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Published: 2021-08-04 17:10:46 ET

10-Q 1 pnnt-10q_20210630.htm 10-Q pnnt-10q_20210630.htm

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

(Mark One)

☒	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

FOR THE QUARTERLY PERIOD ENDED JUNE 30, 2021

☐	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

FOR THE TRANSITION PERIOD FROM TO

COMMISSION FILE NUMBER: 814-00736

PENNANTPARK INVESTMENT CORPORATION

(Exact name of registrant as specified in its charter)


MARYLAND		20-8250744
(State or other jurisdiction of incorporation or organization)		(I.R.S. Employer Identification No.)

590 Madison Avenue, 15^th Floor New York, N.Y.		10022
(Address of principal executive offices)		(Zip Code)

(212) 905-1000

(Registrant’s Telephone Number, Including Area Code)

Securities registered pursuant to Section 12(b) of the Act:


Title of Each Class	Trading Symbol(s)	Name of Each Exchange on Which Registered
Common Stock, par value $0.001 per share	PNNT	The Nasdaq Stock Market LLC
5.50% Notes due 2024	PNNTG	The Nasdaq Stock Market LLC

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☐ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

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. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

The number of shares of the registrant’s common stock, $0.001 par value per share, outstanding as of August 4, 2021 was 67,045,105.

PENNANTPARK INVESTMENT CORPORATION

FORM 10-Q FOR THE QUARTER ENDED JUNE 30, 2021

TABLE OF CONTENTS


PART I. CONSOLIDATED FINANCIAL INFORMATION

Item 1. Consolidated Financial Statements

Consolidated Statements of Assets and Liabilities as of June 30, 2021 (unaudited) and September 30, 2020		4

Consolidated Statements of Operations for the three and nine months ended June 30, 2021 and 2020 (unaudited)		5

Consolidated Statements of Changes in Net Assets for the three and nine months ended June 30, 2021 and 2020 (unaudited)		6

Consolidated Statements of Cash Flows for the nine months ended June 30, 2021 and 2020 (unaudited)		7

Consolidated Schedules of Investments as of June 30, 2021 (unaudited) and September 30, 2020		8

Notes to Consolidated Financial Statements (unaudited)		16

Report of Independent Registered Public Accounting Firm		30

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations		31

Item 3. Quantitative and Qualitative Disclosures About Market Risk		42

Item 4. Controls and Procedures		43

PART II. OTHER INFORMATION

Item 1. Legal Proceedings		44

Item 1A. Risk Factors		44

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds		44

Item 3. Defaults Upon Senior Securities		45

Item 4. Mine Safety Disclosures		45

Item 5. Other Information		45

Item 6. Exhibits		46

SIGNATURES		47

PART I—CONSOLIDATED FINANCIAL INFORMATION

We are filing this Quarterly Report on Form 10-Q, or the Report, in compliance with Rule 13a-13 as promulgated by the Securities and Exchange Commission, or the SEC, under the Securities Exchange Act of 1934, as amended, or the Exchange Act. In this Report, except where context suggest otherwise, the terms “Company,” “we,” “our” or “us” refers to PennantPark Investment Corporation and its consolidated subsidiaries; “PennantPark Investment” refers to only PennantPark Investment Corporation; “our SBIC Fund” refers collectively to our consolidated subsidiaries, PennantPark SBIC II LP, or SBIC II, and its general partner, PennantPark SBIC GP II, LLC; “Funding I” refers to PennantPark Investment Funding I, LLC, a wholly-owned subsidiary prior to deconsolidation on July 31, 2020; “Taxable Subsidiaries” refers to PNNT CI (Galls) Prime Investment Holdings, LLC, and PNNT Investment Holdings, LLC; “PSLF” refers to PennantPark Senior Loan Fund, LLC, an unconsolidated joint venture; “PennantPark Investment Advisers” or “Investment Adviser” refers to PennantPark Investment Advisers, LLC; “PennantPark Investment Administration” or “Administrator” refers to PennantPark Investment Administration, LLC; “SBA” refers to the Small Business Administration; “SBIC” refers to a small business investment company under the Small Business Investment Act of 1958, as amended, or the “1958 Act”; “BNP Credit Facility” refers to our revolving credit facility with BNP Paribas prior to deconsolidation of Funding I; “Truist Credit Facility” refers to our multi-currency, senior secured revolving credit facility with Truist Bank (formerly SunTrust Bank), as amended and restated; “Credit Facilities” refers to the BNP Credit Facility and the Truist Credit Facility collectively; “2024 Notes” refers to our 5.50% Notes due 2024; “2026 Notes” refers to our 4.50% Notes due 2026; “BDC” refers to a business development company under the Investment Company Act of 1940, as amended, or the “1940 Act”; “SBCAA” refers to the Small Business Credit Availability Act; “Code” refers to the Internal Revenue Code of 1986, as amended; and “RIC” refers to a regulated investment company under the Code. References to our portfolio, our investments and our business include investments we make through SBIC II and other consolidated subsidiaries.

Item 1.

Consolidated Financial Statements

PENNANTPARK INVESTMENT CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF ASSETS AND LIABILITIES

	June 30, 2021			September 30, 2020
	(unaudited)
Assets
Investments at fair value
Non-controlled, non-affiliated investments (cost—$634,123,304 and $713,683,209, respectively)	$	719,327,212		$	735,674,666
Non-controlled, affiliated investments (cost—$77,628,920 and $77,628,920, respectively)		48,882,776			27,753,893
Controlled, affiliated investments (cost—$409,894,837 and $374,260,162, respectively)		379,988,526			318,342,859
Total investments (cost—$1,121,647,060 and $1,165,572,291, respectively)		1,148,198,514			1,081,771,418
Cash and cash equivalents (cost—$14,207,092 and $25,801,087, respectively)		14,212,253			25,806,002
Interest receivable		4,881,211			5,005,715
Distribution receivable		1,694,000			1,393,716
Prepaid expenses and other assets		—			376,030
Total assets		1,168,985,978			1,114,352,881
Liabilities
Distributions payable		8,045,413			8,045,413
Payable for investments purchased		3,017,500			5,461,508
Truist Credit Facility payable, at fair value (cost—$214,544,900 and $388,252,000, respectively) (See Notes 5 and 10)		213,489,240			368,701,972
2024 Notes payable, net (par—$86,250,000) (See Notes 5 and 10)		84,336,685			83,837,560
2026 Notes payable, net (par—$150,000,000) (See Notes 5 and 10)		145,639,797			—
SBA debentures payable, net (par—$63,500,000 and $118,500,000, respectively) (See Notes 5 and 10)		62,110,290			115,772,677
Base management fee payable, net (See Note 3)		4,357,898			4,369,637
Interest payable on debt		3,765,084			2,022,614
Accrued other expenses		1,142,576			432,648
Total liabilities		525,904,483			588,644,029
Commitments and contingencies (See Note 11)
Net assets
Common stock, 67,045,105 shares issued and outstanding Par value $0.001 per share and 100,000,000 shares authorized		67,045			67,045
Paid-in capital in excess of par value		787,625,031			787,625,031
Accumulated distributable net loss		(144,610,581	)		(261,983,224	)
Total net assets	$	643,081,495		$	525,708,852
Total liabilities and net assets	$	1,168,985,978		$	1,114,352,881
Net asset value per share	$	9.59		$	7.84

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

PENNANTPARK INVESTMENT CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

	Three Months Ended June 30,						Nine Months Ended June 30,
	2021			2020			2021			2020
Investment income:
From non-controlled, non-affiliated investments:
Interest	$	11,972,559		$	20,118,883		$	35,073,841		$	63,252,326
Payment-in-kind		2,095,094			2,099,536			5,565,833			5,962,936
Other income		474,749			1,165,825			979,816			2,107,027
From non-controlled, affiliated investments:
Payment-in-kind		—			—			456,998			—
From controlled, affiliated investments:
Interest		2,278,866			588,818			6,732,901			1,793,442
Payment-in-kind		1,977,974			1,434,567			4,982,468			5,830,555
Dividend income		1,694,000			—			4,667,000			—
Total investment income		20,493,242			25,407,629			58,458,857			78,946,286
Expenses:
Base management fee (See Note 3)		4,357,897			4,643,273			12,754,455			14,266,402
Performance-based incentive fee (See Note 3)		—			1,921,984			—			4,579,657
Interest and expenses on debt (See Note 10)		6,941,877			8,316,571			16,835,861			26,145,154
Administrative services expenses (See Note 3)		380,020			521,520			1,390,060			1,564,560
Other general and administrative expenses		518,480			643,480			1,805,443			1,936,322
Expenses before performance-based incentive fee waiver and provision for taxes		12,198,274			16,046,828			32,785,819			48,492,095
Performance-based incentive fee waiver (See Note 3)		—			(1,921,984	)		—			(1,921,984	)
Provision for taxes		150,000			300,000			450,000			900,000
Net expenses		12,348,274			14,424,844			33,235,819			47,470,111
Net investment income		8,144,968			10,982,785			25,223,038			31,476,175
Realized and unrealized gain (loss) on investments and debt:
Net realized gain (loss) on investments on:
Non-controlled, non-affiliated investments		41,687,247			(109,739	)		44,137,637			(10,719,114	)
Non-controlled and controlled, affiliated investments		—			—			(19,708,359	)		—
Net realized gain (loss) on investments		41,687,247			(109,739	)		24,429,278			(10,719,114	)
Net change in unrealized appreciation (depreciation) on:
Non-controlled, non-affiliated investments		(41,842,629	)		11,319,274			45,769,638			(12,334,358	)
Non-controlled and controlled, affiliated investments		25,512,201			18,495,283			64,581,297			(55,200,078	)
Debt (appreciation) depreciation (See Notes 5 and 10)		(1,621,774	)		(25,073,673	)		(18,494,368	)		21,301,111
Net change in unrealized appreciation (depreciation) on investments and debt		(17,952,202	)		4,740,884			91,856,567			(46,233,325	)
Net realized and unrealized gain (loss) from investments and debt		23,735,045			4,631,145			116,285,845			(56,952,439	)
Net increase (decrease) in net assets resulting from operations		31,880,013			15,613,930		$	141,508,883		$	(25,476,264	)
Net increase (decrease) in net assets resulting from operations per common share (See Note 7)	$	0.48		$	0.23		$	2.11		$	(0.38	)
Net investment income per common share	$	0.12		$	0.16		$	0.38		$	0.47

