Total Investment Income of $17.6 Million and Core Investment Income¹ of $14.8 Million 

Announces Third Quarter 2026 Base Distribution of $0.27 Per Share, and Second Quarter Supplemental Cash Distribution of $0.03 Per Share

NEW YORK, May 07, 2026 (GLOBE NEWSWIRE) -- BCP Investment Corporation (NASDAQ: BCIC) (“BCIC” or “the Company”) announced today its financial results for the first quarter ended March 31, 2026.

First Quarter 2026 Highlights

• Total investment income for the first quarter of 2026 increased to $17.6 million, from $17.5 million for the fourth quarter of 2025.
• Core investment income, excluding the impact of purchase price accounting, for the first quarter of 2026 increased to $14.8 million, as compared to $14.2 million for the fourth quarter of 2025.
• Net investment income (“NII”) for the first quarter of 2026 was $6.9 million ($0.55 per share), as compared to $7.4 million ($0.57 per share) in the fourth quarter of 2025.
• Net asset value (“NAV”), as of March 31, 2026, was $193.0 million ($15.60 per share), as compared to NAV of $209.2 million ($16.68 per share) as of December 31, 2025. Approximately 40% of the quarter’s unrealized markdowns were attributable to investments classified as “Software” in our Consolidated Schedule of Investments, and approximately 70% when including software-exposed names.
• Non-accruals declined to 2.6% of the investment portfolio at fair value (6.2% at amortized cost) as of March 31, 2026, compared to 4.0% (7.1% at amortized cost) as of December 31, 2025, with non-accrual investments decreasing to 12 across 9 portfolio companies from 13 across 10 portfolio companies.
• Deployment of approximately $13.3 million and repayments and sales of approximately $28.3 million, resulting in net repayments and sales of approximately $15.0 million.
• Total shares repurchased in open market transactions under the 2026 Stock Repurchase Program during the quarter ended March 31, 2026 were 172,159, at an aggregate cost of approximately $2.1 million, which was accretive to NAV by $0.07 per share.

Subsequent Events

• On April 27, 2026, the Company redeemed $40.0 million aggregate principal amount of its 2026 Notes. In connection with this redemption, the Company had notified U.S. Bank Trust Company, National Association (the “Trustee”), on March 27, 2026 of its election to redeem such notes pursuant to the terms of the Base Indenture, the Fourth Supplemental Indenture and the Fifth Supplemental Indenture.
• On April 30, 2026, the Company paid its regular monthly base distribution of $0.09 per share of common stock to stockholders of record as of April 15, 2026.
• On May 7, 2026, the Company declared a regular monthly base distribution of $0.09 per share of common stock for each of July, August and September 2026. The July 2026 distribution is payable on July 31, 2026 to stockholders of record at the close of business on July 15, 2026. The August 2026 distribution is payable on August 31, 2026 to stockholders of record at the close of business on August 14, 2026. The September 2026 distribution is payable on September 30, 2026 to stockholders of record at the close of business on September 15, 2026.
• On May 7, 2026, the Company declared a supplemental cash distribution of $0.03 per share of common stock. The supplemental cash distribution is payable on May 29, 2026 to stockholders of record at the close of business on May 18, 2026.

Management Commentary
Ted Goldthorpe, Chief Executive Officer of BCP Investment Corporation, stated, “Having completed a transformational year in 2025, we entered 2026 with strong footing and have executed on most of the shareholder-friendly initiatives we outlined in our merger with Logan Ridge Finance Corporation. During the quarter, we delivered increases in total investment income and core investment income as compared to both the prior quarter and the first quarter of 2025, and generated net investment income that exceeded our base distribution. We also continued to repurchase shares under our program, which was accretive to NAV by $0.07 per share.

Net asset value declined during the quarter, driven primarily by unrealized markdowns in the portfolio. Approximately 40% of the quarter’s unrealized markdowns were attributable to investments classified as “Software” in our Consolidated Schedule of Investments, and approximately 70% when including software-exposed names. The majority of these markdowns reflect broad sector dislocation and market-driven valuation pressure rather than fundamental credit deterioration in these portfolio companies. Importantly, underlying credit performance remained relatively stable, with non-accruals declining as a percentage of the portfolio, and most of our software exposure in mission-critical, vertically-specialized businesses that we believe are well-positioned to weather the current AI-driven uncertainty.

