Document
______________________________________________________________________________________________________

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
______________________________________________________________________________________________________ 
FORM 10-Q

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

For the Quarterly Period Ended December 31, 2017

OR

o         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 814-00794

Golub Capital BDC, Inc.
(Exact name of registrant as specified in its charter)

Delaware
 
27-2326940
(State or other jurisdiction of incorporation or organization)
 
 (I.R.S. Employer Identification No.)

666 Fifth Avenue, 18th Floor
New York, NY 10103
(Address of principal executive offices)

(212) 750-6060
(Registrant's telephone number, including area code)

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 þ   No o

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).   Yes o No   o

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 definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Large accelerated filer  þ
Accelerated filer o
Non-accelerated filer  o  (Do not check if a smaller reporting company)
Smaller reporting company o
Emerging growth company o
 

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. o

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

As of February 7, 2018, the Registrant had 59,741,248 shares of common stock, $0.001 par value, outstanding.



Part I. Financial Information
  
Item 1.
Financial Statements
 
Consolidated Statements of Financial Condition as of December 31, 2017 (unaudited) and September 30, 2017
 
Consolidated Statements of Operations for the three months ended December 31, 2017 (unaudited) and 2016 (unaudited)
 
Consolidated Statements of Changes in Net Assets for the three months ended December 31, 2017 (unaudited) and 2016 (unaudited)
 
Consolidated Statements of Cash Flows for the three months ended December 31, 2017 (unaudited) and 2016 (unaudited)
 
Consolidated Schedules of Investments as of December 31, 2017 (unaudited) and September 30, 2017
 
Notes to Consolidated Financial Statements (unaudited)
Item 2.
Management's Discussion and Analysis of Financial Condition and Results of Operations
Item 3.
Quantitative and Qualitative Disclosures about Market Risk
Item 4.
Controls and Procedures
Part II. Other Information
 
Item 1.
Legal Proceedings
Item 1A.
Risk Factors
Item 2.
Unregistered Sales of Equity Securities and Use of Proceeds
Item 3.
Defaults Upon Senior Securities
Item 4.
Mine Safety Disclosures
Item 5.
Other Information
Item 6.
Exhibits


2


Golub Capital BDC, Inc. and Subsidiaries
Consolidated Statements of Financial Condition
(In thousands, except share and per share data)
 
December 31, 2017
 
September 30, 2017
 
(unaudited)
 
 
Assets
  

 
  

Investments, at fair value
  

 
  

Non-controlled/non-affiliate company investments
$
1,627,716

 
$
1,586,293

Non-controlled affiliate company investments
4,065

 
3,707

Controlled affiliate company investments
91,591

 
95,015

Total investments at fair value (amortized cost of $1,707,273 and $1,671,239, respectively)
1,723,372

 
1,685,015

Cash and cash equivalents
5,750

 
3,988

Restricted cash and cash equivalents
71,380

 
58,570

Interest receivable
6,536

 
6,271

Other assets
289

 
332

Total Assets
$
1,807,327

 
$
1,754,176

Liabilities
  

 
  

Debt
$
828,300

 
$
781,100

Less unamortized debt issuance costs
3,514

 
4,273

Debt less unamortized debt issuance costs
824,786

 
776,827

Interest payable
6,132

 
3,800

Management and incentive fees payable
15,506

 
13,215

Accounts payable and accrued expenses
1,973

 
2,312

Payable for investments purchased
550

 

Accrued trustee fees
78

 
76

Total Liabilities
849,025

 
796,230

Commitments and Contingencies (Note 7)
  

 
  

Net Assets
  

 
  

Preferred stock, par value $0.001 per share, 1,000,000 shares authorized, zero shares issued and outstanding as of December 31, 2017 and September 30, 2017

 

Common stock, par value $0.001 per share, 100,000,000 shares authorized, 59,741,248 and 59,577,293 shares issued and outstanding as of December 31, 2017 and September 30, 2017, respectively
60

 
60

Paid in capital in excess of par
942,179

 
939,307

Undistributed (over distribution of) net investment income
(387
)
 
1,954

Net unrealized appreciation (depreciation) on investments
18,767

 
16,444

Net realized gain (loss) on investments
(2,317
)
 
181

Total Net Assets
958,302

 
957,946

Total Liabilities and Total Net Assets
$
1,807,327

 
$
1,754,176

Number of common shares outstanding
59,741,248

 
59,577,293

Net asset value per common share
$
16.04

 
$
16.08





See Notes to Consolidated Financial Statements.
3





Golub Capital BDC, Inc. and Subsidiaries
Consolidated Statements of Operations (unaudited)
(In thousands, except share and per share data)
 
