on the value of the Company’s net assets (defined as total assets less senior securities constituting indebtedness and preferred stock) at the end of the calendar quarter for which such fees were being calculated, was compared to a "hurdle rate", expressed as a rate of return on the value of the Company’s net assets at the end of the most recently completed calendar quarter, of 2% per quarter (8% annualized). The Company paid the Adviser the Pre-2021 Income-Based Fee with respect to the Company’s Pre-Incentive Fee Net Investment Income in each calendar quarter as follows:

(1)(a) With respect to the Pre-2020 Period, no Pre-2021 Income-Based Fee for any calendar quarter in which the Company’s Pre-Incentive Fee Net Investment Income (as defined in paragraph (i) above) did not exceed the hurdle rate;

(b) With respect to the Post-2019 Period, no Pre-2021 Income-Based Fee for any calendar quarter in which the Company’s Pre-Incentive Fee Net Investment Income (as defined in paragraph (ii) above) did not exceed the hurdle rate;

(2)(a) With respect to the Pre-2020 Period, 100% of the Company’s Pre-Incentive Fee Net Investment Income (as defined in paragraph (i) above) for any calendar quarter with respect to that portion of the Pre-Incentive Fee Net Investment Income for such quarter, if any, that exceeded the hurdle rate but was less than 2.5% (10% annualized) (the "Pre-2020 Catch-Up Amount"). The Pre-2020 Catch-Up Amount was intended to provide the Adviser with an incentive fee of 20% on all of the Company’s Pre-Incentive Fee Net Investment Income (as defined in paragraph (i) above) when the Company’s Pre-Incentive Fee Net Investment Income (as defined in paragraph (i) above) reached 2% per quarter (8% annualized);

(b) With respect to the Post-2019 Period, 100% of the Company’s Pre-Incentive Fee Net Investment Income (as defined in paragraph (ii) above) with respect to that portion of the Pre-Incentive Fee Net Investment Income (as defined in paragraph (ii) above), if any, that exceeded the hurdle rate but was less than 2.5% (10% annualized) (the "Post-2019 Catch-Up Amount"). The Post-2019 Catch-Up Amount was intended to provide the Adviser with an incentive fee of 20% on all of the Company’s Pre-Incentive Fee Net Investment Income (as defined in paragraph (ii) above) when the Company’s Pre-Incentive Fee Net Investment Income (as defined in paragraph (ii) above) reached 2% per quarter (8% annualized);

(3)(a) With respect to the Pre-2020 Period, 20% of the amount of the Company’s Pre-Incentive Fee Net Investment Income (as defined in paragraph (i) above) for any calendar quarter with respect to that portion of the Pre-

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Notes to Unaudited Consolidated Financial Statements — (Continued)

Incentive Fee Net Investment Income (as defined in paragraph (i) above) for such quarter, if any, that exceeded the Pre-2020 Catch-Up Amount; and

(b) With respect to the Post-2019 Period, 20% of the amount of the Company’s Pre-Incentive Fee Net Investment Income (as defined in paragraph (ii) above) for any calendar quarter with respect to that portion of the Pre-Incentive Fee Net Investment Income (as defined in paragraph (ii) above), if any, that exceeded the Post-2019 Catch-Up Amount.

However, with respect to the Post-2019 Period, the Pre-2021 Income-Based Fee paid to the Adviser would in no event be in excess of the Pre-2021 Incentive Fee Cap. With respect to the Post-2019 Period, the "Pre-2021 Incentive Fee Cap" for any quarter was an amount equal to (a) 20% of the Cumulative Net Return (as defined below) during the relevant Pre-2021 Trailing Twelve Quarters minus (b) the aggregate Pre-2021 Income-Based Fee that was paid in respect of the first eleven calendar quarters (or the portion thereof) included in the relevant Pre-2021 Trailing Twelve Quarters.

Cumulative Net Return meant (x) the aggregate net investment income in respect of the relevant Pre-2021 Trailing Twelve Quarters minus (y) any Net Capital Loss (as defined below), if any, in respect of the relevant Pre-2021 Trailing Twelve Quarters. If, in any quarter, the Pre-2021 Incentive Fee Cap was zero or a negative value, the Company paid no Pre-2021 Income-Based Fee to the Adviser for such quarter. If, in any quarter, the Pre-2021 Incentive Fee Cap for such quarter was a positive value but was less than the Pre-2021 Income-Based Fee that was payable to the Adviser for such quarter (before giving effect to the Pre-2021 Incentive Fee Cap) calculated as described above, the Company paid a Pre-2021 Income-Based Fee to the Adviser equal to the Pre-2021 Incentive Fee Cap for such quarter. If, in any quarter, the Pre-2021 Incentive Fee Cap for such quarter was equal to or greater than the Pre-2021 Income-Based Fee that was payable to the Adviser for such quarter (before giving effect to the Pre-2021 Incentive Fee Cap) calculated as described above, the Company paid an Pre-2021 Income-Based Fee to the Adviser equal to the Pre-2021 Income-Based Fee calculated as described above for such quarter without regard to the Pre-2021 Incentive Fee Cap.

Net Capital Loss in respect of a particular period meant the difference, if positive, between (i) aggregate capital losses, whether realized or unrealized, in such period and (ii) aggregate capital gains, whether realized or unrealized, in such period.

The Pre-2021 Capital Gains Fee was determined and payable in arrears as of the end of each calendar year, commencing with the calendar year ended on December 31, 2018, and was calculated at the end of each applicable year by subtracting (1) the sum of the Company’s cumulative aggregate realized capital losses and aggregate unrealized capital depreciation from (2) the Company’s cumulative aggregate realized capital gains, in each case calculated from August 2, 2018. If such amount was positive at the end of such year, then the Pre-2021 Capital Gains Fee payable for such year was equal to 20% of such amount, less the cumulative aggregate amount of Pre-2021 Capital Gains Fees paid in all prior years. If such amount was negative, then there was no Pre-2021 Capital Gains Fee payable for such year.

Post-December 31, 2020 Incentive Fee

Beginning January 1, 2021, the Incentive Fee continues to consist of two components that are independent of each other, with the result that one component may be payable even if the other is not. Under the Amended and Restated Advisory Agreement, a portion of the Incentive Fee is based on the Company's income (the “Income-Based Fee”) and a portion is based on the Company's capital gains (the “Capital Gains Fee”), each as described below:

(i) The Income-Based Fee will be determined and paid quarterly in arrears based on the amount by which (x) the aggregate “Pre-Incentive Fee Net Investment Income” (as defined below) in respect of the current calendar quarter and the eleven preceding calendar quarters beginning with the calendar quarter that commences on or after January 1, 2021, as the case may be (or the appropriate portion thereof in the case of any of the Company's first eleven calendar quarters that commences on or after January 1, 2021) (in either case, the “Trailing Twelve Quarters”) exceeds (y) the Hurdle Amount (as defined below) in respect of the Trailing Twelve Quarters. The Hurdle Amount will be determined on a quarterly basis, and will be calculated by multiplying 2.0% (8% annualized) by the aggregate of the Company's NAV at the beginning of each applicable calendar quarter comprising the relevant Trailing Twelve Quarters. For this purpose, under the Amended and Restated Advisory Agreement, “Pre-Incentive Fee Net Investment Income” means interest income, dividend income and any other income (including, without limitation, any accrued income that we have not yet received in cash and any other fees such as commitment, origination, structuring, diligence and consulting fees or other fees that we receive from portfolio companies) accrued during the calendar quarter, minus the Company's operating expenses accrued during the calendar quarter (including, without limitation, the Base Management Fee, administration expenses and any interest expense and dividends paid on any issued and outstanding preferred stock, but excluding the Income-Based Fee and the Capital Gains Fee). For the

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Notes to Unaudited Consolidated Financial Statements — (Continued)

avoidance of doubt, Pre-Incentive Fee Net Investment Income does not include any realized capital gains, realized capital losses or unrealized capital appreciation or depreciation:

The calculation of the Income-Based Fee for each quarter is as follows:

(A) No Income-Based Fee will be payable to the Adviser in any calendar quarter in which the Company's aggregate Pre-Incentive Fee Net Investment Income for the Trailing Twelve Quarters does not exceed the Hurdle Amount;

(B) 100% of the Company's aggregate Pre-Incentive Fee Net Investment Income for the Trailing Twelve Quarters, if any, that exceeds the Hurdle Amount but is less than or equal to an amount (the “Catch-Up Amount”) determined on a quarterly basis by multiplying 2.5% (10% annualized) by the Company's NAV at the beginning of each applicable calendar quarter comprising the relevant Trailing Twelve Quarters. The Catch-Up Amount is intended to provide the Adviser with an incentive fee of 20% on all of the Company's Pre-Incentive Fee Net Investment Income when the Company's Pre-Incentive Fee Net Investment Income reaches the Catch-Up Amount for the Trailing Twelve Quarters; and

(C) For any quarter in which the Company's aggregate Pre-Incentive Fee Net Investment Income for the Trailing Twelve Quarters exceeds the Catch-Up Amount, the Income-Based Fee shall equal 20% of the amount of the Company's Pre-Incentive Fee Net Investment Income for such Trailing Twelve Quarters, as the Hurdle Amount and Catch-Up Amount will have been achieved.

Subject to the Incentive Fee Cap described below, the amount of the Income-Based Fee that will be paid to the Adviser for a particular quarter will equal the excess of the aggregate Income-Based Fee so calculated less the aggregate Income-Based Fees that were paid to the Adviser in the preceding eleven calendar quarters (or portion thereof) comprising the relevant Trailing Twelve Quarters.

(ii) The Income-Based Fee is subject to a cap (the “Incentive Fee Cap”). The Incentive Fee Cap in any quarter is an amount equal to (a) 20% of the Cumulative Pre-Incentive Fee Net Return (as defined below) during the relevant Trailing Twelve Quarters less (b) the aggregate Income-Based Fee that were paid to the Adviser in the preceding eleven calendar quarters (or portion thereof) comprising the relevant Trailing Twelve Quarters. For this purpose, “Cumulative Pre-Incentive Fee Net Return” during the relevant Trailing Twelve Quarters means (x) Pre-Incentive Fee Net Investment Income in respect of the Trailing Twelve Quarters less (y) any Net Capital Loss, if any, in respect of the Trailing Twelve Quarters. If, in any quarter, the Incentive Fee Cap is zero or a negative value, we will pay no Income-Based Fee to the Adviser in that quarter. If, in any quarter, the Incentive Fee Cap is a positive value but is less than the Income-Based Fee calculated in accordance with paragraph (i) above, we will pay the Adviser the Incentive Fee Cap for such quarter. If, in any quarter, the Incentive Fee Cap is equal to or greater than the Income-Based Fee calculated in accordance with paragraph (i) above, we will pay the Adviser the Income-Based Fee for such quarter.

“Net Capital Loss” in respect of a particular period means the difference, if positive, between (i) aggregate capital losses on the Company's assets, whether realized or unrealized, in such period and (ii) aggregate capital gains or other gains on the Company's assets (including, for the avoidance of doubt, the value ascribed to any credit support arrangement in the Company's financial statements even if such value is not categorized as a gain therein), whether realized or unrealized, in such period.

(iii) The second part of the Incentive Fee (the “Capital Gains Fee”) will be determined and payable in arrears as of the end of each calendar year (or upon termination of the Amended and Restated Advisory Agreement), commencing with the calendar year ended on December 31, 2018, and is calculated at the end of each applicable year by subtracting (1) the sum of the Company's cumulative aggregate realized capital losses and aggregate unrealized capital depreciation from (2) the Company's cumulative aggregate realized capital gains, in each case calculated from August 2, 2018. If such amount is positive at the end of such year, then the Capital Gains Fee payable for such year is equal to 20% of such amount, less the cumulative aggregate amount of Capital Gains Fees paid in all prior years commencing with the calendar year ended on December 31, 2018. If such amount is negative, then there is no Capital Gains Fee payable for such year. If this Agreement is terminated as of a date that is not a calendar year end, the termination date will be treated as though it were a calendar year end for purposes of calculating and paying a Capital Gains Fee.

Under the Amended and Restated Advisory Agreement, the "cumulative aggregate realized capital gains" are calculated as the sum of the differences, if positive, between (a) the net sales price of each investment in the Company's portfolio when sold and (b) the accreted or amortized cost basis of such investment.

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Notes to Unaudited Consolidated Financial Statements — (Continued)

The cumulative aggregate realized capital losses are calculated as the sum of the differences, if negative, between (a) the net sales price of each investment in the Company's portfolio when sold and (b) the accreted or amortized cost basis of such investment.

The aggregate unrealized capital depreciation is calculated as the sum of the differences, if negative, between (a) the valuation of each investment in the Company's portfolio as of the applicable Capital Gains Fee calculation date and (b) the accreted or amortized cost basis of such investment.

Under the Amended and Restated Advisory Agreement, the “accreted or amortized cost basis of an investment” shall mean the accreted or amortized cost basis of such investment as reflected in the Company’s financial statements.

For the three months ended March 31, 2021, the Income-Based Fee determined in accordance with the terms of the Amended and Restated Advisory Agreement was $2.7 million. As of March 31, 2021, the Income-Based Fee of $2.7 million was unpaid and included in “Incentive management fees payable” in the accompanying Unaudited Consolidated Balance Sheet. The Company did not pay any Pre-2021 Income-Based Fee for the three months ended March 31, 2020.

The Company did not pay any capital gains fees for either of the three months ended March 31, 2021 or 2020.

Payment of Company Expenses

Under the Amended and Restated Advisory Agreement, all investment professionals of the Adviser and its staff, when and to the extent engaged in providing services required to be provided by the Adviser under the Amended and Restated Advisory Agreement, and the compensation and routine overhead expenses of such personnel allocable to such services, are provided and paid for by the Adviser and not by the Company, except that all costs and expenses relating to the Company's operations and transactions, including, without limitation, those items listed in the Amended and Restated Advisory Agreement, will be borne by the Company.

Administration Agreement

Under the terms of the Administration Agreement, the Adviser performs (or oversees, or arranges for, the performance of) the administrative services necessary for the operation of the Company, including, but not limited to, office facilities, equipment, clerical, bookkeeping and record-keeping services at such office facilities and such other services as the Adviser, subject to review by the Board, from time to time, determines to be necessary or useful to perform its obligations under the Administration Agreement. The Adviser also, on behalf of the Company and subject to oversight by the Board, arranges for the services of, and oversees, custodians, depositories, transfer agents, dividend disbursing agents, other stockholder servicing agents, accountants, attorneys, valuation experts, underwriters, brokers and dealers, corporate fiduciaries, insurers, banks and such other persons in any such other capacity deemed to be necessary or desirable.

The Company will reimburse Barings for the costs and expenses incurred by it in performing its obligations and providing personnel and facilities under the Administration Agreement in an amount to be negotiated and mutually agreed to by the Company and Barings quarterly in arrears. In no event will the agreed-upon quarterly expense amount exceed the amount of expenses that would otherwise be reimbursable by the Company under the Administration Agreement for the applicable quarterly period, and Barings will not be entitled to the recoupment of any amounts in excess of the agreed-upon quarterly expense amount. The costs and expenses incurred by the Adviser on behalf of the Company under the Administration Agreement include, but are not limited to:

•the allocable portion of the Adviser’s rent for the Company’s Chief Financial Officer and the Chief Compliance Officer and their respective staffs, which is based upon the allocable portion of the usage thereof by such personnel in connection with their performance of administrative services under the Administration Agreement;

•the allocable portion of the salaries, bonuses, benefits and expenses of the Company’s Chief Financial Officer and Chief Compliance Officer and their respective staffs, which is based upon the allocable portion of the time spent by such personnel in connection with performing administrative services for the Company under the Administration Agreement;

•the actual cost of goods and services used for the Company and obtained by the Adviser from entities not affiliated with the Company, which is reasonably allocated to the Company on the basis of assets, revenues, time records or other methods conforming with generally accepted accounting principles;

•all fees, costs and expenses associated with the engagement of a sub-administrator, if any; and

Barings BDC, Inc.

Notes to Unaudited Consolidated Financial Statements — (Continued)

•costs associated with (a) the monitoring and preparation of regulatory reporting, including registration statements and amendments thereto, prospectus supplements, and tax reporting, (b) the coordination and oversight of service provider activities and the direct cost of such contractual matters related thereto and (c) the preparation of all financial statements and the coordination and oversight of audits, regulatory inquiries, certifications and sub-certifications.

For the three months ended March 31, 2021 and March 31, 2020, the Company incurred and was invoiced by the Adviser for expenses of approximately $0.5 million and $0.4 million, respectively, under the terms of the Administration Agreement, which amounts are included in “General and administrative expenses” in the accompanying Unaudited Consolidated Statements of Operations. As of March 31, 2021, the administrative expenses of $0.5 million for the three months ended March 31, 2021 were unpaid and included in “Administrative fees payable” in the accompanying Unaudited Consolidated Balance Sheet. As of December 31, 2020, the administrative expenses of $0.7 million incurred for the three months ended December 31, 2020 were unpaid and included in “Administrative fees payable” in the accompanying Consolidated Balance Sheet.

Credit Support Agreement

In connection with the MVC Acquisition, on December 23, 2020, promptly following the closing of the Company’s merger with MVC, the Company entered into a Credit Support Agreement (the “Credit Support Agreement”) with the Adviser, pursuant to which the Adviser has agreed to provide credit support to the Company in the amount of up to $23.0 million relating to the net cumulative realized and unrealized losses on the acquired MVC investment portfolio over a 10-year period. A summary of the material terms of the Credit Support Agreement are as follows:

•The Credit Support Agreement covers all of the investments in the Reference Portfolio.

•The Adviser has an obligation to provide credit support to the Company in an amount equal to the excess of (1) the aggregate realized and unrealized losses on the Reference Portfolio over (2) the aggregate realized and unrealized gains on the Reference Portfolio, in each case from the date of the closing of the Company’s merger with MVC through the Designated Settlement Date (up to a $23.0 million cap) (such amount, the “Covered Losses”). For purposes of the Credit Support Agreement, “Designated Settlement Date” means the earlier of (1) January 1, 2031 and (2) the date on which the entire Reference Portfolio has been realized or written off. No credit support is required to be made by the Adviser to the Company under the Credit Support Agreement if the aggregate realized and unrealized gains on the Reference Portfolio exceed realized and unrealized losses of the Reference Portfolio on the Designated Settlement Date.

•The Adviser will settle any credit support obligation under the Credit Support Agreement as follows. If the Covered Losses are greater than $0.00, then, in satisfaction of the Adviser’s obligation set forth in the Credit Support Agreement, the Adviser will irrevocably waive during the Waiver Period (as defined below) (1) the incentive fees payable under the Amended and Restated Advisory Agreement (including any incentive fee calculated on an annual basis during the Waiver Period), and (2) in the event that Covered Losses exceed such incentive fee, the base management fees payable under the Amended and Restated Advisory Agreement. The “Waiver Period” means the four quarterly measurement periods immediately following the quarter in which the Designated Settlement Date occurs. If the Covered Losses exceed the aggregate amount of incentive fees and base management fees waived by the Adviser during the Waiver Period, then, on the date on which the last incentive fee or base management fee payment would otherwise be due during the Waiver Period, the Adviser shall make a cash payment to the Company equal to the positive difference between the Covered Losses and the aggregate amount of incentive fees and base management fees previously waived by the Adviser during the Waiver Period.

•The Credit Support Agreement and the rights of the Company thereunder shall automatically terminate if the Adviser (or an affiliate of the Adviser) ceases to serve as the investment adviser to the Company or any successor thereto, other than as a result of the voluntary termination by the Adviser of its investment advisory agreement with the Company. In the event of such a voluntary termination by the Adviser of the then-current investment advisory agreement with the Company, the Adviser will remain obligated to provide the credit support contemplated by the Credit Support Agreement. In the event of a non-voluntary termination of the advisory agreement or its expiration (due to non-renewal by the Board, the Adviser will have no obligations under the Credit Support Agreement.

The Credit Support Agreement is intended to give stockholders of the combined company following the MVC Acquisition downside protection from net cumulative realized and unrealized losses on the acquired MVC portfolio and insulate the combined company’s stockholders from potential value volatility and losses in MVC’s portfolio following the closing of the Company’s merger with MVC. There is no fee or other payment by the Company to the Adviser or any of its affiliates in connection with the Credit Support Agreement. Any cash payment from the Adviser to the Company under the Credit Support

Barings BDC, Inc.

Notes to Unaudited Consolidated Financial Statements — (Continued)

Agreement will be excluded from the Company’s incentive fee calculations under the Amended and Restated Advisory Agreement.

When the Company and the Adviser entered into the Credit Support Agreement, it was accounted for as a deemed contribution from the Adviser and is included in "Additional paid-in capital" in the accompanying Unaudited Consolidated Balance Sheet and Consolidated Balance Sheet. In addition, the Credit Support Agreement will be accounted for as a derivative in accordance with ASC 815, Derivatives and Hedging, and is included in "Credit support agreement" in the accompanying Unaudited Consolidated Balance Sheet and Consolidated Balance Sheet.

3. INVESTMENTS

Portfolio Composition

The Company invests predominately in senior secured private debt investments in well-established middle-market businesses that operate across a wide range of industries, as well as syndicated senior secured loans, structured product investments, bonds and ~~subordinated debt securities of privately held companies, generally secured by security interests in portfolio company assets. In addition,~~other fixed income securities. Structured product investments include collateralized loan obligations and asset-backed securities. The Adviser's existing SEC co-investment exemptive relief under the 1940 Act, permits the Company ~~generally invests in one or more equity instruments of~~and the borrower, such as direct preferred or common equity interests. The Company's investments generally range from $5.0 million to $50.0 million per portfolio company. In certain situations, we have partnered with otherAdviser's affiliated private funds and SEC-registered funds to ~~provide larger financing commitments.~~co-invest in loans originated by the Adviser, which allows the Adviser to efficiently implement its senior secured private debt investment strategy for the Company.

The cost basis of the Company's debt investments includes any unamortized ~~original issue~~purchased premium or discount, unamortized loan origination fees and ~~payment-in-kind (“PIK”)~~PIK interest, if any. Summaries of the composition of the Company’s investment portfolio at cost and fair value, and as a percentage of total investments, are shown in the following tables:


										Cost		Percentage of Total Portfolio		Fair Value		Percentage of Total Portfolio		Percentage of Total Net Assets
	Cost		Percentage of Total Portfolio		Fair Value		Percentage of Total Portfolio
September 30, 2017:
March 31, 2021:									March 31, 2021:
Senior debt and 1st lien notes									Senior debt and 1st lien notes	$	1,228,983,292	77	%	$	1,238,178,055	77	%	170	%
Subordinated debt and 2^nd lien notes	$	812,599,788	66	%	$	688,995,595	63	%	Subordinated debt and 2nd lien notes	150,273,105		10		150,597,961		9		21
Senior debt and 1^st lien notes	290,613,735		23		270,479,180		25
Structured products									Structured products	23,163,888		1		26,153,607		2		4
Equity shares	133,883,175		11		131,120,904		12		Equity shares	42,543,214		3		39,617,746		2		5
Equity warrants	1,691,617		—		596,000		—		Equity warrants	1,235,383		—		1,434,309		—		—
Investment in joint ventures / PE fund									Investment in joint ventures / PE fund	68,782,532		4		72,576,383		5		10
Short-term investments									Short-term investments	73,569,174		5		73,565,676		5		10
	$	1,238,788,315	100	%	$	1,091,191,679	100	%		$	1,588,550,588	100	%	$	1,602,123,737	100	%	220	%
December 31, 2016:
December 31, 2020:									December 31, 2020:
Senior debt and 1st lien notes									Senior debt and 1st lien notes	$	1,167,436,742	79	%	$	1,171,250,512	79	%	163	%
Subordinated debt and 2^nd lien notes	$	753,635,857	69	%	$	690,159,367	67	%	Subordinated debt and 2nd lien notes	137,776,808		9		138,767,120		9		19
Senior debt and 1^st lien notes	198,616,110		18		191,643,157		18
Structured products									Structured products	30,071,808		2		32,508,845		2		5
Equity shares	140,524,807		13		154,216,657		15		Equity shares	44,693,645		3		44,651,114		3		6
Equity warrants	4,154,717		—		1,888,000		—		Equity warrants	1,235,383		—		1,300,197		—		—
Investment in joint ventures / PE fund									Investment in joint ventures / PE fund	39,282,532		3		41,759,922		3		6
Short-term investments									Short-term investments	65,558,227		4		65,558,227		4		9
	$	1,096,931,491	100	%	$	1,037,907,181	100	%		$	1,486,055,145	100	%	$	1,495,795,937	100	%	208	%

During the three months ended ~~September 30, 2017,~~March 31, 2021, the Company made ~~seven~~18 new investments totaling ~~approximately $110.3~~$172.2 million, ~~and~~made investments in ~~sixteen~~ existing portfolio companies totaling ~~approximately $30.2 million. During the nine months ended September 30, 2017, the Company~~$73.2 million, made ~~twenty-two~~a new ~~investments~~joint venture equity investment totaling ~~approximately $328.2~~$4.5 million and additional investments in ~~twenty-five existing~~joint venture equity portfolio companies totaling ~~approximately $63.3~~$25.0 million.

During the three months ended ~~September 30, 2016,~~March 31, 2020, the Company made ~~three~~30 new investments totaling ~~approximately $83.9~~$111.2 million and made investments in ~~nine~~ existing portfolio companies totaling ~~approximately $4.5~~$20.9 million. ~~During the nine months ended September 30, 2016,~~

Barings BDC, Inc.

Notes to Unaudited Consolidated Financial Statements — (Continued)

The industry composition of investments at fair value at March 31, 2021 and December 31, 2020, excluding short-term investments, was as follows:


	March 31, 2021				December 31, 2020
Aerospace and Defense	$	103,612,237	6.8	%	$	82,501,170	5.8	%
Automotive	59,394,262		3.9		61,581,980		4.3
Banking, Finance, Insurance and Real Estate	118,580,033		7.8		99,099,552		6.9
Beverage, Food and Tobacco	16,900,033		1.1		15,404,126		1.1
Capital Equipment	32,078,431		2.1		30,899,579		2.2
Chemicals, Plastics, and Rubber	31,917,870		2.1		32,378,972		2.3
Construction and Building	65,281,876		4.3		59,861,616		4.2
Consumer goods: Durable	38,394,329		2.5		38,165,784		2.7
Consumer goods: Non-durable	33,371,033		2.2		28,081,580		2.0
Containers, Packaging and Glass	7,407,821		0.5		9,018,983		0.6
Energy: Electricity	16,490,359		1.1		17,627,935		1.2
Energy: Oil and Gas	3,662,649		0.2		788,105		0.1
Environmental Services	11,616,266		0.8		—		—
Healthcare and Pharmaceuticals	148,719,048		9.7		142,708,050		10.0
High Tech Industries	165,576,202		10.8		152,413,985		10.6
Hotel, Gaming and Leisure	16,677,421		1.1		10,682,093		0.7
Investment Funds and Vehicles	72,576,383		4.7		41,759,922		2.9
Media: Advertising, Printing and Publishing	67,947,381		4.4		54,123,033		3.8
Media: Broadcasting and Subscription	5,648,515		0.4		6,464,741		0.4
Media: Diversified and Production	43,257,677		2.8		48,200,216		3.4
Metals and Mining	18,640,733		1.2		17,857,236		1.2
Retail	—		—		1,983,083		0.1
Services: Business	218,683,424		14.3		209,974,914		14.7
Services: Consumer	58,147,463		3.8		54,450,324		3.8
Structured Products	26,153,607		1.7		32,508,845		2.3
Telecommunications	30,936,630		2.0		43,021,001		3.0
Transportation: Cargo	64,766,643		4.2		91,132,943		6.4

Utilities: Electric	8,999,781		0.6		8,987,929		0.6
Utilities: Oil and Gas	11,683,609		0.8		11,645,956		0.8
Wholesale	31,436,345		2.1		26,914,057		1.9
Total	$	1,528,558,061	100.0	%	$	1,430,237,710	100.0	%

Jocassee Partners LLC

On May 8, 2019, the Company ~~made six new~~entered into an agreement with South Carolina Retirement Systems Group Trust ("SCRS") to create and co-manage Jocassee Partners LLC ("Jocassee"), a joint venture, which invests in a highly diversified asset mix including senior secured, middle-market, private debt investments, ~~totaling approximately $130.2~~syndicated senior secured loans and structured product investments. The Company and SCRS committed to initially provide $50.0 million and $500.0 million, respectively, of equity capital to Jocassee. Equity contributions will be called from each member on a pro-rata basis, based on their equity commitments. As of March 31, 2021, Jocassee had $272.1 million in senior secured private middle-market debt investments, $0.7 million in second lien and subordinated private middle-market debt investments, $384.5 million in U.S. syndicated senior secured loans, $9.1 million in U.S. syndicated second lien and subordinated loans, $146.8 million in European syndicated senior secured loans, $5.7 million in structured product investments, $5.4 million in equity investments, $100.0 million in joint venture investments and $21.5 million in short-term investments.As of December 31, 2020, Jocassee had $180.6 million in senior secured private middle-market debt investments, $382.9 million in U.S. syndicated senior secured loans, $161.5 million in European syndicated senior secured loans, $25.6 million in structured product investments, $5.8 million in an equity investment, $90.1 million in a joint venture investment and $23.1 million in short-term investments.

Barings BDC, Inc.

Notes to Unaudited Consolidated Financial Statements — (Continued)

The Company may sell portions of its investments via assignment to Jocassee. Since inception, as of March 31, 2021 and December 31, 2020, the Company had sold $256.9 million and $162.2 million, respectively, of its investments to Jocassee. As of each of March 31, 2021 and December 31, 2020, the Company had $44.2 million in unsettled receivables due from Jocassee that were included in "Receivable from unsettled transactions" in the accompanying Unaudited and Audited Consolidated Balance Sheets. The sale of the investments met the criteria set forth in ASC 860, Transfers and Servicing for treatment as a sale and satisfies the following conditions:

•Assigned investments have been isolated from the Company, and put presumptively beyond the reach of the Company and its creditors, even in bankruptcy or other receivership;

•each participant has the right to pledge or exchange the assigned investments it received, and no condition both constrains the participant from taking advantage of its right to pledge or exchange and provides more than a trivial benefit to the Company; and

•the Company, its consolidated affiliates or its agents do not maintain effective control over the assigned investments through either: (i) an agreement that entitles and/or obligates the Company to repurchase or redeem the assets before maturity, or (ii) the ability to unilaterally cause the holder to return specific assets, other than through a cleanup call.

The Company has determined that Jocassee is an investment company under ASC, Topic 946, Financial Services - Investment Companies, however, in accordance with such guidance, the Company will generally not consolidate its investment in a company other than a substantially wholly owned investment company subsidiary, which is an extension of the operations of the Company, or a controlled operating company whose business consists of providing services to the Company. The Company does not consolidate its interest in Jocassee as it is not a substantially wholly owned investment company subsidiary. In addition, the Company does not control Jocassee due to the allocation of voting rights among Jocassee members.

As of March 31, 2021 and December 31, 2020, Jocassee had the following commitments, contributions and unfunded commitments from its members:


	As of March 31, 2021
Member	Total Commitments		Contributed Capital		Return of Capital (not recallable)		Unfunded Commitments
Barings BDC, Inc.	$	50,000,000	$	25,000,000	$	—	$	25,000,000
South Carolina Retirement Systems Group Trust	500,000,000		250,000,000		—		250,000,000
Total	$	550,000,000	$	275,000,000	$	—	$	275,000,000

	As of December 31, 2020
Member	Total Commitments		Contributed Capital		Return of Capital (not recallable)		Unfunded Commitments
Barings BDC, Inc.	$	50,000,000	$	20,000,000	$	—	$	30,000,000
South Carolina Retirement Systems Group Trust	500,000,000		200,000,000		—		300,000,000
Total	$	550,000,000	$	220,000,000	$	—	$	330,000,000

Thompson Rivers LLC

On April 28, 2020, Thompson Rivers LLC (“Thompson Rivers”) was formed as a Delaware limited liability company. On May 13, 2020, the Company entered into a limited liability company agreement with Jocassee. The Company and Jocassee committed to initially provide $10.0 million and $90.0 million, respectively, of equity capital to Thompson Rivers. Equity contributions (and equity ownership) are on a pro-rata basis, based on their equity commitments (10% for the Company and 90% for Jocassee). On January 29, 2021, the Company and Jocassee entered into a Second Amended and Restated Limited Liability Company Agreement (“Amended LLC Agreement”). The Amended LLC Agreement increased the Company's commitment to $30.0 million. As of March 31, 2021, Thompson Rivers had $938.8 million in Ginnie Mae early buyout loans and $62.1 million in cash. As of December 31, 2020, Thompson Rivers had $715.2 million in Ginnie Mae early buyout loans.

Barings BDC, Inc.

Notes to Unaudited Consolidated Financial Statements — (Continued)

The Company has determined that Thompson Rivers is an investment company under ASC, Topic 946, Financial Services - Investment Companies, however, in accordance with such guidance, the Company will generally not consolidate its investment in a company other than a substantially wholly owned investment company subsidiary, which is an extension of the operations of the Company, or a controlled operating company whose business consists of providing services to the Company. The Company does not consolidate its interest in Thompson Rivers as it is not a substantially wholly owned investment company subsidiary. In addition, the Company does not control Thompson Rivers due to the allocation of voting rights among Thompson Rivers members.

As of March 31, 2021 and December 31, 2020, Thompson Rivers had the following commitments, contributions and unfunded commitments from its members:


	As of March 31, 2021
Member	Total Commitments		Contributed Capital		Return of Capital (not recallable)		Unfunded Commitments
Barings BDC, Inc.	$	30,000,000	$	30,000,000	$	—	$	—
Jocassee Partners LLC	90,000,000		90,000,000		—		—
Total	$	120,000,000	$	120,000,000	$	—	$	—

	As of December 31, 2020
Member	Total Commitments		Contributed Capital		Return of Capital (not recallable)		Unfunded Commitments
Barings BDC, Inc.	$	10,000,000	$	10,000,000	$	—	$	—
Jocassee Partners LLC	90,000,000		90,000,000		—		—
Total	$	100,000,000	$	100,000,000	$	—	$	—

Waccamaw River LLC

On January 4, 2021, Waccamaw River LLC (“Waccamaw River”) was formed as a Delaware limited liability company. On February 8, 2021, the Company entered into a limited liability company agreement (“Waccamaw LLC Agreement”) with Jocassee. The Company and Jocassee have committed to initially each provide $25.0 million, of equity capital to Waccamaw River. Equity contributions (and equity ownership) are on a pro-rata basis, based on their equity commitments (50% for the Company and 50% for Jocassee). As of March 31, 2021, Waccamaw River had $7.8 million in unsecured consumer loans and $0.6 million in cash.

The Company has determined that Waccamaw River is an investment company under ASC, Topic 946, Financial Services - Investment Companies, however, in accordance with such guidance, the Company will generally not consolidate its investment in a company other than a substantially wholly owned investment company subsidiary, which is an extension of the operations of the Company, or a controlled operating company whose business consists of providing services to the Company. The Company does not consolidate its interest in Waccamaw River as it is not a substantially wholly owned investment company subsidiary. In addition, the Company does not control Waccamaw River due to the allocation of voting rights among Waccamaw River members.

As of March 31, 2021, Waccamaw River had the following commitments, contributions and unfunded commitments from its members:


	As of March 31, 2021
Member	Total Commitments		Contributed Capital		Return of Capital (not recallable)		Unfunded Commitments
Barings BDC, Inc.	$	25,000,000	$	4,500,000	$	—	$	20,500,000
Jocassee Partners LLC	25,000,000		4,500,000		—		20,500,000
Total	$	50,000,000	$	9,000,000	$	—	$	41,000,000

Barings BDC, Inc.

Notes to Unaudited Consolidated Financial Statements — (Continued)

Valuation of Investments

The Company conducts the valuation of its investments, upon which its net asset value is primarily based, in accordance with its valuation policy, as well as established and documented processes and methodologies for determining the fair values of portfolio company investments on a recurring (at least quarterly) basis in accordance with the 1940 Act and FASB ASC Topic 820, Fair Value Measurements and Disclosures ("ASC Topic 820"). The Company's current valuation policy and processes were established by the Adviser and have been approved by the Board.

Under ASC Topic 820, there are three levels of valuation inputs, as follows:

Level 1 Inputs – include quoted prices (unadjusted) in active markets for identical assets or liabilities.

Level 2 Inputs – include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument.

Level 3 Inputs – include inputs that are unobservable and significant to the fair value measurement.

A financial instrument is categorized within the ASC Topic 820 valuation hierarchy based upon the lowest level of input to the valuation process that is significant to the fair value measurement. For example, a Level 3 fair value measurement may include inputs that are observable (Levels 1 and 2) and unobservable (Level 3). Therefore, unrealized appreciation and depreciation related to such investments categorized as Level 3 investments within the tables below may include changes in fair value that are attributable to both observable inputs (Levels 1 and 2) and unobservable inputs (Level 3).

The Company’s investment portfolio includes certain debt and equity instruments of privately held companies for which quoted prices or other observable inputs falling within the categories of Level 1 and Level 2 are generally not available. In such cases, the Company determines the fair value of its investments in ~~seventeen existing~~good faith primarily using Level 3 inputs. In certain cases, quoted prices or other observable inputs exist, and if so, the Company assesses the appropriateness of the use of these third-party quotes in determining fair value based on (i) its understanding of the level of actual transactions used by the broker to develop the quote and whether the quote was an indicative price or binding offer and (ii) the depth and consistency of broker quotes and the correlation of changes in broker quotes with the underlying performance of the portfolio ~~companies totaling approximately $33.7 million.~~company.

There is no single standard for determining fair value in good faith, as fair value depends upon the specific circumstances of each individual investment. The recorded fair values of the Company’s Level 3 investments may differ significantly from fair values that would have been used had an active market for the securities existed. In addition, changes in the market environment and other events that may occur over the life of the investments may cause the gains or losses ultimately realized on these investments to be different than the valuations currently assigned.

Investment Valuation Process

The ~~Company~~Adviser has established a ~~valuation policy, as well as established~~pricing committee that is, subject to the oversight of the Board, responsible for the approval, implementation and ~~documented~~oversight of the processes and methodologies ~~for determining~~that relate to the ~~fair values~~pricing and valuation of assets held by the Company. The Adviser uses independent third-party providers to price the portfolio, ~~company investments on a recurring basis~~but in the event an acceptable price cannot be obtained from an approved external source, the Adviser will utilize alternative methods in accordance with ~~the 1940 Act and FASB ASC Topic 820,~~ ~~Fair Value Measurements and Disclosures~~ ~~(“ASC Topic 820”). The Company's valuation policy and processes were~~internal pricing procedures established by ~~management~~the Adviser's pricing committee.

