UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q 

[x]☒QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period endedSeptember 30, 2017March 31, 2023
OR
[ ]☐TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from __________ to __________
Commission File Number000-54755 
CĪON Investment Corporation
(Exact name of registrant as specified in its charter)
 
Maryland45-3058280
(State or other jurisdiction of
incorporation or organization)		(I.R.S. Employer
Identification No.)
Maryland45-3058280
(State or other jurisdiction of
incorporation or organization)
(I.R.S. Employer
Identification No.)
3100 Park Avenue, 36th25th Floor
New York, New York
1001610017
(Address of principal executive offices)(Zip Code)
(212) 418-4700
(Registrant’s telephone number, including area code)
Not applicable
(Former name, former address and former fiscal year, if changed since last report)
Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading symbol(s)Name of each exchange on which registered
Common stock, par value $0.001 per shareCIONThe New York Stock Exchange
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 [x]☒ No [ ]☐
Indicate by check mark whether the registrant has submittedelectronicallyand posted on its corporate Website, if any, every Interactive Data File required to be submitted and posted 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 and post 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.
Large accelerated filer☐Accelerated filer
☒
Non-accelerated filer☐Smaller reporting company☐
Large accelerated filer [ ]Accelerated filer [ ]
Non-accelerated filer [x](Do not check if a smaller reporting company)
Smaller reporting company [ ]
Emerging growth company [ ]☐



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 [x]☒
The number of shares of the registrant’s common stock, $0.001 par value, outstanding as of November 8, 2017May 3, 2023 was 114,398,359.

54,800,625.



CĪON INVESTMENT CORPORATION
FORM 10-Q
TABLE OF CONTENTS
Page
Page
Item 1. Financial Statements
1
Consolidated Balance Sheets
1
Consolidated Statements of Operations
2
Consolidated Statements of Changes in Net Assets
3
Consolidated Statements of Cash Flows
4
Consolidated Schedules of Investments
5
Notes to Consolidated Financial Statements
1928
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations
4863
Item 3. Quantitative and Qualitative Disclosures About Market Risk
6377
Item 4. Controls and Procedures
6478
PART II – OTHER INFORMATION
Item 1. Legal Proceedings
6579
Item 1A. Risk Factors
6579
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds
6580
Item 3. Defaults Upon Senior Securities
6580
Item 4. Mine Safety Disclosures
6580
Item 5. Other Information
6580
Item 6. Exhibits
6681
Signatures
6883






PART I – FINANCIAL INFORMATION
Item 1. Financial Statements
CĪON Investment Corporation
Consolidated Balance Sheets
(in thousands, except share and per share amounts)
March 31,
2023		December 31,
2022
(unaudited)
Assets
Investments, at fair value:
     Non-controlled, non-affiliated investments (amortized cost of $1,576,870 and $1,580,844, respectively)$1,479,976 $1,525,040 
     Non-controlled, affiliated investments (amortized cost of $169,539 and $140,344, respectively)162,785 143,876 
     Controlled investments (amortized cost of $76,900 and $82,421, respectively)80,591 91,114 
          Total investments, at fair value (amortized cost of $1,823,309 and $1,803,609, respectively)1,723,352 1,760,030 
Cash96,016 82,739 
Interest receivable on investments27,333 26,526 
Receivable due on investments sold and repaid3,239 1,016 
Dividends receivable on controlled investments— 1,275 
Prepaid expenses and other assets4,552 825 
   Total assets$1,854,492 $1,872,411 
  September 30,
2017		 
December 31,
2016
  (unaudited)  
Assets
Investments, at fair value (amortized cost of $1,688,414 and $1,096,948, respectively) $1,691,855
 $1,089,478
Derivative asset (cost of $0 and $229, respectively) —
 46
Cash 21,915
 15,046
Restricted cash —
 2,000
Due from counterparty(1) 3,620
 143,335
Interest receivable on investments 8,886
 6,689
Receivable due on investments sold 12,147
 —
Receivable due on total return swap(1) —
 4,187
Prepaid expenses and other assets 1,030
 282
   Total assets $1,739,453
 $1,261,063
Liabilities and Shareholders' Equity
Liabilities
Financing arrangements (net of unamortized debt issuance costs of $8,316 and $6,178, respectively)$1,002,396 $951,322 
Accounts payable and accrued expenses1,075 1,012 
Interest payable7,007 7,820 
Accrued management fees6,676 6,924 
Accrued subordinated incentive fee on income6,334 5,065 
Accrued administrative services expense694 1,703 
Shareholder distribution payable— 14,931 
Total liabilities1,024,182 988,777 
Commitments and contingencies (Note 4 and Note 11)
Shareholders' Equity
Common stock, $0.001 par value; 500,000,000 shares authorized; 54,961,455
and 55,299,484 shares issued and 54,961,455 and 55,299,484 shares outstanding, respectively55 55 
Capital in excess of par value1,040,955 1,044,547 
Accumulated distributable losses(210,700)(160,968)
Total shareholders' equity830,310 883,634 
Total liabilities and shareholders' equity$1,854,492 $1,872,411 
Net asset value per share of common stock at end of period$15.11 $15.98 
Liabilities and Shareholders' Equity
Liabilities    
Payable for investments purchased $55,706
 $15,837
Financing arrangements (net of unamortized debt issuance costs of $5,736 and $3,212, respectively) 625,385
 221,211
Accounts payable and accrued expenses 1,267
 1,476
Interest payable 1,977
 864
Commissions payable for common stock purchased —
 2
Accrued management fees 7,821
 5,781
Accrued administrative services expense 83
 682
Due to CIG - offering costs 27
 45
Unrealized depreciation on total return swap(1) —
 15,402
Total liabilities 692,266
 261,300
     
Commitments and contingencies (Note 4 and Note 11)    
     
Shareholders' Equity    
Common stock, $0.001 par value; 500,000,000 shares authorized;    
114,440,741 and 109,787,557 shares issued and outstanding, respectively 114
 110
Capital in excess of par value 1,064,037
 1,021,280
Undistributed net investment income 4,314
 1,428
Accumulated net realized loss from investments (4,983) —
Accumulated net unrealized appreciation (depreciation) on investments 3,441
 (7,653)
Accumulated net realized loss from total return swap(1) (19,736) —
Accumulated net unrealized depreciation on total return swap(1) —
 (15,402)
Total shareholders' equity 1,047,187
 999,763
Total liabilities and shareholders' equity $1,739,453
 $1,261,063
Net asset value per share of common stock at end of period $9.15
 $9.11
(1) See Note 7 for a discussion of the Company’s total return swap agreement.
See accompanying notes to consolidated financial statements.

1


CĪON Investment Corporation
Consolidated Statements of Operations
(in thousands, except share and per share amounts)
  Three Months Ended
September 30,		 Nine Months Ended
September 30,
  2017
2016 2017 2016
  (unaudited) (unaudited) (unaudited) (unaudited)
Investment income        
Interest income $37,212
 $18,579
 $99,117
 $53,385
Fee and other income 1,166
 154
 2,651
 449
Total investment income 38,378
 18,733
 101,768
 53,834
Operating expenses        
Management fees 7,820
 5,187
 21,724
 14,311
Administrative services expense 433
 425
 1,204
 1,151
General and administrative(1) 1,803
 1,892
 5,220
 4,944
Interest expense 6,920
 534
 15,543
 761
Total operating expenses 16,976
 8,038
 43,691
 21,167
Recoupment of expense support from CIG(2) —
 —
 —
 667
Net operating expenses 16,976
 8,038
 43,691
 21,834
Net investment income 21,402
 10,695
 58,077
 32,000
Realized and unrealized (losses) gains        
Net realized (loss) gain on investments (2,800) 379
 (5,142) 1,078
Net realized gain on foreign currency 12

—
 159
 —
Net change in unrealized appreciation on investments 1,700
 14,948
 11,094
 16,587
Net realized gain (loss) on total return swap(3) 67
 8,188
 (13,789) 23,799
Net change in unrealized appreciation on total return swap(3) —
 9,527
 15,402
 16,826
Total net realized and unrealized (losses) gains (1,021) 33,042
 7,724
 58,290
Net increase in net assets resulting from operations $20,381
 $43,737
 $65,801
 $90,290
Per share information—basic and diluted        
Net increase in net assets per share resulting from operations $0.18
 $0.41
 $0.59
 $0.86
Weighted average shares of common stock outstanding 112,954,234
 106,581,390
 111,504,552
 105,130,208
(1)  See Note 10 for details of the Company's general and administrative expenses.
(2)  See Note 4 for a discussion of expense support from CIG and recoupment of expense support.
(3)  See Note 7 for a discussion of the Company's total return swap agreement.
Three Months Ended
March 31,		Year Ended
December 31,
202320222022
(unaudited)(unaudited)
Investment income
Non-controlled, non-affiliated investments
     Interest income$42,768 $30,994 $140,560 
     Paid-in-kind interest income4,831 4,606 22,737 
     Fee income1,143 949 9,019 
     Dividend income— 46 103 
Non-controlled, affiliated investments
     Interest income2,474 1,023 5,865 
     Paid-in-kind interest income1,731 1,445 6,204 
     Fee income1,920 493 525 
     Dividend income3,881 — 79 
Controlled investments
     Interest income1,977 2,127 6,049 
     Paid-in-kind interest income— — 2,482 
     Dividend income4,250 — 1,275 
Total investment income64,975 41,683 194,898 
Operating expenses
Management fees6,676 6,655 27,361 
Administrative services expense837 720 3,348 
Subordinated incentive fee on income6,335 4,133 18,710 
General and administrative1,955 2,222 7,278 
Interest expense19,309 8,459 49,624 
Total operating expenses35,112 22,189 106,321 
   Net investment income before taxes29,863 19,494 88,577 
Income tax expense, including excise tax5 11 372 
Net investment income after taxes29,858 19,483 88,205 
Realized and unrealized (losses) gains
Net realized (losses) gains on:
   Non-controlled, non-affiliated investments(4,525)28 (11,217)
   Non-controlled, affiliated investments— (97)(21,530)
   Foreign currency— — (3)
Net realized losses(4,525)(69)(32,750)
Net change in unrealized (depreciation) appreciation on:
   Non-controlled, non-affiliated investments(41,086)(7,495)(19,807)
   Non-controlled, affiliated investments(10,290)(3,780)13,523 
   Controlled investments(5,002)(250)970 
Net change in unrealized depreciation(56,378)(11,525)(5,314)
Net realized and unrealized losses(60,903)(11,594)(38,064)
Net (decrease) increase in net assets resulting from operations$(31,045)$7,889 $50,141 
Per share information—basic and diluted
Net (decrease) increase in net assets per share resulting from operations$(0.56)$0.14 $0.89 
Net investment income per share$0.54 $0.34 $1.56 
Weighted average shares of common stock outstanding55,109,482 56,958,440 56,556,510 
See accompanying notes to consolidated financial statements.

2



CĪON Investment Corporation
Consolidated Statements of Changes in Net Assets
(in thousands, except share and per share amounts)
Three Months Ended
March 31,		Year Ended
December 31,
202320222022
(unaudited)(unaudited)
Changes in net assets from operations:
Net investment income$29,858 $19,483 $88,205 
Net realized loss on investments(4,525)(69)(32,747)
Net realized loss on foreign currency— — (3)
Net change in unrealized depreciation on investments(56,378)(11,525)(5,314)
Net (decrease) increase in net assets resulting from operations(31,045)7,889 50,141 
Changes in net assets from shareholders' distributions:
Distributions to shareholders(18,687)(15,948)(81,575)
Net decrease in net assets resulting from shareholders' distributions(18,687)(15,948)(81,575)
Changes in net assets from capital share transactions:
Repurchase of common stock(3,592)— (15,444)
Net decrease in net assets resulting from capital share transactions(3,592)— (15,444)
Total decrease in net assets(53,324)(8,059)(46,878)
Net assets at beginning of period883,634 930,512 930,512 
Net assets at end of period$830,310 $922,453 $883,634 
Net asset value per share of common stock at end of period$15.11 $16.20 $15.98 
Shares of common stock outstanding at end of period54,961,455 56,958,440 55,299,484 
  Nine Months Ended
September 30,
  2017 2016
  (unaudited) (unaudited)
Changes in net assets from operations:    
Net investment income $58,077
 $32,000
Net realized (loss) gain on investments (5,142) 1,078
Net realized gain on foreign currency 159
 —
Net change in unrealized appreciation on investments 11,094
 16,587
Net realized (loss) gain on total return swap(1) (13,789) 23,799
Net change in unrealized appreciation on total return swap(1) 15,402
 16,826
Net increase in net assets resulting from operations 65,801
 90,290
Changes in net assets from shareholders' distributions:(2)    
Net investment income (55,191) (31,744)
Net realized gain on total return swap    
Net interest and other income from TRS portfolio (3,661) (22,386)
Net gain on TRS loan sales(3) (2,286) (2,443)
Net realized gain on investments and foreign currency —
 (1,078)
Net decrease in net assets from shareholders' distributions (61,138) (57,651)
Changes in net assets from capital share transactions:    
Issuance of common stock, net of issuance costs of $1,713 and $1,739, respectively 43,227
 19,278
Reinvestment of shareholders' distributions 29,701
 29,179
Repurchase of common stock (30,167) (12,231)
Net increase in net assets resulting from capital share transactions 42,761
 36,226
     
Total increase in net assets 47,424
 68,865
Net assets at beginning of period 999,763
 904,326
Net assets at end of period $1,047,187
 $973,191
     
Net asset value per share of common stock at end of period $9.15
 $9.02
Shares of common stock outstanding at end of period 114,440,741
 107,920,075
     
Undistributed net investment income at end of period $4,314
 $256
(1)See Note 7 for a discussion of the Company’s total return swap agreement.
(2)This table presents changes in net assets from shareholders' distributions on a GAAP basis. See Note 5 for a discussion of the sources of distributions paid by the Company.
(3)During the nine months ended September 30, 2017 and 2016, the Company realized losses on TRS loans of $19,736 and $1,030, respectively, which are not currently deductible on a tax-basis. 
See accompanying notes to consolidated financial statements.

3



CĪON Investment Corporation
Consolidated Statements of Cash Flows
(in thousands)
Three Months Ended
March 31,		Year Ended
December 31,
202320222022
(unaudited)(unaudited)
Operating activities:
Net (decrease) increase in net assets resulting from operations$(31,045)$7,889 $50,141 
Adjustments to reconcile net (decrease) increase in net assets resulting from operations to net cash provided by (used in) operating activities:
Net accretion of discount on investments(4,342)(2,496)(11,032)
Proceeds from principal repayment of investments57,462 58,747 407,174 
Purchase of investments(23,048)(137,823)(550,538)
Paid-in-kind interest and dividends capitalized(6,562)(6,051)(31,446)
(Increase) decrease in short term investments, net(55,457)72,154 77,048 
Proceeds from sale of investments8,812 2,284 62,586 
Net realized loss on investments4,525 69 32,747 
Net change in unrealized depreciation on investments56,378 11,525 5,314 
Amortization of debt issuance costs895 692 3,175 
(Increase) decrease in interest receivable on investments(1,897)584 (2,821)
(Increase) decrease in dividends receivable on investments1,275 — (1,275)
(Increase) decrease in receivable due on investments sold and repaid(2,223)(4,449)1,838 
(Increase) decrease in prepaid expenses and other assets(3,727)(3,152)(359)
Increase (decrease) in payable for investments purchased— (11,327)(11,327)
Increase (decrease) in accounts payable and accrued expenses63 (1,060)(910)
Increase (decrease) in interest payable(813)(1,166)3,481 
Increase (decrease) in accrued management fees(248)(18)251 
Increase (decrease) in accrued administrative services expense(1,009)(1,219)108 
Increase (decrease) in subordinated incentive fee on income payable1,269 191 1,123 
Net cash provided by (used in) operating activities308 (14,626)35,278 
Financing activities:
Repurchase of common stock(3,592)— (15,444)
Shareholders' distributions paid(33,618)(15,948)(66,644)
Repayments under financing arrangements(27,500)— — 
Borrowings under financing arrangements80,712 45,000 127,500 
Debt issuance costs paid(3,033)(700)(1,725)
Net cash provided by financing activities12,969 28,352 43,687 
Net increase in cash13,277 13,726 78,965 
Cash, beginning of period82,739 3,774 3,774 
Cash, end of period$96,016 $17,500 $82,739 
Supplemental disclosure of cash flow information:
Cash paid for interest$19,214 $8,925 $42,930 
Supplemental non-cash financing activities:
Restructuring of portfolio investment$45,986 $— $50,554 
        Cash interest receivable exchanged for additional securities$912 $— $— 
  Nine Months Ended
September 30,
  2017
2016
  (unaudited) (unaudited)
Operating activities:    
Net increase in net assets resulting from operations $65,801
 $90,290
Adjustments to reconcile net increase in net assets resulting from operations to net cash used in    
  operating activities:    
Net accretion of discount on investments (6,799) (1,442)
Proceeds from principal repayment of investments 403,098
 126,908
Purchase of investments (1,139,000) (450,390)
Paid-in-kind interest (1,704) (596)
Increase in short term investments, net (70,312) (37,879)
Proceeds from sale of investments 218,395
 14,462
Net realized loss (gain) on investments 5,142
 (1,078)
Net unrealized appreciation on investments (11,094) (16,587)
Net unrealized appreciation on total return swap(1) (15,402) (16,826)
Amortization of deferred financing costs 1,272
 258
(Increase) decrease in due from counterparty(1) 139,715
 82,981
(Increase) decrease in interest receivable on investments (2,254) (170)
(Increase) decrease in receivable due on investments sold (12,147) (16)
(Increase) decrease in receivable due on total return swap(1) 4,187
 881
(Increase) decrease in prepaid expenses and other assets (812) (197)
Increase (decrease) in payable for investments purchased 39,869
 (9,800)
Increase (decrease) in accounts payable and accrued expenses (209) 949
Increase (decrease) in interest payable 1,113
 272
Increase (decrease) in accrued management fees 2,040
 756
Increase (decrease) in accrued administrative services expense (599) (192)
Increase (decrease) in accrued recoupment of expense support from CIG(2) —
 (480)
Increase (decrease) in due to CIG - offering costs (18) (16)
Net cash used in operating activities (379,718) (217,912)
Financing activities:    
Gross proceeds from issuance of common stock 44,940
 26,476
Commissions and dealer manager fees paid (1,715) (2,213)
Repurchase of common stock (30,167) (12,231)
Shareholders' distributions paid(3) (31,437) (28,472)
Borrowings under financing arrangements(4) 406,698
 242,423
Repayment of financing arrangements —
 (18,000)
Debt issuance costs paid (3,732) (3,322)
Net cash provided by financing activities 384,587
 204,661
Net increase (decrease) in cash and restricted cash 4,869
 (13,251)
Cash and restricted cash, beginning of period 17,046
 41,741
Cash and restricted cash, end of period $21,915
 $28,490
Supplemental disclosure of cash flow information:    
Cash paid for interest $13,075
 $232
Supplemental non-cash financing activities:    
Reinvestment of shareholders' distributions(3) $29,701
 $29,179
(1)See Note 7 for a discussion of the Company’s total return swap agreement.
(2)See Note 4 for a discussion of expense support from CIG and recoupment of expense support.
(3)See Note 5 for a discussion of the sources of distributions paid by the Company.
(4)See Note 8 for a discussion of the Company’s financing arrangements.
See accompanying notes to consolidated financial statements.

4


CĪON Investment Corporation
Consolidated Schedule of Investments (unaudited)
September 30, 2017March 31, 2023
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(d)
 Cost(m) 
Fair
Value(c)
Senior Secured First Lien Debt - 103.1%          
AbelConn, LLC / Atrenne Computing Solutions, LLC / Airco Industries, LLC, L+875, 1.00% LIBOR Floor, 7/17/2019 (j)(n)(p) 3 Month LIBOR Aerospace & Defense $19,291
 $19,031
 $19,243
Academy, Ltd., L+400, 1.00% LIBOR Floor, 7/1/2022 (o) Various Retail 14,611
 11,619
 9,950
Access CIG, LLC, L+500, 1.00% LIBOR Floor, 10/18/2021 (o) 1 Month LIBOR Services: Business 6,746
 6,788
 6,791
Accruent, LLC, L+475, 1.00% LIBOR Floor, 7/28/2023 3 Month LIBOR High Tech Industries 3,887
 3,822
 3,829
Accruent, LLC, 0.75% Unfunded, 7/28/2018 None High Tech Industries 2,866
 —
 (15)
Adams Publishing Group, LLC, L+700, 1.00% LIBOR Floor, 11/3/2020 (n) 3 Month LIBOR Media: Advertising, Printing & Publishing 4,396
 4,344
 4,352
Adams Publishing Group, LLC, 0.50% Unfunded, 6/2/2018 None Media: Advertising, Printing & Publishing 1,136
 —
 (11)
Advanced Integration Technology LP, L+475, 1.00% LIBOR Floor, 4/3/2023 (o) 1 Month LIBOR Aerospace & Defense 3,980
 4,014
 3,970
ALM Media, LLC, L+450, 1.00% LIBOR Floor, 7/31/2020 (o) 3 Month LIBOR Media: Advertising, Printing & Publishing 7,580
 7,278
 6,936
Alvogen Pharma US, Inc., L+500, 1.00% LIBOR Floor, 4/1/2022 (o) 1 Month LIBOR Healthcare & Pharmaceuticals 8,313
 8,275
 8,296
American Clinical Solutions LLC, L+950, 1.00% LIBOR Floor, 6/11/2020 3 Month LIBOR Healthcare & Pharmaceuticals 8,834
 8,733
 8,547
American Dental Partners, Inc., L+475, 1.00% LIBOR Floor, 8/29/2021 (o) 3 Month LIBOR Healthcare & Pharmaceuticals 10,694
 10,241
 10,641
American Energy - Marcellus, LLC, L+425, 1.00% LIBOR Floor, 8/4/2020 (r) 1 Month LIBOR Energy: Oil & Gas 4,033
 2,963
 3,014
American Media, Inc., L+900, 1.00% LIBOR Floor, 8/24/2020 (n) 3 Month LIBOR Media: Advertising, Printing & Publishing 16,148
 15,809
 16,552
American Media, Inc., 9.00% Unfunded, 8/24/2020 (e) None Media: Advertising, Printing & Publishing 154
 —
 4
American Media, Inc., 0.50% Unfunded, 8/24/2020 None Media: Advertising, Printing & Publishing 143
 —
 4
American Teleconferencing Services, Ltd., L+650, 1.00% LIBOR Floor, 12/8/2021 (n)(o)(p) 1 Month LIBOR Telecommunications 21,617
 19,866
 20,968
AMPORTS, Inc., L+500, 1.00% LIBOR Floor, 5/19/2020 (j)(n)(p) 3 Month LIBOR Automotive 18,943
 18,661
 18,753
AMZ Holding Corp., L+500, 1.00% LIBOR Floor, 6/27/2022 1 Month LIBOR Chemicals, Plastics & Rubber 6,740
 6,644
 6,639
AP Exhaust Acquisition, LLC, L+500, 1.00% LIBOR Floor, 5/10/2024 (o) 3 Month LIBOR Automotive 5,627
 5,431
 5,514
ASG Technologies Group, Inc., L+475, 1.00% LIBOR Floor, 7/31/2024 (o) 1 Month LIBOR High Tech Industries 5,000
 4,975
 5,063
Associated Asphalt Partners, LLC, L+525, 1.00% LIBOR Floor, 4/5/2024 (o) 1 Month LIBOR Construction & Building 1,259
 1,254
 1,241
Avaya Inc., L+750, 1.00% LIBOR Floor, 1/24/2018 1 Month LIBOR Telecommunications 3,509
 3,497
 3,544
Avaya Inc., L+525, 1.00% LIBOR Floor, 5/29/2020 (o) 3 Month LIBOR Telecommunications 14,689
 11,941
 12,480
Azure Midstream Energy, LLC, L+650, 1.00% LIBOR Floor, 11/15/2018 (o) 1 Month LIBOR Energy: Oil & Gas 2,188
 2,117
 1,958
Bakemark Holdings, Inc., L+525, 1.00% LIBOR Floor, 8/14/2023 3 Month LIBOR Beverage, Food & Tobacco 2,314
 2,246
 2,245
Caraustar Industries, Inc., L+550, 1.00% LIBOR Floor, 3/14/2022 (o) 3 Month LIBOR Forest Products & Paper 5,591
 5,655
 5,598
Central Security Group, Inc., L+563, 1.00% LIBOR Floor, 10/6/2021 (o) 1 Month LIBOR Services: Consumer 17,945
 17,978
 18,034
CF Entertainment Inc., L+850, 1.00% LIBOR Floor, 1/27/2023 (n)(p) 6 Month LIBOR Media: Diversified & Production 50,000
 49,070
 49,625
CF Entertainment Inc., L+850, 1.00% LIBOR Floor, 1/27/2023 6 Month LIBOR Media: Diversified & Production 15,000
 14,721
 14,963
CF Entertainment Inc., L+850, 1.00% LIBOR Floor, 1/27/2023 6 Month LIBOR Media: Diversified & Production 7,500
 7,500
 7,463
CF Entertainment Inc., L+850, 1.00% LIBOR Floor, 1/27/2023 6 Month LIBOR Media: Diversified & Production 5,000
 4,813
 4,963
CF Entertainment Inc., 2.00% Unfunded, 1/28/2019 None Media: Diversified & Production 5,000
 —
 (38)
Charming Charlie, LLC, L+800, 1.00% LIBOR Floor, 12/24/2019 (r)(s) 3 Month LIBOR Retail 7,791
 4,388
 3,701
Command Alkon Inc., L+500, 1.00% LIBOR Floor, 9/1/2023 1 Month LIBOR High Tech Industries 7,560
 7,470
 7,408
Portfolio Company(a)Interest(b)MaturityIndustryPrincipal/
Par Amount/
Units(e)		Cost(d)Fair
Value(c)
Senior Secured First Lien Debt - 177.4%
Adapt Laser Acquisition, Inc.(t)(x)L+1200, 1.00% LIBOR Floor12/31/2023Capital Equipment$11,012 $11,012 $10,740 
Adapt Laser Acquisition, Inc.(t)(x)L+1200, 1.00% LIBOR Floor12/31/2023Capital Equipment2,082 2,082 1,947 
Afore Insurance Services, LLC(m)(r)(aa)S+600, 0.00% SOFR Floor3/24/2025Banking, Finance, Insurance & Real Estate4,583 4,583 4,572 
AHF Parent Holding, Inc.(n)(aa)S+625, 0.75% SOFR Floor2/1/2028Construction & Building2,850 2,802 2,744 
Allen Media, LLC(n)(aa)S+550, 0.00% SOFR Floor2/10/2027Media: Diversified & Production8,841 8,775 8,553 
ALM Media, LLC(m)(n)(x)L+600, 1.00% LIBOR Floor11/25/2024Media: Advertising, Printing & Publishing16,750 16,634 16,771 
American Clinical Solutions LLC(m)(t)(w)
L+700, 1.00% LIBOR Floor
12/31/2024Healthcare & Pharmaceuticals4,797 4,797 4,629 
American Consolidated Natural Resources, Inc.(m)(t)(x)L+1600, 1.00% LIBOR Floor9/16/2025Metals & Mining47 35 47 
American Health Staffing Group, Inc.(m)(y)S+600, 1.00% SOFR Floor11/19/2026Services: Business16,500 16,378 16,500 
American Health Staffing Group, Inc.0.50% Unfunded11/19/2026Services: Business3,333 (24)— 
American Teleconferencing Services, Ltd.(q)Prime+5506/30/2022Telecommunications3,116 3,116 140 
American Teleconferencing Services, Ltd.(o)0.50% Unfunded6/30/2022Telecommunications235 — — 
Analogic Corp.(m)(n)(x)L+525, 1.00% LIBOR Floor6/21/2024Healthcare & Pharmaceuticals4,838 4,815 4,807 
Ancile Solutions, Inc.(m)(t)(x)L+1000, 1.00% LIBOR Floor6/11/2026High Tech Industries11,998 11,734 11,638 
Anthem Sports & Entertainment Inc.(m)(t)(x)L+950, 1.00% LIBOR Floor11/15/2026Media: Diversified & Production37,076 36,932 35,500 
Anthem Sports & Entertainment Inc.(x)L+950, 1.00% LIBOR Floor11/15/2026Media: Diversified & Production3,000 3,000 2,873 
Anthem Sports & Entertainment Inc.0.50% Unfunded11/15/2026Media: Diversified & Production167 — (7)
Appalachian Resource Company, LLC(w)L+500, 1.00% LIBOR Floor9/10/2023Metals & Mining11,137 10,807 10,789 
Appalachian Resource Company, LLC(w)L+1000, 1.00% LIBOR Floor9/10/2023Metals & Mining5,000 5,000 5,000 
Archer Systems, LLC(m)(aa)S+600, 1.00% SOFR Floor8/11/2027Services: Business18,050 17,892 18,073 
Archer Systems, LLC0.50% Unfunded8/11/2027Services: Business1,905 (17)2 
Associated Asphalt Partners, LLC(m)(n)(x)L+525, 1.00% LIBOR Floor4/5/2024Construction & Building14,178 14,045 10,888 
Atlas Supply LLC11.00%4/29/2025Healthcare & Pharmaceuticals5,000 5,000 4,938 
Avison Young (USA) Inc.(m)(w)S+575, 0.00% SOFR Floor1/31/2026Banking, Finance, Insurance & Real Estate2,658 2,634 2,425 
BDS Solutions Intermediateco, LLC(m)(aa)S+625, 1.00% SOFR Floor2/7/2027Services: Business20,044 19,736 19,668 
BDS Solutions Intermediateco, LLC(aa)S+625, 1.00% SOFR Floor2/7/2027Services: Business859 802 843 
BDS Solutions Intermediateco, LLC0.50% Unfunded2/7/2027Services: Business1,998 — (37)
Berlitz Holdings, Inc.(z)S+900, 1.00% SOFR Floor2/14/2025Services: Business13,800 13,080 13,248 
Bradshaw International Parent Corp.(m)(w)L+ 575, 1.00% LIBOR Floor10/21/2027Consumer Goods: Durable12,991 12,730 12,618 
Bradshaw International Parent Corp.0.50% Unfunded10/21/2026Consumer Goods: Durable1,844 (33)(53)
See accompanying notes to consolidated financial statements.

5


CĪON Investment Corporation
Consolidated Schedule of Investments (unaudited)
September 30, 2017March 31, 2023
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(d)
 Cost(m) 
Fair
Value(c)
Confie Seguros Holding II Co., L+550, 1.00% LIBOR Floor, 4/16/2022 (o) 1 Month LIBOR Banking, Finance, Insurance & Real Estate 14,942
 14,832
 14,634
Covenant Surgical Partners, Inc., L+475, 0.00% LIBOR Floor, 10/4/2024 (i) 3 Month LIBOR Healthcare & Pharmaceuticals 1,874
 1,869
 1,888
Covenant Surgical Partners, Inc., 0.00% Unfunded, 10/4/2018 (e) None Healthcare & Pharmaceuticals 562
 (1) 4
CSP Technologies North America, LLC, L+525, 1.00% LIBOR Floor, 1/29/2022 (p) 3 Month LIBOR Chemicals, Plastics & Rubber 13,553
 13,307
 13,587
David's Bridal, Inc., L+400, 1.25% LIBOR Floor, 10/11/2019 (o) 3 Month LIBOR Retail 3,477
 2,990
 2,738
DBRS, Inc., L+525, 1.00% LIBOR Floor, 3/4/2022 (h)(o) 3 Month LIBOR Services: Business 5,922
 5,724
 5,878
Deluxe Entertainment Services Group Inc., L+550, 1.00% LIBOR Floor, 2/28/2020 (o) 3 Month LIBOR Media: Diversified & Production 9,865
 9,826
 9,933
DFC Global Facility Borrower II LLC, L+1075, 1.00% LIBOR Floor, 9/27/2022 1 Month LIBOR Services: Consumer 37,200
 36,901
 37,014
DFC Global Facility Borrower II LLC, 0.50% Unfunded, 9/27/2019 (e) None Services: Consumer 22,800
 —
 (114)
Dodge Data & Analytics, LLC / Skyline Data News and Analytics, LLC, L+875, 1.00% LIBOR Floor, 10/31/2019 (n) 3 Month LIBOR Construction & Building 10,012
 9,907
 9,849
DXP Enterprises, Inc., L+550, 1.00% LIBOR Floor, 8/29/2023 (h)(o) 1 Month LIBOR Energy: Oil & Gas 10,000
 9,901
 9,963
EagleTree-Carbide Acquisition Corp., L+475, 1.00% LIBOR Floor, 9/27/2024 (i) 3 Month LIBOR Consumer Goods: Durable 10,000
 9,900
 10,006
Eastman Kodak Company, L+625, 1.00% LIBOR Floor, 9/3/2019 (h)(o) 3 Month LIBOR Consumer Goods: Durable 1,996
 1,991
 1,972
Elemica, Inc., L+800, 1.00% LIBOR Floor, 7/7/2021 (n)(p) 1 Month LIBOR High Tech Industries 17,281
 16,928
 17,065
Elemica, Inc., 0.50% Unfunded, 7/7/2021 (e) None High Tech Industries 2,500
 (47) (31)
Emmis Operating Company, L+700, 1.00% LIBOR Floor, 4/18/2019 (o) 1 Month LIBOR Media: Broadcasting & Subscription 3,627
 3,439
 3,522
Entertainment Studios P&A LLC, 5.00%, 5/18/2037 None Media: Diversified & Production 15,000
 14,704
 21,216
Entertainment Studios P&A LLC, 15.00%, 9/1/2037 None Media: Diversified & Production 7,500
 7,352
 4,613
EnTrans International, LLC, L+750, 1.00% LIBOR Floor, 6/4/2020 3 Month LIBOR Capital Equipment 13,312
 10,366
 11,449
Evergreen Skills Lux S.À.R.L., L+475, 1.00% LIBOR Floor, 4/28/2021 (h)(o) 1 Month LIBOR High Tech Industries 10,236
 9,566
 9,705
Everi Payments Inc., L+450, 1.00% LIBOR Floor, 5/9/2024 (o) 1 Month LIBOR Hotel, Gaming & Leisure 4,183
 4,163
 4,223
F+W Media, Inc., L+1000, 1.50% LIBOR Floor, 5/24/2022 (n)(r)(s) 1 Month LIBOR Media: Diversified & Production 2,661
 2,665
 2,113
F+W Media, Inc., L+650, 1.50% LIBOR Floor, 5/24/2022 1 Month LIBOR Media: Diversified & Production 1,106
 1,106
 1,162
Forbes Media LLC, L+675, 1.00% LIBOR Floor, 9/12/2019 (j)(p) 1 Month LIBOR Media: Advertising, Printing & Publishing 15,000
 14,717
 14,888
Frontline Technologies Group Holding LLC, L+650, 1.00% LIBOR Floor, 9/18/2023 3 Month LIBOR High Tech Industries 2,755
 2,722
 2,722
Frontline Technologies Group Holding LLC, 1.00% Unfunded, 9/18/2019 (e) None High Tech Industries 540
 —
 (6)
FWR Holding Corp., L+600, 1.00% LIBOR Floor, 8/21/2023 1 Month LIBOR Hotel, Gaming & Leisure 1,062
 1,036
 1,035
Global Franchise Group, LLC, L+575, 1.00% LIBOR Floor, 12/18/2019 3 Month LIBOR Beverage, Food & Tobacco 2,166
 2,145
 2,145
GTCR-Ultra Acquisition, Inc., L+600, 1.00% LIBOR Floor, 8/1/2024 (e) 1 Month LIBOR Healthcare & Pharmaceuticals 5,432
 5,300
 5,323
Harland Clarke Holdings Corp., L+550, 1.00% LIBOR Floor, 2/9/2022 (o) 3 Month LIBOR Services: Business 14,724
 14,835
 14,830
Healogics, Inc., L+425, 1.00% LIBOR Floor, 7/1/2021 (o) 3 Month LIBOR Healthcare & Pharmaceuticals 4,862
 4,583
 4,011
Heartland Dental, LLC, L+475, 1.00% LIBOR Floor, 7/31/2023 (o) 3 Month LIBOR Healthcare & Pharmaceuticals 4,000
 3,981
 4,030
Help/Systems Holdings, Inc., L+450, 1.00% LIBOR Floor, 10/8/2021 (o) 3 Month LIBOR Services: Business 11,939
 11,926
 12,018
Infinity Sales Group, LLC, L+1050, 1.00% LIBOR Floor, 11/21/2018 (n) 1 Month LIBOR Services: Business 7,806
 7,402
 7,201
Infogroup Inc., L+500, 1.00% LIBOR Floor, 4/3/2023 (o) 3 Month LIBOR Media: Advertising, Printing & Publishing 9,453
 9,487
 9,216
International Seaways, Inc., L+550, 1.00% LIBOR Floor, 6/22/2022 (h)(o) 1 Month LIBOR Transportation: Cargo 10,000
 9,807
 9,844
Intertain Group Ltd., L+650, 1.00% LIBOR Floor, 4/8/2022 (h)(n) 3 Month LIBOR Hotel, Gaming & Leisure 1,610
 1,586
 1,630
Portfolio Company(a)Interest(b)MaturityIndustryPrincipal/
Par Amount/
Units(e)		Cost(d)Fair
Value(c)
Cabi, LLC(m)(z)S+950, 1.00% SOFR Floor2/28/2027Retail21,931 21,656 21,602 
Cadence Aerospace, LLC(m)(n)(t)(x)L+850, 1.00% LIBOR Floor11/14/2023Aerospace & Defense39,491 39,388 39,195 
Carestream Health, Inc.(n)(r)(z)S+750, 1.00% SOFR Floor9/30/2027Healthcare & Pharmaceuticals7,596 7,596 7,520 
CB URS Holdings Corp.(m)(q)(x)L+575, 1.00% LIBOR Floor9/1/2024Transportation: Cargo14,826 14,797 10,656 
Celerity Acquisition Holdings, LLC(m)(x)L+850, 1.00% LIBOR Floor5/28/2026Services: Business14,738 14,738 14,443 
Cennox, Inc.(m)(x)L+600, 1.00% LIBOR Floor5/4/2026Services: Business22,455 22,455 22,371 
Cennox, Inc.(m)(n)(x)L+600, 1.00% LIBOR Floor5/4/2026Services: Business11,666 11,613 11,623 
Cennox, Inc.L+600, 1.00% LIBOR Floor5/4/2026Services: Business2,987 2,987 2,976 
Cennox, Inc.1.00% Unfunded11/22/2023Services: Business7,193 — (27)
CION/EagleTree Partners, LLC(h)(s)(t)14.00%12/21/2026Diversified Financials54,827 54,827 54,827 
CircusTrix Holdings, LLC(m)(n)(w)L+550, 1.00% LIBOR Floor1/16/2024Hotel, Gaming & Leisure26,763 26,725 26,763 
CircusTrix Holdings, LLC(m)(w)L+550, 1.00% LIBOR Floor1/16/2024Hotel, Gaming & Leisure2,725 2,703 2,725 
CircusTrix Holdings, LLC(m)(w)L+550, 1.00% LIBOR Floor7/16/2023Hotel, Gaming & Leisure754 745 900 
Community Tree Service, LLC(m)(aa)S+850, 1.00% SOFR Floor6/17/2027Construction & Building12,438 12,438 11,878 
Country Fresh Holdings, LLC(q)(x)L+500, 1.00% LIBOR Floor4/29/2023Beverage, Food & Tobacco877 765 75 
Country Fresh Holdings, LLC(q)(x)L+500, 1.00% LIBOR Floor4/29/2023Beverage, Food & Tobacco355 316 30 
Coyote Buyer, LLC(m)(n)(x)L+600, 1.00% LIBOR Floor2/6/2026Chemicals, Plastics & Rubber33,950 33,798 33,611 
Coyote Buyer, LLC(n)(x)L+800, 1.00% LIBOR Floor8/6/2026Chemicals, Plastics & Rubber6,109 6,032 6,109 
Coyote Buyer, LLC0.50% Unfunded2/6/2025Chemicals, Plastics & Rubber2,500 — (25)
Critical Nurse Staffing, LLC(m)(x)L+600, 1.00% LIBOR Floor11/1/2026Healthcare & Pharmaceuticals12,895 12,895 12,895 
Critical Nurse Staffing, LLC(m)(x)L+600, 1.00% LIBOR Floor11/1/2026Healthcare & Pharmaceuticals996 996 996 
Critical Nurse Staffing, LLC(x)L+600, 1.00% LIBOR Floor11/1/2026Healthcare & Pharmaceuticals760 760 760 
Critical Nurse Staffing, LLC1.00% Unfunded11/1/2026Healthcare & Pharmaceuticals4,899 — — 
Critical Nurse Staffing, LLC0.50% Unfunded11/1/2026Healthcare & Pharmaceuticals240 — — 
David's Bridal, LLC(m)(q)(t)(x)L+1000, 1.00% LIBOR Floor5/23/2024Retail13,166 12,419 7,702 
David's Bridal, LLC(m)(q)(t)(x)L+1000, 1.00% LIBOR Floor5/23/2024Retail5,426 5,426 3,038 
David's Bridal, LLC(q)(t)(x)L+1000, 1.00% LIBOR Floor12/23/2024Retail6,014 5,457 — 
David's Bridal, LLC(q)(t)(x)L+700, 1.00% LIBOR Floor12/31/2024Retail865 793 — 
Deluxe Entertainment Services, Inc.(m)(q)(r)(t)(x)L+650, 1.00% LIBOR Floor3/25/2024Media: Diversified & Production2,593 2,542 130 
Dermcare Management, LLC(m)(z)S+600, 1.00% SOFR Floor4/22/2028Healthcare & Pharmaceuticals9,332 9,165 9,251 
Dermcare Management, LLC(m)(z)S+600, 1.00% SOFR Floor4/22/2028Healthcare & Pharmaceuticals3,531 3,453 3,501 
Dermcare Management, LLCPrime+6004/22/2028Healthcare & Pharmaceuticals358 358 355 
Dermcare Management, LLC0.50% Unfunded10/22/2023Healthcare & Pharmaceuticals698 — (6)
See accompanying notes to consolidated financial statements.

