Neostellar Capital Corp. Announces Third Quarter 2026 Preliminary Investment Portfolio Update

The preliminary per-share asset value is below June's level but above September 2025, while new financing adds debt.

Rhea-AI Summary

Neostellar Capital (Nasdaq: NSLR) expects third-quarter 2026 net asset value, or assets minus liabilities, of $12.25–$12.75 per share. The September 30 estimate compares with $13.44 at June 30, 2026 and $9.23 at September 30, 2025. It is unaudited, and actual results may differ materially.

The portfolio held 34 companies, including 30 private and four public businesses. Liquid assets totaled approximately $42.2 million, with 26,473,222 common shares outstanding. Learneo sales generated $9.4 million but realized a $5.6 million loss; Aventine and abandoned Catona Climate investments realized losses of $2.5 million and $1.3 million. GrabAGun and CW Opportunity 2 transactions generated gains.

A Magnetar-affiliated entity provided $20.0 million through a 6.50% note maturing July 16, 2029, with conditional share repayment. Third-quarter results are expected in November 2026.

6 points · 0 major

MixediHow this balance works

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Rhea-AI Sentiment measures something else, the tone of the wording.

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0 major · 9 points

Hollow bars mark forward-looking points. How the balance works

Positive

• Moderate pointMagnetar-affiliated financing delivered $20.0 million in gross proceeds on July 17, 2026. 10% of market cap
• Moderate pointLearneo's September 21 sale generated $9.4 million in net proceeds. 4.8% of market cap
• Minor pointCW Opportunity 2's August 21 transaction generated $2.0 million net proceeds and a $1.4 million realized gain.
• Minor pointGrabAGun share sales generated $0.4 million net proceeds and a $0.3 million realized gain.
• Minor pointAventine's July 8 sale generated less than $0.1 million in net proceeds.
• Minor pointHearth warrant exercise added 86,076 common shares for an investment of less than $0.1 million.

Negative

• Moderate pointEstimated September 30 NAV of $12.25–$12.75 per share is below June's $13.44 but above September 2025's $9.23.
• Moderate pointLearneo's September 21 sale realized a $5.6 million loss. 2.8% of market cap
• Moderate pointAventine's July 8 sale realized a $2.5 million loss. 1.3% of market cap
• Moderate pointNew $20.0 million debt bears 6.50% annual interest, payable semiannually in cash, and matures July 16, 2029. 10% of market cap
• Minor pointCatona Climate investment abandonment on September 25 realized a $1.3 million loss with no proceeds.

4 minor points

• Minor point. Forward-looking: it has not happened yet and may not happen.Conditional note repayment issues common shares for principal and accrued interest after transactions generating at least $230.0 million gross proceeds.
• Minor point. Forward-looking: it has not happened yet and may not happen.CW Opportunity 2's reported gain remains subject to change or adjustment from performance fees.
• Minor point. Forward-looking: it has not happened yet and may not happen.Third-quarter financial estimates are unaudited, without independent accounting procedures; actual results may differ materially.
• Minor pointNeostellar says the IPO market recovery was slower than anticipated amid macroeconomic and geopolitical uncertainty.

News Explained

The company made an additional note repurchase in the quarter, while remaining repurchase capacity is discretionary, not committed.

The update specifies that the outstanding Magnetar-affiliated $20.0 million note may be repaid in common shares only after a transaction or series of transactions produces at least $230.0 million in gross proceeds; no share repayment is reported here.

If triggered, the shares would be priced at the per-share price in the latest qualifying transaction that raises at least $5.0 million net from non-affiliate purchasers, and issuing them would reduce existing holders’ percentage ownership absent offsetting changes.

The company describes its shelf-registration filing as preserving flexibility to raise capital, but this release does not announce a sale through that filing.

During the quarter, the company repurchased 1,984 of its 6.00% notes under the discretionary note-repurchase program and reported 1,568,791 repurchased cumulatively as of September 30. About $35.8 million in principal remained eligible for repurchase, but the program does not commit the company to buy that amount.