We remain disciplined in our deployment across the lower middle market, prioritizing credit quality, and downside protection. We continue to see more attractive opportunities in smaller and more complex transactions where structure and selectivity are critical, and we are actively managing and repositioning the portfolio in response to evolving market conditions.

We are pleased that our Board has approved a total third quarter distribution of $0.27 per share, to be paid in monthly installments of $0.09 per share, and a supplemental cash distribution of $0.03 per share for the second quarter, bringing total distributions declared in the second quarter to $0.30 per share. These actions reflect our earnings profile and our ongoing commitment to returning value to shareholders.

As we look ahead, we remain focused on active portfolio management, disciplined underwriting and prudent capital allocation, with the goal of delivering sustainable, long-term value creation for our shareholders.”

Selected Financial Highlights

• Total investment income for the quarter ended March 31, 2026, was $17.6 million, of which $16.0 million was attributable to interest income, inclusive of payment-in-kind income, from the Debt Securities Portfolio. This compares to total investment income of $12.1 million for the quarter ended March 31, 2025, of which $10.3 million was attributable to interest income, inclusive of payment-in-kind income, from the Debt Securities Portfolio.
• Core investment income for the quarter ended March 31, 2026, excluding the impact of purchase discount accretion, was $14.8 million, as compared to core investment income of $12.1 million for the quarter ended March 31, 2025.
• Net investment income (“NII”) for the quarter ended March 31, 2026, was $6.9 million ($0.55 per share), as compared to $4.3 million ($0.47 per share) for the quarter ended March 31, 2025.
• Investment portfolio at fair value as of March 31, 2026, was $476.9 million, comprised of 108 different entities. Our debt investment portfolio, excluding our investments in the CLO Funds, equities and Joint Ventures, totaled $384.1 million at fair value as of March 31, 2026, and was spread across 33 different industries comprised of 72 different portfolio companies with an average par balance per investment of approximately $3.3 million. This compares to a total investment portfolio at fair value as of December 31, 2025, of $501.0 million, comprised of 108 different entities. Our debt investment portfolio, excluding our investments in the CLO Funds, equities and Joint Ventures, totaled $411.6 million at fair value as of December 31, 2025, spread across 34 different industries and comprised of 74 different portfolio companies, with an average par balance per investment of approximately $3.5 million.
• Debt investments on non-accrual, as of March 31, 2026, were 12 attributable to 9 portfolio companies, representing 2.6% and 6.2% of the Company’s investment portfolio at fair value and amortized cost, respectively. This compares to 13 debt investments attributable to 10 portfolio companies, representing 4.0% and 7.1% of the Company’s investment portfolio at fair value and amortized cost, respectively, as of December 31, 2025.
• Weighted average annualized yield was approximately 12.8% (excluding income from non-accruals and collateralized loan obligations) as of March 31, 2026.
• Par value of outstanding borrowings, as of March 31, 2026, was $342.2 million, which compares to $312.3 million from December 31, 2025, with an asset coverage ratio of 156% as compared to 167% as of December 31, 2025. On a net basis, leverage as of March 31, 2026, was 1.5x² compared to 1.4x² as of December 31, 2025.
  

Results of Operations

Operating results for the three months ended March 31, 2026, and March 31, 2025, were as follows:

Investment Income
The composition of our investment income for the three months ended March 31, 2026, and March 31, 2025, was as follows:

Fair Value of Investments

The composition of our investment portfolio as of March 31, 2026 and December 31, 2025 at cost and fair value was as follows:

⁽¹⁾ Represents the equity investment in the Asset Manager Affiliates.

Liquidity and Capital Resources
As of March 31, 2026, the Company had approximately $342.2 million (par value) of outstanding borrowings at a current weighted average interest rate of 6.7%, of which $212.0 million par value had a fixed rate and $130.2 million par value had a floating rate.