Three months ended December 31,
  
2017
 
2016
Investment income
  

 
  

From non-controlled/non-affiliate company investments:
  

 
  

Interest income
$
33,192

 
$
30,731

Dividend income
597

 
152

Fee income
534

 
254

Total investment income from non-controlled/non-affiliate company investments
34,323

 
31,137

From non-controlled affiliate company investments:
  

 
  

Interest income
162

 
327

Total investment income from non-controlled affiliate company investments
162

 
327

From controlled affiliate company investments:
  

 
  

Interest income

 
1,639

Dividend income
1,965

 
746

Total investment income from controlled affiliate company investments
1,965

 
2,385

Total investment income
36,450

 
33,849

Expenses
  

 
  

Interest and other debt financing expenses
7,714

 
7,606

Base management fee
5,930

 
5,837

Incentive fee
2,871

 
2,091

Professional fees
688

 
580

Administrative service fee
618

 
601

General and administrative expenses
118

 
171

Total expenses
17,939

 
16,886

Net investment income - before excise tax
18,511

 
16,963

Excise tax

 
10

Net investment income - after excise tax
18,511

 
16,953

Net gain (loss) on investments
  

 
  

Net realized gain (loss) on investments:
  

 
  

Non-controlled/non-affiliate company investments
481

 
907

Net realized gain (loss) on investments
481

 
907

Net change in unrealized appreciation (depreciation) on investments:
  

 
  

Non-controlled/non-affiliate company investments
988

 
2,265

Non-controlled affiliate company investments
559

 
(643
)
Controlled affiliate company investments
776

 
(498
)
Net change in unrealized appreciation (depreciation) on investments
2,323

 
1,124

Net gain (loss) on investments
2,804

 
2,031

Net increase in net assets resulting from operations
$
21,315

 
$
18,984

Per Common Share Data
  

 
  

Basic and diluted earnings per common share
$
0.36

 
$
0.34

Dividends and distributions declared per common share
$
0.40

 
$
0.57

Basic and diluted weighted average common shares outstanding
59,584,421

 
55,064,870



See Notes to Consolidated Financial Statements.
4





Golub Capital BDC, Inc. and Subsidiaries
Consolidated Statements of Changes in Net Assets (unaudited)
(In thousands, except share data)
 
 
 
 
 
 
 
Net Unrealized Appreciation (Depreciation) on Investments and Secured Borrowings
 
 
 
 
 
Common Stock
 
Paid in Capital in Excess of Par
 
Undistributed (Over Distribution) of Net Investment Income
 
 
Net Realized Gain (Loss) on Investments
 
 
 
Shares
 
Par Amount
 
 
 
 
 
Total Net Assets
Balance at September 30, 2016
55,059,067

 
$
55

 
$
855,998

 
$
18,832

 
$
13,104

 
$
(9,164
)
 
$
878,825

Net increase in net assets resulting from operations

 

 

 
16,953

 
1,124

 
907

 
18,984

Distributions to stockholders:
  

 
  

 
  

 
  

 
  

 
  

 
 
Stock issued in connection with dividend reinvestment plan
177,970

 

 
3,145

 

 

 

 
3,145

Distributions from net investment income

 

 

 
(30,265
)
 

 

 
(30,265
)
Distributions from net realized gain

 

 

 

 

 
(1,119
)
 
(1,119
)
Total increase (decrease) for the period ended December 31, 2016
177,970

 

 
3,145

 
(13,312
)
 
1,124

 
(212
)
 
(9,255
)
Balance at December 31, 2016
55,237,037

 
$
55

 
$
859,143

 
$
5,520

 
$
14,228

 
$
(9,376
)
 
$
869,570

Balance at September 30, 2017
59,577,293

 
$
60

 
$
939,307

 
$
1,954

 
$
16,444

 
$
181

 
$
957,946

Net increase in net assets resulting from operations

 

 

 
18,511

 
2,323

 
481

 
21,315

Distributions to stockholders:
  

 
  

 
  

 
  

 
  

 
  

 
 
Stock issued in connection with dividend reinvestment plan
163,955

 

 
2,872

 

 

 

 
2,872

Distributions from net investment income

 

 

 
(20,852
)
 

 

 
(20,852
)
Distributions from net realized gain

 

 

 

 

 
(2,979
)
 
(2,979
)
Total increase (decrease) for the period ended December 31, 2017
163,955

 

 
2,872

 
(2,341
)
 
2,323

 
(2,498
)
 
356

Balance at December 31, 2017
59,741,248

 
$
60

 
$
942,179

 
$
(387
)
 
$
18,767

 
$
(2,317
)
 