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

PENNANTPARK INVESTMENT CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CHANGES IN NET ASSETS

(Unaudited)

	Three Months Ended June 30,						Nine Months Ended June 30,
	2021			2020			2021			2020
Net increase (decrease) in net assets resulting from operations:
Net investment income	$	8,144,968		$	10,982,785		$	25,223,038		$	31,476,175
Net realized gain (loss) on investments		41,687,247			(109,739	)		24,429,278			(10,719,114	)
Net change in unrealized appreciation (depreciation) on investments		(16,330,428	)		29,814,557			110,350,935			(67,534,436	)
Net change in unrealized (appreciation) depreciation on debt		(1,621,774	)		(25,073,673	)		(18,494,368	)		21,301,111
Net increase (decrease) in net assets resulting from operations		31,880,013			15,613,930			141,508,883			(25,476,264	)
Distributions to stockholders		(8,045,413	)		(8,045,413	)		(24,136,240	)		(32,181,650	)
Net increase (decrease) in net assets		23,834,600			7,568,517			117,372,643			(57,657,914	)
Net assets:
Beginning of period		619,246,895			516,679,237			525,708,852			581,905,668
End of period	$	643,081,495		$	524,247,754		$	643,081,495		$	524,247,754

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

PENNANTPARK INVESTMENT CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

	Nine Months Ended June 30,
	2021			2020
Cash flows from operating activities:
Net increase (decrease) in net assets resulting from operations	$	141,508,883		$	(25,476,264	)
Adjustments to reconcile net increase (decrease) in net assets resulting from operations to net cash provided by (used in) operating activities:
Net change in net unrealized (appreciation) depreciation on investments		(110,350,935	)		67,534,436
Net change in unrealized appreciation (depreciation) on debt		18,494,368			(21,301,111	)
Net realized (gain) loss on investments		(24,429,278	)		10,719,114
Net accretion of discount and amortization of premium		(2,919,367	)		(2,184,545	)
Purchases of investments		(276,375,611	)		(292,216,763	)
Payment-in-kind income		(11,048,827	)		(11,825,750	)
Proceeds from dispositions of investments		358,632,487			114,085,199
Amortization of deferred financing costs		2,012,037			1,302,122
Decrease in interest receivable		124,503			995,645
Increase in distribution receivable		(300,284	)		—
Decrease (Increase) in prepaid expenses and other assets		376,030			(437,143	)
Increase in payable for investments purchased		(2,444,008	)		—
Increase in interest payable on debt		1,742,470			2,770,690
(Decrease) increase in base management fee payable, net		(11,739	)		1,793
Increase (decrease) in accrued other expenses		709,928			(71,729	)
Net cash provided by (used in) operating activities		95,720,657			(156,104,306	)
Cash flows from financing activities:
Distributions paid to stockholders		(24,136,238	)		(36,204,356	)
Proceeds from 2024 Notes issuance		—			10,912,500
Proceeds from 2026 Notes issuance		145,464,500			—
Repayments under SBA debentures		(55,000,000	)		(16,500,000	)
Borrowings under BNP Credit Facility		—			90,000,000
Repayments under BNP Credit Facility		—			(16,000,000	)
Borrowings under Truist Credit Facility		148,311,500			304,000,000
Repayments under Truist Credit Facility		(322,018,601	)		(188,000,000	)
Net cash (used in) provided by financing activities		(107,378,839	)		148,208,144
Net increase (decrease) in cash equivalents		(11,658,182	)		(7,896,162	)
Effect of exchange rate changes on cash		64,433			(55,030	)
Cash and cash equivalents, beginning of period		25,806,002			59,516,236
Cash and cash equivalents, end of period	$	14,212,253		$	51,565,044
Supplemental disclosure of cash flow information:
Interest paid	$	13,081,354		$	22,072,342
Taxes paid	$	658,317		$	805,976
Non-cash exchanges and conversions	$	16,515,842		$	91,204,799

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

PENNANTPARK INVESTMENT CORPORATION AND SUBSIDIARIES

CONSOLIDATED SCHEDULE OF INVESTMENTS

JUNE 30, 2021

(Unaudited)

