ICMB loss, NAV drop and strategic review
Investcorp Credit Management BDC, Inc. reported weak results for the quarter and year ended December 31, 2025 and its Board began a review of strategic alternatives led by a special committee of independent directors.
Rhea-AI Filing Summary
Investcorp Credit Management BDC, Inc. reported weak results for the quarter and year ended December 31, 2025 and its Board began a review of strategic alternatives led by a special committee of independent directors. The Board also chose not to declare a quarterly dividend for the quarter ended March 31, 2026.
As of December 31, 2025, total assets were $188.8 million, net assets were $61.3 million and net asset value was $4.25 per share. For the quarter, net investment income before taxes was $0.3 million, or $0.02 per share, and the net decrease in net assets from operations was $9.4 million, or $0.65 per share, driven by about $9.5 million of net realized and unrealized losses.
The investment portfolio totaled $172.7 million at fair value across 37 portfolio companies, with 80.76% in first-lien debt and 19.24% in equity, warrants and other positions. The debt portfolio was 98.0% floating rate and the weighted average yield on debt investments was 10.56%. Debt-to-equity rose to 2.02x.
Subsequent to quarter end, the company arranged a $65.0 million unsecured note with an adviser affiliate, bearing interest at SOFR plus 5.50% and maturing July 1, 2029, to repay its 2026 notes due April 1, 2026. Management indicated this financing should keep the company in compliance with applicable asset coverage requirements.
Positive
- The company refinanced its maturing 2026 notes with a new $65.0 million unsecured note due July 1, 2029 at SOFR plus 5.50%, which is expected to keep it in compliance with applicable asset coverage requirements.
- As of December 31, 2025, 80.76% of the investment portfolio at fair value was in first-lien debt and 98.0% of the debt portfolio was floating rate, supporting seniority and rate sensitivity.
Negative
- For the quarter ended December 31, 2025, the company recorded a net decrease in net assets from operations of $9.4 million, or $0.65 per share, driven by approximately $9.5 million of net realized and unrealized losses.
- Net asset value per share declined to $4.25 as of December 31, 2025, and net assets fell by $11.4 million, or 15.65%, during the quarter compared to September 30, 2025.
- The Board did not declare a quarterly dividend for the quarter ended March 31, 2026 and indicated that the ongoing strategic review will likely guide its approach to future dividends, signaling near-term distribution uncertainty.
- Debt-to-equity increased to 2.02x at December 31, 2025, reflecting higher leverage relative to prior periods for the company.
Insights
ICMB posts NAV erosion, suspends dividend and starts a strategic review.
Investcorp Credit Management BDC showed balance-sheet pressure in the December 31, 2025 quarter. Net assets fell to $61.3 million and NAV dropped to $4.25 per share as a $9.4 million net decrease in net assets from operations reflected about $9.5 million of realized and unrealized losses.
Leverage increased, with debt of $123.1 million against net assets of $61.3 million, producing a debt-to-equity ratio of 2.02x. While the portfolio remained mostly first-lien and floating rate, the muted new investment activity and sizable paydowns underscore a focus on balance-sheet management rather than growth.
The Board’s decision not to declare a dividend for the quarter ended March 31, 2026 and to initiate a strategic alternatives review are notable. Combined with the refinancing of the $65.0 million 2026 notes via a SOFR plus 5.50% unsecured facility maturing on July 1, 2029, these steps highlight a period of reassessment of capital structure, distribution policy and long-term positioning.
8-K Event Classification
Key Figures
Key Terms
strategic alternatives financial
business development company regulatory
payment-in-kind interest income financial
debt-to-equity ratio financial
asset coverage requirements regulatory
Offering Details
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What strategic actions did ICMB announce in its latest 8-K filing?
How did Investcorp Credit Management BDC, Inc. (ICMB) perform in the December 31, 2025 quarter?
What were ICMB’s key balance sheet figures as of December 31, 2025?
Did ICMB declare a dividend for the quarter ended March 31, 2026?
How is ICMB’s investment portfolio structured as of December 31, 2025?
What new financing did ICMB arrange to address its 2026 notes?
AI-generated analysis. How Rhea-AI works. Not financial advice.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM
Current Report
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported):
(Exact name of registrant as specified in its charter)
| (State or other jurisdiction of incorporation) |
(Commission File Number) |
(IRS Employer Identification Number) |
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Registrant’s telephone number, including area code:
Not Applicable
(Former Name or Former Address, if changed since last report)
Check the appropriate box below if the Form 8-K is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
| Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Securities registered pursuant to Section 12(b) of the Act:
| Title of Each Class |
Trading |
Name of Each Exchange on Which Registered | ||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2).
