The business development company reported a decline in net asset value per share amid markdowns in its software-sector holdings.
Portman Ridge Finance Corporation’s net asset value per share dropped to $14.49 in the second quarter from $15.60, driven by unrealized markdowns in its software-sector investments. Management attributed the decline to valuation pressures rather than credit deterioration.
The company reduced borrowings to $286.1 million, improving gross leverage to 1.6 times and asset coverage to 162%. Non-accrual investments fell to 5.7% of amortized cost from 6.2%, while originations of $20.9 million trailed repayments and sales of $34.9 million.
Post-quarter, Portman Ridge expanded its KeyBank facility to $150 million and used proceeds to terminate its JPMorgan Great Lakes credit facility. Net investment income totaled $5.5 million, or $0.45 per share, on total investment income of $15.2 million.