BCP Investment Corp (BCIC) entered into a note purchase agreement on September 2, 2026 to issue and sell $10,000,000 in aggregate principal amount of additional 7.50% notes due 2029 under its effective Form N-2 shelf registration. These new notes are fungible with the previously issued $50,000,000 of 7.50% notes due 2029 and will form a single series under the same indenture.
The notes, issued under a base indenture dated October 10, 2012 and a sixth supplemental indenture dated March 24, 2026, mature on September 24, 2029 and bear interest at 7.50% per year, payable semi-annually on April 30 and October 30. BCP Investment Corp intends to use the net proceeds to repay $10.0 million principal of LRFC 5.25% fixed rate notes due 2026 and to pay down other indebtedness.
The notes are general unsecured obligations that rank senior to expressly subordinated debt, pari passu with other unsecured unsubordinated debt, effectively junior to secured debt to the extent of collateral value, and structurally junior to subsidiary and financing vehicle obligations. They are redeemable at the company’s option at par plus a make-whole premium before April 24, 2029 and at par on or after that date. The indenture includes covenants tied to Investment Company Act asset coverage, ongoing financial reporting if Exchange Act reporting ceases, and commercially reasonable efforts to maintain a rating on the notes.
BCP Investment Corporation (BCIC) is issuing $10,000,000 aggregate principal amount of additional 7.50% Notes due 2029 as a primary offering under an existing indenture. These New Notes will form a single series with $50,000,000 of Existing 7.50% 2029 Notes, resulting in $60,000,000 total principal outstanding.
The Notes are senior unsecured obligations of BCIC, rank equally with its other unsecured unsubordinated debt, are effectively subordinated to secured debt and structurally subordinated to subsidiary liabilities. The Notes are priced at 100% of principal, with a 7.50% fixed coupon paid semi-annually on April 30 and October 30, maturing on September 24, 2029, and are callable at BCIC’s option as described under Optional Redemption. BCIC expects net proceeds of about $9.8 million, which, together with cash on hand, are intended to repay the remaining $10.0 million of LRFC 5.25% Notes due 2026. As of August 28, 2026, BCIC reported total debt of approximately $283.4 million, including $172.0 million unsecured and $111.4 million secured indebtedness. The Notes will not be listed, and the company highlights risks related to leverage, subordination, limited covenants, interest-rate changes, and the potential lack of an active trading market.
BCP Investment Corporation, through its wholly owned subsidiary Capitala Business Lending, LLC, entered into a Sixth Amendment to its senior secured revolving credit facility with KeyBank National Association. The amendment reduces the applicable margin during the reinvestment period from 2.80% to 2.50% per annum and during the amortization period from 3.20% to 3.00% per annum.
The amendment also extends the reinvestment period termination date from August 21, 2027 to August 6, 2029 and the maturity date from August 21, 2029 to August 6, 2031. In addition, the facility size is increased from $75.0 million to $150.0 million. Borrowing base provisions are revised to allow certain participation interests related to a refinancing to qualify as eligible collateral.
Concurrently, borrowings under the amended KeyBank facility were used to repay in full all outstanding advances and amounts under a separate senior secured revolving credit facility with JPMorgan Chase Bank, after which that JPM facility’s commitments were terminated and security interests released.
BCP Investment Corporation reported second quarter 2026 results with total investment income of $15,165 thousand and net investment income of $5,518 thousand, or $0.45 per share. Core net investment income was $3,291 thousand, or $0.27 per share. After $10,482 thousand of net realized losses, $4,734 thousand of net unrealized depreciation and $360 thousand of losses on debt extinguishment, the net decrease in net assets from operations was $9,874 thousand, or $(0.80) per share. Net asset value was $179,462 thousand, or $14.49 per share as of June 30, 2026, compared with $15.60 at March 31, 2026 and $16.68 at December 31, 2025; the company attributed the decline primarily to unrealized mark-to-market valuation changes, notably in software and software-exposed investments.