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. ☐
| Item 2.02. | Results of Operations and Financial Condition. |
On March 30, 2026, Investcorp Credit Management BDC, Inc. (the “Company”) issued a press release announcing its financial results for the fiscal quarter and fiscal period ended December 31, 2025. The text of the press release is attached as Exhibit 99.1 to this Form 8-K and is incorporated herein by reference. Additionally, on March 31, 2026, the Company made available on its website, https://icmbdc.com/reports-presentations, a supplemental investor presentation with respect to the earnings release. A copy of the investor presentation is being furnished as Exhibit 99.2 to this Current Report on Form 8-K and is incorporated herein by reference.
The information in Item 2.02 of this Current Report on Form 8-K, including Exhibit 99.1 and 99.2 furnished herewith, is being furnished and shall not be deemed “filed” for any purpose of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of such Section. The information in this Current Report on Form 8-K shall not be deemed to be incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.
| Item 9.01. | Financial Statements and Exhibits. |
(d) Exhibits:
| Exhibit Number |
Description | |
| 99.1 | Press Release, dated March 30, 2026 | |
| 99.2 | Investor Presentation, dated March 31, 2026 | |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document). | |
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 hereunto duly authorized.
| Dated: April 2, 2026 | INVESTCORP CREDIT MANAGEMENT BDC, INC. | |||||
| By: | /s/ Suhail A. Shaikh | |||||
| Name: | Suhail A. Shaikh | |||||
| Title: | President and Chief Executive Officer | |||||
Exhibit 99.1
Investcorp Credit Management BDC, Inc. Announces Financial Results for the Quarter and Year Ended December 31, 2025
Board Announces Review of Strategic Alternatives to Maximize Shareholder Value Led by Special Committee of Independent Directors
Company to Host Conference Call April 1st to Discuss the Financial Results
Investcorp Credit Management BDC, Inc. (NASDAQ: ICMB) (“ICMB” or the “Company”) announced its financial results today for its fiscal quarter and year ended December 31, 2025 and its Board has commenced a review of strategic alternatives led by a Special Committee of Independent Directors.
The Special Committee will be evaluating a broad range of strategic, financial and business configuration options for the Company. In parallel, the Board has decided to not declare a quarterly dividend for the current quarter ended March 31, 2026.
FINANCIAL HIGHLIGHTS
| • | During the quarter, ICMB made a $1.5 million investment in one existing portfolio company. |
| • | ICMB fully realized its investments in three portfolio companies during the quarter, totaling $8.2 million in proceeds. The internal rate of return on these investments was 10.59%. |
| • | During the quarter, the Company had net draws of $1.8 million on delayed draw and revolving credit commitments to portfolio companies. |
| • | The weighted average yield on debt investments, at fair market value, as of December 31, 2025, was 10.56%, compared to 10.87% for the quarter ended September 30, 2025. |
| • | Net asset value decreased $0.79 per share to $4.25, compared to $5.04 as of September 30, 2025. Net assets decreased by $11.4 million, or 15.65%, during the quarter ended December 31, 2025 compared to September 30, 2025. |
| • | On March 30, 2026, ICMB refinanced its existing 4.875% Notes with new unsecured notes provided by an affiliate of its investment adviser with a floating rate of interest of SOFR plus 5.5% and a maturity of July 1, 2029. |
Portfolio results, as of and for the three months ended December 31, 2025:
| Total assets |
$ | 188.8 million | ||
| Investment portfolio, at fair value |
$ | 172.7 million | ||
| Net assets |
$ | 61.3 million | ||
| Weighted average yield on debt investments, at fair market value (1) |
10.56 | % | ||
| Net asset value per share |
$ | 4.25 | ||
| Portfolio activity in the current quarter: |
||||
| Number of investments in new portfolio companies |
0 | |||
| Number of portfolio companies invested in |
37 | |||
| Total capital invested in existing portfolio companies (2) |
$ | 3.9 million | ||
| Total proceeds from repayments, sales, and amortization (3) |
$ | 10.3 million | ||
| Net investment income before taxes (NII) |
$ | 0.3 million | ||
| Net investment income before taxes per share |
$ | 0.02 | ||
| Net decrease in net assets from operations |
($ | 9.4) million | ||
| Net decrease in net assets from operations per share |
($ | 0.65 | ) |
| (1) | Represents average yield on total debt investments weighted by fair market value as of December 31, 2025. The weighted average yield on total debt investments reflected above does not represent actual investment returns to the Company’s stockholders. |
| (2) | Includes gross advances for delayed draw and revolving credit commitments and PIK interest to existing portfolio companies. |
| (3) | Includes gross repayments on existing delayed draw and revolving credit commitments to portfolio companies. |
1
Mr. Suhail A. Shaikh, chief executive officer of ICMB, said “We remain focused on actively managing our portfolio and continue to work closely with our portfolio company management teams and private equity sponsors. New deal activity was relatively muted for ICMB during the quarter. We remain disciplined in managing the Company’s capital, balancing debt repayment with new investments. Subsequent to the end of the quarter, we refinanced our maturing 4.875% Notes with debt capital from an affiliate of our investment adviser.” Mr. Shaikh continued, “As we continue to navigate the current market environment, we believe now is the appropriate time to consider strategic alternatives for the Company that could allow us to more effectively maximize value for our shareholders. As the Board conducts its review, our team will remain focused on executing our strategic priorities.”
