As a share of total interest income, PIK interest income slipped to 8.2%, its lowest level since Q4 2023.

The non-traded BDC fulfilled all repurchase requests at 7% of shares outstanding in the prior quarter.

Publicly traded BDCs have been increasingly returning capital to investors through share buybacks instead of investing it in loans.

New data shows that private credit funds in Q1 stomped the brakes on new fundings as software fears and heavy scrutiny weighed on the market.

The recent NAV decline was partly driven by markdowns on new non-accruals Medallia, Affordable Care Inc. and Constellis Group.

On its earnings call, the company reported “encouragement in new private credit deals,” with some deals pricing with spreads 50-100 bps wider than the tight levels seen last year.

CEO David Golub warned that businesses across many industries have come under stress and will likely need to be restructured.

Peek Under the Hood: An Analysis of Private Credit Loans in Top Public BDCs provides a quarterly, position-level view of how the largest U.S. BDCs are deploying capital across the $1.7 trillion private credit market. Topics covered include sector and industry exposure, portfolio composition and structure, first-lien vs. subordinated mix, cash spreads and all-in yield distribution, PIK and non-accrual trends, borrower cross-holdings across BDCs, and a quarterly spotlight on the most timely issues facing private credit professionals.