The investment portfolio totaled $452,741 thousand at fair value across 107 portfolio companies, with 63.4% in first lien debt and a weighted average annualized yield of approximately 12.0% (excluding non-accruals and CLOs). As of June 30, 2026, eleven debt investments attributable to seven portfolio companies were on non-accrual, representing 5.7% of the portfolio at amortized cost and 3.1% at fair value, down from 6.2% and 2.6% as of March 31, 2026. Outstanding borrowings had par value of approximately $286.1 million at a current weighted average interest rate of 7.0%, with an asset coverage ratio of 162% and gross and net leverage of 1.6x.
Management highlighted balance-sheet actions including redeeming $40.0 million of 2026 Notes and reducing revolving credit borrowings during the quarter. Subsequent to quarter end, the company amended its KeyBank Credit Facility, reducing borrowing spreads by 30 basis points, extending the reinvestment period to August 6, 2029 and maturity to August 6, 2031, and increasing committed capacity from $75.0 million to $150.0 million, while using borrowings under the upsized facility to repay in full and terminate the JPMorgan revolving credit facility. The board approved regular monthly base distributions of $0.09 per share for each of October, November and December 2026, totaling $0.27 per share for the fourth quarter of 2026.
BCIC lists a broad portfolio of non-control, non-affiliate and affiliated investments across debt and equity. Positions include first lien and second lien senior secured loans, subordinated debt, preferred stock and units, common equity, warrants, derivatives and interests in joint ventures.
Many loans are floating-rate obligations tied to SOFR plus stated spreads, with cash or PIK interest such as 9.64%, 10.48%, 13.73% and 15.00%. Examples span health care providers like VBC Spine Opco LLC and American Academy Holdings, software issuers including Ivanti Software and Morae Global, and financial services names such as Advantage Capital Holdings and Payarc.
The portfolio also holds collateralized loan obligations, including Catamaran CLO 2014-1 Ltd, Catamaran CLO 2018-1 Ltd and multiple tranches of JNTR 2026-1 LLC, as well as joint ventures such as KCAP Freedom 3 LLC and Great Lakes Funding II LLC. Reported maturities extend into 2049, indicating long-dated, interest-bearing investments.
BCP Investment Corporation reported voting results from its annual meeting of stockholders held on June 25, 2026. Stockholders elected three directors — Jennifer Kwon Chou, Joseph Morea, and Robert Warshauer — each to serve until the 2029 annual meeting and until a successor is elected and qualifies.
As of April 27, 2026, 12,375,787 shares of common stock were outstanding and entitled to vote. Stockholders also ratified the appointment of Deloitte & Touche LLP as the company’s independent registered public accounting firm for the fiscal year ending December 31, 2026.
BCP Investment Corp President and CEO Edward J. Goldthorpe bought 13,738 shares of common stock in an open-market purchase at $7.16 per share. After this transaction, he directly owns 99,878 common shares.
BCP Investment Corp director Dean C. Kehler reported an open-market sale of the company’s Common Stock. On May 18, 2026, he sold 15,000 shares at an average price of $7.6445 per share in multiple transactions priced between $7.60 and $7.69. Following this sale, he directly held 5,649 shares of BCP Investment Corp Common Stock.
BCIC report of proposed resale: 15,000 shares are listed for sale in a Form 144 filing. The filing also documents multiple recent dispositions by related parties, including large transfers on 03/23/2026 and 03/19/2026.
The transactions listed show sales by Dean C. Kehler and the Dean C. Kehler Revocable Trust of common shares on several dates in March 2026, with executed trades such as $273,694.12 for 37,100 shares on 03/23/2026.
BCP Investment Corporation reported first quarter 2026 results showing stronger income but weaker net asset value. Total investment income rose to $17.6 million from $12.1 million a year earlier, while net investment income increased to $6.9 million, or $0.55 per share.
However, significant unrealized losses on investments led to a net decrease in net assets of $10.2 million, or $0.82 per share, and NAV fell to $15.60 from $16.68 at year-end 2025. Management highlighted that about 70% of the quarter’s unrealized depreciation was concentrated in software and software-exposed holdings. The company declared second-quarter 2026 total distributions of $0.30 per share, including a $0.03 supplemental payment, and set a third-quarter base distribution of $0.27 per share paid monthly.