Mr. Robert Andrew Muns, chief financial officer of ICMB, noted: “Given the current market environment, our priority is disciplined capital allocation, including selective capital deployment and portfolio rotation, consistent with our focus on protecting net asset value, enhancing long-term shareholder value and maintaining adequate liquidity. Our Board’s determination to not declare a dividend this quarter and initiate a strategic review is consistent with this priority, which will likely guide its approach with respect to future dividends while taking into account the minimum distribution requirements necessary for us to maintain our regulated investment company tax status.”
Portfolio and Investment Activities
During the quarter, the Company made a $1.5 million investment in one existing portfolio company.
The Company received proceeds of $10.3 million from repayments, sales and amortization during the quarter, primarily related to the realization of LABL Term Loan and Advanced Solutions Preferred Stock.
During the quarter, the Company had net draws of $1.8 million on delayed draw and revolving credit commitments to portfolio companies.
The Company’s net realized and unrealized losses of approximately $9.5 million, or $0.66 per share. The total net decrease in net assets resulting from operations for the quarter was $9.4 million, or $0.65 per share.
As of December 31, 2025, the Company’s investment portfolio consisted of investments in 37 portfolio companies, of which 80.76% were first lien investments and 19.24% were equity, warrants, and other investments. The Company’s debt portfolio consisted of 98.0% floating rate investments and 2.0% fixed rate investments.
Capital Resources
As of December 31, 2025, the Company had $15.0 million in cash, of which $10.4 million was restricted cash, and $41.1 million of unused capacity under its revolving credit facility with Capital One, N.A.
Subsequent Events
Subsequent to December 31, 2025 and through March 30, 2026, the Company invested a total of $0.8 million, which included investments in two existing portfolio companies, and received approximately $13.3 million from the sale and repayment of four positions. As of March 30, 2026, the Company had investments in 34 portfolio companies.
On March 29, 2026, the Company entered into a financing arrangement with ICAP, an affiliate of the Adviser, pursuant to which ICAP will provide a $65.0 million unsecured note bearing interest at a floating rate of SOFR plus 5.50% per annum and maturing on July 1, 2029. The proceeds from this financing will be used to repay in full the Company’s outstanding 2026 Notes due April 1, 2026. Following this financing arrangement, the Company believes it will remain in compliance with all applicable asset coverage requirements.
2
The Company announced today that its Board has entered into a formal review process to evaluate strategic alternatives for the Company and the Board has authorized a Special Committee solely comprised of independent directors to lead the process. The Company has not set a timetable for the conclusion of the strategic alternatives review. There can be no assurance that the review will result in a transaction or change the Company’s announced strategy. The Company does not intend to comment further regarding the review unless or until it determines that further disclosure is appropriate or necessary.
Earnings Conference Call
The Company will host an earnings conference call at 9:00 am (Eastern Time) on Wednesday, April 1, 2026 to review its financial results and conduct a question-and-answer session. All interested parties may participate in the conference call by dialing (800) 550-9893 5-10 minutes prior to the call; international callers should dial (858) 609-8959. Participants should enter 872058# as the passcode, then press 2 when prompted. For those who are not able to listen to the call, a replay will be available shortly after the call by visiting our website at http://icmbdc.com/earnings-calls/.