Issuer Name	Maturity / Expiration	Industry	Current Coupon			Basis Point Spread Above Index ⁽⁴⁾		Par / Shares		Cost		Fair Value ⁽³⁾
Investments in Non-Controlled, Non-Affiliated Portfolio Companies—98.6% ^{(1), (2)}
First Lien Secured Debt—67.1%
18 Freemont Street Acquisition, LLC	08/11/2025	Hotels, Motels, Inns and Gaming		9.50	%	1M L+800			8,281,547	$	7,559,230	$	8,447,178
Ad.net Acquisition, LLC	05/06/2026	Media		7.00	%	3M L+600			6,666,667		6,568,578		6,566,667
Ad.net Acquisition, LLC (Revolver)	05/06/2026	Media		7.00	%	3M L+600			94,444		94,444		93,028
Ad.net Acquisition, LLC (Revolver) ⁽⁷⁾	05/06/2026	Media		—			—		461,111		—		(6,917	)
Altamira Technologies, LLC (Revolver)	07/24/2025	Aerospace and Defense		8.00	%	3M L+700			50,000		50,000		47,250
Altamira Technologies, LLC (Revolver) ⁽⁷⁾	07/24/2025	Aerospace and Defense		—			—		137,500		—		(7,562	)
American Insulated Glass, LLC	12/21/2023	Building Materials		6.50	%	3M L+550			15,835,726		15,662,946		15,677,369
Apex Service Partners, LLC	07/31/2025	Personal, Food and Miscellaneous Services		6.25	%	1M L+525			1,335,239		1,335,239		1,335,239
Applied Technical Services, LLC ⁽⁷⁾	06/29/2022	Environmental Services		—			—		2,500,000		—		(9,375	)
Applied Technical Services, LLC (Revolver) ⁽⁷⁾	12/29/2026	Environmental Services		—			—		1,000,000		—		(15,000	)
Bottom Line Systems, LLC	02/13/2023	Healthcare, Education and Childcare		6.25	%	1M L+550			6,153,097		6,122,942		6,153,097
Broder Bros., Co.	12/02/2022	Consumer Products		9.75	%	3M L+850			25,476,418		25,477,026		24,712,126
Compex Legal Services, Inc.	02/09/2026	Business Services		6.75	%	3M L+575			3,578,714		3,520,673		3,474,573
Compex Legal Services, Inc. (Revolver)	02/07/2025	Business Services		6.75	%	3M L+575			458,962		458,962		445,606
Compex Legal Services, Inc. (Revolver) ⁽⁷⁾	02/07/2025	Business Services		—			—		196,698		—		(5,724	)
Crash Champions, LLC	08/05/2025	Auto Sector		6.25	%	3M L+525			2,800,000		2,773,287		2,730,000
Crash Champions, LLC (Revolver) ⁽⁷⁾	05/14/2022	Auto Sector		—			—		3,200,000		—		(48,000	)
Datalot Inc. (Revolver) ⁽⁷⁾	01/24/2025	Insurance		—			—		1,788,165		—		—
DermaRite Industries LLC	03/03/2022	Manufacturing / Basic Industries		8.00	%	1M L+700			8,433,635		8,410,936		8,433,635
DRS Holdings III, Inc.	11/03/2025	Consumer Products		7.25	%	3M L+625			10,000,000		9,900,538		9,950,000
DRS Holdings III, Inc. (Revolver) ⁽⁷⁾	11/03/2025	Consumer Products		—			—		1,782,555		—		(8,913	)
ECL Entertainment, LLC	03/31/2028	Hotels, Motels, Inns and Gaming		8.25	%	1M L+750			8,769,231		8,683,050		8,944,615
ECM Industries, LLC (Revolver) ⁽⁷⁾	12/23/2025	Electronics		—			—		517,594		—		(2,588	)
Gantech Acquisition Corp.	05/14/2026	Business Services		7.25	%	1M L+625			20,000,000		19,606,416		19,600,000
Gantech Acquisition Corp. (Revolver) ⁽⁷⁾	05/14/2026	Business Services		—			—		1,991,084		—		(39,822	)
Hancock Roofing and Construction L.L.C.⁽⁷⁾	12/31/2022	Insurance		—			—		1,500,000		—		(15,000	)
Hancock Roofing and Construction L.L.C. (Revolver) ⁽⁷⁾	12/31/2026	Insurance		—			—		750,000		—		(7,500	)
HW Holdco, LLC	12/10/2024	Media		5.50	%	3M L+450			2,547,581		2,531,061		2,509,367
HW Holdco, LLC (Revolver)	12/10/2024	Media		5.50	%	3M L+450			2,167,742		2,167,742		2,135,226
HW Holdco, LLC (Revolver) ⁽⁷⁾	12/10/2024	Media		—			—		1,219,355		—		(18,290	)
Impact Group, LLC	06/27/2023	Personal, Food and Miscellaneous Services		8.37	%	1M L+737			19,514,976		19,458,342		19,563,764
IMIA Holdings, Inc.	04/09/2027	Aerospace and Defense		7.00	%	3M L+600			13,623,288		13,362,534		13,350,822
IMIA Holdings, Inc. (Revolver) ⁽⁷⁾	04/09/2027	Aerospace and Defense		—			—		1,673,705		—		(33,474	)
Integrity Marketing Acquisition, LLC	08/27/2025	Insurance		6.50	%	3M L+550			16,541,605		16,436,870		16,293,481
Juniper Landscaping of Florida, LLC	12/22/2021	Personal, Food and Miscellaneous Services		6.50	%	1M L+550			2,695,203		2,686,815		2,695,203
K2 Pure Solutions NoCal, L.P.	12/20/2023	Chemicals, Plastics and Rubber		8.00	%	1M L+700			11,830,000		11,733,297		11,517,688
K2 Pure Solutions NoCal, L.P. (Revolver)	12/20/2023	Chemicals, Plastics and Rubber		8.00	%	1M L+700			872,143		872,143		849,118
K2 Pure Solutions NoCal, L.P. (Revolver) ⁽⁷⁾	12/20/2023	Chemicals, Plastics and Rubber		—			—		1,065,952		—		(28,141	)
LAV Gear Holdings, Inc.	10/31/2024	Leisure, Amusement, Motion Pictures, Entertainment		8.50	%	1M L+750			780,335		775,092		726,804
				(PIK 5.00	%)
Lightspeed Buyer Inc.	02/03/2026	Healthcare, Education and Childcare		6.50	%	1M L+550			1,552,452		1,539,149		1,529,166
Lightspeed Buyer Inc. ⁽⁷⁾	08/03/2021	Healthcare, Education and Childcare		—			—		882,075		—		(4,410	)
Lightspeed Buyer Inc. (Revolver)	02/03/2026	Healthcare, Education and Childcare		6.50	%	1M L+550			388,593		388,593		382,765
Lightspeed Buyer Inc. (Revolver) ⁽⁷⁾	02/03/2026	Healthcare, Education and Childcare		—			—		777,187		—		(11,658	)
Lombart Brothers, Inc.	04/13/2023	Healthcare, Education and Childcare		9.25	%	1M L+825			1,038,371		1,038,371		1,038,371
Lombart Brothers, Inc. (Revolver)	04/13/2023	Healthcare, Education and Childcare		9.25	%	1M L+825			737,293		737,293		737,293
Mars Acquisition Holdings Corp.	5/14/2026	Media		6.50	%	3M L+550			8,000,000		7,842,903		7,840,000
Mars Acquisition Holdings Corp. (Revolver)⁽⁷⁾	5/14/2026	Media		—			—		806,142		—		(16,123	)
MBS Holdings, Inc. (Revolver) ⁽⁷⁾	04/16/2027	Telecommunications		—			—		694,444		—		(13,889	)
MeritDirect, LLC	05/23/2024	Media		6.50	%	3M L+550			2,795,763		2,769,831		2,746,837
MeritDirect, LLC (Revolver) ⁽⁷⁾	05/23/2024	Media		—			—		2,518,345		—		(44,071	)
OIS Management Services, LLC	06/15/2026	Healthcare, Education and Childcare		5.75	%	3M L+475			3,000,000		2,955,000		2,955,000
OIS Management Services, LLC ⁽⁷⁾	06/15/2023	Healthcare, Education and Childcare		—			—		2,333,333		—		—
OIS Management Services, LLC (Revolver) ⁽⁷⁾	06/15/2023	Healthcare, Education and Childcare		—			—		333,333		—		—
One Stop Mailing, LLC	05/07/2027	Cargo Transport		7.25	%	3M L+625			15,000,000		14,701,455		14,737,500
Ox Two, LLC	05/18/2026	Building Materials		7.00	%	1M L+600			15,710,625		15,465,973		15,396,413
Ox Two, LLC (Revolver)⁽⁷⁾	05/18/2026	Building Materials		—			—		2,419,355		—		(48,387	)
PRA Events, Inc.	08/07/2025	Business Services		11.50	%	3M L+1,050			22,998,761		19,745,280		20,583,891
				(PIK 11.50	%)
PRA Events, Inc. (Revolver)	08/07/2025	Business Services		11.50	%	3M L+1,050			2,390,931		2,052,702		2,139,883
				(PIK 11.50	%)
Questex, LLC	09/09/2024	Media		6.75	%	3M L+575			21,881,250		21,620,983		20,349,563
Questex, LLC (Revolver)	09/09/2024	Media		6.75	%	3M L+575			2,154,255		2,154,255		2,003,457
Questex, LLC (Revolver) ⁽⁷⁾	09/09/2024	Media		—			—		1,436,170		—		(100,532	)
Radius Aerospace, Inc. (Revolver) ⁽⁷⁾	03/31/2025	Aerospace and Defense		—			—		2,227,142		—		(62,805	)
Rancho Health MSO, Inc.	12/18/2025	Healthcare, Education and Childcare		6.75	%	3M L+575			3,665,813		3,590,724		3,601,661
Rancho Health MSO, Inc. ⁽⁷⁾	12/18/2022	Healthcare, Education and Childcare		—			—		1,050,000		—		(18,375	)
Rancho Health MSO, Inc. (Revolver)	12/18/2025	Healthcare, Education and Childcare		6.75	%	3M L+575			525,000		525,000		515,812
Recteq, LLC (Revolver) ⁽⁷⁾	01/29/2026	Consumer Products		—			—		1,126,761		—		(11,268	)
Research Horizons, LLC	06/28/2022	Media		7.25	%	1M L+625			27,767,736		27,650,002		27,351,220
Research Now Group, Inc. and Dynata, LLC	12/20/2024	Business Services		6.50	%	3M L+550			2,891,260		2,891,260		2,851,505
Riverpoint Medical, LLC (Revolver) ⁽⁷⁾	06/20/2025	Healthcare, Education and Childcare		—			—		363,636		—		—
Riverside Assessments, LLC	03/10/2025	Education		7.25	%	3M L+625			16,251,968		16,014,542		15,683,150
Sales Benchmark Index LLC (Revolver) ⁽⁷⁾	01/03/2025	Business Services		—			—		731,707		—		(31,098	)
Sargent & Greenleaf Inc. (Revolver)	12/20/2024	Electronics		7.00	%	3M L+550			298,972		298,972		297,477
Sargent & Greenleaf Inc. (Revolver) ⁽⁷⁾	12/20/2024	Electronics		—			—		298,972		—		(1,495	)

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

PENNANTPARK INVESTMENT CORPORATION AND SUBSIDIARIES

CONSOLIDATED SCHEDULE OF INVESTMENTS—(Continued)

JUNE 30, 2021

(Unaudited)