$
958,302







See Notes to Consolidated Financial Statements.
5





Golub Capital BDC, Inc. and Subsidiaries
Consolidated Statements of Cash Flows (unaudited)
(In thousands)
 
Three months ended December 31,
  
2017
 
2016
Cash flows from operating activities
  

 
  

Net increase in net assets resulting from operations
$
21,315

 
$
18,984

Adjustments to reconcile net increase in net assets resulting from operations
to net cash (used in) provided by operating activities
  

 
  

Amortization of deferred debt issuance costs
794

 
849

Accretion of discounts and amortization of premiums
(2,709
)
 
(1,807
)
Net realized (gain) loss on investments
(481
)
 
(907
)
Net change in unrealized (appreciation) depreciation on investments
(2,323
)
 
(1,124
)
Proceeds from (fundings of) revolving loans, net
3,498

 
(2,518
)
Fundings of investments
(137,941
)
 
(122,736
)
Proceeds from principal payments and sales of portfolio investments
101,876

 
93,949

PIK interest
(277
)
 
(547
)
Changes in operating assets and liabilities:
  

 
  

Interest receivable
(265
)
 
274

Other assets
43

 
24

Interest payable
2,332

 
2,708

Management and incentive fees payable
2,291

 
(951
)
Payable for investments purchased
550

 

Accounts payable and accrued expenses
(339
)
 
(86
)
Accrued trustee fees
2

 
4

Net cash (used in) provided by operating activities
(11,634
)
 
(13,884
)
Cash flows from financing activities
  

 
  

Borrowings on debt
98,600

 
136,250

Repayments of debt
(51,400
)
 
(111,450
)
Capitalized debt issuance costs
(35
)
 
(479
)
Repayments on secured borrowings

 
(13
)
Distributions paid
(20,959
)
 
(28,239
)
Net cash provided by (used in) financing activities
26,206

 
(3,931
)
Net change in cash, cash equivalents and restricted cash and cash equivalents
14,572

 
(17,815
)
Cash, cash equivalents and restricted cash and cash equivalents, beginning of period
62,558

 
89,540

Cash, cash equivalents and restricted cash and cash equivalents, end of period
$
77,130

 
$
71,725

Supplemental disclosure of cash flow information:
  

 
  

Cash paid during the period for interest
$
4,587

 
$
4,045

Distributions declared during the period
23,831

 
31,384

Supplemental disclosure of noncash operating activity:
 
 
 
Funding of LLC equity interests in SLF
$

 
$
(78,689
)
Proceeds from subordinated notes in SLF principal payment

 
78,689

Supplemental disclosure of noncash financing activity:
 
 
 
Proceeds from issuance of Class A-Refi 2010 Notes
$

 
$
205,000

Redemptions of Class A and Class B 2010 Notes

 
(205,000
)

See Notes to Consolidated Financial Statements.
6





The following table provides a reconciliation of cash, cash equivalents and restricted cash and cash equivalents reported within the Consolidated Statements of Financial Condition that sum to the total of the same such amounts in the Consolidated Statements of Cash Flows:
 
December 31,
 
2017
 
2016
Cash and cash equivalents
$
5,750

 
$
5,709

Restricted cash and cash equivalents
71,380

 
66,016

Total cash, cash equivalents and restricted cash and cash equivalents shown in the Consolidated
Statements of Cash Flows
$
77,130

 
$
71,725

See Note 2. Significant Accounting Policies and Recent Accounting Updates for a description of restricted cash and cash equivalents.



See Notes to Consolidated Financial Statements.
7




Golub Capital BDC, Inc. and Subsidiaries
Consolidated Schedule of Investments (unaudited)
December 31, 2017
(In thousands)


 
Investment
Type
 
Spread
Above
Index(1)
 
Interest
Rate(2)
 
Maturity
Date
 
Principal ($) /
Shares(3)
 
Amortized Cost
 
Percentage
of Net
Assets
 
Fair
Value
(4)
Investments
  
 
  
 
 
  
 
  
 
  

 
  

 
  

 
  

Non-controlled/non-affiliate company investments
 
 
  
 
 
  
 
  
 
  

 
  

 
  

 
  

Debt investments
  
 
  
 
 
  
 
  
 
  

 
  

 
  

 
  

Aerospace and Defense
  
 
  
 
 
  
 
  
 
  

 
  

 
  

 
  

NTS Technical Systems*^#
One stop
 
L + 6.25%
(a) 
 
7.61%
 
06/2021
 
$
21,773

 
$
21,505

 
2.3

%
$
21,773

NTS Technical Systems(5)
One stop
 
L + 6.25%
 
 
N/A(6)
 