6


CĪON Investment Corporation
Consolidated Schedule of Investments (unaudited)
September 30, 2017March 31, 2023
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(d)
 Cost(m) 
Fair
Value(c)
iPipeline, Inc., L+625, 1.00% LIBOR Floor, 8/4/2022 1 Month LIBOR High Tech Industries 8,874
 8,684
 8,697
Ipsen, Inc., L+700, 1.00% LIBOR Floor, 9/30/2019 (j)(p) 1 Month LIBOR Capital Equipment 8,095
 8,021
 8,075
Ipsen International GmbH, L+800, 1.00% LIBOR Floor, 9/30/2019 (h)(j) 1 Month LIBOR Capital Equipment 1,295
 1,299
 1,295
Island Medical Management Holdings, LLC, L+550, 1.00% LIBOR Floor, 9/1/2022 (p) 3 Month LIBOR Healthcare & Pharmaceuticals 13,743
 13,569
 13,568
Island Medical Management Holdings, LLC, 1.00% Unfunded, 9/1/2022 (e) None Healthcare & Pharmaceuticals 1,188
 —
 (15)
ITC Service Group Acquisition LLC, L+950, 0.50% LIBOR Floor, 5/26/2021 (j)(p) 1 Month LIBOR High Tech Industries 11,250
 11,065
 11,109
Kingpin Intermediate Holdings LLC, L+425, 1.00% LIBOR Floor, 6/29/2024 (o) 3 Month LIBOR Hotel, Gaming & Leisure 9,975
 9,925
 10,044
KLO Intermediate Holdings, LLC, L+775, 1.25% LIBOR Floor, 4/7/2022 (p) 1 Month LIBOR Chemicals, Plastics & Rubber 4,412
 4,361
 4,357
KLO Intermediate Holdings, LLC, L+775, 1.25% LIBOR Floor, 4/7/2022 (p) 1 Month LIBOR Chemicals, Plastics & Rubber 7,621
 7,532
 7,526
KNB Holdings Corp., L+550, 1.00% LIBOR Floor, 4/26/2024 (o) 3 Month LIBOR Consumer Goods: Durable 16,000
 15,691
 15,920
Labvantage Solutions Inc., L+800, 1.00% LIBOR Floor, 12/29/2020 (p) 1 Month LIBOR High Tech Industries 4,688
 4,651
 4,734
Labvantage Solutions Ltd., E+800, 1.00% EURIBOR Floor, 12/29/2020 (h) 1 Month EURIBOR High Tech Industries €4,294
 4,790
 5,124
Lift Brands, Inc., L+800, 1.00% LIBOR Floor, 12/23/2019 (n) 3 Month LIBOR Services: Consumer 9,226
 9,143
 9,203
Logix Communications, LP, L+575, 1.00% LIBOR Floor, 8/9/2024 (i)(o) (u) Telecommunications 5,250
 5,198
 5,198
Lonestar Prospects, Ltd., 0.00% Unfunded, 12/31/2017 (e) None Energy: Oil & Gas 18,985
 (363) (380)
LTCG Holdings Corp., L+500, 1.00% LIBOR Floor, 6/6/2020 (o) 1 Month LIBOR Services: Business 5,911
 5,582
 5,793
MB2 Dental Solutions, LLC, L+475, 1.00% LIBOR Floor, 9/29/2023 3 Month LIBOR Healthcare & Pharmaceuticals 2,191
 2,163
 2,163
Ministry Brands, LLC, L+500, 1.00% LIBOR Floor, 12/2/2022 (n) 1 Month LIBOR Services: Business 4,960
 4,777
 4,960
Ministry Brands, LLC, L+500, 1.00% LIBOR Floor, 12/2/2022 1 Month LIBOR Services: Business 1,097
 1,097
 1,097
Ministry Brands, LLC, L+100, 1.00% LIBOR Floor, Unfunded, 2/22/2019 (e) 1 Month LIBOR Services: Business 2,795
 —
 —
Moss Holding Company, L+675, 1.00% LIBOR Floor, 4/17/2023 (n)(p) 3 Month LIBOR Services: Business 18,924
 18,607
 18,640
Moss Holding Company, 0.75% Unfunded, 5/7/2018 (e) None Services: Business 1,046
 —
 (16)
Moss Holding Company, 0.50% Unfunded, 4/17/2023 (e) None Services: Business 2,232
 —
 (33)
MSHC, Inc., L+425, 1.00% LIBOR Floor, 7/31/2023 3 Month LIBOR Services: Business 2,853
 2,839
 2,839
Murray Energy Corp., L+725, 1.00% LIBOR Floor, 4/16/2020 (o) 3 Month LIBOR Metals & Mining 3,639
 3,548
 3,341
Nathan's Famous Inc., 10.00%, 3/15/2020 (h)(n) None Beverage, Food & Tobacco 6,000
 6,000
 6,311
Navex Global, Inc., L+425, 1.00% LIBOR Floor, 11/19/2021 (o) 1 Month LIBOR High Tech Industries 17,957
 18,010
 17,979
Nextech Systems, LLC, L+725, 1.00% LIBOR Floor, 6/22/2021 (j)(n) 1 Month LIBOR High Tech Industries 15,242
 14,747
 14,938
Opal Acquisition, Inc., L+400, 1.00% LIBOR Floor, 11/27/2020 (o) 3 Month LIBOR Healthcare & Pharmaceuticals 10,235
 9,680
 9,682
Orbcomm Inc., 8.00%, 4/1/2024 (n) None Telecommunications 9,237
 9,237
 9,912
P.F. Chang's China Bistro, Inc., L+500, 1.00% LIBOR Floor, 9/1/2022 (i)(o) 1 Month LIBOR Beverage, Food & Tobacco 10,000
 9,700
 9,600
Paris Presents Inc., L+500, 1.00% LIBOR Floor, 12/31/2020 (p) 1 Month LIBOR Consumer Goods: Durable 8,954
 8,874
 8,954
PDI TA Holdings, Inc., L+475, 1.00% LIBOR Floor, 8/25/2023 (n) 3 Month LIBOR High Tech Industries 5,667
 5,554
 5,552
PDI TA Holdings, Inc., 0.50% Unfunded, 8/24/2018 (e) None High Tech Industries 1,283
 —
 (20)
Petroflow Energy Corp., L+800, 1.00% LIBOR Floor, 6/29/2019 (n)(r)(s) 1 Month LIBOR Energy: Oil & Gas 4,028
 3,863
 3,705
Portfolio Company(a)Interest(b)MaturityIndustryPrincipal/
Par Amount/
Units(e)		Cost(d)Fair
Value(c)
Dermcare Management, LLC0.50% Unfunded4/22/2028Healthcare & Pharmaceuticals985 — (9)
DMT Solutions Global Corp.(n)(u)L+750, 1.00% LIBOR Floor7/2/2024Services: Business3,910 3,884 3,721 
Emerald Technologies (U.S.) Acquisitionco, Inc.(n)(z)S+625, 1.00% SOFR Floor12/29/2027Services: Business2,925 2,876 2,779 
Entertainment Studios P&A LLC(m)(aa)S+850, 1.00% SOFR Floor9/28/2027Media: Diversified & Production23,488 23,400 23,488 
Entertainment Studios P&A LLC(j)5.00%5/18/2037Media: Diversified & Production— — 1,368 
Flatworld Intermediate Corp.(n)(aa)S+600, 1.00% SOFR Floor10/3/2027Services: Business25,072 25,072 25,260 
Flatworld Intermediate Corp.0.50% Unfunded10/3/2027Services: Business5,865 — 44 
FuseFX, LLC(m)(n)(w)S+575, 1.00% SOFR Floor10/1/2024Media: Diversified & Production19,744 19,640 19,547 
Fusion Connect Inc.(m)(t)(x)L+850, 1.00% LIBOR Floor1/18/2027High Tech Industries19,677 19,222 19,677 
Future Pak, LLC(m)(w)L+1000, 2.00% LIBOR Floor7/2/2024Healthcare & Pharmaceuticals22,183 22,183 22,183 
Gold Medal Holdings, Inc.(m)(aa)S+700, 1.00% SOFR Floor3/17/2027Services: Business14,759 14,639 14,575 
GSC Technologies Inc.(r)(w)L+500, 1.00% LIBOR Floor9/30/2025Chemicals, Plastics & Rubber2,404 2,329 2,094 
GSC Technologies Inc.(r)(t)(w)L+500, 1.00% LIBOR Floor9/30/2025Chemicals, Plastics & Rubber935 905 612 
GSC Technologies Inc.(r)(t)(w)L+1000, 1.00% LIBOR Floor9/30/2025Chemicals, Plastics & Rubber150 150 150 
H.W. Lochner, Inc.(m)(x)L+575, 1.00% LIBOR Floor7/2/2027Construction & Building8,828 8,763 8,828 
H.W. Lochner, Inc.(m)(x)S +675, 1.00% SOFR Floor7/2/2027Construction & Building7,439 7,229 7,215 
H.W. Lochner, Inc.(x)L+575, 1.00% LIBOR Floor7/2/2027Construction & Building775 765 775 
H.W. Lochner, Inc.0.50% Unfunded7/2/2027Construction & Building225 — — 
Harland Clarke Holdings Corp.(m)(x)S+775, 1.00% SOFR Floor6/16/2026Services: Business9,186 9,180 7,674 
Heritage Power, LLCPrime+5007/30/2026Energy: Oil & Gas8,622 6,908 3,837 
Hilliard, Martinez & Gonzales, LLP(m)(t)(w)L+1200, 2.00% LIBOR Floor12/17/2023Services: Consumer22,706 22,670 22,706 
Hollander Intermediate LLC(m)(aa)S+875, 2.00% SOFR Floor9/19/2026Consumer Goods: Durable17,249 16,832 16,538 
Homer City Generation, L.P.(m)(q)(t)15.00%4/5/2023Energy: Oil & Gas12,222 12,076 8,209 
Homer City Generation, L.P.(t)17.00%5/31/2023Energy: Oil & Gas1,000 1,000 1,060 
Hudson Hospital Opco, LLC(m)(n)(z)S+800, 3.00% SOFR Floor11/4/2023Healthcare & Pharmaceuticals2,186 2,146 2,169 
HUMC Holdco, LLC(m)(x)S+800, 3.00% SOFR Floor11/4/2023Healthcare & Pharmaceuticals7,827 7,827 7,827 
HW Acquisition, LLC(m)Prime+5009/28/2026Capital Equipment18,828 18,694 17,393 
HW Acquisition, LLCPrime+5009/28/2026Capital Equipment733 713 677 
HW Acquisition, LLC0.50% Unfunded9/28/2026Capital Equipment2,200 — (168)
ICA Foam Holdings, LLC(m)(aa)S+675, 1.00% SOFR Floor11/5/2025Containers, Packaging & Glass19,900 19,555 19,477 
IJKG Opco LLC(m)(n)(z)S+800, 3.00% SOFR Floor11/4/2023Healthcare & Pharmaceuticals1,457 1,432 1,446 
Independent Pet Partners Intermediate Holdings, LLC(q)(t)6.00%11/20/2023Retail10,934 10,905 4,702 
Independent Pet Partners Intermediate Holdings, LLC(t)Prime+9004/16/2023Retail2,491 2,308 2,491 
Independent Pet Partners Intermediate Holdings, LLC(t)(z)S+1000, 1.00% SOFR Floor2/27/2023Retail1,577 1,681 1,577 
Independent Pet Partners Intermediate Holdings, LLC(t)Prime+9004/16/2023Retail1,397 1,374 1,397 
See accompanying notes to consolidated financial statements.

7


CĪON Investment Corporation
Consolidated Schedule of Investments (unaudited)
September 30, 2017March 31, 2023
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(d)
 Cost(m) 
Fair
Value(c)
Photonis Technologies SAS, L+750, 1.00% LIBOR Floor, 9/18/2019 (h)(o) 3 Month LIBOR Aerospace & Defense 6,397
 5,552
 5,598
Plano Molding Company, LLC, L+750, 1.00% LIBOR Floor, 5/12/2021 (n) 1 Month LIBOR Consumer Goods: Non-Durable 8,774
 8,687
 8,160
Practice Insight, LLC, L+500, 1.00% LIBOR Floor, 8/23/2022 (n) 1 Month LIBOR High Tech Industries 6,567
 6,405
 6,402
Project Leopard Holdings, Inc., L+550, 1.00% LIBOR Floor, 7/7/2023 (o) 3 Month LIBOR High Tech Industries 4,000
 3,991
 4,050
PSC Industrial Holdings Corp., L+475, 1.00% LIBOR Floor, 12/5/2020 (o) 3 Month LIBOR Services: Business 4,863
 4,649
 4,863
Radio One, Inc., L+400, 1.00% LIBOR Floor, 4/18/2023 (o) 3 Month LIBOR Media: Broadcasting & Subscription 2,973
 2,945
 2,928
Rimini Street, Inc., 15.00%, 6/24/2020 (s) None High Tech Industries 13,773
 13,539
 16,073
Robertshaw US Holding Corp., L+450, 0.00% LIBOR Floor, 8/10/2024 (o) 1 Month LIBOR Chemicals, Plastics & Rubber 3,155
 3,131
 3,186
Russell Investments US Institutional Holdco, Inc., L+425, 1.00% LIBOR Floor, 6/1/2023 (o) 1 Month LIBOR Banking, Finance, Insurance & Real Estate 3,970
 4,022
 4,032
Sequoia Healthcare Management, LLC, 16.00%, 7/17/2019 (n)(s) None Healthcare & Pharmaceuticals 5,935
 5,885
 5,935
SFE Intermediate Holdco LLC, L+500, 1.00% LIBOR Floor, 7/31/2023 (n) 3 Month LIBOR Beverage, Food & Tobacco 4,782
 4,687
 4,686
SG Acquisition, Inc., L+500, 1.00% LIBOR Floor, 3/29/2024 (o) 3 Month LIBOR Banking, Finance, Insurance & Real Estate 4,159
 4,121
 4,133
Shift PPC LLC, L+600, 1.00% LIBOR Floor, 12/22/2021 (p) 3 Month LIBOR High Tech Industries 4,878
 4,775
 4,878
SI Organization, Inc., L+475, 1.00% LIBOR Floor, 11/23/2019 (o) 3 Month LIBOR Services: Business 7,693
 7,785
 7,810
Southcross Holdings Borrower LP, 9.00%, 4/13/2023 (s) None Energy: Oil & Gas 179
 158
 156
Spinal USA, Inc. / Precision Medical Inc., L+950, 1.00% LIBOR Floor, 1/21/2020 (n) 3 Month LIBOR Healthcare & Pharmaceuticals 12,758
 12,692
 12,662
Spinal USA, Inc. / Precision Medical Inc., L+950, 1.00% LIBOR Floor, 7/21/2020 (s) 3 Month LIBOR Healthcare & Pharmaceuticals 252
 250
 249
Sprint Industrial Holdings, LLC, L+575, 1.25% LIBOR Floor, 5/14/2019 (n) 3 Month LIBOR Energy: Oil & Gas 8,045
 7,656
 7,361
STG-Fairway Acquisitions, Inc., L+525, 1.00% LIBOR Floor, 6/30/2022 (o) 3 Month LIBOR Services: Business 3,929
 3,821
 3,826
Studio Movie Grill Holdings, LLC, L+725, 1.00% LIBOR Floor, 9/30/2020 (e)(n) 3 Month LIBOR Hotel, Gaming & Leisure 16,925
 16,811
 16,925
Survey Sampling International, LLC, L+500, 1.00% LIBOR Floor, 12/16/2020 (o) 3 Month LIBOR Services: Business 7,820
 7,854
 7,703
Teladoc, Inc., L+725, 1.00% LIBOR Floor, 7/14/2022 (h) 1 Month LIBOR High Tech Industries 15,000
 14,855
 15,300
Teladoc, Inc., 0.50% Unfunded, 7/14/2020 (e)(h) None High Tech Industries 1,250
 (47) 25
Telestream Holdings Corp., L+677, 1.00% LIBOR Floor, 1/15/2020 (j)(n) 3 Month LIBOR High Tech Industries 8,662
 8,472
 8,402
Tenere Inc., L+1000, 1.00% LIBOR Floor, 12/23/2021 (n)(p) 3 Month LIBOR Capital Equipment 31,840
 31,671
 31,044
Tensar Corp., L+475, 1.00% LIBOR Floor, 7/9/2021 (o) 3 Month LIBOR Chemicals, Plastics & Rubber 13,236
 12,429
 12,475
Therapure Biopharma Inc., L+875, 0.50% LIBOR Floor, 12/1/2021 (h) 1 Month LIBOR Healthcare & Pharmaceuticals 15,000
 14,935
 15,713
U.S. Renal Care, Inc., L+425, 1.00% LIBOR Floor, 12/30/2022 (o) 3 Month LIBOR Healthcare & Pharmaceuticals 7,967
 7,780
 7,740
Vero Parent, Inc., L+500, 1.00% LIBOR Floor, 8/16/2024 (o) 3 Month LIBOR High Tech Industries 15,000
 14,851
 14,906
Vince, LLC, L+700, 1.00% LIBOR Floor, 11/27/2019 (h)(o) 3 Month LIBOR Retail 901
 864
 789
Visual Edge Technology, Inc., L+575, 1.00% LIBOR Floor, 8/31/2022 3 Month LIBOR Services: Business 12,469
 12,222
 12,220
Visual Edge Technology, Inc., L+575, 1.00% LIBOR Floor, 8/31/2022 3 Month LIBOR Services: Business 1,918
 1,871
 1,899
Visual Edge Technology, Inc., 0.75% Unfunded, 2/28/2019 (e) None Services: Business 2,878
 —
 (29)
WD Wolverine Holdings, LLC, L+550, 1.00% LIBOR Floor, 8/16/2022 (o) 3 Month LIBOR Healthcare & Pharmaceuticals 14,319
 14,016
 13,961
Western Dental Services, Inc., L+525, 1.00% LIBOR Floor, 6/30/2023 (o) 1 Month LIBOR Healthcare & Pharmaceuticals 2,191
 2,170
 2,210
Portfolio Company(a)Interest(b)MaturityIndustryPrincipal/
Par Amount/
Units(e)		Cost(d)Fair
Value(c)
Inotiv, Inc.(m)(x)S+625, 1.00% SOFR Floor11/5/2026Healthcare & Pharmaceuticals16,391 16,154 15,818 
Instant Web, LLC(m)(n)(r)(t)(w)L+700, 1.00% LIBOR Floor2/25/2027Media: Advertising, Printing & Publishing40,985 40,985 24,847 
Instant Web, LLC(r)(w)L+650, 1.00% LIBOR Floor2/25/2027Media: Advertising, Printing & Publishing1,186 1,186 1,180 
Instant Web, LLC(r)Prime+3752/25/2027Media: Advertising, Printing & Publishing458 458 469 
Instant Web, LLC(r)0.50% Unfunded2/25/2027Media: Advertising, Printing & Publishing1,517 — (8)
Instant Web, LLC(r)0.50% Unfunded2/25/2027Media: Advertising, Printing & Publishing3,246 — (16)
Invincible Boat Company LLC(m)(x)L+650, 1.50% LIBOR Floor8/28/2025Consumer Goods: Durable13,536 13,453 13,469 
Invincible Boat Company LLC(x)L+650, 1.50% LIBOR Floor8/28/2025Consumer Goods: Durable559 559 556 
Invincible Boat Company LLC0.50% Unfunded8/28/2025Consumer Goods: Durable239 — (1)
INW Manufacturing, LLC(n)(x)L+575, 0.75% LIBOR Floor3/25/2027Services: Business18,500 18,098 17,205 
Ironhorse Purchaser, LLC(n)(aa)S+650, 1.00% SOFR Floor9/30/2027Services: Business7,107 7,042 7,036 
Ironhorse Purchaser, LLC(aa)S+650, 1.00% SOFR Floor9/30/2027Services: Business2,036 2,018 2,015 
Ironhorse Purchaser, LLC(aa)S+650, 1.00% SOFR Floor9/30/2027Services: Business109 101 108 
Ironhorse Purchaser, LLC0.50% Unfunded9/30/2027Services: Business707 — (7)
Isagenix International, LLC(m)(x)L+775, 1.00% LIBOR Floor6/14/2025Beverage, Food & Tobacco16,229 15,192 13,916 
Jenny C Acquisition, Inc.(q)(t)(x)L+900, 1.75% LIBOR Floor10/1/2024Services: Consumer11,789 11,745 2,358 
Jenny C Acquisition, Inc.(t)(z)S+800, 1.75% SOFR Floor10/1/2024Services: Consumer443 443 443 
JP Intermediate B, LLC(m)(x)L+550, 1.00% LIBOR Floor11/20/2025Beverage, Food & Tobacco13,208 13,082 7,837 
K&N Parent, Inc.(t)(z)S+825, 1.00% SOFR Floor8/14/2027Consumer Goods: Durable5,441 5,441 5,427 
K&N Parent, Inc.(z)S+800, 1.00% SOFR Floor2/14/2027Consumer Goods: Durable4,263 4,111 4,439 
Klein Hersh, LLC(m)(t)(z)S+1139, 0.50% SOFR Floor4/27/2027Services: Business20,273 20,273 20,222 
KNB Holdings Corp.(q)(m)(y)L+550, 1.00% LIBOR Floor4/26/2024Consumer Goods: Durable7,634 7,387 1,651 
LAV Gear Holdings, Inc.(m)(n)(t)(aa)S+628, 1.00% SOFR Floor10/31/2024Services: Business27,788 27,598 27,651 
LAV Gear Holdings, Inc.(m)(n)(t)(aa)S+628, 1.00% SOFR Floor10/31/2024Services: Business4,558 4,555 4,541 
LGC US Finco, LLC(m)(w)L+650, 1.00% LIBOR Floor12/20/2025Capital Equipment11,454 11,225 11,124 
Lift Brands, Inc.(m)(n)(r)(w)L+750, 1.00% LIBOR Floor6/29/2025Services: Consumer23,228 23,228 23,228 
Lift Brands, Inc.(m)(n)(r)(t)9.50%6/29/2025Services: Consumer5,642 5,583 5,332 
Lift Brands, Inc.(m)(n)(r)(t)9.50%6/29/2025Services: Consumer5,296 4,982 4,648 
MacNeill Pride Group Corp.(m)(aa)S+650, 1.00% SOFR Floor4/22/2026Services: Consumer17,759 17,670 17,404 
MacNeill Pride Group Corp.(m)(aa)S+650, 1.00% SOFR Floor4/22/2026Services: Consumer7,890 7,823 7,732 
MacNeill Pride Group Corp.1.00% Unfunded4/30/2024Services: Consumer2,017 — (40)
Manus Bio Inc.13.00%8/20/2026Healthcare & Pharmaceuticals13,719 13,644 13,719 
Mimeo.com, Inc.(m)(x)L+680, 1.00% LIBOR Floor12/21/2024Media: Advertising, Printing & Publishing22,156 22,156 21,990 
Mimeo.com, Inc.(x)L+680, 1.00% LIBOR Floor12/21/2024Media: Advertising, Printing & Publishing2,256 2,256 2,239 
Mimeo.com, Inc.1.00% Unfunded12/21/2024Media: Advertising, Printing & Publishing3,000 — (23)
Moss Holding Company(m)(n)(t)(aa)S+650, 1.00% SOFR Floor4/17/2024Services: Business19,526 19,464 18,842 
See accompanying notes to consolidated financial statements.



8

CĪON Investment Corporation
Consolidated Schedule of Investments (unaudited)
September 30, 2017March 31, 2023
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(d)
 Cost(m) 
Fair
Value(c)
Woodstream Corp., L+625, 1.00% LIBOR Floor, 5/29/2022 3 Month LIBOR Consumer Goods: Non-Durable 7,896
 7,862
 7,896
Woodstream Corp., 0.75% Unfunded, 5/29/2021 (e) None Consumer Goods: Non-Durable 1,553
 —
 —
Total Senior Secured First Lien Debt 
 
 
 1,069,271
 1,079,520
Senior Secured Second Lien Debt - 38.4%          
ABG Intermediate Holdings 2 LLC, L+775, 1.00% LIBOR Floor, 9/29/2025 (i)(n) 3 Month LIBOR Retail 6,475
 6,427
 6,556
Access CIG, LLC, L+875, 1.00% LIBOR Floor, 10/17/2022 (p) 1 Month LIBOR Services: Business 16,030
 15,512
 15,709
Accruent, LLC, L+875, 1.00% LIBOR Floor, 7/28/2024 3 Month LIBOR High Tech Industries 749
 717
 738
Accruent, LLC, 0.75% Unfunded, 7/28/2018 (e) None High Tech Industries 1,414
 —
 (7)
ALM Media, LLC, L+800, 1.00% LIBOR Floor, 7/30/2021 (n)(p) 3 Month LIBOR Media: Advertising, Printing & Publishing 10,344
 10,231
 9,206
American Residential Services LLC, L+800, 1.00% LIBOR Floor, 12/31/2022 (n) 1 Month LIBOR Construction & Building 4,933
 4,894
 4,958
American Seafoods Group LLC, L+813, 1.00% LIBOR Floor, 2/21/2024 3 Month LIBOR Beverage, Food & Tobacco 18,233
 17,874
 17,869
Avalign Technologies, Inc., L+825, 1.00% LIBOR Floor, 7/15/2022 3 Month LIBOR Healthcare & Pharmaceuticals 5,500
 5,447
 5,445
Command Alkon Inc., L+900, 1.00% LIBOR Floor, 3/1/2024 1 Month LIBOR High Tech Industries 2,440
 2,404
 2,404
Confie Seguros Holding II Co., L+975, 1.25% LIBOR Floor, 5/8/2019 1 Month LIBOR Banking, Finance, Insurance & Real Estate 4,577
 4,471
 4,497
Conisus, LLC, L+875, 1.00% LIBOR Floor, 6/23/2021 3 Month LIBOR Healthcare & Pharmaceuticals 11,750
 9,868
 9,400
Drew Marine Group, Inc., L+700, 1.00% LIBOR Floor, 5/19/2021 (h)(n) 1 Month LIBOR Chemicals, Plastics & Rubber 9,500
 9,462
 9,500
EagleTree-Carbide Acquisition Corp., L+825, 1.00% LIBOR Floor, 8/28/2025 (i) 3 Month LIBOR Consumer Goods: Durable 20,000
 19,700
 19,800
Elements Behavioral Health, Inc., L+1200, 1.00% LIBOR Floor, 2/11/2020 (r)(s) 3 Month LIBOR Healthcare & Pharmaceuticals 6,287
 6,054
 4,841
Emerald 3 Ltd., L+700, 1.00% LIBOR Floor, 5/16/2022 (h)(n) 3 Month LIBOR Environmental Industries 3,000
 2,981
 2,813
Evergreen Skills Lux S.À.R.L., L+825, 1.00% LIBOR Floor, 4/28/2022 (h)(n) 1 Month LIBOR High Tech Industries 9,999
 7,158
 8,249
Flexera Software LLC, L+700, 1.00% LIBOR Floor, 4/2/2021 (p) 3 Month LIBOR High Tech Industries 9,385
 9,166
 9,421
Genex Holdings, Inc., L+775, 1.00% LIBOR Floor, 5/30/2022 (n)(p) 1 Month LIBOR Services: Business 11,410
 11,331
 11,324
GHX Ultimate Parent Corp., L+800, 1.00% LIBOR Floor, 6/30/2025 3 Month LIBOR Healthcare & Pharmaceuticals 13,926
 13,517
 13,508
Global Tel*Link Corp., L+775, 1.25% LIBOR Floor, 11/23/2020 (p) 3 Month LIBOR Telecommunications 9,500
 9,492
 9,488
GOBP Holdings, Inc., L+825, 1.00% LIBOR Floor, 10/21/2022 (o) 3 Month LIBOR Retail 4,000
 4,020
 4,045
Institutional Shareholder Services Inc., L+850, 1.00% LIBOR Floor, 4/30/2022 (n) 1 Month LIBOR Services: Business 10,648
 10,543
 10,648
Medical Solutions Holdings, Inc., L+825, 1.00% LIBOR Floor, 6/16/2025 (n) 3 Month LIBOR Healthcare & Pharmaceuticals 10,000
 9,856
 9,950
Ministry Brands, LLC, L+925, 1.00% LIBOR Floor, 6/2/2023 (n) 1 Month LIBOR Services: Business 7,000
 6,902
 7,000
Ministry Brands, LLC, L+925, 1.00% LIBOR Floor, 6/2/2023 1 Month LIBOR Services: Business 292
 292
 292
Ministry Brands, LLC, L+100, 1.00% LIBOR Floor, Unfunded, 2/22/2019 (e) 1 Month LIBOR Services: Business 742
 —
 —
Mitchell International, Inc., L+750, 1.00% LIBOR Floor, 10/11/2021 (n)(o) 3 Month LIBOR High Tech Industries 14,909
 14,533
 15,105
MSHC, Inc., L+825, 1.00% LIBOR Floor, 7/31/2024 2 Month LIBOR Services: Business 2,081
 2,015
 2,013
Niacet Corp., E+875, 1.00% EURIBOR Floor, 8/1/2024 (h) 3 Month EURIBOR
 Chemicals, Plastics & Rubber €7,489
 7,938
 8,671
Onex Carestream Finance LP, L+850, 1.00% LIBOR Floor, 12/7/2019 (o) 3 Month LIBOR Healthcare & Pharmaceuticals 12,030
 11,014
 11,767
Onex TSG Holdings II Corp., L+850, 1.00% LIBOR Floor, 7/31/2023 (n)(o) 1 Month LIBOR Healthcare & Pharmaceuticals 12,249
 12,143
 12,180
Paris Presents Inc., L+875, 1.00% LIBOR Floor, 12/31/2021 (n) 1 Month LIBOR Consumer Goods: Durable 3,500
 3,435
 3,465
Portfolio Company(a)Interest(b)MaturityIndustryPrincipal/
Par Amount/
Units(e)		Cost(d)Fair
Value(c)
Moss Holding Company6.25% Unfunded4/17/2024Services: Business106 — (4)
Moss Holding Company0.50% Unfunded4/17/2024Services: Business2,126 — (74)
Neptune Flood Inc.(m)(x)L+600, 1.00% LIBOR Floor10/21/2026Banking, Finance, Insurance & Real Estate6,208 6,175 6,270 
NewsCycle Solutions, Inc.(m)(n)(x)S +700, 1.00% SOFR Floor12/29/2023Media: Advertising, Printing & Publishing12,413 12,408 12,413 
NWN Parent Holdings LLC(m)(x)S+800, 1.00% SOFR Floor5/7/2026High Tech Industries12,688 12,611 12,577 
NWN Parent Holdings LLC(x)S+800, 1.00% SOFR Floor5/7/2026High Tech Industries1,020 1,008 1,011 
NWN Parent Holdings LLC0.50% Unfunded5/7/2026High Tech Industries480 — (4)
OpCo Borrower, LLC(m)(z)S+650, 1.00% SOFR Floor8/19/2027Healthcare & Pharmaceuticals11,315 11,205 11,315 
OpCo Borrower, LLC0.50% Unfunded8/19/2027Healthcare & Pharmaceuticals1,042 — — 
Optio Rx, LLC(m)(n)(w)L+700, 0.00% LIBOR Floor6/28/2024Healthcare & Pharmaceuticals15,929 15,900 15,610 
Optio Rx, LLC(n)(w)L+1000, 0.00% LIBOR Floor6/28/2024Healthcare & Pharmaceuticals2,515 2,507 2,615 
Pentec Acquisition Corp.(m)(w)L+600, 1.00% LIBOR Floor10/8/2026Healthcare & Pharmaceuticals24,688 24,509 24,688 
PH Beauty Holdings III. Inc.(m)(x)L+500, 0.00% LIBOR Floor9/28/2025Consumer Goods: Non-Durable9,550 9,208 8,679 
Playboy Enterprises, Inc.(h)(n)(y)L+625, 0.50% LIBOR Floor5/25/2027Consumer Goods: Non-Durable19,527 19,166 18,599 
Project Castle, Inc.(m)(aa)S+550, 0.50% SOFR Floor6/1/2029Services: Business9,950 8,985 8,520 
RA Outdoors, LLC(m)(aa)S+675, 1.00% SOFR Floor4/8/2026Media: Diversified & Production10,979 10,979 10,938 
RA Outdoors, LLC(m)(aa)S+775, 1.00% SOFR Floor4/8/2026Media: Diversified & Production315 145 314 
RA Outdoors, LLC0.50% Unfunded4/8/2026Media: Diversified & Production735 — (1)
Retail Services WIS Corp.(m)(x)L+775, 1.00% LIBOR Floor5/20/2025Services: Business9,423 9,264 9,140 
Robert C. Hilliard, L.L.P.(m)(t)(w)L+1200, 2.00% LIBOR Floor12/17/2023Services: Consumer1,890 1,890 1,890 
Rogers Mechanical Contractors, LLC(m)(t)(ab)S+800, 1.00% SOFR Floor9/9/2025Services: Business16,173 16,173 16,133 
Rogers Mechanical Contractors, LLC(t)(ab)S+800, 1.00% SOFR Floor9/9/2025Services: Business1,538 1,538 1,535 
Rogers Mechanical Contractors, LLC(m)(t)(ab)S+800, 1.00% SOFR Floor9/9/2025Services: Business951 951 949 
Rogers Mechanical Contractors, LLC1.00% Unfunded4/28/2023Services: Business962 — (2)
Rogers Mechanical Contractors, LLC0.75% Unfunded9/9/2025Services: Business865 — (2)
RumbleOn, Inc.(m)(x)L+825, 1.00% LIBOR Floor8/31/2026Automotive13,284 12,542 12,587 
RumbleOn, Inc.(m)(x)L+825, 1.00% LIBOR Floor8/31/2026Automotive4,019 3,992 3,808 
Securus Technologies Holdings, Inc.(m)(x)L+450, 1.00% LIBOR Floor11/1/2024Telecommunications3,858 3,433 3,848 
Sequoia Healthcare Management, LLC(m)(n)(q)12.75%11/4/2023Healthcare & Pharmaceuticals8,525 8,456 10,720 
Service Compression, LLC(m)(t)(aa)S+1000, 1.00% SOFR Floor5/6/2027Energy: Oil & Gas23,091 22,763 23,091 
Service Compression, LLC(m)(aa)S+1000, 1.00% SOFR Floor5/6/2027Energy: Oil & Gas4,564 4,461 4,565 
Service Compression, LLC0.50% Unfunded5/6/2025Energy: Oil & Gas2,791 — — 
Sleep Opco, LLC(m)(x)L+650, 1.00% LIBOR Floor10/12/2026Retail13,739 13,539 13,619 
Sleep Opco, LLC(x)L+650, 1.00% LIBOR Floor10/12/2026Retail525 500 520 
Sleep Opco, LLC(m)(x)L+700, 1.00%LIBOR Floor10/12/2026Retail400 394 397 
Sleep Opco, LLC0.50% Unfunded10/12/2026Retail1,225 — (11)
Spinal USA, Inc. / Precision Medical Inc.(m)(t)(x)L+9505/29/2023Healthcare & Pharmaceuticals13,855 13,851 7,343 
See accompanying notes to consolidated financial statements.