Issuer Name	Maturity / Expiration		Industry	Current Coupon			Basis Point Spread Above Index ⁽⁴⁾		Par / Shares		Cost		Fair Value ⁽³⁾
Schlesinger Global, Inc.	07/14/2025		Business Services		8.00	%	3M L+700			514,739	$	509,764	$	482,568
					(PIK 1.00	%)
Schlesinger Global, Inc. (Revolver)	07/14/2025		Business Services		8.00	%	3M L+700			15,832		15,832		14,843
					(PIK 1.00	%)
Schlesinger Global, Inc. (Revolver)⁽⁷⁾	07/14/2025		Business Services		—			—		22,241		—		(1,390	)
Sigma Defense Systems, LLC	12/18/2025		Telecommunications		9.75	%	3M L+875			6,561,403		6,413,251		6,430,174
Sigma Defense Systems, LLC (Revolver)	12/18/2025		Telecommunications		9.75	%	3M L+875			380,348		380,348		372,741
Sigma Defense Systems, LLC (Revolver) ⁽⁷⁾	12/18/2025		Telecommunications		—			—		570,522		—		(11,410	)
Signature Systems Holding Company - Term Loan II	12/31/2021		Chemicals, Plastics and Rubber		8.50	%	3M L+750			806,452		798,448		790,323
Signature Systems Holding Company (Revolver)	05/03/2024		Chemicals, Plastics and Rubber		8.50	%	3M L+750			1,209,677		1,209,677		1,185,484
Signature Systems Holding Company (Revolver) ⁽⁷⁾	05/03/2024		Chemicals, Plastics and Rubber		—			—		806,452		—		(16,129	)
Solutionreach, Inc. (Revolver) ⁽⁷⁾	01/17/2024		Communications		—			—		1,665,000		—		—
Spear Education, LLC	02/26/2025		Education		6.00	%	3M L+500			14,935,938		14,811,118		14,935,938
Spear Education, LLC ⁽⁷⁾	02/26/2022		Education		—			—		6,875,000		—		—
Spectacle Gary Holdings, LLC	12/23/2025		Hotels, Motels, Inns and Gaming		11.00	%	1M L+900			21,546,000		20,950,185		23,431,275
TAC LifePort Purchaser, LLC (Revolver) ⁽⁷⁾	03/01/2026		Aerospace and Defense		—			—		620,155		—		-
TPC Canada Parent, Inc. and TPC US Parent, LLC ⁽⁸^),(¹¹⁾	11/24/2025		Food		6.25	%	3M L+525			1,775,602		1,775,602		1,722,334
TVC Enterprises, LLC	03/26/2026		Transportation		6.75	%	1M L+575			15,545,143		15,369,968		15,389,692
TVC Enterprises, LLC (Revolver) ⁽⁷⁾	03/26/2026		Transportation		—			—		2,702,152		—		(27,021	)
TWS Acquisition Corporation	06/16/2025		Education		7.25	%	1M L+625			4,136,641		4,136,641		4,136,641
TWS Acquisition Corporation (Revolver) ⁽⁷⁾	06/16/2025		Education		—			—		1,643,571		—		—
Tyto Athene, LLC (Revolver) ⁽⁷⁾	04/01/2026		Aerospace and Defense		—			—		363,610		—		(1,273	)
US Med Acquisition, Inc.	02/13/2023		Healthcare, Education and Childcare		8.50	%	1M L+750			8,034,021		8,034,021		8,034,020
Walker Edison Furniture Company LLC	03/31/2027		Home and Office Furnishings		6.75	%	3M L+575			24,937,500		24,336,404		24,314,062
Wildcat Buyerco, Inc.	02/27/2026		Electronics		6.00	%	3M L+500			1,632,819		1,615,783		1,623,750
Wildcat Buyerco, Inc. ⁽⁷⁾	02/27/2022		Electronics		—			—		2,573,529		—		16,085
Wildcat Buyerco, Inc. (Revolver) ⁽⁷⁾	02/27/2026		Electronics		—			—		551,471		—		(8,658	)
Total First Lien Secured Debt												430,587,493		431,196,452
Second Lien Secured Debt—14.2%
Atlas Purchaser, Inc	05/07/2029		Telecommunications		9.75	%	3M L+900			17,000,000		16,493,629		16,830,000
Data Axle, Inc.	04/03/2024		Other Media		10.25	%	3M L+925			20,400,000		20,204,273		20,400,000
Halo Buyer, Inc.	07/06/2026		Consumer Products		9.25	%	1M L+825			32,500,000		32,096,343		31,118,750
Inventus Power, Inc.	09/29/2024		Electronics		9.50	%	3M L+850			13,500,000		13,245,552		13,230,000
QuantiTech LLC	02/04/2027		Aerospace and Defense		11.00	%	3M L+1,000			150,000		147,133		147,375
VT Topco, Inc.	08/24/2026		Business Services		7.10	%	3M L+700			10,000,000		9,958,354		9,900,000
Total Second Lien Secured Debt												92,145,284		91,626,125
Subordinated Debt/Corporate Notes—8.6%
Blackhawk Industrial Distribution, Inc.	03/17/2025		Distribution		12.00	%		—		14,263,093		14,083,298		14,191,777
					(PIK 2.00	%)
Cascade Environmental LLC	12/30/2023		Environmental Services		13.00	%		—		41,120,269		40,782,553		41,325,870
					(PIK 13.00	%)
Total Subordinated Debt/Corporate Notes												54,865,851		55,517,647
Preferred Equity/Partnership Interests—3.8% ⁽⁶⁾
Ad.net Holdings, Inc.		—	Media		—			—		3,000		300,000		300,000
AH Holdings, Inc.		—	Healthcare, Education and Childcare		6.00	%		—		211		500,000		930,206
Cascade Environmental LLC		—	Environmental Services		16.00	%		—		178,304		17,607,478		20,311,808
Mars Intermediate Holdings II, Inc			Media		—			—		414		414,000		414,000
MeritDirect Holdings, LP ⁽⁹⁾		—	Media		—			—		540		540,000		676,524
NXOF Holdings, Inc. (Tyto Athene, LLC)		—	Aerospace and Defense		—			—		160		159,808		186,532
Signature CR Intermediate Holdco, Inc.		—	Chemicals, Plastics and Rubber		12.00	%		—		1,527		1,527,026		1,358,016
TPC Holding Company, LP ⁽⁸^),(¹¹⁾		—	Food		—			—		219		219,012		255,740
Total Preferred Equity/Partnership Interests												21,267,324		24,432,826
Common Equity/Partnership Interests/Warrants—18.1% ⁽⁶⁾
Ad.net Holdings, Inc.		—	Media		—			—		3,333		33,333		33,333
Affinion Group Holdings, Inc. (Warrants)	04/10/2024		Consumer Products		—			—		77,190		2,126,399		—
AG Investco LP ⁽⁹⁾		—	Business Services		—			—		805,164		805,164		1,157,814
AG Investco LP ^{(7), (9)}		—	Business Services		—			—		194,836		—		—
Altamira Intermediate Company II, Inc.		—	Aerospace and Defense		—			—		125,000		125,000		39,635
ASP LCG Holdings, Inc. (Warrants)	05/05/2026		Education		—			—		933		586,975		845,080
Atlas Investment Aggregator, LLC		—	Telecomunications		—			—		1,700,000		1,700,000		1,717,000
Cascade Environmental LLC ⁽⁹⁾		—	Environmental Services		—			—		33,901		2,852,080		829,200
CI (Allied) Investment Holdings, LLC		—	Business Services		—			—		120,962		1,243,217		419,364
(PRA Events, Inc.) ⁽⁹⁾
CI (Summit) Investment Holdings LLC		—	Buildings and Real Estate		—			—		134,180		1,409,866		2,523,354
(SFP Holdings, Inc.)
Cowboy Parent LLC		—	Distribution		—			—		22,500		2,250,000		1,570,218
(Blackhawk Industrial Distribution, Inc.)
Crash Champion Holdings, LLC		—	Auto Sector		—			—		22		200,000		213,998
Delta InvestCo LP (Sigma Defense Systems, LLC) ⁽⁹⁾		—	Telecommunications		—			—		570,522		570,522		594,427
Delta InvestCo LP (Sigma Defense Systems, LLC) ^{(7), (9)}		—	Telecommunications		—			—		570,522		—		—
ECM Investors, LLC ⁽⁹⁾		—	Electronics		—			—		167,537		167,537		516,652
eCommission Holding Corporation ⁽¹¹⁾		—	Financial Services		—			—		80		1,004,625		692,475
Gauge Lash Coinvest LLC		—	Consumer Products		—			—		889,376		1,053,800		2,136,192
Gauge Schlesinger Coinvest, LLC		—	Business Services		—			—		9		8,896		8,587
Gauge TVC Coinvest, LLC		—	Transportation		—			—		810,645		—		1,758,681
(TVC Enterprises, LLC)
GCOM InvestCo LP		—	Business Services		—			—		1,855		809,488		452,289
GCOM InvestCo LP ⁽⁷⁾		—	Business Services		—			—		965		—		—
Go Dawgs Capital III, LP		—	Building Materials		—			—		675,325		675,325		891,429
(American Insulated Glass, LLC) ⁽⁹⁾
Green Veracity Holdings, LP - Class A		—	Business Services		—			—		15,000		1,500,000		4,892,722
(VT Topco, Inc.)