06/2021
 

 
(67
)
 

 

NTS Technical Systems(5)
One stop
 
L + 6.25%
 
 
N/A(6)
 
06/2021
 

 
(112
)
 

 

Tresys Technology Holdings, Inc.(7)
One stop
 
L + 6.75%
(a) 
 
8.32%
 
12/2018
 
3,899

 
3,845

 
0.1

 
1,170

Tresys Technology Holdings, Inc.(7)
One stop
 
L + 6.75%
(a) 
 
8.32%
 
12/2018
 
659

 
658

 
0.1

 
659

Tronair Parent, Inc.#
Senior loan
 
L + 4.75%
(c) 
 
6.16%
 
09/2023
 
369

 
366

 

 
366

Tronair Parent, Inc.
Senior loan
 
P + 3.50%
(c)(e) 
 
7.56%
 
09/2021
 
38

 
37

 

 
37

Whitcraft LLC*^#
One stop
 
L + 6.25%
(c) 
 
7.94%
 
04/2023
 
12,533

 
12,368

 
1.3

 
12,533

Whitcraft LLC
One stop
 
P + 5.25%
(e) 
 
9.75%
 
04/2023
 
10

 
9

 

 
10

Whitcraft LLC(5)
One stop
 
L + 6.25%
 
 
N/A(6)
 
04/2023
 

 
(5
)
 

 

 
 
 
 
 
 
 
 
 
 
39,281

 
38,604

 
3.8

 
36,548

Automobile
  
 
  
 
 
  
 
  
 
  

 
  

 
  

 
  

Dent Wizard International Corporation*
Senior loan
 
L + 4.75%
(a) 
 
6.31%
 
04/2020
 
4,511

 
4,490

 
0.5

 
4,511

Grease Monkey International, LLC*^
Senior loan
 
L + 5.00%
(a) 
 
6.36%
 
11/2022
 
4,900

 
4,841

 
0.5

 
4,850

Grease Monkey International, LLC
Senior loan
 
P + 4.00%
(e) 
 
8.50%
 
11/2022
 
7

 
6

 

 
7

Grease Monkey International, LLC(5)
Senior loan
 
L + 5.00%
 
 
N/A(6)
 
11/2022
 

 
(1
)
 

 
(2
)
T5 Merger Corporation*^
One stop
 
L + 6.50%
(a) 
 
7.86%
 
03/2022
 
4,370

 
4,305

 
0.5

 
4,370

T5 Merger Corporation*
One stop
 
L + 6.50%
(a) 
 
7.86%
 
03/2022
 
190

 
188

 

 
190

T5 Merger Corporation*
One stop
 
L + 6.50%
(a) 
 
7.86%
 
03/2022
 
60

 
59

 

 
60

T5 Merger Corporation
One stop
 
L + 6.50%
(a) 
 
7.99%
 
03/2022
 
48

 
46

 

 
48

  
 
 
 
 
 
 
 
 
 
14,086

 
13,934

 
1.5

 
14,034

Banking
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
HedgeServ Holding L.P.*#
One stop
 
L + 8.00%
(a) 
 
7.50% cash/2.00% PIK
 
02/2019
 
17,270

 
17,242

 
1.8

 
17,270

HedgeServ Holding L.P.(5)
One stop
 
L + 8.00%
 
 
N/A(6)
 
02/2019
 

 
(2
)
 

 

 
 
 
 
 
 
 
 
 
 
17,270

 
17,240

 
1.8

 
17,270

Beverage, Food and Tobacco
  
 
  
 
 
  
 
  
 
  

 
  

 
  

 
  

Abita Brewing Co., L.L.C.
One stop
 
L + 5.75%
(a) 
 
7.32%
 
04/2021
 
7,645

 
7,546

 
0.8

 
7,645

Abita Brewing Co., L.L.C.(5)
One stop
 
L + 5.75%
 
 
N/A(6)
 
04/2021
 

 
(1
)
 

 

ABP Corporation(5)
Senior loan
 
L + 4.75%
 
 
N/A(6)
 
12/2018
 

 
(1
)
 

 

Benihana, Inc.*^
One stop
 
L + 7.00%
(c)(e) 
 
8.59%
 
01/2019
 
16,058

 
15,935

 
1.7

 
16,058

Benihana, Inc.
One stop
 
L + 7.00%
(a)(c)(e) 
 
9.25%
 
07/2018
 
1,726

 
1,717

 
0.2

 
1,726

C. J. Foods, Inc.*^
One stop
 
L + 6.25%
(a) 
 