9


CĪON Investment Corporation
Consolidated Schedule of Investments (unaudited)
September 30, 2017March 31, 2023
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(d)
 Cost(m) 
Fair
Value(c)
Patterson Medical Supply, Inc., L+850, 1.00% LIBOR Floor, 8/28/2023 (n) 3 Month LIBOR Healthcare & Pharmaceuticals 13,500
 13,379
 13,163
PDI TA Holdings, Inc., L+875, 1.00% LIBOR Floor, 8/25/2024 1 Month LIBOR High Tech Industries 2,500
 2,447
 2,447
PDI TA Holdings, Inc., 0.50% Unfunded, 8/24/2018 (e) None High Tech Industries 550
 —
 (12)
Pelican Products, Inc., L+825, 1.00% LIBOR Floor, 4/11/2021 (o) 3 Month LIBOR Chemicals, Plastics & Rubber 3,469
 3,458
 3,469
PetroChoice Holdings, Inc., L+875, 1.00% LIBOR Floor, 8/21/2023 (n) 1 Month LIBOR Chemicals, Plastics & Rubber 15,000
 14,719
 14,738
PFS Holding Corp., L+725, 1.00% LIBOR Floor, 1/31/2022 (o) 1 Month LIBOR Retail 4,998
 4,680
 4,273
Premiere Global Services, Inc., L+950, 1.00% LIBOR Floor, 6/6/2022 (n) 1 Month LIBOR Telecommunications 3,000
 2,892
 2,895
PSC Industrial Holdings Corp., L+825, 1.00% LIBOR Floor, 12/5/2021 (n) 1 Month LIBOR Services: Business 10,000
 9,862
 10,000
Robertshaw US Holding Corp., L+900, 0.00% LIBOR Floor, 2/10/2025 1 Month LIBOR Chemicals, Plastics & Rubber 5,000
 4,855
 4,994
Securus Technologies Holdings, Inc., L+775, 1.25% LIBOR Floor, 4/30/2021 (o)(p) 3 Month LIBOR Telecommunications 5,500
 5,478
 5,514
Securus Technologies Holdings, Inc., L+825, 1.00% LIBOR Floor, 6/20/2025 (i)(p) 1 Month LIBOR Telecommunications 2,942
 2,913
 2,968
SMG, L+825, 1.00% LIBOR Floor, 2/27/2021 (n) 1 Month LIBOR Hotel, Gaming & Leisure 6,142
 6,142
 6,126
STG-Fairway Acquisitions, Inc., L+925, 1.00% LIBOR Floor, 6/30/2023 (n)(o) 3 Month LIBOR Services: Business 10,000
 9,879
 9,000
Survey Sampling International, LLC, L+900, 1.00% LIBOR Floor, 12/16/2021 (n) 3 Month LIBOR Services: Business 5,000
 4,931
 4,950
TexOak Petro Holdings LLC, 8.00%, 12/29/2019 (r)(s) None Energy: Oil & Gas 7,137
 2,360
 —
TMK Hawk Parent, Corp., L+800, 1.00% LIBOR Floor, 8/28/2025 (n) 3 Month LIBOR Services: Business 13,393
 13,061
 13,058
TouchTunes Interactive Networks, Inc., L+825, 1.00% LIBOR Floor, 5/29/2022 (p) 3 Month LIBOR Hotel, Gaming & Leisure 6,000
 5,949
 6,007
U.S. Anesthesia Partners, Inc., L+725, 1.00% LIBOR Floor, 6/23/2025 1 Month LIBOR Healthcare & Pharmaceuticals 10,235
 10,085
 10,081
U.S. Renal Care, Inc., L+800, 1.00% LIBOR Floor, 12/29/2023 (n) 3 Month LIBOR Healthcare & Pharmaceuticals 5,000
 4,917
 4,875
Wand Intermediate I LP, L+725, 1.00% LIBOR Floor, 9/19/2022 (n) 3 Month LIBOR Automotive 16,000
 15,875
 16,080
Winebow Holdings, Inc., L+750, 1.00% LIBOR Floor, 1/2/2022 (n) 1 Month LIBOR Beverage, Food & Tobacco 12,823
 12,577
 11,990
Zywave Inc., L+900, 1.00% LIBOR Floor, 11/17/2023 (n) 3 Month LIBOR High Tech Industries 5,000
 4,932
 4,988
Total Senior Secured Second Lien Debt       404,788
 402,459
Collateralized Securities and Structured Products - Debt - 2.7%          
Deutsche Bank AG Frankfurt CRAFT 2014-1 Class Credit Linked Note, L+965, 5/15/2019 (h) 3 Month LIBOR Diversified Financials 4,304
 4,304
 4,200
Deutsche Bank AG Frankfurt CRAFT 2015-2 Class Credit Linked Note, L+925, 1/16/2022 (h) 3 Month LIBOR Diversified Financials 15,500
 15,500
 14,993
Ivy Hill Middle Market Credit Fund VII, Ltd. Class E Notes, L+565, 10/20/2025 (g)(h) 3 Month LIBOR Diversified Financials 2,000
 1,887
 1,931
NXT Capital CLO 2014-1, LLC Class E Notes, L+550, 4/23/2026 (g)(h) 3 Month LIBOR Diversified Financials 7,500
 7,127
 7,160
Total Collateralized Securities and Structured Products - Debt       28,818
 28,284
Collateralized Securities and Structured Products - Equity - 2.8%          
Anchorage Capital CLO 2012-1, Ltd. Subordinated Notes, 2.82% Estimated Yield, 1/13/2025 (h) (f) Diversified Financials 4,000
 2,621
 2,244
APIDOS CLO XVI Subordinated Notes, 11.84% Estimated Yield, 1/19/2025 (h) (f) Diversified Financials 9,000
 4,140
 3,569
CENT CLO 19 Ltd. Subordinated Notes, 6.47% Estimated Yield, 10/29/2025 (h) (f) Diversified Financials 2,000
 1,305
 1,087
Galaxy XV CLO Ltd. Class A Subordinated Notes, 4.60% Estimated Yield, 4/15/2025 (h) (f) Diversified Financials 4,000
 2,356
 2,189
Portfolio Company(a)Interest(b)MaturityIndustryPrincipal/
Par Amount/
Units(e)		Cost(d)Fair
Value(c)
Spinal USA, Inc. / Precision Medical Inc.(m)(t)(x)L+9505/29/2023Healthcare & Pharmaceuticals1,231 1,231 603 
Spinal USA, Inc. / Precision Medical Inc.(m)(t)(x)L+9505/29/2023Healthcare & Pharmaceuticals586 586 592 
Spinal USA, Inc. / Precision Medical Inc.(m)(t)(x)L+9505/29/2023Healthcare & Pharmaceuticals791 710 388 
Spinal USA, Inc. / Precision Medical Inc.(m)(t)(x)L+9505/29/2023Healthcare & Pharmaceuticals752 752 368 
Spinal USA, Inc. / Precision Medical Inc.(m)(t)(x)L+9505/29/2023Healthcare & Pharmaceuticals627 562 332 
STATinMED, LLC(r)(t)(z)S+950, 2.00% SOFR Floor7/1/2027Healthcare & Pharmaceuticals9,548 9,548 9,333 
STATinMED, LLC(r)(t)(z)S+950, 2.00% SOFR Floor7/1/2027Healthcare & Pharmaceuticals160 157 162 
Thrill Holdings LLC(m)(aa)S+650, 1.00% SOFR Floor5/27/2027Media: Diversified & Production20,265 20,265 19,940 
Thrill Holdings LLC(aa)S+650, 1.00% SOFR Floor5/27/2027Media: Diversified & Production1,739 1,739 1,730 
Thrill Holdings LLC1.00% Unfunded5/27/2024Media: Diversified & Production3,261 — (16)
Trademark Global, LLC(m)(t)(w)L+750, 1.00% LIBOR Floor7/30/2024Consumer Goods: Non-Durable15,492 15,460 15,027 
Trammell, P.C.(t)(z)S+1550, 2.00% SOFR Floor4/28/2026Services: Consumer13,129 13,129 13,096 
USALCO, LLC(m)(x)L+600, 1.00% LIBOR Floor10/19/2027Chemicals, Plastics & Rubber24,688 24,493 24,441 
Williams Industrial Services Group, Inc.(n)(t)(aa)S+1100, 1.00% SOFR Floor12/16/2025Services: Business7,509 7,509 7,681 
Williams Industrial Services Group, Inc.(aa)S+1100, 1.00% SOFR Floor12/16/2025Services: Business429 429 686 
Williams Industrial Services Group, Inc.1.00% Unfunded4/15/2023Services: Business1,000 — — 
Wok Holdings Inc.(m)(x)L+650, 0.00% LIBOR Floor3/1/2026Beverage, Food & Tobacco25,039 24,329 22,661 
WorkGenius, Inc.(m)(aa)S+700, 0.50% SOFR Floor6/7/2027Services: Business10,411 10,411 10,411 
WorkGenius, Inc.(aa)S+700, 0.50% SOFR Floor6/7/2027Services: Business180 166 180 
WorkGenius, Inc.0.50% Unfunded6/7/2027Services: Business570 — — 
Xenon Arc, Inc.(m)(x)L+525, 0.75% LIBOR Floor12/17/2027High Tech Industries3,905 3,869 3,866 
Yak Access, LLC(m)(aa)S+640, 1.00% SOFR Floor3/10/2028Construction & Building2,972 2,972 2,976 
Total Senior Secured First Lien Debt1,567,330 1,472,453 
Senior Secured Second Lien Debt - 4.7%
Global Tel*Link Corp.(n)(aa)S+1000, 0.00% SOFR Floor11/29/2026Telecommunications11,500 11,386 11,443 
OpCo Borrower, LLC(m)12.50%2/19/2028Healthcare & Pharmaceuticals12,500 11,697 11,500 
RA Outdoors, LLC(m)(aa)S+900, 1.00% SOFR Floor10/8/2026Media: Diversified & Production1,823 1,823 1,820 
Securus Technologies Holdings, Inc.(x)L+825, 1.00% LIBOR Floor11/1/2025Telecommunications2,942 2,929 2,884 
TMK Hawk Parent, Corp.(x)L+800, 1.00% LIBOR Floor8/28/2025Services: Business13,393 13,267 11,350 
Total Senior Secured Second Lien Debt41,102 38,997 
Collateralized Securities and Structured Products - Equity - 0.1%
APIDOS CLO XVI Subordinated Notes(g)(h)0.00% Estimated Yield1/19/2025Diversified Financials9,000 1,217 48 
Galaxy XV CLO Ltd. Class A Subordinated Notes(g)(h)19.30% Estimated Yield4/15/2025Diversified Financials4,000 1,389 1,085 
Total Collateralized Securities and Structured Products - Equity2,606 1,133 
Unsecured Debt - 1.9%
Lucky Bucks Holdings LLC(q)(t)12.50%5/29/2028Hotel, Gaming & Leisure23,572 22,860 8,132 
See accompanying notes to consolidated financial statements.

10


CĪON Investment Corporation
Consolidated Schedule of Investments (unaudited)
September 30, 2017March 31, 2023
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(d)
 Cost(m) 
Fair
Value(c)
Ivy Hill Middle Market Credit Fund VII, Ltd. Subordinated Notes, 10.40% Estimated Yield, 10/20/2025 (h) (f) Diversified Financials 2,000
 1,581
 1,479
Ivy Hill Middle Market Credit Fund VIII, Ltd. Subordinated Loan, 10.35% Estimated Yield, 2/2/2026 (e)(h) (f) Diversified Financials 10,000
 9,857
 9,662
Ivy Hill Middle Market Credit Fund IX, Ltd. Subordinated Notes, 14.21% Estimated Yield, 10/18/2025 (h) (f) Diversified Financials 8,146
 5,933
 5,885
Ivy Hill Middle Market Credit Fund X, Ltd., 10.06% Estimated Yield, 7/24/2027 (h) (f) Diversified Financials 4,760
 3,744
 3,473
Total Collateralized Securities and Structured Products - Equity       31,537
 29,588
Unsecured Debt - 0.7%          
Visual Edge Technology, Inc., 12.50%, 8/31/2024 None Services: Business 7,519
 7,333
 7,331
Total Unsecured Debt       7,333
 7,331
Equity - 0.4%          
Commerce Topco, LLC (q)   Healthcare & Pharmaceuticals 87 Units
 85
 85
Commerce Parent, Inc. (q)   Healthcare & Pharmaceuticals 87 Units
 87
 87
F+W Media, Inc. (q)   Media: Diversified & Production 31,211 Units
 —
 —
Mooregate ITC Acquisition, LLC, Class A Units (q)   High Tech Industries 500 Units
 563
 450
NS NWN Acquisition, LLC (q)   High Tech Industries 404 Units
 393
 450
NSG Co-Invest (Bermuda) LP (h)(q)   Consumer Goods: Durable 1,575 Units
 1,000
 875
Spinal USA, Inc. / Precision Medical Inc., Warrants (q)   Healthcare & Pharmaceuticals 1,551,569 Units
 853
 853
Southcross Holdings LP, Class A-II Units (q)   Energy: Oil & Gas 188 Units
 75
 127
Southcross Holdings GP, LLC, Units (q)   Energy: Oil & Gas 188 Units
 —
 —
Speed Commerce Investment Part, LLC (q)   High Tech Industries 629 Units
 2,640
 900
Tenere Inc. Warrant (q)   Capital Equipment N/A
 161
 36
TexOak Petro Holdings LLC (q)   Energy: Oil & Gas 60,000 Units
 —
 —
Total Equity       5,857
 3,863
Short Term Investments - 13.5%(k)          
First American Treasury Obligations Fund, Class Z Shares, 0.89% (l)       140,810
 140,810
Total Short Term Investments       140,810
 140,810
TOTAL INVESTMENTS - 161.6%       $1,688,414
 1,691,855
LIABILITIES IN EXCESS OF OTHER ASSETS - (61.6%)         (644,668)
NET ASSETS - 100%         $1,047,187
Portfolio Company(a)InterestMaturityIndustryPrincipal/
Par Amount/
Units(e)		Cost(d)Fair
Value(c)
WPLM Acquisition Corp.(t)15.00%11/24/2025Media: Advertising, Printing & Publishing7,623 7,571 7,385 
Total Unsecured Debt30,431 15,517 
Equity - 15.5%
ARC Financial Partners, LLC, Membership Interests (25% ownership)(o)(r)Metals & MiningNA— — 
Ascent Resources - Marcellus, LLC, Membership Units(o)Energy: Oil & Gas511,255 Units1,642 1,074 
Carestream Health Holdings Inc., Common Stock(o)(r)Healthcare & Pharmaceuticals613,262 Units21,758 19,710 
CF Arch Holdings LLC, Class A Units(o)Services: Business380,952 Units381 457 
CION/EagleTree Partners, LLC, Participating Preferred Shares(h)(s)Diversified Financials22,072,841 Units22,073 25,764 
CION/EagleTree Partners, LLC, Membership Units (85% ownership)(h)(o)(s)Diversified FinancialsNA— — 
DBI Investors, Inc., Series A1 Preferred Stock(o)Retail20,000 Units802 — 
DBI Investors, Inc., Series A2 Preferred Stock(o)Retail1,733 Units— — 
DBI Investors, Inc., Series A Preferred Stock(o)Retail1,396 Units140 — 
DBI Investors, Inc., Series B Preferred Stock(o)Retail4,183 Units410 — 
DBI Investors, Inc., Common Stock(o)Retail39,423 Units— — 
DBI Investors, Inc., Reallocation Rights(o)Retail7,500 Units— — 
FWS Parent Holdings, LLC, Class A Membership Interests(o)Services: Business35,242 Units800 707 
GSC Technologies Inc., Common Shares(o)(r)Chemicals, Plastics & Rubber807,268 Units— — 
Independent Pet Partners Intermediate Holdings, LLC, Class A Preferred Units(o)Retail1,000,000 Units1,000 — 
Independent Pet Partners Intermediate Holdings, LLC, Class B-2 Preferred Units(m)(o)Retail2,632,771 Units2,133 — 
Independent Pet Partners Intermediate Holdings, LLC, Class C Preferred Units(m)(o)Retail2,632,771 Units2,633 — 
Independent Pet Partners Intermediate Holdings, LLC, Warrants(o)Retail155,880 Units— — 
Instant Web Holdings, LLC, Class A Common Units(o)(r)Media: Advertising, Printing & Publishing10,819 Units— — 
K&N Holdco, LLC, Membership Units(o)Consumer Goods: Durable458,364 Units8,355 6,867 
Language Education Holdings GP LLC, Common Units(o)(r)Services: Business366,667 Units— — 
Language Education Holdings LP, Ordinary Common Units(o)(r)Services: Business366,667 Units825 1,287 
Longview Intermediate Holdings C, LLC, Membership Units(r)Energy: Oil & Gas653,989 Units2,704 22,680 
Mount Logan Capital Inc., Common Stock(f)(h)(r)Banking, Finance, Insurance & Real Estate1,075,557 Units3,534 2,204 
New Giving Acquisition, Inc., Warrants(o)Healthcare & Pharmaceuticals4,630 Units633 1,152 
NS NWN Acquisition, LLC, Class A Preferred Units(o)High Tech Industries111 Units110 1,028 
NS NWN Acquisition, LLC, Common Equity(o)High Tech Industries346 Units393 — 
NS NWN Holdco LLC, Non-Voting Units(o)High Tech Industries522 Units504 227 
NSG Co-Invest (Bermuda) LP, Partnership Interests(h)(o)Consumer Goods: Durable1,575 Units1,000 909 
Palmetto Clean Technology, Inc., Warrants(o)High Tech Industries724,112 Units471 3,577 
RumbleOn, Inc., Warrants(o)Automotive60,606 Units927 — 
Service Compression, LLC, Warrants(o)Energy: Oil & GasN/A509 827 
Snap Fitness Holdings, Inc., Class A Common Stock(o)(r)Services: Consumer9,858 Units3,078 5,184 
a.All of the Company’s investments are issued by eligible U.S. portfolio companies, as defined in the Investment Company Act of 1940, as amended, or the 1940 Act, except for investments specifically identified as non-qualifying per note h. below. The Company does not control and is not an affiliate of any of the portfolio companies in its investment portfolio. Unless specifically identified in note s. below, investments do not contain a paid-in-kind, or PIK, interest provision.
b.The 1, 2, 3, and 6 month London Interbank Offered Rate, or LIBOR, rates were 1.24%, 1.27%, 1.34%, and 1.51%, respectively, as of September 30, 2017.  The actual LIBOR rate for each loan listed may not be the applicable LIBOR rate as of September 30, 2017, as the loan may have been priced or repriced based on a LIBOR rate prior to or subsequent to September 30, 2017. The 3 month Euro Interbank Offered Rate, or EURIBOR, rate was (0.38%) as of September 30, 2017.
c.Fair value determined in good faith by the Company’s board of directors (see Note 9) using significant unobservable inputs unless otherwise noted.
d.Denominated in U.S. dollars unless otherwise noted.
e.As discussed in Note 11, on September 30, 2017, the Company was committed, upon the satisfaction of certain conditions, to fund an additional $2,156, $1,111 and $992 to Studio Movie Grill Holdings, LLC, Ivy Hill Middle Market Credit Fund VIII, Ltd. and    GTCR-Ultra Acquisition, Inc., respectively. On November 9, 2017, the Company was committed, upon the satisfaction of certain conditions, to fund an additional $22,800, $18,985, $3,278, $2,500, $1,865, $1,608, $1,553, $1,250, $1,188, $1,151, $1,111, $992, $815, $540, $459, $157, and $154 to DFC Global Facility Borrower II LLC, Lonestar Prospects, Ltd., Moss Holding Company, Elemica Holdings, Inc., Ministry Brands, LLC, Studio Movie Grill Holdings, LLC, Woodstream Corp., Teledoc, Inc., Island Medical Management Holdings, LLC, Visual Edge Technology, Inc., Ivy Hill Middle Market Credit Fund VIII, Ltd., GTCR-Ultra Acquisition, Inc., PDI TA Holdings, Inc., Frontline Technologies Group Holdings LLC, Covenant Surgical Partners, Inc., Accruent, LLC, and American Media, Inc., respectively.
See accompanying notes to consolidated financial statements.

11



CĪON Investment Corporation
Consolidated Schedule of Investments (unaudited)
September 30, 2017March 31, 2023
(in thousands)
f.The CLO subordinated notes are considered equity positions in the CLO vehicles and are not rated. Equity investments are entitled to recurring distributions, which are generally equal to the remaining cash flow of the payments made by the underlying vehicle's securities less contractual payments to debt holders and expenses. The estimated yield indicated is based upon a current projection of the amount and timing of these recurring distributions and the estimated amount of repayment of principal upon termination. Such projections are periodically reviewed and adjusted, and the estimated yield may not ultimately be realized.
g.Ivy Hill Middle Market Credit Fund VII Class E Notes and NXT Capital CLO 2014-1 Class E Notes were rated Ba2 on Moody's credit scale as of September 30, 2017.
h.The investment or a portion thereof is not a qualifying asset under the 1940 Act. A business development company may not acquire any asset other than qualifying assets, unless, at the time the acquisition is made, qualifying assets represent at least 70% of the company’s total assets as defined under Section 55 of the 1940 Act. As of September 30, 2017, 89.4% of the Company’s total assets represented qualifying assets.
i.Position or a portion thereof unsettled as of September 30, 2017.
j.In addition to the interest earned based on the stated interest rate of this loan, which is the amount reflected in this schedule, the Company may be entitled to receive additional amounts as a result of an arrangement between the Company and other lenders in the syndication in exchange for lower payment priority.
k.Short term investments represent an investment in a fund that invests in highly liquid investments with average original maturity dates of three months or less.
l.7-day effective yield as of September 30, 2017.
m.Represents amortized cost for debt securities and cost for equity investments.
n.Investment or a portion thereof held within the Company’s wholly-owned consolidated subsidiary, 34th Street Funding, LLC, or 34th Street, and was pledged as collateral supporting the amounts outstanding under the credit facility with JPMorgan Chase Bank, National Association, or JPM, as of September 30, 2017 (see Note 8).
o.Investment or a portion thereof held within the Company’s wholly-owned consolidated subsidiary, Flatiron Funding II, LLC, or Flatiron Funding II, and was pledged as collateral supporting the amounts outstanding under the credit facility with Citibank N.A., or Citibank, as of September 30, 2017 (see Note 8).
p.Investment or a portion thereof held within the Company’s wholly-owned consolidated subsidiary, Murray Hill Funding II, LLC, or Murray Hill Funding II, and was pledged as collateral supporting the amounts outstanding under the repurchase agreement with UBS AG, or UBS, as of September 30, 2017 (see Note 8).
q.Non-income producing security.
r.Investment or a portion thereof was on non-accrual status as of September 30, 2017.
s.For the nine months ended September 30, 2017, the following investments contain a PIK interest provision whereby the issuer has either the option or the obligation to make interest payments with the issuance of additional securities:
Portfolio Company(a)InterestIndustryPrincipal/
Par Amount/
Units(e)		Cost(d)Fair
Value(c)
Snap Fitness Holdings, Inc., Warrants(o)(r)Services: Consumer3,996 Units1,247 2,101 
SRA Holdings, LLC, Membership Units(m)(o)(r)Banking, Finance, Insurance & Real Estate224,865 Units23,611 23,577 
STATinMed Parent, LLC, Class A Preferred Units(o)(r)Healthcare & Pharmaceuticals6,182 Units6,182 3,076 
STATinMed Parent, LLC, Class B Preferred Units(o)(r)Healthcare & Pharmaceuticals51,221 Units3,193 — 
WorkGenius, LLC, Class A Units(o)Services: Business500 Units500 512 
Yak Holding II, LLC, Series A Preferred Units(o)Construction & Building4,000,000 Units2,000 4,000 
Yak Holding II, LLC, Series B-1 Preferred Units(o)Construction & Building1,966,018 Units1,966 1,907 
Yak Holding II, LLC, Series A Common Units(o)Construction & Building127,419 Units— 99 
Total Equity115,514 128,926 
Short Term Investments - 8.0%(k)
First American Treasury Obligations Fund, Class Z Shares4.67%(l)66,326 66,326 
Total Short Term Investments66,326 66,326 
TOTAL INVESTMENTS - 207.6%$1,823,309 1,723,352 
LIABILITIES IN EXCESS OF OTHER ASSETS - (107.6)%(893,042)
NET ASSETS - 100.0%$830,310 
    Interest Rate Interest Amount
Portfolio Company Investment Type Cash PIK All-in-Rate Cash PIK Total
Charming Charlie, LLC(t) Senior Secured First Lien Debt 7.50% 1.50% 9.00% $369
 $—
 $369
Elements Behavioral Health, Inc.(t) Senior Secured Second Lien Debt — 13.00% 13.00% $—
 $365
 $365
F+W Media, Inc.(t) Senior Secured First Lien Debt 1.50% 10.00% 11.50% $19
 $93
 $112
Petroflow Energy Corp.(t)
 Senior Secured First Lien Debt 3.00% 6.00% 9.00% $99
 $187
 $286
Rimini Street, Inc. Senior Secured First Lien Debt 12.00% 3.00% 15.00% $1,469
 $403
 $1,872
Sequoia Healthcare Management, LLC
 Senior Secured First Lien Debt 12.00% 4.00% 16.00% $531
 $211
 $742
Southcross Holdings Borrower LP Senior Secured First Lien Debt 3.50% 5.50% 9.00% $6
 $7
 $13
Spinal USA, Inc. / Precision Medical Inc.
 Senior Secured First Lien Debt — 10.50% 10.50% $—
 $124
 $124
TexOak Petro Holdings LLC(t)
 Senior Secured Second Lien Debt — 8.00% 8.00% $—
 $314
 $314
a.All of the Company’s investments are issued by eligible U.S. portfolio companies, as defined in the Investment Company Act of 1940, as amended, or the 1940 Act, except for investments specifically identified as non-qualifying per note h. below. Unless specifically identified in note t. below, investments do not contain a paid-in-kind, or PIK, interest provision.
t.The PIK interest portion of the investment was on non-accrual status as of September 30, 2017.
u.As of November 9, 2017, no interest rate option had been elected as the entire position remained unsettled.
b.The actual London Interbank Offered Rate, or LIBOR, rate for each loan listed may not be the applicable LIBOR rate as of March 31, 2023, as the loan may have been priced or repriced based on a LIBOR rate prior to or subsequent to March 31, 2023. The actual Secured Overnight Financing Rate, or SOFR, rate for each loan listed may not be the applicable SOFR rate as of March 31, 2023, as the loan may have been priced or repriced based on a SOFR rate prior to or subsequent to March 31, 2023.
c.Fair value determined in good faith by the Company’s board of directors (see Note 9), including via delegation to CIM as the Company’s valuation designee (see Note 2), using significant unobservable inputs unless otherwise noted.
d.Represents amortized cost for debt securities and cost for equity investments.
e.Denominated in U.S. dollars unless otherwise noted.
f.Fair value determined using level 1 inputs.
g.The CLO subordinated notes are considered equity positions in the CLO vehicles and are not rated. Equity investments are entitled to recurring distributions, which are generally equal to the remaining cash flow of the payments made by the underlying vehicle's securities less contractual payments to debt holders and expenses. The estimated yield indicated is based upon a current projection of the amount and timing of these recurring distributions and the estimated amount of repayment of principal upon termination. Such projections are periodically reviewed and adjusted, and the estimated yield may not ultimately be realized.
h.The investment or a portion thereof is not a qualifying asset under the 1940 Act. A business development company may not acquire any asset other than qualifying assets, unless, at the time the acquisition is made, qualifying assets represent at least 70% of the company’s total assets as defined under Section 55 of the 1940 Act. As of March 31, 2023, 94.4% of the Company’s total assets represented qualifying assets.
i.[Reserved]
j.In addition to the interest earned based on the stated interest rate of this loan, which is the amount reflected in this schedule, the Company may be entitled to receive additional residual amounts.
k.Short term investments represent an investment in a fund that invests in highly liquid investments with average original maturity dates of three months or less.
l.7-day effective yield as of March 31, 2023.
m.Investment or a portion thereof held within the Company’s wholly-owned consolidated subsidiary, 34th Street Funding, LLC, or 34th Street, and was pledged as collateral supporting the amounts outstanding under the credit facility with JPMorgan Chase Bank, National Association, or JPM, as of March 31, 2023 (see Note 8).
n.Investment or a portion thereof held within the Company’s wholly-owned consolidated subsidiary, Murray Hill Funding II, LLC, or Murray Hill Funding II, and was pledged as collateral supporting the amounts outstanding under the repurchase agreement with UBS AG, or UBS, as of March 31, 2023 (see Note 8).
o.Non-income producing security.
See accompanying notes to consolidated financial statements.

