Company: GAINI
Filing Date: 2025-08-12
Form Type: 10-Q
Source: 0001321741-25-000018
Chunk: 136

Company: GLADSTONE INVESTMENT CORPORATION\DE
Filing Date: 2025-08-12
Form: 10-Q
Item: Part I, Item 8
Chunk 136
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ash disbursements to portfolio companies, as well as decreases in the cost basis of investments resulting from principal repayments or sales, the amortization of premiums and acquisition costs, and other cost-basis adjustments.(D)Transfers represent secured second lien debt of PSI Molded Plastics, Inc. ("PSI Molded") with a total cost basis of $10.6 million, which was converted to preferred equity in June 2025.

24

Investment ActivityDuring the three months ended June 30, 2025, the following significant transactions occurred:•In May 2025, we invested $49.5 million in a new portfolio company, Smart Chemical Solutions, LLC ("Smart Chemical"), in the form of $35.7 million of secured first lien debt and $13.8 million of preferred equity. Smart Chemical, headquartered in Midland, Texas, is a leading provider of production chemicals for onshore oil and gas operators throughout the United States.•In May 2025, we invested $12.8 million in a new portfolio company, Sun State Nursery and Landscaping, LLC ("Sun State"), in the form of $9.8 million of secured first lien debt and $3.1 million of preferred equity. Sun State, headquartered in Jacksonville, Florida, is a leading commercial landscaping installation and maintenance provider in the Jacksonville area.•In June 2025, we restructured our investment in PSI Molded. As a result of the restructuring, we converted debt with a cost basis of $10.6 million into preferred equity.

Investment ConcentrationsAs of June 30, 2025, our investment portfolio consisted of investments in 27 portfolio companies located in 20 states or countries across 16 different industries with an aggregate fair value of $1.0 billion. Our investments in SFEG Holdings, Inc., Detroit Defense, Inc., The E3 Company, LLC, Nielsen-Kellerman Acquisition Corp. and Brunswick Bowling Products, Inc. represented our five largest portfolio investments at fair value and collectively comprised $403.1 million, or 38.9%, of our total investment portfolio at fair value as of June 30, 2025.The following table summarizes our investments by security type as of June 30, 2025 and March 31, 2025:June 30, 2025March 31, 2025CostFair ValueCostFair ValueSecured first lien debt$625,596 62.7 %$557,057 53