7.82%
 
05/2019
 
5,191

 
5,157

 
0.5

 
5,191

C. J. Foods, Inc.
One stop
 
L + 6.25%
(a) 
 
7.82%
 
05/2019
 
654

 
650

 
0.1

 
654

C. J. Foods, Inc.
One stop
 
L + 6.25%
(a) 
 
7.82%
 
05/2019
 
129

 
126

 

 
129

Cafe Rio Holding, Inc.*^
One stop
 
L + 5.75%
(c) 
 
7.44%
 
09/2023
 
10,449

 
10,276

 
1.1

 
10,449

Cafe Rio Holding, Inc.
One stop
 
P + 4.75%
(e) 
 
9.25%
 
09/2023
 
30

 
28

 

 
30

Cafe Rio Holding, Inc.(5)
One stop
 
L + 5.75%
 
 
N/A(6)
 
09/2023
 

 
(5
)
 

 

Firebirds International, LLC*
One stop
 
L + 5.75%
(c) 
 
7.42%
 
05/2018
 
1,057

 
1,054

 
0.1

 
1,057

Firebirds International, LLC*
One stop
 
L + 5.75%
(c) 
 
7.42%
 
05/2018
 
298

 
297

 

 
298

Firebirds International, LLC^
One stop
 
L + 5.75%
(c) 
 
7.42%
 
12/2018
 
96

 
95

 

 
96

Firebirds International, LLC
One stop
 
L + 5.75%
 
 
N/A(6)
 
05/2018
 

 

 

 

Firebirds International, LLC
One stop
 
L + 5.75%
 
 
N/A(6)
 
12/2018
 

 

 

 

Flavor Producers, LLC#
Senior loan
 
L + 4.75%
(c) 
 
6.32%
 
12/2023
 
2,172

 
2,139

 
0.2

 
2,139

Flavor Producers, LLC(5)
Senior loan
 
L + 4.75%
 
 
N/A(6)
 
12/2022
 

 
(1
)
 

 
(1
)
FWR Holding Corporation^
One stop
 
L + 6.00%
(d) 
 
7.66%
 
08/2023
 
5,299

 
5,224

 
0.6

 
5,299

FWR Holding Corporation
One stop
 
L + 6.00%
(c) 
 
7.60%
 
08/2023
 
27

 
24

 

 
27

FWR Holding Corporation
One stop
 
L + 6.00%
(a) 
 
7.57%
 
08/2023
 
8

 
7

 

 
8

Global Franchise Group, LLC*
Senior loan
 
L + 5.75%
(c) 
 
7.44%
 
12/2019
 
3,522

 
3,491

 
0.4

 
3,522

Global Franchise Group, LLC
Senior loan
 
L + 5.75%
 
 
N/A(6)
 
12/2019
 

 

 

 


See Notes to Consolidated Financial Statements.
8




Golub Capital BDC, Inc. and Subsidiaries
Consolidated Schedule of Investments (unaudited) - (continued)
December 31, 2017
(In thousands)


 
Investment
Type
 
Spread
Above
Index(1)
 
Interest
Rate(2)
 
Maturity
Date
 
Principal ($) /
Shares(3)
 
Amortized Cost
 
Percentage
of Net
Assets
 
Fair
Value
(4)
Beverage, Food and Tobacco - (continued)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Global ID Corporation*#
One stop
 
L + 6.50%
(c) 
 
8.11%
 
11/2021
 
$
5,183

 
$
5,133

 
0.5

%
$
5,131

Global ID Corporation
One stop
 
L + 6.50%
 
 
N/A(6)
 
11/2021
 

 

 

 

Global ID Corporation(5)
One stop
 
L + 6.50%
 
 
N/A(6)
 
11/2021
 

 
(2
)
 

 
(2
)
Hopdoddy Holdings, LLC
One stop
 
L + 8.00%
(c) 
 
9.48%
 
08/2020
 
651

 
644

 
0.1

 
651

Hopdoddy Holdings, LLC
One stop
 
L + 8.00%
(c) 
 
9.48%
 
08/2020
 
400

 
398

 

 
400

Hopdoddy Holdings, LLC
One stop
 
L + 8.00%
(c) 
 
9.48%
 
08/2020
 
3

 
2

 
0.1

 
3

Julio & Sons Company
One stop
 
L + 5.50%
 
 
N/A(6)
 
12/2018
 

 

 

 

Mid-America Pet Food, L.L.C.^
One stop
 
L + 5.50%
(c) 
 
7.19%
 
12/2021
 
5,626

 
5,559

 
0.6

 
5,626

Mid-America Pet Food, L.L.C.(5)
One stop
 
L + 5.50%
 
 
N/A(6)
 