12


CĪON Investment Corporation
Consolidated Schedule of Investments (unaudited)
March 31, 2023
(in thousands)
p.[Reserved]
q.Investment or a portion thereof was on non-accrual status as of March 31, 2023.
r.Investment determined to be an affiliated investment as defined in the 1940 Act as the Company owns between 5% and 25% of the portfolio company’s outstanding voting securities but does not control the portfolio company. Fair value as of December 31, 2022 and March 31, 2023, along with transactions during the three months ended March 31, 2023 in these affiliated investments, were as follows:
Three Months Ended March 31, 2023Three Months Ended March 31, 2023
Non-Controlled, Affiliated InvestmentsFair Value at
December 31, 2022		Gross
Additions
(Cost)(1)		Gross
Reductions
(Cost)(2)		Net Unrealized Gain (Loss)Fair Value at March 31, 2023Net Realized Gain (Loss)Interest
Income(3)		Dividend Income
    Afore Insurance Services, LLC
        First Lien Term Loan$— $4,583 $— $(11)$4,572 $— $15 $— 
    ARC Financial, LLC
        Membership Interests— — — — — — — — 
    Carestream Health, Inc.
        First Lien Term Loan7,539 4 — (23)7,520 — 235 — 
    Carestream Health Holdings Inc.
        Common Shares21,544 — — (1,834)19,710 — — — 
    DESG Holdings, Inc.
        First Lien Term Loan246 — (82)(34)130 — — — 
    GSC Technologies Inc.
        Incremental Term Loan154 2 (6)— 150 — 5 — 
        First Lien Term Loan A2,064 7 — 23 2,094 — 67 — 
        First Lien Term Loan B388 23 — 201 612 — 26 — 
        Common Shares— — — — — — — — 
    Instant Web Holdings, LLC
        Class A Common Units— — — — — — — — 
    Instant Web, LLC
        Revolving Loan321 865 — (14)1,172 — 23 — 
        Priming Term Loan469 — — — 469 — 13 — 
        First Lien Term Loan28,167 1,183 — (4,503)24,847 — 1,171 — 
        First Lien Delayed Draw Term Loan— — — (16)(16)— 4 — 
    Lift Brands, Inc.
        Term Loan A23,287 — (59)— 23,228 — 701 — 
        Term Loan B5,154 93 — 85 5,332 — 139 — 
        Term Loan C4,732 34 — (118)4,648 — 160 — 
    Longview Intermediate Holdings C, LLC
        Membership Units23,995 — — (1,315)22,680 — — 3,881 
    Longview Power, LLC
        First Lien Term Loan2,348 — (1,389)(959)— — 1,306 — 
    Mount Logan Capital Inc.
        Common Stock2,341 — — (137)2,204 — — — 
    Snap Fitness Holdings, Inc.
        Class A Stock5,123 — — 61 5,184 — — — 
        Warrants2,077 — — 24 2,101 — — — 
    SRA Holdings, LLC
        Membership Units— 23,611 — (34)23,577 — — — 
    STATinMED, LLC
        First Lien Term Loan9,107 326 — (100)9,333 — 334 — 
        Delayed Draw First Lien Term Loan156 4 — 2 162 — 6 — 
    STATinMed Parent, LLC
        Class A Preferred Units4,530 — — (1,454)3,076 — — — 
        Class B Preferred Units134 — — (134)— — — — 
    Totals$143,876 $30,735 $(1,536)$(10,290)$162,785 $— $4,205 $3,881 
See accompanying notes to consolidated financial statements
13

CĪON Investment Corporation
Consolidated Schedule of Investments (unaudited)
March 31, 2023
(in thousands)
(1)Gross additions include increases in the cost basis of investments resulting from new portfolio investments, PIK interest, the amortization of unearned income, the exchange of one or more existing securities for one or more new securities and the movement of an existing portfolio company into this category from a different category.
(2)Gross reductions include decreases in the cost basis of investments resulting from principal collections related to investment repayments or sales, the exchange of one or more existing securities for one or more new securities and the movement of an existing portfolio company out of this category into a different category.
(3)Includes PIK interest income.
s.Investment determined to be a controlled investment as defined in the 1940 Act as the Company is deemed to exercise a controlling influence over the management or policies of the portfolio company due to beneficially owning, either directly or through one or more controlled companies, more than 25% of the outstanding voting securities of such portfolio company. Fair value as of December 31, 2022 and March 31, 2023, along with transactions during the three months ended March 31, 2023 in these controlled investments, were as follows:
Three Months Ended March 31, 2023Three Months Ended March 31, 2023
Controlled InvestmentsFair Value at
December 31, 2022		Gross
Additions
(Cost)(1)		Gross
Reductions
(Cost)(2)		Net 
Unrealized
Gain (Loss)		Fair Value at
March 31, 2023		Net Realized
Gain (Loss)		Interest
Income(3)		Dividend Income
    CION/EagleTree Partners, LLC
        Senior Secured Note$60,348 $— $(5,521)$— $54,827 $— $1,977 $— 
        Participating Preferred Shares30,766 — — (5,002)25,764 — — 4,250 
        Common Shares— — — — — — — — 
    Totals$91,114 $— $(5,521)$(5,002)$80,591 $— $1,977 $4,250 
(1)Gross additions include increases in the cost basis of investments resulting from new portfolio investments, PIK interest, the amortization of unearned income, the exchange of one or more existing securities for one or more new securities and the movement of an existing portfolio company into this category from a different category.
(2)Gross reductions include decreases in the cost basis of investments resulting from principal collections related to investment repayments or sales, the exchange of one or more existing securities for one or more new securities and the movement of an existing portfolio company out of this category into a different category.
(3)Includes PIK interest income.
See accompanying notes to consolidated financial statements.
14

CĪON Investment Corporation
Consolidated Schedule of Investments (unaudited)
March 31, 2023
(in thousands)
t.As of March 31, 2023, the following investments contain a PIK interest provision whereby the issuer has either the option or the obligation to make interest payments with the issuance of additional securities:
  Interest Rate
Portfolio CompanyInvestment TypeCashPIKAll-in-Rate
Adapt Laser Acquisition, Inc.Senior Secured First Lien Debt14.73%2.00%16.73%
American Clinical Solutions LLCSenior Secured First Lien Debt7.00%4.81%11.81%
American Consolidated Natural Resources, Inc.Senior Secured First Lien Debt17.82%3.00%20.82%
Ancile Solutions, Inc.Senior Secured First Lien Debt12.14%3.00%15.14%
Anthem Sports & Entertainment Inc.Senior Secured First Lien Debt11.91%2.75%14.66%
Cadence Aerospace, LLCSenior Secured First Lien Debt11.33%2.00%13.33%
CION/EagleTree Partners, LLCSenior Secured Note—14.00%14.00%
David's Bridal, LLCSenior Secured First Lien Debt9.82%5.00%14.82%
David's Bridal, LLCSenior Secured First Lien Debt1.00%9.83%10.83%
Deluxe Entertainment Services, Inc.Senior Secured First Lien Debt10.16%1.50%11.66%
Fusion Connect Inc.Senior Secured First Lien Debt12.29%1.00%13.29%
GSC Technologies Inc.Senior Secured First Lien Debt—9.66%9.66%
GSC Technologies Inc.Senior Secured First Lien Debt9.66%5.00%14.66%
Hilliard, Martinez & Gonzales, LLPSenior Secured First Lien Debt—16.78%16.78%
Homer City Generation, L.P.Senior Secured First Lien Debt—15.00%15.00%
Independent Pet Partners Intermediate Holdings, LLCSenior Secured First Lien Debt—6.00%6.00%
Independent Pet Partners Intermediate Holdings, LLCSenior Secured First Lien Debt—17.00%17.00%
Independent Pet Partners Intermediate Holdings, LLCSenior Secured First Lien Debt—14.95%14.95%
Instant Web, LLCSenior Secured First Lien Debt—11.85%11.85%
K&N Parent, Inc.Senior Secured First Lien Debt8.17%5.00%13.17%
Klein Hersh, LLCSenior Secured First Lien Debt4.55%12.00%16.55%
Lift Brands, Inc.Senior Secured First Lien Debt—9.50%9.50%
Lucky Bucks Holdings LLCUnsecured Note—12.50%12.50%
Robert C. Hilliard, L.L.P.Senior Secured First Lien Debt—16.78%16.78%
Rogers Mechanical Contractors, LLCSenior Secured First Lien Debt11.70%1.00%12.70%
Service Compression, LLCSenior Secured First Lien Debt12.91%2.00%14.91%
Spinal USA, Inc. / Precision Medical Inc.Senior Secured First Lien Debt—14.25%14.25%
STATinMED, LLCSenior Secured First Lien Debt—14.28%14.28%
Trademark Global, LLCSenior Secured First Lien Debt7.84%4.50%12.34%
Trammell, P.C.Senior Secured First Lien Debt—19.94%19.94%
Williams Industrial Services Group, Inc.Senior Secured First Lien Debt10.86%5.00%15.86%
WPLM Acquisition Corp.Unsecured Note—15.00%15.00%
u.As of March 31, 2023, the index rate for $1,814 and $2,096 was 3 Month LIBOR and 6 Month LIBOR, respectively.
v.[Reserved]
w.The interest rate on these loans is subject to 1 month LIBOR, which as of March 31, 2023 was 4.86%.
x.The interest rate on these loans is subject to 3 month LIBOR, which as of March 31, 2023 was 5.19%.
y.The interest rate on these loans is subject to 6 month LIBOR, which as of March 31, 2023 was 5.31%.
z.The interest rate on these loans is subject to 1 month SOFR, which as of March 31, 2023 was 4.80%.
aa.The interest rate on these loans is subject to 3 month SOFR, which as of March 31, 2023 was 4.91%.
ab.The interest rate on these loans is subject to 6 month SOFR, which as of March 31, 2023 was 4.90%.
See accompanying notes to consolidated financial statements.
15

CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 20162022
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(d)
 Cost(p) 
Fair
Value(c)
Senior Secured First Lien Debt - 49.0%          
AbelConn, LLC / Atrenne Computing Solutions, LLC / Airco Industries, LLC, L+850, 1.00% LIBOR Floor, 7/17/2019(j) 3 Month LIBOR 
Aerospace & Defense

 $22,112
 $21,702
 $21,780
Adams Publishing Group, LLC, L+700, 1.00% LIBOR Floor, 11/3/2020(n) 3 Month LIBOR Media: Advertising, Printing & Publishing 3,892
 3,818
 3,833
American Clinical Solutions LLC, L+950, 1.00% LIBOR Floor, 6/11/2020 3 Month LIBOR Healthcare & Pharmaceuticals 9,034
 8,908
 8,492
American Media, Inc., L+750, 1.00% LIBOR Floor, 8/24/2020(n) 3 Month LIBOR Media: Advertising, Printing & Publishing 11,467
 11,150
 11,123
American Media, Inc., 0.50% Unfunded, 8/24/2020(e) None Media: Advertising, Printing & Publishing 505
 (15) (15)
American Media, Inc., 7.50%, 8/24/2020(e) None Media: Advertising, Printing & Publishing 206
 (6) (6)
American Teleconferencing Services, Ltd., L+650, 1.00% LIBOR Floor, 12/8/2021(n) 3 Month LIBOR Telecommunications 19,248
 17,475
 18,863
AMPORTS, Inc., L+500, 1.00% LIBOR Floor, 5/19/2020(j) 3 Month LIBOR Automotive 19,100
 18,743
 18,718
Blue Ribbon, LLC, L+400, 1.00% LIBOR Floor, 11/15/2021(i) 3 Month LIBOR Beverage, Food & Tobacco 9,975
 9,975
 9,972
CF Entertainment Inc., L+1100, 1.00% LIBOR Floor, 6/26/2020(n) 3 Month LIBOR Media: Diversified & Production 17,094
 17,057
 17,094
Dodge Data & Analytics, LLC / Skyline Data News and Analytics, LLC, L+875, 1.00% LIBOR Floor, 10/31/2019(n) 3 Month LIBOR Construction & Building 10,387
 10,241
 10,218
ECI Acquisition Holdings, Inc., L+625, 1.00% LIBOR Floor, 3/11/2019(n) 3 Month LIBOR High Tech Industries 8,517
 8,493
 8,517
Elemica, Inc., L+800, 1.00% LIBOR Floor, 7/7/2021(n) 1 Month LIBOR High Tech Industries 17,413
 17,005
 16,977
Elemica, Inc., 0.50% Unfunded, 7/7/2021(e) None High Tech Industries 2,500
 (57) (62)
EnTrans International, LLC, L+750, 1.00% LIBOR Floor, 6/4/2020 3 Month LIBOR Capital Equipment 13,594
 9,977
 10,331
F+W Media, Inc., L+950, 1.25% LIBOR Floor, 6/30/2019(n) 3 Month LIBOR Media: Diversified & Production 7,280
 7,092
 6,006
Forbes Media LLC, L+675, 1.00% LIBOR Floor, 9/12/2019(j) 1 Month LIBOR Media: Advertising, Printing & Publishing 15,000
 14,621
 14,400
Ignite Restaurant Group, Inc., L+700, 1.00% LIBOR Floor, 2/13/2019(n) 3 Month LIBOR Beverage, Food & Tobacco 10,482
 10,400
 10,167
Infinity Sales Group, LLC, L+1050, 1.00% LIBOR Floor, 11/21/2018(n) 1 Month LIBOR Services: Business 8,214
 7,550
 7,372
Infogroup Inc., L+550, 1.50% LIBOR Floor, 5/26/2018(n) 3 Month LIBOR Media: Advertising, Printing & Publishing 15,578
 15,277
 15,451
InterGen N.V., L+450, 1.00% LIBOR Floor, 6/12/2020(h)(i) 3 Month LIBOR Energy: Electricity 1,182
 1,156
 1,153
Intertain Group Ltd., L+650, 1.00% LIBOR Floor, 4/8/2022(h)(n) 3 Month LIBOR Hotel, Gaming & Leisure 1,765
 1,736
 1,780
Ipsen International GmbH, L+800, 1.00% LIBOR Floor, 9/30/2019(h)(j) 1 Month LIBOR Capital Equipment 1,422
 1,429
 1,429
Ipsen, Inc., L+700, 1.00% LIBOR Floor, 9/30/2019(j) 1 Month LIBOR Capital Equipment 8,095
 8,002
 8,035
ITC Service Group Acquisition LLC, L+950, 0.50% LIBOR Floor, 5/26/2021(j) 1 Month LIBOR High Tech Industries 11,250
 11,035
 11,081
KPC Health Care, Inc., L+925, 1.00% LIBOR Floor, 8/28/2020(n) 3 Month LIBOR Healthcare & Pharmaceuticals 7,544
 7,401
 7,809
Labvantage Solutions Inc., L+800, 1.00% LIBOR Floor, 12/29/2020(n) 3 Month LIBOR High Tech Industries 4,875
 4,829
 4,863
Labvantage Solutions Ltd., E+800, 1.00% EURIBOR Floor, 12/29/2020(h) 3 Month EURIBOR High Tech Industries €4,495
 5,005
 4,728
Lift Brands, Inc., L+800, 1.00% LIBOR Floor, 12/23/2019(n) 3 Month LIBOR Services: Consumer 9,548
 9,438
 9,477
Ministry Brands, LLC, L+500, 1.00% LIBOR Floor, 12/2/2022(e) 3 Month LIBOR Services: Business 9,994
 9,587
 9,894
Nathan's Famous Inc., 10.00%, 3/15/2020(h)(n) None Beverage, Food & Tobacco 6,000
 6,000
 6,540
Nextech Systems, LLC, L+725, 1.00% LIBOR Floor, 6/22/2021(j)(n) 1 Month LIBOR High Tech Industries 15,642
 15,062
 15,330
NWN Acquisition Holding Company LLC, L+1000, 1.00% LIBOR Floor, 10/16/2020(j) 3 Month LIBOR High Tech Industries 13,717
 13,357
 13,271
Pacific Coast Holding Investment LLC, L+970, 2.00% LIBOR Floor, 2/14/2017 1 Month LIBOR Healthcare & Pharmaceuticals 5,250
 5,242
 5,250
Petroflow Energy Corporation, L+800, 1.00% LIBOR Floor, 6/29/2019(q) 3 Month LIBOR Energy: Oil & Gas 4,895
 4,618
 4,601
Portfolio Company(a)Interest(b)MaturityIndustryPrincipal/
Par Amount/
Units(e)		Cost(d)Fair
Value(c)
Senior Secured First Lien Debt - 178.8%
Adapt Laser Acquisition, Inc.(t)(x)L+1200, 1.00% LIBOR Floor12/31/2023Capital Equipment$11,047 $11,048 $10,329 
Adapt Laser Acquisition, Inc.(t)(x)L+1200, 1.00% LIBOR Floor12/31/2023Capital Equipment2,072 2,072 1,875 
AHF Parent Holding, Inc.(n)(aa)S+625, 0.75% SOFR Floor2/1/2028Construction & Building2,944 2,891 2,771 
Allen Media, LLC(n)(aa)S+550, 0.00% SOFR Floor2/10/2027Media: Diversified & Production8,863 8,793 8,420 
ALM Media, LLC(m)(n)(x)L+650, 1.00% LIBOR Floor11/25/2024Media: Advertising, Printing & Publishing17,000 16,855 17,000 
American Clinical Solutions LLC(m)(t)(w)L+700, 1.00% LIBOR Floor12/31/2024Healthcare & Pharmaceuticals4,250 4,250 4,122 
American Consolidated Natural Resources, Inc.(m)(t)(x)L+1600, 1.00% LIBOR Floor9/16/2025Metals & Mining47 35 47 
American Health Staffing Group, Inc.(m)(y)L+600, 1.00% LIBOR Floor11/19/2026Services: Business16,542 16,407 16,542 
American Health Staffing Group, Inc.0.50% Unfunded11/19/2026Services: Business3,333 (26)— 
American Teleconferencing Services, Ltd.(o)(q)0.50% Unfunded1/31/23Telecommunications235 — — 
American Teleconferencing Services, Ltd.(q)Prime+5501/31/23Telecommunications3,116 3,116 156 
Analogic Corp.(m)(n)(x)L+525, 1.00% LIBOR Floor6/21/2024Healthcare & Pharmaceuticals4,850 4,823 4,795 
Ancile Solutions, Inc.(m)(t)(x)L+1000, 1.00% LIBOR Floor6/11/2026High Tech Industries11,967 11,681 11,608 
Anthem Sports & Entertainment Inc.(m)(t)(x)L+950, 1.00% LIBOR Floor11/15/2026Media: Diversified & Production36,914 36,749 35,161 
Anthem Sports & Entertainment Inc.(x)L+950, 1.00% LIBOR Floor11/15/2026Media: Diversified & Production3,000 3,000 2,857 
Anthem Sports & Entertainment Inc.0.50% Unfunded11/15/2026Media: Diversified & Production167 — (8)
Appalachian Resource Company, LLC(w)L+500, 1.00% LIBOR Floor9/10/2023Metals & Mining11,137 10,625 10,733 
Appalachian Resource Company, LLC(w)L+1000, 1.00% LIBOR Floor9/10/2023Metals & Mining5,000 5,000 5,000 
Archer Systems, LLC(m)(z)S+650, 1.00% SOFR Floor8/11/2027Services: Business18,095 17,922 17,937 
Archer Systems, LLC0.50% Unfunded8/11/2027Services: Business1,905 (18)(17)
Associated Asphalt Partners, LLC(m)(n)(w)L+525, 1.00% LIBOR Floor4/5/2024Construction & Building14,221 14,051 10,994 
Atlas Supply LLC11.00%4/29/2025Healthcare & Pharmaceuticals5,000 5,000 4,950 
Avison Young (USA) Inc.(h)(m)(w)S+575, 0.00% SOFR Floor1/31/2026Banking, Finance, Insurance & Real Estate2,665 2,638 2,505 
BDS Solutions Intermediateco, LLC(m)(aa)S+625, 1.00% SOFR Floor2/7/2027Services: Business17,822 17,535 17,466 
BDS Solutions Intermediateco, LLC(aa)S+625, 1.00% SOFR Floor2/7/2027Services: Business859 802 842 
BDS Solutions Intermediateco, LLC0.50% Unfunded2/7/2027Services: Business1,998 — (40)
Berlitz Holdings, Inc.(r)(z)S+900, 1.00% SOFR Floor2/14/2025Services: Business13,800 12,992 13,179 
Bradshaw International Parent Corp.(m)(w)L+ 575, 1.00% LIBOR Floor10/21/2027Consumer Goods: Durable13,024 12,746 12,650 
Bradshaw International Parent Corp.0.50% Unfunded10/21/2026Consumer Goods: Durable1,844 (36)(53)
See accompanying notes to consolidated financial statements.

16


CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 20162022
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(d)
 Cost(p) 
Fair
Value(c)
Plano Molding Company, LLC, L+700, 1.00% LIBOR Floor, 5/12/2021(n) 2 Month LIBOR Consumer Goods: Non-Durable 8,840
 8,772
 8,611
Rimini Street, Inc., 15.00%, 6/24/2020(m)(q) None High Tech Industries 19,822
 19,556
 19,426
Sequoia Healthcare Management, LLC, 16.00%, 7/17/2019(n)(q) None Healthcare & Pharmaceuticals 6,511
 6,405
 6,397
Shift PPC LLC, L+600, 1.00% LIBOR Floor, 12/22/2021 3 Month LIBOR High Tech Industries 9,500
 9,266
 9,265
SmartBear Software Inc., L+750, 1.00% LIBOR Floor, 12/30/2020(n) 3 Month LIBOR High Tech Industries 18,588
 18,271
 18,727
Southcross Holdings Borrower LP, 9.00%, 4/13/2023(q) None Energy: Oil & Gas 172
 151
 135
Spinal USA, Inc. / Precision Medical Inc., L+950, 1.00% LIBOR Floor, 1/21/2020(n) 3 Month LIBOR Healthcare & Pharmaceuticals 12,281
 12,194
 12,158
Spinal USA, Inc. / Precision Medical Inc., L+950, 1.00% LIBOR Floor, 7/21/2020(q) 3 Month LIBOR Healthcare & Pharmaceuticals 128
 126
 127
Sprint Industrial Holdings, LLC, L+575, 1.25% LIBOR Floor, 5/14/2019(n) 3 Month LIBOR Energy: Oil & Gas 7,306
 6,849
 5,406
Studio Movie Grill Holdings, LLC, L+725, 1.00% LIBOR Floor, 9/30/2020(e)(n) 1 Month LIBOR Hotel, Gaming & Leisure 15,143
 15,004
 15,143
Telestream Holdings Corp., L+677, 1.00% LIBOR Floor, 1/15/2020(j)(n) 3 Month LIBOR High Tech Industries 7,154
 7,027
 7,011
Tenere Inc., L+1000, 1.00% LIBOR Floor, 12/23/2021 3 Month LIBOR Capital Equipment 32,000
 31,219
 31,199
Therapure Biopharma Inc., L+875, 0.50% LIBOR Floor, 12/1/2021(h) 1 Month LIBOR Healthcare & Pharmaceuticals 15,000
 14,925
 14,925
WD Wolverine Holdings, LLC, L+550, 1.00% LIBOR Floor, 10/17/2023(i) 1 Month LIBOR Healthcare & Pharmaceuticals 2,000
 1,960
 1,946
Worley Claims Services, LLC, L+800, 1.00% LIBOR Floor, 10/31/2020(n) 1 Month LIBOR Services: Business 20,115
 19,925
 20,015
Zywave Inc., L+500, 1.00% LIBOR Floor, 11/17/2022 3 Month LIBOR High Tech Industries 5,000
 4,951
 4,950
Total Senior Secured First Lien Debt      
 489,904
 489,913
Senior Secured Second Lien Debt - 43.4%      
  
  
ABG Intermediate Holdings 2 LLC, L+850, 1.00% LIBOR Floor, 5/27/2022(e)(m)(n) 3 Month LIBOR Retail 18,666
 18,365
 18,852
Access CIG, LLC, L+875, 1.00% LIBOR Floor, 10/17/2022(m) 3 Month LIBOR Services: Business 16,030
 15,460
 15,549
ALM Media, LLC, L+800, 1.00% LIBOR Floor, 7/30/2021(n) 3 Month LIBOR Media: Advertising, Printing & Publishing 10,344
 10,205
 9,568
American Residential Services LLC, L+800, 1.00% LIBOR Floor, 12/31/2021(n) 3 Month LIBOR Construction & Building 4,933
 4,889
 4,983
AmWINS Group, LLC, L+850, 1.00% LIBOR Floor, 9/4/2020(n) 1 Month LIBOR Banking, Finance, Insurance & Real Estate 3,825
 3,852
 3,878
Confie Seguros Holding II Co., L+900, 1.25% LIBOR Floor, 5/8/2019 1 Month LIBOR Banking, Finance, Insurance & Real Estate 13,827
 13,365
 13,758
Conisus, LLC, L+875, 1.00% LIBOR Floor, 6/23/2021 3 Month LIBOR Healthcare & Pharmaceuticals 11,750
 9,604
 9,517
Drew Marine Group, Inc., L+700, 1.00% LIBOR Floor, 5/19/2021(h) 3 Month LIBOR Chemicals, Plastics & Rubber 9,500
 9,460
 9,120
EISI LLC, L+850, 1.00% LIBOR Floor, 9/23/2020(m)(n) 3 Month LIBOR High Tech Industries 20,000
 19,761
 19,400
Elements Behavioral Health, Inc., L+1200, 1.00% LIBOR Floor, 2/11/2020(q) 3 Month LIBOR Healthcare & Pharmaceuticals 5,701
 5,668
 4,561
Emerald 3 Ltd., L+700, 1.00% LIBOR Floor, 5/16/2022(h)(n) 3 Month LIBOR Environmental Industries 3,000
 2,978
 2,595
Flexera Software LLC, L+700, 1.00% LIBOR Floor, 4/2/2021 1 Month LIBOR High Tech Industries 9,385
 9,128
 9,291
Genex Holdings, Inc., L+775, 1.00% LIBOR Floor, 5/30/2022(n) 1 Month LIBOR Services: Business 11,410
 11,331
 11,011
Global Tel*Link Corp., L+775, 1.25% LIBOR Floor, 11/23/2020 3 Month LIBOR Telecommunications 9,500
 9,488
 9,254
Infiltrator Water Technologies, LLC, L+875, 1.00% LIBOR Floor, 5/26/2023(n) 3 Month LIBOR Construction & Building 13,917
 13,732
 13,986
Institutional Shareholder Services Inc., L+850, 1.00% LIBOR Floor, 4/30/2022(i)(n) 2 Month LIBOR Services: Business 10,648
 10,534
 10,542
Mergermarket USA, Inc., L+650, 1.00% LIBOR Floor, 2/4/2022(n) 3 Month LIBOR Services: Business 3,380
 3,328
 3,304
Ministry Brands, LLC, L+925, 1.00% LIBOR Floor, 6/2/2023(e) 3 Month LIBOR Services: Business 5,488
 5,385
 5,406
Mississippi Sand, LLC, L+1000, 1.00% LIBOR Floor, 11/21/2019 3 Month LIBOR Metals & Mining 13,196
 10,899
 11,349
Portfolio Company(a)Interest(b)MaturityIndustryPrincipal/
Par Amount/
Units(e)		Cost(d)Fair
Value(c)
Cabi, LLC(m)(z)S+950, 1.00% SOFR Floor2/28/2027Retail22,073 21,772 21,742 
Cadence Aerospace, LLC(m)(n)(t)(x)L+850, 1.00% LIBOR Floor11/14/2023Aerospace & Defense39,383 39,225 38,842 
Carestream Health, Inc.(n)(r)(z)S+750, 1.00% SOFR Floor9/30/2027Healthcare & Pharmaceuticals7,596 7,596 7,539 
CB URS Holdings Corp.(m)(x)L+575, 1.00% LIBOR Floor9/1/2024Transportation: Cargo14,826 14,801 12,417 
Celerity Acquisition Holdings, LLC(m)(x)L+850, 1.00% LIBOR Floor5/28/2026Services: Business14,775 14,775 14,590 
Cennox, Inc.(m)(x)L+600, 1.00% LIBOR Floor5/4/2026Services: Business22,509 22,509 22,425 
Cennox, Inc.(n)(x)L+600, 1.00% LIBOR Floor5/4/2026Services: Business11,787 11,730 11,743 
Cennox, Inc.L+600, 1.00% LIBOR Floor5/4/2026Services: Business2,614 2,614 2,604 
Cennox, Inc.1.00% Unfunded8/11/2023Services: Business7,193 — (27)
Cennox, Inc.0.50% Unfunded5/4/2026Services: Business373 — (1)
CION/EagleTree Partners, LLC(h)(s)(t)14.00%12/21/2026Diversified Financials60,348 60,348 60,348 
CircusTrix Holdings, LLC(m)(n)(w)L+550, 1.00% LIBOR Floor1/16/2024Hotel, Gaming & Leisure26,824 26,782 26,824 
CircusTrix Holdings, LLC(m)(w)L+550, 1.00% LIBOR Floor1/16/2024Hotel, Gaming & Leisure2,737 2,715 2,737 
CircusTrix Holdings, LLC(m)(w)L+550, 1.00% LIBOR Floor7/16/2023Hotel, Gaming & Leisure1,560 1,525 1,862 
Community Tree Service, LLC(m)(aa)S+850, 1.00% SOFR Floor6/17/2027Construction & Building12,469 12,469 12,219 
Country Fresh Holdings, LLC(q)(x)L+500, 1.00% LIBOR Floor4/29/2023Beverage, Food & Tobacco877 765 92 
Country Fresh Holdings, LLC(q)(x)L+500, 1.00% LIBOR Floor4/29/2023Beverage, Food & Tobacco355 316 37 
Coyote Buyer, LLC(m)(n)(x)L+600, 1.00% LIBOR Floor2/6/2026Chemicals, Plastics & Rubber34,038 33,861 33,612 
Coyote Buyer, LLC(n)(x)L+800, 1.00% LIBOR Floor8/6/2026Chemicals, Plastics & Rubber6,125 6,041 6,125 
Coyote Buyer, LLC0.50% Unfunded2/6/2025Chemicals, Plastics & Rubber2,500 — (31)
Critical Nurse Staffing, LLC(m)(x)L+600, 1.00% LIBOR Floor11/1/2026Healthcare & Pharmaceuticals12,928 12,928 12,928 
Critical Nurse Staffing, LLC(x)L+600, 1.00% LIBOR Floor11/1/2026Healthcare & Pharmaceuticals999 999 999 
Critical Nurse Staffing, LLC(w)L+600, 1.00% LIBOR Floor11/1/2026Healthcare & Pharmaceuticals300 300 300 
Critical Nurse Staffing, LLC1.00% Unfunded11/1/2026Healthcare & Pharmaceuticals4,899 — — 
Critical Nurse Staffing, LLC0.50% Unfunded11/1/2026Healthcare & Pharmaceuticals700 — — 
David's Bridal, LLC(m)(t)(x)L+1000, 1.00% LIBOR Floor5/23/2024Retail13,000 12,744 13,130 
David's Bridal, LLC(t)(x)L+1000, 1.00% LIBOR Floor5/23/2024Retail5,357 5,357 5,210 
David's Bridal, LLC(t)(x)L+1000, 1.00% LIBOR Floor12/23/2024Retail5,936 5,717 2,256 
David's Bridal, LLC(q)(t)(w)L+700, 1.00% LIBOR Floor12/31/2024Retail845 795 51 
Deluxe Entertainment Services, Inc.(m)(q)(r)(t)(x)L+650, 1.00% LIBOR Floor3/25/2024Media: Diversified & Production2,664 2,624 246 
Dermcare Management, LLC(m)(z)S+600, 1.00% SOFR Floor4/22/2028Healthcare & Pharmaceuticals9,356 9,178 9,297 
Dermcare Management, LLC(z)S+600, 1.00% SOFR Floor4/22/2028Healthcare & Pharmaceuticals3,540 3,458 3,518 
Dermcare Management, LLCPrime+5004/22/2028Healthcare & Pharmaceuticals179 179 178 
Dermcare Management, LLC0.50% Unfunded10/22/2023Healthcare & Pharmaceuticals698 — (4)
See accompanying notes to consolidated financial statements.

17


CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 20162022
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(d)
 Cost(p) 
Fair
Value(c)
Mitchell International, Inc., L+750, 1.00% LIBOR Floor, 10/11/2021(m)(n) 1 Month LIBOR High Tech Industries 14,909
 14,476
 14,825
MSC.Software Corp., L+750, 1.00% LIBOR Floor, 6/1/2021(m) 3 Month LIBOR High Tech Industries 15,000
 14,832
 15,019
MWI Holdings, Inc., L+925, 1.00% LIBOR Floor, 12/28/2020(n) 3 Month LIBOR Construction & Building 10,000
 9,773
 9,950
Navex Global, Inc., L+875, 1.00% LIBOR Floor, 11/18/2022(m)(n) 12 Month LIBOR High Tech Industries 16,245
 16,031
 15,920
Onex TSG Holdings II Corp., L+850, 1.00% LIBOR Floor, 7/31/2023(n) 3 Month LIBOR Healthcare & Pharmaceuticals 12,249
 12,136
 12,065
Patterson Medical Supply, Inc., L+850, 1.00% LIBOR Floor, 8/28/2023(n) 2 Month LIBOR Healthcare & Pharmaceuticals 13,500
 13,378
 13,095
Pelican Products, Inc., L+825, 1.00% LIBOR Floor, 4/11/2021(m) 3 Month LIBOR Chemicals, Plastics & Rubber 3,469
 3,478
 3,396
PetroChoice Holdings, Inc., L+875, 1.00% LIBOR Floor, 8/21/2023(n) 1 Month LIBOR Chemicals, Plastics & Rubber 15,000
 14,729
 14,737
PetVet Care Centers, LLC, L+850, 1.00% LIBOR Floor, 6/17/2021 3 Month LIBOR Healthcare & Pharmaceuticals 13,500
 13,097
 13,095
Pike Corp., L+850, 1.00% LIBOR Floor, 6/22/2022(n) 1 Month LIBOR Energy: Electricity 12,500
 12,354
 12,562
Premiere Global Services, Inc., L+950, 1.00% LIBOR Floor, 6/6/2022 3 Month LIBOR Telecommunications 3,000
 2,882
 2,895
PSC Industrial Holdings Corp., L+825, 1.00% LIBOR Floor, 12/5/2021(n) 3 Month LIBOR Services: Business 10,000
 9,842
 9,450
Securus Technologies Holdings, Inc., L+775, 1.25% LIBOR Floor, 4/30/2021 3 Month LIBOR Telecommunications 4,500
 4,479
 4,399
SMG, L+825, 1.00% LIBOR Floor, 2/27/2021(n) 3 Month LIBOR Hotel, Gaming & Leisure 6,142
 6,142
 6,126
Sterling Midco Holdings, Inc., L+775, 1.00% LIBOR Floor, 6/19/2023(n) 3 Month LIBOR Services: Business 10,462
 10,432
 10,226
STG-Fairway Acquisitions, Inc., L+925, 1.00% LIBOR Floor, 6/30/2023(n) 3 Month LIBOR Services: Business 10,000
 9,869
 9,400
Survey Sampling International, LLC, L+900, 1.00% LIBOR Floor, 12/16/2021(m) 3 Month LIBOR Services: Business 15,000
 14,763
 14,700
Telecommunications Management, LLC, L+800, 1.00% LIBOR Floor, 10/30/2020(n) 3 Month LIBOR Media: Broadcasting & Subscription 1,606
 1,573
 1,564
TexOak Petro Holdings LLC, 8.00%, 12/29/2019(q) None Energy: Oil & Gas 6,728
 1,549
 2,590
TMK Hawk Parent, Corp., L+750, 1.00% LIBOR Floor, 10/1/2022(n) 3 Month LIBOR Beverage, Food & Tobacco 15,000
 14,880
 14,925
TouchTunes Interactive Networks, Inc., L+825, 1.00% LIBOR Floor, 5/29/2022 3 Month LIBOR Hotel, Gaming & Leisure 6,000
 5,943
 5,925
U.S. Renal Care, Inc., L+800, 1.00% LIBOR Floor, 12/29/2023(n) 3 Month LIBOR Healthcare & Pharmaceuticals 10,000
 9,819
 8,900
Wand Intermediate I LP, L+725, 1.00% LIBOR Floor, 9/19/2022(n) 3 Month LIBOR Automotive 16,000
 15,881
 15,680
Winebow Holdings, Inc., L+750, 1.00% LIBOR Floor, 1/2/2022(n) 1 Month LIBOR Beverage, Food & Tobacco 12,823
 12,544
 12,054
Zywave Inc., L+900, 1.00% LIBOR Floor, 11/17/2023 3 Month LIBOR High Tech Industries 5,000
 4,926
 4,925
Total Senior Secured Second Lien Debt      
 437,240
 434,347
Collateralized Securities and Structured Products - Debt - 3.8%    
  
  
Deutsche Bank AG Frankfurt CRAFT 2013-1A Class Credit Linked Note, L+925, 4/17/2020(h) 3 Month LIBOR Diversified Financials 2,000
 2,022
 1,980
Deutsche Bank AG Frankfurt CRAFT 2013-1X Class Credit Linked Note, L+925, 4/17/2020(h) 3 Month LIBOR Diversified Financials 610
 616
 604
Deutsche Bank AG Frankfurt CRAFT 2014-1 Class Credit Linked Note, L+965, 5/15/2019(h) 3 Month LIBOR Diversified Financials 5,400
 5,400
 5,292
Deutsche Bank AG Frankfurt CRAFT 2015-2 Class Credit Linked Note, L+925, 1/16/2022(h) 3 Month LIBOR Diversified Financials 15,500
 15,500
 14,880
Great Lakes CLO 2014-1, Ltd. Class E Notes, L+525, 4/15/2025(g)(h) 3 Month LIBOR Diversified Financials 5,000
 4,615
 4,484
Ivy Hill Middle Market Credit Fund VII, Ltd. Class E Notes, L+565, 10/20/2025(g)(h) 3 Month LIBOR Diversified Financials 2,000
 1,879
 1,799
JFIN CLO 2014, Ltd. Class E Notes, L+500, 4/20/2025(g)(h) 3 Month LIBOR Diversified Financials 2,500
 2,345
 2,303
NXT Capital CLO 2014-1, LLC Class E Notes, L+550, 4/23/2026(g)(h) 3 Month LIBOR Diversified Financials 7,500
 7,094
 6,772
Total Collateralized Securities and Structured Products - Debt    
 39,471
 38,114
Portfolio Company(a)Interest(b)MaturityIndustryPrincipal/
Par Amount/
Units(e)		Cost(d)Fair
Value(c)
Dermcare Management, LLC0.50% Unfunded4/22/2028Healthcare & Pharmaceuticals1,164 — (7)
DMT Solutions Global Corp.(n)(u)L+750, 1.00% LIBOR Floor7/2/2024Services: Business3,974 3,942 3,766 
Emerald Technologies (U.S.) Acquisitionco, Inc.(n)(z)S+625, 1.00% SOFR Floor12/29/2027Services: Business2,944 2,891 2,794 
Entertainment Studios P&A LLC(m)(x)(aa)S+850, 1.00% SOFR Floor9/28/2027Media: Diversified & Production24,000 23,907 23,940 
Entertainment Studios P&A LLC(j)5.00%5/18/2037Media: Diversified & Production— — 1,654 
Flatworld Intermediate Corp.(n)(z)S+600, 1.00% SOFR Floor10/3/2027Services: Business25,135 25,135 25,135 
Flatworld Intermediate Corp.0.50% Unfunded10/3/2027Services: Business5,865 — — 
FuseFX, LLC(m)(n)(w)S+575, 1.00% SOFR Floor10/1/2024Media: Diversified & Production19,795 19,663 19,647 
Fusion Connect Inc.(m)(t)(x)L+850, 1.00% LIBOR Floor1/18/2027High Tech Industries19,626 19,141 19,626 
Future Pak, LLC(m)(w)L+1000, 2.00% LIBOR Floor7/2/2024Healthcare & Pharmaceuticals24,169 24,169 23,776 
Gold Medal Holdings, Inc.(m)(aa)S+700, 1.00% SOFR Floor3/17/2027Services: Business14,759 14,628 14,575 
GSC Technologies Inc.(r)(w)L+500, 1.00% LIBOR Floor9/30/2025Chemicals, Plastics & Rubber2,404 2,322 2,064 
GSC Technologies Inc.(r)(t)(w)L+500, 1.00% LIBOR Floor9/30/2025Chemicals, Plastics & Rubber915 882 388 
GSC Technologies Inc.(r)(t)(x)L+1000, 1.00% LIBOR Floor9/30/2025Chemicals, Plastics & Rubber154 154 154 
H.W. Lochner, Inc.(m)(x)L+575, 1.00% LIBOR Floor7/2/2027Construction & Building8,850 8,779 8,850 
H.W. Lochner, Inc.(m)(aa)S+675, 1.00% SOFR Floor7/2/2027Construction & Building7,457 7,234 7,233 
H.W. Lochner, Inc.(x)L+575, 1.00% LIBOR Floor7/2/2027Construction & Building775 765 775 
H.W. Lochner, Inc.0.50% Unfunded7/2/2027Construction & Building225 — — 
Harland Clarke Holdings Corp. (m)(x)S+775, 1.00% SOFR Floor6/16/2026Services: Business9,186 9,177 7,625 
Heritage Power, LLC(x)L+600, 1.00% LIBOR Floor7/30/2026Energy: Oil & Gas8,622 6,837 4,527 
Hilliard, Martinez & Gonzales, LLP(m)(t)(w)L+1200, 2.00% LIBOR Floor12/17/2023Services: Consumer21,798 21,736 21,798 
Hollander Intermediate LLC(m)(w)(aa)S+875, 2.00% SOFR Floor9/19/2026Consumer Goods: Durable17,358 16,915 16,794 
Homer City Generation, L.P.(m)(t)15.00%4/5/2023Energy: Oil & Gas11,782 12,078 9,308 
Homer City Generation, L.P.17.00%5/31/2023Energy: Oil & Gas1,000 1,000 1,000 
Homer City Generation, L.P.(o)0.00% Unfunded1/29/2023Energy: Oil & Gas3,000 — — 
Hudson Hospital Opco, LLC(m)(n)(aa)S+800, 3.00% SOFR Floor11/4/2023Healthcare & Pharmaceuticals1,700 1,667 1,673 
HUMC Holdco, LLC(m)(aa)S+800, 3.00% SOFR Floor11/4/2023Healthcare & Pharmaceuticals7,933 7,933 7,933 
HW Acquisition, LLCPrime+5009/28/2026Capital Equipment733 711 686 
HW Acquisition, LLC(m)Prime+5009/28/2026Capital Equipment18,876 18,725 17,649 
HW Acquisition, LLC0.50% Unfunded9/28/2026Capital Equipment2,200 — (143)
ICA Foam Holdings, LLC(m)(aa)S+675, 1.00% SOFR Floor11/5/2025Containers, Packaging & Glass19,950 19,567 19,551 
IJKG Opco LLC(m)(n)(aa)S+800, 3.00% SOFR Floor11/4/2023Healthcare & Pharmaceuticals729 714 718 
Independent Pet Partners Intermediate Holdings, LLC(t)6.00%11/20/2023Retail10,934 10,906 10,169 
Independent Pet Partners Intermediate Holdings, LLC(t)Prime+5502/27/2023Retail2,238 2,238 2,216 
Independent Pet Partners Intermediate Holdings, LLC(t)(aa)S+1000, 1.00% SOFR Floor2/27/2023Retail473 459 473 
Independent Pet Partners Intermediate Holdings, LLC(t)(x)L+650, 0.00% LIBOR Floor2/27/2023Retail281 281 278 
See accompanying notes to consolidated financial statements.

