Note 8 – Commitments, Contingencies, and Off-Balance Sheet Arrangements

Commitments

The following table provides the Company’s contractual obligations as of December 31, 2025 and December 31, 2024 (in thousands):

 

 

Payments Due by Period (1)

 

 

 

Less than 1 Year

 

 

 

1-3 years

 

 

 

3-5 years

 

 

More than 5 Years

 

 

Total

 

As of December 31, 2025

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Borrowings (2)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Credit Facility

 

 $

 

-

 

 

 $

 

-

 

 

 $

 

173,000

 

 

 $

 

-

 

 

 $

 

173,000

 

2026 Notes

 

 

 

25,000

 

 

 

 

-

 

 

 

 

-

 

 

 

 

-

 

 

 

 

25,000

 

2027 Notes

 

 

 

-

 

 

 

 

132,250

 

 

 

 

-

 

 

 

 

-

 

 

 

 

132,250

 

2028 Notes

 

 

 

-

 

 

 

 

107,000

 

 

 

 

-

 

 

 

 

-

 

 

 

 

107,000

 

Total Borrowings

 

 

 

25,000

 

 

 

 

239,250

 

 

 

 

173,000

 

 

 

 

-

 

 

 

 

437,250

 

Deferred Incentive Fees

 

 

 

4,197

 

 

 

 

5,309

 

 

 

 

2,659

 

 

 

 

84

 

 

 

 

12,249

 

Foreign Currency Forward Contracts

 

 

 

(711

)

 

 

 

-

 

 

 

 

-

 

 

 

 

-

 

 

 

 

(711

)

Total

 

 $

 

28,486

 

 

 $

 

244,559

 

 

 $

 

175,659

 

 

 $

 

84

 

 

 $

 

448,788

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of December 31, 2024

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Borrowings (2)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Credit Facility

 

 $

 

-

 

 

 $

 

311,000

 

 

 $

 

-

 

 

 $

 

-

 

 

 $

 

311,000

 

2026 Notes

 

 

 

-

 

 

 

 

95,000

 

 

 

 

-

 

 

 

 

-

 

 

 

 

95,000

 

2027 Notes

 

 

 

-

 

 

 

 

152,250

 

 

 

 

-

 

 

 

 

-

 

 

 

 

152,250

 

Total Borrowings

 

 

 

-

 

 

 

 

558,250

 

 

 

 

-

 

 

 

 

-

 

 

 

 

558,250

 

Deferred Incentive Fees

 

 

 

2,584

 

 

 

 

4,886

 

 

 

 

2,562

 

 

 

 

84

 

 

 

 

10,116

 

Total

 

 $

 

2,584

 

 

 $

 

563,136

 

 

 $

 

2,562

 

 

 $

 

84

 

 

 $

 

568,366

 

 

(1)
Excludes interest payable on borrowings, accrued expenses, and commitments to extend credit to the Company’s portfolio companies.
(2)
Amounts represent future principal repayments and not the carrying value of each liability (refer to "Note 7 – Borrowings").

Contingencies

The Company and RGC are not currently subject to any material legal proceedings, nor, to the Company's knowledge, is any material legal proceeding threatened against the Company or RGC. From time to time, the Company or RGC may be a party to certain legal proceedings in the ordinary course of business, including proceedings relating to the enforcement of their rights under contracts with its portfolio companies. The Company's business is also subject to extensive regulation, which may result in regulatory proceedings against it. While the outcome of any such legal proceedings cannot be predicted with certainty, the Company does not expect that any such proceedings will have a material effect upon its financial condition or results of operations.

Off-Balance Sheet Arrangements

In the normal course of business, the Company may enter into investment agreements under which it commits to make an investment in a portfolio company at some future date or over a specified period of time. These unfunded contractual commitments to provide funds to portfolio companies are not reflected on the Consolidated Statements of Assets and Liabilities. With the exception of the JV, the availability of such unfunded commitments is subject to the specific terms and conditions of each contract, which may include, among other things, portfolio company performance requirements and time-based cancellation provisions. As a result, only a portion of unfunded commitments is currently eligible to be drawn.

The Company's unfunded commitments to provide debt and equity financing to its portfolio companies and Runway-Cadma I LLC amounted to $145.5 million and $176.7 million as of December 31, 2025 and December 31, 2024, respectively, shown in the table below (in thousands):

Portfolio Company

 

Investment Type

 

December 31, 2025

 

 

December 31, 2024

 

Autobooks, Inc.