12/2021
 

 
(1
)
 

 

NBC Intermediate, LLC #
Senior loan
 
L + 4.50%
(a) 
 
6.07%
 
09/2023
 
2,169

 
2,148

 
0.2

 
2,169

NBC Intermediate, LLC
Senior loan
 
L + 4.50%
 
 
N/A(6)
 
09/2023
 

 

 

 

Purfoods, LLC
One stop
 
L + 6.25%
(c) 
 
7.73%
 
05/2021
 
8,539

 
8,397

 
0.9

 
8,539

Purfoods, LLC
One stop
 
N/A
 
 
7.00% PIK
 
05/2026
 
109

 
109

 

 
113

Purfoods, LLC
One stop
 
L + 6.25%
(a) 
 
7.73%
 
05/2021
 
60

 
59

 

 
60

Purfoods, LLC
One stop
 
L + 6.25%
(c) 
 
7.94%
 
05/2021
 
24

 
24

 

 
24

Purfoods, LLC
One stop
 
L + 6.25%
(c) 
 
7.94%
 
05/2021
 
15

 
15

 

 
15

Purfoods, LLC
One stop
 
L + 6.25%
(c) 
 
7.94%
 
05/2021
 
15

 
15

 

 
15

Purfoods, LLC
One stop
 
L + 6.25%
(c) 
 
7.94%
 
05/2021
 
14

 
14

 

 
14

Purfoods, LLC
One stop
 
L + 6.25%
(c) 
 
7.94%
 
05/2021
 
11

 
11

 

 
11

Purfoods, LLC
One stop
 
L + 6.25%
(c) 
 
7.94%
 
05/2021
 
11

 
11

 

 
11

Purfoods, LLC
One stop
 
L + 6.25%
(c) 
 
7.94%
 
05/2021
 
10

 
10

 

 
10

Restaurant Holding Company, LLC#
Senior loan
 
L + 7.75%
(a) 
 
9.32%
 
02/2019
 
4,216

 
4,204

 
0.4

 
4,132

Rubio's Restaurants, Inc.*^
Senior loan
 
L + 4.75%
(c) 
 
6.44%
 
11/2018
 
8,805

 
8,778

 
0.9

 
8,805

Smashburger Finance LLC
Senior loan
 
L + 5.50%
(c) 
 
7.19%
 
05/2018
 
78

 
78

 

 
74

Smashburger Finance LLC
Senior loan
 
L + 5.50%
 
 
N/A(6)
 
05/2018
 

 

 

 

Surfside Coffee Company LLC#
One stop
 
L + 5.25%
(c) 
 
6.94%
 
06/2020
 
4,413

 
4,391

 
0.5

 
4,413

Surfside Coffee Company LLC
One stop
 
L + 5.25%
(c) 
 
6.93%
 
06/2020
 
334

 
332

 

 
334

Surfside Coffee Company LLC
One stop
 
L + 5.25%
(c) 
 
6.81%
 
06/2020
 
30

 
30

 

 
30

Tate's Bake Shop, Inc.^
One stop
 
L + 6.25%
(c) 
 
7.94%
 
08/2019
 
4,313

 
4,256

 
0.4

 
4,281

Uinta Brewing Company^
One stop
 
L + 8.50%
(a) 
 
10.07%
 
08/2019
 
3,734

 
3,722

 
0.4

 
3,734

Uinta Brewing Company
One stop
 
L + 8.50%
(a) 
 
10.07%
 
08/2019
 
539

 
536

 
0.1

 
539

 
 
 
 
 
 
 
 
 
 
103,663

 
102,631

 
10.8

 
103,459

Broadcasting and Entertainment
 
 
 
 
 
 
 
 
 
  

 
  

 
 
 
  

TouchTunes Interactive Networks, Inc.^
Senior loan
 
L + 4.75%
(a) 
 
6.32%
 
05/2021
 
1,458

 
1,454

 
0.2

 
1,470

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Building and Real Estate
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Brooks Equipment Company, LLC*^
One stop
 
L + 5.00%
(c) 
 
6.48%
 
08/2020
 
21,470

 
21,329

 
2.3

 
21,470

Brooks Equipment Company, LLC*
One stop
 
L + 5.00%
(b)(c) 
 
6.49%
 
08/2020
 
5,268

 
5,238

 
0.6

 
5,268

Brooks Equipment Company, LLC(5)
One stop
 
L + 5.00%
 
 
N/A(6)
 
08/2020
 

 
(9
)
 

 

Jensen Hughes, Inc.#
Senior loan
 
L + 5.00%
(a) 
 
6.57%
 
12/2021
 
153

 
152

 