3
Investcorp Credit Management BDC, Inc. and Subsidiaries
Consolidated Statements of Assets and Liabilities
| December 31, 2025 |
December 31, 2024 |
June 30, 2024 |
||||||||||
| Assets |
||||||||||||
| Non-controlled, non-affiliated investments, at fair value (amortized cost of $177,110,265, $184,154,029, and $189,319,802, respectively) |
$ | 159,985,717 | $ | 188,602,029 | $ | 181,948,376 | ||||||
| Affiliated investments, at fair value (amortized cost of $13,340,494, $16,351,878, and $15,149,238, respectively) |
12,673,145 | 3,014,929 | 2,621,154 | |||||||||
|
|
|
|
|
|
|
|||||||
| Total investments, at fair value (amortized cost of $190,450,759, $200,505,907, and $204,469,040, respectively) |
172,658,862 | 191,616,958 | 184,569,530 | |||||||||
| Cash and cash equivalents |
4,582,403 | 771,483 | 158,768 | |||||||||
| Restricted cash and cash equivalents |
10,416,042 | 11,333,064 | 4,950,036 | |||||||||
| Principal receivable |
55,377 | 720,855 | 50,609 | |||||||||
| Interest receivable |
808,703 | 1,576,381 | 1,301,516 | |||||||||
| Payment-in-kind interest receivable |
190,790 | 85,399 | 66,625 | |||||||||
| Short-term receivable |
— | 160,901 | — | |||||||||
| Long-term receivable |
— | 489,365 | 631,667 | |||||||||
| Escrow receivable |
— | — | 97,173 | |||||||||
| Prepaid expenses and other assets |
124,928 | 97,324 | 411,821 | |||||||||
|
|
|
|
|
|
|
|||||||
| Total Assets |
$ | 188,837,105 | $ | 206,851,730 | $ | 192,237,745 | ||||||
|
|
|
|
|
|
|
|||||||
| Liabilities |
||||||||||||
| Debt: |
||||||||||||
| Revolving credit facility |
$ | 58,900,000 | $ | 58,500,000 | $ | 43,000,000 | ||||||
| 2026 Notes payable |
65,000,000 | 65,000,000 | 65,000,000 | |||||||||
| Deferred debt issuance costs |
(754,121 | ) | (1,369,415 | ) | (1,654,870 | ) | ||||||
| Unamortized discount |
(17,778 | ) | (88,888 | ) | (124,443 | ) | ||||||
|
|
|
|
|
|
|
|||||||
| Debt, net |
123,128,101 | 122,041,697 | 106,220,687 | |||||||||
| Payable for investments purchased |
— | 1,474,677 | 7,425,000 | |||||||||
| Interest payable |
1,887,457 | 1,894,921 | 1,950,925 | |||||||||
| Dividend payable |
— | 1,728,749 | — | |||||||||
| Base management fees payable |
786,986 | 769,176 | 816,777 | |||||||||
| Income-based incentive fees payable |
351,571 | 501,955 | 128,876 | |||||||||
| Deferred income liability |
440,084 | — | — | |||||||||
| Directors’ fees payable |
— | 81,323 | — | |||||||||
| Accrued expenses and other liabilities |
916,894 | 757,102 | 685,271 | |||||||||
|
|
|
|
|
|
|
|||||||
| Total Liabilities |
127,511,093 | 129,249,600 | 117,227,536 | |||||||||
| Commitments and Contingencies (see Note 6) |
||||||||||||
| Net Assets |
||||||||||||
| Common stock, par value $0.001 per share (100,000,000 shares authorized and 14,432,472, 14,406,244, and 14,403,752 shares issued and outstanding, respectively) |
14,432 | 14,406 | 14,404 | |||||||||
| Additional paid-in capital |
203,128,982 | 203,505,480 | 203,103,263 | |||||||||
| Distributable earnings (loss) |
(141,817,402 | ) | (125,917,756 | ) | (128,107,458 | ) | ||||||
|
|
|
|
|
|
|
|||||||
| Total Net Assets |
61,326,012 | 77,602,130 | 75,010,209 | |||||||||
|
|
|
|
|
|
|
|||||||
| Total Liabilities and Net Assets |
$ | 188,837,105 | $ | 206,851,730 | $ | 192,237,745 | ||||||
|
|
|
|
|
|
|
|||||||
| Net Asset Value Per Share |
$ | 4.25 | $ | 5.39 | $ | 5.21 | ||||||
4
Investcorp Credit Management BDC, Inc. and Subsidiaries
Consolidated Statements of Operations (unaudited)
| Twelve Months Ended December 31, |
Six Months Ended December 31, |
Twelve Months Ended June 30, |
||||||||||||||
| 2025 | 2024 | 2024 | 2023 | |||||||||||||
| Investment Income: |
||||||||||||||||
| Interest income |
||||||||||||||||
| Non-controlled, non-affiliated investments |
$ | 14,562,641 | $ | 8,680,899 | $ | 20,271,776 | $ | 23,822,181 | ||||||||
| Non-controlled, affiliated investments |
43,586 | 3,660 | 12,451 | (20,611 | ) | |||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total interest income |
14,606,227 | 8,684,559 | 20,284,227 | 23,801,570 | ||||||||||||
| Payment in-kind interest income |
||||||||||||||||
| Non-controlled, non-affiliated investments |
874,311 | 2,329,399 | 2,028,744 | 1,250,169 | ||||||||||||
| Non-controlled, affiliated investments |