At least annually, the Adviser conducts reviews of the ~~Company with~~primary pricing vendors to validate that the ~~assistance of certain third-party advisors and were approved by~~inputs used in the ~~Board. Under ASC Topic 820, there~~vendors’ pricing process are ~~three levels of valuation inputs, as follows:~~

~~Level 1 Inputs~~ ~~– include quoted prices (unadjusted) in active markets for identical assets or liabilities.~~

~~Level 2 Inputs~~ ~~– include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for~~deemed to be market observable. While the ~~asset or liability, either directly or indirectly, for substantially the full term~~Adviser is not provided access to proprietary models of the ~~financial instrument.~~

~~Level 3 Inputs~~ ~~– include inputs that are unobservable~~vendors, the reviews have included on-site walkthroughs of the pricing process, methodologies and ~~significant to the fair value measurement.~~

~~The Company’s investment portfolio is primarily comprised of debt~~control procedures for each asset class and ~~equity instruments of privately held companies~~level for which ~~quoted~~ prices ~~or other~~are provided. The review also includes an examination of the underlying inputs ~~falling within~~and assumptions for a sample of individual securities across asset classes, credit rating levels and various durations, a process the ~~categories~~Adviser continues to perform annually. In addition, the pricing vendors have an established challenge process in place for all security valuations, which facilitates identification and resolution of ~~Level 1 and Level 2~~prices that fall outside expected ranges. The Adviser believes that the prices received from the pricing vendors are ~~generally not available. Therefore,~~representative of prices that would be received to sell the ~~Company determines~~assets at the ~~fair value of its investments in good faith primarily using Level 3 inputs. In certain~~measurement date (i.e., exit prices).

~~TRIANGLE CAPITAL CORPORATION~~Barings BDC, Inc.

Notes to Unaudited Consolidated Financial Statements — (Continued)

The Company's money market fund investments are generally valued using Level 1 inputs and its equity investments listed on an exchange or on the NASDAQ National Market System are valued using Level 1 inputs, using the last quoted sale price of that day. The Company’s syndicated senior secured loans and structured product investments are generally valued using Level 2 inputs, which are generally valued at the bid quotation obtained from dealers in loans by an independent pricing service. The Company's middle-market, private debt and equity investments are generally valued using Level 3 inputs.

~~cases, quoted prices~~Independent Valuation

The fair value of loans and equity investments that are not syndicated or ~~other observable inputs may exist,~~for which market quotations are not readily available, including middle-market loans, are generally submitted to independent providers to perform an independent valuation on those loans and ~~if so, the Company assesses the appropriateness~~equity investments as of the ~~use~~end of ~~these third-party quotes in determining~~each quarter. Such loans and equity investments are initially held at cost, as that is a reasonable approximation of fair value ~~based~~ on ~~(i) its understanding~~the acquisition date, and monitored for material changes that could affect the valuation (for example, changes in interest rates or the credit quality of the ~~level of actual transactions used by~~borrower). At the ~~broker~~quarter end following the initial acquisition, such loans and equity investments are generally sent to develop the quote and whether the quote was an indicative price or binding offer and (ii) the depth and consistency of broker quotes and the correlation of changes in broker quotes with the underlying performance of the portfolio company.

~~Under ASC Topic 820,~~ a ~~financial instrument is categorized within the ASC Topic 820~~ valuation hierarchy based upon the lowest level of input to the valuation process that is significant to the fair value measurement. For example, a Level 3 fair value measurement may include inputs that are observable (Levels 1 and 2) and unobservable (Level 3). Therefore, unrealized appreciation and depreciation related to such investments categorized as Level 3 investments within the tables below may include changes in fair value that are attributable to both observable inputs (Levels 1 and 2) and unobservable inputs (Level 3).

There is no single standard for determining fair value in good faith, as fair value depends upon the specific circumstances of each individual investment. The recorded fair values of the Company’s investments may differ significantly from fair values that would have been used had an active market for the securities existed. In addition, changes in the market environment and other events that may occur over the life of the investments may cause the gains or losses ultimately realized on these investments to be different than the valuations currently assigned.

The Company’s valuation process is led by the Company’s executive officers. The Company’s valuation process begins with a quarterly review of each investment in the Company’s investment portfolio by the Company’s executive officers and investment committee. Valuations of each portfolio security are then prepared by the Company’s investment professionals, who have direct responsibility for the origination, management and monitoring of each investment. Under the Company’s valuation policy, each investment valuation is subject to (i) a review by the lead investment officer responsible for the portfolio company investment and (ii) a peer review by a second investment officer or executive officer of the Company. Generally, any investment that is valued below cost is subjected to review by one of the Company’s executive officers. After the peer review is complete, the Company engages two independent valuation firms, including Duff & Phelps, LLC (collectively, the “Valuation Firms”), to provide third-party reviews of certain investments, as described further below. Finally, the Board has the responsibility for reviewing and approving, in good faith,provider which will determine the fair value of each investment. The independent valuation providers apply various methods (synthetic rating analysis, discounting cash flows, and re-underwriting analysis) to establish the ~~Company’s investments~~rate of return a market participant would require (the “discount rate”) as of the valuation date, given market conditions, prevailing lending standards and the perceived credit quality of the issuer. Future expected cash flows for each investment are discounted back to present value using these discount rates in ~~accordance~~the discounted cash flow analysis. A range of values will be provided by the valuation provider and the Adviser will determine the point within that range that it will use in making valuation recommendations to the Board, and will report to the Board on its rationale for each such determination. The Adviser uses its internal valuation model as a comparison point to validate the price range provided by the valuation provider and, where applicable, in determining the point within that range that it will use in making valuation recommendations to the Board. If the Adviser’s pricing committee disagrees with the ~~1940 Act.~~

~~The Valuation Firms provide third-party valuation consulting services~~price range provided, it may make a fair value recommendation to the ~~Company which consist of certain procedures~~Board that the Company identified and requested the Valuation Firms to perform (hereinafter referred to as the “Procedures”). The Procedures are performed with respect to each portfolio company at least once in every calendar year and for new portfolio companies, at least once in the twelve-month period subsequent to the initial investment. In addition, the Procedures are generally performed with respect to a portfolio company when there has been a significant change in the fair valueis outside of the ~~investment.~~range provided by the independent valuation provider, and will notify the Board of any such override and the reasons therefore. In certain instances, the Company may determine that it is not cost-effective, and as a result is not in the ~~Company’s stockholders’~~stockholders' best ~~interest,~~interests, to request ~~the Valuation Firms~~an independent valuation firm to perform ~~the Procedures~~an independent valuation on ~~one or more portfolio companies.~~certain investments. Such instances include, but are not limited to, situations where the fair value of the investment in the portfolio company is determined to be insignificant relative to the total investment portfolio.

~~The total number of~~Pursuant to these procedures, the Board determines in good faith whether the Company's investments were valued at fair value in accordance with the Company's valuation policies and procedures and the ~~percentage~~1940 Act based on, among other things, the input of Barings, the Company’s Audit Committee and the independent valuation firm.

Valuation Techniques

The Company's valuation techniques are based upon both observable and unobservable pricing inputs. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect the Company's market assumptions. The Company's assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the financial instrument. An independent pricing service provider is the preferred source of pricing a loan, however, to the extent the independent pricing service provider price is unavailable or not relevant and reliable, the Company will utilize alternative approaches such as broker quotes or manual prices. The Company attempts to maximize the use of observable inputs and minimize the use of unobservable inputs. The availability of observable inputs can vary from investment ~~portfolio on which~~to investment and is affected by a wide variety of factors, including the ~~Procedures were performed are summarized below by period:~~type of security, whether the security is new and not yet established in the marketplace, the liquidity of markets and other characteristics particular to the security.

Valuation of Investment in Jocassee

For the quarter ended:
Total
companies

Percent of total
investments at
fair value⁽¹⁾
March 31, 2016 18 27%
June 30, 2016 19 30%
September 30, 2016 19 33%
December 31, 2016 20 33%
March 31, 2017 18 30%
June 30, 2017 20 29%
September 30, 2017 22
25%

~~Upon completion of the Procedures, the Valuation Firms concluded that, with respect to each investment reviewed by each Valuation Firm,~~The Company estimates the fair value of ~~those investments subjected to~~its investment in Jocassee using the ~~Procedures appeared reasonable.~~NAV of Jocassee and its ownership percentage. The ~~Board~~NAV of Jocassee is ~~ultimately responsible~~determined in accordance with the specialized accounting guidance for ~~determining~~investment companies.

Valuation of Investment in Thompson Rivers

The Company estimates the fair value of its investment in Thompson Rivers using the ~~Company’s investments~~NAV of Thompson Rivers and its ownership percentage. The NAV of Thompson Rivers is determined in ~~good faith.~~accordance with the specialized accounting guidance for investment companies.

Valuation of Investment in Waccamaw River

~~Investment Valuation Inputs~~

Under ASC Topic 820, fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between a willing buyer and a willing seller at the measurement date. For the Company’s portfolio securities, fair value is generally the amount that the Company might reasonably expect to receive upon the current sale of the security. Under ASC Topic 820, the fair value measurement assumes that the sale occurs in the principal market for the security, or in the absence of a principal market, in the most advantageous market for the security. Under ASC Topic 820, if no market for the security exists or if the Company does not have access to the principal market, the security should be valued based on the sale occurring in a hypothetical market. The securities in which the Company invests are generally only purchased and sold in merger and acquisition transactions, in which case the entire portfolio company is sold to a third-party purchaser. As a result, unless the Company has the ability to control such a transaction, the assumed principal market for the Company’s securities is a hypothetical secondary market. The Level 3 inputs to the Company’s valuation process reflect the Company’s best estimate of the assumptions that would be used by market participants in pricing the investment in a transaction in a hypothetical secondary market.

~~Enterprise Value Waterfall Approach~~

In valuing equity securities (including warrants), the Company estimates fair value using an “Enterprise Value Waterfall” valuation model. The Company estimates the enterprise value of a portfolio company and then allocates the enterprise value to the portfolio company’s securities in order of their relative liquidation preference. In addition, the model assumes that any outstanding debt or other securities that are senior to the Company’s equity securities are required to be repaid at par. Additionally, the Company estimates the fair value of ~~a limited number~~its investment in Waccamaw River using the NAV of Waccamaw River and its ownership percentage. The NAV of Waccamaw River is determined in accordance with the specialized accounting guidance for investment companies.

Valuation of Investments in MVC Private Equity Fund LP

The Company estimates the fair value of its ~~debt securities~~investment in MVC Private Equity Fund LP (the "MVC PE Fund") using the ~~Enterprise Value Waterfall approach~~NAV of the MVC PE Fund and its ownership percentage. The NAV of the MVC PE Fund is determined in ~~cases where~~accordance with the specialized accounting guidance for investment companies.

Level 3 Unobservable Inputs

The following tables summarize the significant unobservable inputs the Company ~~does not expect to receive full repayment.~~

~~To estimate~~used in the ~~enterprise~~valuation of its Level 3 debt and equity securities as of March 31, 2021 and December 31, 2020. The weighted average range of unobservable inputs is based on fair value of ~~the portfolio company,~~investments.

March 31, 2021:

Fair Value

Valuation
Model

Level 3
Input

Range of
Inputs

Weighted
Average

Senior debt and 1st lien notes(1)(2)

886,013,699

Yield Analysis

Market Yield

5.4% – 18.2%

7.8%

3,000,000

Liquidation Analysis

Adjusted EBITDA Multiple

0.1x – 0.1x

0.10x

231,246,561

Recent Transaction

Transaction Price

97.0% – 99.0%

98.0%

Subordinated debt and 2nd lien notes(3)

102,508,414

Yield Analysis

Market Yield

8.5% – 28.0%

18.6%

21,416,118

Market Approach

Adjusted EBITDA Multiple

3.5x – 7.5x

4.8x

15,733,031

Recent Transaction

Transaction Price

97.2% – 98.8%

97.4%

Equity shares(4)

31,596,895

Market Approach

Adjusted EBITDA Multiple

3.5x – 16.3x

5.3x

4,945,906

Real Estate - Cost Approach

Replacement Cost (CZK/m2)

1,237 to 1,892

1,892

Real Estate - Cost Approach

Depreciation Factor

0.50 to 1.00

0.81

Real Estate - Income Approach

Market Rent
CZK/Year

CZK5,011,718 to CZK8,700,000

CZK5,011,718

Real Estate - Income Approach

Cap Rate

6.0% to 7.0%

6.5%

Real Estate - Income Approach

Adj. Factor for
Development Zone

n/a

1.15

187,235

Recent Transaction

Transaction Price

Equity warrants

976,978

Market Approach

Adjusted EBITDA Multiple

5.5x-13.4x

6.1x

(1)Excludes investments with an aggregate fair value amounting to $6,416,810, which the Company ~~primarily uses~~valued using unadjusted prices from independent pricing services and independent indicative broker quotes where pricing inputs are not readily available.

(2)Senior debt investments with a ~~valuation model based on a transaction multiple,~~total fair value of $12,704,389, were valued using unobservable market transactions.

(3)Excludes investments with an aggregate fair value amounting to $4,512,617, which ~~generally is the original transaction multiple, and measures of the portfolio company’s financial performance. In addition,~~ the Company ~~considers other factors, including but~~valued using unadjusted prices from independent pricing services and independent indicative broker quotes where pricing inputs are not ~~limited~~readily available.

(4)Excludes investments with an aggregate fair value amounting to (i) offers from third parties to purchase the portfolio company, (ii) the implied value of recent investments in the equity securities of the portfolio company, (iii) publicly available information regarding recent sales of private companies in comparable transactions and (iv) when$88,290, which the Company ~~believes there~~valued using unadjusted prices from independent pricing services and independent indicative broker quotes where pricing inputs are comparable companies that are publicly traded, the Company performs a review of these publicly traded companies and the market multiple of their equity securities. For certain non-performing assets, the Company may utilize the liquidation or collateral value of the portfolio company's assets in its estimation of enterprise value.not readily available.

The significant Level 3 inputs to the Enterprise Value Waterfall model are (i) an appropriate transaction multiple and (ii) a measure of the portfolio company’s financial performance, which generally is either earnings before interest, taxes, depreciation and amortization, as adjusted (“Adjusted EBITDA”) or revenues. Such inputs can be based on historical operating results, projections of future operating results or a combination thereof. The operating results of a portfolio company may be unaudited, projected or pro forma financial information and may require adjustments for certain non-recurring items. In determining the operating results input, the Company utilizes the most recent portfolio company financial statements and forecasts available as of the valuation date. The Company also consults with the portfolio company’s senior management to obtain updates on the portfolio company’s performance, including information such as industry trends, new product development, loss of customers and other operational issues.

Fair value measurements using the Enterprise Value Waterfall model can be sensitive to changes in one or more of the inputs. Assuming all other inputs to the Enterprise Value Waterfall model remain constant, any increase (decrease) in either the transaction multiple, Adjusted EBITDA or revenues for a particular equity security would result in a higher (lower) fair value for that security.

In valuing debt securities, the Company utilizes an “Income Approach” model that considers factors including, but not limited to, (i) the stated yield on the debt security, (ii) the portfolio company’s current Adjusted EBITDA as compared to the portfolio company’s historical or projected Adjusted EBITDA as of the date the investment was made and the portfolio company’s anticipated Adjusted EBITDA for the next twelve months of operations, (iii) the portfolio company’s current Leverage Ratio (defined as the portfolio company’s total indebtedness divided by Adjusted EBITDA) as compared to its Leverage Ratio as of the date the investment was made, (iv) publicly available information regarding current pricing and credit metrics for similar proposed and executed investment transactions of private companies and (v) when the Company believes a relevant comparison exists, current pricing and credit metrics for similar proposed and executed investment transactions of

December 31, 2020:

Fair Value

Valuation
Model

Level 3
Input

Range of
Inputs

Weighted
Average

Senior debt and 1st lien notes(1)

650,550,710

Yield Analysis

Market Yield

4.7% – 16.2%

7.4%

3,000,000

Liquidation Analysis

Adjusted EBITDA Multiple

0.05x – 0.15x

0.10x

399,692,333

Recent Transaction

Transaction Price

96.0% – 100.0%

97.8%

Subordinated debt and 2nd lien notes(2)

109,851,771

Yield Analysis

Market Yield

6.0% – 26.0%

16.7%

13,933,960

Market Approach

Adjusted EBITDA Multiple

5.0x – 6.0x

5.5x

4,959,088

Recent Transaction

Transaction Price

100%

Equity shares(3)

39,178,157

Market Approach

Adjusted EBITDA Multiple

0.8x – 11.8x

4.8x

4,752,997

Real Estate - Cost Approach

Replacement Cost (CZK/m2)

1,237 to 1,892

1,892

Real Estate - Cost Approach

Depreciation Factor

0.50 to 1.00

0.81

Real Estate - Income Approach

Market Rent
CZK/Year

CZK5,011,718 to CZK8,700,000

CZK5,011,718

Real Estate - Income Approach

Cap Rate

6.0% to 7.0%

6.5%

Real Estate - Income Approach

Adj. Factor for
Development Zone

n/a

1.15

227,200

Recent Transaction

Transaction Price

$1,000

Equity warrants

1,133,781

Market Approach

Adjusted EBITDA Multiple

4.8x-9.0x

6.0x

~~publicly traded debt. In addition,~~(1)Excludes investments with an aggregate fair value amounting to $2,474,068, which the Company ~~uses a risk rating system~~valued using unadjusted prices from independent pricing services and independent indicative broker quotes where pricing inputs are not readily available.

(2)Excludes investments with an aggregate fair value amounting to ~~estimate~~$2,075,117, which the ~~probability of default on~~Company valued using unadjusted prices from independent pricing services and independent indicative broker quotes where pricing inputs are not readily available.

(3)Excludes investments with an aggregate fair value amounting to $68,670, which the ~~debt securities~~Company valued using unadjusted prices from independent pricing services and ~~the probability of loss if there is a default. This risk rating system covers both qualitative and quantitative aspects~~independent indicative broker quotes where pricing inputs are not readily available.

Significant increases or decreases in any of the ~~business and the securities held.~~

~~The Company considers the factors~~ above ~~particularly any significant~~unobservable inputs in isolation, including changes in ~~the portfolio company’s results of operations and leverage, and develops an expectation of the yield that a hypothetical~~ market ~~participant would require when purchasing the debt investment (the “Required Rate of Return”). The Required Rate of Return, along with the Leverage Ratio and Adjusted~~yields, discount rates or EBITDA are the significant Level 3 inputs to the Income Approach model. For investments where the Leverage Ratio and Adjusted EBITDA have not fluctuated significantly from the date the investment was made or have not fluctuated significantly from the Company’s expectations as of the date the investment was made, and where there have been no significant fluctuations in the market pricing for such investments, the Companymultiples, may conclude that the Required Rate of Return is equal to the stated rate on the investment and therefore, the debt security is appropriately priced. In instances where the Company determines that the Required Rate of Return is different from the stated rate on the investment, the Company discounts the contractual cash flows on the debt instrument using the Required Rate of Return in order to estimatechange the fair value of ~~the debt security.~~

~~Fair value measurements using the Income Approach model can be sensitive to changes in one or more~~certain of the ~~inputs. Assuming all other inputs to the Income Approach model remain constant, any~~Company’s investments. Generally, an increase ~~(decrease)~~ in ~~the Required Rate of Return~~market yields or ~~Leverage Ratio inputs for a particular debt security would~~decrease in EBITDA multiples may result in a ~~lower (higher) fair value for that security. Assuming all other inputs to the Income Approach model remain constant, any increase (decrease)~~decrease in ~~the Adjusted EBITDA input for a particular debt security would result in a higher (lower) fair value for that security.~~

~~The fair value of the Company’s royalty rights are calculated based on specific provisions contained in the pertinent operating or royalty agreements. The determination of~~ the fair value of ~~such royalty rights is not a significant component~~certain of the ~~Company’s valuation process.~~

The ranges and weighted average values of the significant Level 3 inputs used in the valuation of the Company’s debt and equity securities at September 30, 2017 and December 31, 2016 are summarized as follows:Company's investments.

September 30, 2017: Fair Value(1)
Valuation
Model

Level 3
Inputs

Range of
Inputs

Weighted
Average
Subordinated debt and 2nd lien notes $ 637,935,010

Income
Approach
Required Rate of Return 9.6% – 25.0% 12.1%
Leverage Ratio 1.6x – 10.3x 4.7x
Adjusted EBITDA $2.6 million – $280.6 million $45.9 million
Subordinated debt and 2nd lien notes 40,077,000

Enterprise
Value Waterfall
Approach
Adjusted EBITDA Multiple 3.9x – 10.0x 6.9x
Adjusted EBITDA $1.8 million – $31.4 million $11.2 million
Revenue Multiple 0.8x – 0.8x 0.8x
Revenues $80.0 million – $80.0 million $80.0 million
Senior debt and 1^st lien notes
270,479,180

Income
Approach
Required Rate of Return 6.8% – 25.0% 11.4%
Leverage Ratio 1.0x – 7.4x 4.0x
Adjusted EBITDA $3.5 million – $129.5 million $17.4 million
Equity shares and warrants 131,716,904

Enterprise
Value Waterfall
Approach
Adjusted EBITDA Multiple 3.3x – 14.9x 7.7x
Adjusted EBITDA $0.5 million – $60.0 million $15.9 million
Revenue Multiple 0.8x – 3.0x 1.2x
Revenues $17.5 million – $80.0 million $52.8 million


~~(1)~~	~~One subordinated debt investment with a fair value of $10,983,585 was repaid subsequent to the end of the reporting period and was valued at its transaction price.~~

~~TRIANGLE CAPITAL CORPORATION~~Barings BDC, Inc.

Notes to Unaudited Consolidated Financial Statements — (Continued)

December 31, 2016: Fair Value(1) Valuation
Model Level 3
Input Range of
Inputs Weighted
Average
Subordinated debt and 2nd lien notes $ 646,856,367
Income
Approach Required Rate of Return 9.5% – 35.0% 13.8%
Leverage Ratio 0.1x – 9.5x 4.8x
Adjusted EBITDA $2.6 million – $169.8 million $27.9 million
Subordinated debt and 2nd lien notes 19,790,000
Enterprise
Value Waterfall
Approach Adjusted EBITDA Multiple 5.0x – 6.7x 5.8x
Adjusted EBITDA $0.6 million – 4.9 million $2.1 million
Revenue Multiple 0.8x – 0.8x 0.8x
Revenues $98.0 million – $98.0 million $98.0 million
Senior debt and 1st lien notes 190,793,157
Income
Approach Required Rate of Return 4.3% – 20.0% 11.0%
Leverage Ratio 0.0x – 8.3x 3.2x
Adjusted EBITDA $4.0 million – $14.1 million $9.3 million
Equity shares and warrants 152,435,657
Enterprise
Value Waterfall
Approach Adjusted EBITDA Multiple 3.3x – 14.9x 7.4x
Adjusted EBITDA ($1.4 million) – $82.1 million $15.0 million
Revenue Multiple 0.8x – 4.0x 1.4x
Revenues $19.0 million – $98.0 million $61.7 million

~~(1)~~

Certain subordinated debt investments with a total fair value of $23,513,000 and certain equity securities with a total fair value of $3,669,000 were repaid or redeemed subsequent to the end of the reporting period and were valued at their transaction price. One senior debt investment with a total fair value of $850,000 was expected to be repaid subsequent to the end of the reporting period and was valued at its expected settlement value.

The following ~~table presents~~tables present the Company’s investment portfolio at fair value as of ~~September 30, 2017~~March 31, 2021 and December 31, ~~2016,~~2020, categorized by the ASC Topic 820 valuation hierarchy, as previously described:


	Fair Value as of March 31, 2021
	Level 1		Level 2		Level 3		Total
Senior debt and 1st lien notes	$	—	$	98,796,596	$	1,139,381,459	$	1,238,178,055
Subordinated debt and 2nd lien notes	—		6,427,781		144,170,180		150,597,961
Structured products	—		26,153,607		—		26,153,607
Equity shares	—		2,799,420		36,818,326		39,617,746
Equity warrants	—		457,331		976,978		1,434,309
Short-term investments	73,565,676		—		—		73,565,676
Investments subject to leveling	$	73,565,676	$	134,634,735	$	1,321,346,943	$	1,529,547,354
Investment in joint ventures / PE fund(1)							72,576,383
							$	1,602,123,737

	Fair Value as of December 31, 2020
	Level 1		Level 2		Level 3		Total
Senior debt and 1st lien notes	$	—	$	115,533,401	$	1,055,717,111	$	1,171,250,512
Subordinated debt and 2nd lien notes	—		7,947,184		130,819,936		138,767,120
Structured products	—		32,508,845		—		32,508,845
Equity shares	—		424,090		44,227,024		44,651,114
Equity warrants	—		166,416		1,133,781		1,300,197
Short-term investments	65,558,227		—		—		65,558,227
Investments subject to leveling	$	65,558,227	$	156,579,936	$	1,231,897,852	$	1,454,036,015
Investment in joint ventures / PE fund(1)							41,759,922
							$	1,495,795,937

Fair Value as of September 30, 2017
Level 1 Level 2 Level 3 Total
Subordinated debt and 2^nd lien notes
$ —
$ —
$ 688,995,595
$ 688,995,595
Senior debt and 1^st lien notes
—
—
270,479,180
270,479,180
Equity shares —
—
131,120,904
131,120,904
Equity warrants —
—
596,000
596,000
$ —
$ —
$ 1,091,191,679
$ 1,091,191,679

Fair Value as of December 31, 2016
Level 1 Level 2 Level 3 Total
Subordinated debt and 2^nd lien notes
$ —
$ —
$ 690,159,367
$ 690,159,367
Senior debt and 1^st lien notes
—
—
191,643,157
191,643,157
Equity shares —
—
154,216,657
154,216,657
Equity warrants —
—
1,888,000
1,888,000
$ —
$ —
$ 1,037,907,181
$ 1,037,907,181

(1)The Company's investments in Jocassee, Thompson Rivers, Waccamaw River and the MVC PE Fund are measured at fair value using NAV and have not been categorized 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 Unaudited Consolidated Balance Sheet and Consolidated Balance Sheet.

~~TRIANGLE CAPITAL CORPORATION~~Barings BDC, Inc.

Notes to Unaudited Consolidated Financial Statements — (Continued)

The following tables reconcile the beginning and ending balances of the Company’s investment portfolio measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the ~~nine~~three months ended~~September 30, 2017~~ March 31, 2021 and ~~2016~~:2020:


Three Months Ended March 31, 2021:	Senior Debt and 1st Lien Notes		Subordinated Debt and 2nd Lien Notes		Equity Shares		Equity Warrants		Total
Fair value, beginning of period	$	1,055,717,111	$	130,819,936	$	44,227,024	$	1,133,781	$	1,231,897,852
New investments	227,056,942		14,477,878		1,072,790		—		242,607,610
Transfers into Level 3	—		2,233,600		424,090		—		2,657,690
Proceeds from sales of investments	(130,763,019)		—		(5,946,010)		—		(136,709,029)
Loan origination fees received	(4,176,205)		(402,163)		—		—		(4,578,368)
Principal repayments received	(12,259,911)		(10,120,108)		—		—		(22,380,019)
Payment-in-kind interest earned	228,937		7,007,695		—		—		7,236,632

Accretion of loan premium	3,089		6,640		—		—		9,729
Accretion of deferred loan origination revenue	1,213,446		211,236		—		—		1,424,682
Realized gain (loss)	1,605,025		3,140		(76,631)		—		1,531,534
Unrealized appreciation (depreciation)	756,044		(67,674)		(2,882,937)		(156,803)		(2,351,370)
Fair value, end of period	$	1,139,381,459	$	144,170,180	$	36,818,326	$	976,978	$	1,321,346,943

Subordinated Debt and 2nd Lien Notes

Nine Months Ended
September 30, 2016:
Subordinated
Debt and 2^nd
Lien Notes

Senior Debt
and 1^st Lien
Notes

Equity
Shares

Equity
Warrants
Total
Fair value, beginning of period $ 699,125,083
$ 132,929,264
$ 141,555,369
$ 3,667,000
$ 977,276,716
New investments 145,487,825
3,000,000
14,729,826
650,000
163,867,651
Reclassifications 4,020,247
(4,020,247 ) —
—
—
Proceeds from sales of investments —
—
(14,838,506 ) (5,627,106 ) (20,465,612 )
Loan origination fees received (3,165,460 ) (40,000 ) —
—
(3,205,460 )
Principal repayments received (157,151,997 ) (4,536,285 ) —
—
(161,688,282 )
PIK interest earned 10,548,903
1,083,855
—
—
11,632,758
PIK interest payments received (7,219,058 ) (236,150 ) —
—
(7,455,208 )
Accretion of loan discounts 156,879
150,202
—
—
307,081
Accretion of deferred loan origination revenue 3,289,162
386,841
—
—
3,676,003
Realized gain (loss) (15,371,087 ) (1,560,322 ) 7,090,358
3,153,206
(6,687,845 )
Unrealized gain (loss) (10,065,698 ) (168,648 ) 253,619
454,900
(9,525,827 )
Fair value, end of period $ 669,654,799
$ 126,988,510
$ 148,790,666
$ 2,298,000
$ 947,731,975

All realized ~~and unrealized~~ gains and losses and unrealized appreciation and depreciation are included in earnings (changes in net assets) and are reported on separate line items within the Company’s Unaudited Consolidated Statements of Operations. Pre-tax net unrealized ~~losses~~depreciation on Level 3 investments of ~~$73.4 million and $111.6~~$0.4 million during the three ~~and nine~~ months ended ~~September 30, 2017, were~~March 31, 2021 was related to portfolio company investments that were still held by the Company as of ~~September 30, 2017~~.March 31, 2021. Pre-tax net unrealized ~~losses~~depreciation on Level 3 investments of ~~$11.1 million and $17.2~~$42.6 million during the three ~~and nine~~ months ended ~~September 30, 2016, respectively, were~~March 31, 2020 was related to portfolio company investments that were still held by the Company as of ~~September 30, 2016.~~March 31, 2020.

The Company’s primary investment objective is to generate current income and capital appreciation by investing directly in privately-held lower middle market companies to help these companies fund acquisitions, growth or refinancing. DuringExclusive of short-term investments, during the ~~nine~~three months ended ~~September 30, 2017,~~March 31, 2021, the Company made investments of approximately ~~$382.3 million in portfolio~~

~~TRIANGLE CAPITAL CORPORATION~~

~~Notes to Unaudited Consolidated Financial Statements — (Continued)~~

~~companies to which it was not previously contractually committed to provide such financing. During the nine months ended~~ ~~September 30, 2017, the Company made investments of $9.2 million in companies to which it was previously committed to provide such financing.~~

~~During the nine months ended September 30, 2016, the Company made investments of approximately $157.0~~$247.6 million in portfolio companies to which it was not previously contractually committed to provide such financing. During the ~~nine~~three months ended ~~September 30, 2016,~~March 31, 2021, the Company made investments of ~~$6.9~~$27.3 million in portfolio companies to which it was previously committed to provide such financing. ~~The details~~

Exclusive of short-term investments, during the three months ended March 31, 2020, the Company made investments of approximately $123.1 million in portfolio companies to which it was not previously contractually committed to provide such financing. During the three months ended March 31, 2020, the Company made investments of $5.8 million in portfolio companies to which it was previously committed to provide such financing.

Barings BDC, Inc.

Notes to Unaudited Consolidated Financial Statements — (Continued)

Unsettled Purchases and Sales of Investments

Investment transactions are recorded based on the trade date of the ~~Company’s investments have been disclosed~~transaction. As a result, unsettled purchases and sales are recorded as payables and receivables from unsettled transactions, respectively. While purchases and sales of the Company's syndicated senior secured loans generally settle on a T+7 basis, the settlement period will sometimes extend past the scheduled settlement. In such cases, the Company generally is contractually owed and recognizes interest income equal to the applicable margin ("spread") beginning on the ~~Consolidated Schedules of Investments.~~

~~When originating a debt security, the Company will sometimes receive warrants or other equity-related securities from the borrower. The Company determines the cost basis~~T+7 date. Such income is accrued as interest receivable and is collected upon settlement of the warrants or other equity-related securities received based upon their respective fair values on the date of receipt in proportion to the total fair value of the debt and warrants or other equity-related securities received. Any resulting difference between the face amount of the debt and its recorded fair value resulting from the assignment of value to the warrant or other equity instruments is treated as original issue discount and accreted into interest income over the life of the loan.investment transaction.

Realized Gain or Loss and Unrealized Appreciation or Depreciation of Portfolio Investments

Realized gains or losses are recorded upon the sale or liquidation of investments and are calculated as the difference between the net proceeds from the sale or liquidation, if any, and the cost basis of the investment using the specific identification method. Unrealized appreciation or depreciation reflects the difference between the fair value of the investments and the cost basis of the investments.

Investment Classification

In accordance with the provisions of the 1940 Act, the Company classifies investments by level of control. As defined in the 1940 Act, ~~“Control Investments”~~"Control Investments" are investments in those companies that the Company is deemed to ~~“Control.” “Affiliate Investments”~~"Control." "Affiliate Investments" are investments in those companies that are ~~“Affiliated Companies”~~"Affiliated Persons" of the Company, as defined in the 1940 Act, other than Control Investments. ~~“Non-Control~~"Non-Control / Non-Affiliate ~~Investments”~~Investments" are those that are neither Control Investments nor Affiliate Investments. Generally, under the 1940 Act, the Company is deemed to control a company in which it has invested if the Company owns more than 25.0% of the voting securities ~~of such company, has greater than 50.0% representation on its board~~ (i.e., securities with the right to elect directors) and/or has the power to exercise control over the management or policies of such portfolio company. ~~The Company is deemed to be an affiliate of a company~~Generally, under the 1940 Act, “Affiliate Investments” that are not otherwise “Control Investments” are defined as investments in which the Company ~~has invested if it~~ owns at least 5.0%, ~~but no more than~~up to 25.0% (inclusive), of the voting securities and does not have the power to exercise control over the management or policies of such portfolio company.

Interest income, ~~adjusted for~~including amortization of premium and accretion of ~~original issue~~ discount, is recorded on the accrual basis to the extent that such amounts are expected to be collected. Generally, when interest and/or principal payments on a loan become past due, or if the Company otherwise does not expect the borrower to be able to service its debt and other obligations, the Company will place the loan on non-accrual status and will generally cease recognizing interest income on that loan for financial reporting purposes until all principal and interest have been brought current through payment or due to a restructuring such that the interest income is deemed to be collectible. The Company writes off any previously accrued and uncollected interest when it is determined that interest is no longer considered collectible. Dividend income is recorded on the ex-dividend date. The Company had negative dividend income of $24,208 during the nine months ended September 30, 2016, consisting of dividend income of approximately $1.3 million and a negative true-up adjustment of $1.3 million related to a portfolio company distribution that was received in 2015. In 2015, the Company received information that indicated that the tax character of the distribution was 100% dividend income, but received updated information in the first quarter of 2016 indicating that only 14% of the distribution was dividend income and the remainder was a return of capital, which necessitated the adjustment.

~~TRIANGLE CAPITAL CORPORATION~~

~~Notes to Unaudited Consolidated Financial Statements — (Continued)~~

business, the Company receives certain fees from portfolio companies, which are non-recurring in nature. Such fees include loan prepayment penalties, structuring fees and loan waiver and amendment fees, and are recorded as investment income when earned.

~~Fee income for the three and nine months ended September 30, 2017 and 2016 was as follows:~~

Three Months Ended Three Months Ended Nine Months Ended Nine Months Ended
September 30, 2017 September 30, 2016 September 30, 2017 September 30, 2016
Recurring Fee Income:
Amortization of loan origination fees $ 598,288
$ 498,733
$ 1,828,783
$ 1,584,691
Management, valuation and other fees 232,272
298,033
689,663
716,328
Total Recurring Fee Income 830,560
796,766
2,518,446
2,301,019
Non-Recurring Fee Income:
Prepayment fees 273,106
374,778
1,004,509
1,863,135
Acceleration of unamortized loan origination fees 1,340,781
626,648
2,344,435
2,091,313
Advisory and structuring fees 230,000
200,000
230,000
200,000
Loan amendment fees 17,278
—
132,278
17,770
Other fees —
16,500
9,000
354,699
Total Non-Recurring Fee Income 1,861,165
1,217,926
3,720,222
4,526,917
Total Fee Income $ 2,691,725
$ 2,014,692
$ 6,238,668
$ 6,827,936

Payment-in-Kind Interest

The Company currently holds, and expects to hold in the future, some loans in its portfolio that contain ~~PIK~~payment-in-kind ("PIK") interest provisions. ~~The~~ PIK interest, computed at the contractual rate specified in each loan agreement, is periodically added to the principal balance of the loan, rather than being paid to the Company in cash, and is recorded as interest income. Thus, the actual collection of PIK interest may be deferred until the time of debt principal repayment.

PIK interest, which is a non-cash source of income at the time of recognition, is included in the Company’s taxable income and therefore affects the amount the Company is required to distribute to its stockholders to maintain its tax treatment as a ~~regulated investment company ("RIC")~~RIC for federal income tax purposes, even though the Company has not yet collected the cash. Generally, when current cash interest and/or principal payments on a loan become past due, or if the Company otherwise does not expect the borrower to be able to service its debt and other obligations, the Company will place the loan on non-accrual status and will generally cease recognizing PIK interest income on that loan for financial reporting purposes until all principal and interest have been brought current through payment or due to a restructuring such that the interest income is deemed to be collectible. The Company writes off any accrued and uncollected PIK interest when it is determined that the PIK interest is no longer collectible.

Barings BDC, Inc.

Notes to Unaudited Consolidated Financial Statements — (Continued)

Origination, facility, commitment, consent and other advance fees received in connection with loan agreements ("Loan Origination Fees") are recorded as deferred income and recognized as investment income over the term of the loan. Upon prepayment of a loan, any unamortized Loan Origination Fees are recorded as investment income. In the general course of its business, the Company receives certain fees from portfolio companies, which are non-recurring in nature. Such fees include loan prepayment penalties, structuring fees and loan waiver and amendment fees, and are recorded as investment income when earned.

Fee income for the three months ended March 31, 2021 and 2020 was as follows:

~~The Company’s investments are generally in lower middle market companies in a variety of industries.~~ As of both ~~September 30, 2017~~March 31, 2021 and December 31, ~~2016~~,2020, there were no individual investments representing greater than 10% of the fair value of the Company’s portfolio. As of ~~both~~ ~~September 30, 2017~~March 31, 2021 and December 31, ~~2016~~,2020, the Company’s largest single portfolio company investment, excluding short-term investments, represented approximately ~~4.7%~~2.7% and 2.5%, respectively, of the fair value of the Company’s ~~portfolio.~~portfolio, exclusive of short-term investments. Income, consisting of interest, dividends, fees, other investment income and realization of gains or losses on equity interests, can fluctuate dramatically upon repayment of an investment or sale of an equity interest and in any given year can be highly concentrated among several portfolio companies.

The ~~Company’s investments carry a number of risks including, but not limited to: (i) investing in lower middle market companies which~~Company places its cash with financial institutions and, at times, cash may have limited financial resources and may have limited operating histories, (ii) investing in senior subordinated debt which ranks equal to or lower than debt held by other investors and (iii) holding investments that are not publicly traded and are subject to legal and other restrictions on resale and other risks common to investing in below investment grade debt and equity instruments.