Key Figures

Preliminary NAV: $12.25–$12.75 per share Portfolio companies: 34 companies Liquid assets: $42.2 million +5 more

Preliminary NAV

$12.25–$12.75 per share

As of September 30, 2026

Portfolio companies

34 companies

30 privately held and 4 publicly held as of September 30, 2026

Liquid assets

$42.2 million

As of September 30, 2026

Note proceeds

$20.0 million

Gross proceeds received July 17, 2026

Note interest rate

6.50% per annum

Redeemable promissory note; payable semiannually in cash

Qualified transaction threshold

$230.0 million

Gross proceeds threshold for potential settlement through common shares

Learneo realized loss

$(5.6 million)

Investment proceeds reported for the three months ended September 30, 2026

CW Opportunity 2 realized gain

$1.4 million

Investment proceeds reported for the three months ended September 30, 2026

Historical Context

1 past event · Latest: Aug 05

1 event

1. Aug 05

   Q2 financial results

   24h Move

   -11.7%

   Q2 results reported net assets of $13.44 per share, the prior-quarter benchmark cited here.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

net asset value, shelf registration, redeemable promissory note, realized gain

4 terms

net asset value financial

"the Company’s net asset value is estimated to be between $12.25 and $12.75 per share"

Net asset value is the total value of an investment fund's assets minus any liabilities, divided by the number of shares or units outstanding. It represents the per-share worth of the fund, similar to how the value of a house is determined by its total worth after debts are subtracted. Investors use it to gauge the true value of their holdings and to compare different investment options.

View in glossary

shelf registration financial

"our shelf registration filing preserves the flexibility to raise capital"

Shelf registration is when a company gets permission ahead of time to sell new stocks or bonds over a period of time instead of all at once. It matters to investors because it lets a company raise money quickly when needed, but it can also change the value of existing shares if many new ones are sold.

View in glossary

redeemable promissory note financial

"the Company received gross proceeds of $20.0 million pursuant to a redeemable promissory note"

A redeemable promissory note is a written debt obligation in which a borrower promises to pay a lender a specified principal amount and interest, and the issuer or holder has a contractual right to force or request repayment (redemption) before or at the stated maturity. Redemption terms — who can redeem (issuer, holder, or both), the redemption date(s), any redemption price or premiums, and notice requirements — are set in the note; redeemable notes otherwise function like ordinary promissory notes (periodic interest and final principal repayment). Redemption extinguishes that obligation under the specified terms; whether the note is secured, subordinated, callable, or convertible depends on the separate provisions included in the instrument.

realized gain financial

"NetProceeds | RealizedGain/(Loss)"

Profit you actually lock in when you sell an investment: it’s the difference between what you received from the sale and what you originally paid. Like selling a used car for more than you paid, a realized gain turns a paper increase into cash that can be spent or reinvested, and it often creates tax obligations, so investors watch realized gains to understand true returns and potential tax impact.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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Net Asset Value Expected to be $12.25 to $12.75 Per Share

NEW YORK, Oct. 05, 2026 (GLOBE NEWSWIRE) -- Neostellar Capital Corp. (“Neostellar Capital”, the “Company”, “we”, “us”, and “our”) (Nasdaq: NSLR) today provided a preliminary update on its investment portfolio for the third quarter ended September 30, 2026.

"During the third quarter, we remained encouraged by the growth prospects of our core portfolio, supported by expanding AI adoption, increasing demand for compute and continued innovation in digital health," said Mark Klein, Chairman and Chief Executive Officer of Neostellar Capital.

"While the IPO market showed early signs of reopening in Q3, the recovery has been slower than anticipated amid macroeconomic and geopolitical uncertainty. We remain confident in the strength of our portfolio companies and their ability to pursue liquidity opportunities, including IPOs, when timing and market conditions support long-term value creation."

“As always, our shareholders’ best interests guide our decisions. Consistent with our prior practice, our shelf registration filing preserves the flexibility to raise capital when doing so would be accretive to shareholders. We will exercise that flexibility with discipline and a continued focus on building long-term shareholder value,” Mr. Klein concluded.

Preliminary Net Asset Value

As previously reported, the Company’s net assets totaled approximately $355.9 million, or $13.44 per share, as of June 30, 2026, compared to approximately $231.8 million, or $9.23 per share, as of September 30, 2025. As of September 30, 2026, the Company’s net asset value is estimated to be between $12.25 and $12.75 per share.

Investment Portfolio Update

As of September 30, 2026, the Company held positions in 34 portfolio companies – 30 privately held and 4 publicly held.

During the three months ended September 30, 2026, the Company made the following investment:

Portfolio Company	Investment	Transaction Date	Amount(1)
Shogun Enterprises, Inc. (d/b/a Hearth)(2)	Common Shares	7/10/2026	<$0.1 million

___________________
   (1) Amount invested does not include capitalized costs or prepaid expenses, if applicable.
   (2) On July 10, 2026, the Company exercised 86,076 warrants and received 86,076 Common Shares of Shogun Enterprises, Inc. (d/b/a Hearth).