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

PENNANTPARK INVESTMENT CORPORATION AND SUBSIDIARIES

CONSOLIDATED SCHEDULE OF INVESTMENTS—(Continued)

JUNE 30, 2021

(Unaudited)

Issuer Name	Maturity / Expiration		Industry	Current Coupon			Basis Point Spread Above Index ⁽⁴⁾		Par / Shares		Cost		Fair Value ⁽³⁾
Hancock Claims Consultants Investors, LLC ⁽⁹⁾		—	Insurance		—			—		450,000	$	450,000	$	625,660
Infogroup Parent Holdings, Inc. (Data Axle, Inc.)		—	Other Media		—			—		181,495		2,040,000		2,609,348
Ironclad Holdco, LLC (Applied Technical Services, LLC) ⁽⁹⁾		—	Environmental Services		—			—		3,960		396,000		415,578
ITC Rumba, LLC (Cano Health, LLC) ⁽⁹⁾		—	Healthcare, Education and Childcare		—			—		375,675		—		61,206,426
JWC-WE Holdings, L.P.		—	Home and Office Furnishings		—			—		1,906,433		—		9,462,933
(Walker Edison Furniture Company LLC) ⁽⁹⁾
Kadmon Holdings, Inc. ⁽⁵⁾		—	Healthcare, Education and Childcare		—			—		252,014		2,265,639		975,294
Kentucky Racing Holdco, LLC (Warrants)		—	Hotels, Motels, Inns and Gaming		—			—		161,252		—		960,832
Lariat ecoserv Co-Invest Holdings, LLC ⁽⁹⁾		—	Environmental Services		—			—		363,656		363,656		785,497
Lightspeed Investment Holdco LLC		—	Healthcare, Education and Childcare		—			—		273,143		273,143		309,959
Mars Intermidiate Holdings II, Inc.		—	Media		—			—		414		—		—
MeritDirect Holdings, LP ⁽⁹⁾		—	Media		—			—		540		—		10,082
NEPRT Parent Holdings, LLC (Recteq, LLC) ⁽⁹⁾		—	Consumer Products		—			—		1,299		1,262,432		1,893,428
NXOF Holdings, Inc.		—	Aerospace and Defense		—			—		3,261		3,261		112,559
(Tyto Athene, LLC)
OceanSound Discovery Equity, LP		—	Aerospace and Defense		—			—		98,286		978,695		1,219,574
(Holdco Sands Intermediate, LLC) ⁽⁹⁾
Oral Surgery (ITC) Holdings, LLC		—	Healthcare, Education and Childcare		—			—		2,904		62,500		62,500
QuantiTech InvestCo LP ⁽⁹⁾		—	Aerospace and Defense		—			—		700		65,957		400,551
QuantiTech InvestCo LP ^{(7), (9)}		—	Aerospace and Defense		—			—		967		—		—
QuantiTech InvestCo II LP ⁽⁹⁾		—	Aerospace and Defense		—			—		40		24,000		22,632
RFMG Parent, LP (Rancho Health MSO, Inc.)⁽⁹⁾		—	Healthcare, Education and Childcare		—			—		1,050,000		1,050,000		1,050,000
SBI Holdings Investments LLC		—	Business Services		—			—		36,585		365,854		218,694
(Sales Benchmark Index LLC)
Signature CR Intermediate Holdco, Inc.		—	Chemicals, Plastics and Rubber		—			—		80		80,370		—
SSC Dominion Holdings, LLC		—	Electronics		—			—		1,500		1,500,000		1,749,600
Class A (US Dominion, Inc.)
SSC Dominion Holdings, LLC		—	Electronics		—			—		1,500		—		4,186,635
Class B (US Dominion, Inc.)
TAC LifePort Holdings, LLC ⁽⁹⁾		—	Aerospace and Defense		—			—		232,558		232,558		286,182
TPC Holding Company, LP^{(8). (11)}		—	Food		—			—		11,527		11,529		68,124
U.S. Well Services, Inc. - Class A ^{(5), (11)}		—	Oil and Gas		—			—		1,261,201		3,021,880		1,273,813
UniVista Insurance		—	Business Services		—			—		400		400,000		400,000
Wildcat Parent, LP (Wildcat Buyerco, Inc.)		—	Electronics		—			—		2,314		231,400		388,832
ZS Juniper L.P.		—	Personal, Food and Miscellaneous Services		—			—		1,056		1,056,250		4,566,979
(Juniper Landscaping of Florida, LLC) ⁽⁹⁾
Total Common Equity/Partnership Interests/Warrants												35,257,351		116,554,162
Total Investments in Non-Controlled, Non-Affiliated Portfolio Companies												634,123,303		719,327,212
Investments in Non-Controlled, Affiliated Portfolio Companies—7.6% ^{(1), (2)}
Preferred Equity/Partnership Interests—6.2% ⁽⁶⁾
ETX Energy, LLC⁽⁹⁾		—	Oil and Gas		—			—		61,732		6,173,200		—
MidOcean JF Holdings Corp.		—	Distribution		—			—		153,922		15,392,189		40,127,353
Total Preferred Equity/Partnership Interests												21,565,389		40,127,353
Common Equity/Partnership Interests/Warrants—1.4% ⁽⁶⁾
ETX Energy, LLC ⁽⁹⁾		—	Oil and Gas		—			—		1,658,389		29,711,576		—
ETX Energy Management Company, LLC		—	Oil and Gas		—			—		1,754,104		1,562,020		—
MidOcean JF Holdings Corp.		—	Distribution		—			—		65,933		24,789,935		8,755,423
Total Common Equity/Partnership Interests/Warrants												56,063,531		8,755,423
Total Investments in Non-Controlled, Affiliated Portfolio Companies												77,628,920		48,882,776
Investments in Controlled, Affiliated Portfolio Companies—59.1% ^(1), (2)
First Lien Secured Debt—6.4%
AKW Holdings Limited ^{(8), (10), (11)}	03/13/2024		Healthcare, Education and Childcare		7.50	%	3M L+700		£	30,000,000		41,696,550		41,443,500
Total First Lien Secured Debt												41,696,550		41,443,500

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

PENNANTPARK INVESTMENT CORPORATION AND SUBSIDIARIES

CONSOLIDATED SCHEDULE OF INVESTMENTS—(Continued)

JUNE 30, 2021

(Unaudited)

Issuer Name	Maturity / Expiration		Industry	Current Coupon			Basis Point Spread Above Index ⁽⁴⁾		Par / Shares		Cost		Fair Value ⁽³⁾
Second Lien Secured Debt—10.5%
Mailsouth Inc.	04/23/2025		Printing and Publishing		15.00	%		—		10,687,269	$	10,687,267	$	10,687,268
					(PIK 15.00	%)
PT Network Intermediate Holdings, LLC	11/30/2024		Healthcare, Education and Childcare		11.00	%	3M L+1,000			56,996,697		56,677,904		56,996,697
					(PIK 11.00	%)
Total Second Lien Secured Debt												67,365,171		67,683,965
Subordinated Debt—10.0%
PennantPark Senior Loan Fund, LLC ⁽¹¹⁾	07/31/2027		Financial Services		9.00	%	3M L+800			64,154,570		64,154,571		64,154,571
Total Subordinated Debt												64,154,571		64,154,571
Preferred Equity—2.0% ⁽⁶⁾
CI (PTN) Investment Holdings II, LLC		—	Healthcare, Education and Childcare		—			—		36,450		546,750		—
(PT Network, LLC) ⁽⁹⁾
PT Network Intermediate Holdings, LLC ⁽⁹⁾			Healthcare, Education and Childcare		11.00	%	3M L+1,000			833		10,725,000		13,110,532
Total Preferred Equity												11,271,750		13,110,532
Common Equity—30.1% ⁽⁶⁾
AKW Holdings Limited ^{(8), (10), (11)}		—	Healthcare, Education and Childcare		—			—	£	950		132,497		1,817,756
CI (PTN) Investment Holdings II, LLC		—	Healthcare, Education and Childcare		—			—		333,333		5,000,000		—
(PT Network, LLC) ⁽⁹⁾
MSpark, LLC		—	Printing and Publishing		—			—		51,151		16,515,842		22,444,795
PennantPark Senior Loan Fund, LLC ⁽¹¹⁾		—	Financial Services		—			—		33,830,005		33,892,823		40,937,377
PT Network Intermediate Holdings, LLC ⁽⁹⁾			Healthcare, Education and Childcare		—			—		621		7,157,560		47,087,419
RAM Energy Holdings LLC		—	Energy and Utilities		—			—		180,805		162,708,073		81,308,611
Total Common Equity												225,406,795		193,595,958
Total Investments in Controlled, Affiliated Portfolio Companies												409,894,837		379,988,526
Total Investments—178.5%												1,121,647,058		1,148,198,514
Cash and Cash Equivalents—5.3%
BlackRock Federal FD Institutional 30												11,306,801		11,306,801
BNY Mellon Cash Reserve and Cash												2,900,291		2,905,452
Total Cash and Cash Equivalents												14,207,092		14,212,253
Total Investments and Cash Equivalents—195.3%											$	1,135,854,150	$	1,162,410,767
Liabilities in Excess of Other Assets—(95.3%)														(519,329,272	)
Net Assets—100.0%													$	643,081,495

(1)

The provisions of the 1940 Act classify investments based on the level of control that we maintain in a particular portfolio company. As defined in the 1940 Act, a company is generally presumed to be “non-controlled” when we own 25% or less of the portfolio company’s voting securities and “controlled” when we own more than 25% of the portfolio company’s voting securities (See Note 6).

(2)

The provisions of the 1940 Act classify investments further based on the level of ownership that we maintain in a particular portfolio company. As defined in the 1940 Act, a company is generally deemed as “non-affiliated” when we own less than 5% of a portfolio company’s voting securities and “affiliated” when we own 5% or more of a portfolio company’s voting securities (See Note 6).