~~TRIANGLE CAPITAL CORPORATION~~

~~Notes to Unaudited Consolidated Financial Statements — (Continued)~~

exceed insured limits under applicable law.

As of ~~September 30, 2017, $815.4 million~~March 31, 2021, all of the Company's assets were or will be pledged as collateral for the Company's third amended and restated senior secured credit facility, as amended on May 1, 2017 (the “Credit Facility”), and $373.9 million were subject to superior claim over the Company's stockholders by the SBA. If the Company defaults on its obligations under theFebruary 2019 Credit Facility or its SBA-guaranteed debentures, the lenders and/or the SBA may have the right to foreclose upon and sell, or otherwise transfer, the collateral subject to their security interests or their superior claims.

Investments Denominated in Foreign ~~Currency~~Currencies

At each balance sheet date, portfolio company investments denominated in foreign currencies are translated into United States dollars using the spot exchange rate on the last business day of the period. Purchases and sales of foreign portfolio company investments, and any income from such investments, are translated into United States dollars using the rates of exchange prevailing on the respective dates of such transactions.

Although the fair values of foreign portfolio company investments and the fluctuation in such fair values are translated into United States dollars using the applicable foreign exchange rates described above, the Company does not ~~isolate~~separately report that portion of the change in fair values resulting from foreign currency exchange rates fluctuations from the change in fair values of the underlying investment. All fluctuations in fair value are included in net unrealized appreciation (depreciation) of investments in the Company's Unaudited Consolidated Statements of Operations.

Barings BDC, Inc.

Notes to Unaudited Consolidated Financial Statements — (Continued)

In addition, during both the three months ended March 31, 2021 and March 31, 2020, the Company entered into forward currency contracts primarily to help mitigate the impact that an adverse change in foreign exchange rates would have on net interest income from the Company's investments and related borrowings denominated in foreign currencies. Net unrealized appreciation or depreciation on foreign currency contracts are included in "Net unrealized appreciation (depreciation) - foreign currency transactions" and net realized gains or losses on forward currency contracts are included in "Net realized gains (losses) - foreign currency transactions" in the Company's Unaudited Consolidated Statements of Operations.

Investments denominated in foreign currencies and foreign currency transactions may involve certain considerations and risks not typically associated with those of domestic origin, including unanticipated movements in the value of the foreign currency relative to the ~~United States~~U.S. Dollar.

~~3. SCHEDULE OF INVESTMENTS IN AND ADVANCES TO AFFILIATES~~

~~The following schedules present information about investments in and advances to affiliates for the nine months ended September 30, 2017 and year ended December 31, 2016:~~

~~TRIANGLE CAPITAL CORPORATION~~

~~Notes to Unaudited Consolidated Financial Statements — (Continued)~~

Nine Months Ended September 30, 2017: Amount of Realized Gain (Loss) Amount of Unrealized Gain (Loss) Amount of Interest or Dividends Credited to Income(2)
December 31, 2016
Value
Gross Additions
(3)
Gross Reductions(4)
September 30, 2017
Value
Portfolio Company Type of Investment(1)
DCWV Acquisition Corporation Senior Subordinated Note (15% PIK) $ (250,000 ) $ —
$ —
$ 250,000
$ —
$ 250,000
$ —
Subordinated Note (12% Cash, 3% PIK) (7,053,633 ) 6,789,633
—
1,389,000
6,789,633
8,178,633
—
Jr. Subordinated Note (15% PIK) (1,200,000 ) 1,200,000
—
—
—
—
—
Series A Preferred Equity (1,200 shares) —
—
—
—
—
—
—
100% Common Shares —
—
—
—
—
—
—
(8,503,633 ) 7,989,633
—
1,639,000
6,789,633
8,428,633
—

DialogDirect, Inc.
Subordinated Note (8% PIK)⁽⁵⁾
—
(3,183,000 ) —
—
13,380,000
3,183,000
10,197,000
Class A Common Units (1,176,500 units) —
—
—
—
—
—
—
—
(3,183,000 ) —
—
13,380,000
3,183,000
10,197,000

Frank Entertainment Group, LLC⁽⁷⁾
Senior Note (6% Cash, Due 06/19)⁽⁵⁾
—
(3,279,470 ) —
—
9,448,470
3,279,470
6,169,000
Second Lien Term Note (2.5% Cash)⁽⁵⁾
—
(1,876,693 ) —
—
1,876,693
1,876,693
—
Redeemable Preferred Units (2,800,000 units) —
(1,074,000 ) —
—
1,074,000
1,074,000
—
Redeemable Class B Preferred Units (2,800,000 units) —
—
—
—
—
—
—
Class A Common Units (606,552 units) —
—
—
—
—
—
—
—
(6,230,163 ) —
—
12,399,163
6,230,163
6,169,000

Frontstreet Facility Solutions, Inc. Subordinated Note (13% Cash) —
(507,292 ) 288,439
—
4,757,292
507,292
4,250,000
Series A Convertible Preferred Stock (60,000 shares) —
(575 ) —
—
575
575
—
Series B Convertible Preferred Stock (20,000 shares) —
(144 ) —
—
144
144
—
Common Stock (27,890 shares) —
(279 ) —
—
279
279
—
—
(508,290 ) 288,439
—
4,758,290
508,290
4,250,000

Gerli & Company Subordinated Note (13% Cash) (375,000 ) 375,000
—
—
375,000
375,000
—
Subordinated Note (8.5% Cash) (3,000,000 ) 3,000,000
—
—
3,000,000
3,000,000
—
Class A Preferred Shares (1,211 shares) (855,000 ) 855,000
—
—
855,000
855,000
—
Class C Preferred Shares (744 shares) —
—
—
—
—
—
—
Class E Preferred Shares (400 shares) (161,440 ) 161,440
—
—
161,440
161,440
—
Common Stock (300 shares) (100,000 ) 100,000
—
—
100,000
100,000
—
(4,491,440 ) 4,491,440
—
—
4,491,440
4,491,440
—

~~TRIANGLE CAPITAL CORPORATION~~

~~Notes to Unaudited Consolidated Financial Statements — (Continued)~~

Nine Months Ended September 30, 2017: Amount of Realized Gain (Loss) Amount of Unrealized Gain (Loss) Amount of Interest or Dividends Credited to Income(2)
December 31, 2016
Value
Gross Additions
(3)
Gross Reductions(4)
September 30, 2017
Value
Portfolio Company Type of Investment(1)
SRC Worldwide, Inc. Common Stock (5,000 shares) $ —
$ —
$ 300,000
$ 8,028,000
$ —
$ —
$ 8,028,000
—
—
300,000
8,028,000
—
—
8,028,000

Total Control Investments (12,995,073 ) (5,981,149 ) 1,168,586
18,791,769
48,993,526
31,382,295
36,403,000

Affiliate Investments:
All Metals Holding, LLC Subordinated Note (12% Cash, 1% PIK) —
—
657,541
6,249,220
70,128
—
6,319,348
Units (318,977 units) —
36,000
—
754,000
36,000
—
790,000
—
36,000
657,541
7,003,220
106,128
—
7,109,348

CIS Secure Computing Inc. Subordinated Note (12% Cash, 3% PIK) —
—
1,154,260
11,670,708
207,319
11,878,027
—
Common Stock (84 shares) 1,672,321
(1,652,680 ) —
2,155,000
1,672,322
3,827,322
—
1,672,321
(1,652,680 ) 1,154,260
13,825,708
1,879,641
15,705,349
—

Consolidated Lumber Holdings, LLC Subordinated Note (10% Cash, 2% PIK) —
(156,611 ) 194,082
4,278,000
78,750
4,356,750
—
Class A Units (15,000 units) —
491,000
196,262
2,481,000
491,000
—
2,972,000
—
334,389
390,344
6,759,000
569,750
4,356,750
2,972,000

DPII Holdings, LLC
Tranche III Subordinated Note (19% PIK)⁽⁵⁾
—
2,148,000
—
—
2,148,000
—
2,148,000
Tranche I & II Subordinated Notes (12% Cash, 4% PIK)⁽⁵⁾
—
(1,508,603 ) —
2,356,001
—
1,854,001
502,000
Class A Membership Interest (17,308 units) —
—
—
—
—
—
—
—
639,397
—
2,356,001
2,148,000
1,854,001
2,650,000

FCL Holding SPV, LLC Class A Interest (24,873 units) —
(43,000 ) 45,452
645,000
—
43,000
602,000
Class B Interest (48,427 units) —
(101,000 ) —
101,000
—
101,000
—
Class B Interest (3,746 units) —
—
—
—
—
—
—
(144,000 ) 45,452
746,000
—
144,000
602,000

Frank Entertainment Group, LLC⁽⁷⁾
Senior Note (LIBOR + 7%, 10% Cash, 5.8% PIK)⁽⁶⁾
—
(1,077,888 ) 823,087
9,940,684
351,600
10,292,284
—
Second Lien Term Note (10% Cash) —
(174,000 ) 15,000
—
1,200,000
1,200,000
—
Class A Redeemable Preferred Units (10.5% Cash) (196,718 units) —
(3,492,904 ) —
4,566,904
—
4,566,904
—
Class B Redeemable Preferred Units (18,667 units) —
(1,660,810 ) —
1,660,810
—
1,660,810
—
Class C Redeemable Preferred Units (25,846 units) —
(600,000 ) —
600,000
—
600,000
—
Class A Common Units (43,077 units) —
—
—
—
—
—
—
Class A Common Warrants —
—
—
—
—
—
—
—
(7,005,602 ) 838,087
16,768,398
1,551,600
18,319,998
—

~~TRIANGLE CAPITAL CORPORATION~~

~~Notes to Unaudited Consolidated Financial Statements — (Continued)~~

Nine Months Ended September 30, 2017: Amount of Realized Gain (Loss) Amount of Unrealized Gain (Loss) Amount of Interest or Dividends Credited to Income(2)
December 31, 2016
Value
Gross Additions
(3)
Gross Reductions(4)
September 30, 2017
Value
Portfolio Company Type of Investment(1)
Mac Land Holdings, Inc. Common Stock (139 shares) $ —
$ —
$ —
$ —
$ 369,000
$ —
$ 369,000
—
—
—
—
369,000
—
369,000

MS Bakery Holdings, Inc. Preferred Units (233 units) 185,133
(185,133 ) —
397,000
185,133
582,133
—
Common B Units (3,000 units) 2,087,323
(2,086,860 ) —
2,110,000
2,087,323
4,197,323
—
Common A Units (1,652 units) 1,147,007
(1,147,007 ) —
1,162,000
1,147,007
2,309,007
—
3,419,463
(3,419,000 ) —
3,669,000
3,419,463
7,088,463
—

Native Maine Operations, Inc.
Senior Notes (LIBOR + 9%)⁽⁶⁾
—
—
1,476,540
—
18,000,000
18,000,000
—
Preferred Units (20,000 units) —
—
—
—
2,000,000
2,000,000
—
—
—
1,476,540
—
20,000,000
20,000,000
—

NB Products, Inc. Subordinated Note (12% Cash, 2% PIK) —
—
2,643,824
22,751,190
415,734
—
23,166,924
Jr. Subordinated Note (10% PIK) —
—
376,848
4,595,921
384,162
—
4,980,083
Jr. Subordinated Bridge Note (20% PIK) —
—
321,567
1,972,727
321,567
—
2,294,294
Series A Redeemable Senior Preferred Stock (7,839 shares) —
722,000
—
9,412,000
722,000
—
10,134,000
Common Stock (1,668,691 shares) —
1,354,000
—
9,779,000
1,354,000
—
11,133,000
—
2,076,000
3,342,239
48,510,838
3,197,463
—
51,708,301

Passport Food Group, LLC
Senior Notes (LIBOR + 9.0%, 10.3% Cash,
Due 03/22)⁽⁶⁾
—
(1,947,708 ) 1,076,866
—
19,631,708
1,947,708
17,684,000
Common Stock (20,000 shares) —
(1,217,000 ) —
—
2,000,000
1,217,000
783,000
—
(3,164,708 ) 1,076,866
—
21,631,708
3,164,708
18,467,000

PCX Aerostructures, LLC Subordinated Note (10.5% Cash) —
768,098
2,460,740
21,960,000
2,839,000
—
24,799,000
Series A Preferred Stock (6,066 shares) —
—
—
—
—
—
—
Series B Preferred Stock (411 shares) —
—
—
—
—
—
—
Class A Common Stock (121,922 shares) —
—
—
—
—
—
—
—
768,098
2,460,740
21,960,000
2,839,000
—
24,799,000

Team Waste, LLC Subordinated Note (10% Cash, 2% PIK) —
—
40,000
—
3,916,667
—
3,916,667
Preferred Units (500,000 units) —
—
9,000
9,100,000
900,000
—
10,000,000
—
—
49,000
9,100,000
4,816,667
—
13,916,667

Technology Crops, LLC Subordinated Notes (12% Cash, 5% PIK) —
(2,843,102 ) 1,552,035
11,837,622
456,480
2,843,102
9,451,000
Common Units (50 units) —
—
—
—
—
—
—
—
(2,843,102 ) 1,552,035
11,837,622
456,480
2,843,102
9,451,000

~~TRIANGLE CAPITAL CORPORATION~~

~~Notes to Unaudited Consolidated Financial Statements — (Continued)~~

~~TRIANGLE CAPITAL CORPORATION~~

~~Notes to Unaudited Consolidated Financial Statements — (Continued)~~

Year Ended December 31, 2016: Amount of Realized Gain (Loss) Amount of Unrealized Gain (Loss) Amount of Interest or Dividends Credited to Income(2)
December 31, 2015
Value
Gross Additions
(3)
Gross Reductions(4)
December 31, 2016
Value
Portfolio Company Type of Investment(1)
Control Investments:
CRS Reprocessing, LLC
Senior Notes (LIBOR + 3.5%, 4.3% Cash)⁽⁶⁾
$ —
$ —
$ 120,067
$ 2,942,769
$ —
$ —
$ 2,942,769
Split Collateral Term Loans (8% Cash) —
(5,010,464 ) 897,649
6,192,464
5,000,000
5,010,464
6,182,000
Series F Preferred Units (705,321 units) —
(5,221,000 ) —
5,221,000
—
5,221,000
—
Common Units (15,174 units) —
—
333
—
—
—
—
(10,231,464 ) 1,018,049
14,356,233
5,000,000
10,231,464
9,124,769

DCWV Acquisition Corporation
Senior Subordinated Note (15% PIK)⁽⁵⁾
—
—
—
250,000
—
—
250,000
Subordinated Note (12% Cash, 3% PIK)⁽⁵⁾
—
(1,728,000 ) —
3,117,000
—
1,728,000
1,389,000
Jr. Subordinated Note (15% PIK)⁽⁵⁾
—
—
—
—
—
—
—
Series A Preferred Equity (1,200 shares) —
—
—
—
—
—
—
100% Common Shares —
—
—
—
—
—
—
—
(1,728,000 ) —
3,367,000
—
1,728,000
1,639,000

Gerli & Company
Subordinated Note (13% Cash)⁽⁵⁾
—
(375,000 ) —
375,000
—
375,000
—
Subordinated Note (8.5% Cash)⁽⁵⁾
—
(437,000 ) —
437,000
—
437,000
—
Class A Preferred Shares (1,211 shares) —
—
—
—
—
—
—
Class C Preferred Shares (744 shares) —
—
—
—
—
—
—
Class E Preferred Shares (400 shares) —
—
—
—
—
—
—
Common Stock (300 shares) —
—
—
—
—
—
—
—
(812,000 ) —
812,000
—
812,000
—

SRC Worldwide, Inc. Common Stock (5,000 shares) —
1,307,000
700,000
6,921,000
1,307,000
200,000
8,028,000
—
1,307,000
700,000
6,921,000
1,307,000
200,000
8,028,000

Total Control Investments —
(11,464,464 ) 1,718,049
25,456,233
6,307,000
12,971,464
18,791,769

Affiliate Investments:
All Aboard America! Holdings Inc. Subordinated Note (12% Cash, 3% PIK) —
—
2,440,362
14,953,191
577,433
15,530,624
—
Membership Units in LLC 3,118,958
(2,723,218 ) —
5,024,000
3,118,958
8,142,958
—
3,118,958
(2,723,218 ) 2,440,362
19,977,191
3,696,391
23,673,582
—

All Metals Holding, LLC Subordinated Note (12% Cash, 1% PIK) —
—
—
—
6,249,220
—
6,249,220
Units (318,977 units) —
(55,331 ) —
—
809,331
55,331
754,000
—
(55,331 ) —
—
7,058,551
55,331
7,003,220

American De-Rosa Lamparts, LLC and Hallmark Lighting, LLC Subordinated Note (12% Cash, 3% PIK) —
—
663,502
7,186,235
227,130
7,413,365
—
Membership Units (8,364 units) 3,555,652
(3,251,347 ) 102,800
3,872,000
3,555,652
7,427,652
—
3,555,652
(3,251,347 ) 766,302
11,058,235
3,782,782
14,841,017
—

~~TRIANGLE CAPITAL CORPORATION~~

~~Notes to Unaudited Consolidated Financial Statements — (Continued)~~

Year Ended December 31, 2016: Amount of Realized Gain (Loss) Amount of Unrealized Gain (Loss) Amount of Interest or Dividends Credited to Income(2)
December 31, 2015
Value
Gross Additions
(3)
Gross Reductions(4)
December 31, 2016
Value
Portfolio Company Type of Investment(1)

CIS Secure Computing Inc. Subordinated Note (12% Cash, 3% PIK) $ —
$ —
$ 1,757,750
$ 11,323,440
$ 347,268
$ —
$ 11,670,708
Common Stock (84 shares) —
1,956,000
—
199,000
1,956,000
—
2,155,000
—
1,956,000
1,757,750
11,522,440
2,303,268
—
13,825,708

Consolidated Lumber Company LLC Subordinated Note (10% Cash, 2% PIK) —
156,611
1,480,383
14,332,445
564,627
10,619,072
4,278,000
Class A Units (15,000 units) —
981,000
451,128
1,500,000
981,000
—
2,481,000
—
1,137,611
1,931,511
15,832,445
1,545,627
10,619,072
6,759,000

DPII Holdings, LLC
Tranche I & II Subordinated Notes (12% Cash, 4% PIK)⁽⁵⁾
—
(871,000 ) 115,147
3,558,804
5,708
1,208,511
2,356,001
Tranche III Subordinated Note (19% PIK)⁽⁵⁾
—
(2,148,462 ) —
—
2,148,462
2,148,462
—
Class A Membership Interest (17,308 units) —
(795,000 ) —
795,000
—
795,000
—
—
(3,814,462 ) 115,147
4,353,804
2,154,170
4,151,973
2,356,001

FCL Holding SPV, LLC Class A Interest (24,873 units) —
195,000
—
—
645,000
—
645,000
Class B Interest (48,427 units) —
101,000
—
—
101,000
—
101,000
Class B Interest (3,746 units) —
—
—
—
—
—
—
—
296,000
—
—
746,000
—
746,000

Frank Entertainment Group, LLC
Senior Note (LIBOR +7%, 10% Cash, 5.8% PIK)⁽⁶⁾
—
—
1,599,606
9,592,545
605,281
257,142
9,940,684
Class A Redeemable Preferred Units (10.5% Cash) (196,718 units) —
—
324,995
4,566,904
—
—
4,566,904
Class B Redeemable Preferred Units (18,667 units) —
—
—
1,660,810
—
—
1,660,810
Class C Redeemable Preferred Units (25,846 units) —
—
—
600,000
—
—
600,000
Class A Common Units (43,077 units) —
—
—
—
—
—
—
Class A Common Warrants —
—
—
—
—
—
—
—
—
1,924,601
16,420,259
605,281
257,142
16,768,398

GenPref LLC 7.0% LLC Interest 30,823
6,762
—
16,400
37,585
53,985
—
30,823
6,762
—
16,400
37,585
53,985
—

MS Bakery Holdings, Inc. Preferred Units (233 units) —
30,000
—
367,000
30,000
—
397,000
Common B Units (3,000 units) —
303,000
—
1,807,000
303,000
—
2,110,000
Common A Units (1,652 units) —
167,000
—
995,000
167,000
—
1,162,000
—
500,000
—
3,169,000
500,000
—
3,669,000

~~TRIANGLE CAPITAL CORPORATION~~

~~Notes to Unaudited Consolidated Financial Statements — (Continued)~~

Year Ended December 31, 2016: Amount of Realized Gain (Loss) Amount of Unrealized Gain (Loss) Amount of Interest or Dividends Credited to Income(2)
December 31, 2015
Value
Gross Additions
(3)
Gross Reductions(4)
December 31, 2016
Value
Portfolio Company Type of Investment(1)
NB Products, Inc. Subordinated Note (12% Cash, 2% PIK) $ —
$ —
$ 3,368,353
$ 20,327,140
$ 2,424,050
$ —
$ 22,751,190
Jr. Subordinated Note (10% PIK) —
—
462,929
4,126,030
469,891
—
4,595,921
Jr. Subordinated Bridge Note (20% PIK) —
—
244,654
—
1,972,727
—
1,972,727
Series A Redeemable Senior Preferred Stock (7,839 shares) —
887,000
—
8,525,000
887,000
—
9,412,000
Common Stock (1,668,691 shares) —
5,782,000
—
3,997,000
5,782,000
—
9,779,000
—
6,669,000
4,075,936
36,975,170
11,535,668
—
48,510,838

PCX Aerostructures, LLC Subordinated Note (10.5% Cash) —
(6,001,060 ) 3,339,521
18,612,000
9,409,060
6,061,060
21,960,000
Series A Preferred Stock (6,066 shares) —
(1,912,668 ) —
1,191,000
721,668
1,912,668
—
Series B Preferred Stock (411 shares) —
(410,514 ) —
—
410,514
410,514
—
Class A Common Stock (121,922 shares) —
(3,626 ) —
—
3,626
3,626
—
—
(8,327,868 ) 3,339,521
19,803,000
10,544,868
8,387,868
21,960,000

Team Waste, LLC Preferred Units (455,000 units) —
—
36,000
5,500,000
3,600,000
—
9,100,000
—
—
36,000
5,500,000
3,600,000
—
9,100,000

Technology Crops, LLC Subordinated Notes (12% Cash, 5% PIK) —
—
1,944,252
11,252,123
585,499
—
11,837,622
Common Units (50 units) —
(400,000 ) —
400,000
—
400,000
—
—
(400,000 ) 1,944,252
11,652,123
585,499
400,000
11,837,622

TGaS Advisors, LLC Senior Note (10% Cash, 1% PIK) —
—
1,180,938
9,633,898
177,061
288,973
9,521,986
Preferred Units (1,685,357 units) —
(27,712 ) 33,000
1,427,000
—
157,000
1,270,000
—
(27,712 ) 1,213,938
11,060,898
177,061
445,973
10,791,986

Tulcan Fund IV, L.P. Common Units (1,000,000 units) —
(416,000 ) —
416,000
—
416,000
—
—
(416,000 ) —
416,000
—
416,000
—

UCS Super HoldCo LLC Membership Units (1,000 units) (2,000,000 ) 2,000,000
—
—
2,000,000
2,000,000
—
Participation Interest (626,437 ) 700,000
—
300,000
700,000
1,000,000
—
(2,626,437 ) 2,700,000
—
300,000
2,700,000
3,000,000
—

United Retirement Plan Consultants, Inc. Series A Preferred Shares (9,400 shares) —
505,252
—
446,000
265,000
454,000
257,000
Common Shares (100,000 shares) —
(599,000 ) —
—
611,000
310,000
301,000
—
(93,748 ) —
446,000
876,000
764,000
558,000

~~TRIANGLE CAPITAL CORPORATION~~

~~Notes to Unaudited Consolidated Financial Statements — (Continued)~~

~~TRIANGLE CAPITAL CORPORATION~~

~~Notes to Unaudited Consolidated Financial Statements — (Continued)~~

The Company has elected for federal income tax purposes to be treated, and intends to qualify annually, as a RIC under the ~~Internal Revenue~~ Code ~~of 1986, as amended (the "Code"),~~ and intends to make the required distributions to its stockholders as specified therein. In order to maintain its tax treatment as a RIC, the Company must meet certain minimum distribution, source-of-income and asset diversification requirements. If such requirements are met, then the Company is generally required to pay taxes only on the portion of its taxable income and gains it does not distribute (actually or constructively) and certain built-in gains. The Company has historically met its minimum distribution requirements and continually monitors its distribution requirements with the goal of ensuring compliance with the Code.

~~The minimum distribution requirements applicable to RICs require~~Depending on the ~~Company to distribute to its stockholders at least 90%~~level of ~~its~~ investment company taxable income (“ICTI”)~~, as defined by the Code, each year. Depending on the level of ICTI earned in a tax year,~~ and net capital gains, if any, or taxable income, the Company may choose to carry forward ~~ICTI in excess of current year distributions into the next tax year~~undistributed taxable income and pay a 4% nondeductible U.S. federal excise tax on ~~such excess.~~certain undistributed income unless the Company distributes, in a timely manner, an amount at least equal to the sum of (i) 98% of net ordinary income for each calendar year, (ii) 98.2% of the amount by which capital gains exceed capital losses (adjusted for certain ordinary losses) for the one-year period ending October 31 in that calendar year and (iii) certain undistributed amounts from previous years on which the Company paid no U.S. federal income tax. Any such carryover ~~ICTI~~of taxable income must be distributed before the end of that next tax year through a dividend declared prior to filing of the ~~final~~ tax return related to the year which generated such ~~ICTI.~~taxable income not to be subject to U.S. federal income tax.

~~ICTI~~Taxable income generally differs from increase in net ~~investment income for financial reporting purposes~~assets resulting from operations due to temporary and permanent differences in the recognition of income and expenses. The Company may be required to recognize ICTI in certain circumstances in which it does not receive cash. For example, if the Company holds debt obligations that are treated under applicable tax rules as having original issue discount (such as debt instruments issued with warrants), the Company must include in ICTI each year a portion of the original issue discount that accrues over the life of the obligation, regardless of whether cash representing such income is received by the Company in the same taxable year. The Company may also have to include in ICTI other amounts that it has not yet received in cash, such as (i) PIK interest incomeexpenses, and (ii) interest income from investments that have been classified as non-accrual for financial reporting purposes. Interest income on non-accrual investments is not recognized for financial reporting purposes, but generally is recognized in ICTI. Because any original issue discount or other amounts accrued will be included in the Company’s ICTI for the year of accrual, the Company may be required to make a distribution to its stockholders in order to satisfy the minimum distribution requirements, even though the Company will not have received and may not ever receive any corresponding cash amount. ICTI also excludes net unrealized ~~appreciation~~gains or ~~depreciation,~~losses, as ~~investment~~unrealized gains or losses are generally not included in taxable income until they are realized.

The Company makes certain adjustments to the classification of net assets as a result of permanent book-to-tax differences, which include differences in the book and tax basis of certain assets and liabilities, and nondeductible federal taxes or losses among other items. To the extent these differences are permanent, they are charged or credited to additional paid in capital, or total distributable earnings (loss), as appropriate.

For federal income tax purposes, the cost of investments owned as of March 31, 2021 and December 31, 2020 was approximately $1,588.4 million and $1,486.0 million, respectively. As of March 31, 2021, net unrealized appreciation on the Company's investments (tax basis) was approximately $5.0 million, consisting of gross unrealized appreciation, where the fair value of the Company's investments exceeds their tax cost, of approximately $30.0 million and gross unrealized depreciation, where the tax cost of the Company's investments exceeds their fair value, of approximately $25.1 million. As of December 31, 2020, net unrealized depreciation on the Company's investments (tax basis) was approximately $1.3 million, consisting of gross unrealized appreciation, where the fair value of the Company's investments exceeds their tax cost, of approximately $23.4 million and gross unrealized depreciation, where the tax cost of the Company's investments exceeds their fair value, of approximately $24.7 million.

Barings BDC, Inc.

Notes to Unaudited Consolidated Financial Statements — (Continued)

companies. This income tax expense or benefit, if any, is reflected in the Company’s Unaudited Consolidated Statements of Operations. Additionally, any unrealized appreciation related to portfolio investments held by the Taxable Subsidiaries (net of unrealized depreciation related to portfolio investments held by the Taxable Subsidiaries) is reflected net of applicable federal and state income taxes, if any, in the Company's ~~Unaudited~~ Consolidated Statements of Operations, with the related deferred tax assets or liabilities, ~~presented~~if any, included in "Accounts payable and accrued liabilities" in the Company's Unaudited and Audited Consolidated Balance ~~Sheet.~~Sheets.

~~For federal income tax purposes, the cost of investments owned as of September 30, 2017 and December 31, 2016 was approximately $1.2 billion and $1.1 billion, respectively.~~

~~TRIANGLE CAPITAL CORPORATION~~

~~Notes to Unaudited Consolidated Financial Statements — (Continued)~~

Issuance/Pooling Date Maturity Date Interest Rate as of September 30, 2017 September 30, 2017 December 31, 2016
SBA-Guaranteed Debentures:
March 25, 2009 March 1, 2019 5.337% $ 22,000,000
$ 22,000,000
March 24, 2010 March 1, 2020 4.825% 6,800,000
6,800,000
September 22, 2010 September 1, 2020 3.687% 32,590,000
32,590,000
March 29, 2011 March 1, 2021 4.474% 75,400,000
75,400,000
September 21, 2011 September 1, 2021 3.392% 19,100,000
19,100,000
March 27, 2013 March 1, 2023 3.155% 30,000,000
30,000,000
September 24, 2014 September 1, 2024 3.790% 31,310,000
31,310,000
September 21, 2016 September 1, 2026 2.723% 32,800,000
32,800,000
Less: Deferred financing fees (3,915,131 ) (4,610,034 )
Total SBA-Guaranteed Debentures $ 246,084,869
$ 245,389,966
Credit Facility:
May 1, 2017 April 30, 2022 3.998% $ 141,118,837
$ 127,011,475
Total Credit Facility $ 141,118,837
$ 127,011,475
Notes:
October 19, 2012 December 15, 2022 6.375% $ 80,500,000
$ 80,500,000
February 6, 2015 March 15, 2022 6.375% 86,250,000
86,250,000
Less: Deferred financing fees (3,508,821 ) (3,994,619 )
Total Notes $ 163,241,179
$ 162,755,381

Under the Small Business Investment Act of 1958, as amended, and current SBA policy applicable to SBICs, an SBIC (or group of SBICs under common control) can have outstanding at any time, SBA-guaranteed debentures up to two times (and in certain cases, up to three times) the amount of its regulatory capital. As of ~~September 30, 2017~~, the maximum statutory limit on the dollar amount of outstanding SBA-guaranteed debentures that can be issued by a single SBIC was $150.0 million and by a group of SBICs under common control was $350.0 million. As of ~~September 30, 2017~~, Triangle SBIC had issued the maximum $150.0 million of SBA-guaranteed debentures and Triangle SBIC II had issued $100.0 million of SBA-guaranteed debentures, leaving borrowing capacity of a maximum of $100.0 million of SBA-guaranteed debentures for Triangle SBIC III. Interest payments on SBA-guaranteed debentures are payable semi-annually and there are no principal payments required on these debentures prior to maturity, nor do the debentures carry any prepayment penalties. The weighted average interest rate for all SBA-guaranteed debentures as of both ~~September 30, 2017~~ ~~and~~ ~~December 31, 2016~~ ~~was 3.90%. As of both September 30, 2017~~2021 and December 31, ~~2016, all SBA-guaranteed debentures were pooled.~~2020:

In addition to a one-time 1.0% fee on the total commitment from the SBA, the Company also pays a one-time 2.425% fee on the amount of each SBA-guaranteed debenture issued. These fees are capitalized as deferred financing costs and are amortized over the term of the debt agreements using the effective interest method. Upon prepayment of an SBA-guaranteed debenture, any unamortized deferred financing costs related to the SBA-guaranteed debenture are written off and recognized as a loss on extinguishment of debt in the Unaudited Consolidated Statements of Operations.


Issuance Date	Maturity Date	Interest Rate as of March 31, 2021	March 31, 2021		December 31, 2020
Credit Facilities:
February 21, 2019	February 21, 2024	2.096%	$	611,144,523	$	719,660,707
Total Credit Facilities			$	611,144,523	$	719,660,707
Notes:
September 24, 2020 - August 2025 Notes	August 4, 2025	4.660%	$	25,000,000	$	25,000,000
September 29, 2020 - August 2025 Notes	August 4, 2025	4.660%	25,000,000		25,000,000
November 5, 2020 - Series B Notes	November 4, 2025	4.250%	62,500,000		62,500,000
November 5, 2020 - Series C Notes	November 4, 2027	4.750%	112,500,000		112,500,000
February 25, 2021 Series D Notes	February 26, 2026	3.410%	80,000,000		—
February 25, 2021 Series E Notes	February 26, 2028	4.060%	70,000,000		—
(Less: Deferred financing fees)			(818,612)		(664,334)
Total Notes			$	374,181,388	$	224,335,666

~~The fair values of the SBA-guaranteed debentures are based on a market yield approach and current interest rates, which are Level 3 inputs to the market yield model. As of~~ ~~September 30, 2017~~ ~~and~~ ~~December 31, 2016, the carrying amounts of the SBA-guaranteed debentures were approximately $246.1 million and $245.4 million, respectively. As of~~ ~~September 30, 2017~~ ~~and~~ ~~December 31, 2016, the fair values of the SBA-guaranteed debentures were~~ ~~$260.5 million~~ ~~and $264.9 million, respectively.~~

~~TRIANGLE CAPITAL CORPORATION~~

~~Notes to Unaudited Consolidated Financial Statements — (Continued)~~

February 2019 Credit Facility

Borrowings under the February 2019 Credit Facility bear interest, subject to the Company's election, on a per annum basis equal to (i) the applicable base rate plus ~~1.75%~~1.00% (or ~~1.50%~~1.25% if the Company ~~receives~~no longer maintains an investment grade credit rating), (ii) the applicable LIBOR rate plus ~~2.75%~~2.00% (or ~~2.50%~~2.25% if the Company ~~receives~~no longer maintains an investment grade credit rating), (iii) for borrowings denominated in certain foreign currencies other than Australian dollars, the applicable currency rate for the foreign currency as defined in the credit agreement plus 2.00% (or 2.25% if the Company no longer maintains an investment grade credit rating) or ~~(iii)~~(iv) for borrowings denominated in ~~Canadian~~Australian dollars, the applicable ~~Canadian Dealer Offered~~Australian dollars Screen Rate, plus ~~2.75%~~2.20% (or ~~2.50%~~2.45% if the Company ~~receives~~no longer maintains an investment grade credit rating). The applicable base rate is equal to the ~~greater~~greatest of (i) the prime rate, (ii) the federal funds rate plus 0.5% or, (iii) the Overnight Bank Funding Rate plus 0.5%, (iv) the adjusted ~~one-month LIBOR~~three-month applicable currency rate plus ~~2.0%~~1.0% and (v) 1.0%. The applicable LIBOR ~~rate depends~~and currency rates depend on the currency and term of the draw under the February 2019 Credit ~~Facility. The~~Facility, and cannot be less than zero.

In addition, the Company pays a commitment fee of ~~1.00%~~(i) 0.5% per annum on undrawn amounts if the ~~used~~unused portion of the February 2019 Credit Facility is ~~less~~greater than ~~or equal to 25.0%~~two-thirds of total commitments or (ii) 0.375% per annum on undrawn amounts if the ~~used~~unused portion of the February 2019 Credit Facility is ~~greater~~equal to or less than ~~25.0%~~two-thirds of total commitments. ~~These commitment fees are included in interest and other~~In connection with entering into the February 2019 Credit Facility, the Company incurred financing fees onof approximately $6.4 million, which will be amortized over the ~~Company's~~remaining life of the February 2019 Credit Facility.

Barings BDC, Inc.

Notes to Unaudited Consolidated Financial Statements ~~of Operations. Borrowings under the Credit Facility are limited to a borrowing base, which includes certain cash and a portion of eligible debt investments.~~— (Continued)

As of September 30, 2017, the Company had United States dollar borrowings of $124.3 million outstanding under the Credit Facility with an interest rate of 3.99% and non-United States dollar borrowings denominated in Canadian dollars of $21.0 million ($16.8 million in United States dollars) outstanding under the Credit Facility with a weighted average interest rate of 4.06%. The borrowings denominated in Canadian dollars are translated into United States dollars based on the spot rate at each balance sheet date. The impact resulting from changes in foreign exchange rates on the Credit Facility borrowings is included in unrealized appreciation (depreciation) on foreign currency borrowings in the Company's Unaudited Consolidated Statements of Operations. The borrowings denominated in Canadian dollars may be positively or negatively affected by movements in the rate of exchange between the United States dollar and the Canadian dollar. This movement is beyond the control of the Company and cannot be predicted. As of December 31, 2016, the Company had United States dollar borrowings of $105.7 million outstanding under the Credit Facility with an interest rate of 3.37% and non-United States dollar borrowings denominated in Canadian dollars of $28.6 million ($21.3 million United States dollars) outstanding under the Credit Facility with an interest rate of 3.64%.

The fair value of the borrowings outstanding under the Credit Facility are based on a market yield approach and current interest rates, which are Level 3 inputs to the market yield model. As of September 30, 2017 and December 31, 2016, the fair values of the borrowings outstanding under the Credit Facility were $141.1 million and $127.0 million, respectively.

~~The~~February 2019 Credit Facility contains certain affirmative and negative covenants, including but not limited to (i) maintaining a minimum ~~interest coverage ratio,~~stockholders' equity, (ii) maintaining a minimum ~~consolidated tangible~~obligors' net worth, (iii) maintaining a minimum asset coverage ratio, (iv) meeting a minimum liquidity test and ~~(iv)~~(v) maintaining the Company's status as a ~~RIC~~regulated investment company and as a ~~BDC.~~business development company. The February 2019 Credit Facility also contains customary events of default with customary cure and notice provisions, including, without limitation, nonpayment, misrepresentation of representations and warranties in a material respect, breach of covenant, cross-default to other indebtedness, bankruptcy, change of control, and material adverse effect. The February 2019 Credit Facility also permits ~~Branch Banking and Trust Company,~~ the administrative agent to select an independent third-party valuation firm to determine valuations of certain portfolio investments for purposes of borrowing base provisions. In connection with the February 2019 Credit Facility, the Company also entered into new collateral documents. As of ~~September 30, 2017 and December~~March 31, ~~2016,~~2021, the Company was in compliance with all covenants ofunder the February 2019 Credit Facility.