618,203 | 42,079 | 77,680 | 70,070 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total payment-in-kind interest income |
1,492,514 | 2,371,478 | 2,106,424 | 1,320,239 | ||||||||||||
| Dividend income |
||||||||||||||||
| Non-controlled, non-affiliated investments |
81,607 | — | 54,138 | 101,755 | ||||||||||||
| Non-controlled, affiliated investments |
— | — | — | — | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total dividend income |
81,607 | — | 54,138 | 101,755 | ||||||||||||
| Payment in-kind dividend income |
||||||||||||||||
| Non-controlled, non-affiliated investments |
452,742 | 432,669 | 784,854 | 691,972 | ||||||||||||
| Non-controlled, affiliated investments |
— | — | — | — | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total payment-in-kind dividend income |
452,742 | 432,669 | 784,854 | 691,972 | ||||||||||||
| Other fee income |
||||||||||||||||
| Non-controlled, non-affiliated investments |
636,626 | 134,051 | 648,659 | 768,617 | ||||||||||||
| Non-controlled, affiliated investments |
— | — | — | — | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total other fee income |
636,626 | 134,051 | 648,659 | 768,617 | ||||||||||||
| Other income |
126,519 | — | — | — | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total investment income |
17,396,235 | 11,622,757 | 23,878,302 | 26,684,153 | ||||||||||||
| Expenses: |
||||||||||||||||
| Interest expense |
7,605,454 | 3,752,412 | 8,606,309 | 8,413,409 | ||||||||||||
| Base management fees |
3,465,211 | 1,671,831 | 3,800,693 | 4,201,394 | ||||||||||||
| Income-based incentive fees |
(150,384 | ) | 501,540 | (72,942 | ) | 401,597 | ||||||||||
| Professional fees |
1,210,014 | 718,289 | 1,239,122 | 984,290 | ||||||||||||
| Allocation of administrative costs from Adviser |
978,448 | 382,064 | 1,360,194 | 966,045 | ||||||||||||
| Amortization of deferred debt issuance costs |
615,294 | 306,004 | 576,475 | 693,333 | ||||||||||||
| Amortization of original issue discount — 2026 Notes |
71,110 | 35,555 | 71,110 | 71,110 | ||||||||||||
| Insurance expense |
497,149 | 255,536 | 479,502 | 506,963 | ||||||||||||
| Directors’ fees |
307,500 | 175,852 | 294,907 | 302,500 | ||||||||||||
| Custodian and administrator fees |
294,256 | 147,986 | 316,128 | 292,267 | ||||||||||||
| Other expenses |
498,948 | 346,109 | 713,789 | 516,160 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total expenses |
15,393,000 | 8,293,178 | 17,385,287 | 17,349,068 | ||||||||||||
| Waiver of base management fees |
(349,320 | ) | (131,735 | ) | (365,225 | ) | (387,311 | ) | ||||||||
| Waiver of income-based incentive fees |
— | — | — | — | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Net expenses |
15,043,680 | 8,161,443 | 17,020,062 | 16,961,757 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Net investment income before taxes |
2,352,555 | 3,461,314 | 6,858,240 | 9,722,396 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Income tax expense, including excise tax expense |
447,781 | 315,075 | 267,150 | 294,330 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Net investment income after taxes |
1,904,774 | 3,146,239 | 6,591,090 | 9,428,066 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Net realized and unrealized gain/(loss) on investments: |
||||||||||||||||
| Net realized gain (loss) from investments |
||||||||||||||||
| Non-controlled, non-affiliated investments |
(1,849,766 | ) | (8,114,711 | ) | (7,731,553 | ) | (26,890,095 | ) | ||||||||
| Non-controlled, affiliated investments |
— | — | (6,239,984 | ) | — | |||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Net realized gain (loss) from investments |
(1,849,766 | ) | (8,114,711 | ) | (13,971,537 | ) | (26,890,095 | ) | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Net change in unrealized appreciation (depreciation) in value of investments |
||||||||||||||||
| Non-controlled, non-affiliated investments |
(8,706,047 | ) | 11,819,426 | 1,797,807 | 21,966,347 | |||||||||||
| Non-controlled, affiliated investments |
(196,901 | ) | (808,865 | ) | 1,490,170 | (1,269,815 | ) | |||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Net change in unrealized appreciation (depreciation) on investments |