 

Senior Secured Term Loan

 

$

 

10,400

 

 

$

 

-

 

Blueshift Labs, Inc.

 

Senior Secured Term Loan

 

 

 

150

 

 

 

 

-

 

Bombora, Inc.

 

Senior Secured Term Loan

 

 

 

500

 

 

 

 

2,000

 

CarNow, Inc.

 

Senior Secured Term Loan

 

 

 

4,000

 

 

 

 

12,000

 

Digicert, Inc.

 

Senior Secured Revolver

 

 

 

673

 

 

 

 

-

 

Elevate Services, Inc.

 

Senior Secured Term Loan

 

 

 

-

 

 

 

 

14,000

 

Interactions Corporation

 

Senior Secured Term Loan

 

 

 

-

 

 

 

 

10,000

 

Linxup, LLC

 

Senior Secured Term Loan

 

 

 

-

 

 

 

 

7,500

 

Marley Spoon SE

 

Senior Secured Term Loan

 

 

 

5,756

 

 

 

 

-

 

Marley Spoon SE

 

Senior Secured Revolver

 

 

 

4,851

 

 

 

 

-

 

Onward Medical, N.V.

 

Senior Secured Term Loan

 

 

 

38,982

 

 

 

 

38,982

 

Route 92 Medical, Inc.

 

Senior Secured Term Loan

 

 

 

20,000

 

 

 

 

10,000

 

Runway-Cadma I LLC

 

Joint Venture

 

 

 

22,718

 

 

 

 

29,400

 

SetPoint Medical Corporation

 

Senior Secured Term Loan

 

 

 

-

 

 

 

 

20,000

 

Shepherd Intermediate, LLC (dba FHAS)

 

Senior Secured Term Loan

 

 

 

2,083

 

 

 

 

-

 

Shepherd Intermediate, LLC (dba FHAS)

 

Senior Secured Revolver

 

 

 

417

 

 

 

 

-

 

Shield Therapeutics PLC

 

Senior Secured Term Loan

 

 

 

18,000

 

 

 

 

-

 

Snap! Mobile, Inc.

 

Senior Secured Term Loan

 

 

 

5,000

 

 

 

 

5,000

 

Swing Education, Inc.

 

Senior Secured Term Loan

 

 

 

2,000

 

 

 

 

-

 

Swing Education, Inc.

 

Senior Secured Revolver

 

 

 

10,000

 

 

 

 

-

 

Synack, Inc.

 

Senior Secured Term Loan

 

 

 

-

 

 

 

 

22,500

 

Zinnia Corporate Holdings, LLC

 

Senior Secured Term Loan

 

 

 

-

 

 

 

 

5,333

 

Total unused commitments to extend financing

 

 

 

$

 

145,530

 

 

 $

 

176,715

 

The Company may also enter into foreign currency forward contracts to mitigate its exposure to foreign currency fluctuations associated with certain investments denominated in foreign currencies. While these contracts are recognized on the Consolidated Statements of Assets and Liabilities at fair value in accordance with ASC 815, they are also considered off-balance sheet arrangements because they may result in future cash payments or receipts that are not fully reflected in the financial statements as of December 31, 2025. As of December 31, 2025, the Company had outstanding forward currency contracts with a total notional amount of $28.9 million to purchase foreign currencies. For more information on the contracts and related maturities, refer to "Note 4 – Investments." There were no foreign currency forward contracts as of December 31, 2024.

Historical Timeline

Fiscal YearFiled
2025Mar 12, 2026Showing above
2024Mar 20, 2025
2023Mar 7, 2024
2022Mar 2, 2023

About Commitments Disclosures

Commitments and contingencies disclosures catalog a company's off-balance-sheet obligations and legal exposures — purchase commitments, guarantee arrangements, pending litigation, and regulatory proceedings. These items represent potential future cash outflows that may not appear as liabilities on the balance sheet until they become probable and estimable.

Key signals: litigation reserves and disclosed loss ranges quantify management's estimate of legal exposure, but unquantified "reasonably possible" losses often represent the larger risk. Watch for changes in language around pending cases — shifts from "remote" to "reasonably possible" or increases in estimated loss ranges signal deteriorating outcomes. Unconditional purchase obligations and take-or-pay contracts create fixed cost structures that reduce operational flexibility. Guarantee arrangements for subsidiaries or joint ventures can create cascading obligations. Compare the total commitment schedule against projected free cash flow to assess whether the company can meet its obligations without additional financing.