~~TRIANGLE CAPITAL CORPORATION~~

~~Notes to~~As of March 31, 2021, the Company had U.S. dollar borrowings of $357.0 million outstanding under the February 2019 Credit Facility with a weighted average interest rate of 2.125% (weighted average one month LIBOR of 0.125%), borrowings denominated in Swedish kronas of 12.8kr million ($1.5 million U.S. dollars) with an interest rate of 2.000% (one month STIBOR of 0.000%), borrowings denominated in British pounds sterling of £85.3 million ($117.7 million U.S. dollars) with an interest rate of 2.063% (one month GBP LIBOR of 0.063%), borrowings denominated in Australian dollars of A$36.6 million ($27.9 million U.S. dollars) with an interest rate of 2.250% (one month AUD Screen Rate of 0.050%) and borrowings denominated in Euros of €91.1 million ($107.1 million U.S. dollars) with an interest rate of 2.000% (one month EURIBOR of 0.000%). The borrowings denominated in foreign currencies were translated into U.S. dollars based on the spot rate at the relevant balance sheet date. The impact resulting from changes in foreign exchange rates on the February 2019 Credit Facility borrowings is included in "Net unrealized appreciation (depreciation) - foreign currency transactions" in the Company's Unaudited Consolidated ~~Financial~~ Statements ~~— (Continued)~~

of Operations.

~~Notes~~

~~In October 2012,~~As of December 31, 2020, the Company ~~issued $70.0~~had U.S. dollar borrowings of $472.0 million outstanding under the February 2019 Credit Facility with a weighted average interest rate of 2.188% (weighted average one month LIBOR of 0.188%), borrowings denominated in Swedish kronas of 12.8kr million ($1.6 million U.S. dollars) with an interest rate of 2.000% (one month STIBOR of 0.000%), borrowings denominated in British pounds sterling of £69.3 million ($94.8 million U.S. dollars) with a weighted average interest rate of 2.063% (weighted average one month GBP LIBOR of 0.063%), borrowings denominated in Australian dollars of A$36.6 million ($28.2 million U.S. dollars) with a weighted average interest rate of 2.250% (weighted average one month AUD Screen Rate of 0.050%) and borrowings denominated in Euros of €100.6 million ($123.1 million U.S. dollars) with a weighted average interest rate of 2.00% (weighted average one month EURIBOR of 0.000%). The borrowings denominated in foreign currencies were translated into U.S. dollars based on the spot rate at the relevant balance sheet date. The impact resulting from changes in foreign exchange rates on the February 2019 Credit Facility borrowings is included in "Net unrealized appreciation (depreciation) - foreign currency transactions" in the Company's Unaudited Consolidated Statements of Operations.

As of March 31, 2021 and December 31, 2020, the total fair value of the borrowings outstanding under the February 2019 Credit Facility was $611.1 million and $719.7 million, respectively. The fair values of the borrowings outstanding under the February 2019 Credit Facility are based on a market yield approach and current interest rates, which are Level 3 inputs to the market yield model.

August 2025 Notes

On August 3, 2020, the Company entered into a Note Purchase Agreement (the "August 2020 NPA") with Massachusetts Mutual Life Insurance Company governing the issuance of (1) $50.0 million in aggregate principal amount of Series A senior unsecured notes due ~~2022~~August 2025 (the ~~"December 2022~~"Series A Notes due 2025") with a fixed interest rate of 4.66% per year, and (2) up to $50.0 million in aggregate principal amount of additional senior unsecured notes due August 2025 with a fixed interest rate per year to be determined (the "Additional Notes") and, collectively with the Series A Notes due 2025, the "August 2025 Notes"), in ~~November 2012, issued $10.5~~each case, to qualified institutional investors in a private placement. An aggregate principal amount of $25.0 million of ~~December 2022~~the Series A Notes ~~pursuant~~due 2025 was issued on September 24, 2020 and an aggregate principal amount of $25.0 million of the Series A Notes due 2025 was issued on September 29, 2020, both of which will mature on August 4, 2025 unless redeemed, purchased or prepaid prior to such date by the Company in accordance with their terms. Interest on the August 2025 Notes will be due semiannually in March and September, beginning in March 2021. In addition, the Company is obligated to offer to repay the August 2025 Notes at par (plus accrued and unpaid interest to, but not including, the date of prepayment) if certain change in control events occur. Subject to the ~~exercise~~terms of ~~an over-allotment option. The December 2022~~the August 2020 NPA, the Company may redeem the August 2025 Notes ~~mature on December 15, 2022, and may be redeemed~~ in whole or in part at any time or from time to time at the Company’s option at par plus accrued interest to the prepayment date and, if redeemed on or before November 3, 2024, a make-whole premium. The August 2025 Notes are guaranteed by certain of the

Barings BDC, Inc.

Notes to Unaudited Consolidated Financial Statements — (Continued)

Company's ~~option.~~ subsidiaries, and are the Company's general unsecured obligations that rank pari passu with all outstanding and future unsecured unsubordinated indebtedness issued by the Company.

On November 4, 2020, the Company amended the August 2020 NPA to reduce the aggregate principal amount of unissued Additional Notes from $50.0 million to $25.0 million.

The ~~December 2022~~August 2020 NPA contains certain representations and warranties, and various covenants and reporting requirements customary for senior unsecured notes issued in a private placement, including, without limitation, affirmative and negative covenants such as information reporting, maintenance of the Company’s status as a BDC within the meaning of the 1940 Act, certain restrictions with respect to transactions with affiliates, fundamental changes, changes of line of business, permitted liens, investments and restricted payments, minimum shareholders’ equity, maximum net debt to equity ratio and minimum asset coverage ratio. The August 2020 NPA also contains customary events of default with customary cure and notice periods, including, without limitation, nonpayment, incorrect representation in any material respect, breach of covenant, cross-default under our other indebtedness or that of our subsidiary guarantors, certain judgements and orders, and certain events of bankruptcy. Upon the occurrence of an event of default, the holders of at least 66-2/3% in principal amount of the August 2025 Notes ~~bear interest~~ at ~~a rate of 6.375% per year payable quarterly on March 15, June 15, September 15~~the time outstanding may declare all August 2025 Notes then outstanding to be immediately due and ~~December 15 of each year, beginning December 15, 2012.~~payable. As of ~~September 30, 2017~~March 31, 2021, the Company was in compliance with all covenants under the August 2020 NPA.

The August 2025 Notes were offered in reliance on Section 4(a)(2) of the Securities Act of 1933, as amended (the “Securities Act”). The August 2025 Notes have not and will not be registered under the Securities Act or any state securities laws and, unless so registered, may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act, as applicable.

As of both March 31, 2021 and December 31, ~~2016,~~2020, the ~~carrying amounts~~fair value of the ~~December 2022~~outstanding August 2025 Notes ~~were $78.9 million and $78.7 million, respectively. As of~~ ~~September 30, 2017~~ ~~and December 31, 2016, the~~was $50.0 million. The fair ~~values~~value determination of the ~~December 2022~~August 2025 Notes ~~were~~ ~~$81.7 million~~was based on a market yield approach and ~~$81.9 million, respectively.~~current interest rates, which are Level 3 inputs to the market yield model.

~~In February 2015,~~November Notes

On November 4, 2020, the Company ~~issued $86.3~~entered into a Note Purchase Agreement (the “November 2020 NPA”) governing the issuance of (1) $62.5 million in aggregate principal amount of Series B senior unsecured notes due ~~2022~~November 2025 (the ~~"March 2022 Notes"~~“Series B Notes”). with a fixed interest rate of 4.25% per year and (2) $112.5 million in aggregate principal amount of Series C senior unsecured notes due November 2027 (the “Series C Notes” and, collectively with the Series B Notes, the “November Notes”) with a fixed interest rate of 4.75% per year, in each case, to qualified institutional investors in a private placement. Each stated interest rate is subject to a step up of (x) 0.75% per year, to the extent the applicable November Notes do not satisfy certain investment grade conditions and/or (y) 1.50% per year, to the extent the ratio of the Company’s secured debt to total assets exceeds specified thresholds, measured as of each fiscal quarter end. The ~~March 2022~~November Notes were delivered and paid for on November 5, 2020. The Series B Notes will mature on ~~March 15, 2022~~November 4, 2025, and the Series C Notes will mature on November 4, 2027 unless redeemed, purchased or prepaid prior to such date by the Company in accordance with their terms. Interest on the November Notes will be due semiannually in May and November, beginning in May 2021. In addition, the Company is obligated to offer to repay the November Notes at par (plus accrued and unpaid interest to, but not including, the date of prepayment) if certain change in control events occur. Subject to the terms of the November 2020 NPA, the Company may ~~be redeemed~~redeem the Series B Notes and the Series C Notes in whole or in part at any time or from time to time at the ~~Company's~~Company’s option at par plus accrued interest to the prepayment date and, if redeemed on or after March 15, 2018. The March 2022 Notes bear interest at a rate of 6.375% per year payable quarterly on March 15, June 15, September 15 and December 15 of each year, beginning March 15, 2015. The net proceedsbefore May 4, 2025, with respect to the ~~Company from~~Series B Notes, or on or before May 4, 2027, with respect to the ~~sale~~Series C Notes, a make-whole premium. The November Notes are guaranteed by certain of the ~~March 2022 Notes, after underwriting discounts~~Company’s subsidiaries, and ~~offering expenses, were approximately $83.4 million. As of September 30, 2017~~are the Company's general unsecured obligations that rank pari passu with all outstanding and ~~December 31, 2016,~~future unsecured unsubordinated indebtedness issued by the ~~carrying amounts~~Company.

The indenture and supplements thereto relating to the December 2022 Notes and the March 2022 Notes contain certain covenants, including but not limited to (i) a requirement that the Company comply with the asset coverage requirementmeaning of the 1940 Act, certain restrictions with respect to transactions with affiliates, fundamental changes, changes of line of business, permitted liens, investments and restricted payments, minimum shareholders’ equity, maximum net debt to equity ratio and minimum asset coverage ratio. The November 2020 NPA also contains customary events of default with customary cure and notice periods, including, without limitation, nonpayment, incorrect representation in any material respect, breach of covenant, cross-default under our other indebtedness or ~~any successor provisions, after giving effect to any exemptive relief granted to~~that of our subsidiary guarantors, certain judgements and orders, and certain events of bankruptcy. Upon the ~~Company by~~occurrence of an event of default, the ~~Securities and Exchange Commission (“SEC”), (ii) a requirement that~~holders of at least 66-2/3% in principal amount of the ~~Company will not declare any cash dividend, or declare any other cash distribution, upon a class of its capital stock, or purchase any such capital stock, unless, in every such case,~~November Notes at the time of the declaration of any such dividend or distribution, or at the time of any such purchase, the Company has an asset coverage (as defined in the 1940 Act) of at least 200% after deducting the amount of such dividend, distribution or purchase price, as the caseoutstanding may declare all November Notes then outstanding to be ~~giving effect to any exemptive relief granted to the Company by the SEC~~immediately due and (iii) a requirement to provide financial information to the holders of the notes and the trustee under the indenture if the Company should no longer be subject to the reporting requirements under the Securities Exchange Act of 1934, as amended (the “Exchange Act”).payable. As of ~~September 30, 2017 and December~~March 31, ~~2016,~~2021, the Company was in compliance with all covenants ~~of the December 2022 Notes and the March 2022 Notes.~~

~~6. EQUITY-BASED AND OTHER COMPENSATION PLANS~~

In February 2017, both the compensation committee of the Board and the Board adopted the Triangle Capital Corporation Omnibus Incentive Plan (the "Omnibus Plan"), and in May 2017, the Company’s stockholders approved the Omnibus Plan at the Company’s 2017 Annual Meeting of Stockholders. Prior to the approval of the Omnibus Plan, the Company compensated its professionals through two separate plans: the Amended and Restated 2007 Equity Incentive Plan (the "Equity Incentive Plan"), which provided for grants of restricted stock and options to employees, officers and directors, and the 2012 Executive Cash Incentive Plan (the "Cash Incentive Plan"), which provided for the payment of cash bonuses to employees and officers. The Omnibus Plan was created primarily for the purpose of combining the Equity Incentive Plan and the Cash Incentive Plan in order to reduce the administrative burden of monitoring the terms and conditions of two separate plans. The terms of the Equity Incentive Plan and the Cash Incentive Plan, as combined and reflected in the Omnibus Plan, are substantially similar to the respective terms of each standalone plan.

The Omnibus Plan provides for grants of restricted stock, incentive stock options, non-statutory stock options and cash-based and/or stock-based performance awards, collectively, “Awards,” to the Company’s existing and future employees. Equity-based awards granted under the Omnibus Plan to independent directors generally will vest over a one-year period and equity-based awards granted under the Omnibus Plan to executive officers and employees generally will vest ratably over a four-year period. In addition, the Omnibus Plan increased the maximum number of shares of the Company’s common stock with respect to which Awards may be granted under the Omnibus Plan to 4,000,000 shares of the Company’s common stock from 2,400,000 shares of the Company’s common stock that were approved under the Equity Incentive Plan. The Omnibus Plan expires May 3, 2027.November 2020 NPA.

~~TRIANGLE CAPITAL CORPORATION~~Barings BDC, Inc.

Notes to Unaudited Consolidated Financial Statements — (Continued)

The November Notes were offered in reliance on Section 4(a)(2) of the Securities Act. The November Notes have not and will not be registered under the Securities Act or any state securities laws and, unless so registered, may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act, as applicable.

~~The Company accounts for its equity-based compensation using~~As of both March 31, 2021 and December 31, 2020, the fair value ~~method, as prescribed by ASC Topic 718,~~ ~~Stock Compensation. Accordingly, for restricted stock awards,~~of the outstanding Series B Notes and the Series C Notes was $62.5 million and $112.5 million, respectively. The fair value determinations of the Series B Notes and Series C Notes were based on a market yield approach and current interest rates, which are Level 3 inputs to the market yield model.

On February 25, 2021, the Company ~~measures~~entered into a Note Purchase Agreement (the “February 2021 NPA”) governing the ~~grant date fair value based upon~~issuance of (1) $80.0 million in aggregate principal amount of Series D senior unsecured notes due February 26, 2026 (the “Series D Notes”) with a fixed interest rate of 3.41% per year and (2) $70.0 million in aggregate principal amount of Series E senior unsecured notes due February 26, 2028 (the “Series E Notes” and, collectively with the ~~market price~~Series D Notes, the “February Notes”) with a fixed interest rate of 4.06% per year, in each case, to qualified institutional investors in a private placement. Each stated interest rate is subject to a step up of (x) 0.75% per year, to the extent the applicable February Notes do not satisfy certain investment grade rating conditions and/or (y) 1.50% per year, to the extent the ratio of the Company’s ~~common stock~~secured debt to total assets exceeds specified thresholds, measured as of each fiscal quarter end. The February Notes were delivered and paid for on February 26, 2021.

The Series D Notes will mature on February 26, 2026, and the Series E Notes will mature on February 26, 2028 unless redeemed, purchased or prepaid prior to such date by the Company in accordance with the terms of the February 2021 NPA. Interest on the February Notes will be due semiannually in February and August of each year, beginning in August 2021. In addition, the Company is obligated to offer to repay the February Notes at par (plus accrued and unpaid interest to, but not including, the date of prepayment) if certain change in control events occur. Subject to the terms of the February 2021 NPA, the Company may redeem the Series D Notes and the Series E Notes in whole or in part at any time or from time to time at the Company’s option at par plus accrued interest to the prepayment date and, if redeemed on or before August 26, 2025, with respect to the Series D Notes, or on or before August 26, 2027, with respect to the Series E Notes, a make-whole premium. The February Notes are guaranteed by certain of the Company’s subsidiaries, and are the Company's general unsecured obligations that rank pari passu with all outstanding and future unsecured unsubordinated indebtedness issued by the Company.

The February 2021 NPA contains certain representations and warranties, and various covenants and reporting requirements customary for senior unsecured notes issued in a private placement , including, without limitation, information reporting, maintenance of the Company’s status as a BDC within the meaning of the 1940 Act, and certain restrictions with respect to transactions with affiliates, fundamental changes, changes of line of business, permitted liens, investments and restricted payments. In addition, the February 2021 NPA contains the following financial covenants: (a) maintaining a minimum obligors’ net worth, measured as of each fiscal quarter end; (b) not permitting the Company’s asset coverage ratio, as of the date of the ~~grant and amortizes this fair value~~incurrence of any debt for borrowed money or the making of any cash dividend to ~~compensation expense ratably over~~shareholders, to be less than the ~~requisite service period or vesting term.~~

~~The following table presents information with respect~~statutory minimum then applicable to ~~equity-based compensation for the nine months ended~~ ~~September 30, 2017~~ ~~and~~ ~~2016~~:

Nine Months Ended
September 30, 2017 Nine Months Ended
September 30, 2016

Number of
Shares

Weighted Average
Grant Date Fair
Value per Share

Number of
Shares

Weighted Average
Grant Date Fair
Value per Share
Unvested shares, beginning of period 631,622
$21.23 778,116
$24.10
Shares granted during the period 360,470
$19.22 364,605
$17.56
Shares vested during the period (243,418 ) $22.69 (417,815 ) $23.28
Unvested shares, end of period 748,674
$19.79 724,906
$21.29

~~In the three months ended~~ ~~September 30, 2017~~, the Company ~~recognized equity-based compensation expense~~under the 1940 Act; and (c) not permitting the Company’s net debt to equity ratio to exceed 2.0x, measured as of ~~approximately $1.5 million,~~each fiscal quarter end.

The February 2021 NPA also contains customary events of default with customary cure and notice periods, including, without limitation, nonpayment, incorrect representation in any material respect, breach of covenant, cross-default under other indebtedness or that of the Company’s subsidiary guarantors, certain judgements and orders, and certain events of bankruptcy. Upon the occurrence of certain events of default, the holders of at least 66-2/3% in principal amount of the February Notes at the time outstanding may declare all February Notes then outstanding to be immediately due and payable. As of March 31, 2021, the Company was in compliance with all covenants under the February 2021 NPA.

The February Notes were offered in reliance on Section 4(a)(2) of the Securities Act. The February Notes have not and will not be registered under the Securities Act or any state securities laws and, unless so registered, may not be offered or sold in the nine months ended September 30, 2017, the Company recognized equity-based compensation expense of approximately $4.5 million. In the three months ended September 30, 2016, the Company recognized equity-based compensation expense of approximately $1.6 million. In the nine months ended September 30, 2016, the Company recognized equity-based compensation expense of approximately $7.5 million, $2.7 million of which relatedUnited States except pursuant to an exemption from, or in a transaction not subject to, the ~~accelerated vesting of outstanding shares of restricted stock~~registration requirements of the ~~Company's former Chief Executive Officer, Garland S. Tucker III, who retired from his officer positions in February 2016.~~Securities Act, as applicable.

As of ~~September 30, 2017, there~~March 31, 2021, the fair value of the outstanding Series D Notes and the Series E Notes was ~~approximately $11.1~~$80.0 million and $70.0 million, respectively. The fair value determinations of ~~total unrecognized compensation cost related~~the Series D Notes and Series E Notes were based on a market yield approach and current interest rates, which are Level 3 inputs to the ~~Company’s non-vested restricted shares. This cost is expected to be recognized over a weighted average period of approximately 2.0 years.~~market yield model.

The Board has adopted a nonqualified deferred compensation plan covering the Company’s executive officers and key employees. Any compensation deferred and the Company’s contributions will earn a return based on the returns on certain investments designated by the Compensation Committee of the Board. Participants are 100% vested in amounts deferred under the deferred compensation plan and the earnings thereon. Contributions to the plan and earnings thereon generally vest ratably over a four-year period.

~~7. TRANSACTIONS WITH CONTROLLED COMPANIES~~

During each of the three months ended September 30, 2017 and 2016, the Company received management fees from SRC Worldwide, Inc., a 100%-owned portfolio company, of $100,000. During each of the nine months ended September 30, 2017 and 2016, the Company received management fees from SRC Worldwide, Inc. of $300,000. These fees were recognized as fee income in the Company's Unaudited Consolidated Statements of Operations. In addition, during the nine months ended September 30, 2016, the Company recognized $300,000 as dividend income from SRC Worldwide, Inc.

8.Credit Support Agreement

In connection with the MVC Acquisition, on December 23, 2020, promptly following the closing of the Company’s merger with MVC, the Company and the Adviser entered into the Credit Support Agreement, pursuant to which the Adviser has agreed to provide credit support to the Company in the amount of up to $23.0 million relating to the net cumulative realized and unrealized losses on the acquired MVC investment portfolio over a 10-year period. See “Note 2 - Agreements and Related Party Transactions” for additional information regarding the Credit Support Agreement. Net unrealized depreciation on the Credit Support Agreement is included in "Net unrealized appreciation (depreciation) - credit support agreement" in the Company’s Unaudited Consolidated Statements of Operations.

The following tables presents the fair value and aggregate unrealized depreciation of the Company's Credit Support Agreement as of March 31, 2021 and December 31, 2020:

As of March 31, 2021 and December 31, 2020, the fair value of the Credit Support Agreement was $12.0 million and $13.6 million, respectively, and is included in "Credit support agreement" in the accompanying Unaudited and Audited Consolidated Balance Sheets. The fair value of the Credit Support Agreement was determined based on an income approach, with the primary inputs being the enterprise value, the continuously annual risk-free interest rate, a measure of expected asset volatility, and the expected time until an exit event for each portfolio company in the Reference Portfolio, which are all Level 3 inputs.

Foreign Currency Forward Contracts

The Company enters into forward currency contracts from time to time to primarily help mitigate the impact that an adverse change in foreign exchange rates would have on net interest income from the Company's investments and related borrowings denominated in foreign currencies. Net unrealized appreciation or depreciation on foreign currency contracts are included in "Net unrealized appreciation (depreciation) - foreign currency transactions" and net realized gains or losses on forward currency contracts are included in "Net realized gains (losses) - foreign currency transactions" in the Company’s Unaudited Consolidated Statements of Operations. Forward currency contracts are considered undesignated derivative instruments.

Barings BDC, Inc.

Notes to Unaudited Consolidated Financial Statements — (Continued)

The following tables presents the Company's foreign currency forward contracts as of March 31, 2021 and December 31, 2020:


As of March 31, 2021: Description	Notional Amount to be Purchased	Notional Amount to be Sold	Maturity Date	Gross Amount of Recognized Assets (Liabilities)		Balance Sheet Location of Net Amounts
Foreign currency forward contract (AUD)	$785,238	A$1,013,380	04/06/21	$	13,397	Prepaid expenses and other assets
Foreign currency forward contract (AUD)	A$1,013,380	$773,688	04/06/21	(1,847)		Derivative liability
Foreign currency forward contract (AUD)	$545,678	A$714,511	07/07/21	1,269		Prepaid expenses and other assets

Foreign currency forward contract (EUR)	€5,800,000	$6,809,925	04/01/21	6,812		Prepaid expenses and other assets
Foreign currency forward contract (EUR)	$16,496,839	€13,762,578	04/06/21	321,689		Prepaid expenses and other assets
Foreign currency forward contract (EUR)	€13,762,578	$16,201,506	04/06/21	(26,356)		Derivative liability
Foreign currency forward contract (EUR)	$24,184,783	€20,518,045	07/07/21	22,423		Prepaid expenses and other assets

Foreign currency forward contract (GBP)	$33,170,791	£24,072,758	04/06/21	(42,405)		Derivative liability
Foreign currency forward contract (GBP)	£24,072,758	$33,277,695	04/06/21	(64,500)		Derivative liability
Foreign currency forward contract (GBP)	$3,289,859	£2,388,498	07/07/21	(6,517)		Derivative liability

Foreign currency forward contract (SEK)	$164,325	1,356,628kr	04/06/21	8,682		Prepaid expenses and other assets
Foreign currency forward contract (SEK)	1,356,628kr	$156,117	04/06/21	(474)		Derivative liability
Foreign currency forward contract (SEK)	$176,315	1,530,825kr	07/07/21	532		Prepaid expenses and other assets
Total				$	232,705

As of March 31, 2021 and December 31, 2020, the total fair value of the Company's foreign currency forward contracts was $232,705 and $(478,891), respectively. The fair values of the Company's foreign currency forward contracts are based on unadjusted prices from independent pricing services and independent indicative broker quotes, which are Level 2 inputs.

Barings BDC, Inc.

Notes to Unaudited Consolidated Financial Statements — (Continued)

7. COMMITMENTS AND CONTINGENCIES

In the normal course of business, the Company is party to financial instruments with off-balance sheet risk, consisting primarily of unused commitments to extend financing to the Company's portfolio companies. Since commitments may expire without being drawn upon, the total commitment amount does not necessarily represent future cash requirements. As of March 31, 2021 and December 31, 2020, the Company believed that it had adequate financial resources to satisfy its unfunded commitments. The balances of unused commitments to extend financing as of ~~September 30, 2017~~March 31, 2021 and December 31, ~~2016~~2020 were as follows:


Portfolio Company(1)	Investment Type	March 31, 2021		December 31, 2020
ADE Holding(3)	Committed Capex Line	$	88,194	$	91,814
Anju Software, Inc.	Delayed Draw Term Loan	1,981,371		1,981,371
Arch Global Precision, LLC	Delayed Draw Term Loan	3,631,849		4,193,475
Beacon Pointe Advisors, LLC	Delayed Draw Term Loan	—		363,636
Bidwax(2)(3)	Acquisition Capex Facility	3,760,958		—
BigHand UK Bidco Limited(4)	Acquisition Capex Facility	1,843,756		—
British Engineering Services Holdco Limited(4)	Acquisition Facility	—		7,006,008
British Engineering Services Holdco Limited(4)	Bridge Revolver	623,944		618,177
Centralis Finco S.a.r.l.(3)	Acquisition Facility	476,392		495,950
Classic Collision (Summit Buyer, LLC)(2)	Delayed Draw Term Loan	454,562		1,672,446
CM Acquisitions Holdings Inc.	Delayed Draw Term Loan	1,551,602		1,551,602
Contabo Finco S.À R.L(3)	Delayed Draw Term Loan	219,212		228,211
CSL Dualcom(4)	Delayed Draw Term Loan	1,016,577		1,007,182
Dart Buyer, Inc.	Delayed Draw Term Loan	2,430,569		2,430,569
DreamStart Bidco SAS(3)	Acquisition Facility	956,378		995,640
F24 (Stairway BidCo GmbH)(3)	Acquisition Facility	418,703		323,840
Fineline Technologies, Inc.(2)	Delayed Draw Term Loan	600,000		—
FitzMark Buyer, Inc.	Delayed Draw Term Loan	1,470,588		1,470,588
Foundation Risk Partners, Corp.	Delayed Draw Term Loan	4,716,805		4,984,771
Heartland, LLC	Delayed Draw Term Loan	5,347,666		5,347,666
Heilbron (f/k/a Sucsez (Bolt Bidco B.V.))(3)	Accordion Facility	—		10,225,081
Home Care Assistance, LLC(2)	Delayed Draw Term Loan	3,038,310		—
IGL Holdings III Corp.	Delayed Draw Term Loan	5,914,219		5,914,219
INOS 19-090 GmbH(2)(3)	Acquisition Facility	2,620,403		2,727,980
Jocassee Partners LLC	Joint Venture	25,000,000		30,000,000
Kano Laboratories LLC(2)	Delayed Draw Term Loan	4,543,950		4,543,950
Kene Acquisition, Inc.	Delayed Draw Term Loan	—		322,928
LAF International(2)(3)	Acquisition Facility	364,343		—
LivTech Purchaser, Inc.(2)	Delayed Draw Term Loan	447,752		—
Modern Star Holdings Bidco Pty Limited(5)	Capex Term Loan	2,285,953		2,315,967
Murphy Midco Limited(4)	Delayed Draw Term Loan	3,332,269		3,301,472
Navia Benefit Solutions, Inc.(2)	Delayed Draw Term Loan	4,000,000		—
Options Technology Ltd.	Delayed Draw Term Loan	2,604,080		2,604,080
Pacific Health Supplies Bidco Pty Limited(5)	CapEx Term Loan	1,343,603		1,535,025
Premier Technical Services Group(4)	Acquisition Facility	1,208,676		1,197,505
Protego Bidco B.V.(2)(3)	Delayed Draw Term Loan	3,836,870		—
Protego Bidco B.V.(2)(3)	Revolver	2,302,121		—
PSC UK Pty Ltd.(4)	Acquisition Facility	540,149		535,157
Questel Unite(2)(3)	Cap Acquisition Facility	4,747,241		10,300,913
Radwell International, LLC	Delayed Draw Term Loan	1,617,973		3,235,947

Barings BDC, Inc.

Notes to Unaudited Consolidated Financial Statements — (Continued)

Portfolio Company Investment Type September 30, 2017 December 31, 2016
Baker Hill Acquisition, LLC(1) Delayed Draw Term Loan $ 500,000
$ —
CRS Reprocessing, LLC Debtor in Possession Loan 3,300,000
—
DPII Holdings LLC(1) Guaranty 576,925
576,925
DLC Acquisition, LLC Revolver 1,800,000
3,000,000
Eckler's Holdings, Inc.(1) Equity Investment 1,000,000
—
Frank Entertainment Group, LLC(1) Delayed Draw Senior Note 489,796
—
Frank Entertainment Group, LLC(1) Delayed Draw Second Lien Term Note 1,142,857
—
Halo Branded Solutions, Inc. Delayed Draw Term Loan 3,250,000
3,250,000
HKW Capital Partners IV, L.P. Private Equity 128,204
530,032
Lakeview Health Acquisition Company Revolver 1,387,367
1,387,367
Micross Solutions LLC Delayed Draw Term Loan 3,000,000
—
Nautic Partners VII, LP Private Equity 532,532
642,172
Nomacorc, LLC(1) Equity Investment 838,813
849,362
Orchid Underwriters Agency, LLC Delayed Draw Term Loan 649,143
8,400,000
Orchid Underwriters Agency, LLC Revolver —
5,000,000
SCA Pharmaceuticals, LLC Delayed Draw Term Loan —
12,000,000
Schweiger Dermatology Group, LLC Delayed Draw Term Loan 10,000,000
—
SCUF Gaming, Inc. Revolver 2,000,000
3,500,000
Smile Brands, Inc. Equity Investment 1,000,000
1,000,000
Smile Brands, Inc. Delayed Draw Term Loan 18,826,531
18,826,531
SPC Partners V, LP Private Equity 198,378
522,881
SPC Partners VI, LP Private Equity 3,000,000
3,000,000
TCFI Merlin LLC and TCFI CSG LLC Revolver 500,000
—
Team Waste, LLC Equity Investment —
900,000
Team Waste, LLC Delayed Draw Term Loan 1,000,000
—
TGaS Advisors, LLC Revolver 2,000,000
2,000,000
YummyEarth Inc.(1) Delayed Draw Term Loan 1,000,000
1,500,000
Total unused commitments to extend financing $ 58,120,546
$ 66,885,270


Portfolio Company(1)	Investment Type	March 31, 2021		December 31, 2020
Rep Seko Merger Sub LLC	Delayed Draw Term Loan	1,454,545		1,454,546
Safety Products Holdings, LLC	Delayed Draw Term Loan	6,467,345		6,467,345
Smile Brands Group, Inc.(2)	Delayed Draw Term Loan	2,148,691		2,148,691
Springbrook Software (SBRK Intermediate, Inc.)	Delayed Draw Term Loan	3,489,026		3,489,026
SSCP Pegasus Midco Limited(4)	Delayed Draw Term Loan	13,514,446		13,389,546
The Hilb Group, LLC(2)	Delayed Draw Term Loan	5,105,694		5,545,939
Transit Technologies LLC(2)	Delayed Draw Term Loan	6,035,305		6,035,305
USLS Acquisition, Inc.(2)	Delayed Draw Term Loan	450,466		450,466
Utac Ceram(2)(3)	Delayed Draw Term Loan	—		743,327
Waccamaw River	Joint Venture	20,500,000		—
W2O Holdings, Inc.	Delayed Draw Term Loan	5,989,298		5,989,298
Total unused commitments to extend financing		$	166,491,854	$	159,236,659

In the normal course of business, the Company guarantees certain obligations in connection with its portfolio companies (in particular, certain controlled portfolio companies). Under these guarantee arrangements, payments may be required to be made to third parties if such guarantees are called upon or if the portfolio companies were to default on their related obligations, as applicable. As of March 31, 2021 and December 31, 2020, the Company had guaranteed €9.9 million ($11.6 million U.S. dollars and $12.1 million U.S. dollars, respectively) relating to credit facilities among Erste Bank and MVC Automotive Group Gmbh ("MVC Auto"). The Company ~~may,~~would be required to make payments to Erste Bank if MVC Auto were to default on their related payment obligations. None of the credit facility guarantees are recorded as a liability on the Company's Unaudited and Audited Consolidated Balance Sheets, as such the credit facility liabilities are considered in the ~~future,~~valuation of the investments in MVC Auto. The guarantees denominated in foreign currencies were translated into U.S. dollars based on the spot rate at the relevant balance sheet date.

In addition, the Company agreed to cash collateralize a $3.5 million letter of credit for Security Holdings B.V. The $3.5 million cash collateralization is reflected as "Restricted cash" on the accompanying Unaudited and Audited Consolidated Balance Sheets.

The Company and certain of its former executive officers have been named as defendants in two putative securities class action lawsuits, each filed in the United States District Court for the Southern District of New York (and then transferred to the United States District Court for the Eastern District of North Carolina) on behalf of all persons who purchased or otherwise acquired our common stock between May 7, 2014 and November 1, 2017. The first lawsuit was filed on November 21, 2017, and was captioned Elias Dagher, et al., v. Triangle Capital Corporation, et al., Case No. 5:18-cv-00015-FL (the “Dagher Action”). The second lawsuit was filed on November 28, 2017, and was captioned Gary W. Holden, et al., v. Triangle Capital Corporation, et al., Case No. 5:18-cv-00010-FL (the “Holden Action”). The Dagher Action and the Holden Action were consolidated and are currently captioned In re Triangle Capital Corp. Securities Litigation, Master File No. 5:18-cv-00010-FL.

Barings BDC, Inc.

Notes to Unaudited Consolidated Financial Statements — (Continued)

filed its opening brief with the United States Court of Appeals for the Fourth Circuit on January 6, 2020. The defendants filed their response brief on February 28, 2020, and the plaintiff filed its reply brief on March 27, 2020. The United States Court of Appeals for the Fourth Circuit heard oral argument on the appeal on December 9, 2020. On February 22, 2021, the United States Court of Appeals for the Fourth Circuit affirmed the court’s September 20, 2019 order dismissing the action with prejudice.

Other than as set forth above, neither the Company, the Adviser, nor the Company’s subsidiaries are currently subject to any material pending legal proceedings, other than ordinary routine litigation incidental to their respective businesses. The Company, the Adviser, and the Company’s subsidiaries may from time to time, however, be involved in litigation arising out of ~~its~~ operations in the normal course of business or ~~otherwise.~~otherwise, including in connection with strategic transactions. Furthermore, third parties may ~~try to~~ seek to impose liability on the Company in connection with the activities of its portfolio companies. ~~Since~~While the outcome of any current legal proceedings cannot at this time be predicted with certainty, the Company does not expect any current matters will materially affect its ~~inception, neither Triangle Capital Corporation nor~~financial condition or results of operations; however, there can be no assurance whether any pending legal proceedings will have a material adverse effect on the Company’s financial condition or results of operations in any future reporting period.

COVID-19 Developments

During the three months ended March 31, 2021, the spread of the Coronavirus and the COVID-19 pandemic continued to have a significant impact on the U.S and global economies. To the extent the Company's portfolio companies are adversely impacted by the effects of the COVID-19 pandemic, it may have a material adverse impact on the Company's future net investment income, the fair value of its ~~subsidiaries have been party to any material legal proceedings.~~portfolio investments, its financial condition and the results of operations and financial condition of the Company's portfolio companies.

~~TRIANGLE CAPITAL CORPORATION~~

Barings BDC, Inc.

Notes to Unaudited Consolidated Financial Statements — (Continued)

9.8. FINANCIAL HIGHLIGHTS

The following is a schedule of financial highlights for the ~~nine~~three months ended March 31, 2021 and 2020:


	Three Months Ended March 31,
	2021			2020
Per share data:
Net asset value at beginning of period	$	10.99		$	11.66
Net investment income(1)	0.22			0.15
Net realized gain (loss) on investments / foreign currency transactions(1)	0.03			(0.01)
Net unrealized appreciation (depreciation) on investments/ CSA / foreign currency transactions(1)	0.10			(2.44)
Total increase (decrease) from investment operations(1)	0.35			(2.30)
Dividends/distributions paid to stockholders from net investment income	(0.19)			(0.16)





Purchases of shares in share repurchase plan	—			0.03



Other	(0.01)			—
Net asset value at end of period	$	11.14		$	9.23
Market value at end of period(2)	$	9.98		$	7.48
Shares outstanding at end of period	65,316,085			48,288,822
Net assets at end of period	$	727,882,747		$	445,744,908
Average net assets	$	727,272,534		$	569,862,251
Ratio of total expenses, including loss on extinguishment of debt and provision for taxes, to average net assets (annualized)(3)	8.92		%	8.07		%

Ratio of net investment income to average net assets (annualized)	7.91		%	5.13		%
Portfolio turnover ratio (annualized)	16.82		%	10.37		%
Total return(4)	10.54		%	(25.02)		%

(1)~~September 30, 2017~~Weighted average per share data—basic and ~~2016~~:diluted; per share data was derived by using the weighted average shares outstanding during the applicable period.

(2)Represents the closing price of the Company’s common stock on the last day of the period.

(3)Does not include expenses of underlying investment companies, including joint ventures and short-term investments.

(4)Total return is based on purchase of stock at the current market price on the first day and a sale at the current market price on the last day of each period reported on the table and assumes reinvestment of dividends at prices obtained by the Company's dividend reinvestment plan during the period. Total return is not annualized.

Nine Months Ended September 30,
2017 2016
Per share data:
Net asset value at beginning of period $ 15.13
$ 15.23
Net investment income(1) 1.18
1.19
Net realized loss on investments(1) (0.37 ) (0.19 )
Net unrealized depreciation on investments / foreign currency(1) (1.94 ) (0.23 )
Total increase (decrease) from investment operations(1) (1.13 ) 0.77
Dividends paid to stockholders from net investment income (1.35 ) (1.44 )
Total dividends paid (1.35 ) (1.44 )
Shares issued pursuant to Dividend Reinvestment Plan 0.01
0.03
Common stock offering 0.61
0.72
Stock-based compensation (0.04 ) 0.03
Tax provision(1) (0.01 ) —
Other(2) (0.02 ) (0.01 )
Net asset value at end of period $ 13.20
$ 15.33
Market value at end of period(3) $ 14.28
$ 19.70
Shares outstanding at end of period 47,740,832
40,405,403
Net assets at end of period $ 630,393,416
$ 619,355,209
Average net assets $ 676,951,030
$ 534,714,702
Ratio of total expenses, including provision for taxes, to average net assets (annualized) 7.34 % 10.14 %
Ratio of net investment income to average net assets (annualized) 10.70 % 10.42 %
Portfolio turnover ratio 21.59 % 16.89 %
Total return(4) (15.56 )% 10.62 %
Supplemental Data:
Efficiency ratio(5) 17.04 % 25.07 %

~~10.~~9. SUBSEQUENT EVENTS

~~In October 2017,~~Subsequent to March 31, 2021, the Company ~~invested $32.5~~made approximately $156.3 million inof new commitments, of which $106.4 million closed and funded. The $106.4 million of investments consist of $82.6 million of first lien senior secured debt investments, $20.9 million of second lien senior secured and subordinated debt investments and a $2.9 million equity investments with a combined weighted average yield on debt ~~security~~investments of ~~Deva Holdings, Inc. Under~~6.7%. In addition, the ~~terms~~Company funded $5.1 million of previously committed delayed draw term loans.