(3)	Valued based on our accounting policy (See Note 2).

(4)

Represents floating rate instruments that accrue interest at a predetermined spread relative to an index, typically the applicable London Interbank Offered Rate, or LIBOR or “L,” the Euro Interbank Offered Rate, or EURIBOR or “E,” or Prime rate, or “P.” The spread may change based on the type of rate used. The terms in the Schedule of Investments disclose the actual interest rate in effect as of the reporting period. LIBOR loans are typically indexed to a 30-day, 90-day or 180-day LIBOR rate (1M L, 3M L, or 6M L, respectively), and EURIBOR loans are typically indexed to a 90-day EURIBOR rate (3M E), at the borrower’s option. All securities are subject to a LIBOR or Prime rate floor where a spread is provided, unless noted. The spread provided includes payment-in-kind, or PIK, interest and other fee rates, if any.

(5)	The security was not valued using significant unobservable inputs. The value of all other securities was determined using significant unobservable inputs (See Note 5).

(6)	Non-income producing securities.

(7)	Represents the purchase of a security with delayed settlement or a revolving line of credit that is currently an unfunded investment. This security does not earn a basis point spread above an index while it is unfunded.

(8)	Non-U.S. company or principal place of business outside the United States.

(9)	Investment is held through our Taxable Subsidiaries (See Note 1).

(10)	Par / Shares amount is denominated in British Pounds (£) as denoted.

(11)

The investment is treated as a non-qualifying asset under Section 55(a) of the 1940 Act. Under the 1940 Act, we may not acquire any non-qualifying asset unless, at the time the acquisition is made, qualifying assets represent at least 70% of our total assets. As of June 30, 2021, qualifying assets represent 87% of the Company’s total assets and non-qualifying assets represent 13% of the Company’s total assets.

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

PENNANTPARK INVESTMENT CORPORATION AND SUBSIDIARIES

CONSOLIDATED SCHEDULE OF INVESTMENTS

SEPTEMBER 30, 2020

Issuer Name	Maturity / Expiration	Industry	Current Coupon				Basis Point Spread Above Index ⁽⁴⁾		Par / Shares		Cost		Fair Value ⁽³⁾
Investments in Non-Controlled, Non-Affiliated Portfolio Companies—139.9% ^{(1), (2)}
First Lien Secured Debt—76.5%
18 Freemont Street Acquisition, LLC	08/11/2025	Hotels, Motels, Inns and Gaming		9.50	%		1M L+800			8,302,303	$	7,543,090	$	7,887,188
Altamira Technologies, LLC (Revolver)	07/24/2025	Aerospace and Defense		7.00	%		3M L+600			125,000		125,000		120,625
Altamira Technologies, LLC (Revolver) ⁽⁷⁾	07/24/2025	Aerospace and Defense		—				—		62,500		—		(2,188	)
American Insulated Glass, LLC	12/21/2023	Building Materials		6.50	%		3M L+550			15,957,113		15,736,757		15,637,971
Apex Service Partners, LLC	07/31/2025	Personal, Food and Miscellaneous Services		6.25	%		1M L+525			178,844		178,844		173,479
Apex Service Partners, LLC ⁽⁷⁾	07/31/2021	Personal, Food and Miscellaneous Services		—				—		1,165,420		—		(34,963	)
Bottom Line Systems, LLC	02/13/2023	Healthcare, Education and Childcare		6.25	%		1M L+550			6,722,525		6,674,529		6,580,680
Broder Bros., Co.	12/02/2022	Consumer Products		9.75	%		3M L+850			25,907,420		25,907,420		23,510,984
Compex Legal Services, Inc.	02/09/2026	Business Services		6.75	%		3M L+575			3,605,894		3,539,582		3,539,906
Compex Legal Services, Inc. ⁽⁷⁾	02/08/2021	Business Services		—				—		1,549,743		—		(12,863	)
Compex Legal Services, Inc. (Revolver)	02/07/2025	Business Services		6.75	%		3M L+575			458,962		458,962		450,563
Compex Legal Services, Inc. (Revolver) ⁽⁷⁾	02/07/2025	Business Services		—				—		196,698		—		(3,600	)
Datalot Inc. (Revolver)	01/24/2025	Insurance		6.25	%		3M L+525			1,788,165		1,788,165		1,790,310
DermaRite Industries LLC	03/03/2022	Manufacturing / Basic Industries		8.00	%		1M L+700			8,975,884		8,924,948		8,975,884
DRS Holdings III, Inc. (Revolver) ⁽⁷⁾	11/03/2025	Consumer Products		—				—		1,528,102		—		(27,964	)
ECM Industries, LLC (Revolver)	12/23/2025	Electronics		5.50	%		1M L+450			517,594		517,594		510,761
HW Holdco, LLC	12/10/2024	Media		5.50	%		3M L+450			2,567,177		2,547,350		2,490,162
HW Holdco, LLC (Revolver) ⁽⁷⁾	12/10/2024	Media		—				—		3,387,097		—		(101,613	)
IMIA Holdings, Inc.	10/26/2025	Aerospace and Defense		7.00	%		3M L+600			5,572,968		5,461,508		5,517,238
Impact Group, LLC	06/27/2023	Personal, Food and Miscellaneous Services		8.37	%		1M L+737			19,888,478		19,811,644		19,987,920
Integrity Marketing Acquisition, LLC	08/27/2025	Insurance		6.50	%		3M L+550			23,574,241		23,403,071		23,338,498
Integrity Marketing Acquisition, LLC ⁽⁷⁾	07/15/2021	Insurance		—				—		592,800		—		(1,482	)
Juniper Landscaping of Florida, LLC	12/22/2021	Personal, Food and Miscellaneous Services		9.50	%		1M L+850			13,516,275		13,430,024		13,516,275
K2 Pure Solutions NoCal, L.P.	12/20/2023	Chemicals, Plastics and Rubber		8.00	%		1M L+700			11,921,000		11,797,407		11,658,738
K2 Pure Solutions NoCal, L.P. (Revolver)	12/20/2023	Chemicals, Plastics and Rubber		8.00	%		1M L+700			1,453,571		1,453,571		1,421,593
K2 Pure Solutions NoCal, L.P. (Revolver) ⁽⁷⁾	12/20/2023	Chemicals, Plastics and Rubber		—				—		484,524		—		(10,660	)
Kentucky Downs, LLC ⁽⁷⁾	03/07/2025	Hotels, Motels, Inns and Gaming		—				—		827,586		—		(12,414	)
LAV Gear Holdings, Inc.	10/31/2024	Leisure, Amusement, Motion Pictures, Entertainment		8.50	%		1M L+750			751,480		744,986		692,188
				(PIK 5.00	%)
Lightspeed Buyer Inc.	02/03/2026	Healthcare, Education and Childcare		6.25	%		1M L+525			1,564,213		1,548,989		1,544,661
Lightspeed Buyer Inc. ⁽⁷⁾	08/03/2021	Healthcare, Education and Childcare		—				—		882,075		—		(2,205	)
Lightspeed Buyer Inc. (Revolver)	02/03/2026	Healthcare, Education and Childcare		6.75	%		1M L+575			1,165,780		1,165,780		1,151,208
Lombart Brothers, Inc. (Revolver)	04/13/2023	Healthcare, Education and Childcare		7.25	%		1M L+625			1,769,912		1,769,912		1,661,947
MeritDirect, LLC	05/23/2024	Media		6.50	%		3M L+550			2,901,820		2,868,498		2,763,983
MeritDirect, LLC (Revolver) ⁽⁷⁾	05/23/2024	Media		—				—		2,518,345		—		(119,621	)
Ox Two, LLC	02/27/2023	Building Materials		7.25	%		1M L+625			21,352,147		21,112,545		21,245,386
Ox Two, LLC (Revolver)	02/27/2023	Building Materials		7.25	%		1M L+625			488,000		488,000		485,560
Ox Two, LLC (Revolver) ⁽⁷⁾	02/27/2023	Building Materials		—				—		2,012,000		—		(10,060	)
Peninsula Pacific Entertainment LLC	11/13/2024	Hotels, Motels, Inns and Gaming		7.40	%		3M L+725			11,437,714		11,219,222		10,637,074
PRA Events, Inc.	08/08/2022	Business Services		—		⁽⁶⁾		—		19,180,820		18,839,885		16,150,251
PRA Events, Inc. (Revolver)	08/08/2022	Business Services		—		⁽⁶⁾		—		2,000,000		2,000,000		1,684,000
Provation Medical, Inc.	03/11/2024	Electronics		7.15	%		3M L+700			26,527,500		26,094,813		26,179,990
Questex, LLC	09/09/2024	Media		6.75	%		3M L+575			22,050,000		21,733,659		20,286,000
Questex, LLC (Revolver)	09/09/2024	Media		6.75	%		3M L+575			1,795,213		1,795,213		1,651,596
Questex, LLC (Revolver) ⁽⁷⁾	09/09/2024	Media		—				—		1,795,213		—		(143,617	)
Radius Aerospace, Inc. (Revolver)	03/31/2025	Aerospace and Defense		6.75	%		3M L+575			1,336,285		1,336,285		1,298,602
Radius Aerospace, Inc. (Revolver) ⁽⁷⁾	03/31/2025	Aerospace and Defense		—				—		890,857		—		(25,122	)
Research Horizons, LLC	06/28/2022	Media		7.25	%		1M L+625			29,546,453		29,334,375		28,364,595
Research Now Group, Inc. and Survey Sampling International LLC	12/20/2024	Business Services		6.50	%		3M L+550			2,913,731		2,913,731		2,752,019
Riverpoint Medical, LLC (Revolver) ⁽⁷⁾	06/20/2025	Healthcare, Education and Childcare		—				—		363,636		—		(12,764	)
Riverside Assessments, LLC	03/10/2025	Education		6.75	%		3M L+575			15,671,250		15,389,332		14,848,509
Sargent & Greenleaf Inc. (Revolver) ⁽⁷⁾	12/20/2024	Electronics		—				—		597,943		—		(10,763	)
Sales Benchmark Index LLC ⁽⁷⁾	07/07/2021	Business Services		—				—		1,829,268		—		(43,902	)
Sales Benchmark Index LLC (Revolver) ⁽⁷⁾	01/03/2025	Business Services		—				—		731,707		—		(17,561	)
Schlesinger Global, Inc.	07/14/2025	Business Services		7.00	%		3M L+600			516,273		510,389		478,844
Schlesinger Global, Inc. (Revolver)	07/14/2025	Business Services		7.00	%		3M L+600			15,759		15,759		14,617
Schlesinger Global, Inc. (Revolver) ⁽⁷⁾	07/14/2025	Business Services		—				—		22,281		—		(1,615	)
Signature Systems Holding Company (Revolver)	05/03/2024	Chemicals, Plastics and Rubber		7.50	%		3M L+650			1,129,032		1,129,032		1,092,339
Signature Systems Holding Company (Revolver)⁽⁷⁾	05/03/2024	Chemicals, Plastics and Rubber		—				—		887,097		—		(28,831	)
Solutionreach, Inc. (Revolver)	01/17/2024	Communications		6.75	%		3M L+575			1,248,750		1,248,750		1,235,014
Solutionreach, Inc. (Revolver) ⁽⁷⁾	01/17/2024	Communications		—				—		416,250		—		(4,579	)
Spear Education, LLC	02/26/2025	Education		6.50	%		3M L+500			15,049,375		14,906,170		14,673,140
Spear Education, LLC ⁽⁷⁾	02/26/2022	Education		—				—		6,875,000		—		(171,875	)