 
153

MRI Software LLC^
One stop
 
L + 6.25%
(c) 
 
7.95%
 
06/2023
 
23,863

 
23,281

 
2.5

 
23,863

MRI Software LLC#
One stop
 
L + 6.25%
(c) 
 
7.95%
 
06/2023
 
13,848

 
13,716

 
1.4

 
13,848

MRI Software LLC^
One stop
 
L + 6.25%
(c) 
 
7.95%
 
06/2023
 
360

 
356

 

 
360

MRI Software LLC
One stop
 
L + 6.25%
(c) 
 
7.83%
 
06/2023
 
166

 
164

 

 
166

MRI Software LLC(5)
One stop
 
L + 6.00%
 
 
N/A(6)
 
06/2023
 

 
(3
)
 

 

MRI Software LLC(5)
One stop
 
L + 6.00%
 
 
N/A(6)
 
06/2023
 

 
(7
)
 

 

 
 
 
 
 
 
 
 
 
 
65,128

 
64,217

 
6.8

 
65,128

Chemicals, Plastics and Rubber
  
 
  
 
 
  
 
  
 
  

 
  

 
  

 
  

Flexan, LLC*
One stop
 
L + 5.75%
(c) 
 
7.44%
 
02/2020
 
2,327

 
2,312

 
0.2

 
2,327

Flexan, LLC
One stop
 
P + 4.50%
(e) 
 
9.00%
 
02/2020
 
10

 
10

 

 
10

 
 
 
 
 
 
 
 
 
 
2,337

 
2,322

 
0.2

 
2,337


See Notes to Consolidated Financial Statements.
9




Golub Capital BDC, Inc. and Subsidiaries
Consolidated Schedule of Investments (unaudited) - (continued)
December 31, 2017
(In thousands)


 
Investment
Type
 
Spread
Above
Index(1)
 
Interest
Rate(2)
 
Maturity
Date
 
Principal ($) /
Shares(3)
 
Amortized Cost
 
Percentage
of Net
Assets
 
Fair
Value
(4)
Diversified/Conglomerate Manufacturing
  
 
  
 
 
  
 
  
 
  

 
  

 
  

 
  

Chase Industries, Inc.*^#
One stop
 
L + 5.75%
(c) 
 
7.09%
 
09/2020
 
$
31,292

 
$
31,102

 
3.3

%
$
31,292

Chase Industries, Inc.#
One stop
 
L + 5.75%
(c) 
 
7.09%
 
09/2020
 
4,759

 
4,737

 
0.5

 
4,759

Chase Industries, Inc.
One stop
 
L + 5.75%
(a) 
 
7.16%
 
09/2020
 
755

 
745

 
0.1

 
755

Inventus Power, Inc.*^
One stop
 
L + 6.50%
(a) 
 
8.07%
 
04/2020
 
8,128

 
8,090

 
0.7

 
6,909

Inventus Power, Inc.
One stop
 
L + 6.50%
(a) 
 
8.07%
 
04/2020
 
251

 
248

 

 
172

Onicon Incorporated*^#
One stop
 
L + 6.00%
(c) 
 
7.69%
 
04/2020
 
12,794

 
12,708

 
1.3

 
12,794

Onicon Incorporated(5)
One stop
 
L + 6.00%
 
 
N/A(6)
 
04/2020
 

 
(4
)
 

 

PetroChoice Holdings, Inc.^
Senior loan
 
L + 5.00%
(b) 
 
6.42%
 
08/2022
 
1,746

 
1,707

 
0.2

 
1,746

Plex Systems, Inc.*^
One stop
 
L + 7.50%
(d) 
 
8.96%
 
06/2020
 
18,797

 
18,555

 
2.0

 
18,797

Plex Systems, Inc.(5)
One stop
 
L + 7.50%
 
 
N/A(6)
 
06/2020
 

 
(20
)
 

 

Reladyne, Inc.*^#
Senior loan
 
L + 5.00%
(a) 
 
6.36%
 
07/2022
 
17,007

 
16,781

 
1.8

 
17,007

Reladyne, Inc.(5)
Senior loan
 
L + 5.00%
 
 
N/A(6)
 
07/2022
 

 
(2
)
 

 

Reladyne, Inc.(5)
Senior loan
 
L + 5.00%
 
 
N/A(6)
 
07/2022
 

 
(5
)
 

 

Sunless Merger Sub, Inc.#
Senior loan
 
L + 5.00%
(a)(e) 
 
6.59%
 
07/2019
 
1,442

 
1,447

 
0.1

 
1,442

Sunless Merger Sub, Inc.
Senior loan
 
P + 3.75%
(e) 
 