As of March 31, 2026, and December 31, 2025, the fair value of investments and cash were as follows:

As of March 31, 2026, the Company had unrestricted cash of $51.8 million and restricted cash of $6.2 million. This compares to unrestricted cash of $3.7 million and restricted cash of $8.8 million as of December 31, 2025. As of March 31, 2026, the Company had $45.0 million of available borrowing capacity under the Great Lakes Portman Ridge Funding LLC Revolving Credit Facility and $24.8 million of available borrowing capacity under the KeyBank Credit Facility.

Interest Rate Risk

The Company’s investment income is affected by fluctuations in various interest rates, including SOFR and prime rates.

As of March 31, 2026, approximately 85.6% of our Debt Securities Portfolio at par value were floating rate with a spread to an interest rate index such as SOFR or the prime rate. 92.8% of these floating rate loans contain floors ranging between 0.50% and 5.25%. We generally expect that future portfolio investments will predominately be floating rate investments.

In periods of rising or lowering interest rates, the cost of the portion of our debt associated with our fixed rate borrowings would remain the same, while the interest rate on borrowings under the revolving credit
facilities would fluctuate with changes in interest rates.

Generally, the Company would expect that an increase in the base rate index for floating rate investment assets would increase gross investment income and a decrease in the base rate index for such assets would decrease gross investment income (in either case, such increase/decrease may be limited by interest rate floors/minimums for certain investment assets).

Conference Call and Webcast
We will hold a conference call on Friday, May 8, 2026, at 10:00 am Eastern Time to discuss our first quarter 2026 financial results. To access the call, stockholders, prospective stockholders and analysts should dial (646) 307-1963 approximately 10 minutes prior to the start of the conference call and use the conference ID 5154961.

A replay of this conference call will be available shortly after the live call through May 15, 2026.

A live audio webcast of the conference call can be accessed via the Internet, on a listen-only basis at https://edge.media-server.com/mmc/p/dqoafvww. The online archive of the webcast will be available on the Company’s website shortly after the call at www.bcpinvestmentcorporation.com in the Investor Relations section under Events and Presentations.

About BCP Investment Corporation
BCP Investment Corporation (NASDAQ: BCIC) is a publicly traded, externally managed closed-end investment company that has elected to be regulated as a business development company under the Investment Company Act. BCIC’s middle market investment business originates, structures, finances and manages a portfolio of term loans, mezzanine investments and selected equity securities in middle market companies. BCIC’s investment activities are managed by its investment adviser, Sierra Crest Investment Management LLC, an affiliate of BC Partners Advisors L.P.

BCIC’s filings with the Securities and Exchange Commission (the “SEC”), earnings releases, press releases and other financial, operational and governance information are available on BCIC’s website at www.bcpinvestmentcorporation.com. 

About BC Partners Advisors L.P. and BC Partners Credit
BC Partners is a leading international investment firm in private equity, private credit and real estate strategies. Established in 1986, BC Partners has played an active role in developing the European buyout market for three decades.

Today, BC Partners executives operate across markets as an integrated team through the firm’s offices in North America and Europe. For more information, please visit https://www.bcpartners.com/.

BC Partners Credit was launched in February 2017 and has pursued a strategy focused on identifying attractive credit opportunities in any market environment and across sectors, leveraging the deal sourcing and infrastructure made available from BC Partners.

Cautionary Statement Regarding Forward-Looking Statements
This press release contains forward-looking statements. The matters discussed in this press release, as well as in future oral and written statements by management of BCP Investment Corporation, that are forward-looking statements are based on current management expectations that involve substantial risks and uncertainties which could cause actual results to differ materially from the results expressed in, or implied by, these forward-looking statements. Forward-looking statements relate to future events or our future financial performance and include, but are not limited to, projected financial performance, expected development of the business, plans and expectations about future investments and the future liquidity of the Company. We generally identify forward-looking statements by terminology such as “may,” “will,” “should,” “expects,” “plans,” “anticipates,” “could,” “intends,” “target,” “projects,” “outlook”, “contemplates,” “believes,” “estimates,” “predicts,” “potential” or “continue” or the negative of these terms or other similar words. Forward-looking statements are based upon current plans, estimates and expectations that are subject to risks, uncertainties, and assumptions. Should one or more of these risks or uncertainties materialize, or should the underlying assumptions prove to be incorrect, actual results may vary materially from those indicated or anticipated by such forward-looking statements.