(8,902,948 | ) | 11,010,561 | 3,287,977 | 20,696,532 | |||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total realized gain (loss) and change in unrealized appreciation (depreciation) on investments |
(10,752,714 | ) | 2,895,850 | (10,683,560 | ) | (6,193,563 | ) | |||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Net increase (decrease) in net assets resulting from operations |
$ | (8,847,940 | ) | $ | 6,042,089 | $ | (4,092,470 | ) | $ | 3,234,503 | ||||||
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| Basic and diluted: |
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| Earnings per share |
$ | (0.61 | ) | $ | 0.42 | $ | (0.28 | ) | $ | 0.22 | ||||||
| Weighted average shares of common stock outstanding |
14,421,798 | 14,404,510 | 14,396,201 | 14,389,163 | ||||||||||||
| Distributions paid per common share |
$ | 0.52 | $ | 0.24 | $ | 0.60 | $ | 0.63 | ||||||||
5
About Investcorp Credit Management BDC, Inc.
The Company is an externally managed, closed-end, non-diversified management investment company that has elected to be regulated as a business development company under the Investment Company Act of 1940. The Company’s investment objective is to maximize the total return to its stockholders in the form of current income and capital appreciation through debt and related equity investments by targeting investment opportunities with favorable risk-adjusted returns. The Company seeks to invest primarily in middle-market companies that have annual revenues of at least $50 million and earnings before interest, taxes, depreciation, and amortization of at least $15 million. The Company’s investment activities are managed by its investment adviser, CM Investment Partners LLC (“CMIP”). Investcorp Credit Management US LLC (“Investcorp”), a subsidiary of Investcorp Bank B.S.C., controls CMIP. To learn more about Investcorp Credit Management BDC, Inc., please visit www.icmbdc.com.
Forward-Looking Statements
Statements included in this press release and made on the earnings call for the quarter and year ended December 31, 2025, may contain “forward-looking statements,” which relate to future performance, operating results, events, financial condition and/or exploration of strategic alternatives. Words such as “anticipates,” “expects,” “intends,” “plans,” “will,” “may,” “continue,” “believes,” “seeks,” “estimates,” “would,” “could,” “should,” “targets,” “projects,” and variations of these words and similar expressions are intended to identify forward-looking statements. Any forward-looking statements, including statements other than statements of historical facts, included in this press release or made on the earnings call are based upon current expectations, are inherently uncertain, and involve a number of assumptions and substantial risks and uncertainties, many of which are difficult to predict and are generally beyond the Company’s control.
Investors are cautioned not to place undue reliance on these forward-looking statements. Any such statements are likely to be affected by other unknowable future events and conditions, which the Company may or may not have considered, including, without limitation, changes in base interest rates and the effects of significant market volatility on our business, our portfolio companies, our industry and the global economy. Accordingly, such statements cannot be guarantees or assurances of any aspect of future performance or events. Actual results may differ materially from those anticipated in any forward-looking statements as a result of a number of factors and risks. More information on these risks and other potential factors that could affect actual events and the Company’s performance and financial results, including important factors that could cause actual results to differ materially from plans, estimates or expectations included herein or discussed on the earnings call, is or will be included in the Company’s filings with the Securities and Exchange Commission, including in the “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” sections of the Company’s 2025 Annual Report on Form 10-K and subsequently filed Quarterly Reports on Form 10-Q. All forward-looking statements speak only as of the date they are made. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by law.