On May 6, 2021, the ~~investment, the debt security bears interest at~~Board declared a ~~rate~~quarterly distribution of ~~LIBOR plus 6.75%~~$0.20 per ~~annum.~~share payable on June 16, 2021 to holders of record as of June 9, 2021.

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations.

The following discussion is designed to provide a better understanding of our unaudited consolidated financial statements for the ~~nine~~three months ended ~~September 30, 2017,~~March 31, 2021, including a brief discussion of our business, key factors that impacted our performance and a summary of our operating results. The following discussion should be read in conjunction with the Unaudited Consolidated Financial Statements and the notes thereto included in Item 1 of this Quarterly Report on Form 10-Q, and the Consolidated Financial Statements and notes thereto and Management’s Discussion and Analysis of Financial Condition and Results of Operations contained in our Annual Report on Form 10-K for the year ended December 31, ~~2016~~.2020. Historical results and percentage relationships among any amounts in the financial statements are not necessarily indicative of trends in operating results for any future periods.

Forward-Looking Statements

Some of the statements in this Quarterly Report constitute forward-looking statements because they relate to future events or our future performance or financial condition. Forward-looking statements may include, among other things, statements as to our future operating results, our business prospects and the prospects of our portfolio companies, the impact of the investments that we expect to make, the ability of our portfolio companies to achieve their objectives, our expected financings and investments, the adequacy of our cash resources and working capital, and the timing of cash flows, if any, from the operations of our portfolio companies. Words such as “expect,” “anticipate,” “target,” “goals,” “project,” “intend,” “plan,” “believe,” “seek,” “estimate,” “continue,” “forecast,” “may,” “should,” “potential,”"expect," "anticipate," "target," "goals," "project," "intend," "plan," "believe," "seek," "estimate," "continue," "forecast," "may," "should," "potential," variations of such words, and similar expressions indicate a forward-looking statement, although not all forward-looking statements include these words. Readers are cautioned that the forward-looking statements contained in this Quarterly Report are only predictions, are not guarantees of future performance, and are subject to risks, events, uncertainties and assumptions that are difficult to predict. Our actual results could differ materially from those implied or expressed in the forward-looking statements for any reason, including the ~~factors~~items discussed herein, ~~and~~ in Item 1A entitled ~~“Risk Factors”~~"Risk Factors" in Part I of our Annual Report on Form 10-K for the year ended December 31, ~~2016.~~2020 and in Item 1A entitled "Risk Factors" in Part II of our subsequently filed Quarterly Reports on Form 10-Q. Other factors that could cause our actual results and financial condition to differ materially include, but are not limited to, changes in political, economic or industry conditions, the ~~economy,~~interest rate environment or conditions affecting the financial and capital markets, including with respect to changes from the impact of the COVID-19 pandemic; the length and duration of the COVID-19 outbreak in the United States as well as worldwide and the magnitude of the economic impact of that outbreak; the effect of the COVID-19 pandemic on our business prospects and the prospects of our portfolio companies, including our and their ability to achieve our respective objectives; the effect of the disruptions caused by the COVID-19 pandemic on our ability to continue to effectively manage our business and on the availability of equity and debt capital and our use of borrowed money to finance a portion of our investments; risks associated with possible disruption due to terrorism in our operations or the economy ~~generally,~~generally; and future changes in laws or regulations and conditions in our operating areas. These statements are based on our current expectations, estimates, forecasts, information and projections about the industry in which we operate and the beliefs and assumptions of our management as of the date of filing of this Quarterly Report. We assume no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, unless we are required to do so by law. Although we undertake no obligation to revise or update any forward-looking statements, whether as a result of new information, future events or otherwise, you are advised to consult any additional disclosures that we may make directly to you or through reports that we in the future may file with the SEC, including annual reports on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K.

Overview of Our Business

We are a Maryland corporation incorporated on October 10, 2006. In August 2018, in connection with the closing of an externalization transaction through which ~~has elected~~Barings LLC (“Barings”) agreed to ~~be treated~~become our external investment adviser, we entered into an investment advisory agreement (the “Original Advisory Agreement”) and ~~operates~~an administration agreement (the “Administration Agreement”) with Barings. In connection with the completion of our acquisition of MVC Capital, Inc., a Delaware corporation, on December 23, 2020 (the “MVC Acquisition”), we entered into an amended and restated investment advisory agreement (the “Amended and Restated Advisory Agreement”) with Barings on December 23, 2020, following approval of the Amended and Restated Advisory Agreement by our stockholders at our December 23, 2020 special meeting of stockholders. The terms of the Amended and Restated Advisory Agreement became effective on January 1, 2021. Under the terms of the Amended and Restated Advisory Agreement and the Administration Agreement, Barings serves as our investment adviser and administrator and manages our investment portfolio and performs (or oversees, or arranges for, the performance of) the administrative services necessary for our operation.

An externally-managed BDC generally does not have any employees, and its investment and management functions are provided by an ~~internally managed business development company, or BDC,~~outside investment adviser and administrator under an advisory agreement and administration agreement.

Instead of directly compensating employees, we pay Barings for investment and management services pursuant to the terms of the Amended and Restated Advisory Agreement (and, prior to January 1, 2021, pursuant to the terms of the Original Advisory Agreement) and the Administration Agreement. Under the terms of the Amended and Restated Advisory Agreement (and, prior to January 1, 2021, under the ~~Investment~~terms of the Original Advisory Agreement), the fees paid to Barings for managing our affairs are determined based upon an objective and fixed formula, as compared with the subjective and variable nature of the costs associated with employing management and employees in an internally-managed BDC structure, which include bonuses that cannot be directly tied to Company ~~Act~~performance because of 1940, as amended, or the 1940 Act. Our wholly-owned subsidiaries, Triangle Mezzanine Fund LLLP, or Triangle SBIC, Triangle Mezzanine Fund II LP, or Triangle SBIC II and Triangle Mezzanine Fund III LP, or Triangle SBIC III, are licensed as small business investment companies, or SBICs, by the United States Small Business Administration, or SBA. In addition, Triangle SBIC has also elected to be treated as a BDCrestrictions on incentive compensation under the 1940 Act. ~~We, Triangle SBIC, Triangle SBIC II and Triangle SBIC III~~

Beginning in August 2018, Barings shifted our investment focus to invest ~~primarily~~ in ~~debt instruments, equity investments, warrants~~syndicated senior secured loans, bonds and other ~~securities~~fixed income securities. Since that time, Barings has transitioned our portfolio to primarily senior secured private debt investments in well-established middle-market businesses that operate across a wide range of ~~lower middle market privately-held companies located primarily~~industries. Barings’ existing SEC co-investment exemptive relief under the 1940 Act (the “Exemptive Relief”) permits us and Barings’ affiliated private and SEC-registered funds to co-invest in Barings-originated loans, which allows Barings to efficiently implement its senior secured private debt investment strategy for us.

Barings employs fundamental credit analysis, and targets investments in businesses with relatively low levels of cyclicality and operating risk. The holding size of each position will generally be dependent upon a number of factors including total facility size, pricing and structure, and the number of other lenders in the ~~United States.~~

~~Our business is~~facility. Barings has experience managing levered vehicles, both public and private, and will seek to ~~provide capital to lower middle market companies located primarily in~~enhance our returns through the ~~United States. We focus on investments in companies~~use of leverage with a ~~history of generating revenues~~prudent approach that prioritizes capital preservation. Barings believes this strategy and ~~positive cash flows, an established~~approach offers attractive risk/return with lower volatility given the potential for fewer defaults and greater resilience through market position and a proven management team with a strong operating discipline. Our target portfolio company has annual revenues between $20.0 million and $300.0 million and annual earnings before interest, taxes, depreciation and amortization, or EBITDA, between $5.0 million and $75.0 million.

We invest in senior and subordinated debt securities of privately held companies, generally secured by security interests in portfolio company assets. In addition, we generally invest in one or more equity instruments of the borrower, such as direct preferred or common equity interests. Our investments generally range from $5.0 million to $50.0 million per portfolio company. In certain situations, we have partnered with other funds to provide larger financing commitments.

cycles.

We generate revenues in the form of interest income, primarily from our investments in debt securities, loan origination and other fees and dividend income. Fees generated in connection with our debt investments are recognized over the life of the loan using the effective interest method or, in some cases, recognized as earned. ~~In addition, we generate revenue in the form of capital gains, if any, on warrants or other equity-related securities that we acquire from our portfolio companies.~~ Our syndicated senior secured loans generally bear interest between LIBOR plus 300 basis points and LIBOR plus 400 points. Our senior secured, middle-market, private debt investments generally have ~~a term~~terms of between ~~three~~five and seven years. ~~In addition, our fixed~~Our senior secured, middle-market, first lien private debt investments ~~typically~~generally bear interest between ~~10.0%~~LIBOR (or the applicable currency rate for investments in foreign currencies) plus 450 basis points and ~~15.0%~~LIBOR plus 650 basis points per ~~annum and our variable~~annum. Our subordinated middle-market, private debt investments ~~are~~ generally ~~LIBOR-based and typically~~ bear interest between ~~8.0%~~LIBOR (or the applicable currency rate for investments in foreign currencies) plus 700 basis points and ~~13.0%~~LIBOR plus 900 basis points per ~~annum. Certain~~annum if floating rate, and between 8% and 15% if fixed rate. From time to time, certain of our ~~debt~~ investments may have a form of interest, referred to as payment-in-kind, or PIK, interest, ~~that~~which is not paid currently but is instead accrued and added to the loan balance and paid at the end of the term. In our negotiations with potential portfolio companies, we generally seek to minimize PIK interest. Cash interest on our debt investments is generally payable monthly; however, some of our debt investments pay cash interest on a quarterly basis.

As of ~~September 30, 2017~~March 31, 2021 and December 31, ~~2016~~,2020, the weighted average yield on the principal amount of our outstanding debt investments other than non-accrual debt investments was approximately ~~11.2%~~7.2% and ~~11.7%~~7.1%, respectively. The weighted average yield on all of our outstanding investments (including equity and equity-linked investments but excluding non-accrual debt investments) was approximately 9.8% and 10.2% as of September 30, 2017 and December 31, 2016, respectively. The weighted average yield onthe principal amount all of our outstanding investments (including equity and equity-linked investments and short-term investments but excluding non-accrual debt investments) was approximately ~~8.3% and 9.7%~~6.4% as of ~~September 30, 2017~~both March 31, 2021 and December 31, ~~2016, respectively.~~

2020. The weighted average ~~yields across our investment portfolio depend~~yield on the ~~relative seniority~~principal amount all of our outstanding investments ~~within~~(including equity and equity-linked investments and short-term investments) was approximately 6.4% and 6.5% as of March 31, 2021 and December 31, 2020, respectively.

COVID-19 Developments

The spread of the ~~capital structures~~Coronavirus and the COVID-19 pandemic, and the related effect on the U.S. and global economies, has had adverse consequences for the business operations of some of our portfolio companies and has adversely affected, and threatens to continue to adversely affect, our operations and the operations of Barings, including with respect to us. Barings has taken proactive steps around COVID-19 to address the potential impacts on their people, clients, communities and everyone they come in contact with, directly or through their premises. Protecting their employees and supporting the communities in which they live and work is a priority. Barings continues to operate with the majority of employees globally working remotely while maintaining service levels to our partners and clients. In the United States, the firm’s global headquarters in Charlotte and the office in Hartford, Connecticut are currently the only offices that are open. In Europe the regional headquarters in London is open while the majority of other offices in Europe are currently closed. In Asia, all offices remain open. Barings return-to-office taskforce continues to plan for the safe return of employees to all office locations with a target date for a widespread return of associates to all office locations globally planned for September 2021. This date is subject to the continued success of the global vaccination program and reduction in COVID-19 case numbers. Barings’ cybersecurity policies are applied consistently when working remotely or in the office.

While we have been carefully monitoring the COVID-19 pandemic and its impact on our ~~security interests in~~business and the business of our portfolio ~~company assets. Historically, since our IPO in 2007,~~companies, we have ~~primarily focused on investments~~continued to fund our existing debt commitments. In addition, we have continued to make and originate, and expect to continue to make and originate, new loans.

We cannot predict the full impact of the COVID-19 pandemic, including its duration in ~~subordinated debt securities, which generally produce higher yields than more senior securities due~~the United States and worldwide and the magnitude of the economic impact of the outbreak, including with respect to the ~~risks inherent in investing in less senior positions. Beginning in 2016, we began~~travel restrictions, business closures and other quarantine measures imposed on service providers and other individuals by various local, state, and federal governmental authorities, as well as non-U.S. governmental authorities. We are unable to ~~shift~~predict the duration of any business and supply-chain disruptions, the extent to which COVID-19 will negatively affect our ~~focus toward larger~~portfolio companies’ operating results or the impact that such disruptions may have on our results of operations and ~~less cyclical~~financial condition. Depending on the duration and extent of the disruption to the operations of our portfolio companies, certain portfolio companies could experience financial distress and ~~began steering~~possibly default on their financial obligations to us and their other capital providers. Some of our portfolio ~~composition with a focus~~companies may significantly curtail business operations, furlough or lay off employees and terminate service providers, and defer capital expenditures if subjected to prolonged and severe financial distress, which would likely impair their business on a balance between senior and subordinated securities. This shift toward more senior securities is intended to reduce our credit risks in exchange for lower-yielding investments, which in turn has resultedpermanent basis. These developments would likely result in a decrease in the ~~weighted average yield on our investment portfolio. As we continue this balanced strategy, and as the percentage~~value of our investment in any such portfolio company.

We will continue to monitor the situation relating to the COVID-19 pandemic and guidance from U.S. and international authorities, including federal, state and local public health authorities and may take additional actions based on their recommendations. In these circumstances, there may be developments outside our control requiring us to adjust our plan of operation. As such, given the dynamic nature of this situation, we cannot reasonably estimate the impacts of COVID-19 on our financial condition, results of operations or cash flows in the future. However, to the extent our portfolio companies are adversely impacted by the effects of the COVID-19 pandemic, it may have a material adverse impact on our future net investment income, the fair value of our portfolio investments, our financial condition and the results of operations and financial condition of our portfolio companies.

Relationship with Our Adviser, Barings

Our investment adviser, Barings, a wholly-owned subsidiary of Massachusetts Mutual Life Insurance Company, is a leading global asset management firm and is registered with the SEC as an investment adviser under the Investment Advisers Act of 1940, as amended. Barings’ primary investment capabilities include fixed income, private credit, real estate, equity, and alternative investments. Subject to the overall supervision of our board of directors (the “Board”), Barings’ Global Private Finance Group (“BGPF”) manages our day-to-day operations, and provides investment advisory and management services to us. BGPF is part of Barings’ $244.2 billion Global Fixed Income Platform that ~~is comprised~~invests in liquid, private and structured credit. BGPF manages private funds and separately managed accounts, along with multiple public vehicles.

Among other things, Barings (i) determines the composition of ~~senior debt~~our portfolio, the nature and timing of the changes therein and the manner of implementing such changes; (ii) identifies, evaluates and negotiates the structure of the investments ~~increases,~~made by us; (iii) executes, closes, services and monitors the investments that we ~~expect~~make; (iv) determines the securities and other assets that we will purchase, retain or sell; (v) performs due diligence on prospective portfolio companies and (vi) provides us with such other investment advisory, research and related services as we may, from time to time, reasonably require for the investment of our ~~investment-related risks~~funds.

Under the terms of the Administration Agreement, Barings has agreed to perform (or oversee, or arrange for, the performance of) the administrative services necessary for our operation, including, but not limited to, office facilities, equipment, clerical, bookkeeping and record keeping services at such office facilities and such other services as Barings, subject to review by the Board, will from time to time determine to be ~~mitigated~~necessary or useful to ~~an extent, but we~~perform its obligations under the Administration Agreement. Barings will also, ~~expect the weighted average yields~~ on our ~~portfolio to continue to decrease.~~

~~Triangle SBIC, Triangle SBIC II~~behalf and ~~Triangle SBIC III are eligible to issue debentures~~subject to the ~~SBA, which pools these~~Board’s oversight, arrange for the services of, and oversee, custodians, depositories, transfer agents, dividend disbursing agents, other stockholder servicing agents, accountants, attorneys, underwriters, brokers and dealers, corporate fiduciaries, insurers, banks and such other persons in any such other capacity deemed to be necessary or desirable. Barings is responsible for the financial and other records that we are required to maintain and will prepare all reports and other materials required to be filed with ~~debentures~~the SEC or any other regulatory authority.

Stockholder Approval of ~~other SBICs and sells them in~~Reduced Asset Coverage Ratio

On July 24, 2018, our stockholders voted at a special meeting of stockholders (the “2018 Special Meeting”) to approve a proposal to authorize us to be subject to a reduced asset coverage ratio of at least 150% under the ~~capital markets at favorable interest rates, in part as~~1940 Act. As a result of the ~~guarantee~~stockholder approval at the 2018 Special Meeting, effective July 25, 2018, our applicable asset coverage ratio under the 1940 Act has been decreased to 150% from 200%. As a result, we are permitted under the 1940 Act to incur indebtedness at a level which is more consistent with a portfolio of payment from the SBA. Triangle SBIC, Triangle SBIC II and Triangle SBIC III invest these funds in portfolio companies. We intend to continue to operate Triangle SBIC, Triangle SBIC II and Triangle SBIC III as SBICs, subject to SBA approval, and to utilize the proceeds from the issuancesenior secured debt. As of ~~SBA-guaranteed debentures, referred to herein as SBA leverage, to enhance returns to~~March 31, 2021, our ~~stockholders.~~

asset coverage ratio was 173.8%.

Portfolio Investment Composition

The total value of our investment portfolio was ~~$1.1 billion~~$1,602.1 million as of ~~September 30, 2017~~,March 31, 2021, as compared to ~~$1.0 billion~~$1,495.8 million as of December 31, ~~2016~~.2020. As of ~~September 30, 2017~~,March 31, 2021, we had investments in 91150 portfolio companies and two money market funds with an aggregate cost of ~~$1.2 billion.~~$1,588.6 million. As of December 31, ~~2016~~,2020, we had investments in 88146 portfolio companies and two money market funds with an aggregate cost of ~~$1.1 billion.~~$1,486.1 million. As of both ~~September 30, 2017~~March 31, 2021 and December 31, ~~2016~~,2020, none of our portfolio investments represented greater than 10% of the total fair value of our investment portfolio.

As of ~~September 30, 2017~~March 31, 2021 and December 31, ~~2016~~,2020, our investment portfolio consisted of the following investments:


										Cost		Percentage of Total Portfolio		Fair Value		Percentage of Total Portfolio
	Cost		Percentage of Total Portfolio		Fair Value		Percentage of Total Portfolio
September 30, 2017:
March 31, 2021:									March 31, 2021:
Senior debt and 1st lien notes									Senior debt and 1st lien notes	$	1,228,983,292	77	%	$	1,238,178,055	77	%
Subordinated debt and 2nd lien notes	$	812,599,788	66	%	$	688,995,595	63	%	Subordinated debt and 2nd lien notes	150,273,105		10		150,597,961		9
Senior debt and 1st lien notes	290,613,735		23		270,479,180		25
Structured products									Structured products	23,163,888		1		26,153,607		2
Equity shares	133,883,175		11		131,120,904		12		Equity shares	42,543,214		3		39,617,746		2
Equity warrants	1,691,617		—		596,000		—		Equity warrants	1,235,383		—		1,434,309		—
Investment in joint ventures / PE fund									Investment in joint ventures / PE fund	68,782,532		4		72,576,383		5
Short-term investments									Short-term investments	73,569,174		5		73,565,676		5
	$	1,238,788,315	100	%	$	1,091,191,679	100	%		$	1,588,550,588	100	%	$	1,602,123,737	100	%
December 31, 2016:
December 31, 2020:									December 31, 2020:
Senior debt and 1st lien notes									Senior debt and 1st lien notes	$	1,167,436,742	79	%	$	1,171,250,512	79	%
Subordinated debt and 2nd lien notes	$	753,635,857	69	%	$	690,159,367	67	%	Subordinated debt and 2nd lien notes	137,776,808		9		138,767,120		9
Senior debt and 1st lien notes	198,616,110		18		191,643,157		18
Structured products									Structured products	30,071,808		2		32,508,845		2
Equity shares	140,524,807		13		154,216,657		15		Equity shares	44,693,645		3		44,651,114		3
Equity warrants	4,154,717		—		1,888,000		—		Equity warrants	1,235,383		—		1,300,197		—
Investment in joint ventures / PE fund									Investment in joint ventures / PE fund	39,282,532		3		41,759,922		3
Short-term investments									Short-term investments	65,558,227		4		65,558,227		4
	$	1,096,931,491	100	%	$	1,037,907,181	100	%		$	1,486,055,145	100	%	$	1,495,795,937	100	%

Investment Activity

During the ~~nine~~three months ended ~~September 30, 2017,~~March 31, 2021, we made ~~twenty-two~~18 new investments totaling ~~$328.2~~$172.2 million, ~~debt~~made investments in ~~seventeen~~ existing portfolio companies totaling ~~$58.9~~$73.2 million, made one new investment in a joint venture equity portfolio company totaling $4.5 million and ~~equity~~made additional investments in ~~eleven~~ existing joint venture equity portfolio companies totaling ~~$4.4~~$25.0 million. We had ~~fourteen portfolio company~~six loans repaid at par totaling ~~$185.3~~$26.2 million and received ~~normal principal repayments and partial loan prepayments totaling $18.9~~$6.0 million ~~in the nine months ended September 30, 2017. We converted a portion~~ of ~~a subordinated debt investment in one~~ portfolio company ~~into an equity investment and recognized~~principal payments. In addition, we sold $57.1 million of loans, recognizing a net realized ~~loss~~gain on ~~such conversion totaling $0.3 million. We wrote off equity investments in seven portfolio companies and recognized realized losses on the write-offs~~these transactions of ~~$14.0~~$2.4 million, and ~~wrote off~~sold $94.7 million of middle-market portfolio company debt investments ~~in four portfolio companies~~to one of our joint ventures and ~~recognized~~ realized ~~losses~~a gain on ~~the write-offs~~these transactions of ~~$22.5~~$0.5 million. ~~In addition,~~Lastly, we received proceeds related to the ~~sales~~sale of ~~certain~~an equity ~~securities~~investment totaling ~~$27.5~~$5.9 million and recognized a net realized ~~gains~~loss on such ~~sales~~sale totaling ~~$19.8 million in the nine months ended September 30, 2017.~~$0.1 million.

During the ~~nine~~three months ended ~~September 30, 2016,~~March 31, 2020, we made ~~six~~30 new investments totaling ~~$130.2~~$111.2 million ~~debt~~and made investments in ~~ten~~ existing portfolio companies totaling ~~$27.8 million and equity investments in nine existing portfolio companies totaling $5.9~~$20.9 million. We had ~~ten portfolio company~~nine loans repaid at par totaling ~~$137.4~~total $41.1 million, ~~resulting in realized gains totaling $0.7~~received $3.0 million ~~and received normal principal repayments and partial loan prepayments totaling $24.0 million in the nine months ended September 30, 2016. We converted subordinated debt investments in one~~of portfolio company ~~into an equity investment and recognized~~principal payments. In addition, we sold $39.6 million of syndicated senior secured loans, recognizing a net realized loss on ~~such conversion totaling $1.6 million. We wrote off an equity investment in one~~these transactions of $0.2 million and sold $30.8 million of middle-market portfolio company ~~and recognized a realized loss on the write-off of $2.0 million and wrote off a~~ debt ~~investment in one portfolio company and recognized a realized loss on the write-off of $16.1 million. In addition,~~investments to our joint venture. Lastly, we received ~~proceeds related to the sales of certain equity securities totaling $20.8 million and recognized net realized gains on such sales totaling $12.2~~$0.2 million in ~~the nine months ended September 30, 2016.~~escrow distributions from two legacy portfolio companies, which were recognized as realized gains.

Total portfolio investment activity for the ~~nine~~three months ended ~~September 30, 2017~~March 31, 2021 and ~~2016~~2020 was as follows:


Three Months Ended March 31, 2021:	Senior Debt and 1st Lien Notes		Subordinated Debt and 2nd Lien Notes		Structured Products		Equity Shares		Equity Warrants		Investments in Joint Ventures / PE Fund		Short-term Investments		Total
Fair value, beginning of period	$	1,171,250,512	$	138,767,120	$	32,508,845	$	44,651,114	$	1,300,197	$	41,759,922	$	65,558,227	$	1,495,795,937
New investments	227,056,942		14,477,877		—		3,872,210		—		29,500,000		198,550,029		473,457,058
Proceeds from sales of investments	(144,892,665)		—		(6,823,471)		(5,971,996)		—		—		(190,541,780)		(348,229,912)
Loan origination fees received	(4,176,205)		(402,163)		—		—		—		—		—		(4,578,368)
Principal repayments received	(21,392,290)		(10,120,108)		(752,526)		—		—		—		—		(32,264,924)
Payment-in-kind interest earned	828,659		7,007,695		—		—		—		—		—		7,836,354
Accretion of loan discounts	645,409		1,318,620		15,758		—		—		—		—		1,979,787
Accretion of deferred loan origination revenue	1,269,802		211,236		—		—		—		—		—		1,481,038
Realized gain (loss)	2,206,896		3,140		652,320		(50,645)		—		—		2,698		2,814,409
Unrealized appreciation (depreciation)	5,380,995		(665,456)		552,681		(2,882,937)		134,112		1,316,461		(3,498)		3,832,358
Fair value, end of period	$	1,238,178,055	$	150,597,961	$	26,153,607	$	39,617,746	$	1,434,309	$	72,576,383	$	73,565,676	$	1,602,123,737


Three Months Ended March 31, 2020:	Senior Debt and 1st Lien Notes		Subordinated Debt and 2nd Lien Notes		Structured Products		Equity Shares		Investment in Joint Venture		Short-term Investments		Total
Fair value, beginning of period	$	1,050,863,370	$	15,220,969	$	—	$	760,716	$	10,229,813	$	96,568,939	$	1,173,643,807
New investments	118,056,710		2,160,082		11,518,233		403,774		—		221,916,363		$	354,055,162
Proceeds from sales of investments	(70,448,795)		—		—		(152,467)		—		(218,025,496)		$	(288,626,758)
Loan origination fees received	(2,684,615)		(19,808)		—		—		—		—		$	(2,704,423)
Principal repayments received	(44,108,598)		—		—		—		—		—		$	(44,108,598)
Accretion of loan discounts	180,698		4,465		3,239		—		—		—		$	188,402
Accretion of deferred loan origination revenue	649,654		8,351		—		—		—		—		$	658,005
Realized gain (loss)	(310,445)		—		—		152,467		—		—		$	(157,978)
Unrealized depreciation	(113,033,296)		(1,389,918)		(2,816,526)		(121,316)		(3,833,223)		—		$	(121,194,279)
Fair value, end of period	$	939,164,683	$	15,984,141	$	8,704,946	$	1,043,174	$	6,396,590	$	100,459,806	$	1,071,753,340

Nine Months Ended
September 30, 2017:
Subordinated
Debt and 2^nd
Lien Notes

Senior Debt
and 1^st Lien
Notes

Equity
Shares

Equity
Warrants
Total
Fair value, beginning of period $ 690,159,367
$ 191,643,157
$ 154,216,657
$ 1,888,000
$ 1,037,907,181
New investments 220,193,495
158,635,429
12,673,701
—
391,502,625
Reclassifications 22,558,007
(22,558,007 ) —
—
—
Proceeds from sales of investments —
—
(27,036,478 ) (479,408 ) (27,515,886 )
Loan origination fees received (3,471,655 ) (2,262,235 ) —
—
(5,733,890 )
Principal repayments received (163,054,918 ) (41,159,263 ) —
—
(204,214,181 )
PIK interest earned 8,033,507
841,215
—
—
8,874,722
PIK interest payments received (7,847,417 ) (507,979 ) —
—
(8,355,396 )
Accretion of loan discounts 411,497
54,694
—
—
466,191
Accretion of deferred loan origination revenue 2,798,373
1,064,723
—
—
3,863,096
Realized gain (loss) (20,656,958 ) (2,110,952 ) 7,721,145
(1,983,692 ) (17,030,457 )
Unrealized gain (loss) (60,127,703 ) (13,161,602 ) (16,454,121 ) 1,171,100
(88,572,326 )
Fair value, end of period $ 688,995,595
$ 270,479,180
$ 131,120,904
$ 596,000
$ 1,091,191,679
Weighted average yield on debt investments at end of period(1) 11.2 %
Weighted average yield on total investments at end of period(1) 9.8 %
Weighted average yield on total investments at end of period 8.3 %


~~(1)~~	~~Excludes non-accrual debt investments~~


~~(1)~~	~~Excludes non-accrual debt investments~~

Non-Accrual Assets

Generally, when interest and/or principal payments on a loan become past due, or if we otherwise do not expect the borrower to be able to service its debt and other obligations, we will place the loan on non-accrual status and will generally cease recognizing interest income on that loan for financial reporting purposes until all principal and interest have been brought current through payment or due to a restructuring such that the interest income is deemed to be collectible. As of ~~September 30, 2017,~~March 31, 2021, we had no non-accrual assets. As of December 31, 2020, the fair value of our non-accrual ~~assets~~asset was ~~$51.2~~$3.0 million, which comprised ~~4.7%~~0.2% of the total fair value of our portfolio, and the cost of our non-accrual ~~assets~~asset was ~~$165.7~~$3.0 million, which comprised 13.4% of the total cost of our portfolio. As of December 31, 2016, the fair value of our non-accrual assets was $15.9 million, which comprised 1.5% of the total fair value of our portfolio, and the cost of our non-accrual assets was $38.4 million, which comprised 3.5%0.2% of the total cost of our portfolio.

~~Our non-accrual assets as of September 30, 2017 were as follows:~~

~~Cafe Enterprises, Inc.~~

During the three months ended June 30, 2017, we placed our subordinated debt investment in Cafe Enterprises, Inc., or Cafe, on PIK non-accrual status. During the three months ended June 30, 2017, we invested approximately $1.5 million in a second lien term note in order to provide liquidity to support Cafe. In September 2017, we placed our debt investments in Cafe on non-accrual status effective with the quarterly payments due September 30, 2017. As a result, under U.S. GAAP, we no longer recognize interest income on our debt investments in Cafe for financial reporting purposes. As of September 30, 2017, the cost of our debt investments in Cafe was $15.7 million and the fair value of such investments was $4.3 million.

~~Community Intervention Services, Inc.~~

In June 2017, we placed our debt investment in Community Intervention Services, Inc., or Community, on non-accrual status effective with the quarterly payment due June 30, 2017. As a result, under U.S. GAAP, we no longer recognize interest income on our debt investment in Community for financial reporting purposes. As of September 30, 2017, the cost of our debt investment in Community was $17.7 million and the fair value of such investment was $3.7 million.

~~CRS Reprocessing, LLC~~

On August 7, 2017, CRS Reprocessing, LLC, or CRS, filed for bankruptcy protection under Chapter 11 of the United States Bankruptcy Code. As a result, we placed our debt investments in CRS on non-accrual status and under U.S. GAAP, we no longer recognize interest income on our debt investments in CRS for financial reporting purposes. As of September 30, 2017, the cost of our debt investments in CRS was $21.3 million and the fair value of such investments was $7.8 million.

~~DialogDirect, Inc.~~

In March 2017, we placed our debt investments in DialogDirect, Inc., or Dialog, on non-accrual status effective with the monthly payments due January 31, 2017. As a result, under U.S. GAAP, we no longer recognize interest income on our debt investments in Dialog for financial reporting purposes. As of September 30, 2017, the cost of our debt investments in Dialog was $20.0 million and the fair value of such investments was $10.2 million.

~~DPII Holdings, LLC~~

During the three months ended March 31, 2016, we placed our Tranche I & II subordinated debt investments in DPII Holdings, LLC, or Datapath, on PIK non-accrual status. During the three months ended June 30, 2016, we invested approximately $1.6 million in a Tranche III subordinated debt investment in order to provide liquidity to support Datapath. This Tranche III subordinated debt investment bears interest at a rate of 0% Cash and 19% PIK. In the three months ended June 30, 2016, we placed both our Tranche I & II subordinated debt investments and our Tranche III subordinated debt investment in Datapath on full non-accrual status. As a result, under U.S. GAAP, we no longer recognize interest income on our debt investments in Datapath for financial reporting purposes. As of September 30, 2017, the cost of our debt investments in Datapath was $5.0 million and the fair value of such investments was $2.7 million.

~~Eckler's Holdings, Inc.~~

During the three months ended June 30, 2017, we placed our subordinated debt investment in Eckler's Holdings, Inc., or Eckler's, on PIK non-accrual status. During the three months ended June 30, 2017, we invested approximately $0.7 million in subordinated debt in order to provide liquidity to support Eckler's. In September 2017, we placed our debt investment in Eckler's on non-accrual status effective with the quarterly payment due September 30, 2017. As a result, under U.S. GAAP, we no longer recognize interest income on our debt investment in Eckler's for financial reporting purposes. As of September 30, 2017, the cost of our debt investment in Eckler's was $13.2 million and the fair value of such investment was $3.1 million.

~~Frank Entertainment Group, LLC~~

In September 2017, we placed our debt investments in Frank Entertainment Group, LLC, or Frank, on non-accrual status effective with the monthly payments due July 31, 2017. As a result, under U.S. GAAP, we no longer recognize interest income on our debt investments in Frank for financial reporting purposes. As of September 30, 2017, the cost of our debt investments in Frank was $12.6 million and the fair value of such investments was $6.2 million.

~~FrontStream Holdings~~, ~~LLC~~

In September 2017, we placed our debt investment in FrontStream Holdings, LLC, or Frontstream, on non-accrual status effective with the quarterly payment due September 30, 2017. As a result, under U.S. GAAP, we no longer recognize interest income on our debt investment in Frontstream for financial reporting purposes. As of September 30, 2017, the cost of our debt investment in Frontstream was $14.3 million and the fair value of such investment was $7.3 million.

~~GST AutoLeather, Inc.~~

On October 3, 2017, GST AutoLeather, Inc., or GST, filed for bankruptcy protection under Chapter 11 of the United States Bankruptcy Code. As a result, we placed our debt investment in GST on non-accrual status effective with the quarterly payment due September 30, 2017 and under U.S. GAAP, we no longer recognize interest income on our debt investment in GST for financial reporting purposes. As of September 30, 2017, the cost of our debt investment in GST was $23.1 million and the fair value of such investment was $2.5 million.

~~Media Storm, LLC.~~

In September 2017, we placed our debt investment in Media Storm, LLC, or Media Storm, on non-accrual status effective with the quarterly payment due September 30, 2017. As a result, under U.S. GAAP, we no longer recognize interest income on our debt investment in Media Storm for financial reporting purposes. As of September 30, 2017, the cost of our debt investment in Media Storm was $6.5 million and the fair value of such investment was $3.6 million.

~~Women's Marketing, Inc.~~

During the three months ended September 30, 2016, we placed our debt investment in Women's Marketing, Inc., or Women's Marketing, on PIK non-accrual status. In December 2016, we placed our debt investment in Women's Marketing on non-accrual status effective with the monthly payment due November 30, 2016. As a result, under U.S. GAAP, we no longer recognize interest income on our debt investment in Women's Marketing for financial reporting purposes. As of September 30, 2017, the cost of our debt investment in Women's Marketing was $16.1 million and the fair value of such investment was zero.

Results of Operations

Comparison of ~~three months ended~~ ~~September 30, 2017~~ ~~and~~ ~~September 30, 2016~~

~~Investment Income~~

~~For~~ the three months ended ~~September 30, 2017, total investment income was~~ ~~$29.9 million~~,March 31, 2021 and March 31, 2020

Operating results for the three months ended March 31, 2021 and 2020 were as follows:


	Three Months Ended		Three Months Ended
	March 31, 2021		March 31, 2020























Total investment income	$	30,593,231	$	18,679,598









Total operating expenses	16,237,135		11,385,529
Net investment income	14,356,096		7,294,069
Income taxes, including excise tax benefit	(18,038)		—
Net investment income after taxes	14,374,134		7,294,069







Net realized gains (losses)	1,839,580		(302,372)







Net unrealized appreciation (depreciation)	6,274,155		(119,396,053)

Loss on extinguishment of debt	—		(137,390)
Benefit from taxes	410		19,999
Net increase (decrease) in net assets resulting from operations	$	22,488,279	$	(112,521,747)

Net increases or decreases in net assets resulting from operations can vary substantially from period to period due to various factors, including recognition of realized gains and losses and unrealized appreciation and depreciation. As a ~~9.0%~~ ~~increase~~result, quarterly comparisons of net changes in net assets resulting from ~~$27.4 million~~ ~~of total~~operations may not be meaningful.

Investment Income


	Three Months Ended		Three Months Ended
	March 31, 2021		March 31, 2020
Investment income:





Interest income	$	25,214,241	$	17,674,402




Dividend income	71,500		—




Fee and other income	2,133,175		960,993




Payment-in-kind interest income	3,173,787		43,572
Interest income from cash	528		631
Total investment income	$	30,593,231	$	18,679,598

The change in investment income for the three months ended ~~September 30, 2016. This increase~~March 31, 2021, as compared to the three months ended March 31, 2020, was primarily ~~attributable~~due to an increase in ~~portfolio~~the average size of our portfolio. The amount of our outstanding debt investments ~~from September 30, 2016~~was $1,451.9 million as of March 31, 2021, as compared to ~~September 30, 2017 and a $0.6~~$1,119.9 million as of March 31, 2020, which increase is in ~~non-recurring fee income, partially offset by a $0.1 million decrease in non-recurring dividend income, a decrease in PIK interest income~~part due to ~~a decrease~~the acquisition of investment assets in ~~PIK yielding~~the MVC Acquisition. The weighted average yield on the principal amount of our outstanding debt investments ~~from September 30, 2016~~was 7.2% as of March 31, 2021, as compared to ~~September 30, 2017~~5.8% as of March 31, 2020.