18



CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 20162022
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(d)
 Cost(p) 
Fair
Value(c)
Collateralized Securities and Structured Products - Equity - 3.5%        
  
Anchorage Capital CLO 2012-1, Ltd. Subordinated Notes, 4.57% Estimated Yield, 1/13/2025(h) (f) Diversified Financials 4,000 2,882
 2,622
APIDOS CLO XVI Subordinated Notes, 3.28% Estimated Yield, 1/19/2025(h) (f) Diversified Financials 9,000 4,704
 3,099
CENT CLO 19 Ltd. Subordinated Notes, 8.68% Estimated Yield, 10/29/2025(h) (f) Diversified Financials 2,000 1,330
 1,182
Dryden XXIII Senior Loan Fund Subordinated Notes, 1.40% Estimated Yield, 7/17/2023(h) (f) Diversified Financials 9,250 4,726
 4,135
Galaxy XV CLO Ltd. Class A Subordinated Notes, 8.72% Estimated Yield, 4/15/2025(h) (f) Diversified Financials 4,000 2,424
 2,323
Ivy Hill Middle Market Credit Fund VII, Ltd. Subordinated Notes, 8.80% Estimated Yield, 10/20/2025(h) (f) Diversified Financials 2,000 1,654
 1,478
Ivy Hill Middle Market Credit Fund VIII, Ltd. Subordinated Loan, 10.35% Estimated Yield, 2/2/2026(e)(h) (f) Diversified Financials 10,000 9,940
 9,773
Ivy Hill Middle Market Credit Fund IX, Ltd. Subordinated Notes, 14.59% Estimated Yield, 10/18/2025(h) (f) Diversified Financials 8,146 6,106
 6,239
Ivy Hill Middle Market Credit Fund X, Ltd. Subordinated Notes, 11.50% Estimated Yield, 7/24/2027(h) (f) Diversified Financials 4,760 3,947
 3,797
Total Collateralized Securities and Structured Products - Equity     37,713
 34,648
Unsecured Debt -  1.7%      
  
American Tire Distributors, Inc., 10.25%, 3/1/2022 None Automotive 5,000 4,871
 4,794
Flex Acquisition Company, Inc., L+700, 1.00% LIBOR Floor, 12/29/2017 1 Month LIBOR Containers, Packaging & Glass 3,833 3,814
 3,845
Radio One, Inc., 9.25%, 2/15/2020 None Media: Broadcasting & Subscription 9,000 8,605
 8,212
Total Unsecured Debt     17,290
 16,851
Equity - 0.5%        
Mooregate ITC Acquisition, LLC, Class A Units(o) 
 High Tech Industries 500 Units 563
 538
NS NWN Acquisition, LLC(o) 
 High Tech Industries 346 Units 393
 337
NSG Co-Invest (Bermuda), LP(h)(o) 
 Consumer Goods: Durable 1,575 Units 1,000
 1,000
Southcross Holdings GP, LLC, Units(o) 
 Energy: Oil & Gas 188 Units —
 —
Southcross Holdings LP, Class A-II Units(o) 
 Energy: Oil & Gas 188 Units 75
 71
Speed Commerce Investment Part, LLC(o) 
 High Tech Industries 629 Units 2,640
 3,000
Tenere Inc. Warrant(o) 
 Capital Equipment N/A 161
 161
TexOak Petro Holdings, LLC(o) 
 Energy: Oil & Gas 60,000 Units —
 —
Total Equity     4,832
 5,107
Short Term Investments - 7.1%(k)        
First American Treasury Obligations Fund, Class Z Shares, 0.39%(l)
     70,498
 70,498
Total Short Term Investments     70,498
 70,498
TOTAL INVESTMENTS - 109.0%     $1,096,948
 1,089,478
LIABILITIES IN EXCESS OF OTHER ASSETS - (9.0%)       (89,715)
NET ASSETS - 100%       $999,763

Portfolio Company(a)Interest(b)MaturityIndustryPrincipal/
Par Amount/
Units(e)		Cost(d)Fair
Value(c)
InfoGroup Inc.(m)(n)(x)L+500, 1.00% LIBOR Floor4/3/2023Media: Advertising, Printing & Publishing15,270 15,269 15,270 
Inotiv, Inc.(m)(x)S+625, 1.00% SOFR Floor11/5/2026Healthcare & Pharmaceuticals16,351 16,094 15,738 
Instant Web, LLC(m)(n)(r)(t)(w)L+700, 1.00% LIBOR Floor2/25/2027Media: Advertising, Printing & Publishing39,812 39,802 28,167 
Instant Web, LLC(r)Prime+3752/25/2027Media: Advertising, Printing & Publishing458 458 469 
Instant Web, LLC(r)(x)L+650, 1.00% LIBOR Floor2/25/2027Media: Advertising, Printing & Publishing321 321 321 
Instant Web, LLC(r)0.50% Unfunded2/25/2027Media: Advertising, Printing & Publishing2,383 — — 
Instant Web, LLC(r)0.50% Unfunded2/25/2027Media: Advertising, Printing & Publishing3,246 — — 
Invincible Boat Company LLC(m)(x)L+650, 1.50% LIBOR Floor8/28/2025Consumer Goods: Durable13,536 13,444 13,469 
Invincible Boat Company LLC(x)L+650, 1.50% LIBOR Floor8/28/2025Consumer Goods: Durable239 239 238 
Invincible Boat Company LLC0.50% Unfunded8/28/2025Consumer Goods: Durable559 — (3)
INW Manufacturing, LLC(n)(x)L+575, 0.75% LIBOR Floor3/25/2027Services: Business18,750 18,317 17,766 
Ironhorse Purchaser, LLC(n)(aa)S+650, 1.00% SOFR Floor9/30/2027Services: Business7,125 7,056 7,054 
Ironhorse Purchaser, LLC(aa)S+650, 1.00% SOFR Floor9/30/2027Services: Business388 380 384 
Ironhorse Purchaser, LLC0.50% Unfunded9/30/2027Services: Business429 — (4)
Ironhorse Purchaser, LLC1.00% Unfunded9/30/2024Services: Business2,041 (20)(20)
Isagenix International, LLC(m)(x)L+775, 1.00% LIBOR Floor6/14/2025Beverage, Food & Tobacco16,229 15,103 13,774 
Jenny C Acquisition, Inc.(q)(x)L+900, 1.75% LIBOR Floor10/1/2024Services: Consumer11,789 11,745 9,241 
JP Intermediate B, LLC(m)(x)L+550, 1.00% LIBOR Floor11/20/2025Beverage, Food & Tobacco13,438 13,296 9,809 
K&N Parent, Inc.(x)L+675, 1.00% LIBOR Floor10/20/2023Consumer Goods: Durable13,090 12,898 12,435 
K&N Parent, Inc.(aa)S+800, 1.00% SOFR Floor2/15/2023Consumer Goods: Durable1,200 1,152 1,220 
Klein Hersh, LLC(m)(z)S+852, 0.50% SOFR Floor4/27/2027Services: Business19,766 19,766 19,667 
KNB Holdings Corp.(m)(n)(q)(y)L+550, 1.00% LIBOR Floor4/26/2024Consumer Goods: Durable7,634 7,387 3,321 
LaserAway Intermediate Holdings II, LLC(m)(x)L+575, 0.75% LIBOR Floor10/12/2027Services: Consumer3,375 3,319 3,316 
LAV Gear Holdings, Inc.(m)(n)(aa)S+550, 1.00% SOFR Floor10/31/2024Services: Business27,854 27,625 27,366 
LAV Gear Holdings, Inc.(m)(n)(aa)S+550, 1.00% SOFR Floor10/31/2024Services: Business4,569 4,544 4,489 
LGC US Finco, LLC(m)(w)L+650, 1.00% LIBOR Floor12/20/2025Capital Equipment11,515 11,263 11,184 
Lift Brands, Inc.(m)(n)(r)(w)L+750, 1.00% LIBOR Floor6/29/2025Services: Consumer23,287 23,287 23,287 
Lift Brands, Inc.(m)(n)(r)9.50%6/29/2025Services: Consumer5,556 5,490 5,154 
Lift Brands, Inc.(m)(n)(r)(p)6/29/2025Services: Consumer5,296 4,947 4,732 
Longview Power, LLC(r)(x)L+1000, 1.50% LIBOR Floor7/30/2025Energy: Oil & Gas2,073 1,390 2,348 
MacNeill Pride Group Corp.(m)(aa)S+625, 1.00% SOFR Floor4/22/2026Services: Consumer17,804 17,702 17,448 
MacNeill Pride Group Corp.(m)(aa)S+625, 1.00% SOFR Floor4/22/2026Services: Consumer7,910 7,836 7,751 
MacNeill Pride Group Corp.1.00% Unfunded4/30/2024Services: Consumer2,017 — (40)
Manus Bio Inc.11.00%8/20/2026Healthcare & Pharmaceuticals14,213 14,128 14,212 
Marble Point Credit Management LLC(x)L+600, 1.00% LIBOR Floor8/11/2028Diversified Financials6,089 5,985 6,089 
Marble Point Credit Management LLC(x)L+600, 1.00% LIBOR Floor8/11/2028Diversified Financials1,437 1,418 1,437 
See accompanying notes to consolidated financial statements.

19


CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 20162022
(in thousands)
Counterparty Instrument Maturity Date Notional Amount (d) Cost(p) Fair Value(c)
Derivative Asset - 0.0%          
Credit Default Swap          
JPMorgan Chase Bank, N.A.
 Deutsche Bank AG Credit Default Swap 3/20/2017 €22,000
 $229
 $46
Derivative Liability - (1.5%)          
Total Return Swap          
Citibank, N.A. See Note 7 2/18/2017 $407,847
 N/A
 $(15,402)

a.All of the Company’s investments are issued by eligible U.S. portfolio companies, as defined in the 1940 Act, except for investments specifically identified as non-qualifying per note h. below. The Company does not control and is not an affiliate of any of the portfolio companies in its investment portfolio. Unless specifically identified in note q. below, investments do not contain a PIK interest provision.
b.The 1, 2, 3 and 12 month LIBOR rates were 0.77%, 0.82%, 1.00% and 1.69%, respectively, as of December 31, 2016.  The actual LIBOR rate for each loan listed may not be the applicable LIBOR rate as of December 31, 2016, as the loan may have been priced or repriced based on a LIBOR rate prior to or subsequent to December 31, 2016. The 3 month EURIBOR rate was (0.34%) as of December 31, 2016.
c.Fair value determined in good faith by the Company’s board of directors (see Note 9) using significant unobservable inputs unless otherwise noted.
d.Denominated in U.S. dollars unless otherwise noted.
e.As discussed in Note 11, the Company was committed, upon the satisfaction of certain conditions, to fund an additional $1,119, $711, $2,500, $1,111, $5,274 and $4,127 as of December 31, 2016 to ABG Intermediate Holdings 2 LLC, American Media, Inc., Elemica Holdings, Inc., Ivy Hill Middle Market Credit Fund VIII, Ltd., Ministry Brands, LLC and Studio Movie Grill Holdings, LLC, respectively. As of March 9, 2017, the Company was committed, upon the satisfaction of certain conditions, to fund an additional $1,119, $415, $10,000, $2,500, $1,111 and $4,127 to ABG Intermediate Holdings 2 LLC, American Media, Inc., CF Entertainment Inc., Elemica Holdings, Inc., Ivy Hill Middle Market Credit Fund VIII, Ltd. and Studio Movie Grill Holdings, LLC, respectively.
f.The CLO subordinated notes are considered equity positions in the CLO vehicles and are not rated. Equity investments are entitled to recurring distributions, which are generally equal to the remaining cash flow of the payments made by the underlying vehicle's securities less contractual payments to debt holders and expenses. The estimated yield indicated is based upon a current projection of the amount and timing of these recurring distributions and the estimated amount of repayment of principal upon termination. Such projections are periodically reviewed and adjusted, and the estimated yield may not ultimately be realized.
g.Great Lakes CLO 2014-1 Class E Notes, Ivy Hill Middle Market Credit Fund VII Class E Notes and NXT Capital CLO 2014-1 Class E Notes were rated Ba2 on Moody's credit scale as of December 31, 2016. JFIN CLO 2014 Class E Notes were rated BB on S&P's credit scale as of December 31, 2016.
h.The investment is not a qualifying asset under the 1940 Act. A business development company may not acquire any asset other than qualifying assets, unless, at the time the acquisition is made, qualifying assets represent at least 70% of the company’s total assets as defined under Section 55 of the 1940 Act. As of December 31, 2016, 90.5% of the Company’s total assets represented qualifying assets. In addition, as described in Note 7, the Company calculates its compliance with the qualifying asset test on a “look through” basis by treating each loan underlying the total return swap as either a qualifying asset or non-qualifying asset based on whether the obligor is an eligible portfolio company. On this basis, 89.1% of the Company’s total assets represented qualifying assets as of December 31, 2016.
i.Position or a portion thereof unsettled as of December 31, 2016.
j.In addition to the interest earned based on the stated interest rate of this loan, which is the amount reflected in this schedule, the Company may be entitled to receive additional amounts as a result of an arrangement between the Company and other lenders in the syndication in exchange for lower payment priority.
k.Short term investments represent an investment in a fund that invests in highly liquid investments with average original maturity dates of three months or less.
l.7-day effective yield as of December 31, 2016.
m.Investment or a portion thereof was pledged as collateral supporting the amounts outstanding, if any, under the revolving credit facility with East West Bank as of December 31, 2016 (see Note 8).
n.Investment or a portion thereof held within 34th Street and was pledged as collateral supporting the amounts outstanding under the credit facility with JPM as of December 31, 2016 (see Note 8).
o.Non-income producing security.
p.Represents amortized cost for debt investments, cost for equity investments and premium paid for derivatives.

Portfolio Company(a)Interest(b)MaturityIndustryPrincipal/
Par Amount/
Units(e)		Cost(d)Fair
Value(c)
Mimeo.com, Inc.(x)L+700, 1.00% LIBOR Floor12/21/2024Media: Advertising, Printing & Publishing22,328 22,328 22,161 
Mimeo.com, Inc.(x)L+700, 1.00% LIBOR Floor12/21/2024Media: Advertising, Printing & Publishing2,256 2,256 2,239 
Mimeo.com, Inc.1.00% Unfunded12/21/2024Media: Advertising, Printing & Publishing3,000 — (23)
Moss Holding Company(m)(n)(aa)S+625, 1.00% SOFR Floor4/17/2024Services: Business19,576 19,500 19,185 
Moss Holding Company6.25% Unfunded4/17/2024Services: Business106 — (2)
Moss Holding Company0.50% Unfunded4/17/2024Services: Business2,126 — (43)
Neptune Flood Inc.(m)(x)L+600, 1.00% LIBOR Floor10/21/2026Banking, Finance, Insurance & Real Estate7,789 7,742 7,867 
NewsCycle Solutions, Inc.(m)(n)(x)S+700, 1.00% SOFR Floor12/29/2023Media: Advertising, Printing & Publishing12,444 12,432 12,444 
NWN Parent Holdings LLC(m)(x)S+800, 1.00% SOFR Floor5/7/2026High Tech Industries12,755 12,664 12,643 
NWN Parent Holdings LLC(x)S+800, 1.00% SOFR Floor5/7/2026High Tech Industries810 798 803 
NWN Parent Holdings LLC0.50% Unfunded5/7/2026High Tech Industries90 — (1)
OpCo Borrower, LLC(m)(z)S+650, 1.00% SOFR Floor8/19/2027Healthcare & Pharmaceuticals11,387 11,268 11,387 
OpCo Borrower, LLC(z)S+650, 1.00% SOFR Floor8/19/2027Healthcare & Pharmaceuticals208 208 208 
OpCo Borrower, LLC0.50% Unfunded8/19/2027Healthcare & Pharmaceuticals833 — — 
Optio Rx, LLC(m)(n)(w)L+700, 0.00% LIBOR Floor6/28/2024Healthcare & Pharmaceuticals15,929 15,892 15,749 
Optio Rx, LLC(n)(w)L+1000, 0.00% LIBOR Floor6/28/2024Healthcare & Pharmaceuticals2,515 2,504 2,615 
Pentec Acquisition Corp.(m)(w)L+600, 1.00% LIBOR Floor10/8/2026Healthcare & Pharmaceuticals24,750 24,551 24,750 
PH Beauty Holdings III. Inc.(m)(x)L+500, 0.00% LIBOR Floor9/28/2025Consumer Goods: Non-Durable9,575 9,195 8,677 
Playboy Enterprises, Inc.(h)(n)(x)L+625, 0.50% LIBOR Floor5/25/2027Consumer Goods: Non-Durable25,202 24,729 24,257 
Project Castle, Inc.(m)(aa)S+550, 0.50% SOFR Floor6/1/2029Services: Business9,975 8,979 8,117 
RA Outdoors, LLC(m)(aa)S+675, 1.00% SOFR Floor4/8/2026Media: Diversified & Production10,979 10,979 10,938 
RA Outdoors, LLC0.50% Unfunded4/8/2026Media: Diversified & Production1,049 (170)(1)
Retail Services WIS Corp.(m)(x)L+775, 1.00% LIBOR Floor5/20/2025Services: Business9,548 9,374 9,357 
Robert C. Hilliard, L.L.P.(m)(t)(w)L+1200, 2.00% LIBOR Floor12/17/2023Services: Consumer1,815 1,815 1,815 
Rogers Mechanical Contractors, LLC(m)(t)(aa)S+800, 1.00% SOFR Floor9/9/2025Services: Business16,365 16,365 16,324 
Rogers Mechanical Contractors, LLC(t)(aa)S+800, 1.00% SOFR Floor9/9/2025Services: Business962 962 959 
Rogers Mechanical Contractors, LLC1.00% Unfunded4/28/2023Services: Business962 — (2)
Rogers Mechanical Contractors, LLC0.75% Unfunded9/9/2025Services: Business2,404 — (6)
RumbleOn, Inc.(m)(x)L+825, 1.00% LIBOR Floor8/31/2026Automotive13,284 12,497 12,554 
RumbleOn, Inc.(x)L+825, 1.00% LIBOR Floor8/31/2026Automotive4,019 3,976 3,798 
RumbleOn, Inc.(o)0.00% Unfunded2/28/2023Automotive1,775 — (98)
Securus Technologies Holdings, Inc.(m)(x)L+450, 1.00% LIBOR Floor11/1/2024Telecommunications3,868 3,383 3,848 
Sequoia Healthcare Management, LLC(m)(n)(q)12.75%11/4/2023Healthcare & Pharmaceuticals8,525 8,457 10,209 
Service Compression, LLC(m)(t)(aa)S+1000, 1.00% SOFR Floor5/6/2027Energy: Oil & Gas22,975 22,622 22,803 
Service Compression, LLC(aa)S+1000, 1.00% SOFR Floor5/6/2027Energy: Oil & Gas3,151 3,044 3,127 
See accompanying notes to consolidated financial statements.

20


CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 20162022
(in thousands)
q.For the year ended December 31, 2016, the following investments contain a PIK interest provision whereby the issuer has either the option or the obligation to make interest payments with the issuance of additional securities:
    Interest Rate Interest Amount
Portfolio Company Investment Type Cash PIK All-in-Rate Cash PIK Total
Elements Behavioral Health, Inc. Senior Secured Second Lien Debt — 13.00% 13.00% $—
 $700
 $700
Petroflow Energy Corp. Senior Secured First Lien Debt 3.00% 6.00% 9.00% $14
 $99
 $113
Rimini Street, Inc. Senior Secured First Lien Debt 12.00% 3.00% 15.00% $1,286
 $164
 $1,450
Sequoia Healthcare Management, LLC Senior Secured First Lien Debt 12.00% 4.00% 16.00% $206
 $68
 $274
Smile Brands Group, Inc.(r) Senior Secured First Lien Debt 7.50% 1.50% 9.00% $187
 $34
 $221
Southcross Holdings Borrower LP(s) Senior Secured First Lien Debt 3.50% 5.50% 9.00% $2
 $6
 $8
Spinal USA, Inc. / Precision Medical Inc. Senior Secured First Lien Debt — 10.50% 10.50% $—
 $3
 $3
TexOak Petro Holdings LLC Senior Secured Second Lien Debt — 8.00% 8.00% $—
 $181
 $181
r.Outstanding principal and accrued interest of the underlying loan was fully repaid on August 17, 2016.
s.Prior to December 31, 2016, the underlying loan was assigned to the Company and removed from the TRS.

Portfolio Company(a)Interest(b)MaturityIndustryPrincipal/
Par Amount/
Units(e)		Cost(d)Fair
Value(c)
Service Compression, LLC0.50% Unfunded5/6/2025Energy: Oil & Gas4,186 — (31)
Sleep Opco, LLC(m)(x)L+650, 1.00% LIBOR Floor10/12/2026Retail13,779 13,568 13,641 
Sleep Opco, LLC0.50% Unfunded10/12/2026Retail1,750 (27)(18)
Spinal USA, Inc. / Precision Medical Inc.(m)(t)(x)L+9505/29/2023Healthcare & Pharmaceuticals13,401 13,385 9,649 
Spinal USA, Inc. / Precision Medical Inc.(m)(t)(x)L+9505/29/2023Healthcare & Pharmaceuticals1,191 1,191 816 
Spinal USA, Inc. / Precision Medical Inc.(m)(t)(x)L+9505/29/2023Healthcare & Pharmaceuticals766 677 521 
Spinal USA, Inc. / Precision Medical Inc.(m)(t)(x)L+9505/29/2023Healthcare & Pharmaceuticals727 727 498 
Spinal USA, Inc. / Precision Medical Inc.(m)(t)(x)L+9505/29/2023Healthcare & Pharmaceuticals607 536 446 
STATinMED, LLC(r)(t)(z)S+950, 2.00% SOFR Floor7/1/2027Healthcare & Pharmaceuticals9,222 9,222 9,107 
STATinMED, LLC(r)(t)(z)S+950, 2.00% SOFR Floor3/31/2023Healthcare & Pharmaceuticals156 153 156 
STATinMED, LLC(o)(r)0.00% Unfunded3/31/2023Healthcare & Pharmaceuticals156 — — 
Thrill Holdings LLC(m)(aa)S+650, 1.00% SOFR Floor5/27/2027Media: Diversified & Production20,394 20,394 20,292 
Thrill Holdings LLC1.00% Unfunded5/27/2024Media: Diversified & Production3,261 — (16)
Thrill Holdings LLC(aa)S+650, 1.00% SOFR Floor5/27/2027Media: Diversified & Production1,739 1,739 1,730 
Trademark Global, LLC(t)(w)L+750, 1.00% LIBOR Floor7/30/2024Consumer Goods: Non-Durable15,355 15,310 14,952 
Trammell, P.C.(t)(z)S+1550, 2.00% SOFR Floor4/28/2026Services: Consumer14,201 14,201 14,147 
USALCO, LLC(m)(x)L+600, 1.00% LIBOR Floor10/19/2027Chemicals, Plastics & Rubber24,750 24,539 24,441 
Vesta Holdings, LLC(m)(t)P+9002/25/2024Banking, Finance, Insurance & Real Estate21,071 21,071 19,938 
Vesta Holdings, LLC(m)(aa)S+1000, 1.00% SOFR Floor3/12/2023Banking, Finance, Insurance & Real Estate10,392 10,159 10,392 
Vesta Holdings, LLC(t)P+9002/25/2024Banking, Finance, Insurance & Real Estate838 838 793 
Volta Charging, LLC(m)12.00%6/19/2024Media: Diversified & Production5,621 5,617 6,506 
Volta Charging, LLC(m)12.00%6/19/2024Media: Diversified & Production1,500 1,499 1,736 
Williams Industrial Services Group, Inc.(n)(t)(x)L+900, 1.00% LIBOR Floor12/16/2025Services: Business7,173 7,173 7,182 
Wok Holdings Inc.(m)(x)L+650, 0.00% LIBOR Floor3/1/2026Beverage, Food & Tobacco25,105 24,335 21,684 
WorkGenius, Inc.(m)(aa)S+700, 0.50% SOFR Floor6/7/2027Services: Business12,938 12,937 12,938 
WorkGenius, Inc.0.50% Unfunded6/7/2027Services: Business750 (15)— 
Xenon Arc, Inc.(m)(x)L+525, 0.75% LIBOR Floor12/17/2027High Tech Industries6,915 6,846 6,846 
Yak Access, LLC(m)L+400, 0.00% LIBOR Floor7/11/2025Construction & Building4,925 3,299 3,165 
Total Senior Secured First Lien Debt1,638,995 1,579,512 
Senior Secured Second Lien Debt - 4.4%
Global Tel*Link Corp.(n)(aa)S+1000, 0.00% SOFR Floor11/29/2026Telecommunications11,500 11,378 11,414 
OpCo Borrower, LLC(m)12.50%2/19/2028Healthcare & Pharmaceuticals12,500 11,659 11,312 
RA Outdoors, LLC(m)(aa)S+900, 1.00% SOFR Floor10/8/2026Media: Diversified & Production1,827 1,827 1,825 
Securus Technologies Holdings, Inc.(x)L+825, 1.00% LIBOR Floor11/1/2025Telecommunications2,942 2,926 2,884 
TMK Hawk Parent, Corp.(x)L+800, 1.00% LIBOR Floor8/28/2025Services: Business13,393 13,246 11,334 
Total Senior Secured Second Lien Debt41,036 38,769 
See accompanying notes to consolidated financial statements.
21

CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 2022
(in thousands)
Portfolio Company(a)InterestMaturityIndustryPrincipal/
Par Amount/
Units(e)		Cost(d)Fair
Value(c)
Collateralized Securities and Structured Products - Equity - 0.1%
APIDOS CLO XVI Subordinated Notes(g)(h)0.00% Estimated Yield1/19/2025Diversified Financials9,000 1,246 71 
Galaxy XV CLO Ltd. Class A Subordinated Notes(g)(h)19.30% Estimated Yield4/15/2025Diversified Financials4,000 1,441 1,108 
Total Collateralized Securities and Structured Products - Equity2,687 1,179 
Unsecured Debt - 2.6%
Lucky Bucks Holdings LLC(t)12.50%5/29/2028Hotel, Gaming & Leisure22,860 22,860 15,316 
WPLM Acquisition Corp.(t)15.00%11/24/2025Media: Advertising, Printing & Publishing7,623 7,567 7,327 
Total Unsecured Debt30,427 22,643 
Equity - 12.1%
ARC Financial Partners, LLC, Membership Interests (25% ownership)(o)(r)Metals & MiningNA— — 
Ascent Resources - Marcellus, LLC, Membership Units(o)Energy: Oil & Gas511,255 Units1,642 1,235 
Ascent Resources - Marcellus, LLC, Warrants(o)Energy: Oil & Gas132,367 Units13 3 
Carestream Health Holdings Inc., Common Stock(o)(r)Healthcare & Pharmaceuticals613,262 Units21,758 21,544 
CF Arch Holdings LLC, Class A Units(o)Services: Business380,952 Units381 442 
CION/EagleTree Partners, LLC, Participating Preferred Shares(h)(o)(s)Diversified Financials22,072,841 Units22,073 30,766 
CION/EagleTree Partners, LLC, Membership Units (85% ownership)(h)(o)(s)Diversified FinancialsNA— — 
DBI Investors, Inc., Series A1 Preferred Stock(o)Retail20,000 Units802 28 
DBI Investors, Inc., Series A2 Preferred Stock(o)Retail1,733 Units— 2 
DBI Investors, Inc., Series A Preferred Stock(o)Retail1,396 Units140 2 
DBI Investors, Inc., Series B Preferred Stock(o)Retail4,183 Units410 2 
DBI Investors, Inc., Common Stock(o)Retail39,423 Units— — 
DBI Investors, Inc., Reallocation Rights(o)Retail7,500 Units— — 
FWS Parent Holdings, LLC. Class A Membership Interests(o)Services: Business35,242 Units800 742 
GSC Technologies Inc., Common Shares(o)(r)Chemicals, Plastics & Rubber807,268 Units— — 
Independent Pet Partners Intermediate Holdings, LLC, Class A Preferred Units(o)Retail1,000,000 Units1,000 60 
Independent Pet Partners Intermediate Holdings, LLC, Class B-2 Preferred Units(m)(o)Retail2,632,771 Units2,133 3,238 
Independent Pet Partners Intermediate Holdings, LLC, Class C Preferred Units(m)(o)Retail2,632,771 Units2,633 2,238 
Independent Pet Partners Intermediate Holdings, LLC, Warrants(o)Retail155,880 Units— — 
Instant Web Holdings, LLC, Class A Common Units(o)(r)Media: Advertising, Printing & Publishing10,819 Units— — 
Language Education Holdings GP LLC, Common Units(o)(r)Services: Business366,667 Units— — 
Language Education Holdings LP, Ordinary Common Units(o)(r)Services: Business366,667 Units825 1,173 
Longview Intermediate Holdings C, LLC, Membership Units(o)(r)Energy: Oil & Gas653,989 Units2,704 23,995 
Mount Logan Capital Inc., Common Stock(f)(h)(r)Banking, Finance, Insurance & Real Estate1,075,557 Units3,534 2,341 
New Giving Acquisition, Inc., Warrants(o)Healthcare & Pharmaceuticals4,630 Units633 786 
NS NWN Acquisition, LLC, Class A Preferred Units(o)High Tech Industries111 Units110 909 
NS NWN Acquisition, LLC, Common Equity(o)High Tech Industries346 Units393 — 
See accompanying notes to consolidated financial statements.
22

CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 2022
(in thousands)
Portfolio Company(a)InterestIndustryPrincipal/
Par Amount/
Units(e)		Cost(d)Fair
Value(c)
NS NWN Holdco LLC, Non-Voting Units(o)High Tech Industries522 Units504 200 
NSG Co-Invest (Bermuda) LP, Partnership Interests(h)(o)Consumer Goods: Durable1,575 Units1,000 664 
Palmetto Clean Technology, Inc., Warrants(o)High Tech Industries724,112 Units471 3,867 
RumbleOn, Inc., Warrants(o)Automotive60,606 Units927 1 
Service Compression, LLC, Warrants(o)Energy: Oil & GasN/A509 441 
Snap Fitness Holdings, Inc., Class A Common Stock(o)(r)Services: Consumer9,858 Units3,078 5,123 
Snap Fitness Holdings, Inc., Warrants(o)(r)Services: Consumer3,996 Units1,247 2,077 
STATinMed Parent, LLC, Class A Preferred Units(o)(r)Healthcare & Pharmaceuticals6,182 Units6,182 4,530 
STATinMed Parent, LLC, Class B Preferred Units(o)(r)Healthcare & Pharmaceuticals51,221 Units3,193 134 
WorkGenius, LLC, Class A Units(o)Services: Business500 Units500 515 
Total Equity79,595 107,058 
Short Term Investments - 1.2%(k)
First American Treasury Obligations Fund, Class Z Shares3.95%(l)10,869 10,869 
Total Short Term Investments10,869 10,869 
TOTAL INVESTMENTS - 199.2%$1,803,609 1,760,030 
LIABILITIES IN EXCESS OF OTHER ASSETS - (99.2)%(876,396)
NET ASSETS - 100.0%$883,634 
a.All of the Company’s investments are issued by eligible U.S. portfolio companies, as defined in the 1940 Act, except for investments specifically identified as non-qualifying per note h. below. Unless specifically identified in note t. below, investments do not contain a PIK interest provision.
b.The actual LIBOR rate for each loan listed may not be the applicable LIBOR rate as of December 31, 2022, as the loan may have been priced or repriced based on a LIBOR rate prior to or subsequent to December 31, 2022. The actual SOFR rate for each loan listed may not be the applicable SOFR rate as of December 31, 2022, as the loan may have been priced or repriced based on a SOFR rate prior to or subsequent to December 31, 2022.
c.Fair value determined in good faith by the Company’s board of directors (see Note 9), including via delegation to CIM as the Company’s valuation designee (see Note 2), using significant unobservable inputs unless otherwise noted.
d.Represents amortized cost for debt securities and cost for equity investments.
e.Denominated in U.S. dollars unless otherwise noted.
f.Fair value determined using level 1 inputs.
g.The CLO subordinated notes are considered equity positions in the CLO vehicles and are not rated. Equity investments are entitled to recurring distributions, which are generally equal to the remaining cash flow of the payments made by the underlying vehicle's securities less contractual payments to debt holders and expenses. The estimated yield indicated is based upon a current projection of the amount and timing of these recurring distributions and the estimated amount of repayment of principal upon termination. Such projections are periodically reviewed and adjusted, and the estimated yield may not ultimately be realized.
h.The investment or a portion thereof is not a qualifying asset under the 1940 Act. A business development company may not acquire any asset other than qualifying assets, unless, at the time the acquisition is made, qualifying assets represent at least 70% of the company’s total assets as defined under Section 55 of the 1940 Act. As of December 31, 2022, 93.4% of the Company’s total assets represented qualifying assets.
See accompanying notes to consolidated financial statements.
23

CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 2022
(in thousands)
i.[Reserved]
j.In addition to the interest earned based on the stated interest rate of this loan, which is the amount reflected in this schedule, the Company may be entitled to receive additional residual amounts.
k.Short term investments represent an investment in a fund that invests in highly liquid investments with average original maturity dates of three months or less.
l.7-day effective yield as of December 31, 2022.
m.Investment or a portion thereof held within the Company’s wholly-owned consolidated subsidiary, 34th Street, and was pledged as collateral supporting the amounts outstanding under the credit facility with JPM as of December 31, 2022 (see Note 8).
n.Investment or a portion thereof held within the Company’s wholly-owned consolidated subsidiary, Murray Hill Funding II, and was pledged as collateral supporting the amounts outstanding under the repurchase agreement with UBS as of December 31, 2022 (see Note 8).
o.Non-income producing security.
p.The ultimate interest earned on this loan will be determined based on the portfolio company’s EBITDA at a specified trigger event.
q.Investment or a portion thereof was on non-accrual status as of December 31, 2022.
See accompanying notes to consolidated financial statements.
24

CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 2022
(in thousands)
r.Investment determined to be an affiliated investment as defined in the 1940 Act as the Company owns between 5% and 25% of the portfolio company’s outstanding voting securities but does not control the portfolio company. Fair value as of December 31, 2021 and 2022, along with transactions during the year ended December 31, 2022 in these affiliated investments, were as follows:
Year Ended December 31, 2022Year Ended December 31, 2022
Non-Controlled, Affiliated InvestmentsFair Value at
December 31, 2021		Gross
Additions
(Cost)(1)		Gross
Reductions
(Cost)(2)		Net Unrealized Gain (Loss)Fair Value at December 31, 2022Net Realized Gain (Loss)Interest
Income(3)		Dividend Income
    ARC Financial, LLC
        Membership Interests$— $— $— $— $— $— $— $25 
    Berlitz Holdings, Inc.
        First Lien Term Loan— 13,956 (13,956)— — — 393 — 
    Carestream Health, Inc.
        First Lien Term Loan— 7,596 — (57)7,539 — 284 — 
    Carestream Health Holdings Inc.
        Common Shares— 21,758 — (214)21,544 — — — 
    Charming Charlie, LLC
        Vendor Payment Financing Facility350 — (657)307 — (657)26 — 
    DESG Holdings, Inc.
        First Lien Term Loan1,787 — (306)(1,235)246 — 5 — 
        Second Lien Term Loan— — (10,017)10,017 — (10,017)— — 
    GSC Technologies Inc.
        Incremental Term Loan170 8 (24)— 154 — 22 — 
        First Lien Term Loan A2,001 26 — 37 2,064 — 193 — 
        First Lien Term Loan B485 67 — (164)388 — 72 — 
        Common Shares— — — — — — — — 
    Instant Web Holdings, LLC
        Class A Common Units— — — — — — — — 
    Instant Web, LLC
        Revolving Loan— 970 (649)— 321 — 26 — 
        Priming Term Loan— 458 — 11 469 — 36 — 
        First Lien Term Loan— 39,802 — (11,635)28,167 — 3,314 — 
        First Lien Delayed Draw Term Loan— — — — — — 14 — 
    Language Education Holdings GP LLC
        Common Units— — — — — — — — 
    Language Education Holdings LP
        Ordinary Common Units— 1,125 (1,125)— — — — — 
    Lift Brands, Inc.
        Term Loan A23,406 — (236)117 23,287 — 2,252 — 
        Term Loan B5,156 235 — (237)5,154 — 545 — 
        Term Loan C4,700 133 — (101)4,732 — 1,412 — 
    Longview Intermediate Holdings C, LLC
        Membership Units15,127 — — 8,868 23,995 — — — 
    Longview Power, LLC
        First Lien Term Loan4,504 156 (1,391)(921)2,348 — 1,952 — 
    Mount Logan Capital Inc.
        Common Stock3,404 — — (1,063)2,341 — — 54 
    SIMR, LLC
        First Lien Term Loan16,000 1,447 (21,261)3,814 — (2,854)804 — 
    SIMR Parent, LLC
        Class B Membership Units— — (8,002)8,002 — (8,002)— — 
        Class W Membership Units— — — — — — — — 
See accompanying notes to consolidated financial statements
25

CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 2022
(in thousands)
Year Ended December 31, 2022Year Ended December 31, 2022
Non-Controlled, Affiliated InvestmentsFair Value at
December 31, 2021		Gross
Additions
(Cost)(1)		Gross
Reductions
(Cost)(2)		Net Unrealized Gain (Loss)Fair Value at December 31, 2022Net Realized Gain (Loss)Interest
Income(3)		Dividend Income
    Snap Fitness Holdings, Inc.
        Class A Stock3,131 — — 1,992 5,123 — — — 
        Warrants1,269 — — 808 2,077 — — — 
    STATinMED, LLC
        First Lien Term Loan— 9,472 (250)(115)9,107 — 719 — 
        Delayed Draw First Lien Term Loan— 153 — 3 156 — — — 
    STATinMed Parent, LLC
        Class A Preferred Units— 6,182 — (1,652)4,530 — — — 
        Class B Preferred Units— 3,193 — (3,059)134 — — — 
    Totals$81,490 $106,737 $(57,874)$13,523 $143,876 $(21,530)$12,069 $79 
(1)Gross additions include increases in the cost basis of investments resulting from new portfolio investments, PIK interest, the amortization of unearned income, the exchange of one or more existing securities for one or more new securities and the movement of an existing portfolio company into this category from a different category.
(2)Gross reductions include decreases in the cost basis of investments resulting from principal collections related to investment repayments or sales, the exchange of one or more existing securities for one or more new securities and the movement of an existing portfolio company out of this category into a different category.
(3)Includes PIK interest income.
s.Investment determined to be a controlled investment as defined in the 1940 Act as the Company is deemed to exercise a controlling influence over the management or policies of the portfolio company due to beneficially owning, either directly or through one or more controlled companies, more than 25% of the outstanding voting securities of such portfolio company. Fair value as of December 31, 2021 and 2022, along with transactions during the year ended December 31, 2022 in these controlled investments, were as follows:
Year Ended December 31, 2022Year Ended December 31, 2022
Controlled InvestmentsFair Value at
December 31, 2021		Gross
Additions
(Cost)(1)		Gross
Reductions
(Cost)(2)		Net 
Unrealized
Gain (Loss)		Fair Value at
December 31, 2022		Net Realized
Gain (Loss)		Interest
Income(3)		Dividend Income
    CION/EagleTree Partners, LLC
        Senior Secured Note$61,629 $2,718 $(3,999)$— $60,348 $— $8,531 $— 
        Participating Preferred Shares29,796 — — 970 30,766 — — 1,275 
        Common Shares— — — — — — — — 
    Totals$91,425 $2,718 $(3,999)$970 $91,114 $— $8,531 $1,275 
(1)Gross additions include increases in the cost basis of investments resulting from new portfolio investments, PIK interest, the amortization of unearned income, the exchange of one or more existing securities for one or more new securities and the movement of an existing portfolio company into this category from a different category.
(2)Gross reductions include decreases in the cost basis of investments resulting from principal collections related to investment repayments or sales, the exchange of one or more existing securities for one or more new securities and the movement of an existing portfolio company out of this category into a different category.
(3)Includes PIK interest income.
See accompanying notes to consolidated financial statements.
26

CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 2022
(in thousands)
t.As of December 31, 2022, the following investments contain a PIK interest provision whereby the issuer has either the option or the obligation to make interest payments with the issuance of additional securities:
  Interest Rate
Portfolio CompanyInvestment TypeCashPIKAll-in-Rate
Adapt Laser Acquisition, Inc.Senior Secured First Lien Debt14.76%2.00%16.76%
American Clinical Solutions LLCSenior Secured First Lien Debt7.00%4.27%11.27%
American Consolidated Natural Resources, Inc.Senior Secured First Lien Debt17.33%3.00%20.33%
Ancile Solutions, Inc.Senior Secured First Lien Debt11.75%3.00%14.75%
Anthem Sports & Entertainment Inc.Senior Secured First Lien Debt11.48%2.75%14.23%
Cadence Aerospace, LLCSenior Secured First Lien Debt10.92%2.00%12.92%
CION/EagleTree Partners, LLCSenior Secured Note—14.00%14.00%
David's Bridal, LLCSenior Secured First Lien Debt9.28%5.00%14.28%
David's Bridal, LLCSenior Secured First Lien Debt1.00%9.42%10.42%
Deluxe Entertainment Services, Inc.Senior Secured First Lien Debt9.73%1.50%11.23%
Fusion Connect Inc.Senior Secured First Lien Debt11.69%1.00%12.69%
GSC Technologies Inc.Senior Secured First Lien Debt—9.12%9.12%
GSC Technologies Inc.Senior Secured First Lien Debt9.37%5.00%14.37%
Hilliard, Martinez & Gonzales, LLPSenior Secured First Lien Debt—16.24%16.24%
Homer City Generation, L.P.Senior Secured First Lien Debt—15.00%15.00%
Independent Pet Partners Intermediate Holdings, LLCSenior Secured First Lien Debt—6.00%6.00%
Independent Pet Partners Intermediate Holdings, LLCSenior Secured First Lien Debt—13.00%13.00%
Independent Pet Partners Intermediate Holdings, LLCSenior Secured First Lien Debt—11.26%11.26%
Independent Pet Partners Intermediate Holdings, LLCSenior Secured First Lien Debt—14.42%14.42%
Instant Web, LLCSenior Secured First Lien Debt—11.38%11.38%
Lucky Bucks Holdings LLCUnsecured Note—12.50%12.50%
Robert C. Hilliard, L.L.P.Senior Secured First Lien Debt—16.24%16.24%
Rogers Mechanical Contractors, LLCSenior Secured First Lien Debt11.70%1.00%12.70%
Service Compression, LLCSenior Secured First Lien Debt12.83%2.00%14.83%
Spinal USA, Inc. / Precision Medical Inc.Senior Secured First Lien Debt—13.24%13.24%
STATinMED, LLCSenior Secured First Lien Debt—13.80%13.80%
STATinMED, LLCSenior Secured First Lien Debt—13.94%13.94%
Trademark Global, LLCSenior Secured First Lien Debt7.07%4.50%11.57%
Trammell, P.C.Senior Secured First Lien Debt—19.94%19.94%
Vesta Holdings, LLCSenior Secured First Lien Debt—21.50%21.50%
Williams Industrial Services Group, Inc.Senior Secured First Lien Debt10.00%2.75%12.75%
WPLM Acquisition Corp.Unsecured Note—15.00%15.00%
u.As of December 31, 2022, the index rate for $2,096 and $1,943 was 1 Month LIBOR and 3 Month LIBOR, respectively.
v.[Reserved]
w.The interest rate on these loans is subject to 1 month LIBOR, which as of December 31, 2022 was 4.39%.
x.The interest rate on these loans is subject to 3 month LIBOR, which as of December 31, 2022 was 4.77%.
y.The interest rate on these loans is subject to 6 month LIBOR, which as of December 31, 2022 was 5.14%.
z.The interest rate on these loans is subject to 1 month SOFR, which as of December 31, 2022 was 4.36%.
aa.The interest rate on these loans is subject to 3 month SOFR, which as of December 31, 2022 was 4.59%.
See accompanying notes to consolidated financial statements.
27
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017March 31, 2023
(in thousands, except share and per share amounts)



Note 1. Organization and Principal Business
CĪON Investment Corporation, or the Company, was incorporated under the general corporation laws of the State of Maryland on August 9, 2011. On December 17, 2012, the Company successfully raised gross proceeds from unaffiliated outside investors of at least $2,500, or the minimum offering requirement, and commenced operations. The Company is an externally managed, non-diversified, closed-end management investment company that has elected to be regulated as a business development company, or BDC, under the 1940 Act. The Company elected to be treated for federal income tax purposes as a regulated investment company, or RIC, as defined under Subchapter M of the Internal Revenue Code of 1986, as amended, or the Code.
The Company’s investment objective is to generate current income and, to a lesser extent, capital appreciation for investors. The Company’s portfolio is comprised primarily of investments in senior secured debt, including first lien loans, second lien loans and unitranche loans, and, to a lesser extent, collateralized securities, structured products and other similar securities, unsecured debt, including corporate bonds and long-term subordinated loans, referred to as mezzanine loans, and equity, of private and thinly tradedthinly-traded U.S. middle-market companies.
The Company is managed by CION Investment Management, LLC, or CIM, a registered investment adviser and an affiliate of the Company. Pursuant to an investment advisory agreement with the Company, CIM oversees the management of the Company’s activities and is responsible for making investment decisions for the Company’s investment portfolio. The Company and CIM previously engaged Apollo Investment Management, L.P., or AIM, a subsidiary of Apollo Global Management, LLC, or, together with its subsidiaries, Apollo, a leading global alternative investment manager, to act as the Company’s investment sub-adviser.  On November 1, 2016,April 5, 2021, the board of directors of the Company, including a majority of the board of directors who are not interested persons, approved the renewal of theamended and restated investment sub-advisoryadvisory agreement with AIMCIM for a period of twelvetwenty four months, commencing December 17, 2016.which was subsequently approved by shareholders on August 9, 2021 (as described in further detail below). The Company and CIM previously engaged Apollo Investment Management, L.P., or AIM, a subsidiary of Apollo Global Management, Inc., or, together with its subsidiaries, Apollo, a leading global alternative investment manager, to act as the Company’s investment sub-adviser.
On July 11, 2017, the members of CIM entered into a third amended and restated limited liability company agreement of CIM, or the Third Amended CIM LLC Agreement, with AIM for the purpose of creating a joint venture between AIM and CION Investment Group, LLC, or CIG.CIG, an affiliate of the Company. Under the Third Amended CIM LLC Agreement, AIM became a member of CIM and was issued a newly-created class of membership interests in CIM pursuant to which AIM, among other things, will shareshares in the profits, losses, distributions and expenses of CIM with the other members in accordance with the terms of the Third Amended CIM LLC Agreement, which will ultimately resultresults in CIG and AIM each owning a 50% economic interest in CIM.
On July 10, 2017, the Company’s independent directors unanimously approved the termination of the investment sub-advisory agreement with AIM, effective as of July 11, 2017. Although the investment sub-advisory agreement and AIM's engagement as the Company’s investment sub-adviser were terminated, AIM continues to perform identicalcertain services for CIM and the Company, including, without limitation, identifying investment opportunities for approval by CIM.Company. AIM willis not be paid a separate fee in exchange for such services, but will beis entitled to receive distributions as a member of CIM as described above.
On December 4, 2017, the members of CIM entered into a fourth amended and restated limited liability company agreement of CIM, or the Fourth Amended CIM LLC Agreement, under which AIM performs certain services for CIM, which include, among other services, providing (a) trade and settlement support; (b) portfolio and cash reconciliation; (c) market pipeline information regarding syndicated deals, in each case, as reasonably requested by CIM; and (d) monthly valuation reports and support for all broker-quoted investments. AIM may also, from time to time, provide the Company with access to potential investment opportunities made available on Apollo's credit platform on a similar basis as other third-party market participants. All of the Company's investment decisions are the sole responsibility of, and are made at the sole discretion of, CIM's investment committee, which consists entirely of CIG senior personnel.
The amended and restated investment advisory agreement was approved by shareholders on August 9, 2021. As a result, on August 10, 2021, the Company and CIM entered into the amended and restated investment advisory agreement in order to implement the change to the calculation of the subordinated incentive fee payable from the Company to CIM that expresses the hurdle rate required for CIM to earn, and be paid, the incentive fee as a percentage of the Company’s net assets rather than adjusted capital.
On October 5, 2021, the Company's shares of common stock commenced trading on the New York Stock Exchange, or the NYSE, under the ticker symbol "CION", or the Listing. As a result, on October 5, 2021, the Company and CIM entered into the second amended and restated investment advisory agreement in order to implement the changes to the advisory fees payable from the Company to CIM that became effective upon the Listing that (i) reduced the annual base management fee, (ii) amended the structure of the subordinated incentive fee on income payable by the Company to CIM and reduced the hurdle and incentive fee rates, and (iii) reduced the incentive fee on capital gains payable by the Company to CIM (as described in further detail in Notes 2 and 4). On February 26, 2023, the Company’s shares of common stock also listed and commenced trading on the Tel Aviv Stock Exchange Ltd., or the TASE, under the ticker symbol “CION”.
28
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
Note 2. Summary of Significant Accounting Policies
Basis of Presentation and Consolidation
The accompanying unaudited consolidated financial statements of the Company have been prepared in accordance with U.S. generally accepted accounting principles, or GAAP, for interim financial information and pursuant to the instructions for Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation have been included. For a more complete discussion of significant accounting policies and certain other information, the Company’s interim unaudited consolidated financial statements should be read in conjunction with its audited consolidated financial statements as of December 31, 20162022 and for the year then ended included in the Company’s Annual Report on Form 10-K. Operating results for interim periods are not necessarily indicative of the results that may be expected for the full year ending December 31, 2017.2023. The consolidated balance sheet and the consolidated schedule of investments as of December 31, 20162022 and the consolidated statements of operations, changes in net assets, and cash flows for the year ended December 31, 2022 are derived from the 20162022 audited consolidated financial statements and include the accounts of the Company’s wholly-owned subsidiaries.
All intercompany balances and transactions have been eliminated in consolidation. The Company is considered an investment company as defineddoes not consolidate its equity interest in Accounting Standards Update Topic 946, Financial Services - Investment Companies,CION/EagleTree Partners, LLC, or ASU 946. Accordingly, the required disclosures as outlined in ASU 946 are included inCION/EagleTree. See Note 7 for a description of the Company’s consolidated financial statements.investment in CION/EagleTree.
The Company evaluates subsequent events through the date that the consolidated financial statements are issued.
Recently Announced Accounting StandardsPronouncements
In May 2014,June 2022, the Financial Accounting Standards Board, or the FASB, issued ASU 2014-09, Revenue from Contracts with Customers2022-03, Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions, or ASU 2014-09, which establishes a comprehensive and converged standard on revenue recognition to enable financial statement users to better understand and consistently analyze an entity’s revenue across industries, transactions and geographies. The core principle of ASU 2014-09 is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. As such, ASU 2014-09 could impact the timing of revenue recognition. ASU 2014-09 also requires improved disclosures to help users of financial statements better understand the nature, amount, timing and uncertainty of revenue that is recognized. ASU 2014-09 will apply to all entities. In August 2015, the FASB issued ASU 2015-14, Revenue from Contracts with Customers: Deferral of the Effective Date, or ASU 2015-14, which amended the effective date of ASU 2014-09. ASU 2015-14 defers the effective date of ASU 2014-09 to interim reporting periods within annual reporting periods beginning after December 15, 2017 and early adoption is permitted, but not before the original effective date. The adoption of this guidance will not have a material impact on the Company’s consolidated financial statements.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows: Classification of Certain Cash Receipts and Cash Payments (a consensus of the Emerging Issues Task Force), or ASU 2016-15, which intends to reduce diversity in practice in how certain cash receipts and payments are classified in the statement of cash flows, including debt prepayment or extinguishment costs, the settlement of contingent liabilities arising from a business combination, proceeds from insurance settlements and distributions from certain equity method investments. ASU 2016-15 is effective for interim and annual periods beginning after December 15, 2017. Early adoption is permitted. The adoption of this guidance may impact the presentation of cash flows, but will not otherwise have a material impact on the Company's consolidated balance sheets or statements of operations.

In January 2017, the FASB issued ASU 2017-01, Business Combinations: Clarifying the Definition of a Business, or ASU 2017-01,2022-03, which clarifies the definitionguidance when measuring the fair value of a businessan equity security subject to contractual restrictions that prohibit the sale of an equity security and introduces new disclosure requirements for equity securities subject to contractual sale restrictions that are measured at fair value in accordance with the objective of adding guidance to assist companies with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses.Topic 820. ASU 2017-01 is expected to reduce the number of transactions that need to be further evaluated as businesses. ASU 2017-01 is effective for interim and annual periods beginning after December 15, 2017. Early adoption is permitted for certain types of transactions. The Company will apply this guidance to its assessment of applicable transactions consummated after the adoption date.
In March 2017, the FASB issued ASU 2017-08, Premium Amortization on Purchased Callable Debt Securities, which shortens the amortization period for the premium on certain purchased callable debt securities to the earliest call date. ASU 2017-082022-03 is effective for fiscal years beginning after December 15, 2019,2023, and interim periods within fiscal years beginning after December 15, 2020. Early2023. The Company is evaluating the potential impact that the adoption of this guidance will have on the Company’s consolidated financial statements.
In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting, or ASU 2020-04, which provides optional expedients and exceptions for applying GAAP to contract modifications, hedging relationships and other transactions, subject to meeting certain criteria, that reference LIBOR or another reference rate expected to be discontinued because of the reference rate reform. ASU 2020-04 is permitted, including adoption during an interim period. If the Company early adopts the amendments during an interim period, any adjustments will be reflectedeffective for all entities as of March 12, 2020 through December 31, 2022. The expedients and exceptions provided by this guidance do not apply to contract modifications and hedging relationships entered into or evaluated after December 31, 2022. In December 2022, the beginningFASB issued ASU No. 2022-06, Reference Rate Reform (Topic 848): Deferral of the fiscal yearSunset Date of Topic 848, which deferred the sunset date of this guidance to December 31, 2024. The Company is evaluating the potential impact that includes such interim period.the adoption of this guidance will have on the Company’s consolidated financial statements.
Cash and Cash Equivalents
Cash and cash equivalents include cash in banks and highly liquid investments with original maturity dates of three months or less. The Company’s cash and cash equivalents are held principally at one financial institution and at times may exceed insured limits. The Company periodically evaluates the creditworthiness of this institution and has not experienced any losses on such deposits.
29
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
Foreign Currency Translations
The accounting records of the Company are maintained in U.S. dollars. All assets and liabilities denominated in foreign currencies are translated tointo U.S. dollars based on the foreign exchange rate on the date of valuation. The Company does not isolate that portion of the results of operations resulting from changes in foreign exchange rates on investments from the fluctuations arising from changes in market prices of securities held. Changes in the relationship of foreign currencies to the U.S. dollar can significantly affect the value of these investments and therefore the earnings of the Company.
Short Term Investments
Short term investments include an investment in a U.S. Treasury obligations fund, which seeks to provide current income and daily liquidity by purchasing U.S. Treasury securities and repurchase agreements that are collateralized by such securities. The Company had $140,810$66,326 and $70,498$10,869 of such investments at September 30, 2017March 31, 2023 and December 31, 2016,2022, respectively, which are included in investments, at fair value on the accompanying consolidated balance sheets and on the consolidated schedules of investments.
Offering and Organizational Costs
Offering costs include, among other things, legal fees and other costs pertaining to the preparation of the Company’s registration statements in connection with the continuous public offerings of the Company’s shares. Certain initial offering costs that were funded by CIG on behalf of the Company were submitted by CIG for reimbursement upon meeting the minimum offering requirement on December 17, 2012. These costs were capitalized and amortized over a twelve month period as an adjustment to capital in excess of par value. All other offering costs are expensed as incurred by the Company.
Organizational costs include, among other things, the cost of organizing the Company as a Maryland corporation, including the cost of legal services and other fees pertaining to the organization of the Company. All organizational costs were funded by CIG and its affiliates and there was no liability for these organizational costs to the Company until CIG and its affiliates submitted such costs for reimbursement.
Income Taxes
The Company elected to be treated for federal income tax purposes as a RIC under Subchapter M of the Code. To qualify and maintain qualification as a RIC, the Company must, among other things, meet certain source of income and asset diversification requirements and distribute to shareholders, for each taxable year, at least 90% of the Company’s “investment company taxable income”, which is generally equal to the sum of the Company’s net ordinary income plus the excess, if any, of realized net short-term capital gains over realized net long-term capital losses. If the Company continues to qualify as a RIC and continues to satisfy the annual distribution requirement, the Company will not be subject to corporate level federal income taxes on any income that the Company distributes to its shareholders. The Company intends to make distributions in an amount sufficient to maintain RIC status each year and to avoid any federal income taxes on income. The Company will also be subject to nondeductible federal excise taxes if the Company does not distribute at least 98.0% of net ordinary income, 98.2% of capital gains, if any, and any recognized and undistributed income from prior years for which it paid no federal income taxes. 
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

Two of the Company’s wholly-owned consolidated subsidiaries, View ITC, LLC and View Rise, LLC, or collectively the Taxable Subsidiaries, have elected to be treated as taxable entities for U.S. federal income tax purposes. TheAs a result, the Taxable Subsidiaries are not consolidated with the Company for income tax purposes and may generate income tax expense or benefit, and the related tax assets and liabilities, as a result of itstheir ownership of certain portfolio investments. The income tax expense or benefit, if any, and the related tax assets and liabilities, where material, are reflected in the Company’s consolidated financial statements. There were no deferred tax assets or liabilities as of September 30, 2017.March 31, 2023 or December 31, 2022.
Book/tax differences relating to permanent differences are reclassified among the Company’s capital accounts, as appropriate. Additionally, the tax character of distributions is determined in accordance with income tax regulations that may differ from GAAP (see Note 5).
Uncertainty in Income Taxes
The Company evaluates its tax positions to determine if the tax positions taken meet the minimum recognition threshold for the purposes of measuring and recognizing tax liabilities in the consolidated financial statements. Recognition of a tax benefit or liability with respect to an uncertain tax position is required only when the position is “more likely than not” to be sustained assuming examination by the taxing authorities. The Company recognizes interest and penalties, if any, related to unrecognized tax benefits as income tax expense in the consolidated statements of operations. The Company did not have any uncertain tax positions during the periods presented herein. 
The Company is subject to examination by U.S. federal, New York State, New York City and Maryland income tax jurisdictions for 2013, 2014, 2015,2019, 2020 and 2016.2021.
30
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
Use of Estimates
The preparation of the consolidated financial statements in conformity with GAAP requires the Company to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period.
Actual results may materially differ from those estimates.
Valuation of Portfolio Investments
The fair value of the Company’s investments is determined quarterly in good faith by the Company’s board of directors pursuant to its consistently applied valuation procedures and valuation process in accordance with Accounting Standards Codification Topic 820, Fair Value Measurements and Disclosure, or ASC 820. In accordance with Rule 2a-5 of the 1940 Act, the Company’s board of directors has designated CIM as the Company’s “valuation designee.” The Company’s board of directors and the audit committee of the board of directors, the latter of which is comprised solely of independent directors, oversees the activities, methodology and processes of the valuation designee. ASC 820 defines fair value as the price that would be received from the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. ASC 820 also establishes a three-tier fair value hierarchy that prioritizes and ranks the level of market price observability of inputs used in measuring investments at fair value. Inputs used to measure these fair values are classified into the following hierarchy:
Level 1 -Quoted prices in active markets for identical assets or liabilities, accessible by the Company at the measurement date.
Level 2 -Quoted prices for similar assets or liabilities in active markets, or quoted prices for identical or similar assets or liabilities in markets that are not active, or other observable inputs other than quoted prices.
Level 3 -Unobservable inputs for the asset or liability. The inputs used in the determination of fair value may require significant management judgment or estimation. Such information may be the result of consensus pricing information or broker quotes that include a disclaimer that the broker would not be held to such a price in an actual transaction. The non-binding nature of consensus pricing and/or quotes accompanied by the disclaimer would result in classification as a Level 3 asset, assuming no additional corroborating evidence.
Level 1 -Quoted prices in active markets for identical assets or liabilities, accessible by the Company at the measurement date.
Level 2 -Quoted prices for similar assets or liabilities in active markets, or quoted prices for identical or similar assets or liabilities in markets that are not active, or other observable inputs other than quoted prices.
Level 3 -Unobservable inputs for the asset or liability. The inputs used in the determination of fair value may require significant management judgment or estimation. Such information may be the result of consensus pricing information or broker quotes that include a disclaimer that the broker would not be held to such a price in an actual transaction. The non-binding nature of consensus pricing and/or quotes accompanied by the disclaimer would result in classification as a Level 3 asset, assuming no additional corroborating evidence.
Market price observability is affected by a number of factors, including the type of investment and the characteristics specific to the investment. Investments with readily available active quoted prices or for which fair value can be measured from actively quoted prices generally will have a higher degree of market price observability and a lesser degree of judgment used in measuring fair value.
Based on the observability of the inputs used in the valuation techniques, the Company is required to provide disclosures on fair value measurements according to the fair value hierarchy. The level in the fair value hierarchy for each fair value measurement has been determined based on the lowest level of input that is significant to the fair value measurement. Our assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to each investment. The level assigned to the investment valuations may not be indicative of the risk or liquidity associated with investing in such investments. Because of the inherent uncertainties of valuation, the values reflected in the consolidated financial statements may differ materially from the value that would be received upon an actual sale of such investments. In addition, changes in the market environment and other events that may occur over the life of the investments may cause the gains or losses that the Company ultimately realizes on these investments to materially differ from the valuations currently assigned.
31
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017March 31, 2023
(in thousands, except share and per share amounts)

TheA portion of the Company’s investments excluding short term investments, consist primarily of debt securities that are traded on a private over-the-counter market for institutional investments. CIM attempts to obtain market quotations from at least two brokers or dealers for each investment (if available, otherwise from a principal market maker or a primary market dealer or other independent pricing service). CIM utilizes mid-market pricingtypically uses the average midpoint of the broker bid/ask price to determine fair value unless a different point within the range is more representative. Because of the private nature of this marketplace (meaning actual transactions are not publicly reported) and the non-binding nature of consensus pricing and/or quotes, the Company believes that these valuation inputs result in Level 3 classification within the fair value hierarchy. As these quotes are only indicative of fair value, CIM benchmarks the implied fair value yield and leverage against what has been observed in the market. If the implied fair value yield and leverage fall within the range of CIM's market pricing matrix, the quotes are deemed to be reliable and used to determine the investment's fair value.
Notwithstanding the foregoing, if in the reasonable judgment of CIM, the price of any investment held by the Company and determined in the manner described above does not accurately reflect the fair value of such investment, CIM will value such investment at a price that reflects such investment’s fair value and report such change in the valuation to the board of directors or its designee as soon as practicable. Investments that carry certain restrictions on sale will typically be valued at a discount from the public market value of the investment.

Any investments that are not publicly traded or for which a market price is not otherwise readily available are valued at a price that reflects its fair value. With respect to such investments, if CIM is unable to obtain market quotations, the investments are reviewed and valued using one or more of the following types of analyses:
i.Market comparable statistics and public trading multiples discounted for illiquidity, minority ownership and other factors for companies with similar characteristics.
ii.Valuations implied by third-party investments in the applicable portfolio companies.
iii.Discounted cash flow analysis, including a terminal value or exit multiple.
i.Market comparable statistics and public trading multiples discounted for illiquidity, minority ownership and other factors for companies with similar characteristics.
ii.Valuations implied by third-party investments in the applicable portfolio companies.
iii.A benchmarking analysis to compare implied fair value and leverage to comparable market investments.
iv.Discounted cash flow analysis, including a terminal value or exit multiple.
Determination of fair value involves subjective judgments and estimates. Accordingly, these notes to the Company’s consolidated financial statements refer to the uncertainty with respect to the possible effect of such valuations, and any change in such valuations, on the Company’s consolidated financial statements. Below is a description of factors that the Company’s board of directorsCIM may consider when valuing the Company’s equity and debt investments where a market price is not readily available:
•the size and scope of a portfolio company and its specific strengths and weaknesses;
•prevailing interest rates for like securities;
•expected volatility in future interest rates;
•leverage;
•call features, put features, fees and other relevant terms of the debt;
•the borrower’s ability to adequately service its debt;
•the fair market value of the portfolio company in relation to the face amount of its outstanding debt;
•the quality of collateral securing the Company’s debt investments;
•multiples of earnings before interest, taxes, depreciation and amortization, or EBITDA, cash flows, net income, revenues or, in some cases, book value or liquidation value; and
•other factors deemed applicable.
All of these factors may be subject to adjustment based upon the particular circumstances of a portfolio company or the Company’s actual investment position. For example, adjustments to EBITDA may take into account compensation to previous owners, or acquisition, recapitalization, and restructuring expenses or other related or non-recurring items. The choice of analyses and the weight assigned to such factors may vary across investments and may change within an investment if events occur that warrant such a change.
TheWhen CIM uses the discounted cash flow model to value the Company's investments, such model deemed appropriate by CIM is prepared for the applicable investments and reviewed by the Company’s valuation committee consistingdesignated members of senior management.CIM’s management team. Such models are prepared at least quarterly or on an as needed basis. The model uses the estimated cash flow projections for the underlying investments and an appropriate discount rate is determined based on the latest financial information available for the borrower, prevailing market trends, comparable analysis and other inputs. The model, key assumptions, inputs, and results are reviewed by the Company’s valuation committeedesignated members of CIM’s management team with final approval from the board of directors.directors or its designee.
32
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
Consistent with the Company’s valuation policy, the Company evaluates the source of inputs, including any markets in which the Company’s investments are trading, in determining fair value.
The Company periodically benchmarks the broker quotes from the brokers or dealers against the actual prices at which the Company purchases and sells its investments. Based on the results of the benchmark analysis and the experience of the Company’s management in purchasing and selling these investments, the Company believes that these quotes are reliable indicators of fair value. The Company may also use other methods to determine fair value for securities for which it cannot obtain market quotations through brokers or dealers, including the use of an independent valuation firm. The Company’s valuation committeeDesignated members of CIM’s management team and the Company's board of directors or its designee review and approve the valuation determinations made with respect to these investments in a manner consistent with the Company’s valuation process.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

TheAs a practical expedient, the Company uses net asset value, of the total return swap, or TRS, was primarily based on the increase or decrease in the value of the loans underlying the TRS,NAV, as determined by the Company. The loans underlying the TRS were valued in the same manner as loans owned by the Company. As in all cases, the level in the fair value hierarchy for each instrument is determined based on the lowest level of inputs that are significant to theits equity investment in CION/EagleTree. CION/EagleTree records its underlying investments at fair value measurement. The Company classified the TRS as Level 3 within the fair value hierarchy based on the lowest level of significant inputs. For additional information on the TRS, see Note 7.a quarterly basis in accordance with ASC 820.

Revenue Recognition
Securities transactions are accounted for on the trade date. The Company records interest and dividend income on an accrual basis beginning on the trade settlement date or the ex-dividend date, respectively, to the extent that the Company expects to collect such amounts.  For investments in equity tranches of collateralized loan obligations, the Company records income based on the effective interest rate determined using the amortized cost and estimated cash flows, which is updated periodically. Loan origination fees, original issue discounts, or OID, and market discounts/premiums are recorded and such amounts are amortized as adjustments to interest income over the respective term of the loan using the effective interest rate method. The Company recordsUpon the prepayment of a loan or security, prepayment premiums, on loans and debt securitiesany unamortized loan origination fees, OID, or market discounts/premiums are recorded as interest income when it receives such amounts. In addition, the Company may generate revenue in the form of commitment, amendment, structuring or diligence fees, monitoring fees, fees for providing managerial assistance and possibly consulting fees and performance-based fees. Any such fees generated in connection with investments are recognized when earned.income.
The Company may have investments in its investment portfolio that contain a PIK interest provision. PIK interest is accrued as interest income if the portfolio company valuation indicates that such PIK interest is collectible and recorded as interest receivable up to the interest payment date. On the interest payment dates, the Company will capitalize the accrued interest receivable attributable to PIK as additional principal due from the borrower. Additional PIK securities typically have the same terms, including maturity dates and interest rates, as the original securities. In order to maintain RIC status, substantially all of this income must be paid out to shareholders in the form of distributions, even if the Company has not collected any cash. For additional information on investments that contain a PIK interest provision, see the consolidated schedules of investments as of September 30, 2017March 31, 2023 and December 31, 2016.2022.
Loans and debt securities, including those that are individually identified as being impaired under Accounting Standards Codification 310, Receivables, or ASC 310, are generally placed on non-accrual status immediately if, in the opinion of management, principal or interest is not likely to be paid, in accordance with the terms of the debt agreement, or when principal or interest is past due 90 days or more. Interest accrued but not collected at the date a loan or security is placed on non-accrual status is reversed against interest income. Interest income is recognized on non-accrual loans or debt securities only to the extent received in cash. However, where there is doubt regarding the ultimate collectibilitycollectability of principal, cash receipts, whether designated as principal or interest, are thereafter applied to reduce the carrying value of the loan or debt security. Loans or securities are restored to accrual status only when interest and principal payments are brought current and future payments are reasonably assured.
Dividend income on preferred equity securities is recorded on an accrual basis to the extent that such amounts are payable by the portfolio company and are expected to be collected. Dividend income on common equity securities is recorded on the record date for private portfolio companies or on the ex-dividend date for publicly-traded portfolio companies.
The Company may receive fees for capital structuring services that are fixed based on contractual terms, are normally paid at the closing of the investment, are generally non-recurring and non-refundable and are recognized as revenue when earned upon closing of the investment. The services that CIM provides vary by investment, but generally include reviewing existing credit facilities, arranging bank financing, arranging equity financing, structuring financing from multiple lenders, structuring financing from multiple equity investors, restructuring existing loans, raising equity and debt capital, and providing general financial advice, which concludes upon closing of the investment. In certain instances where the Company is invited to participate as a co-lender in a transaction and does not provide significant services in connection with the investment, a portion of loan fees paid to the Company in such situations will be deferred and amortized over the estimated life of the loan as interest income.
Other income includes amendment fees that are fixed based on contractual terms and are generally non-recurring and non-refundable and are recognized as revenue when earned upon closing of the transaction. Other income also includes fees for managerial assistance and other consulting services, loan guarantees, commitments, and other services rendered by the Company to its portfolio companies. Such fees are fixed based on contractual terms and are recognized as fee income when earned.
33
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
Net Realized Gains or Losses and Net Change in Unrealized Appreciation or Depreciation
Gains or losses on the sale of investments are calculated by using the weighted-average method. The Company measures realized gains or losses by the difference between the net proceeds from the repayment or sale and the weighted-average amortized cost of the investment, without regard to unrealized appreciation or depreciation previously recognized, but considering unamortized upfront fees and prepayment penalties.fees. Net change in unrealized appreciation or depreciation reflects the change in portfolio investment values during the reporting period, including any reversal of previously recorded unrealized appreciation or depreciation when gains or losses are realized.
Derivative Instrument
The Company recognizes all derivative instruments as assets or liabilities at fair value in its consolidated financial statements. Derivative contracts entered into by the Company are not designated as hedging instruments, and as a result, the Company presents changes in fair value through current period earnings.
Derivative instruments are measured in terms of the notional contract amount and derive their value based upon one or more underlying instruments. Derivative instruments are subject to various risks similar to non-derivative instruments including market, credit, liquidity and operational risks. For additional information on the Company's derivative instruments, see Note 7.
Capital Gains Incentive Fee
Pursuant to the terms of the investment advisory agreement the Company entered into with CIM, the incentive fee on capital gains earned on liquidated investments of the Company’s investment portfolio during operations is determined and payable in arrears as of the end of each calendar year. SuchPrior to October 5, 2021 and under the investment advisory agreement, such fee equalsequaled 20% of the Company’s incentive fee capital gains (i.e., the Company’s realized capital gains on a cumulative basis from inception, calculated as of the end of each calendar year, computed net of all realized capital losses and unrealized capital depreciation on a cumulative basis), less the aggregate amount of any previously paid capital gains incentive fees. Pursuant to the second amended and restated investment advisory agreement, the incentive fee on capital gains was reduced to 17.5%, which became effective on October 5, 2021.
On a cumulative basis and to the extent that all realized capital losses and unrealized capital depreciation exceed realized capital gains as well as the aggregate realized net capital gains for which a fee has previously been paid, the Company would not be required to pay CIM a capital gains incentive fee. On a quarterly basis, the Company accrues for the capital gains incentive fee by calculating such fee as if it were due and payable as of the end of such period.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

CIM did not take any incentive fees with respect to the Company’s TRS. For purposes of computing the capital gains incentive fee, CIM became entitled to a capital gains incentive fee upon the termination of the TRS, at which point all gains and losses of the underlying loans constituting the reference assets of the TRS were realized. However, realized losses exceeded realized gains on the underlying loans, resulting in no capital gains incentive fees on the TRS. Any net unrealized gains on the TRS were reflected in total assets on the Company’s consolidated balance sheets and included in the computation of the base management fee. Any net unrealized losses on the TRS were reflected in total liabilities on the Company’s consolidated balance sheets and excluded in the computation of the base management fee.