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

PENNANTPARK INVESTMENT CORPORATION AND SUBSIDIARIES

CONSOLIDATED SCHEDULE OF INVESTMENTS – (Continued)

SEPTEMBER 30, 2020

Issuer Name	Maturity / Expiration		Industry	Current Coupon				Basis Point Spread Above Index ⁽⁴⁾		Par / Shares		Cost		Fair Value ⁽³⁾
Spectacle Gary Holdings, LLC	12/23/2025		Hotels, Motels, Inns and Gaming		11.00	%		1M L+900			20,478,378	$	19,804,843	$	19,864,027
Spectacle Gary Holdings, LLC ⁽⁷⁾	12/23/2025		Hotels, Motels, Inns and Gaming		—				—		1,121,622		—		(33,649	)
TPC Canada Parent, Inc. and TPC US Parent, LLC ⁽⁸^),(¹¹⁾	11/24/2025		Food		6.25	%		3M L+525			1,789,156		1,789,156		1,735,482
TVC Enterprises, LLC	01/18/2024		Transportation		6.50	%		1M L+550			17,660,607		17,410,805		17,528,153
TVC Enterprises, LLC (Revolver) ⁽⁷⁾	01/18/2024		Transportation		—				—		2,702,151		—		(20,267	)
TWS Acquisition Corporation (Revolver)	06/16/2025		Education		7.25	%		1M L+625			1,137,857		1,137,857		1,115,100
TWS Acquisition Corporation (Revolver) ⁽⁷⁾	06/16/2025		Education		—				—		505,714		—		(10,114	)
Tyto Athene, LLC	08/27/2024		Aerospace and Defense		6.25	%		1M L+525			6,027,680		5,998,741		6,008,392
US Med Acquisition, Inc.	08/13/2021		Healthcare, Education and Childcare		9.00	%		1M L+800			8,301,563		8,301,563		8,218,547
Walker Edison Furniture Company LLC	09/26/2024		Home and Office Furnishings		7.25	%		3M L+625			21,515,625		21,203,376		21,515,625
Wildcat Buyerco, Inc.	02/27/2026		Electronics		6.50	%		3M L+550			9,145,221		8,970,259		9,053,770
Wildcat Buyerco, Inc. ⁽⁷⁾	02/27/2022		Electronics		—				—		2,573,529		—		3,217
Wildcat Buyerco, Inc. (Revolver) ⁽⁷⁾	02/27/2026		Electronics		—				—		551,471		—		(10,037	)
Total First Lien Secured Debt													412,081,391		402,168,282
Second Lien Secured Debt—32.0%
Confie Seguros Holding Co.	10/31/2025		Insurance		8.66	%		3M L+850			14,500,000		14,281,633		13,920,000
DecoPac, Inc.	03/31/2025		Beverage, Food and Tobacco		9.25	%		3M L+825			19,627,143		19,382,758		19,627,143
Halo Buyer, Inc.	07/06/2026		Consumer Products		9.25	%		1M L+825			32,500,000		32,062,567		31,460,000
Infogroup, Inc.	04/03/2024		Other Media		10.25	%		3M L+925			20,400,000		20,157,649		20,145,000
MailSouth, Inc.	10/23/2024		Printing and Publishing		—		⁽⁶⁾		—		36,828,975		36,224,201		18,782,777
MBS Holdings, Inc.	01/02/2024		Telecommunications		9.59	%		1M L+850			19,623,649		19,359,314		19,329,294
VT Topco, Inc.	08/24/2026		Business Services		7.15	%		3M L+700			10,000,000		9,956,408		9,800,000
Winter Park Intermediate, Inc.	04/06/2026		Auto Sector		8.65	%		1M L+850			35,300,000		34,816,687		35,300,000
Total Second Lien Secured Debt													186,241,217		168,364,214
Subordinated Debt/Corporate Notes—9.6%
Blackhawk Industrial Distribution, Inc.	03/17/2025		Distribution		12.00	%			—		14,051,843		13,842,572		13,665,417
					(PIK 2.00	%)
Cascade Environmental LLC	12/30/2023		Environmental Services		13.00	%			—		37,371,131		36,938,019		36,903,992
					(PIK 13.00	%)
Total Subordinated Debt/Corporate Notes													50,780,591		50,569,409
Preferred Equity/Partnership Interests—4.1% ⁽⁶⁾
AH Holdings, Inc.		—	Healthcare, Education and Childcare		6.00	%			—		211		500,000		167,083
Cascade Environmental LLC		—	Environmental Services		16.00	%					178,304		17,607,478		17,652,053
Condor Holdings Limited ^{(8), (11)}		—	Business Services		—				—		556,000		64,277		71,233
Condor Top Holdco Limited ^{(8), (11)}		—	Business Services		—				—		556,000		491,723		1,308,363
MeritDirect Holdings, LP ⁽⁹⁾		—	Media		—				—		540		540,000		357,199
NXOF Holdings, Inc. (Tyto Athene, LLC)		—	Aerospace and Defense		—				—		107		106,823		129,098
Signature CR Intermediate Holdco, Inc.		—	Chemicals, Plastics and Rubber		12.00	%			—		1,347		1,346,530		1,409,711
TPC Holding Company, LP ⁽⁸^),(¹¹⁾		—	Food		—				—		219		219,010		237,288
Total Preferred Equity/Partnership Interests													20,875,841		21,332,028
Common Equity/Partnership Interests/Warrants—17.7% ⁽⁶⁾
Affinion Group Holdings, Inc. (Warrants)	04/10/2024		Consumer Products		—				—		77,190		2,126,399		—
AG Investco LP ⁽⁹⁾		—	Business Services		—				—		805,164		805,164		1,002,599
AG Investco LP ^{(7), (9)}		—	Business Services		—				—		194,836		—		—
AH Holdings, Inc. (Warrants)	03/23/2021		Healthcare, Education and Childcare		—				—		753		—		—
Altamira Intermediate Company II, Inc.		—	Aerospace and Defense		—				—		125,000		125,000		81,148
ASP LCG Holdings, Inc. (Warrants)	05/05/2026		Education		—				—		933		586,975		2,236,540
Cascade Environmental LLC ⁽⁹⁾		—	Environmental Services		—				—		33,901		2,852,080		696,346
CI (Allied) Investment Holdings, LLC		—	Business Services		—				—		120,962		1,243,217		—
(PRA Events, Inc.) ⁽⁹⁾
CI (Summit) Investment Holdings LLC		—	Buildings and Real Estate		—				—		122,870		1,270,646		1,647,095
(SFP Holdings, Inc.)
Cowboy Parent LLC		—	Distribution		—				—		22,500		2,250,000		1,165,785
(Blackhawk Industrial Distribution, Inc.)
DecoPac Holdings Inc.		—	Beverage, Food and Tobacco		—				—		3,449		3,448,658		5,072,041
ECM Investors, LLC ⁽⁹⁾		—	Electronics								167,537		167,537		254,307
eCommission Holding Corporation ⁽¹¹⁾		—	Financial Services		—				—		80		1,004,625		1,029,685
Faraday Holdings, LLC		—	Building Materials		—				—		4,277		217,635		1,408,259
Gauge Lash Coinvest LLC		—	Consumer Products		—				—		889,376		1,053,800		1,565,301
Gauge Schlesinger Coinvest, LLC		—	Business Services		—				—		9		8,896		8,662
Gauge TVC Coinvest, LLC		—	Transportation		—				—		810,645		810,645		999,520
(TVC Enterprises, LLC)
GCOM InvestCo LP ⁽⁷⁾		—	Business Services		—				—		111,574		—		—
Go Dawgs Capital III, LP		—	Building Materials		—				—		675,325		675,325		675,325
(American Insulated Glass, LLC) ⁽⁹⁾
Green Veracity Holdings, LP - Class A		—	Business Services		—				—		15,000		1,500,000		2,886,104
(VT Topco, Inc.)
Infogroup Parent Holdings, Inc.		—	Other Media		—				—		181,495		2,040,000		2,522,594
ITC Rumba, LLC (Cano Health, LLC) ⁽⁹⁾		—	Healthcare, Education and Childcare		—				—		375,675		4,317,307		18,761,506
JWC-WE Holdings, L.P.		—	Home and Office Furnishings		—				—		1,906,433		1,906,433		12,010,531
(Walker Edison Furniture Company LLC) ⁽⁹⁾
Kadmon Holdings, Inc. ⁽⁵⁾		—	Healthcare, Education and Childcare		—				—		252,014		2,265,639		987,895