Operating Expenses


	Three Months Ended		Three Months Ended
	March 31, 2021		March 31, 2020
























Operating expenses:
Interest and other financing fees	$	7,284,709	$	6,004,133
Base management fees	3,929,251		3,912,373
Incentive management fees	2,721,741		—

Compensation expenses	—		48,410
General and administrative expenses	2,301,434		1,420,613
Total operating expenses	$	16,237,135	$	11,385,529

Interest and ~~a $3.5 million decrease in investment income relating to non-accrual assets~~Other Financing Fees

Interest and ~~PIK non-accrual assets. Non-recurring fee income was $1.9 million for~~other financing fees during the three months ended ~~September 30, 2017~~,March 31, 2021 were attributable to borrowings under the February 2019 Credit Facility, the August 2025 Notes, the November Notes and the February Notes (each as ~~compared to $1.2 million for~~defined below under “Liquidity and Capital Resources”). Interest and other financing fees during the three months ended ~~September 30, 2016. Non-recurring dividend income was $0.2~~March 31, 2020 were attributable to borrowings under Barings BDC Senior Funding I, LLC’s credit facility entered into in August 2018 with Bank of America, N.A. (the “August 2018 Credit Facility”), the February 2019 Credit Facility and our May 2019 $449.3 million ~~for the three months ended~~ ~~September 30, 2017, as compared to $0.3 million for the three months ended~~ ~~September 30, 2016~~term debt securitization (the “Debt Securitization”).

~~Operating Expenses~~

For the three months ended September 30, 2017, operating expenses increased by 10.0% to $12.7 million from $11.6 million for the three months ended September 30, 2016. Our operating expenses consist of interest and other financing fees, compensation expenses and general and administrative expenses.

~~For the three months ended September 30, 2017, interest and other financing fees increased by 9.4% to $7.4 million from $6.8 million for the three months ended September 30, 2016.~~ The increase in interest and other financing fees for the three months ended March 31, 2021 as compared to the three months ended March 31, 2020, was primarily ~~related~~attributable to the issuance of the August 2025 Notes, the November Notes and the February Notes and increased borrowings under ~~our third amended~~the February 2019 Credit Facility, partially offset by the repayment of the Debt Securitization and ~~restated senior secured credit facility, as amended on May 1, 2017, or~~ the repayment of the borrowings under the August 2018 Credit Facility.

~~Compensation expenses~~Base Management Fees

Under the terms of the Amended and Restated Advisory Agreement (and, prior to January 1, 2021, under the terms of the Original Advisory Agreement), we pay Barings a base management fee (the “Base Management Fee”), quarterly in arrears on a calendar quarter basis. The Base Management Fee is calculated based on the average value of our gross assets, excluding cash and cash equivalents, at the end of the two most recently completed calendar quarters prior to the quarter for which such fees are ~~primarily influenced by headcount~~being calculated. Base Management Fees for any partial month or quarter are appropriately pro-rated. See Note 2 to our Unaudited Consolidated Financial Statements for additional information regarding the terms of the Amended and ~~levels~~Restated Advisory Agreement (and, prior to January 1, 2021, the terms of business activity. Our compensation expenses include salaries, discretionary compensation, equity-based compensation and benefits. Discretionary compensation is significantly impacted by our level of total investment income, our investment results including investment realizations, prevailing labor marketsthe Original Advisory Agreement) and the ~~external environment. As a result of these~~fee arrangements thereunder. For both the three months ended March 31, 2021 and ~~other factors, our compensation expenses can fluctuate materially from period to period. Accordingly,~~March 31, 2020, the amount of ~~compensation expenses recognized in any particular period may not be indicative of compensation expenses in a future period.~~

Base Management Fee incurred was approximately $3.9 million. For the three months ended ~~September 30, 2017, compensation expenses increased by 9.1% to $4.3 million from $4.0 million~~March 31, 2021 and March 31, 2020, the Base Management Fee rate was 1.250% and 1.375%, respectively. Although the Base Management Fee rate decreased for the three months ended ~~September 30, 2016.~~March 31, 2021 versus March 31, 2020, the average value of gross assets increased from $1,138.1 million as of the end of the two most recently completed calendar quarters prior to March 31, 2020 to $1,257.4 million as of the end of the two most recently completed calendar quarters prior to March 31, 2021, which resulted in a slight increase in fees between periods.

Incentive Fee (and, prior to January 1, 2021, under the terms of the Original Advisory Agreement)

Under the Amended and Restated Advisory Agreement (and, prior to January 1, 2021, under the terms of the Original Advisory Agreement), we pay Barings an incentive fee. A portion of the incentive fee is based on our income and a portion is based on our capital gains. The income-based fee will be determined and paid quarterly in arrears based on the amount by which (x) the aggregate pre-incentive fee net investment income in respect of the current calendar quarter and the eleven preceding calendar quarters beginning with the calendar quarter that commences on or after January 1, 2021, as the case may be (or the appropriate portion thereof in the case of any of our first eleven calendar quarters that commences on or after January 1, 2021) exceeds (y) the hurdle amount as calculated for the same period. See Note 2 to our Unaudited Consolidated Financial Statements for additional information regarding the terms of the Amended and Restated Advisory Agreement and the fee arrangements thereunder. For the three months ended ~~September 30, 2017,~~March 31, 2021, the amount of income-based fee incurred was $2.7 million.

General and Administrative Expenses

We entered into the Administration Agreement with Barings in August 2018. Under the terms of the Administration Agreement, Barings performs (or oversees, or arranges for, the performance of) the administrative services necessary for our operations. We will reimburse Barings for the costs and expenses incurred by it in performing its obligations and providing personnel and facilities under the Administration Agreement in an amount to be negotiated and mutually agreed to by us and Barings quarterly in arrears; provided that the agreed-upon quarterly expense amount will not exceed the amount of expenses that would otherwise be reimbursable by us under the Administration Agreement for the applicable quarterly period, and Barings will not be entitled to the recoupment of any amounts in excess of the agreed-upon quarterly expense amount. See Note 2 to our Unaudited Consolidated Financial Statements for additional information regarding the Administration Agreement. For the three months ended March 31, 2021, the amount of administration expense incurred and invoiced by Barings for expenses was approximately $0.5 million. For the three months ended March 31, 2020, the amount of administration expense incurred and invoiced by the Adviser for expenses was approximately $0.4 million. In addition to expenses incurred under the Administration Agreement, general and administrative expenses ~~increased by 18.5% to $1.0 million from $0.9 million for~~include Board fees, D&O insurance costs, as well as legal and accounting expenses.

Net Realized Gains (Losses)

Net realized gains (losses) during the three months ended ~~September 30, 2016.~~March 31, 2021 and 2020 were as follows:

~~In addition, our efficiency ratio (defined as the sum of compensation expenses and general and administrative expenses as a percentage of total investment income) increased to~~ ~~17.9%~~ ~~for the three months ended~~ ~~September 30, 2017~~ ~~from~~ ~~17.6%~~ ~~for the three months ended~~ ~~September 30, 2016~~.


	Three Months Ended		Three Months Ended
	March 31, 2021		March 31, 2020




































Net realized gain (losses):
Non-Control / Non-Affiliate investments	$	2,891,040	$	(157,978)
Affiliate investments	(76,631)		—

Net realized gains (losses) on investments	2,814,409		(157,978)
Foreign currency transactions	(974,829)		(144,394)
Net realized gains (losses)	$	1,839,580	$	(302,372)

~~Net Investment Income~~

~~As a result of the~~ ~~$2.5 million~~ ~~increase in total investment income and the~~ ~~$1.2 million~~ ~~increase in operating expenses, net investment income increased by~~ ~~8.3%~~ to ~~$17.2 million~~ ~~for the three months ended~~ ~~September 30, 2017~~ ~~as compared to~~ ~~$15.8 million~~ ~~for the three months ended~~ ~~September 30, 2016~~.

~~Net Increase/Decrease in Net Assets Resulting from Operations~~

In the three months ended ~~September 30, 2017~~,March 31, 2021, we recognized net realized gains totaling $1.8 million, which consisted primarily of a net gain on our loan portfolio of $2.8 million partially offset by a net loss on foreign currency transactions of $1.0 million. In the three months ended March 31, 2020, we recognized net realized losses totaling ~~$8.9~~$0.3 million, which consisted primarily of a net loss on ~~the write-off~~our loan portfolio of ~~one control investment totaling $8.5 million, a net loss on the write-off of one affiliate investment totaling $6.1~~$0.3 million and a net loss on ~~the write-off~~foreign currency transactions of ~~one non-control/non-affiliate investments totaling $2.0~~$0.1 million, partially offset by ~~net gains~~$0.2 million in escrow distributions we received from ~~the sale of five non-control/non-affiliate investments totaling $6.1 million, and a net gain from the sale of one affiliate investment totaling $1.7 million. In addition,~~two legacy portfolio companies, which were recognized as realized gains.

Net Unrealized Appreciation (Depreciation)

Net unrealized appreciation (depreciation) during the three months ended ~~September 30, 2017,~~March 31, 2021 and 2020 was as follows:


	Three Months Ended		Three Months Ended
	March 31, 2021		March 31, 2020











































Net unrealized appreciation (depreciation):
Non-Control / Non-Affiliate investments	$	5,357,095	$	(117,361,056)
Affiliate investments	2,444,697		(3,833,223)
Control investments	(3,969,434)		—
Net unrealized appreciation (depreciation) on investments	3,832,358		(121,194,279)
Credit support agreement	(1,600,000)		—
Foreign currency transactions	4,041,797		1,798,226
Net unrealized appreciation (depreciation)	$	6,274,155	$	(119,396,053)

During the three months ended March 31, 2021, we recorded net unrealized appreciation totaling $6.3 million, consisting of net unrealized appreciation on our current portfolio of $6.4 million and unrealized appreciation related to foreign currency transactions of $4.0 million, net of unrealized depreciation of $1.6 million on the credit support agreement with Barings and net of unrealized depreciation reclassification adjustments of $2.6 million related to the net realized gains on the sales / repayments of certain investments. The net unrealized appreciation on our current portfolio of $6.4 million was driven primarily by broad market moves for investments of $13.8 million, partially offset by depreciation from the credit or fundamental performance of investments of $3.0 million and the impact of foreign currency exchange rates on investments of $4.4 million.

During the three months ended March 31, 2020, we recorded net unrealized depreciation totaling ~~$65.8~~$119.4 million, consisting of net unrealized depreciation on our current portfolio of ~~$74.5~~$121.6 million, and partially offset by net unrealized

appreciation related to foreign currency transactions of $1.8 million and net unrealized appreciation reclassification adjustments of ~~$8.8~~$0.4 million related to the ~~realized gains and losses noted above.~~

~~In the three months ended September 30, 2016, we recognized~~net realized losses ~~totaling $11.2 million, which consisted primarily of a net loss on the write-off of one non-control/non-affiliate investment totaling $16.1 million, partially offset by net gains~~ on the sales / repayments of ~~four non-control/non-affiliate investments totaling $4.9 million. In addition, during the three months ended~~

~~September 30, 2016, we recorded net unrealized appreciation totaling $3.2 million, consisting of~~certain syndicated secured loans. The net unrealized depreciation on ~~our~~the Company’s current portfolio of ~~$9.0~~$121.6 million was driven by broad market moves for liquid syndicated secured loans and structured product investments totaling $82.6 million, broad market moves for middle-market debt investments of $25.5 million, the credit or fundamental performance of middle-market debt investments totaling $8.2 million, the impact of foreign currency exchange rates on middle-market debt investments of $1.3 million, and net unrealized ~~appreciation reclassification adjustments of $12.2 million related to the realized gains and losses noted above.~~

As a result of these events, our net decrease in net assets resulting from operations was $57.5 million for the three months ended September 30, 2017, as compared to a net increase in net assets resulting from operations of $7.9 million for the three months ended September 30, 2016.

~~Comparison of nine months ended September 30, 2017 and September 30, 2016~~

~~Investment Income~~

For the nine months ended September 30, 2017, total investment income was $91.3 million, a 10.7% increase from $82.5 million of total investment income for the nine months ended September 30, 2016. This increase was primarily attributable to an increase in portfolio debt investments from September 30, 2016 to September 30, 2017 and a $1.9 million increase in non-recurring dividend income, partially offset by a $0.8 million decrease in non-recurring fee income, a decrease in PIK interest income due to a decrease in PIK yielding investments from September 30, 2016 to September 30, 2017 and a $5.1 million decrease in investment income relating to non-accrual assets and PIK non-accrual assets. Non-recurring fee income was $3.7 million for the nine months ended September 30, 2017 as compared to $4.5 million for the nine months ended September 30, 2016. Net non-recurring dividend income was $1.6 million for the nine months ended September 30, 2017 as compared to $(0.3) million for the nine months ended September 30, 2016. Our net negative non-recurring dividend income during the nine months ended September 30, 2016 consisted of non-recurring dividend income of approximately $0.9 million and a negative true-up adjustment of $1.3 million related to a portfolio company distribution that was received in 2015. In 2015, we received information that indicated that the tax character of the distribution was 100% dividend income, but received updated information in 2016 indicating that only 14% of the distribution was dividend income and the remainder was a return of capital, which necessitated the adjustment.

~~Operating Expenses~~

For the nine months ended September 30, 2017, operating expenses decreased by 9.2% to $37.0 million from $40.7 million for the nine months ended September 30, 2016. Our operating expenses consist of interest and other financing fees, compensation expenses and general and administrative expenses.

For the nine months ended September 30, 2017, interest and other financing fees increased by 6.9% to $21.4 million from $20.0 million for the nine months ended September 30, 2016. The increase in interest and other financing fees was related primarily to interest and fee amortization of $0.5 milliondepreciation on the ~~incremental $25.0 million~~Company’s total equity and joint venture investments of ~~borrowings outstanding under our SBA-guaranteed debentures and an increase of $0.8 million related to increased borrowings under our Credit Facility.~~$4.0 million.

For the nine months ended September 30, 2017, compensation expenses decreased by 30.6% to $12.1 million from $17.5 million for the nine months ended September 30, 2016. The higher level of compensation expenses in the nine months ended September 30, 2016 was primarily related to one-time expenses associated with the retirement of our former Chief Executive Officer, Garland S. Tucker, III, from his officer positions in February 2016. Our Board of Directors awarded Mr. Tucker a $2.5 million cash bonus and accelerated the vesting of his outstanding shares of restricted stock, including 47,000 shares of restricted stock awarded to him in February 2016 based on his performance during 2015, and certain other compensation in connection with his retirement and in recognition of his long service. We recognized $5.5 million in one-time compensation expenses in the nine months ended September 30, 2016 associated with Mr. Tucker's retirement.

~~For the nine months ended September 30, 2017, general and administrative expenses increased by 7.4% to $3.4 million from $3.2 million for the nine months ended September 30, 2016.~~

In addition, our efficiency ratio (defined as the sum of compensation expenses and general and administrative expenses as a percentage of total investment income) decreased to 17.0% for the nine months ended September 30, 2017 from 25.1% for the nine months ended ended September 30, 2016.

~~Net Investment Income~~

As a result of the $8.8 million increase in total investment income and the $3.8 million decrease in operating expenses, net investment income increased by 30.1% to $54.3 million for the nine months ended September 30, 2017 as compared to $41.8 million for the nine months ended September 30, 2016.

~~Net Increase/Decrease in Net Assets Resulting from Operations~~

In the nine months ended September 30, 2017, we recognized realized losses totaling $17.0 million, which consisted primarily of net losses on the write-offs of two control investments totaling $13.0 million, a net loss on the write-off of one affiliate investment totaling $6.1 million and net losses on the restructurings/write-offs of five non-control/non-affiliate investments totaling $17.7 million, partially offset by net gains on the sales of twelve non-control/non-affiliate investments totaling $14.6 million and net gains on the sales of five affiliate investments totaling $5.1 million. In addition, during the nine months ended September 30, 2017, we recorded net unrealized depreciation totaling $89.3 million consisting of net unrealized depreciation on our current portfolio of $108.0 million and net unrealized appreciation reclassification adjustments of $18.7 million related to the realized gains and losses noted above.

In the nine months ended September 30, 2016, we recognized realized losses totaling $6.7 million, which consisted primarily of net losses on the the write-off/sales of four affiliate investments totaling $1.7 million, a loss on the restructuring of one non-control/non-affiliate investment totaling $1.6 million and a loss on the write-off of one non-control/non-affiliate investment totaling $16.1 million, partially off-set by net gains on the sales/repayments of fourteen non-control/non-affiliate investments totaling $12.7 million. In addition, during the nine months ended September 30, 2016, we recorded net unrealized depreciation totaling $8.1 million, consisting of net unrealized depreciation on our current portfolio of $15.7 million and net unrealized appreciation reclassification adjustments of $7.5 million related to the realized gains and losses noted above.

As a result of these events, our net decrease in net assets resulting from operations was $52.3 million for the nine months ended September 30, 2017, as compared to a net increase in net assets resulting from operations of $27.0 million for the nine months ended September 30, 2016.

Liquidity and Capital Resources

We believe that our current cash and cash equivalents on hand, our short-term investments, our available borrowing capacity under our $800 million senior secured revolving credit facility with ING Capital LLC (as amended, restated and otherwise modified from time to time, (the "February 2019 Credit Facility") and the ~~Credit Facility~~August 2020 NPA (as defined below under "Financing Transactions") and our anticipated cash flows from operations will be adequate to meet our cash needs for our daily operations for at least the next twelve months.

In This “Liquidity and Capital Resources” section should be read in conjunction with “COVID-19 Developments” above, as well as with the ~~future, depending on the valuation of Triangle SBIC’s assets, Triangle SBIC II's assets and Triangle SBIC III’s assets pursuant~~notes to SBA guidelines, Triangle SBIC, Triangle SBIC II and Triangle SBIC III may be limited by provisions of the Small Business Investment Act of 1958, as amended, or the Small Business Investment Act, and SBA regulations governing SBICs, from making certain distributions to Triangle Capital Corporation that may be necessary to enable Triangle Capital Corporation to make the minimum required distributions to its stockholders and qualify as a regulated investment company, or RIC.our Unaudited Consolidated Financial Statements.

Cash Flows

For the ~~nine~~three months ended ~~September 30, 2017~~,March 31, 2021, we experienced a net decrease in cash ~~and cash equivalents~~ in the amount of ~~$26.1~~$52.0 million. During that period, our operating activities used ~~$102.2~~$85.1 million in cash, consisting primarily of ~~new~~purchases of portfolio investments of ~~$391.5~~$276.5 million and purchases of short-term investments of $198.6 million, partially offset by ~~repayments received from portfolio companies and~~ proceeds from sales of portfolio investments totaling $188.2 million and sales of ~~approximately $231.7~~short-term investments of $190.5 million. In addition, our financing activities ~~increased~~provided $33.1 million of cash, consisting of net proceeds of $149.8 million from the issuance of the February Notes (as defined below under “Financing Transactions”), partially offset by ~~$76.2 million, consisting primarily of proceeds from our public stock offering of $132.0 million and~~ net ~~borrowings~~repayments under the February 2019 Credit Facility of ~~$12.5~~$104.3 million ~~partially offset by cash~~and dividends paid in the amount of ~~$62.7~~$12.4 million. As of ~~September 30, 2017,~~March 31, 2021, we had ~~$81.0~~$40.5 million of cash and ~~cash equivalents~~foreign currencies on hand.

For the ~~nine~~three months ended ~~September 30, 2016,~~March 31, 2020, we experienced a net ~~increase~~decrease in cash ~~and cash equivalents~~ in the amount of ~~$115.7~~$14.5 million. During that period, our operating activities provided ~~$55.8~~$36.0 million in cash, consisting primarily of ~~repayments received from portfolio companies and~~ proceeds from sales of portfolio investments totaling $155.9 million and sales of ~~approximately $182.2~~short-term investments of $218.0 million, partially offset by ~~new~~purchases of portfolio investments of ~~$163.9~~$123.2 million and purchases of short-term investments of $221.9 million. In addition, our financing activities ~~increased~~used $50.5 million of cash, ~~by $60.0 million,~~ consisting primarily of ~~proceeds from~~net repayments under the ~~public stock offering~~August 2018 Credit Facility and the February 2019 Credit Facility of ~~$129.1~~$10.9 million, ~~and borrowings under SBA-guaranteed debentures~~repayments of ~~$32.8~~the Debt Securitization of $27.0 million, ~~partially offset by cash~~share repurchases of $4.8 million and dividends paid in the amount of ~~$49.1 million, net repayments under the Credit Facility of $40.4 million and the repayment of our SBA-guaranteed Low or Moderate Income debenture of~~ $7.8 million. As of ~~September 30, 2016,~~March 31, 2020, we had ~~$168.3~~$7.5 million of cash and ~~cash equivalents~~foreign currencies on hand.

Financing Transactions

Due to Triangle SBIC’s, Triangle SBIC II's and Triangle SBIC III’s status as licensed SBICs, Triangle SBIC, Triangle SBIC II and Triangle SBIC III have the ability to issue debentures guaranteed by the SBA at favorable interest rates. Under the Small Business Investment Act and the SBA rules applicable to SBICs, an SBIC (or group of SBICs under common control) can have outstanding at any time debentures guaranteed by the SBA up to two times (and in certain cases, up to three times) theFebruary 2019 Credit Facility

amount of its regulatory capital, which generally is the amount raised from private investors. The maximum statutory limit on the dollar amount of outstanding debentures guaranteed by the SBA issued by a single SBIC is currently $150.0 million and by a group of SBICs under common control is $350.0 million. Debentures guaranteed by the SBA have a maturity of ten years, with interest payable semi-annually. The principal amount of the debentures is not required to be paid before maturity but may be prepaid at any time, without penalty. As a result of its guarantee of our SBA-guaranteed debentures, the SBA has fixed-dollar claims on the assets of Triangle SBIC, Triangle SBIC II and Triangle SBIC III that are superior to the claims of our security holders.

As of September 30, 2017, Triangle SBIC had issued the maximum $150.0 million of SBA-guaranteed debentures and Triangle SBIC II had issued $100.0 million of SBA-guaranteed debentures, leaving borrowing capacity of a maximum of $100.0 million of SBA-guaranteed debentures for Triangle SBIC III. In addition to the one-time 1.0% fee on the total commitment from the SBA, we also pay a one-time 2.425% fee on the amount of each debenture issued. These fees are capitalized as deferred financing costs and are amortized over the term of the debt agreements using the effective interest method. The weighted average interest rate for all SBA-guaranteed debentures as of ~~September 30, 2017~~ ~~was 3.90%. As of both September 30, 2017 and December 31, 2016, all SBA-guaranteed debentures were pooled.~~

~~In May 2015,~~On February 21, 2019, we entered into the February 2019 Credit Facility ~~which was~~(as subsequently amended in ~~May 2017.~~December 2019), with ING Capital LLC (“ING”), as administrative agent, and the lenders party thereto. The ~~amendment, among other things, increased~~initial commitments ~~from $300.0 million to $435.0 million and extended~~under the ~~maturity by two years. The revolving period of the~~February 2019 Credit Facility ends April 30, 2021 followed by a one-year amortization period with a final maturity date of April 30, 2022. We have the ability to borrow in both United States dollars as well as foreign currencies under the Credit Facility.total $800.0 million. The ~~Credit Facility, which is structured to operate like a revolving credit facility, is secured primarily by our assets, excluding the assets of our wholly-owned SBIC subsidiaries. The~~February 2019 Credit Facility has an accordion feature that allows for an increase in the total ~~borrowing size~~commitments by up to ~~$550.0~~$400.0 million, subject to certain conditions and the satisfaction of specified financial covenants. ~~Using this accordion feature, in July 2017, we increased our commitments~~We can borrow foreign currencies directly under the February 2019 Credit Facility. The February 2019 Credit Facility, ~~from $435.0 million to $465.0 million,~~which is structured as a revolving credit facility, is secured primarily by a material portion of our assets and ~~in September 2017, we again increased~~guaranteed by certain of our ~~commitments under~~subsidiaries. Following the termination of the August 2018 Credit Facility ~~from $465.0 million to $480.0 million.~~on June 30, 2020, Barings BDC Senior Funding I, LLC became a subsidiary guarantor and its assets will secure the February 2019 Credit Facility. The revolving period of the February 2019 Credit Facility ends on February 21, 2023, followed by a one-year repayment period with a final maturity date of February 21, 2024.

Borrowings under the February 2019 Credit Facility bear interest, subject to our election, on a per annum basis equal to (i) the applicable base rate plus ~~1.75%~~1.00% (or ~~1.50%~~1.25% if we ~~receive~~no longer maintain an investment grade credit rating), (ii) the applicable LIBOR rate plus ~~2.75%~~2.00% (or ~~2.50%~~2.25% if we ~~receive~~no longer maintain an investment grade credit rating) or, (iii) for borrowings denominated in ~~Canadian~~certain foreign currencies other than Australian dollars, the applicable ~~Canadian Dealer Offered~~currency rate for the foreign currency as defined in the credit agreement plus 2.00% (or 2.25% if we no longer maintain an investment grade credit rating), or (iv) for borrowings denominated in Australian dollars, the applicable Australian dollars Screen Rate, plus ~~2.75%~~2.20% (or ~~2.50%~~2.45% if we ~~receive~~no longer maintain an investment grade credit rating). The applicable base rate is equal to the ~~greater~~greatest of (i) the prime rate, (ii) the federal funds rate plus 0.5% or, (iii) the Overnight Bank Funding Rate plus 0.5%, (iv) the adjusted ~~one-month LIBOR~~ three-month applicable currency rate

plus ~~2.0%~~1.0% and (v) 1.0%. The applicable LIBOR ~~rate depends~~and currency rates depend on the currency and term of the draw under the February 2019 Credit ~~Facility. We~~Facility, and cannot be less than zero.

In addition, we pay a commitment fee of ~~1.00%~~(i) 0.5% per annum on undrawn amounts if the ~~used~~unused portion of the February 2019 Credit Facility is ~~less~~greater than ~~or equal to 25.0%~~two-thirds of total commitments or (ii) 0.375% per annum on undrawn amounts if the ~~used~~unused portion of the February 2019 Credit Facility is ~~greater~~equal to or less than ~~25.0%~~two-thirds of total commitments. In connection with entering into the February 2019 Credit Facility, we incurred financing fees of approximately $6.4 million, which will be amortized over the life of the February 2019 Credit Facility.

As of ~~September 30, 2017,~~March 31, 2021, we were in compliance with all covenants under the February 2019 Credit Facility and had ~~United States~~U.S. dollar borrowings of ~~$124.3~~$357.0 million outstanding under the ~~Credit Facility with an interest rate of 3.99% and non-United States dollar borrowings denominated in Canadian dollars of $21.0 million ($16.8 million in United States dollars) outstanding under the~~February 2019 Credit Facility with a weighted average interest rate of ~~4.06%~~2.125% (weighted average one month LIBOR of 0.125%), borrowings denominated in Swedish kronas of 12.8kr million ($1.5 million U.S. dollars) with an interest rate of 2.000% (one month STIBOR of 0.000%), borrowings denominated in British pounds sterling of £85.3 million ($117.7 million U.S. dollars) with an interest rate of 2.063% (one month GBP LIBOR of 0.063%), borrowings denominated in Australian dollars of A$36.6 million ($27.9 million U.S. dollars) with an interest rate of 2.250% (one month AUD Screen Rate of 0.050%) and borrowings denominated in Euros of €91.1 million ($107.1 million U.S. dollars) with an interest rate of 2.000% (one month EURIBOR of 0.000%). The borrowings denominated in ~~Canadian dollars are~~foreign currencies were translated into ~~United States~~U.S. dollars based on the spot rate at ~~each~~the relevant balance sheet date. The impact resulting from changes in foreign exchange rates on the February 2019 Credit Facility borrowings is included in "Net unrealized appreciation (depreciation) on- foreign currency ~~borrowings~~transactions" in the our Unaudited Consolidated Statements of Operations. The borrowings denominated in Canadian dollars may be positively or negatively affected by movements in the rate of exchange between the United States dollar and the Canadian dollar. This movement is beyond our control and cannot be predicted.

The fair values of the borrowings outstanding under the February 2019 Credit Facility ~~contains certain affirmative~~are based on a market yield approach and ~~negative covenants, including but not limited~~current interest rates, which are Level 3 inputs to (i) maintaining a minimum interest coverage ratio, (ii) maintaining a minimum consolidated tangible net worth, (iii) maintaining a minimum asset coverage ratio and (iv) maintaining our status as a RIC and as a BDC. Thethe market yield model. As of March 31, 2021, the total fair value of the borrowings outstanding under the February 2019 Credit Facility also contains customary events of default with customary cure and notice provisions, including, without limitation, nonpayment, misrepresentation of representations and warranties in a material respect, breach of covenant, cross-defaultwas $611.1 million. See Note 5 to ~~other indebtedness, bankruptcy, change of control, and material adverse effect. The Credit Facility also permits Branch Banking and Trust Company,~~our Unaudited Consolidated Financial Statements for additional information regarding the administrative agent, to select an independent third-party valuation firm to determine valuations of certain portfolio investments for purposes of borrowing base provisions. In connection with the Credit Facility, we also entered into collateral documents. As of September 30, 2017, we were in compliance with all covenants of theFebruary 2019 Credit Facility.

~~In October 2012,~~August 2025 Notes

On August 3, 2020, we ~~issued $70.0~~entered into a Note Purchase Agreement (the “August 2020 NPA”) with Massachusetts Mutual Life Insurance Company governing the issuance of (1) $50.0 million in aggregate principal amount of Series A senior unsecured notes due ~~December 2022, or the December 2022~~August 2025 (the “Series A Notes and in November 2012, we issued $10.5 million of December 2022 Notes pursuant to the exercise of an over-allotment option. The December 2022 Notes mature on December 15, 2022, and may be redeemed in whole or in part at any time or from time to

~~time at our option. The December 2022 Notes bear~~due 2025”) with a fixed interest ~~at a~~ rate of ~~6.375%~~4.66% per year, ~~payable quarterly on March 15, June 15, September 15~~ and ~~December 15~~(2) up to $50.0 million in aggregate principal amount of ~~each year, beginning December 15, 2012.~~

~~In February 2015, we issued $86.3 million of~~additional senior unsecured notes due ~~March 2022, or~~August 2025 with a fixed interest rate per year to be determined (the “Additional Notes” and, collectively with the ~~March 2022 Notes. The March 2022~~Series A Notes due 2025, the “August 2025 Notes”), in each case, to qualified institutional investors in a private placement. An aggregate principal amount of $25.0 million of the Series A Notes due 2025 was issued on September 24, 2020 and an aggregate principal amount of $25.0 million of the Series A Notes due 2025 was issued on September 29, 2020, both of which will mature on August 4, 2025 unless redeemed, purchased or prepaid prior to such date by us in accordance with their terms. Interest on the August 2025 Notes will be due semiannually in March ~~15, 2022~~ and September, beginning in March 2021. In addition, we are obligated to offer to repay the August 2025 Notes at par (plus accrued and unpaid interest to, but not including, the date of prepayment) if certain change in control events occur. Subject to the terms of the August 2020 NPA, we may ~~be redeemed~~redeem the August 2025 Notes in whole or in part at any time or from time to time at our option at par plus accrued interest to the prepayment date and, if redeemed on or ~~after March 15, 2018.~~before November 3, 2024, a make-whole premium. The ~~March 2022~~August 2025 Notes ~~bear interest at a rate~~are guaranteed by certain of ~~6.375% per year payable quarterly on March 15, June 15, September 15~~our subsidiaries, and ~~December 15~~are our general unsecured obligations that rank pari passu with all outstanding and future unsecured unsubordinated indebtedness issued by us.

On November 4, 2020, we amended the August 2020 NPA to reduce the aggregate principal amount of ~~each year, beginning March 15, 2015. The net proceeds~~unissued Additional Notes from ~~the sale of the March 2022 Notes, after underwriting discounts and offering expenses, were $83.4~~$50.0 million to $25.0 million.

The ~~indenture~~August 2020 NPA contains certain representations and ~~related supplements thereto relating to~~warranties, and various covenants and reporting requirements customary for senior unsecured notes issued in a private placement, including, without limitation, affirmative and negative covenants such as information reporting, maintenance of our status as a BDC within the ~~December 2022 Notes and the March 2022 Notes contain certain covenants, including but not limited to (i) a requirement that we comply with the asset coverage requirement~~meaning of the 1940 Act, certain restrictions with respect to transactions with affiliates, fundamental changes, changes of line of business, permitted liens, investments and restricted payments, minimum shareholders’ equity, maximum net debt to equity ratio and minimum asset coverage ratio. The August 2020 NPA also contains customary events of default with customary cure and notice periods, including, without limitation, nonpayment, incorrect representation in any material respect, breach of covenant, cross-default under our other indebtedness or ~~any successor provisions, after giving effect to any exemptive relief granted to us by the SEC, (ii) a requirement~~ that ~~we will not declare any cash dividend, or declare any other cash distribution, upon a class~~ of our ~~capital stock, or purchase any such capital stock, unless,~~subsidiary guarantors, certain judgements and orders, and certain events of bankruptcy. Upon the occurrence of an event of default, the holders of at least 66-2/3% in ~~every such case,~~principal amount of the August 2025 Notes at the time of the declaration of any such dividend or distribution, or at the time of any such purchase, we have an asset coverage (as defined in the 1940 Act) of at least 200% after deducting the amount of such dividend, distribution or purchase price, as the caseoutstanding may declare all August 2025 Notes then outstanding to be ~~giving effect to any exemptive relief granted to us by the SEC,~~immediately due and (iii) a requirement that we provide financial information to the holders of the notes and the trustee under the indenture if we should no longer be subject to the reporting requirements under the Securities Exchange Act of 1934, as amended, or the Exchange Act.payable. As of ~~September 30, 2017 and December~~March 31, ~~2016,~~2021, we were in compliance with all covenants under the August 2020 NPA.

The August 2025 Notes were offered in reliance on Section 4(a)(2) of the ~~December 2022~~Securities Act of 1933, as amended (the “Securities Act”). The August 2025 Notes have not and will not be registered under the Securities Act or any state securities laws and, unless so registered, may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act, as applicable.

As of March 31, 2021, the fair value of the outstanding August 2025 Notes was $50.0 million. The fair value determination of the August 2025 Notes was based on a market yield approach and current interest rates, which are Level 3 inputs to the market yield model.

November Notes

On November 4, 2020, we entered into a Note Purchase Agreement (the “November 2020 NPA”) governing the issuance of (1) $62.5 million in aggregate principal amount of Series B senior unsecured notes due November 2025 (the “Series B Notes”) with a fixed interest rate of 4.25% per year and (2) $112.5 million in aggregate principal amount of Series C senior unsecured notes due November 2027 (the “Series C Notes,” and, collectively with the Series B Notes, the “November Notes”) with a fixed interest rate of 4.75% per year, in each case, to qualified institutional investors in a private placement. Each stated interest rate is subject to a step up of (x) 0.75% per year, to the extent the applicable November Notes do not satisfy certain investment grade conditions and/or (y) 1.50% per year, to the extent the ratio of our secured debt to total assets exceeds specified thresholds, measured as of each fiscal quarter end. The November Notes were delivered and paid for on November 5, 2020.

The Series B Notes will mature on November 4, 2025, and the Series C Notes will mature on November 4, 2027 unless redeemed, purchased or prepaid prior to such date by us in accordance with their terms. Interest on the November Notes will be due semiannually in May and November, beginning in May 2021. In addition, we are obligated to offer to repay the November Notes at par (plus accrued and unpaid interest to, but not including, the date of prepayment) if certain change in control events occur. Subject to the terms of the November 2020 NPA, we may redeem the Series B Notes and the Series C Notes in whole or in part at any time or from time to time at our option at par plus accrued interest to the prepayment date and, if redeemed on or before May 4, 2025, with respect to the Series B Notes, or on or before May 4, 2027, with respect to the Series C Notes, a make-whole premium. The November Notes are guaranteed by certain of our subsidiaries, and are our general unsecured obligations that rank pari passu with all outstanding and future unsecured unsubordinated indebtedness issued by us.

The November 2020 NPA contains certain representations and warranties, and various covenants and reporting requirements customary for senior unsecured notes issued in a private placement, including, without limitation, affirmative and negative covenants such as information reporting, maintenance of our status as a BDC within the meaning of the 1940 Act, certain restrictions with respect to transactions with affiliates, fundamental changes, changes of line of business, permitted liens, investments and restricted payments, minimum shareholders’ equity, maximum net debt to equity ratio and minimum asset coverage ratio. The November 2020 NPA also contains customary events of default with customary cure and notice periods, including, without limitation, nonpayment, incorrect representation in any material respect, breach of covenant, cross-default under our other indebtedness or that of our subsidiary guarantors, certain judgements and orders, and certain events of bankruptcy. Upon the occurrence of an event of default, the holders of at least 66-2/3% in principal amount of the November Notes at the time outstanding may declare all November Notes then outstanding to be immediately due and payable. As of March ~~2022 Notes.~~31, 2021, we were in compliance with all covenants under the November 2020 NPA.

As of March 31, 2021, the fair value of the outstanding Series B Notes and the Series C Notes was $62.5 million and $112.5 million, respectively. The fair value determinations of the Series B Notes and Series C Notes were based on a market yield approach and current interest rates, which are Level 3 inputs to the market yield model.

February Notes

On February 25, 2021, we entered into a Note Purchase Agreement (the “February 2021 NPA”) governing the issuance of (1) $80.0 million in aggregate principal amount of Series D senior unsecured notes due February 26, 2026 (the “Series D Notes”) with a fixed interest rate of 3.41% per year and (2) $70.0 million in aggregate principal amount of Series E senior unsecured notes due February 26, 2028 (the “Series E Notes” and, collectively with the Series D Notes, the “February Notes”) with a fixed interest rate of 4.06% per year, in each case, to qualified institutional investors in a private placement. Each stated interest rate is subject to a step up of (x) 0.75% per year, to the extent the applicable February Notes do not satisfy certain

investment grade rating conditions and/or (y) 1.50% per year, to the extent the ratio of our secured debt to total assets exceeds specified thresholds, measured as of each fiscal quarter end. The February Notes were delivered and paid for on February 26, 2021.

The Series D Notes will mature on February 26, 2026, and the Series E Notes will mature on February 26, 2028 unless redeemed, purchased or prepaid prior to such date by us in accordance with the terms of the February 2021 NPA. Interest on the February Notes will be due semiannually in February and August of each year, beginning in August 2021. In addition, we are obligated to offer to repay the February Notes at par (plus accrued and unpaid interest to, but not including, the date of prepayment) if certain change in control events occur. Subject to the terms of the February 2021 NPA, we may redeem the Series D Notes and the Series E Notes in whole or in part at any time or from time to time at our option at par plus accrued interest to the prepayment date and, if redeemed on or before August 26, 2025, with respect to the Series D Notes, or on or before August 26, 2027, with respect to the Series E Notes, a make-whole premium. The February Notes are guaranteed by certain of our subsidiaries, and are our general unsecured obligations that rank pari passu with all outstanding and future unsecured unsubordinated indebtedness issued by us.

The February 2021 NPA contains certain representations and warranties, and various covenants and reporting requirements customary for senior unsecured notes issued in a private placement, including, without limitation, information reporting, maintenance of our status as a BDC within the meaning of the 1940 Act, and certain restrictions with respect to transactions with affiliates, fundamental changes, changes of line of business, permitted liens, investments and restricted payments. In addition, the February 2021 NPA contains the following financial covenants: (a) maintaining a minimum obligors’ net worth, measured as of each fiscal quarter end; (b) not permitting our asset coverage ratio, as of the date of the incurrence of any debt for borrowed money or the making of any cash dividend to shareholders, to be less than the statutory minimum then applicable to us under the 1940 Act; and (c) not permitting our net debt to equity ratio to exceed 2.0x, measured as of each fiscal quarter end.