Contacts
Investcorp Credit Management BDC, Inc.
Investor Relations
Email: icmbinfo@investcorp.com
Phone: (212) 703-1154
6
Exhibit 99.2 Investcorp Credit Management BDC, Inc. Investor Update Presentation December 31, 2025 LOS ANGELES NEW YORK LONDON BAHRAIN ABU DHABI RIYADH DOHA MUMBAI DELHI BEIJING SINGAPORE TOKYO
Forward-looking Statements and Disclosures Statements included in this presentation may contain “forward-looking statements,” which relate to future performance or financial condition of Investcorp Credit Management BDC, Inc. (“ICMB”). Forward-looking statements are based on estimates, projections, beliefs and assumptions of ICMB’s management at the time of such statements, which change over time, and are not guarantees of future performance or results. Actual results may differ materially from those anticipated in any forward-looking statements as a result of a number of factors, including those described from time to time in filings by ICMB with the Securities and Exchange Commission. Forward-looking statements are made as of the date of this presentation, or as of the prior date referenced in this presentation and are subject to change without notice. ICMB undertakes no duty to update any forward-looking statement made herein except as required by law. This presentation is neither an offer to sell nor a solicitation of an offer to buy ICMB’s securities. An offering is made only by an applicable prospectus. This presentation must be read in conjunction with a prospectus in order to fully understand all of the implications and risks of the offering of securities to which the prospectus relates. A copy of such a prospectus must be made available to you in connection with any offering. The summary descriptions and other information included herein are intended only for informational purposes and convenient reference. The information contained herein is not intended to provide, and should not be relied upon for, accounting, legal or tax advice or investment recommendations. Before making an investment decision with respect to ICMB, investors are advised to carefully review an applicable prospectus to review the risk factors described therein, and to consult with their tax, financial, investment and legal advisors. These materials do not purport to be complete and are qualified in their entirety by reference to the more detailed disclosures contained in an applicable prospectus and ICMB’s related documentation. No representation or warranty, express or implied, is made as to the accuracy or completeness of the information contained herein, and nothing shall be relied upon as a promise or representation as to the future performance of ICMB. 2
Investcorp Credit Management BDC, Inc. - Investment Team INVESTMENT PROFESSIONALS Suhail A. Shaikh Michael C. Mauer Investment Committee Member Investment Committee Member Chief Executive Officer Chairman of the Board of Directors & Chief Investment Officer & Vice Chairman Andrew Muns Branko Krmpotic Timothy Waller Chief Financial Officer Advisor Principal & Chief Operating Officer Investment Committee Member Investment Committee Member Investment Committee Member Emily Broderick David Rubin Aamer Jooma Darius Tam Vice President Vice President Associate Associate FINANCE PROFESSIONALS Jacqueline Hanabergh Vice President Therese Dyman Melody Atumah Jonathon Monaco Consultant Associate Associate Note: Team members listed above are as of March 31, 2026 and are subject to change. 3
1 Investcorp Credit Management BDC, Inc. - Investment Criteria Use of Proceeds Borrower Focus ❑ Organic Growth❑ Established companies with a history of positive operating cash flow ❑ Defensible and sustainable business ❑ Acquisitions ❑ Seasoned management team with meaningful equity ownership ❑ Market / Product Expansion ❑ Significant Invested Capital ❑ Investment Partnerships ❑ Refinancings and Recapitalizations ❑ Ability to exert meaningful influence ❑ Exit strategy General Investment Parameters Investment Structures 2 ❑ Revenues: $50MM+❑ First and Second Lien Loans 2 ❑ EBITDA: $15MM+❑ Unitranche Loans ❑ Investment Size: $5MM -- $25MM❑ Mezzanine Loans/Structured Equity ❑ Unsecured Loans ❑ Equity Components 1 We expect our target portfolio companies to exhibit some, or all, or these characteristics at the time of the initial investment, although not all of our portfolio companies will meet these criteria. 2 ICMB may invest in smaller or larger companies if there is an attractive opportunity, especially when there are dislocations in the capital markets, including the high yield and large syndicated loan markets. 4