During the three months ended September 30, 2026, the Company exited and/or received proceeds from the following investments:

Portfolio Company	Transaction Date	Quantity/ Initial Capital	Average Net Share Price(1)	Net Proceeds	Realized Gain/(Loss)
GrabAGun Digital Holdings Inc. - Common Shares(2)	Various	143,655	$3.12	$0.4 million	$0.3 million
Aventine Property Group, Inc.	7/8/2026	312,500	$0.10	<$0.1 million	$(2.5 million)
CW Opportunity 2 LP	8/21/2026	3.8%	N/A	$2.0 million	$1.4 million(3)
Learneo, Inc. (f/k/a Course Hero, Inc.)	9/21/2026	2,421,168	$3.88	$9.4 million	$(5.6 million)
CTN Holdings, Inc. (d/b/a Catona Climate, f/k/a Aspiration Partners, Inc.)(4)	9/25/2026	565,182	N/A	$-	$(1.3 million)

__________________
   (1) The average net share price is the net share price realized after deducting all commissions and fees on the sale(s), if applicable.
   (2) As of September 30, 2026, the Company holds 308,964 common shares of GrabAGun Digital Holdings, Inc.
   (3) CW Opportunity 2 LP is an SPV for which the Class A Interest is solely invested in the Class A Common Shares of CoreWeave, Inc. Realized gain is calculated based on the current reporting by the SPV and may be subject to change or adjustment due to the impact of performance fees.
   (4) On September 25, 2026, the Company abandoned its investment in CTN Holdings, Inc. (d/b/a Catona Climate, f/k/a Aspiration Partners, Inc.).

The Company’s liquid assets were approximately $42.2 million as of September 30, 2026, consisting of cash and securities of publicly traded portfolio companies not subject to certain restrictions at quarter-end.

As of September 30, 2026, there were 26,473,222 shares of the Company’s common stock outstanding.

Magnetar 6.50% Redeemable Promissory Note due 2029

On July 17, 2026, the Company received gross proceeds of $20.0 million pursuant to a redeemable promissory note issued to a Magnetar-affiliated entity. The redeemable promissory note bears interest at 6.50% per annum, payable semiannually in cash, and matures on July 16, 2029, unless earlier repaid through the issuance of shares of the Company's common stock upon the completion of a transaction or series of transactions that result in at least $230.0 million of gross proceeds to the Company. In such event, the outstanding principal and accrued interest would be satisfied through the issuance of shares of the Company's common stock at the price per share of common stock sold by the Company in the latest of such transactions in which the Company raised at least $5.0 million in aggregate net proceeds from sales to purchasers that were not affiliates of the Company. The Company believes the financing enhances liquidity and financial flexibility as the Company continues to execute its investment strategy.

Note Repurchase Program

On October 29, 2025, the Company’s Board of Directors approved an extension of the discretionary note repurchase program (the “Note Repurchase Program”) which allows the Company to repurchase up to an additional $40.0 million or the remaining aggregate principal amount, of its 6.00% Notes due 2026 (the “6.00% Notes”) through open market purchases, including block purchases, in such manner as will comply with the provisions of the Investment Company Act of 1940, as amended, and the Securities Exchange Act of 1934, as amended.

During the quarter ended September 30, 2026, we repurchased an additional 1,984 of the 6.00% Notes under the Note Repurchase Program. As of September 30, 2026, we had repurchased 1,568,791 of the 6.00% Notes under the Note Repurchase Program. The aggregate principal dollar amount of 6.00% Notes that may yet be repurchased by the Company under the Note Repurchase Program is approximately $35.8 million, or the remaining aggregate principal amount, of its 6.00% Notes.

Preliminary Estimates and Guidance

The preliminary financial estimates provided herein are unaudited and have been prepared by, and are the responsibility of, the management of the Company. Neither our independent registered public accounting firm, nor any other independent accountants, have audited, reviewed, compiled, or performed any procedures with respect to the preliminary financial data included herein. Actual results may differ materially.

The Company expects to announce its third quarter ended September 30, 2026 results in November 2026.