The February 2021 NPA also contains customary events of default with customary cure and notice periods, including, without limitation, nonpayment, incorrect representation in any material respect, breach of covenant, cross-default under other indebtedness or that of our subsidiary guarantors, certain judgements and orders, and certain events of bankruptcy. Upon the occurrence of certain events of default, the holders of at least 66-2/3% in principal amount of the February Notes at the time outstanding may declare all February Notes then outstanding to be immediately due and payable. As of March 31, 2021, we were in compliance with all covenants under the February 2021 NPA.

As of March 31, 2021, the fair value of the outstanding Series D Notes and the Series E Notes was $80.0 million and $70.0 million, respectively. The fair value determinations of the Series D Notes and Series E Notes were based on a market yield approach and current interest rates, which are Level 3 inputs to the market yield model.

Share Repurchases

On February 27, 2020, the Board approved an open-market share repurchase program for the 2020 fiscal year (the “2020 Share Repurchase Program”). Under the 2020 Share Repurchase Program, we were authorized during fiscal year 2020 to repurchase up to a maximum of 5.0% of the amount of shares outstanding as of February 27, 2020 if shares traded below NAV per share, subject to liquidity and regulatory constraints.

Purchases under the 2020 Share Repurchase Program were made in open-market transactions and included transactions being executed by a broker selected us that had been delegated the authority to repurchase shares on our behalf in the open market in accordance with applicable rules under the Exchange Act, including Rules 10b5-1 and 10b-18 thereunder, and pursuant to, and under the terms and limitations of, the 2020 Share Repurchase Program. During the three months ended March 31, 2020, we repurchased a total of 661.981 shares of our common stock in the open market under the 2020 Share Repurchase Program at an average price of $7.23 per share, including broker commissions.

In addition, in connection with the closing of the MVC Acquisition on December 23, 2020, we committed to make open-market purchases of shares of our common stock in an aggregate amount of up to $15.0 million at then-current market prices at any time shares trade below 90% of our then most recently disclosed NAV per share. Any repurchases pursuant to the authorized program will occur during the 12-month period commencing upon the filing of this quarterly report on Form 10-Q for the quarter ended March 31, 2021 and will be made in accordance with applicable legal, contractual and regulatory requirements.

Distributions to Stockholders

We intend to pay quarterly distributions to our stockholders out of assets legally available for distribution. We have adopted a dividend reinvestment plan (“DRIP”) that provides for reinvestment of dividends on behalf of our stockholders, unless a stockholder elects to receive cash. As a result, when we declare a dividend, stockholders who have not opted out of the DRIP will have their dividends automatically reinvested in shares of our common stock, rather than receiving cash dividends.

We have elected to be treated as a RIC under the Internal Revenue Code of 1986, as amended, or the Code, and intend to make the required distributions to our stockholders as specified therein. In order to maintain our tax treatment as a RIC and to obtain RIC tax benefits, we must meet certain minimum distribution, source-of-income and asset diversification requirements. If such requirements are met, then we are generally required to pay income taxes only on the portion of our taxable income and gains we do not distribute (actually or constructively) and certain built-in gains. We have historically met our minimum distribution requirements and continually monitor our distribution requirements with the goal of ensuring compliance with the Code. We can offer no assurance that we will achieve results that will permit the payment of any level of cash distributions and our ability to make distributions will be limited by the asset coverage requirement and related provisions under the 1940 Act and contained in ~~the~~any applicable indenture and related ~~supplements governing~~supplements. In addition, in order to satisfy the ~~December 2022 Notes~~annual distribution requirement applicable to RICs, we may declare a significant portion of our dividends in shares of our common stock instead of in cash. As long as a portion of such dividend is paid in cash (which portion may be as low as 20% of such dividend under published guidance from the Internal Revenue Service) and certain requirements are met, the ~~March 2022 Notes.~~entire distribution will be treated as a dividend for U.S. federal income tax purposes. As a result, a stockholder generally would be subject to tax on 100% of the fair market value of the dividend on the date the dividend is received by the stockholder in the same manner as a cash dividend, even though most of the dividend was paid in shares of our common stock.

The minimum distribution requirements applicable to RICs require us to distribute to our stockholders each year at least 90% of our investment company taxable income, or ICTI, as defined by the Code. Depending on the level of ICTI and net capital gain, if any, earned in a tax year, we may choose to carry forward ICTI in excess of current year distributions into the next tax year and pay a 4% U.S. federal excise tax on such excess. Any such carryover ICTI must be distributed before the end of the next tax year through a dividend declared prior to filing the final tax return related to the year which generated such ICTI.

ICTI generally differs from net investment income for financial reporting purposes due to temporary and permanent differences in the recognition of income and expenses. We may be required to recognize ICTI in certain circumstances in which we do not receive cash. For example, if we hold debt obligations that are treated under applicable tax rules as having original issue discount (such as debt instruments issued with warrants), we must include in ICTI each year a portion of the original issue discount that accrues over the life of the obligation, regardless of whether cash representing such income is received by us in the same taxable year. We may also have to include in ICTI other amounts that we have not yet received in cash, such as (i) PIK interest income and (ii) interest income from investments that have been classified as non-accrual for financial reporting purposes. Interest income on non-accrual investments is not recognized for financial reporting purposes, but generally is recognized in ICTI. Because any original issue discount or other amounts accrued will be included in our ICTI for the year of accrual, we may be required to make a distribution to our stockholders in order to satisfy the minimum distribution requirements, even though we will not have received and may not ever receive any corresponding cash amount. ICTI also excludes net unrealized appreciation or depreciation, as investment gains or losses are not included in taxable income until they are realized.

Recent Developments

Subsequent to March 31, 2021, we made approximately $156.3 million of new commitments, of which $106.4 million closed and funded. The $106.4 million of investments consist of $82.6 million of first lien senior secured debt investments, $20.9 million of second lien senior secured and subordinated debt investments and a $2.9 million equity investments with a combined weighted average yield on debt investments of 6.7%. In ~~October 2017,~~addition, we ~~invested $32.5~~funded $5.1 million inof previously committed delayed draw term loans.

On May 6, 2021, the Board declared a ~~debt security~~quarterly distribution of ~~Deva Holdings, Inc. Under the terms~~$0.20 per share payable on June 16, 2021 to holders of ~~the investment, the debt security bears interest at a rate~~record as of ~~LIBOR plus 6.75% per annum.~~June 9, 2021.

Critical Accounting Policies and Use of Estimates

The preparation of our unaudited financial statements in accordance with U.S. GAAP requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses for the periods covered by such financial statements. We have identified investment valuation and revenue recognition as our most critical accounting estimates. On an ~~on-going~~ongoing basis, we evaluate our estimates, including those related to the matters described below. These estimates are based on the information that is currently available to us and on various other assumptions that we believe to be reasonable under the circumstances. Actual results could differ materially from those estimates under different assumptions or conditions. A discussion of our critical accounting policies follows.

Investment Valuation

The most significant estimate inherent in the preparation of our financial statements is the valuation of investments and the related amounts of unrealized appreciation and depreciation of investments recorded. We have a valuation policy, as well as established and documented processes and methodologies for determining the fair values of portfolio company investments on a recurring ~~(quarterly)~~(at least quarterly) basis in accordance with the 1940 Act and FASB ASC Topic 820, Fair Value Measurements and Disclosures, or ASC Topic 820. Our current valuation policy and processes were established by ~~our management with the assistance of certain third-party advisors~~Barings and ~~were~~have been approved by the Board.

Under ASC Topic 820, there are three levels of valuation inputs, as follows:

Level 1 Inputs – include quoted prices (unadjusted) in active markets for identical assets or liabilities.

Level 3 Inputs – include inputs that are unobservable and significant to the fair value measurement.

A financial instrument is categorized within the ASC Topic 820 valuation hierarchy based upon the lowest level of input to the valuation process that is significant to the fair value measurement. For example, a Level 3 fair value measurement may include inputs that are observable (Levels 1 and 2) and unobservable (Level 3). Therefore, unrealized appreciation and depreciation related to such investments categorized as Level 3 investments within the tables in the notes to our consolidated financial statements may include changes in fair value that are attributable to both observable inputs (Levels 1 and 2) and unobservable inputs (Level 3).

Our investment portfolio ~~is primarily comprised of~~includes certain debt and equity instruments of privately held companies for which quoted prices or other observable inputs falling within the categories of Level 1 and Level 2 are generally not available. ~~Therefore,~~In such cases, we determine the fair value of our investments in good faith primarily using Level 3 inputs. In certain cases, quoted prices or other observable inputs ~~may~~ exist, and if so, we assess the appropriateness of the use of these third-party quotes in determining fair value based on (i) our understanding of the level of actual transactions used by the broker to develop the quote and whether the quote was an indicative price or binding offer and (ii) the depth and consistency of broker quotes and the correlation of changes in broker quotes with underlying performance of the portfolio company.

Under ASC Topic 820, a financial instrument is categorized within the ASC Topic 820 valuation hierarchy based upon the lowest level of input to the valuation process that is significant to the fair value measurement. For example, a Level 3 fair value measurement may include inputs that are observable (Levels 1 and 2) and unobservable (Level 3). Therefore, unrealized appreciation and depreciation related to such investments categorized as Level 3 investments within the tables below may include changes in fair value that are attributable to both observable inputs (Levels 1 and 2) and unobservable inputs (Level 3).

There is no single standard for determining fair value in good faith, as fair value depends upon the specific circumstances of each individual investment. The recorded fair values of our Level 3 investments may differ significantly from fair values that would have been used had an active market for the securities existed. In addition, changes in the market environment and other events that may occur over the life of the investments may cause the gains or losses ultimately realized on these investments to be different than the valuations currently assigned.

~~Our valuation process is led by our executive officers. The valuation process begins with~~Investment Valuation Process

Barings has established a quarterly review of each investment in our investment portfolio by our executive officers and our investment committee. Valuations of each portfolio security are then prepared by our investment professionals, who have direct responsibility for the origination, management and monitoring of each investment. Under our valuation policy, each investment valuationpricing committee that is, subject to ~~(i) a review by~~ the ~~lead investment officer~~oversight of the Board, responsible for the approval, implementation and oversight of the processes and methodologies that relate to the pricing and valuation of assets we hold. Barings uses independent third-party providers to price the portfolio, ~~company investment~~but in the event an acceptable price cannot be obtained

from an approved external source, Barings will utilize alternative methods in accordance with internal pricing procedures established by Barings' pricing committee.

At least annually, Barings conducts reviews of the primary pricing vendors to validate that the inputs used in the vendors’ pricing process are deemed to be market observable. While Barings is not provided access to proprietary models of the vendors, the reviews have included on-site walkthroughs of the pricing process, methodologies and ~~(ii)~~control procedures for each asset class and level for which prices are provided. The review also includes an examination of the underlying inputs and assumptions for a ~~peer review~~sample of individual securities across asset classes, credit rating levels and various durations, a process Barings continues to perform annually. In addition, the pricing vendors have an established challenge process in place for all security valuations, which facilitates identification and resolution of prices that fall outside expected ranges. Barings believes that the prices received from the pricing vendors are representative of prices that would be received to sell the assets at the measurement date (i.e., exit prices).

Our money market fund investments are generally valued using Level 1 inputs and our equity investments listed on an exchange or on the NASDAQ National Market System are valued using Level 1 inputs, using the last quoted sale price of that day. Our syndicated senior secured loans and structured product investments are generally valued using Level 2 inputs, which are generally valued at the bid quotation obtained from dealers in loans by ~~a second investment officer~~an independent pricing service. Our middle-market, private debt and equity investments are generally valued using Level 3 inputs.

Independent Valuation

The fair value of loans and equity investments that are not syndicated or ~~executive officer. Generally, any investment~~for which market quotations are not readily available, including middle-market loans, are generally submitted to independent providers to perform an independent valuation on those loans and equity investments as of the end of each quarter. Such loans and equity investments are initially held at cost, as that is ~~valued below cost is subjected~~a reasonable approximation of fair value on the acquisition date, and monitored for material changes that could affect the valuation (for example, changes in interest rates or the credit quality of the borrower). At the quarter end following the initial acquisition, such loans and equity investments are generally sent to ~~review by one of our executive officers. After the peer review is complete, we engage two independent~~a valuation firms, including Duff & Phelps, LLC, collectively referred to as the Valuation Firms, to provide third-party reviews of certain investments, as described further below. Finally, the Board has the responsibility for reviewing and approving, in good faith,provider which will determine the fair value of ~~our investments~~each investment. The independent valuation providers apply various methods (synthetic rating analysis, discounting cash flows, and re-underwriting analysis) to establish the rate of return a market participant would require (the “discount rate”) as of the valuation date, given market conditions, prevailing lending standards and the perceived credit quality of the issuer. Future expected cash flows for each investment are discounted back to present value using these discount rates in ~~accordance~~the discounted cash flow analysis. A range of values will be provided by the valuation provider and Barings will determine the point within that range that it will use in making valuation recommendations to the Board, and will report to the Board on its rationale for each such determination. Barings continues to use its internal valuation model as a comparison point to validate the price range provided by the valuation provider and, where applicable, in determining the point within that range that it will use in making valuation recommendations to the Board. If Barings’ pricing committee disagrees with the ~~1940 Act.~~

The Valuation Firms provide third-party valuation consulting services to us which consist of certain limited procedures that we identified and requested the Valuation Firms to perform, which we refer to herein as the Procedures. The Procedures are performed with respect to each portfolio company at least once in every calendar year and for new portfolio companies, at least

~~once in the twelve-month period subsequent~~price range provided, it may make a fair value recommendation to the ~~initial investment. In addition, the Procedures are generally performed with respect to a portfolio company when there has been a significant change in the fair value~~Board that is outside of the ~~investment.~~range provided by the independent valuation provider, and will notify the Board of any such override and the reasons therefore. In certain instances, we may determine that it is not cost-effective, and as a result is not in ~~our stockholders’~~the stockholders' best ~~interest,~~interests, to request ~~the Valuation Firms~~an independent valuation firm to perform ~~the Procedures~~an independent valuation on ~~one or more portfolio companies.~~certain investments. Such instances include, but are not limited to, situations where the fair value of the investment in the portfolio company is determined to be insignificant relative to the total investment portfolio.

~~The total number of~~ Pursuant to these procedures, the Board determines in good faith whether our investments were valued at fair value in accordance with our valuation policies and procedures and the ~~percentage~~1940 Act based on, among other things, the input of Barings, our ~~investment portfolio on which~~Audit Committee and the ~~Procedures were performed are summarized below by period:~~

independent valuation firm.


~~(1)~~	~~Exclusive of the fair value of new investments made during the quarter.~~

~~Upon completion~~The SEC recently adopted new Rule 2a-5 under the 1940 Act. This rule establishes requirements for determining fair value in good faith for purposes of the ~~Procedures,~~1940 Act. We will comply with the new rule’s valuation requirements on or before the SEC’s compliance date in 2022.

Valuation ~~Firms concluded that, with respect~~Techniques

Our valuation techniques are based upon both observable and unobservable pricing inputs. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect our market assumptions. Our assessment of the significance of a particular input to ~~each investment reviewed by each Valuation Firm,~~ the fair value ~~of those investments subjected~~measurement in its entirety requires judgment and considers factors specific to the ~~Procedures appeared reasonable.~~financial instrument. An independent pricing service provider is the preferred source of pricing a loan, however, to the extent the independent pricing service provider price is unavailable or not relevant and reliable, we will utilize alternative approaches such as broker quotes or manual prices. We attempt to maximize the use of observable inputs and minimize the use of unobservable inputs. The ~~Board~~availability of observable inputs can vary from investment to investment and is ~~ultimately responsible for determining~~affected by a wide

variety of factors, including the type of security, whether the security is new and not yet established in the marketplace, the liquidity of markets and other characteristics particular to the security.

Valuation of Investment in Jocassee

We estimate the fair value of our ~~investments in good faith.~~

~~Investment Valuation Inputs~~

Under ASC Topic 820, fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between a willing buyer and a willing seller at the measurement date. For our portfolio securities, fair value is generally the amount that we might reasonably expect to receive upon the current sale of the security. Under ASC Topic 820, the fair value measurement assumes that the sale occurs in the principal market for the security, or in the absence of a principal market, in the most advantageous market for the security. Under ASC Topic 820, if no market for the security exists or if we do not have access to the principal market, the security should be valued based on the sale occurring in a hypothetical market. The securities in which we invest are generally only purchased and sold in merger and acquisition transactions, in which case the entire portfolio company is sold to a third-party purchaser. As a result, unless we have the ability to control such a transaction, the assumed principal market for our securities is a hypothetical secondary market. The Level 3 inputs to our valuation process reflect management’s best estimate of the assumptions that would be used by market participants in pricing the investment in ~~a transaction~~Jocassee Partners LLC, or Jocassee, using the NAV of Jocassee and our ownership percentage. The NAV of Jocassee is determined in ~~a hypothetical secondary market.~~accordance with the specialized accounting guidance for investment companies.

~~Enterprise Value Waterfall Approach~~Valuation of Investment in Thompson Rivers

~~In valuing equity securities (including warrants), we estimate fair value using an “Enterprise Value Waterfall” valuation model.~~ We estimate the enterprise value of a portfolio company and then allocate the enterprise value to the portfolio company’s securities in order of their relative liquidation preference. In addition, the model assumes that any outstanding debt or other securities that are senior to our equity securities are required to be repaid at par. Additionally, we estimate the fair value of ~~a limited number of~~ our ~~debt securities~~investment in Thompson Rivers LLC, or Thompson Rivers, using the ~~Enterprise Value Waterfall approach~~NAV of Thompson Rivers and our ownership percentage. The NAV of Thompson Rivers is determined in ~~cases where we do not expect to receive full repayment.~~

To estimate the enterprise value of the portfolio company, we primarily use a valuation model based on a transaction multiple, which generally is the original transaction multiple, and measures of the portfolio company’s financial performance. In addition, we consider other factors, including but not limited to (i) offers from third parties to purchase the portfolio company, (ii) the implied value of recent investments in the equity securities of the portfolio company, (iii) publicly available information regarding recent sales of private companies in comparable transactions and (iv) when management believes there are comparable companies that are publicly traded, we perform a review of these publicly traded companies and the market multiple of their equity securities. For certain non-performing assets, we may utilize the liquidation or collateral value of the portfolio company's assets in our estimation of enterprise value.

depreciation and amortization, as adjusted, or Adjusted EBITDA, or revenues. Such inputs can be based on historical operating results, projections of future operating results or a combination thereof. The operating results of a portfolio company may be unaudited, projected or pro forma financial information and may require adjustments for certain non-recurring items. In determining the operating results input, we utilize the most recent portfolio company financial statements and forecasts available as of the valuation date. Management also consultsaccordance with the ~~portfolio company’s senior management to obtain updates on the portfolio company’s performance, including information such as industry trends, new product development, loss~~specialized accounting guidance for investment companies.

Valuation of ~~customers and other operational issues. Additionally, we consider some or all of the following factors:~~

~~financial standing of the issuer of the security;~~

~~comparison of the business and financial plan of the issuer with actual results;~~

~~the size of the security held;~~

~~pending reorganization activity affecting the issuer, such as merger or debt restructuring;~~

~~ability of the issuer to obtain needed financing;~~

~~changes~~Investments in ~~the economy affecting the issuer;~~

~~financial statements and reports from portfolio company senior management and ownership;~~

~~the type of security, the security’s cost at the date of purchase and any contractual restrictions on the disposition of the security;~~

~~information as to any transactions or offers with respect to the security and/or sales to third parties of similar securities;~~

~~the issuer’s ability to make payments and the type of collateral;~~

~~the current and forecasted earnings of the issuer;~~

~~statistical ratios compared to lending standards and to other similar securities;~~

~~pending public offering of common stock by the issuer of the security;~~

~~special reports prepared by analysts; and~~

~~any other factors we deem pertinent with respect to a particular investment.~~

~~Income Approach~~

In valuing debt securities, we utilize an “Income Approach” model that considers factors including, but not limited to, (i) the stated yield on the debt security, (ii) the portfolio company’s current Adjusted EBITDA as compared to the portfolio company’s historical or projected Adjusted EBITDA as of the date the investment was made and the portfolio company’s anticipated Adjusted EBITDA for the next twelve months of operations, (iii) the portfolio company’s current Leverage Ratio (defined as the portfolio company’s total indebtedness divided by Adjusted EBITDA) as compared to its Leverage Ratio as of the date the investment was made, (iv) publicly available information regarding current pricing and credit metrics for similar proposed and executed investment transactions of private companies and (v) when management believes a relevant comparison exists, current pricing and credit metrics for similar proposed and executed investment transactions of publicly traded debt. In addition, we use a risk rating system to estimate the probability of default on the debt securities and the probability of loss if there is a default. This risk rating system covers both qualitative and quantitative aspects of the business and the securities held.MVC Private Equity Fund LP

We consider the factors above, particularly any significant changes in the portfolio company’s results of operations and leverage, and develop an expectation of the yield that a hypothetical market participant would require when purchasing the debt investment, which we refer to herein as the Required Rate of Return. The Required Rate of Return, along with the Leverage Ratio and Adjusted EBITDA, are the significant Level 3 inputs to the Income Approach model. For investments where the Leverage Ratio and Adjusted EBITDA have not fluctuated significantly from the date the investment was made or have not fluctuated significantly from management’s expectations as of the date the investment was made, and where there have been no significant fluctuations in the market pricing for such investments, we may conclude that the Required Rate of Return is equal to the stated rate on the investment and therefore, the debt security is appropriately priced. In instances where we determine

~~that the Required Rate of Return is different from the stated rate on the investment, we discount the contractual cash flows on the debt instrument using the Required Rate of Return in order to~~ estimate the fair value of ~~the debt security.~~

~~Fair value measurements~~our investment in MVC Private Equity Fund LP, or MVC PE Fund, using the ~~Income Approach model can be sensitive to changes in one or more~~NAV of the ~~inputs. Assuming all other inputs to~~MVC PE Fund and our ownership percentage. The NAV of the ~~Income Approach model remain constant, any increase (decrease)~~MVC PE Fund is determined in accordance with the ~~Required Rate~~specialized accounting guidance for investment companies.

Valuation of ~~Return or Leverage Ratio inputs for a particular debt security would result~~Investment in ~~a lower (higher) fair value for that security. Assuming all other inputs to~~Waccamaw River

We estimate the ~~Income Approach model remain constant, any increase (decrease) in the Adjusted EBITDA input for a particular debt security would result in a higher (lower) fair value for that security.~~

~~The~~ fair value of our ~~royalty rights are calculated based on specific provisions contained~~investment in Waccamaw River LLC, or Waccamaw River, using the ~~pertinent operating or royalty agreements.~~NAV of Waccamaw River and our ownership percentage. The ~~determination~~NAV of Waccamaw River is determined in accordance with the ~~fair value of such royalty rights is not a significant component of our valuation process.~~specialized accounting guidance for investment companies.

Revenue Recognition

Interest and Dividend Income

We may have to include interest income in our ICTI, ~~interest income,~~ including original issue discount income, from investments that have been classified as non-accrual for financial reporting purposes. Interest income on non-accrual investments is not recognized for financial reporting purposes, but generally is recognized in ICTI. As a result, we may be required to make a distribution to our stockholders in order to satisfy the minimum distribution requirements to maintain our RIC tax treatment, even though we will not have received and may not ever receive any corresponding cash amount. Additionally, any loss recognized by us for U.S. federal income tax purposes on previously accrued interest income will be treated as a capital loss.

Fee Income

Origination, facility, commitment, consent and other advance fees received in connection with the origination of a loan, or Loan Origination Fees, are recorded as deferred income and recognized as investment income over the term of the loan. Upon prepayment of a loan, any unamortized Loan Origination Fees are recorded as investment income. In the general course of our business, we receive certain fees from portfolio companies, which are non-recurring in nature. Such fees include loan prepayment penalties, ~~structuring fees~~advisory, loan amendment and ~~loan waiver and amendment~~other fees, and are recorded as investment income when earned.

Fee income for the three months ended March 31, 2021 and 2020 was as follows:


	Three Months Ended		Three Months Ended
	March 31, 2021		March 31, 2020
Recurring Fee Income:
Amortization of loan origination fees	$	1,078,090	$	429,549
Management, valuation and other fees	581,395		175,755
Total Recurring Fee Income	1,659,485		605,304
Non-Recurring Fee Income:
Prepayment fees	49,517		84,151
Acceleration of unamortized loan origination fees	402,948		228,456
Advisory, loan amendment and other fees	21,225		43,082
Total Non-Recurring Fee Income	473,690		355,689
Total Fee Income	$	2,133,175	$	960,993

Payment-in-Kind (PIK) Interest Income

We currently hold, and we expect to hold in the future, some loans in our portfolio that contain PIK interest provisions. ~~The~~ PIK interest, computed at the contractual rate specified in each loan agreement, is periodically added to the principal balance of the loan, rather than being paid to us in cash, and is recorded as interest income. Thus, the actual collection of PIK interest may be deferred until the time of debt principal repayment.

PIK interest, which is a non-cash source of income at the time of recognition, is included in our taxable income and therefore affects the amount we are required to distribute to our stockholders to maintain our tax treatment as a RIC for U.S. federal income tax purposes, even though we have not yet collected the cash. Generally, when current cash interest and/or principal payments on a loan become past due, or if we otherwise do not expect the borrower to be able to service its debt and other obligations, we will place the loan on non-accrual status and will generally cease recognizing PIK interest income on that loan for financial reporting purposes until all principal and interest have been brought current through payment or due to a restructuring such that the interest income is deemed to be collectible. We write off any previously accrued and uncollected PIK interest when it is determined that the PIK interest is no longer collectible.

We may have to include in our ICTI, PIK interest income from investments that have been classified as non-accrual for financial reporting purposes. Interest income on non-accrual investments is not recognized for financial reporting purposes, but generally is recognized in ICTI. As a result, we may be required to make a distribution to our stockholders in order to satisfy

the minimum distribution requirements, even though we will not have received and may not ever receive any corresponding cash amount.

Off-Balance Sheet Arrangements

In the normal course of business, we are party to financial instruments with off-balance sheet risk, consisting primarily of unused commitments to extend financing to our portfolio companies. Since commitments may expire without being drawn upon, the total commitment amount does not necessarily represent future cash requirements. As of March 31, 2021 and December 31, 2020, the Company believed that it had adequate financial resources to satisfy its unfunded commitments. The balances of unused commitments to extend financing as of ~~September 30, 2017~~March 31, 2021 and December 31, ~~2016~~2020 were as follows:


Portfolio Company(1)	Investment Type	March 31, 2021		December 31, 2020
ADE Holding(3)	Committed Capex Line	$	88,194	$	91,814
Anju Software, Inc.	Delayed Draw Term Loan	1,981,371		1,981,371
Arch Global Precision, LLC	Delayed Draw Term Loan	3,631,849		4,193,475
Beacon Pointe Advisors, LLC	Delayed Draw Term Loan	—		363,636
Bidwax(2)(3)	Acquisition Capex Facility	3,760,958		—
BigHand UK Bidco Limited(4)	Acquisition Capex Facility	1,843,756		—
British Engineering Services Holdco Limited(4)	Acquisition Facility	—		7,006,008
British Engineering Services Holdco Limited(4)	Bridge Revolver	623,944		618,177
Centralis Finco S.a.r.l.(3)	Acquisition Facility	476,392		495,950
Classic Collision (Summit Buyer, LLC)(2)	Delayed Draw Term Loan	454,562		1,672,446
CM Acquisitions Holdings Inc.	Delayed Draw Term Loan	1,551,602		1,551,602
Contabo Finco S.À R.L(3)	Delayed Draw Term Loan	219,212		228,211
CSL Dualcom(4)	Delayed Draw Term Loan	1,016,577		1,007,182
Dart Buyer, Inc.	Delayed Draw Term Loan	2,430,569		2,430,569
DreamStart Bidco SAS(3)	Acquisition Facility	956,378		995,640
F24 (Stairway BidCo GmbH)(3)	Acquisition Facility	418,703		323,840
Fineline Technologies, Inc.(2)	Delayed Draw Term Loan	600,000		—
FitzMark Buyer, Inc.	Delayed Draw Term Loan	1,470,588		1,470,588
Foundation Risk Partners, Corp.	Delayed Draw Term Loan	4,716,805		4,984,771
Heartland, LLC	Delayed Draw Term Loan	5,347,666		5,347,666
Heilbron (f/k/a Sucsez (Bolt Bidco B.V.))(3)	Accordion Facility	—		10,225,081
Home Care Assistance, LLC(2)	Delayed Draw Term Loan	3,038,310		—
IGL Holdings III Corp.	Delayed Draw Term Loan	5,914,219		5,914,219
INOS 19-090 GmbH(2)(3)	Acquisition Facility	2,620,403		2,727,980
Jocassee Partners LLC	Joint Venture	25,000,000		30,000,000
Kano Laboratories LLC(2)	Delayed Draw Term Loan	4,543,950		4,543,950
Kene Acquisition, Inc.	Delayed Draw Term Loan	—		322,928
LAF International(2)(3)	Acquisition Facility	364,343		—
LivTech Purchaser, Inc.(2)	Delayed Draw Term Loan	447,752		—
Modern Star Holdings Bidco Pty Limited(5)	Capex Term Loan	2,285,953		2,315,967
Murphy Midco Limited(4)	Delayed Draw Term Loan	3,332,269		3,301,472
Navia Benefit Solutions, Inc.(2)	Delayed Draw Term Loan	4,000,000		—
Options Technology Ltd.	Delayed Draw Term Loan	2,604,080		2,604,080
Pacific Health Supplies Bidco Pty Limited(5)	CapEx Term Loan	1,343,603		1,535,025
Premier Technical Services Group(4)	Acquisition Facility	1,208,676		1,197,505
Protego Bidco B.V.(2)(3)	Delayed Draw Term Loan	3,836,870		—
Protego Bidco B.V.(2)(3)	Revolver	2,302,121		—
PSC UK Pty Ltd.(4)	Acquisition Facility	540,149		535,157
Questel Unite(2)(3)	Cap Acquisition Facility	4,747,241		10,300,913
Radwell International, LLC	Delayed Draw Term Loan	1,617,973		3,235,947


~~(1)~~	Represents a commitment to extend financing to a portfolio company where one or more of our current investments in the portfolio company are carried at less than cost. Our estimate of the fair value of the current investments in this portfolio company includes an analysis of the value of any unfunded commitments.


Portfolio Company(1)	Investment Type	March 31, 2021		December 31, 2020
Rep Seko Merger Sub LLC	Delayed Draw Term Loan	1,454,545		1,454,546
Safety Products Holdings, LLC	Delayed Draw Term Loan	6,467,345		6,467,345
Smile Brands Group, Inc.(2)	Delayed Draw Term Loan	2,148,691		2,148,691
Springbrook Software (SBRK Intermediate, Inc.)	Delayed Draw Term Loan	3,489,026		3,489,026
SSCP Pegasus Midco Limited(4)	Delayed Draw Term Loan	13,514,446		13,389,546
The Hilb Group, LLC(2)	Delayed Draw Term Loan	5,105,694		5,545,939
Transit Technologies LLC(2)	Delayed Draw Term Loan	6,035,305		6,035,305
USLS Acquisition, Inc.(2)	Delayed Draw Term Loan	450,466		450,466
Utac Ceram(2)(3)	Delayed Draw Term Loan	—		743,327
Waccamaw River	Joint Venture	20,500,000		—
W2O Holdings, Inc.	Delayed Draw Term Loan	5,989,298		5,989,298
Total unused commitments to extend financing		$	166,491,854	$	159,236,659

(1)Our estimate of the fair value of the current investments in these portfolio companies includes an analysis of the fair value of any unfunded commitments.

(2)Represents a commitment to extend financing to a portfolio company where one or more of our current investments in the portfolio company are carried at less than cost.

(3)Actual commitment amount is denominated in Euros. Commitment was translated into U.S. dollars based on the spot rate at the relevant balance sheet date.

(4)Actual commitment amount is denominated in British pounds sterling. Commitment was translated into U.S. dollars based on the spot rate at the relevant balance sheet date.

(5)Actual commitment amount is denominated in Australian dollars. Commitment was translated into U.S. dollars based on the spot rate at the relevant balance sheet date.

In the normal course of business, we guarantee certain obligations in connection with our portfolio companies (in particular, certain controlled portfolio companies). Under these guarantee arrangements, payments may be required to be made to third parties if such guarantees are called upon or if the portfolio companies were to default on their related obligations, as applicable. As of March 31, 2021 and December 31, 2020, we had guaranteed €9.9 million ($11.6 million U.S. dollars and $12.1 million U.S. dollars, respectively) relating to credit facilities among Erste Bank and MVC Automotive Group Gmbh, or MVC Auto. We would be required to make payments to Erste Bank if MVC Auto were to default on their related payment obligations. None of the credit facility guarantees are recorded as a liability on our Unaudited and Audited Consolidated Balance Sheets. As such, the credit facility liabilities are considered in the valuation of our investments in MVC Auto. The guarantees denominated in foreign currencies were translated into U.S. dollars based on the spot rate at the relevant balance sheet date.

In addition, we agreed to cash collateralize a $3.5 million letter of credit for Security Holdings B.V. The $3.5 million cash collateralization is reflected as "Restricted cash" on the accompanying Unaudited and Audited Consolidated Balance Sheets.

Item 3. Quantitative and Qualitative Disclosures About Market Risk.

We are subject to market risk. Market risk includes risks that arise from changes in interest rates, commodity prices, equity prices and other market changes that affect market sensitive instruments. The prices of securities held by us may decline in response to certain events, including those directly involving the companies we invest in; conditions affecting the general economy; overall market changes; global pandemics; legislative reform; local, regional, national or global political, social or economic instability; and interest rate fluctuations.

In addition, we are subject to interest rate risk. Interest rate risk is defined as the sensitivity of our current and future earnings to interest rate volatility, variability of spread relationships, the difference in re-pricing intervals between our assets and liabilities and the effect that interest rates may have on our cash flows. Changes in the general level of interest rates can affect our net interest income, which is the difference between the interest income earned on interest earning assets and our interest expense incurred in connection with our interest bearing debt and liabilities. Changes in interest rates can also affect, among other things, our ability to acquire and originate loans and securities and the value of our investment portfolio. Our net investment income is affected by fluctuations in various interest rates, including LIBOR, ~~Canadian Dealer Offered~~AUD Screen Rate, CDOR, GBP LIBOR, EURIBOR and ~~prime rates.~~STIBOR. Our risk management systems and procedures are designed to identify and analyze our risk, to set appropriate policies and limits and to continually monitor these risks. We regularly measure exposure to interest rate risk and determine whether or not any hedging transactions are necessary to mitigate exposure to changes in interest rates. As of ~~September 30, 2017~~,March 31, 2021, we were not a party to any interest rate hedging arrangements.

In connection with the COVID-19 pandemic, the U.S. Federal Reserve and other central banks have reduced certain interest rates and LIBOR has decreased. A prolonged reduction in interest rates will reduce our gross investment income and could result in a decrease in our net investment income if such decreases in LIBOR are not offset by a corresponding increase in the spread over LIBOR that we earn on any portfolio investments, a decrease in in our operating expenses, including with respect to our income incentive fee, or a decrease in the interest rate of our floating interest rate liabilities tied to LIBOR.

As of ~~September 30, 2017~~, ~~55.3%, or~~ ~~$610.0~~March 31, 2021, approximately $1,252.3 million ~~(at cost), of our debt portfolio investments bore interest at fixed rates and~~ ~~44.7%, or~~ ~~$493.2 million~~ ~~(at cost),~~ (principal amount) of our debt portfolio investments bore interest at variable rates, which generally are LIBOR-based (or based on an equivalent applicable currency rate), and many of which are subject to certain floors. A hypothetical 200 basis point increase or decrease in the interest rates on our variable-rate debt investments could increase or decrease, as applicable, our investment income by a maximum of ~~$9.9~~$25.0 million on an annual basis. ~~All of our SBA-guaranteed debentures, our December 2022 Notes and our March 2022 Notes bear interest at fixed rates. Our~~

Borrowings under the February 2019 Credit Facility ~~bears~~bear interest, subject to our election, on a per annum basis equal to (i) the applicable base rate plus ~~1.75%~~1.00% (or ~~1.50%~~1.25% if we ~~receive~~no longer maintain an investment grade credit rating), (ii) the applicable LIBOR rate plus ~~2.75%~~2.00% (or ~~2.50%~~2.25% if we ~~receive~~no longer maintain an investment grade credit rating), or (iii) for borrowings denominated in ~~Canadian~~certain foreign currencies other than Australian dollars, the applicable ~~Canadian Dealer Offered~~currency rate for the foreign currency as defined in the credit agreement plus 2.00% (or 2.25% if we no longer maintain an investment grade credit rating) or (iv) for borrowings denominated in Australian dollars, the applicable Australian dollars Screen Rate, plus ~~2.75%~~2.20% (or ~~2.50%~~2.45% if we ~~receive~~no longer maintain an investment grade credit rating). The applicable base rate is equal to the ~~greater~~greatest of (i) the prime rate, (ii) the federal funds rate plus 0.5% or, (iii) the Overnight Bank Funding Rate plus 0.5%, (iv) the adjusted ~~one-month LIBOR~~three-month applicable currency rate plus ~~2.0%~~1.0% and (v) 1.0%. The applicable LIBOR ~~rate depends~~and currency rates depend on the currency and term of the draw under the February 2019 Credit ~~Facility.~~Facility, and cannot be less than zero. A hypothetical 200 basis point increase or decrease in the interest rates on the February 2019 Credit Facility could increase or decrease, as applicable, our interest expense by a maximum of $12.2 million on an annual basis (based on the amount of outstanding borrowings under the February 2019 Credit Facility as of March 31, 2021). We pay a commitment fee of ~~1.00%~~(x) 0.5% per annum on undrawn amounts if the ~~used~~unused portion of the ~~facility~~February 2019 Credit Facility is ~~less~~greater than ~~or equal to 25.0%~~two-thirds of total commitments or (y) 0.375% per annum on undrawn amounts if the ~~used~~unused portion of the ~~facility~~February 2019 Credit Facility is ~~greater~~equal to or less than ~~25.0%~~two-thirds of total commitments.

In July 2017, the head of the United Kingdom Financial Conduct Authority announced the desire to phase out the use of LIBOR by the end of 2021. There is currently no definitive information regarding the future utilization of LIBOR or of any particular replacement rate. As such, the potential effect of any such event on our cost of capital and net investment income cannot yet be determined. In addition, any further changes or reforms to the determination or supervision of LIBOR may result in a sudden or prolonged increase or decrease in reported LIBOR, which could have an adverse impact on the market value for or value of any LIBOR-linked securities, loans, and other financial obligations or extensions of credit held by or due to us and could have a material adverse effect on our business, financial condition and results of operations.