While the investment advisory agreement with CIM neither includes nor contemplates the inclusion of unrealized gains in the calculation of the capital gains incentive fee, pursuant to an interpretation of the American Institute for Certified Public Accountants, or AICPA, Technical Practice Aid for investment companies, the Company accrues capital gains incentive fees on unrealized gains. This accrual reflects the incentive fees that would be payable to CIM if the Company’s entire investment portfolio was liquidated at its fair value as of the balance sheet date even though CIM is not entitled to an incentive fee with respect to unrealized gains unless and until such gains are actually realized.
Net (Decrease) Increase in Net Assets per Share
Net (decrease) increase in net assets per share is calculated based upon the daily weighted average number of shares of common stock outstanding during the reporting period.
Distributions
Distributions to shareholders are recorded as of the record date. The amount paid as a distribution is declared by the Company's co-chief executive officers and ratified by the board of directors on a quarterly basis. Net realized capital gains, if any, are distributed at least annually.
Note 3. Share Transactions
The Company’s initial continuous public offering commenced on July 2, 2012 and ended on December 31, 2015. The Company’s follow-on continuous public offering commenced on January 25, 2016 and will continue until no later thanended on January 25, 2019.
The following table summarizes transactions with respect to shares of the Company’s outstanding common stock during the ninethree months ended September 30, 2017March 31, 2023 and 2016:2022 and the year ended December 31, 2022:
Three Months Ended
March 31,		Year Ended
December 31,
202320222022
SharesAmountSharesAmountSharesAmount
Gross shares/proceeds from the offering— $— — $— — $— 
Reinvestment of distributions— — — — — — 
Total gross shares/proceeds— — — — — — 
Share repurchase program(338,029)(3,592)— — (1,658,956)(15,444)
    Net shares/proceeds from share transactions(338,029)$(3,592)— $— (1,658,956)$(15,444)
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 Nine Months Ended
September 30,
 2017 2016
 Shares Amount Shares Amount
Gross shares/proceeds from the offering4,718,559
 $44,940
 2,173,945
 $21,017
Reinvestment of distributions3,251,250
 29,701
 3,328,161
 29,179
Total gross shares/proceeds7,969,809
 74,641
 5,502,106
 50,196
Sales commissions and dealer manager fees—
 (1,713) —
 (1,739)
    Net shares/proceeds7,969,809
 72,928
 5,502,106
 48,457
Share repurchase program(3,316,625) (30,167) (1,396,392) (12,231)
    Net shares/proceeds from share transactions4,653,184
 $42,761
 4,105,714
 $36,226
CĪON Investment Corporation
During the nine months ended September 30, 2017Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and 2016, the Company sold 7,969,809 and 5,502,106 shares, respectively, at an average price per share of $9.37 and $9.12, respectively.amounts)

Since commencing its initial continuous public offering on July 2, 2012 and through September 30, 2017,March 31, 2023, the Company sold 114,440,74154,961,455 shares of common stock for net proceeds of $1,162,041 at an average price per share of $10.15.$1,141,271. The net proceeds include gross proceeds received from reinvested shareholder distributions of $114,174,$237,451, for which the Company issued 12,532,91413,523,489 shares of common stock, and gross proceeds paid for shares of common stock tendered for repurchaserepurchased of $55,581,$251,466, for which the Company repurchased 6,143,71715,307,912 shares of common stock.
During the period from October 1, 2017 to November 8, 2017, the Company sold 658,050 As of March 31, 2023, 15,307,912 shares of common stock pursuantrepurchased had been retired.
On September 15, 2022, the Company's shareholders approved a proposal that authorizes the Company to issue shares of its follow-on continuous public offering for gross proceeds of $6,302common stock at an average priceprices below the then current NAV per share of $9.58. The Company also received gross proceedsthe Company’s common stock in one or more offerings for a 12-month period following such shareholder approval. As of $3,824 from reinvested shareholder distributions, for whichMarch 31, 2023, the Company has not issued 417,698any such shares.
Distribution Reinvestment Plan
In connection with the Listing of its shares of common stock on the NYSE, on September 15, 2021, the Company terminated its previous fifth amended and restated distribution reinvestment plan, or the Old DRP. The final distribution reinvestment under the Old DRP was made as part of the regular monthly distribution paid $10,240 foron September 14, 2021 to shareholders of record as of September 13, 2021. On September 15, 2021, the Company adopted a new distribution reinvestment plan, or the New DRP, which became effective as of the Listing, and first applied to the reinvestment of distributions paid after October 5, 2021. For additional information regarding the terms of the New DRP, see Note 5.
Reverse Stock Split
Effective on September 21, 2021, every two shares of the Company's common stock then issued and outstanding were automatically combined into one share of the Company's common stock, with the number of then issued and outstanding shares reduced from 113,916,869 to 56,958,440. The reverse stock split amendment also provided that there was no change in the par value of $0.001 per share as a result of the reverse stock split. In addition, the reverse stock split did not modify the rights or preferences of the Company’s common stock.
Listing and Fractional Shares
On October 5, 2021, the Company's shares of common stock tenderedcommenced trading on the NYSE under the ticker symbol “CION”. As approved by shareholders on September 7, 2021, the Listing was staggered such that (i) up to 1/3rd of shares held by all shareholders were available for repurchase,trading upon Listing, (ii) up to 2/3rd of shares held by all shareholders were available for which thetrading starting 180 days after Listing, or April 4, 2022, and (iii) all shares were available for trading starting 270 days after Listing, or July 5, 2022. The Company repurchased 1,118,130eliminated all then outstanding fractional shares of its common stock.
Since commencing its initial continuous public offeringstock in connection with the Listing, as permitted by the Maryland General Corporation Law, on July 2, 2012 and through November 8, 2017,14, 2022. On February 26, 2023, the Company sold 114,398,359Company’s shares of common stock for net proceeds of $1,161,927 at an average price per share of $10.16. The net proceeds include gross proceeds received from reinvested shareholder distributions of $117,998, for whichalso listed and commenced trading on the Company issued 12,950,612 shares of common stock, and gross proceeds paid for shares of common stock tendered for repurchase of $65,821, for whichTASE under the Company repurchased 7,261,847 shares of common stock.ticker symbol “CION”.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

To ensure that the offering price per share, net of sales commissions and dealer manager fees, equaled or exceeded the net asset value per share on each subscription closing date and distribution reinvestment date, certain of the Company’s directors increased the offering price per share of common stock on certain dates. Due to a decline in the Company’s net asset value per share to an amount more than 2.5% below the Company’s then-current net offering price, certain of the Company’s directors decreased the offering price per share of common stock on certain dates.  
The changes to our offering price per share since the commencement of our initial continuous public offering and the associated approval and effective dates of such changes were as follows:  
Approval DateEffective DateNew Offering Price Per Share
December 28, 2012January 2, 2013$10.04
January 31, 2013February 1, 2013$10.13
March 14, 2013March 18, 2013$10.19
May 15, 2013May 16, 2013$10.24
August 15, 2013August 16, 2013$10.32
February 4, 2014February 5, 2014$10.45
October 6, 2015October 7, 2015$10.20
November 24, 2015November 25, 2015$10.05
December 22, 2015December 23, 2015$9.95
March 8, 2016March 9, 2016$9.40
March 15, 2016March 16, 2016$9.45
March 22, 2016March 23, 2016$9.50
March 29, 2016March 30, 2016$9.55
April 5, 2016April 6, 2016$9.60
April 26, 2016April 27, 2016$9.65
May 3, 2016May 4, 2016$9.70
May 10, 2016May 11, 2016$9.75
May 31, 2016June 1, 2016$9.80
July 19, 2016July 20, 2016$9.85
July 26, 2016July 27, 2016$9.90
August 9, 2016August 10, 2016$9.95
August 23, 2016August 24, 2016$10.00
October 4, 2016October 5, 2016$10.05
October 11, 2016October 12, 2016$10.10
January 3, 2017January 4, 2017$9.57(1)
January 24, 2017January 25, 2017$9.60
March 7, 2017March 8, 2017$9.65
August 22, 2017August 23, 2017$9.70
(1)On December 28, 2016, the Company entered into an amended and restated follow-on dealer manager agreement pursuant to which, among other things, the dealer manager fee was reduced to up to 2% and selling commissions were reduced to up to 3%. As a result, the Company adjusted its public offering price from $10.10 per share to $9.57 per share in order to maintain its net offering price of $9.09 per share (net of selling commissions and dealer manager fees).
Pre-Listing Share Repurchase Program
Beginning in the first quarter of 2014,Historically, the Company began offering, andoffered to repurchase shares on a quarterly basis thereafter it intends to continue offering, to repurchase shares on such terms as may be determined by the Company’s board of directors in its complete and absolute discretion unless, in the judgment of the independent directors of the Company’s board of directors, such repurchases would not behave been in the best interests of the Company’s shareholders or would violatehave violated applicable law.
On July 30, 2021, the Company's board of directors, including the independent directors, determined to suspend the Company's share repurchase program commencing with the third quarter of 2021 in anticipation of the Listing and the concurrent enhanced liquidity the Listing was expected to provide. The share repurchase program ultimately terminated upon the Listing and the Company limitsdoes not expect to implement a new quarterly share repurchase program in the future.
Historically, the Company generally limited the number of shares to be repurchased during any calendar year to the number of shares it can repurchasecould have repurchased with the proceeds it receivesreceived from the issuance of shares pursuant to its fifth amended and restated distribution reinvestment plan.the Old DRP. At the discretion of the Company’s board of directors, it maycould have also useused cash on hand, cash available from borrowings and cash from liquidation of investments as of the end of the applicable period to repurchase shares. In addition, the Company limits the number of shares to be repurchased in any calendar year to 15% of the weighted average number of shares outstanding in the prior calendar year, or 3.75% in each quarter, though the actual number of shares that it offers to repurchase may be less in light of the limitations noted above. The Company currently offersoffered to repurchase such shares at a price equal to the estimated net asset value per share on each date of repurchase.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

On November 2, 2015, the Company amended the terms of the quarterly share repurchase program, effective as of the Company’s quarterly repurchase offer for the fourth quarter of 2015, which commenced in November 2015 and was completed in January 2016. Under the amended share repurchase program, the Company offered to repurchase shares of common stock at a price per share of $8.96, which was (i) not less than the net asset value per share immediately prior to January 4, 2016 and (ii) not more than 2.5% greater than the net asset value per share as of such date.

On January 22, 2016, the Company further amended the terms of the quarterly share repurchase program, effective as of the Company’s quarterly repurchase offer for the first quarter of 2016, which commenced in February 2016 and was completed in April 2016. Under the further amended share repurchase program, the Company offered to repurchase shares of common stock at a price equal to 90% of the public offering price in effect on each date of repurchase.
On December 8, 2016, the Company further amended the terms of the quarterly share repurchase program, effective as of the Company's quarterly repurchase offer for the fourth quarter of 2016, which commenced in November 2016 and was completed in January 2017. Under the further amended share repurchase program, the Company will offer to repurchase shares of common stock at a price equal to the estimated net asset value per share determined on each date of repurchase.
Any periodic repurchase offers arewere subject in part to the Company’s available cash and compliance with the BDC and RIC qualification and diversification rules promulgated under the 1940 Act and the Code, respectively. While
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CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
Post-Listing Share Repurchase Policy
On September 15, 2021, the Company’s board of directors, including the independent directors, approved a share repurchase policy authorizing the Company conducts quarterly tender offers as described above, it is not required to do so andrepurchase up to $50 million of its outstanding common stock after the Listing. On June 24, 2022, the Company’s board of directors, including the independent directors, increased the amount of shares of the Company’s common stock that may suspend or terminatebe repurchased under the share repurchase programpolicy by $10 million to up to an aggregate of $60 million. Under the share repurchase policy, the Company may purchase shares of its common stock through various means such as open market transactions, including block purchases, and privately negotiated transactions. The number of shares repurchased and the timing, manner, price and amount of any repurchases will be determined at the Company's discretion. Factors include, but are not limited to, share price, trading volume and general market conditions, along with the Company’s general business conditions. The policy may be suspended or discontinued at any time upon 30 days’ notice.and does not obligate the Company to acquire any specific number of shares of its common stock.
On August 16, 2022, as part of the share repurchase policy, the Company entered into a trading plan with an independent broker, Wells Fargo Securities, LLC, or Wells Fargo, in accordance with Rule 10b5-1 of the Securities Exchange Act of 1934, as amended, based in part on historical trading data with respect to the Company’s shares. The 10b5-1 trading plan permits common stock to be repurchased at a time that the Company might otherwise be precluded from doing so under insider trading laws or self-imposed trading restrictions. The 10b5-1 trading plan is subject to price, market volume and timing restrictions.

The following table summarizes the share repurchases completed during the nineyear ended December 31, 2022 and the three months ended September 30, 2017:March 31, 2023:
Three Months EndedRepurchase DateShares RepurchasedPercentage of Shares Tendered That Were RepurchasedRepurchase Price Per ShareAggregate Consideration for Repurchased Shares
2022
March 31, 2022N/A— N/AN/A$— 
June 30, 2022N/A— N/AN/A— 
September 30, 2022N/A695,476 N/A$9.65 6,711 
December 31, 2022N/A963,480 N/A9.06 8,733 
Total for the year ended December 31, 20221,658,956 $15,444 
2023
March 31, 2023N/A338,029 N/A$10.63 $3,592 
Total for the three months ended March 31, 2023338,029 $3,592 
From April 1, 2023 to May 3, 2023, the Company repurchased 160,838 shares of common stock under the 10b5-1 trading plan for an aggregate purchase price of $1,548, or an average purchase price of $9.62 per share. As of May 3, 2023, 15,466,006 shares of common stock repurchased by the Company had been retired.
36
Three Months Ended Repurchase Date Shares Repurchased Percentage of Shares Tendered That Were Repurchased Repurchase Price Per Share Aggregate Consideration for Repurchased Shares
March 31, 2017 January 4, 2017 814,223
 100% 9.05
 $7,370
June 30, 2017 April 5, 2017 1,137,234
 100% 9.12
 10,372
September 30, 2017 July 5, 2017 1,365,168
 100% 9.10
 12,425
   Total   3,316,625
     $30,167
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
Note 4. Transactions with Related Parties
For the three and nine months ended September 30, 2017March 31, 2023 and 2016,2022 and the year ended December 31, 2022, fees and other expenses incurred by the Company related to CIM and its affiliates were as follows:
Three Months Ended
March 31,		Year Ended December 31,
EntityCapacityDescription202320222022
CIMInvestment adviserManagement fees(1)$6,676 $6,655 $27,361 
CIMInvestment adviserIncentive fees(1)6,335 4,133 18,710 
CIMAdministrative services providerAdministrative services expense(1)837 720 3,348 
Apollo Investment Administration, L.P.Administrative services providerTransaction costs(1)— — — 
$13,848 $11,508 $49,419 
      Three Months Ended
September 30,		 Nine Months Ended
September 30,
Entity Capacity Description 2017 2016 2017 2016
CION Securities, LLC Dealer manager Dealer manager fees(1) $290
 $331
 $782
 $588
CIM Investment adviser Management fees(2) 7,820
 5,187
 21,724
 14,311
ICON Capital, LLC Administrative services provider Administrative services expense(2) 433
 425
 1,204
 1,151
CIG Sponsor Recoupment of expense support(2) —
 —
 —
 667
      $8,543
 $5,943
 $23,710
 $16,717
(1)(1)Amounts charged directly to equity.
(2)Amounts charged directly to operations.
On December 28, 2016, the Company entered into an amended and restated follow-on dealer manager agreement with CIM and CION Securities, LLC (formerly, ICON Securities, LLC), or CION Securities, in connection with the Company's follow-on continuous public offering. Under the amended and restated dealer manager agreement, the dealer manager fee was reduced from up to 3% to up to 2% of gross offering proceeds and selling commissions to the selling dealers were reduced from up to 7% to up to 3% of gross offering proceeds. Such costs are charged against capital in excess of par value when incurred. Since commencing its initial continuous public offering on July 2, 2012 and through November 8, 2017, the Company paid or accrued sales commissions of $64,317 to the selling dealers and dealer manager fees of $31,878 to CION Securities. 

CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

operations.
The Company has entered into an investment advisory agreement with CIM. On November 1, 2017,April 5, 2021, the board of directors of the Company, including a majority of the board of directors who are not interested persons, approved the renewal of theamended and restated investment advisory agreement with CIM for a period of twelvetwenty four months, commencing December 17, 2017.which was subsequently approved by shareholders on August 9, 2021. Pursuant to the investment advisory agreement, CIM iswas paid an annual base management fee equal to 2.0% of the average value of the Company’s gross assets, less cash and cash equivalents, and an incentive fee based on the Company’s performance, as described below. Pursuant to the second amended and restated investment advisory agreement, which was effective upon the Listing on October 5, 2021, the annual base management fee was reduced to 1.5% of the average value of the Company’s gross assets (including cash pledged as collateral for the Company’s secured financing arrangements, but excluding other cash and cash equivalents so that investors do not pay the base management fee on such assets), to the extent that the Company’s asset coverage ratio is greater than or equal to 200% (i.e., $1 of debt outstanding for each $1 of equity); provided that, the annual base management fee will be reduced further to 1.0% for any such gross assets purchased with leverage resulting in the Company’s asset coverage ratio dropping below 200%. On December 30, 2021, shareholders approved a proposal to reduce the Company’s asset coverage ratio to 150%. As a result, commencing on December 31, 2021, the Company is required to maintain asset coverage for its senior securities of 150% (i.e., $2 of debt outstanding for each $1 of equity) rather than 200%. The base management fee is payable quarterly in arrears and is calculated based on the two most recently completed calendar quarters.
The incentive fee consists of two parts. The first part, which is referred to as the subordinated incentive fee on income, is calculated and payable quarterly in arrears based on “pre-incentive fee net investment income” for the immediately preceding quarter and iswas subject to a hurdle rate, measured quarterly and expressed as a rate of return on adjusted capital, as defined in the investment advisory agreement, equal to 1.875% per quarter, or an annualized rate of 7.5%. Under the investment advisory agreement, the Company paid to CIM 100% of pre-incentive fee net investment income once the hurdle rate was exceeded until the annualized rate of 9.375% was exceeded, at which point the Company paid to CIM 20% of all pre-incentive fee net investment income that exceeded the annualized rate of 9.375%. Under the amended and restated investment advisory agreement, the change to the calculation of the subordinated incentive fee payable to CIM that expresses the hurdle rate required for CIM to earn, and be paid, the incentive fee as a percentage of the Company's net assets rather than adjusted capital was implemented. Under the second amended and restated investment advisory agreement, the hurdle rate was reduced to 1.625% per quarter, or an annualized rate of 6.5%, and the Company pays to CIM 100% of pre-incentive fee net investment income once the hurdle rate is exceeded until the annualized rate of 7.879% is exceeded, at which point the Company pays to CIM 17.5% of all pre-incentive fee net investment income. These changes to the subordinated incentive fee on income were effective upon the Listing, except for the change to the calculation of the subordinated incentive fee payable to CIM that replaced adjusted capital with the Company's net assets, which was effective on August 10, 2021. For the three months ended March 31, 2023 and 2022, the Company recorded subordinated incentive fees on income of $6,335 and $4,133, respectively. As of March 31, 2023 and December 31, 2022, the liabilities recorded for subordinated incentive fees were $6,334 and $5,065, respectively. The second part of the incentive fee, which is referred to as the capital gains incentive fee, on capital gains, is described in Note 2.
The Company accrues the capital gains incentive fee based on net realized gains and net unrealized appreciation; however, under the terms of the investment advisory agreement, the fee payable to CIM is based on net realized gains and unrealized depreciation and no such fee is payable with respect to unrealized appreciation unless and until such appreciation is actually realized. For the three and nine months ended September 30, 2017,March 31, 2023 and 2022 and the year ended December 31, 2022, the Company had no liability for and did not record any capital gains incentive fees.
With respect
37
CĪON Investment Corporation
Notes to the TRS, CIM became entitled to receive a capital gains incentive fee upon the termination of the TRS, at which point all net gainsConsolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and losses ofper share amounts)
On April 1, 2018, the underlying loans constituting the reference assets of the TRS were realized. See Note 2 for an additional discussion of CIM’s entitlement to receive payment of incentive fees and the Company’s accrual of the incentive fee on capital gains with respect to the TRS.

The Company entered into an administration agreement with CIM’s affiliate, ICON Capital, LLC, or ICON Capital,CIM pursuant to which ICON CapitalCIM furnishes the Company with administrative services including accounting, investor relations and other administrative services necessary to conduct its day-to-day operations. On November 1, 2017, the board of directors of the Company, including a majority of the board of directors who are not interested persons, approved the renewal of the administration agreement for a period of twelve months commencing December 17, 2017. ICON CapitalCIM is reimbursed for administrative expenses it incurs on the Company’s behalf in performing its obligations, provided that such reimbursement will beis for the lower of ICON Capital’sCIM’s actual costs or the amount that the Company would behave been required to pay for comparable administrative services in the same geographic location. Such costs will beare reasonably allocated to the Company on the basis of assets, revenues, time records or other reasonable methods. The Company willdoes not reimburse ICON CapitalCIM for any services for which it receives a separate fee or for rent, depreciation, utilities, capital equipment or other administrative items allocated to a person with a controlling interest in ICON Capital. 

UnderCIM. On November 8, 2022, the termsboard of directors of the investment advisory agreement, CIM and certain of its affiliates, which includes CIG, are entitled to receive reimbursement of up to 1.5%Company, including a majority of the gross proceeds raised until all offeringboard of directors who are not interested persons, approved the renewal of the administration agreement with CIM for a period of twelve months commencing December 17, 2022.
On January 1, 2019, the Company entered into a servicing agreement with CIM’s affiliate, Apollo Investment Administration, L.P., or AIA, pursuant to which AIA furnishes the Company with administrative services including, but not limited to, loan and organizationalhigh yield trading services, trade and settlement support, and supplementary investment valuation information. AIA is reimbursed for administrative expenses it incurs on the Company’s behalf in performing its obligations, provided that such reimbursement is reasonable, and costs have been reimbursed.and expenses incurred are documented. The Company’sservicing agreement may be terminated at any time, without the payment of offering and organizational costs will not exceed 1.5% of the actual gross proceeds raised from the offerings (without giving effect to any potential expense support from CIG and its affiliates). If the Company sells the maximum number of shares at its latest public offering price of $9.70 per share, the Company estimates that it may incur up to approximately $29,894 of expenses. With respect to any reimbursements for offering and organizational costs, the Company will interpret the 1.5% limit based on actual gross proceeds raised at the time of such reimbursement.  In addition, the Company will not issue any of its shares or other securities for services or for property other than cash or securities except as a dividend or distribution to its security holders or in connection with a reorganization. 
From inception through December 31, 2012, CIG and its affiliates incurred offering, organizational and other pre-effective costs of $2,012. Of these costs, $1,812 represented offering and organizational costs, all of which have been submittedpenalty, by either party, upon 60 days' written notice to the Company for reimbursement. The Company paid $450 in October 2013, $550 in March 2014, $592 in May 2014 and $420 in March 2015.  No additional material offering, organizational or other pre-effective costs have been incurred by CIG or its affiliates subsequent to December 31, 2012.
Reinvestment of shareholder distributions and share repurchases are excluded from the gross proceeds from the Company’s offerings for purposes of determining the total amount of offering and organizational costs that can be paid by the Company. As of September 30, 2017, the Company raised gross offering proceeds of $1,103,448, of which it can pay up to $16,552 in offering and organizational costs (which represents 1.5% of the actual gross offering proceeds raised). Through September 30, 2017, the Company paid $9,876 of such costs, leaving an additional $6,676 that can be paid. As of November 8, 2017, the Company raised gross offering proceeds of $1,109,750, of which it can pay up to $16,646 in offering and organizational costs (which represents 1.5% of the actual gross offering proceeds raised). Through November 8, 2017, the Company paid $9,914 of such costs, leaving an additional $6,732 that can be paid.party.
On January 30, 2013, the Company entered into the expense support and conditional reimbursement agreement with CIG, whereby CIG agreed to provide expense support to the Company in an amount that iswas sufficient to: (1) ensure that no portion of the Company’s distributions to shareholders will bewas paid from its offering proceeds or borrowings, and/or (2) reduce the Company’s operating expenses until it has achieved economies of scale sufficient to ensure that it bearsthe Company bore a reasonable level of expense in relation to its investment income. On December 13, 2013 and January 16, 2015, the Company and CIG amended the expense support and conditional reimbursement agreement to extend the termination date of such agreement from January 30, 2014 to January 30, 2015 and from January 30, 2015 to December 31, 2015, respectively. On December 16, 2015 and December 14, 2016, the Company further amended and restated the expense support and conditional reimbursement agreement for purposes of including AIM as a party to the agreement. On January 2, 2018, the Company entered into an expense support and conditional reimbursement agreement and extending the termination date from December 31, 2016 to December 31, 2017, respectively. Commencing with the quarter beginning January 1, 2016,CIM for purposes of, among other things, replacing CIG and AIM each agreed to providewith CIM as the expense support provider pursuant to the Company for 50%terms of its expenses as described above.
For the three and nine months ended September 30, 2017 and 2016, the Company did not receive any expense support from CIG or AIM.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

conditional reimbursement agreement.
Pursuant to the expense support and conditional reimbursement agreement, the Company will havehad a conditional obligation to reimburse CIGCIM for any amounts funded by CIGCIM under such agreement (i) if expense support amounts funded by CIG exceedCIM exceeded operating expenses incurred during any fiscal quarter, (ii) if the sum of the Company’s net investment income for tax purposes, net capital gains and the amount of any dividends and other distributions paid to the Company on account of investments in portfolio companies (to the extent not included in net investment income or net capital gains for tax purposes) exceedsexceeded the distributions paid by the Company to shareholders, and (iii) during any fiscal quarter occurringthat occurred within three years of the date on which CIGCIM funded such amount. Pursuant to the second amended and restated expense support and conditional reimbursement agreement, the Company will have a conditional obligation to reimburse CIG and AIM for any amounts funded by CIG and AIM under the same circumstances described above. The obligation to reimburse CIG and AIMCIM for any expense support provided by CIG and AIMCIM under such agreement iswas further conditioned by the following: (i) in the period in which reimbursement iswas sought, the ratio of operating expenses to average net assets, when considering the reimbursement, cannot exceedcould not have exceeded the ratio of operating expenses to average net assets, as defined, for the period when the expense support was provided; (ii) in the period when reimbursement iswas sought, the annualized distribution rate cannot fallcould not have fallen below the annualized distribution rate for the period when the expense support was provided; and (iii) the expense support cancould have only bebeen reimbursed within three years from the date the expense support was provided.

Expense support, if any, will bewas determined as appropriate to meet the objectives of the expense support and conditional reimbursement agreement. During the three months ended September 30, 2016,On December 31, 2021, the Company did not record an obligation to repayand CIM allowed the expense support from CIG or AIM. During the nine months ended September 30, 2016, the Company recorded an obligationand conditional reimbursement agreement to repayexpire in accordance with its terms. There was no unreimbursed expense support from CIGfunded by CIM upon such expiration. The specific amount of $667.expense support provided by CIM, if any, was determined at the end of each quarter. See Note 5 for additional information on the sources of the Company’s distributions. The Company did not record any obligation to repay expense support from CIG or AIM duringCIM and the three or nine months ended September 30, 2017. During the three and nine months ended September 30, 2016, the Company repaid expense support to CIG of $548 and $1,147, respectively. The Company did not repay any expense support to CIG or AIMCIM during the three or nine months ended September 30, 2017. The Company mayMarch 31, 2023 and 2022 or may not be requested to reimburse any future expense support provided by CIG or AIM.
The Company, AIM, or CIG may terminate the expense support and conditional reimbursement agreement at any time. CIG and AIM have indicated that they expect to continue such expense support until they believe that the Company has achieved economies of scale sufficient to ensure that it bears a reasonable level of expenses in relation to its income. If the Company terminates the investment advisory agreement with CIM, the Company may be required to repay CIG and AIM all unreimbursed expense support funded by CIG and AIM within three years of the date of termination. The specific amount of expense support provided by CIG and AIM, if any, will be determined at the end of each quarter. There can be no assurance that the expense support and conditional reimbursement agreement will remain in effect or that CIG and AIM will support any portion of the Company’s expenses in future quarters.year ended December 31, 2022.
As of September 30, 2017March 31, 2023 and December 31, 2016,2022, the total liability payable to CIM and its affiliates was $7,931$13,704 and $6,508,$13,692, respectively, which primarily related to fees earned by CIM during the three months ended September 30, 2017March 31, 2023 and December 31, 2016,2022, respectively.
Because CIM’s senior management team is comprised of substantially the same personnel as the senior management team of the Company’s affiliate, ICON Capital, which is the investment manager to certain equipment finance funds, or equipment funds, such members of senior management provide investment advisory and management services to the equipment funds in addition to the Company. In the event that CIM undertakes to provide investment advisory services to other clients in the future, it will strive to allocate investment opportunities in a fair and equitable manner consistent with the Company’s investment objective and strategies so that the Company will not be disadvantaged in relation to any other client of the investment adviser or its senior management team. However, it is currently possible that some investment opportunities will be provided to the equipment funds or other clients of CIM rather than to the Company.
IndemnificationsIndemnifications
The investment advisory agreement, the administration agreement and the dealer manager agreement each provide certain indemnifications from the Company to the other relevant parties to such agreements. The Company’s maximum exposure under these agreements is unknown. However, the Company has not experienced claims or losses pursuant to these agreements and believes the risk of loss related to such indemnifications to be remote.
38
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
Note 5. Distributions
From February 1, 2014 through July 17, 2017, the Company’s board of directors authorized and declared on a monthly basis a weekly distribution amount per share of common stock. On July 18, 2017, the Company's board of directors authorized and declared on a quarterly basis a weekly distribution amount per share of common stock. Effective September 28, 2017, the Company's board of directors delegated to the Company's executive officersmanagement the authority to determine the amount, record dates, payment dates and other terms of distributions to shareholders, which will be ratified by the board of directors, each on a quarterly basis. Beginning on March 19, 2020, management changed the timing of declaring distributions from quarterly to monthly and temporarily suspended the payment of distributions to shareholders commencing with the month ended April 30, 2020, whether in cash or pursuant to the Old DRP. On July 15, 2020, the board of directors determined to recommence the payment of distributions to shareholders in August 2020. On September 15, 2021, management changed the timing of declaring and paying regular distributions to shareholders from monthly to quarterly commencing with the fourth quarter of 2021. Distributions in respect of future quarters will be evaluated by management and the board of directors based on circumstances and expectations existing at the time of consideration. Declared distributions are paid quarterly.
DuringThe Company’s board of directors ratified distributions for 5 and 1 record dates during the year ended December 31, 20162022 and the ninethree months ended September 30, 2017, the Company’s board of directors declared distributions for 52 and 39 record dates,March 31, 2023, respectively. Declared distributions are paid monthly.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

The following table presents cash distributions per share that were declared during the year ended December 31, 20162022 and the ninethree months ended September 30, 2017:March 31, 2023:
  Distributions
Three Months Ended Per Share Amount
2016    
March 31, 2016 (thirteen record dates) $0.1829
 $19,004
June 30, 2016 (thirteen record dates) 0.1829
 19,167
September 30, 2016 (thirteen record dates) 0.1829
 19,480
December 31, 2016 (thirteen record dates) 0.1829
 19,808
Total distributions for the year ended December 31, 2016 $0.7316
 $77,459
     
2017    
March 31, 2017 (thirteen record dates) $0.1829
 $20,123
June 30, 2017 (thirteen record dates) 0.1829
 20,371
September 30, 2017 (thirteen record dates) 0.1829
 20,644
Total distributions for the nine months ended September 30, 2017 $0.5487
 $61,138

Distributions
Three Months EndedPer ShareAmount
2022
March 31, 2022 (one record date)$0.2800 $15,948 
June 30, 2022 (one record date)0.2800 15,949 
September 30, 2022 (one record date)0.3100 17,604 
December 31, 2022 (two record dates)0.5800 32,074 
Total distributions for the year ended December 31, 2022$1.4500 $81,575 
2023
March 31, 2023 (one record date)$0.3400 $18,687 
Total distributions for the three months ended March 31, 2023$0.3400 $18,687 
On September 28, 2017,May 8 2023, the Company’s co-chief executive officers declared a regular weekly cash distributionsquarterly distribution of $0.014067$0.34 per share for October 2017 through December 2017. Each distribution will be paid monthlythe second quarter of 2023 payable on June 15, 2023 to shareholders of record as of June 1, 2023.
In connection with the weekly record dates set forth below.
Record DatePayment DateDistribution Amount Per Share
October 3, 2017November 1, 2017$0.014067
October 10, 2017November 1, 2017$0.014067
October 17, 2017November 1, 2017$0.014067
October 24, 2017November 1, 2017$0.014067
October 31, 2017November 1, 2017$0.014067
November 7, 2017November 29, 2017$0.014067
November 14, 2017November 29, 2017$0.014067
November 21, 2017November 29, 2017$0.014067
November 28, 2017November 29, 2017$0.014067
December 5, 2017December 27, 2017$0.014067
December 12, 2017December 27, 2017$0.014067
December 19, 2017December 27, 2017$0.014067
December 26, 2017December 27, 2017$0.014067

Listing of its shares of common stock on the NYSE, on September 15, 2021, the Company terminated the Old DRP. The Company has adopted an “opt in”final distribution reinvestment plan for shareholders. As a result, ifunder the Old DRP was made as part of the regular monthly distribution paid on September 14, 2021 to shareholders of record as of September 13, 2021. On September 15, 2021, the Company makes a distribution, shareholders will receive distributions in cash unless they specifically “opt in” toadopted the fifth amended and restated distribution reinvestment plan soNew DRP, which became effective as to have their cash distributions reinvested in additional shares of the Company’s common stock.

On November 2, 2015, the Company further amended and restated its distribution reinvestment plan pursuant to the third amended and restated distribution reinvestment plan, or the Third Amended DRIP. The Third Amended DRIP was effective as of,Listing and first applied to the reinvestment of cash distributions paid on or after, the closing of the Company’s initial continuous public offering on December 31, 2015. 8, 2021.
Under the Third Amended DRIP, cashOld DRP and prior to the Listing, distributions to participating shareholders who “opted in” to the Old DRP were reinvested in additional shares of common stock at a purchase price determined by the Company’s board of directors or a committee thereof, in its sole discretion, that was (i) not less than the net asset value per share determined in good faith by the board of directors or a committee thereof, in their sole discretion, immediately prior to the payment of the distribution, or the NAV Per Share, and (ii) not more than 2.5% greater than the NAV Per Share as of such date. 