8.25%
 
07/2019
 
374

 
374

 

 
374

  
 
 
 
 
 
 
 
 
 
97,345

 
96,463

 
10.0

 
96,047

Diversified/Conglomerate Service
  
 
  
 
 
  
 
  
 
  

 
  

 
  

 
  

Accela, Inc.#
One stop
 
L + 6.25%
(c) 
 
7.94%
 
09/2023
 
5,827

 
5,743

 
0.6

 
5,827

Accela, Inc.
One stop
 
P + 5.25%
(e) 
 
9.75%
 
09/2023
 
23

 
22

 

 
23

Agility Recovery Solutions Inc.*^
One stop
 
L + 6.50%
(c) 
 
7.88%
 
03/2020
 
13,924

 
13,833

 
1.4

 
13,924

Agility Recovery Solutions Inc.(5)
One stop
 
L + 6.50%
 
 
N/A(6)
 
03/2020
 

 
(4
)
 

 

Anaqua, Inc.#
One stop
 
L + 6.50%
(c) 
 
7.86%
 
07/2022
 
7,001

 
6,905

 
0.7

 
7,001

Anaqua, Inc.(5)
One stop
 
L + 6.50%
 
 
N/A(6)
 
07/2022
 

 
(1
)
 

 

Bomgar Corporation^
One stop
 
L + 7.50%
(c) 
 
9.19%
 
06/2022
 
4,827

 
4,754

 
0.5

 
4,827

Bomgar Corporation(5)
One stop
 
L + 7.50%
 
 
N/A(6)
 
06/2022
 

 
(1
)
 

 

Clearwater Analytics, LLC*^
One stop
 
L + 7.50%
(a) 
 
9.07%
 
09/2022
 
9,494

 
9,359

 
1.0

 
9,494

Clearwater Analytics, LLC
One stop
 
L + 7.50%
(a) 
 
9.00%
 
09/2022
 
9

 
8

 

 
9

Datto, Inc.
One Stop
 
L + 8.00%
(a) 
 
9.41%
 
12/2022
 
11,155

 
10,936

 
1.1

 
10,933

Datto, Inc.(5)
One stop
 
L + 8.00%
 
 
N/A(6)
 
12/2022
 

 
(1
)
 

 
(1
)
Daxko Acquisition Corporation*^
One stop
 
L + 6.50%
(c) 
 
8.19%
 
09/2022
 
9,045

 
8,935

 
0.9

 
9,045

Daxko Acquisition Corporation
One stop
 
L + 6.50%
 
 
N/A(6)
 
09/2022
 

 

 

 

EGD Security Systems, LLC
One stop
 
L + 6.25%
(c) 
 
7.81%
 
06/2022
 
11,114

 
10,928

 
1.2

 
11,114

EGD Security Systems, LLC^
One stop
 
L + 6.25%
(c) 
 
7.73%
 
06/2022
 
98

 
97

 

 
98

EGD Security Systems, LLC
One stop
 
L + 6.25%
(c) 
 
7.81%
 
06/2022
 
50

 
49

 

 
50

EGD Security Systems, LLC
One stop
 
L + 6.25%
 
 
N/A(6)
 
06/2022
 

 

 

 

HealthcareSource HR, Inc.*
One stop
 
L + 6.75%
(c) 
 
8.44%
 
05/2020
 
23,570

 
23,297

 
2.4

 
23,570

HealthcareSource HR, Inc.(5)
One stop
 
L + 6.75%
 
 
N/A(6)
 
05/2020
 

 
(1
)
 

 

Host Analytics, Inc.
One stop
 
N/A
 
 
8.50% cash/2.25% PIK
 
08/2021
 
3,116

 
3,075

 
0.3

 
3,116

Host Analytics, Inc.
One stop
 
N/A
 
 
8.50% cash/2.25% PIK
 
08/2021
 
2,611

 
2,493

 
0.3

 
2,611

Host Analytics, Inc.
One stop
 
N/A
 
 
8.50% cash/2.25% PIK
 
08/2021
 
734

 
728

 
0.1

 
734

III US Holdings, LLC(5)
One stop
 
L + 6.50%
 
 
N/A(6)
 
09/2022
 

 
(1
)
 

 

Imprivata, Inc.#
Senior loan
 
L + 4.50%
(c) 
 
5.86%
 
10/2023
 
13,144

 
12,985

 
1.3

 
13,012

Imprivata, Inc.(5)
Senior loan
 
L + 4.50%
 
 
N/A(6)
 
10/2023
 

 
(2
)
 

 
(2
)
Integration Appliance, Inc.*^
One stop
 
L + 8.25%