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

PENNANTPARK INVESTMENT CORPORATION AND SUBSIDIARIES

CONSOLIDATED SCHEDULE OF INVESTMENTS – (Continued)

SEPTEMBER 30, 2020

Issuer Name	Maturity / Expiration		Industry	Current Coupon			Basis Point Spread Above Index ⁽⁴⁾		Par / Shares		Cost		Fair Value ⁽³⁾
Kentucky Racing Holdco, LLC (Warrants)		—	Hotels, Motels, Inns and Gaming		—			—		161,252	$	—	$	417,910
Lariat ecoserv Co-Invest Holdings, LLC ⁽⁹⁾		—	Environmental Services		—			—		363,656		363,656		593,924
Lightspeed Investment Holdco LLC		—	Healthcare, Education and Childcare		—			—		273,143		273,143		313,596
MeritDirect Holdings, LP ⁽⁹⁾		—	Media		—			—		540		—		—
NXOF Holdings, Inc.		—	Aerospace and Defense		—			—		2,180		2,180		5,432
(Tyto Athene, LLC)
OceanSound Discovery Equity, LP		—	Aerospace and Defense		—			—		98,286		982,857		987,611
(Holdco Sands Intermediate, LLC) ⁽⁹⁾
QuantiTech InvestCo LP ⁽⁹⁾		—	Aerospace and Defense		—			—		70,000		70,000		103,995
QuantiTech InvestCo LP ^{(7), (9)}		—	Aerospace and Defense		—			—		96,667		—		—
SBI Holdings Investments LLC		—	Business Services		—			—		36,585		365,854		259,298
(Sales Benchmark Index LLC)
Signature CR Intermediate Holdco, Inc.		—	Chemicals, Plastics and Rubber		—			—		71		70,870		—
SSC Dominion Holdings, LLC		—	Electronics		—			—		1,500		1,500,000		1,749,600
Class A (US Dominion, Inc.)
SSC Dominion Holdings, LLC		—	Electronics		—			—		1,500		—		4,756,165
Class B (US Dominion, Inc.)
TPC Holding Company, LP^{(8). (11)}		—	Food		—			—		11,527		11,527		56,482
U.S. Well Services, Inc. - Class A ^{(5), (11)}		—	Oil and Gas		—			—		1,261,201		3,021,880		341,029
WBB Equity, LLC		—	Aerospace and Defense		—			—		628,571		628,571		2,753,143
(Whitney, Bradley & Brown, Inc.) ⁽⁹⁾
Wheel Pros Holdings, L.P.		—	Auto Sector		—			—		3,778,704		4,450,000		23,022,380
(Winter Park Intermediate, Inc.)
Wildcat Parent, LP (Wildcat Buyerco, Inc.)		—	Electronics		—			—		2,314		231,400		254,847
ZS Juniper L.P.		—	Personal, Food and Miscellaneous Services		—			—		1,056		1,056,250		2,614,078
(Juniper Landscaping of Florida, LLC) ⁽⁹⁾
Total Common Equity/Partnership Interests/Warrants												43,704,169		93,240,733
Total Investments in Non-Controlled, Non-Affiliated Portfolio Companies												713,683,209		735,674,666
Investments in Non-Controlled, Affiliated Portfolio Companies—5.3% ^{(1), (2)}
Preferred Equity/Partnership Interests—5.1% ⁽⁶⁾
ETX Energy, LLC⁽⁹⁾		—	Oil and Gas		—			—		61,732		6,173,200		5,055,851
MidOcean JF Holdings Corp.		—	Distribution		—			—		153,922		15,392,189		21,795,244
Total Preferred Equity/Partnership Interests												21,565,389		26,851,095
Common Equity/Partnership Interests/Warrants—0.2% ⁽⁶⁾
ETX Energy, LLC ⁽⁹⁾		—	Oil and Gas		—			—		1,658,389		29,711,576		—
ETX Energy Management Company, LLC		—	Oil and Gas		—			—		1,754,104		1,562,020		—
MidOcean JF Holdings Corp.		—	Distribution		—			—		65,933		24,789,935		902,798
Total Common Equity/Partnership Interests/Warrants												56,063,531		902,798
Total Investments in Non-Controlled, Affiliated Portfolio Companies												77,628,920		27,753,893
Investments in Controlled, Affiliated Portfolio Companies—60.6% ^(1), (2)
First Lien Secured Debt—7.0%
AKW Holdings Limited ^{(8), (10), (11)}	03/13/2024		Healthcare, Education and Childcare		6.50	%	3M L+600		£	28,500,000		39,682,375		36,844,800
Total First Lien Secured Debt												39,682,375		36,844,800
Second Lien Secured Debt—10.0%
PT Network Intermediate Holdings, LLC	11/30/2024		Healthcare, Education and Childcare		11.00	%	3M L+1,000			52,479,266		52,094,291		52,479,266
					(PIK 11.00	%)
Total Second Lien Secured Debt												52,094,291		52,479,266
Subordinated Debt—12.0%
PennantPark Senior Loan Fund, LLC ⁽¹¹⁾	07/31/2027		Financial Services		9.00	%	3M L+800			63,000,000		63,000,000		63,000,000
Total Subordinated Debt												63,000,000		63,000,000
Preferred Equity—2.3% ⁽⁶⁾
CI (PTN) Investment Holdings II, LLC		—	Healthcare, Education and Childcare		—			—		36,450		546,750		—
(PT Network, LLC) ⁽⁹⁾
PT Network Intermediate Holdings, LLC ⁽⁹⁾			Healthcare, Education and Childcare		11.00	%	3M L+1,000			833		10,725,000		12,215,888
Total Preferred Equity												11,271,750		12,215,888
Common Equity—29.3% ⁽⁶⁾
AKW Holdings Limited ^{(8), (10), (11)}		—	Healthcare, Education and Childcare		—			—	£	950		132,497		927,315
CI (PTN) Investment Holdings II, LLC		—	Healthcare, Education and Childcare		—			—		333,333		5,000,000		—
(PT Network, LLC) ⁽⁹⁾
PennantPark Senior Loan Fund, LLC ⁽¹¹⁾		—	Financial Services		—			—		33,221,176		33,221,176		36,262,577
PT Network Intermediate Holdings, LLC ⁽⁹⁾			Healthcare, Education and Childcare		—			—		621		7,150,000		26,689,495
RAM Energy Holdings LLC		—	Energy and Utilities		—			—		180,805		162,708,073		89,923,518
Total Common Equity												208,211,746		153,802,905
Total Investments in Controlled, Affiliated Portfolio Companies												374,260,162		318,342,859
Total Investments—205.8%												1,165,572,291		1,081,771,418
Cash and Cash Equivalents—4.9%
BlackRock Federal FD Institutional 30												2,277,244		2,277,244
BNY Mellon Cash Reserve and Cash												23,523,843		23,528,758
Total Cash and Cash Equivalents												25,801,087		25,806,002
Total Investments and Cash Equivalents—210.7%											$	1,191,373,378	$	1,107,577,420
Liabilities in Excess of Other Assets—(110.7%)														(581,868,568	)
Net Assets—100.0%													$	525,708,852

(1)