Forward-Looking Statements

Statements included herein, including statements regarding Neostellar Capital's beliefs, expectations, intentions, or strategies for the future, may constitute "forward-looking statements". Neostellar Capital cautions you that forward-looking statements are not guarantees of future performance and that actual results or developments may differ materially from those projected or implied in these statements. All forward-looking statements involve a number of risks and uncertainties, including the impact of any market volatility that may be detrimental to our business, our portfolio companies, our industry, and the global economy; risks relating to our externally managed structure and our relationship with Neostellar Advisors LLC (the “Adviser”), Magnetar Holdings LLC and their respective affiliates, including actual and potential conflicts of interest; our ability to retain key personnel and execute our investment strategy; and other risks and uncertainties that could cause actual results to differ materially from the plans, intentions, and expectations reflected in or suggested by the forward-looking statements. Risk factors, cautionary statements, and other conditions which could cause Neostellar Capital's actual results to differ from management's current expectations are contained in Neostellar Capital's filings with the Securities and Exchange Commission. Neostellar Capital undertakes no obligation to update any forward-looking statement to reflect events or circumstances that may arise after the date of this press release.

This press release does not constitute an offer to sell or the solicitation of an offer to buy any securities of Neostellar Capital. The information contained herein is for informational purposes only and is not intended to be a substitute for financial, legal, or tax advice.

About Neostellar Capital Corp.

Neostellar Capital Corp. (Nasdaq: NSLR), formerly SuRo Capital Corp. (Nasdaq: SSSS), has been a publicly traded investment company focused on investing in private, venture-backed businesses for over 15 years. In simple terms, Neostellar invests in companies that are not yet listed on a public stock exchange. By owning shares of Neostellar, investors can gain exposure to a portfolio of VC-backed companies through a publicly traded stock. Neostellar is externally managed by Neostellar Advisors LLC, a joint venture owned by certain Neostellar Advisors employees and Magnetar Holdings LLC.   Together, the platform combines experience in private company investing with institutional investment management capabilities. Neostellar Capital Corp. is headquartered in New York, NY and has an office in San Francisco, CA. Connect with the Company on X, LinkedIn, and at neostellar.vc.

About Neostellar Advisors LLC

Neostellar Advisors LLC is registered with the SEC as an investment adviser under the Investment Advisers Act of 1940, and serves as the external investment adviser to Neostellar Capital Corp. Formed in 2026, Neostellar Advisors LLC is a joint venture between certain executives of Neostellar Capital Corp. and Magnetar Holdings LLC, combining Neostellar's publicly traded venture investing experience with Magnetar's institutional sourcing and underwriting.

Contact
Neostellar Capital Corp.
(212) 931-6331
IR@neostellaradvisors.com

Media Contact
Deborah Kostroun
Neostellar.pr@zitopartners.com

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What is Neostellar Capital's estimated NAV for the third quarter of 2026?

Neostellar estimates September 30, 2026 net asset value at $12.25 to $12.75 per share. This compares with $13.44 per share at June 30, 2026 and $9.23 per share at September 30, 2025. The estimate is unaudited, and actual results may differ materially.

How much financing did Neostellar Capital receive from the Magnetar-affiliated entity?

Neostellar received $20.0 million in gross proceeds on July 17, 2026 through a redeemable promissory note issued to a Magnetar-affiliated entity. The note carries 6.50% annual interest, payable semiannually in cash, and matures July 16, 2029 unless earlier repaid through the specified share-issuance mechanism.

When would Neostellar's Magnetar note be repaid in common shares?

Principal and accrued interest would be repaid in common shares upon completion of transactions generating at least $230.0 million in gross proceeds for Neostellar. The share price would match the latest qualifying transaction in which common-stock sales to non-affiliated purchasers raised at least $5.0 million in aggregate net proceeds.

What investments remained after Neostellar's GrabAGun sales and CW Opportunity 2 transaction?

Neostellar retained 308,964 GrabAGun common shares as of September 30, 2026; CW Opportunity 2 is a special-purpose investment vehicle whose Class A Interest invests solely in CoreWeave Class A common shares. The CW Opportunity 2 realized gain uses the vehicle's current reporting and may change or be adjusted for performance fees.

How many 6.00% Notes had Neostellar repurchased by September 30, 2026?

Neostellar had repurchased 1,568,791 of its 6.00% Notes under the existing program by September 30, 2026, including 1,984 during the third quarter. Approximately $35.8 million, or the remaining aggregate principal amount of the notes, remained available for repurchase under the program.