Because we ~~currently borrow,~~have previously borrowed, and plan to borrow in the future, money to make investments, our net investment income iswill be dependent upon the difference between the rate at which we borrow funds and the rate at which we invest the funds borrowed. Accordingly, there can be no assurance that a significant change in market interest rates will not have a material adverse effect on our net investment income. In periods of rising interest rates, our cost of funds would increase, which could reduce our net investment income if there is not a corresponding increase in interest income generated by our investment portfolio.

We may also have exposure to foreign currencies ~~(currently the Canadian dollar)~~ related to certain investments. Such investments are translated into ~~United States~~U.S. dollars based on the spot rate at ~~each~~the relevant balance sheet date, exposing us to movements in the exchange rate. In order to reduce our exposure to fluctuations in exchange rates, we generally borrow in ~~Canadian dollars~~local foreign currencies under ~~our~~the February 2019 Credit Facility to finance such investments. As of ~~September 30, 2017,~~March 31, 2021, we had ~~non-United States dollar~~ borrowings denominated in ~~Canadian dollars~~Swedish kronas of ~~$21.0~~12.8kr million ($~~16.8~~1.5 million ~~United States~~U.S. dollars) ~~outstanding under the Credit Facility~~ with ~~a weighted average~~an interest rate of ~~4.06%~~2.000%, borrowings denominated in British pounds sterling of £85.3 million ($117.7 million U.S. dollars) with an interest rate of 2.063%, borrowings denominated in Australian dollars of A$36.6 million ($27.9 million U.S. dollars) with an interest rate of 2.250% and borrowings denominated in Euros of €91.1 million ($107.1 million U.S. dollars) with an interest rate of 2.000%.

Item 4. Controls and Procedures.

Evaluation of Disclosure Controls and Procedures

We maintain disclosure controls and procedures that are designed to ensure that information required to be disclosed in the reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms and that such information is accumulated and communicated to our management, including our Chief Executive Officer and Chief Financial Officer, as appropriate, to allow timely decisions regarding required disclosure. Our Chief Executive Officer and Chief Financial Officer carried out an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures as of the end of the period covered by this report. Based on the evaluation of these disclosure controls and procedures, the Chief Executive Officer and Chief Financial Officer concluded that our disclosure controls and procedures were ~~effective.~~effective as of March 31, 2021. It should be noted that any system of controls,

however well designed and operated, can provide only reasonable, and not absolute, assurance that the objectives of the system are met. In addition, the design of any control system is based in part upon certain assumptions about the likelihood of future events. Because of these and other inherent limitations of control systems, there can be no assurance that any design will succeed in achieving its stated goals under all potential future conditions, regardless of how remote.

Changes in Internal Control Over Financial Reporting

There were no changes in our internal control over financial reporting during the ~~third~~first quarter of ~~2017~~2021 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

PART II – OTHER INFORMATION

Item 1. Legal Proceedings.

~~Neither~~We and certain of our former executive officers have been named as defendants in two putative securities class action lawsuits, each filed in the United States District Court for the Southern District of New York (and then transferred to the United States District Court for the Eastern District of North Carolina) on behalf of all persons who purchased or otherwise acquired our common stock between May 7, 2014 and November 1, 2017. The first lawsuit was filed on November 21, 2017, and was captioned Elias Dagher, et al., v. Triangle Capital Corporation, et al., Case No. 5:18-cv-00015-FL (the “Dagher Action”). The second lawsuit was filed on November 28, 2017, and was captioned Gary W. Holden, et al., v. Triangle Capital Corporation, et al., Case No. 5:18-cv-00010-FL (the “Holden Action”). The Dagher Action and the Holden Action were consolidated and are currently captioned In re Triangle Capital Corp. Securities Litigation, Master File No. 5:18-cv-00010-FL.

On April 10, 2018, the plaintiff filed its First Consolidated Amended Complaint. The complaint alleged certain violations of the securities laws, including, among other things, that the defendants made certain materially false and misleading statements and omissions regarding our business, operations and prospects between May 7, 2014 and November 1, 2017. The plaintiff seeks compensatory damages and attorneys’ fees and costs, among other relief, but did not specify the amount of damages being sought. On May 25, 2018, the defendants filed a motion to dismiss the complaint. On March 7, 2019, the court entered an order granting the defendants’ motion to dismiss. On March 28, 2019, the plaintiff filed a motion seeking leave to file a Second Consolidated Amended Complaint. On September 20, 2019, the court entered an order denying the plaintiff’s motion for leave to file a Second Consolidated Amended Complaint and dismissing the action with prejudice. On October 17, 2019, the plaintiff filed a notice of appeal seeking review of the court’s September 20, 2019 order. The plaintiff filed its opening brief with the United States Court of Appeals for the Fourth Circuit on January 6, 2020. The defendants filed their response brief on February 28, 2020, and the plaintiff filed its reply brief on March 27, 2020. The United States Court of Appeals for the Fourth Circuit heard oral argument on the appeal on December 9, 2020. On February 22, 2021, the United States Court of Appeals for the Fourth Circuit affirmed the court’s September 20, 2019 order dismissing the action with prejudice.

Other than as set forth above, neither we, the Adviser, nor ~~any of its~~our subsidiaries isare currently ~~a party~~subject to any material pending legal ~~proceedings.~~proceedings, other than ordinary routine litigation incidental to our respective businesses. We, the Adviser, and our subsidiaries may from time to time, however, be involved in litigation arising out of operations in the normal course of business or otherwise, including in connection with strategic transactions. Furthermore, third parties may seek to impose liability on us in connection with the activities of our portfolio companies. While the outcome of any current legal proceedings cannot at this time be predicted with certainty, we do not expect any current matters will materially affect our financial condition or results of operations; however, there can be no assurance whether any pending legal proceedings will have a material adverse effect on our financial condition or results of operations in any future reporting period.

Item 1A. Risk Factors.

~~In addition to the other information set forth in this report, you~~You should carefully consider the ~~factors discussed~~risks described in Item 1A entitled "Risk Factors" in Part ~~I, “Item 1A. Risk Factors” in~~1 of our Annual Report on Form 10-K for the ~~fiscal~~ year ended December 31, ~~2016,~~2020, which was filed with the SEC on February 22, 2017, which could materially affect our business, financial condition or operating results. There have been no material changes during the nine months ended September 30, 2017 to the risk factors discussedMarch 23, 2021, and all information contained in ~~our Annual~~this Quarterly Report on Form ~~10-K. The risks described in~~10-Q, including our ~~Annual Report on Form 10-K are not~~interim financial statements and the ~~only risks that we face. Additional risks~~related notes thereto, before making a decision to purchase our securities. Risks and uncertainties not currently known to us or that we currently deem to be immaterial also may ~~materially adversely affect~~have a material adverse effect on our business, financial condition and/or operating ~~results.~~results, as well as the market price of our securities.

There have been no material changes during the three months ended March 31, 2021 to the risk factors previously disclosed in our Annual Report on Form 10-K for the year ended December 31, 2020. If any of such risks actually occur, our business, financial condition or results of operations could be materially adversely affected. If that happens, the market price of our securities could decline, and you may lose all or part of your investment.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.

Sales of Unregistered Securities

None.

Issuer Purchases of Equity Securities

During the three months ended ~~September 30, 2017,~~March 31, 2021, in connection with our ~~Dividend Reinvestment Plan~~DRIP for our common stockholders, we directed the plan administrator to purchase ~~68,352~~45,120 shares of our common stock for ~~$956,662.13~~an aggregate of $451,326 in the open market in order to satisfy our obligations to deliver shares of common stock to our stockholders with respect to our dividend declared on August 2, 2017. In addition, during the three months ended September 30, 2017, 4,842 shares of our common stock were delivered to us at an average price per share of $13.77 in satisfaction of tax withholding obligations of a holder of restricted shares issued under the Triangle Capital Corporation Amended and Restated 2007 Equity Incentive Plan that vested during the period. The following chart summarizes repurchases of our common stock for the three months ended September 30, 2017:February 7, 2021.

Period Total Number of Shares Purchased Average Price Paid Per Share
Total Number of
Shares Purchased
as Part of Publicly
Announced Plans
or Programs

Maximum Number
of Shares that
May Yet Be
Purchased Under the Plans or Programs
July 1 through July 31, 2017 —
—
—
—
August 1 through August 31, 2017 4,842
$ 13.77
—
—
September 1 through September 30, 2017 68,352
⁽¹⁾
$ 14.00
—
—
Total 73,194
$ 13.98
—
—

~~(1) These shares were purchased in the open market pursuant to the terms of our Dividend Reinvestment Plan.~~

Item 3. Defaults Upon Senior Securities.

None.

Item 4. Mine Safety Disclosures.

Not applicable.

Item 5. Other Information.

Not ~~applicable.~~

Applicable

Item 6. Exhibits.



Number		Exhibit

3.1		Articles of Amendment and Restatement of the Registrant (Filed as Exhibit (a)(3) to the ~~Registrant’s~~Registrant's Pre-Effective Amendment No. 1 to the Registration Statement on Form N-2 (File No. 333-138418) filed with the Securities and Exchange Commission on December 29, 2006 and incorporated herein by reference).

3.2		~~Fifth Amended and Restated Bylaws~~Articles of Amendment of the Registrant (Filed as Exhibit 3.1 to the Registrant’s Current Report on Form 8-K filed with the Securities and Exchange Commission on ~~November 9, 2015~~August 2, 2018 and incorporated herein by reference).

~~4.1~~3.3		~~Form of Common Stock Certificate (Filed as Exhibit (d) to the Registrant’s Post-Effective Amendment No. 1 to the Registration Statement on Form N-2 (File No. 333-138418) filed with the Securities~~Seventh Amended and ~~Exchange Commission on February 15, 2007 and incorporated herein by reference).~~

~~4.2~~	~~Dividend Reinvestment Plan~~Restated Bylaws of the Registrant (Filed as Exhibit ~~4.2~~3.3 to the Registrant’s ~~Annual Report on Form 10-K for the year ended December 31, 2007 filed with the Securities and Exchange Commission on March 12, 2008 and incorporated herein by reference).~~

~~4.3~~	Agreement to Furnish Certain Instruments (Filed as Exhibit 4.19 to the Registrant’s Annual Report on Form 10-K for the year ended December 31, 2008 filed with the Securities and Exchange Commission on February 25, 2009 and incorporated herein by reference).

~~4.4~~	Indenture, dated March 2, 2012 between the Registrant and the Bank of New York Mellon Trust Company, N.A. (Filed as Exhibit (d)(5) to the Registrant’s Post-Effective Amendment No. 2 to the Registration Statement on Form N-2 (File No. 333-175160) filed with the Securities and Exchange Commission on March 2, 2012 and incorporated herein by reference).

~~4.5~~	~~Second Supplemental Indenture, dated October 19, 2012 between the Registrant and the Bank of New York Mellon Trust Company, N.A. (Filed as Exhibit 4.1 to the Registrant's~~ Current Report on Form 8-K filed with the Securities and Exchange Commission on ~~October 19, 2012~~August 2, 2018 and incorporated herein by reference).

~~4.6~~3.4		~~Form of 6.375% Note due 2022 (Included~~Articles Supplementary (Filed as ~~part of~~ Exhibit ~~4.1~~3.2 to the ~~Registrant's~~Registrant’s Current Report on Form 8-K filed with the Securities and Exchange Commission on ~~October 19, 2012~~August 2, 2018 and incorporated herein by reference).

~~4.7~~10.1		~~Third Supplemental Indenture,~~Note Purchase Agreement by and between the Company and the purchasers party thereto, dated February 6, 2015 between the Registrant and the Bank of New York Mellon Trust Company, N.A. (Filed as Exhibit (d)(12) to the Registrant's Post-Effective Amendment No. 1 on Form N-2 (File No. 333-199102) filed with the Securities and Exchange Commission on February 6, 2015 and incorporated herein by reference).

~~4.8~~	Form of 6.375% Note due 2022 (Included as part of Exhibit (d)(12) to the Registrant's Post-Effective Amendment No. 1 on Form N-2 (File No. 333-199102) filed with the Securities and Exchange Commission on February 6, 2015 and incorporated herein by reference).

~~4.9~~	First Amendment to Third Amended and Restated Credit Agreement, dated May 1, 2017, among the Company, Branch Banking and Trust Company, ING Capital LLC, Fifth Third Bank, Morgan Stanley Bank, N.A., Bank of North Carolina, EverBank Commercial Finance, Inc., First Tennessee Bank National Association, First National Bank of Pennsylvania, Capital Bank Corporation, Park Sterling Bank, Paragon Commercial Bank, Raymond James Bank, N.A. and Stifel Bank & Trust25, 2021 (Filed as Exhibit 10.1 to the Registrant's Current Report on Form 8-K filed with the Securities and Exchange Commission on ~~May 3, 2017~~February 25, 2021 and incorporated herein by reference).

~~10.1~~	Supplement and Joinder Agreement for Triangle Capital Corporation Credit Agreement dated July 31, 2017 (Filed as Exhibit 10.4 to the Registrant's Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission on August 2, 2017 and incorporated herein by reference).

~~10.2~~	Supplement and Joinder Agreement for Triangle Capital Corporation Credit Agreement dated September 29, 2017 (Filed as Exhibit 10.1 to the Registrant's Current Report on Form 8-K filed with the Securities and Exchange Commission on October 3, 2017 and incorporated herein by reference).

11	Statement re computation of per share earnings (Included in the consolidated financial statements filed with this report).*

31.1		Chief Executive Officer Certification Pursuant to Rule 13a-14 of the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.*

31.2		Chief Financial Officer Certification Pursuant to Rule 13a-14 of the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.*

32.1		Chief Executive Officer Certification pursuant to Section 1350, Chapter 63 of Title 18, United States Code, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.**

32.2		Chief Financial Officer Certification pursuant to Section 1350, Chapter 63 of Title 18, United States Code, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.**


*	* Filed Herewith.


**	~~Furnished Herewith.~~

** Furnished Herewith.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.


					BARINGS BDC, INC.

			~~TRIANGLE CAPITAL CORPORATION~~

Date:	~~November 1, 2017~~May 6, 2021			/s/ ~~E. Ashton Poole~~Eric Lloyd
					~~E. Ashton Poole~~Eric Lloyd
					~~President and~~ Chief Executive Officer
					(Principal Executive Officer)

Date:		~~November 1, 2017~~May 6, 2021			/s/ ~~Steven C. Lilly~~Jonathan Bock
					~~Steven C. Lilly~~Jonathan Bock
					Chief Financial Officer ~~and Secretary~~
					(Principal Financial Officer)

Date:		~~November 1, 2017~~May 6, 2021			/s/ ~~C. Robert Knox, Jr.~~Elizabeth A. Murray
					~~C. Robert Knox, Jr.~~Elizabeth A. Murray
					Principal Accounting Officer

~~EXHIBIT INDEX~~



~~Number~~	~~Exhibit~~

11	Statement re computation of per share earnings (Included in the consolidated financial statements filed with this report).*

~~31.1~~	Chief Executive Officer Certification Pursuant to Rule 13a-14 of the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.*

~~31.2~~	Chief Financial Officer Certification Pursuant to Rule 13a-14 of the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.*

~~32.1~~	Chief Executive Officer Certification pursuant to Section 1350, Chapter 63 of Title 18, United States Code, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.**

~~32.2~~	Chief Financial Officer Certification pursuant to Section 1350, Chapter 63 of Title 18, United States Code, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.**


*	~~Filed Herewith.~~


**	~~Furnished Herewith.~~



		Page
PART I – FINANCIAL INFORMATION
Item 1.	Financial Statements
	Unaudited Consolidated Balance Sheet as of ~~September 30, 2017~~March 31 , 202 1 and Consolidated Balance Sheet as of December 31, ~~2016~~2020	3
	Unaudited Consolidated Statements of Operations for the Three ~~and Nine~~ Months Ended ~~September 30, 2017~~March 31 , 202 1 and ~~2016~~2020	4
	Unaudited Consolidated Statements of Changes in Net Assets for the ~~Nine~~ Three Months Ended ~~September 30, 2017~~March 31 , 202 1 and ~~2016~~2020	56
	Unaudited Consolidated Statements of Cash Flows for the ~~Nine~~Three Months Ended ~~September 30, 2017~~March 31 , 202 1 and ~~2016~~20 20	67
	Unaudited Consolidated Schedule of Investments as of ~~September 30, 2017~~ March 31, 2021	78
	Consolidated Schedule of Investments as of December 31 ~~2016~~, 2020	1420
	Notes to Unaudited Consolidated Financial Statements	2132
Item 2.	Management's Discussion and Analysis of Financial Condition and Results of Operations	4663
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	6281
Item 4.	Controls and Procedures	6283

PART II – OTHER INFORMATION
Item 1.	Legal Proceedings	6384
Item 1A.	Risk Factors	6384
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	6385
Item 3.	Defaults Upon Senior Securities	6385
Item 4.	Mine Safety Disclosures	6385
Item 5.	Other Information	6385
Item 6.	Exhibits	6485
Signatures		6586
~~Exhibits~~



	September 30, 2017			December 31, 2016
	(Unaudited)
Assets:
Investments at fair value:
Non-Control / Non-Affiliate investments (cost of $998,836,068 and $888,974,154 as of September 30, 2017 and December 31, 2016, respectively)	$	908,181,226		$	857,604,639
Affiliate investments (cost of $153,091,223 and $162,539,224 as of September 30, 2017 and December 31, 2016, respectively)	146,607,453			161,510,773
Control investments (cost of $86,861,024 and $45,418,113 as of September 30, 2017 and December 31, 2016, respectively)	36,403,000			18,791,769
Total investments at fair value	1,091,191,679			1,037,907,181
Cash and cash equivalents	81,003,756			107,087,663
Interest, fees and other receivables	9,744,381			10,189,788
Prepaid expenses and other current assets	1,827,994			1,659,570
Deferred financing fees	5,439,945			2,699,960
Property and equipment, net	91,195			106,494
Total assets	$	1,189,298,950		$	1,159,650,656
Liabilities:
Accounts payable and accrued liabilities	$	5,540,240		$	6,797,244
Interest payable	1,723,664			3,996,940
Taxes payable	—			489,691
Deferred income taxes	1,196,745			2,053,701
Borrowings under credit facility	141,118,837			127,011,475
Notes	163,241,179			162,755,381
SBA-guaranteed debentures payable	246,084,869			245,389,966
Total liabilities	558,905,534			548,494,398
Commitments and contingencies (Note 8)
Net Assets:
Common stock, $0.001 par value per share (150,000,000 shares authorized, 47,740,832 and 40,401,292 shares issued and outstanding as of September 30, 2017 and December 31, 2016, respectively)	47,741			40,401
Additional paid-in capital	822,780,495			686,835,054
Net investment income in excess of (less than) distributions	(4,483,783		)	5,884,512
Accumulated realized losses	(41,242,051		)	(24,211,594		)
Net unrealized depreciation	(146,708,986		)	(57,392,115		)
Total net assets	630,393,416			611,156,258
Total liabilities and net assets	$	1,189,298,950		$	1,159,650,656
Net asset value per share	$	13.20		$	15.13



	Common Stock					Additional Paid-In Capital			Investment Income in Excess of Distributions			Accumulated Realized Losses on Investments			Net Unrealized Depreciation			Total Net Assets
	Number of Shares		Par Value			Additional Paid-In Capital			Investment Income in Excess of Distributions			Accumulated Realized Losses on Investments			Net Unrealized Depreciation			Total Net Assets
Balance, December 31, 2015	33,375,126		$	33,375		$	549,242,439		$	16,127,141		$	(25,813,329	)	$	(31,221,871	)	$	508,367,755
Net investment income	—		—			—			41,768,153			—			—			41,768,153
Stock-based compensation	—		—			7,502,500			—			—			—			7,502,500
Realized gain (loss) on investments	—		—			—			—			(6,687,845		)	7,532,502			844,657
Net unrealized loss on investments / foreign currency	—		—			—			—			—			(15,666,394		)	(15,666,394		)
Tax benefit	—		—			—			47,342			—			—			47,342
Dividends / distributions	120,562		120			2,325,851			(51,389,199		)	—			—			(49,063,228		)
Public offering of common stock	6,742,362		6,742			129,129,554			—			—			—			129,136,296
Issuance of restricted stock	364,605		365			(365		)	—			—			—			—
Common stock withheld for payroll taxes upon vesting of restricted stock	(197,252	)	(197		)	(3,581,675		)	—			—			—			(3,581,872		)
Balance, September 30, 2016	40,405,403		$	40,405		$	684,618,304		$	6,553,437		$	(32,501,174	)	$	(39,355,763	)	$	619,355,209



	Common Stock					Additional Paid-In Capital			Investment Income in Excess of (Less Than) Distributions			Accumulated Realized Losses on Investments			Net Unrealized Depreciation			Total Net Assets
	Number of Shares		Par Value			Additional Paid-In Capital			Investment Income in Excess of (Less Than) Distributions			Accumulated Realized Losses on Investments			Net Unrealized Depreciation			Total Net Assets
Balance, December 31, 2016	40,401,292		$	40,401		$	686,835,054		$	5,884,512		$	(24,211,594	)	$	(57,392,115	)	$	611,156,258
Net investment income	—		—			—			54,321,312			—			—			54,321,312
Stock-based compensation	—		—			4,499,374			—			—			—			4,499,374
Realized gain (loss) on investments	—		—			—			—			(17,030,457		)	18,724,566			1,694,109
Net unrealized loss on investments / foreign currency	—		—			—			—			—			(108,041,437		)	(108,041,437		)
Tax provision	—		—			—			(305,166		)	—			—			(305,166		)
Dividends / distributions	91,366		91			1,637,467			(64,384,441		)	—			—			(62,746,883		)
Public offering of common stock	7,000,000		7,000			131,989,144			—			—			—			131,996,144
Issuance of restricted stock	360,470		361			(361		)	—			—			—			—
Common stock withheld for payroll taxes upon vesting of restricted stock	(112,296	)	(112		)	(2,180,183		)	—			—			—			(2,180,295		)
Balance, September 30, 2017	47,740,832		$	47,741		$	822,780,495		$	(4,483,783	)	$	(41,242,051	)	$	(146,708,986	)	$	630,393,416



For the quarter ended:	Total companies	Percent of total investments at fair value⁽¹⁾
March 31, 2016	18	27%
June 30, 2016	19	30%
September 30, 2016	19	33%
December 31, 2016	20	33%
March 31, 2017	18	30%
June 30, 2017	20	29%
September 30, 2017	22	25%



September 30, 2017:	Fair Value(1)		Valuation Model	Level 3 Inputs	Range of Inputs	Weighted Average
Subordinated debt and 2nd lien notes	$	637,935,010	Income Approach	Required Rate of Return	9.6% – 25.0%	12.1%
				Leverage Ratio	1.6x – 10.3x	4.7x
				Adjusted EBITDA	$2.6 million – $280.6 million	$45.9 million
Subordinated debt and 2nd lien notes	40,077,000		Enterprise Value Waterfall Approach	Adjusted EBITDA Multiple	3.9x – 10.0x	6.9x
			Enterprise Value Waterfall Approach	Adjusted EBITDA	$1.8 million – $31.4 million	$11.2 million
				Revenue Multiple	0.8x – 0.8x	0.8x
				Revenues	$80.0 million – $80.0 million	$80.0 million
Senior debt and 1^st lien notes	270,479,180		Income Approach	Required Rate of Return	6.8% – 25.0%	11.4%
				Leverage Ratio	1.0x – 7.4x	4.0x
				Adjusted EBITDA	$3.5 million – $129.5 million	$17.4 million
Equity shares and warrants	131,716,904		Enterprise Value Waterfall Approach	Adjusted EBITDA Multiple	3.3x – 14.9x	7.7x
			Enterprise Value Waterfall Approach	Adjusted EBITDA	$0.5 million – $60.0 million	$15.9 million
				Revenue Multiple	0.8x – 3.0x	1.2x
				Revenues	$17.5 million – $80.0 million	$52.8 million



	Fair Value as of September 30, 2017
	Level 1		Level 2		Level 3		Total
Subordinated debt and 2^nd lien notes	$	—	$	—	$	688,995,595	$	688,995,595
Senior debt and 1^st lien notes	—		—		270,479,180		270,479,180
Equity shares	—		—		131,120,904		131,120,904
Equity warrants	—		—		596,000		596,000
	$	—	$	—	$	1,091,191,679	$	1,091,191,679

	Fair Value as of December 31, 2016
	Level 1		Level 2		Level 3		Total
Subordinated debt and 2^nd lien notes	$	—	$	—	$	690,159,367	$	690,159,367
Senior debt and 1^st lien notes	—		—		191,643,157		191,643,157
Equity shares	—		—		154,216,657		154,216,657
Equity warrants	—		—		1,888,000		1,888,000
	$	—	$	—	$	1,037,907,181	$	1,037,907,181


Nine Months Ended September 30, 2017:	Subordinated Debt and 2^nd Lien Notes			Senior Debt and 1^st Lien Notes			Equity Shares			Equity Warrants			Total
Three Months Ended March 31, 2020:																Three Months Ended March 31, 2020:	Senior Debt and 1st Lien Notes		Subordinated Debt and 2nd Lien Notes		Equity Shares		Total
Fair value, beginning of period	$	690,159,367		$	191,643,157		$	154,216,657		$	1,888,000		$	1,037,907,181		Fair value, beginning of period	$	555,500,307	$	12,011,965	$	760,716	$	568,272,988
New investments	220,193,495			158,635,429			12,673,701			—			391,502,625			New investments	97,129,668		660,263		403,774		98,193,705
Reclassifications	22,558,007			(22,558,007		)	—			—			—
Transfers in (out) of Level 3																Transfers in (out) of Level 3	57,635,811		(2,312,500)		—		55,323,311
Proceeds from sales of investments	—			—			(27,036,478		)	(479,408		)	(27,515,886		)	Proceeds from sales of investments	(37,037,339)		—		—		(37,037,339)
Loan origination fees received	(3,471,655		)	(2,262,235		)	—			—			(5,733,890		)	Loan origination fees received	(2,662,115)		(19,808)		—		(2,681,923)
Principal repayments received	(163,054,918		)	(41,159,263		)	—			—			(204,214,181		)	Principal repayments received	(10,114,829)		—		—		(10,114,829)
PIK interest earned	8,033,507			841,215			—			—			8,874,722
PIK interest payments received	(7,847,417		)	(507,979		)	—			—			(8,355,396		)
Accretion of loan discounts	411,497			54,694			—			—			466,191
Accretion of loan premium																Accretion of loan premium	(6,389)		—		—		(6,389)
Accretion of deferred loan origination revenue	2,798,373			1,064,723			—			—			3,863,096			Accretion of deferred loan origination revenue	649,657		8,351		—		658,008
Realized gain (loss)	(20,656,958		)	(2,110,952		)	7,721,145			(1,983,692		)	(17,030,457		)
Unrealized gain (loss)	(60,127,703		)	(13,161,602		)	(16,454,121		)	1,171,100			(88,572,326		)
Realized loss																Realized loss	(145,784)		—		—		(145,784)
Unrealized depreciation																Unrealized depreciation	(42,233,042)		(370,142)		(121,316)		(42,724,500)
Fair value, end of period	$	688,995,595		$	270,479,180		$	131,120,904		$	596,000		$	1,091,191,679		Fair value, end of period	$	618,715,945	$	9,978,129	$	1,043,174	$	629,737,248



Nine Months Ended September 30, 2016:	Subordinated Debt and 2^nd Lien Notes			Senior Debt and 1^st Lien Notes			Equity Shares			Equity Warrants			Total
Fair value, beginning of period	$	699,125,083		$	132,929,264		$	141,555,369		$	3,667,000		$	977,276,716
New investments	145,487,825			3,000,000			14,729,826			650,000			163,867,651
Reclassifications	4,020,247			(4,020,247		)	—			—			—
Proceeds from sales of investments	—			—			(14,838,506		)	(5,627,106		)	(20,465,612		)
Loan origination fees received	(3,165,460		)	(40,000		)	—			—			(3,205,460		)
Principal repayments received	(157,151,997		)	(4,536,285		)	—			—			(161,688,282		)
PIK interest earned	10,548,903			1,083,855			—			—			11,632,758
PIK interest payments received	(7,219,058		)	(236,150		)	—			—			(7,455,208		)
Accretion of loan discounts	156,879			150,202			—			—			307,081
Accretion of deferred loan origination revenue	3,289,162			386,841			—			—			3,676,003
Realized gain (loss)	(15,371,087		)	(1,560,322		)	7,090,358			3,153,206			(6,687,845		)
Unrealized gain (loss)	(10,065,698		)	(168,648		)	253,619			454,900			(9,525,827		)
Fair value, end of period	$	669,654,799		$	126,988,510		$	148,790,666		$	2,298,000		$	947,731,975



Nine Months Ended September 30, 2017:		Amount of Realized Gain (Loss)		Amount of Unrealized Gain (Loss)			Amount of Interest or Dividends Credited to Income(2)		December 31, 2016 Value		Gross Additions (3)		Gross Reductions(4)		September 30, 2017 Value
Portfolio Company	Type of Investment(1)
Control Investments:
CRS Reprocessing, LLC	Debtor in Possession Loan (8% PIK)⁽⁵⁾	$	—	$	—		$	—	$	—	$	700,000	$	—	$	700,000
	Senior Notes (LIBOR + 3.5%)⁽⁵⁾⁽⁶⁾	—		(2,440,769		)	66,184		2,942,769		—		2,440,769		502,000
	Split Collateral Term Loans (8% Cash)⁽⁵⁾	—		(5,975,000		)	513,963		6,182,000		6,350,000		5,975,000		6,557,000
	Subordinated Note (5% Cash)⁽⁵⁾	—		(125,000		)	—		—		125,000		125,000		—
	Series F Preferred Units (705,321 units)	—		—			—		—		—		—		—
	Common Units (15,174 units)	—		—			—		—		—				—
		—		(8,540,769		)	580,147		9,124,769		7,175,000		8,540,769		7,759,000


~~(2)~~	Represents the total amount of interest, fees or dividends credited to income for the portion of the year an investment was included in Control or Affiliate categories, respectively. Amounts include accrued PIK interest if the description of the security includes disclosure of a PIK interest rate.


~~(3)~~	Gross additions include increase in the cost basis of investments resulting from new portfolio investments, follow-on investments and accrued PIK interest. Gross additions also include net increases in unrealized appreciation or net decreases in unrealized depreciation.


~~(4)~~	Gross reductions include decreases in the total cost basis of investments resulting from principal or PIK repayments or sales. Gross reductions also include net increases in unrealized depreciation or net decreases in unrealized appreciation.


~~(7)~~	~~During the quarter ended September 30, 2017, as a result of a balance sheet restructuring, Frank Entertainment Group, LLC moved from an affiliate investment to a control investment.~~



Year Ended December 31, 2016:		Amount of Realized Gain (Loss)		Amount of Unrealized Gain (Loss)			Amount of Interest or Dividends Credited to Income(2)		December 31, 2015 Value		Gross Additions (3)		Gross Reductions(4)		December 31, 2016 Value
Portfolio Company	Type of Investment(1)
Control Investments:
CRS Reprocessing, LLC	Senior Notes (LIBOR + 3.5%, 4.3% Cash)⁽⁶⁾	$	—	$	—		$	120,067	$	2,942,769	$	—	$	—	$	2,942,769
	Split Collateral Term Loans (8% Cash)	—		(5,010,464		)	897,649		6,192,464		5,000,000		5,010,464		6,182,000
	Series F Preferred Units (705,321 units)	—		(5,221,000		)	—		5,221,000		—		5,221,000		—
	Common Units (15,174 units)	—		—			333		—		—				—
		—		(10,231,464		)	1,018,049		14,356,233		5,000,000		10,231,464		9,124,769

DCWV Acquisition Corporation	Senior Subordinated Note (15% PIK)⁽⁵⁾	—		—			—		250,000		—		—		250,000
	Subordinated Note (12% Cash, 3% PIK)⁽⁵⁾	—		(1,728,000		)	—		3,117,000		—		1,728,000		1,389,000
	Jr. Subordinated Note (15% PIK)⁽⁵⁾	—		—			—		—		—		—		—
	Series A Preferred Equity (1,200 shares)	—		—			—		—		—		—		—
	100% Common Shares	—		—			—		—		—		—		—
		—		(1,728,000		)	—		3,367,000		—		1,728,000		1,639,000

Gerli & Company	Subordinated Note (13% Cash)⁽⁵⁾	—		(375,000		)	—		375,000		—		375,000		—
	Subordinated Note (8.5% Cash)⁽⁵⁾	—		(437,000		)	—		437,000		—		437,000		—
	Class A Preferred Shares (1,211 shares)	—		—			—		—		—		—		—
	Class C Preferred Shares (744 shares)	—		—			—		—		—		—		—
	Class E Preferred Shares (400 shares)	—		—			—		—		—		—		—
	Common Stock (300 shares)	—		—			—		—		—		—		—
		—		(812,000		)	—		812,000		—		812,000		—

SRC Worldwide, Inc.	Common Stock (5,000 shares)	—		1,307,000			700,000		6,921,000		1,307,000		200,000		8,028,000
		—		1,307,000			700,000		6,921,000		1,307,000		200,000		8,028,000

Total Control Investments		—		(11,464,464		)	1,718,049		25,456,233		6,307,000		12,971,464		18,791,769

Affiliate Investments:
All Aboard America! Holdings Inc.	Subordinated Note (12% Cash, 3% PIK)	—		—			2,440,362		14,953,191		577,433		15,530,624		—
	Membership Units in LLC	3,118,958		(2,723,218		)	—		5,024,000		3,118,958		8,142,958		—
		3,118,958		(2,723,218		)	2,440,362		19,977,191		3,696,391		23,673,582		—

All Metals Holding, LLC	Subordinated Note (12% Cash, 1% PIK)	—		—			—		—		6,249,220		—		6,249,220
	Units (318,977 units)	—		(55,331		)	—		—		809,331		55,331		754,000
		—		(55,331		)	—		—		7,058,551		55,331		7,003,220

American De-Rosa Lamparts, LLC and Hallmark Lighting, LLC	Subordinated Note (12% Cash, 3% PIK)	—		—			663,502		7,186,235		227,130		7,413,365		—
	Membership Units (8,364 units)	3,555,652		(3,251,347		)	102,800		3,872,000		3,555,652		7,427,652		—
		3,555,652		(3,251,347		)	766,302		11,058,235		3,782,782		14,841,017		—



Issuance/Pooling Date	Maturity Date	Interest Rate as of September 30, 2017	September 30, 2017			December 31, 2016
SBA-Guaranteed Debentures:
March 25, 2009	March 1, 2019	5.337%	$	22,000,000		$	22,000,000
March 24, 2010	March 1, 2020	4.825%	6,800,000			6,800,000
September 22, 2010	September 1, 2020	3.687%	32,590,000			32,590,000
March 29, 2011	March 1, 2021	4.474%	75,400,000			75,400,000
September 21, 2011	September 1, 2021	3.392%	19,100,000			19,100,000
March 27, 2013	March 1, 2023	3.155%	30,000,000			30,000,000
September 24, 2014	September 1, 2024	3.790%	31,310,000			31,310,000
September 21, 2016	September 1, 2026	2.723%	32,800,000			32,800,000
Less: Deferred financing fees			(3,915,131		)	(4,610,034		)
Total SBA-Guaranteed Debentures			$	246,084,869		$	245,389,966
Credit Facility:
May 1, 2017	April 30, 2022	3.998%	$	141,118,837		$	127,011,475
Total Credit Facility			$	141,118,837		$	127,011,475
Notes:
October 19, 2012	December 15, 2022	6.375%	$	80,500,000		$	80,500,000
February 6, 2015	March 15, 2022	6.375%	86,250,000			86,250,000
Less: Deferred financing fees			(3,508,821		)	(3,994,619		)
Total Notes			$	163,241,179		$	162,755,381



	Nine Months Ended September 30, 2017			Nine Months Ended September 30, 2016
	Number of Shares		Weighted Average Grant Date Fair Value per Share	Number of Shares		Weighted Average Grant Date Fair Value per Share
Unvested shares, beginning of period	631,622		$21.23	778,116		$24.10
Shares granted during the period	360,470		$19.22	364,605		$17.56
Shares vested during the period	(243,418	)	$22.69	(417,815	)	$23.28
Unvested shares, end of period	748,674		$19.79	724,906		$21.29


As of December 31, 2020: Description	Counter Party	Settlement Date	Notional Amount		Value		Unrealized Appreciation (Depreciation)
Credit Support Agreement	Barings LLC	01/01/31	$	23,000,000	$	13,600,000	$	—

Total Credit Support Agreement							$	—



	Nine Months Ended September 30,
	2017			2016
Per share data:
Net asset value at beginning of period	$	15.13		$	15.23
Net investment income(1)	1.18			1.19
Net realized loss on investments(1)	(0.37		)	(0.19		)
Net unrealized depreciation on investments / foreign currency(1)	(1.94		)	(0.23		)
Total increase (decrease) from investment operations(1)	(1.13		)	0.77
Dividends paid to stockholders from net investment income	(1.35		)	(1.44		)
Total dividends paid	(1.35		)	(1.44		)
Shares issued pursuant to Dividend Reinvestment Plan	0.01			0.03
Common stock offering	0.61			0.72
Stock-based compensation	(0.04		)	0.03
Tax provision(1)	(0.01		)	—
Other(2)	(0.02		)	(0.01		)
Net asset value at end of period	$	13.20		$	15.33
Market value at end of period(3)	$	14.28		$	19.70
Shares outstanding at end of period	47,740,832			40,405,403
Net assets at end of period	$	630,393,416		$	619,355,209
Average net assets	$	676,951,030		$	534,714,702
Ratio of total expenses, including provision for taxes, to average net assets (annualized)	7.34		%	10.14		%
Ratio of net investment income to average net assets (annualized)	10.70		%	10.42		%
Portfolio turnover ratio	21.59		%	16.89		%
Total return(4)	(15.56		)%	10.62		%
Supplemental Data:
Efficiency ratio(5)	17.04		%	25.07		%


~~(2)~~	Represents the impact of the different share amounts used in calculating per share data as a result of calculating certain per share data based upon the weighted average basic shares outstanding during the period and certain per share data based on the shares outstanding as of a period end or transaction date.


~~(3)~~	~~Represents the closing price of the Company’s common stock on the last day of the period.~~


~~(4)~~	Total return is based on purchase of stock at the current market price on the first day and a sale at the current market price on the last day of each period reported on the table and assumes reinvestment of dividends at prices obtained by the Company's dividend reinvestment plan during the period. Total return is not annualized.


~~(5)~~	~~Efficiency ratio equals the sum of (i) compensation and related expenses and (ii) general and administrative expenses divided by total investment income.~~



Period	Total Number of Shares Purchased		Average Price Paid Per Share		Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs	Maximum Number of Shares that May Yet Be Purchased Under the Plans or Programs
July 1 through July 31, 2017	—		—		—	—
August 1 through August 31, 2017	4,842		$	13.77	—	—
September 1 through September 30, 2017	68,352	⁽¹⁾	$	14.00	—	—
Total	73,194		$	13.98	—	—