Important assumptions include our ability to originate new investments, and achieve certain margins and levels of profitability, the availability of additional capital, and the ability to maintain certain debt to asset ratios. In light of these and other uncertainties, the inclusion of a projection or forward-looking statement in this press release should not be regarded as a representation that such plans, estimates, expectations or objectives will be achieved. Important factors that could cause actual results to differ materially from such plans, estimates or expectations include, among others, (1) uncertainty of the expected financial performance of the Company; (2) expected synergies and savings associated with merger transactions effectuated by the Company; (3) the ability of the Company and/or its adviser to implement its business strategy; (4) evolving legal, regulatory and tax regimes; (5) changes in general economic and/or industry specific conditions, including but not limited to the impact of inflation; (6) the impact of increased competition; (7) business prospects and the prospects of the Company’s portfolio companies; (8) contractual arrangements with third parties; (9) any future financings by the Company; (10) the ability of Sierra Crest Investment Management LLC to attract and retain highly talented professionals; (11) the Company’s ability to fund any unfunded commitments; (12) any future distributions by the Company; (13) changes in regional or national economic conditions and their impact on the industries in which we invest; and (14) other changes in the conditions of the industries in which we invest and other factors enumerated in our filings with the SEC. The forward-looking statements should be read in conjunction with the risks and uncertainties discussed in the Company’s filings with the SEC, including the Company’s most recent Form 10-K and other SEC filings. We do not undertake to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required to be reported under the rules and regulations of the SEC. Although the Company undertakes no obligation to revise or update any forward-looking statements, whether as a result of new information, future events or otherwise, you are advised to consult any additional disclosures that they may make directly to you or through reports that the Company in the future may file with the SEC, including annual reports on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K.

Contacts:

BCP Investment Corporation

650 Madison Avenue, 3rd floor
New York, NY 10022
info@bcpinvestmentcorporation.com

Brandon Satoren
Chief Financial Officer
Brandon.Satoren@bcpartners.com
(212) 891-2880

The Equity Group Inc.
Lena Cati
lcati@theequitygroup.com
(212) 836-9611

The Equity Group Inc.
Val Ferraro
vferraro@theequitygroup.com
(212) 836-9633

¹ Core investment income represents reported total investment income as determined in accordance with U.S. generally accepted accounting principles, or U.S. GAAP, less the impact of purchase discount accretion in connection with the Garrison Capital Inc. (“GARS”), Harvest Capital Credit Corporation (“HCAP”), and Logan Ridge Finance Corporation (“LRFC”) mergers. BCIC believes presenting core investment income and the related per share amount is a useful and appropriate supplemental disclosure for analyzing its financial performance due to the unique circumstance giving rise to the purchase accounting adjustment. However, core investment income is a non-U.S. GAAP measure and should not be considered as a replacement for total investment income and other earnings measures presented in accordance with U.S. GAAP. Instead, core investment income should be reviewed only in connection with such U.S. GAAP measures in analyzing BCIC’s financial performance.
²Net leverage is calculated as the ratio between (A) debt, excluding unamortized debt issuance costs, less available cash and cash equivalents, and restricted cash and (B) NAV. BCIC believes presenting a net leverage ratio is useful and appropriate supplemental disclosure because it reflects the Company’s financial condition net of $58.0 million and $12.5 million of cash and cash equivalents and restricted cash as of March 31, 2026 and December 31, 2025, respectively. However, the net leverage ratio is a non-U.S. GAAP measure and should not be considered as a replacement for the regulatory asset coverage ratio and other similar information presented in accordance with U.S. GAAP. Instead, the net leverage ratio should be reviewed only in connection with such U.S. GAAP measures in analyzing BCIC’s financial condition.

Source: BCP Investment Corp.