Investcorp Credit Management BDC, Inc. – Overview as of December 31, 2025 Issuer Investcorp Credit Management BDC, Inc. (NASDAQ: ICMB) Investment Manager CM Investment Partners LLC (“CMIP”) Formation Formed as CM Finance LLC in 2012; IPO in February 2014 Market Capitalization $39.0 million 1 Investment Portfolio $172.7 million Leverage Gross Debt-Equity of 2.02x / Net Debt-Equity of 1.78x (1) A 1 At Fair Value. Please see Form 10-K filed with the SEC for details. 5
Investcorp Credit Management BDC, Inc. – Portfolio Profile as of December 31, 2025 By Industry* 14.50% 9.18% 8.87% 8.57% 7.89% 7.82% 6.68% 6.61% 5.87% 4.66% 4.05% 3.53% 3.15% 2.68% 2.57% 2.23% 1.05% 0.09% 0.00% 0.00% * Based on Global Industry Classification Standard (“GICS”) By Region By Investment Type U.S. Southeast, 10.51% U.S. Mid-Atlantic, U.S. Midwest, 3.65% 9.54% U.S. Southwest, Senior Secured First Lien Debt 80.76% 16.96% International, 0.00% Unsecured Debt Investments 0.0% U.S. West, 30.97% Equity / Warrants / Other 19.24% U.S. Northeast, 28.37% 6
Investcorp Credit Management BDC, Inc. – Portfolio as of December 31, 2025 Quarterly Highlights ▪ As of December 31, 2025, our portfolio consisted of debt and equity investments in 37 portfolio companies with a fair value of $172.7 million. ▪ As of December 31, 2025, our portfolio at fair value consisted of 80.76% first lien investments and 19.24% equity, warrant or other positions. ▪ During the quarter, ICMB made a $1.5 million investment in one existing portfolio company. ICMB fully realized its investments in three portfolio companies during the quarter, totaling $8.2 million in proceeds. The internal rate of return on these investments was 10.59%. ▪ The weighted average yield on debt investments, at fair market value, as of December 31, 2025, was 10.56%, compared to 10.87% for the quarter ended September 30, 2025. ▪ Net asset value decreased $0.79 per share to $4.25, compared to $5.04 as of September 30, 2025. Net assets decreased by $11.4 million, or 15.65%, during the quarter ended December 31, 2025 compared to September 30, 2025. Portfolio Results (as of 12/31/25) Portfolio Activity (10/01/25-12/31/25) ❑ Total assets $188.8 mm ❑ Total capital invested in existing 1 portfolio companies $1.5 mm ❑ Investment portfolio, at fair value $172.7 mm ❑ Total proceeds from repayments, 2 ❑ Net assets $61.3 mm sales, and amortization $10.3 mm ❑ Number of portfolio companies, end of period 37 1 Includes gross advances for delayed draw and revolving credit commitments and PIK interest to existing portfolio companies. 2 Includes gross repayments on existing delayed draw and revolving credit commitments to portfolio companies. 7
Investcorp Credit Management BDC, Inc. Selected Financial Highlights Quarter Ended Quarter Ended Quarter Ended Quarter Ended Quarter Ended December 31, 2024 March 31, 2025 June 30, 2025 September 30, 2025 December 31, 2025 Investment Portfolio at $ 191,616,958 $ 192,447,870 $ 204,130,679 $ 196,135,047 $ 172,658,862 Fair Value Debt at Cost $ 122,041,697 $ 119,713,298 $ 134,384,899 $ 127,556,500 $ 123,128,101 Net Assets $ 77,602,130 $ 78,101,453 $ 75,984,224 $ 72,703,326 $ 61,326,012 Ending Debt to Equity 1.57x 1.53x 1.77x 1.75x 2.02x Ratio Quarter Ended Quarter Ended Quarter Ended Quarter Ended Quarter Ended Per Share Data December 31, 2024 March 31, 2025 June 30, 2025 September 30, 2025 December 31, 2025 Net Asset Value $ 5.39 $ 5.42 $ 5.27 $ 5.04 $ 4.25 per Share Net Investment Income $ 0.06 $ 0.05 $ 0.06 $ 0.04 $ 0.02 before taxes per Share Net Increase/(Decrease) in Net Assets Resulting $ (0.04) $ 0.15 $ (0.03) $ (0.09) $ (0.65) from Operations per Share Dividends Declared 1 1 $ 0.12 $ 0.12 $ 0.12 $ 0.14 $ 0.14 per Share 1 Includes a quarterly distribution of $0.12 per share and a supplemental distribution of $0.02 per share. 8
icmbinfo@investcorp.com