On January 22, 2016, the Company further amended and restated its distribution reinvestment plan pursuant to the fourth amended and restated distribution reinvestment plan, or the Fourth Amended DRIP.  The Fourth Amended DRIP became effective as of, and first applied to the reinvestment of cash distributions paid on, March 30, 2016. Under the Fourth Amended DRIP, cash distributions to participating shareholders were reinvested in additional shares of common stock at a purchase price equal to 90% of the public offering price per share in effect as of the date of issuance.
On December 8, 2016, the Company further amended and restated its distribution reinvestment plan pursuant to the fifth amended and restated distribution reinvestment plan, or the Fifth Amended DRIP. The Fifth Amended DRIP became effective as of, and first applied to the reinvestment of cash distributions paid on, February 1, 2017.  Under the Fifth Amended DRIP, cash distributions to participating shareholders will be reinvested in additional shares ofCompany's common stock at a purchase price equal to the estimated net asset value per share of common stock as of the date of issuance.
39
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017March 31, 2023
(in thousands, except share and per share amounts)

Upon the Listing, all shareholders were automatically enrolled in the New DRP and will receive distributions as declared by the Company in additional shares of its common stock unless such shareholder affirmatively elects to receive an entire distribution in cash by notifying (i) such shareholder’s financial adviser; or (ii) if such shareholder has a registered account maintained at the Company’s transfer agent, the plan administrator. With respect to distributions to participating shareholders under the New DRP, the Company reserves the right to either issue new shares or cause the plan administrator to purchase shares in the open market in connection with implementation of the New DRP. Unless the Company, in its sole discretion, otherwise directs DST Asset Management Solutions, Inc., the plan administrator, (A) if the per share “market price” (as defined in the New DRP) is equal to or greater than the estimated net asset value per share on the payment date for the distribution, then the Company will issue shares at the greater of (i) the estimated net asset value or (ii) 95% of the market price, or (B) if the market price is less than the estimated net asset value, then, in the Company’s sole discretion, (i) shares will be purchased in open market transactions for the accounts of participating shareholders to the extent practicable, or (ii) the Company will issue shares at the estimated net asset value. Pursuant to the terms of the New DRP, the number of shares to be issued to a participating shareholder will be determined by dividing the total dollar amount of the distribution payable to a participating shareholder by the price per share at which the Company issues such shares; provided, however, that shares purchased in open market transactions by the plan administrator will be allocated to a participating shareholder based on the weighted average purchase price, excluding any brokerage charges or other charges, of all shares purchased in the open market with respect to such distribution.
If a shareholder receives distributions in the form of common stock pursuant to the New DRP, such shareholder generally will be subject to the same federal, state and local tax consequences as if they elected to receive distributions in cash. If the Company’s common stock is trading at or below net asset value, a shareholder receiving distributions in the form of additional common stock will be treated as receiving a distribution in the amount of cash that such shareholder would have received if they had elected to receive the distribution in cash. If the Company’s common stock is trading above net asset value, a shareholder receiving distributions in the form of additional common stock will be treated as receiving a distribution in the amount of the fair market value of the Company’s common stock. The shareholder’s basis for determining gain or loss upon the sale of common stock received in a distribution will be equal to the total dollar amount of the distribution payable to the shareholder. Any stock received in a distribution will have a holding period for tax purposes commencing on the day following the day on which the shares of common stock are credited to the shareholder’s account.
The Company may fund its cash distributions to shareholders from any sources of funds available to the Company, including offering proceeds, borrowings, net investment income from operations, capital gains proceeds from the sale of assets, non-capital gains proceeds from the sale of assets, and dividends or other distributions paid to it on account of preferred and common equity investments in portfolio companiescompanies. Any such distributions can only be sustained if the Company maintains positive investment performance in future periods. There can be no assurances that the Company will maintain such performance in order to sustain these distributions or be able to pay distributions at all. On December 31, 2021, the Company and CIM allowed the expense support from CIG and AIM, which is subjectconditional reimbursement agreement to recoupment.expire in accordance with its terms. As a result, CIM has no obligation to provide expense support to the Company in future periods. The Company has not established limits on the amount of funds it may use from available sources to make distributions. Through December 31, 2014, a portion of the Company’s distributions resulted from expense support from CIG, and future distributions may result from expense support from CIG and AIM, each of which is subject to repayment by the Company within three years. For the years ended December 31, 2015 and 2016, none of the Company's distributions resulted from expense support from CIG or AIM. The purpose of this arrangement is to avoid such distributions being characterized as a return of capital. Shareholders should understand that any such distributions are not based on the Company’s investment performance, and can only be sustained if the Company achieves positive investment performance in future periods and/or CIG and AIM continue to provide such expense support. Shareholders should also understand that the Company’s future repayments of expense support will reduce the distributions that they would otherwise receive. There can be no assurance that the Company will achieve such performance in order to sustain these distributions, or be able to pay distributions at all. CIG and AIM have no obligation to provide expense support to the Company in future periods.

The following table reflects the sources of cash distributions on a GAAP basis that the Company has declared on its shares of common stock during the ninethree months ended September 30, 2017March 31, 2023 and 2016:2022 and the year ended December 31, 2022:
Three Months Ended
March 31,		Year Ended
December 31,
202320222022
Source of DistributionPer ShareAmountPercentagePer ShareAmountPercentagePer ShareAmountPercentage
Net investment income$0.3400 $18,687 100.0 %$0.2800 $15,948 100.0 %$1.4500 $81,575 100.0 %
Total distributions$0.3400 $18,687 100.0 %$0.2800 $15,948 100.0 %$1.4500 $81,575 100.0 %
  Nine Months Ended
September 30,
  2017 2016
Source of Distribution Per Share Amount Percentage Per Share Amount Percentage
Net investment income $0.4953
 $55,191
 90.3% $0.3021
 $31,744
 55.1%
Net realized gain on total return swap            
   Net interest and other income from TRS portfolio 0.0329
 3,661
 6.0% 0.2131
 22,386
 38.8%
   Net gain on TRS loan sales(1) 0.0205
 2,286
 3.7% 0.0232
 2,443
 4.2%
Net realized gain on investments and foreign currency —
 —
 —
 0.0103
 1,078
 1.9%
Total distributions $0.5487
 $61,138
 100.0% $0.5487
 $57,651
 100.0%
(1)During the nine months ended September 30, 2017, the Company realized losses on TRS loans of $19,736 primarily due to the purchase of loans by Flatiron Funding II, LLC in connection with the TRS refinancing that were previously held in the TRS and are not currently deductible on a tax-basis. See Note 8 for an additional discussion regarding this purchase. During the nine months ended September 30, 2016, the Company realized losses on TRS loans of $1,030, which are not currently deductible on a tax-basis.
It is the Company's policy to comply with all requirements of the Code applicable to RICs and to distribute substantially allat least 90% of its taxable income to its shareholders. In addition, by distributing during each calendar year substantially allat least 90% of its “investment company taxable income”, which is generally equal to the sum of the Company’s net investmentordinary income plus the excess, if any, of realized net realizedshort-term capital gains and certain other amounts, if any,over realized net long-term capital losses, the Company intends not to be subject to corporate level federal income tax or federal excise taxes.tax. Accordingly, no federal income tax provision was required.  required for the year ended December 31, 2022. The Company will also be subject to nondeductible federal excise taxes of 4% if the Company does not distribute at least 98.0% of net ordinary income, 98.2% of capital gains, if any, and any recognized and undistributed income from prior years for which it paid no federal income taxes.
40
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
Income and capital gain distributions are determined in accordance with the Code and federal tax regulations, which may differ from amounts determined in accordance with GAAP. These book/tax differences, which could be material, are primarily due to differing treatments of income and gains on various investments held by the Company. Permanent book/tax differences result in reclassifications to capital in excess of par value, accumulated undistributed net investment income accumulated undistributed realized gain on investments, and accumulated undistributed realized gain on total return swap. During 2016, permanent book/tax differences primarily due to the treatment of the TRS and non-deductible offering costs resulted in a net decrease in distributions in excess of net investment income, a net decrease in accumulated realized gains and a net decrease to capital in excess of par value. These reclassifications had no effect on net assets.investments.
The determination of the tax attributes of the Company’s distributions is made annually as of the end of the Company’s fiscal year based upon the Company’s taxable income for the full year and distributions paid for the full year. The tax characteristics of distributions to shareholders are reported to shareholders annually on Form 1099-DIV. Except for long term capital gains of $906, allAll distributions for 20162022 were characterized as ordinary income distributions for federal income tax purposes.
The tax components of accumulated earnings or losses for the current year will be determined at year end. As of December 31, 2016,2022, the components of accumulated earningslosses on a tax basis were as follows:
December 31, 2022
Undistributed ordinary income$8,543 
Other accumulated losses(1)(77,942)
Net unrealized depreciation on investments(91,091)
Total accumulated losses$(160,490)
 December 31, 2016
Undistributed ordinary income$3,847
Undistributed long term capital gains924
Net unrealized depreciation on investments and total return swap(26,398)
Total accumulated earnings$(21,627)
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share(1)Includes short term capital loss carryforwards of $7,233 and per share amounts)

long term capital loss carryforwards of $66,284.
As of September 30, 2017,March 31, 2023, the aggregate gross unrealized appreciation for all securities in which there was an excess of value over tax cost was $23,788;$24,797; the aggregate gross unrealized depreciation for all securities in which there was an excess of tax cost over value was $47,854;$177,169; the net unrealized depreciation was $24,066;$152,372; and the aggregate cost of securities for Federal income tax purposes was $1,715,921.$1,875,724.
As of December 31, 2016,2022, the aggregate gross unrealized appreciation for all securities in which there was an excess of value over tax cost was $9,389;$31,155; the aggregate gross unrealized depreciation for all securities in which there was an excess of tax cost over value was $20,202;$122,246; the net unrealized depreciation was $10,813;$91,091; and the aggregate cost of securities for Federal income tax purposes was $1,100,291.$1,851,121.
41
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
Note 6. Investments
The composition of the Company’s investment portfolio as of September 30, 2017March 31, 2023 and December 31, 20162022 at amortized cost and fair value was as follows:
March 31, 2023December 31, 2022
Cost(1)Fair
Value		Percentage of
Investment
Portfolio		Cost(1)Fair
Value		Percentage of
Investment
Portfolio
Senior secured first lien debt$1,567,330 $1,472,453 88.8 %$1,638,995 $1,579,512 90.3 %
Senior secured second lien debt41,102 38,997 2.4 %41,036 38,769 2.2 %
Collateralized securities and structured products - equity2,606 1,133 0.1 %2,687 1,179 0.1 %
Unsecured debt30,431 15,517 0.9 %30,427 22,643 1.3 %
Equity115,514 128,926 7.8 %79,595 107,058 6.1 %
Subtotal/total percentage1,756,983 1,657,026 100.0 %1,792,740 1,749,161 100.0 %
Short term investments(2)66,326 66,326 10,869 10,869 
Total investments$1,823,309 $1,723,352 $1,803,609 $1,760,030 
(1)Cost represents the original cost adjusted for the amortization of premiums and/or accretion of discounts, as applicable, for debt investments and cost for equity investments.
(2)Short term investments represent an investment in a fund that invests in highly liquid investments with average original maturity dates of three months or less.
42
  September 30, 2017 December 31, 2016
  Cost(1) 
Fair
Value
 
Percentage of
Investment
Portfolio
 Cost(1) 
Fair
Value
 
Percentage of
Investment
Portfolio
Senior secured first lien debt $1,069,271
 $1,079,520
 69.6% $489,904
 $489,913
 48.1%
Senior secured second lien debt 404,788
 402,459
 26.0% 437,240
 434,347
 42.6%
Collateralized securities and structured products - debt 28,818
 28,284
 1.8% 39,471
 38,114
 3.7%
Collateralized securities and structured products - equity 31,537
 29,588
 1.9% 37,713
 34,648
 3.4%
Unsecured debt 7,333
 7,331
 0.5% 17,290
 16,851
 1.7%
Equity 5,857
 3,863
 0.2% 4,832
 5,107
 0.5%
Subtotal/total percentage 1,547,604
 1,551,045
 100.0% 1,026,450
 1,018,980
 100.0%
Short term investments(2) 140,810
 140,810
   70,498
 70,498
  
Total investments $1,688,414
 $1,691,855
   $1,096,948
 $1,089,478
  
(1)Cost represents the original cost adjusted for the amortization of premiums and/or accretion of discounts, as applicable, for debt investments and cost for equity investments.
(2)Short term investments represent an investment in a fund that invests in highly liquid investments with average original maturity dates of three months or less.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017March 31, 2023
(in thousands, except share and per share amounts)

The following tables show the composition of the Company’s investment portfolio by industry classification and geographic dispersion, and the percentage, by fair value, of the total investment portfolio assets in such industries and geographies as of September 30, 2017March 31, 2023 and December 31, 2016:2022:
March 31, 2023December 31, 2022
Industry ClassificationInvestments at
Fair Value		Percentage of
Investment Portfolio		Investments at
Fair Value		Percentage of
Investment Portfolio
Services: Business$340,815 20.6 %$336,055 19.2 %
Healthcare & Pharmaceuticals232,306 14.0 %237,082 13.6 %
Media: Diversified & Production126,177 7.6 %134,927 7.7 %
Services: Consumer106,082 6.4 %115,849 6.6 %
Media: Advertising, Printing & Publishing87,247 5.3 %105,375 6.0 %
Diversified Financials81,724 4.9 %99,819 5.7 %
Chemicals, Plastics & Rubber66,992 4.0 %66,753 3.8 %
Energy: Oil & Gas65,343 3.9 %68,756 3.9 %
Consumer Goods: Durable62,420 3.8 %60,735 3.5 %
Retail57,034 3.4 %74,718 4.3 %
High Tech Industries53,597 3.2 %56,501 3.2 %
Construction & Building51,310 3.1 %46,007 2.6 %
Beverage, Food & Tobacco44,519 2.7 %45,396 2.6 %
Consumer Goods: Non-Durable42,305 2.6 %47,886 2.8 %
Capital Equipment41,713 2.5 %41,580 2.4 %
Aerospace & Defense39,195 2.4 %38,842 2.2 %
Banking, Finance, Insurance & Real Estate39,048 2.4 %43,836 2.5 %
Hotel, Gaming & Leisure38,520 2.3 %46,739 2.7 %
Containers, Packaging & Glass19,477 1.2 %19,551 1.1 %
Telecommunications18,315 1.1 %18,302 1.1 %
Automotive16,395 1.0 %16,255 0.9 %
Metals & Mining15,836 1.0 %15,780 0.9 %
Transportation: Cargo10,656 0.6 %12,417 0.7 %
Subtotal/total percentage1,657,026 100.0 %1,749,161 100.0 %
Short term investments66,326 10,869 
Total investments$1,723,352 $1,760,030 
  September 30, 2017 December 31, 2016
Industry Classification 
Investments at
Fair Value
 
Percentage of
Investment Portfolio
 
Investments at
Fair Value
 
Percentage of
Investment Portfolio
High Tech Industries
$229,022
 14.8% $217,339
 21.3%
Healthcare & Pharmaceuticals
222,843
 14.4% 118,337
 11.6%
Services: Business
209,615
 13.5% 126,869
 12.5%
Media: Diversified & Production
116,013
 7.5% 23,100
 2.3%
Chemicals, Plastics & Rubber
89,142
 5.8% 27,253
 2.7%
Telecommunications
72,967
 4.7% 35,411
 3.5%
Services: Consumer
64,137
 4.1% 9,477
 0.9%
Media: Advertising, Printing & Publishing
61,147
 3.9% 54,354
 5.3%
Consumer Goods: Durable
60,992
 3.9% 1,000
 0.1%
Diversified Financials
57,872
 3.7% 72,762
 7.1%
Beverage, Food & Tobacco
54,846
 3.5% 53,658
 5.3%
Capital Equipment
51,899
 3.3% 51,155
 5.0%
Hotel, Gaming & Leisure
45,990
 3.0% 28,974
 2.8%
Automotive
40,347
 2.6% 39,192
 3.9%
Retail
32,052
 2.1% 18,852
 1.9%
Aerospace & Defense
28,811
 1.9% 21,780
 2.1%
Banking, Finance, Insurance & Real Estate
27,296
 1.8% 17,636
 1.7%
Energy: Oil & Gas
25,904
 1.7% 12,803
 1.3%
Consumer Goods: Non-Durable
16,056
 1.0% 8,611
 0.8%
Construction & Building
16,048
 1.0% 39,137
 3.8%
Transportation: Cargo 9,844
 0.6% —
 —
Media: Broadcasting & Subscription
6,450
 0.4% 9,776
 1.0%
Forest Products & Paper
5,598
 0.4% —
 —
Metals & Mining
3,341
 0.2% 11,349
 1.1%
Environmental Industries
2,813
 0.2% 2,595
 0.3%
Energy: Electricity —
 —
 13,715
 1.3%
Containers, Packaging & Glass —
 —
 3,845
 0.4%
Subtotal/total percentage 1,551,045
 100.0% 1,018,980
 100.0%
Short term investments 140,810
   70,498
  
Total investments $1,691,855
   $1,089,478
  
March 31, 2023December 31, 2022
Geographic Dispersion(1)Investments at
Fair Value		Percentage of
Investment Portfolio		Investments at
Fair Value		Percentage of
Investment Portfolio
United States$1,647,499 99.4 %$1,739,866 99.5 %
Canada7,485 0.4 %7,452 0.4 %
Cayman Islands1,133 0.1 %1,179 0.1 %
Bermuda909 0.1 %664 — 
Subtotal/total percentage1,657,026 100.0 %1,749,161 100.0 %
Short term investments66,326 10,869 
Total investments$1,723,352 $1,760,030 
  September 30, 2017 December 31, 2016
Geographic Dispersion(1) 
Investments at
Fair Value
 
Percentage of
Investment Portfolio
 
Investments at
Fair Value
 
Percentage of
Investment Portfolio
United States $1,407,912
 90.8% $916,260
 89.9%
Cayman Islands 31,519
 2.0% 43,234
 4.2%
Canada 30,747
 2.0% 16,705
 1.6%
Germany 20,488
 1.3% 24,185
 2.4%
Netherlands 18,171
 1.2% 10,273
 1.0%
Luxembourg 17,954
 1.1% —
 —
Marshall Islands 9,844
 0.6% —
 —
France 5,598
 0.4% —
 —
Cyprus 5,124
 0.3% 4,728
 0.5%
United Kingdom 2,813
 0.2% 2,595
 0.3%
Bermuda 875
 0.1% 1,000
 0.1%
Subtotal/total percentage 1,551,045
 100.0% 1,018,980
 100.0%
Short term investments 140,810
   70,498
  
Total investments $1,691,855
   $1,089,478
  
(1)The geographic dispersion is determined by the portfolio company's country of domicile.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

(1)The geographic dispersion is determined by the portfolio company's country of domicile.
As of September 30, 2017,March 31, 2023 and December 31, 2022, investments on non-accrual status represented 0.9%3.5% and 1.3%, respectively, of the Company's investment portfolio on a fair value basis. As of December 31, 2016, there were no investments on non-accrual status.

The Company does not “control” and is not an “affiliate” of any of its portfolio companies, each as defined in the 1940 Act. In general, under the 1940 Act, the Company would be presumed to “control” a portfolio company or issuer if the Company owned 25% or more of its voting securities and would be an “affiliate” of a portfolio company or issuer if the Company owned 5% or more of its voting securities.
The Company’s investment portfolio may contain senior secured investments that are in the form of lines of credit, delayed draw term loans, revolving credit facilities, or unfunded commitments, which may require the Company to provide funding when requested in accordance with the terms of the underlying agreements. As of September 30, 2017March 31, 2023 and December 31, 2016,2022, the Company’s unfunded commitments amounted to $75,833$60,176 and $25,096,$71,420, respectively. As of November 9, 2017,May 3, 2023, the Company’s unfunded commitments amounted to $83,077.$55,387. Since these commitments may expire without being drawn upon, unfunded commitments do not necessarily represent future cash requirements or future earning assets for the Company.  Refer to Note 11 for further details on the Company’s unfunded commitments.
43
Note 7. Derivative Instruments
In the normal course of business and subject to the requirements of the 1940 Act, the Company enters into derivative instruments as part of its investment strategy.

Credit Default Swap

On October 14, 2016, the Company entered into a credit default swap with JPMorgan Chase Bank N.A. with a base notional amount of €22,000, to purchase protection with respect to Deutsche Bank AG exposure. As of December 31, 2016, the fair value of the credit default swap was $46, which is presented as derivative asset on the consolidated balance sheet. The swap terminated on March 20, 2017.

Total Return Swap

On December 17, 2012, the Company, through its wholly-owned consolidated subsidiary, Flatiron Funding, LLC, or Flatiron, entered into a TRS with Citibank, N.A., or Citibank.  Flatiron and Citibank amended the TRS on several occasions, most recently on February 18, 2017 to extend the termination or call date from February 18, 2017 to April 18, 2017. Prior to the call date, the maximum aggregate market value of the portfolio of loans subject to the TRS (determined at the time each such loan became subject to the TRS) was $800,000 and the interest rate payable by Flatiron to Citibank with respect to each loan included in the TRS was a spread of 1.40% per year over the floating rate index specified for each such loan, which would not be less than zero.  On April 18, 2017, the TRS expired in accordance with its terms. The agreements between Flatiron and Citibank, which collectively established the TRS, are referred to herein as the TRS Agreement.     

The value of the TRS was based on the increase or decrease in the value of the loans underlying the TRS, as determined by the Company. The loans underlying the TRS were valued in the same manner as loans owned by the Company.  As of December 31, 2016, the fair value of the TRS was ($15,402). The fair value of the TRS was reflected as unrealized depreciation on total return swap on the Company’s consolidated balance sheets. The change in value of the TRS was reflected in the Company’s consolidated statements of operations as net change in unrealized depreciation on total return swap. As of December 31, 2016, Flatiron had selected 51 underlying loans with a total notional amount of $407,847 and posted $143,335 in cash collateral held by Citibank (of which only $131,073 was required to be posted). As of September 30, 2017, Flatiron had posted $3,620 in cash collateral held by Citibank, which is reflected in due from counterparty on the Company`s consolidated balance sheets.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017March 31, 2023
(in thousands, except share and per share amounts)

Note 7. Joint Ventures
Receivable on total return swapCION/EagleTree Partners, LLC
On December 21, 2021, the Company formed CION/EagleTree, an off-balance sheet joint venture partnership with ET-BC Debt Opportunities, LP, or ET-BC, which is composedan affiliate of any amounts due from CitibankEagleTree Capital, LP, or EagleTree. EagleTree made a Firm-level investment with proprietary capital. CION/EagleTree jointly pursues debt opportunities and special situation, crossover, subordinated and other junior capital investments that consistleverages the Company's and EagleTree's combined sourcing and portfolio management capabilities.
The Company contributed a portfolio of earned but not yet collected net interestsecond lien loans and feesequity investments and net gains on salesET-BC contributed proprietary Firm-level cash in exchange for 85% and principal repayments15%, respectively, of the underlying loanssenior secured notes, participating preferred equity, and common share interests of CION/EagleTree. The Company and ET-BC are not required to make any additional capital contributions to CION/EagleTree. The Company’s equity investment in CION/EagleTree is not redeemable. All portfolio and other material decisions regarding CION/EagleTree must be submitted to its board of managers, which is comprised of four members, two of whom were selected by the Company and the other two were selected by ET-BC. Further, all portfolio and other material decisions require the affirmative vote of at least one board member from the Company and one board member from ET-BC.
The Company also serves as administrative agent to CION/EagleTree to provide servicing functions and other administrative services. In certain cases, these servicing functions and other administrative services may be performed by CIM.
On December 21, 2021, CION/EagleTree issued senior secured notes of $61,629 to the Company and $10,875 to ET-BC, or the CION/EagleTree Notes. The CION/EagleTree Notes bear interest at a fixed rate of 14.0% per year and are secured by a first priority security interest in all of the TRS. Asassets of December 31, 2016,CION/EagleTree. The obligations of CION/EagleTree under the receivable on total return swap consisted ofCION/EagleTree Notes are non-recourse to the following:Company.
  December 31, 2016
Interest and other income from TRS portfolio $5,620
Interest and other expense from TRS portfolio (1,928)
Net gain on TRS loan sales 495
Receivable on total return swap $4,187

Realized gains and losses on the TRS are composed of any gains or losses on loans underlying the TRS as well as net interest and fees earned during the period. For the three and nine months ended September 30, 2017 and 2016, net realized gain (loss) on the TRS consisted of the following:
  Three Months Ended
September 30,		 Nine Months Ended
September 30,
  2017 2016 2017 2016
Interest and other income from TRS portfolio $67
 $9,426
 $6,610
 $32,693
Interest and other expense from TRS portfolio —
 (3,265) (2,949) (10,307)
Net gain (loss) on TRS loan sales —
 2,027
 (17,450) 1,413
Net realized gain (loss)(1) $67
 $8,188
 $(13,789) $23,799
(1)Net realized gain (loss) is reflected in net realized gain (loss) on total return swap on the Company's consolidated statements of operations.
On March 29, 2017, Flatiron Funding II, LLC, or Flatiron Funding II, a newly-formed, wholly-owned, consolidated, special purpose financing subsidiary ofIn accordance with ASU 2015-02, Consolidation, the Company purchased certain loans underlyingdetermined that CION/EagleTree is not a variable interest entity, or VIE, as the TRS with a notional value of $363,860Company is not the primary beneficiary and therefore does not consolidate CION/EagleTree. The Company's maximum exposure to losses from CION/EagleTree is limited to its investment in connection with the TRS refinancing. See Note 8 for additional information on Flatiron Funding II.CION/EagleTree.
44
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017March 31, 2023
(in thousands, except share and per share amounts)

The following istable sets forth the individual investments in CION/EagleTree's portfolio as of March 31, 2023:
Portfolio CompanyInterest(a)MaturityIndustryPrincipal/
Par Amount/
Units		Cost(b)Fair
Value
Senior Secured First Lien Debt
Berlitz Holdings, Inc.(g)S+900, 1.00% SOFR Floor2/14/2025Services: Business$1,200 $1,133 $1,152 
Community Tree Service, LLC(h)S+850, 1.00% SOFR Floor6/17/2027Construction & Building498 498 475 
Future Pak, LLC(e)L+1000, 2.00% LIBOR Floor7/2/2024Healthcare & Pharmaceuticals1,280 1,271 1,280 
Total Senior Secured First Lien Debt2,902 2,907 
Senior Secured Second Lien Debt
Access CIG, LLC(f)L+775, 0.00% LIBOR Floor2/27/2026Services: Business7,250 7,222 6,942 
Dayton Superior Corp.(e)L+700, 2.00% LIBOR Floor12/4/2024Construction & Building1,006 1,006 1,004 
MedPlast Holdings, Inc.(e)L+775, 0.00% LIBOR Floor7/2/2026Healthcare & Pharmaceuticals6,750 6,172 6,345 
Total Senior Secured Second Lien Debt14,400 14,291 
Collateralized Securities and Structured Products - Equity
Ivy Hill Middle Market Credit Fund VIII, Ltd. Subordinated Loan(c)11.84% Estimated Yield2/2/2026Diversified Financials10,000 9,858 9,339 
Total Collateralized Securities and Structured Products - Equity9,858 9,339 
Equity
American Clinical Solutions LLC, Class A Membership Interests(d)Healthcare & Pharmaceuticals6,030,384 Units5,200 5,427 
Anthem Sports and Entertainment Inc., Class A Preferred Stock Warrants(d)Media: Diversified & Production1,469 Units486 1,644 
Anthem Sports and Entertainment Inc., Class B Preferred Stock Warrants(d)Media: Diversified & Production255 Units— 167 
Anthem Sports and Entertainment Inc., Common Stock Warrants(d)Media: Diversified & Production4,746 Units— 315 
BCP Great Lakes II - Series A Holdings LP, Partnership Interests (4.2% ownership)Diversified FinancialsN/A12,966 12,573 
Carestream Health Holdings, Inc., Common Stock(d)Healthcare & Pharmaceuticals613,262 Units21,759 19,710 
CHC Medical Partners, Inc., Series C Preferred Stock, 12% DividendHealthcare & Pharmaceuticals2,727,273 Units7,973 8,995 
CTS Ultimate Holdings LLC, Class A Preferred Units(d)Construction & Building3,578,701 Units1,000 644 
Dayton HoldCo, LLC, Membership Units(d)Construction & Building37,264 Units8,400 15,617 
HDNet Holdco LLC, Preferred Unit Call Option(d)Media: Diversified & Production1 Unit— 98 
HW Ultimate Holdings, LP, Class A Membership Units, 4% Dividend(i)Capital Equipment2,000,000 Units2,082 40 
Language Education Holdings GP LLC, Common Units(d)Services: Business133,333 Units— — 
Language Education Holdings LP, Ordinary Common Units(d)Services: Business133,333 Units300 468 
Skillsoft Corp., Class A Common Stock(d)High Tech Industries243,425 Units2,000 487 
Spinal USA, Inc. / Precision Medical Inc., Warrants(d)Healthcare & Pharmaceuticals20,667,324 Units— — 
Total Equity62,166 66,185 
TOTAL INVESTMENTS$89,326 $92,722 
a.The actual LIBOR rate for each loan listed may not be the applicable LIBOR rate as of March 31, 2023, as the loan may have been priced or repriced based on a summaryLIBOR rate prior to or subsequent to March 31, 2023. The actual SOFR rate for each loan listed may not be the applicable SOFR rate as of March 31, 2023, as the loan may have been priced or repriced based on a SOFR rate prior to or subsequent to March 31, 2023.
b.Represents amortized cost for debt securities and cost for equity investments.
c.The CLO subordinated notes are considered equity positions in the CLO vehicles and are not rated. Equity investments are entitled to recurring distributions, which are generally equal to the remaining cash flow of the payments made by the underlying vehicle's securities less contractual payments to debt holders and expenses. The estimated yield indicated is based upon a current projection of the amount and timing of these recurring distributions and the estimated amount of repayment of principal upon termination. Such projections are periodically reviewed and adjusted, and the estimated yield may not ultimately be realized.
d.Non-income producing security.
e.The interest rate on these loans is subject to the TRS1 month LIBOR, which as of DecemberMarch 31, 2016:2023 was 4.86%.
f.The interest rate on these loans is subject to 3 month LIBOR, which as of March 31, 2023 was 5.19%.
g.The interest rate on these loans is subject to 1 month SOFR, which as of March 31, 2023 was 4.80%.
h.The interest rate on these loans is subject to 3 month SOFR, which as of March 31, 2023 was 4.91%.
i.Investment or a portion thereof was on non-accrual status as of March 31, 2023.
45
Underlying Loans(a) Index Rate(b) Industry 
Notional
Amount
 
Fair
Value(c)
 
Unrealized
Appreciation /
(Depreciation)
Senior Secured First Lien Debt          
Academy, Ltd., L+400, 1.00% LIBOR Floor, 7/1/2022 Various Retail $14,564
 $13,653
 $(911)
Access CIG, LLC, L+500, 1.00% LIBOR Floor, 10/18/2021 3 Month LIBOR Services: Business 6,751
 6,798
 47
ALM Media, LLC, L+450, 1.00% LIBOR Floor, 7/31/2020 3 Month LIBOR Media: Advertising, Printing & Publishing 7,679
 7,328
 (351)
Alvogen Pharma US, Inc., L+500, 1.00% LIBOR Floor, 4/1/2022 3 Month LIBOR Healthcare & Pharmaceuticals 9,430
 9,150
 (280)
American Dental Partners, Inc., L+475, 1.00% LIBOR Floor, 8/29/2021 3 Month LIBOR Healthcare & Pharmaceuticals 12,158
 12,219
 61
American Energy - Marcellus, LLC, L+425, 1.00% LIBOR Floor, 8/4/2020 3 Month LIBOR Energy: Oil & Gas 4,254
 2,370
 (1,884)
American Residential Services, LLC, L+450, 1.00% LIBOR Floor, 6/30/2021 3 Month LIBOR Construction & Building 14,067
 14,269
 202
Aquilex, LLC, L+400, 1.00% LIBOR Floor, 12/31/2020 3 Month LIBOR Chemicals, Plastics & Rubber 1,810
 1,778
 (32)
Avaya Inc., L+525, 1.00% LIBOR Floor, 5/29/2020 3 Month LIBOR Telecommunications 14,542
 12,798
 (1,744)
Azure Midstream Energy, LLC, L+650, 1.00% LIBOR Floor, 11/15/2018 1 Month LIBOR Energy: Oil & Gas 2,375
 2,200
 (175)
Caraustar Industries, Inc., L+675, 1.25% LIBOR Floor, 5/1/2019 3 Month LIBOR Forest Products & Paper 11,954
 12,521
 567
Central Security Group, Inc., L+563, 1.00% LIBOR Floor, 10/6/2020 1 Month LIBOR Services: Consumer 12,915
 13,058
 143
Charming Charlie, LLC, L+800, 1.00% LIBOR Floor, 12/24/2019 3 Month LIBOR Retail 7,723
 4,314
 (3,409)
CSP Technologies North America, LLC, L+600, 1.00% LIBOR Floor, 1/29/2022 3 Month LIBOR Chemicals, Plastics & Rubber 13,385
 13,590
 205
CT Technologies Intermediate Holdings, Inc., L+425, 1.00% LIBOR Floor, 12/1/2021 1 Month LIBOR Healthcare & Pharmaceuticals 14,681
 14,160
 (521)
David's Bridal, Inc., L+400, 1.25% LIBOR Floor, 10/11/2019 3 Month LIBOR Retail 3,339
 3,095
 (244)
DBRS, Inc., L+525, 1.00% LIBOR Floor, 3/4/2022(d) 3 Month LIBOR Services: Business 12,874
 12,094
 (780)
EIG Investors Corp., L+548, 1.00% LIBOR Floor, 11/9/2019(d) 3 Month LIBOR Services: Business 1,773
 1,772
 (1)
Emmis Operating Company, L+600, 1.00% LIBOR Floor, 6/10/2021 3 Month LIBOR Media: Broadcasting & Subscription 7,508
 7,075
 (433)
Evergreen Skills Lux S.À.R.L., L+475, 1.00% LIBOR Floor, 4/28/2021(d) 6 Month LIBOR High Tech Industries 7,174
 6,821
 (353)
Global Cash Access, Inc., L+525, 1.00% LIBOR Floor, 12/18/2020 2 Month LIBOR Hotel, Gaming & Leisure 10,483
 10,406
 (77)
Healogics, Inc., L+425, 1.00% LIBOR Floor, 7/1/2021 3 Month LIBOR Healthcare & Pharmaceuticals 4,829
 4,520
 (309)
IMG Worldwide Holdings, LLC, L+425, 1.00% LIBOR Floor, 5/6/2021 3 Month LIBOR Media: Diversified & Production 7,111
 7,277
 166
LTCG Holdings Corp., L+500, 1.00% LIBOR Floor, 6/6/2020 1 Month LIBOR Services: Business 5,882
 5,409
 (473)
Murray Energy Corp., L+725, 1.00% LIBOR Floor, 4/16/2020 3 Month LIBOR Metals & Mining 3,588
 3,528
 (60)
Navex Global, Inc, L+475, 1.00% LIBOR Floor, 11/19/2021 6 Month LIBOR High Tech Industries 13,597
 13,617
 20
Nielsen & Bainbridge, LLC, L+500, 1.00% LIBOR Floor, 8/15/2020 6 Month LIBOR Consumer Goods: Durable 15,843
 15,942
 99
Oasis Outsourcing Holdings, Inc., L+475, 1.00% LIBOR Floor, 12/26/2021 1 Month LIBOR Services: Business 9,319
 9,472
 153
Onex TSG Holdings II Corp., L+400, 1.00% LIBOR Floor, 7/29/2022 3 Month LIBOR Healthcare & Pharmaceuticals 3,408
 3,441
 33
Opal Acquisition, Inc., L+400, 1.00% LIBOR Floor, 11/27/2020 3 Month LIBOR Healthcare & Pharmaceuticals 10,236
 9,802
 (434)
Pelican Products, Inc., L+425, 1.00% LIBOR Floor, 4/10/2020 3 Month LIBOR Chemicals, Plastics & Rubber 2,493
 2,503
 10
Photonis Technologies SAS, L+750, 1.00% LIBOR Floor, 9/18/2019(d) 3 Month LIBOR Aerospace & Defense 6,337
 5,564
 (773)
PSC Industrial Holdings Corp., L+475, 1.00% LIBOR Floor, 12/5/2020 3 Month LIBOR Services: Business 4,851
 4,741
 (110)
Scientific Games International, Inc., L+500, 1.00% LIBOR Floor, 10/1/2021(d) Various Hotel, Gaming & Leisure 10,400
 10,665
 265
SESAC Holdco II LLC, L+425, 1.00% LIBOR Floor, 2/7/2019 1 Month LIBOR Media: Broadcasting & Subscription 2,935
 2,938
 3
SG Acquisition, Inc., L+525, 1.00% LIBOR Floor, 8/19/2021 3 Month LIBOR Banking, Finance, Insurance & Real Estate 11,414
 11,547
 133
SI Organization, Inc., L+475, 1.00% LIBOR Floor, 11/23/2019 3 Month LIBOR Services: Business 7,746
 7,866
 120
STG-Fairway Acquisitions, Inc., L+525, 1.00% LIBOR Floor, 6/30/2022 3 Month LIBOR Services: Business 3,845
 3,840
 (5)
Survey Sampling International, LLC, L+500, 1.00% LIBOR Floor, 12/16/2020 3 Month LIBOR Services: Business 7,781
 7,899
 118
TIBCO Software Inc., L+550, 1.00% LIBOR Floor, 12/4/2020 1 Month LIBOR High Tech Industries 16,827
 17,319
 492
Travel Leaders Group, LLC, L+600, 1.00% LIBOR Floor, 12/7/2020 1 Month LIBOR Services: Consumer 5,169
 5,176
 7
Vince, LLC, L+500, 1.00% LIBOR Floor, 11/27/2019(d) 3 Month LIBOR Retail 1,124
 1,093
 (31)
Western Dental Services, Inc., L+650, 1.00% LIBOR Floor, 11/1/2018 3 Month LIBOR Healthcare & Pharmaceuticals 5,573
 5,566
 (7)
Total Senior Secured First Lien Debt     351,747
 341,194
 (10,553)
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017March 31, 2023
(in thousands, except share and per share amounts)

The following table sets forth the individual investments in CION/EagleTree's portfolio as of December 31, 2022:
Portfolio CompanyInterest(a)MaturityIndustryPrincipal/
Par Amount/
Units		Cost(b)Fair
Value
Senior Secured First Lien Debt
Berlitz Holdings, Inc.(g)S+900, 1.00% SOFR Floor2/14/2025Services: Business$1,200 $1,125 $1,146 
Community Tree Service, LLC(h)S+850, 1.00% SOFR Floor6/17/2027Construction & Building499 499 489 
Future Pak, LLC(e)L+800, 2.00% LIBOR Floor7/2/2024Healthcare & Pharmaceuticals1,395 1,382 1,372 
Total Senior Secured First Lien Debt3,006 3,007 
Senior Secured Second Lien Debt
Access CIG, LLC(f)L+775, 0.00% LIBOR Floor2/27/2026Services: Business7,250 7,220 6,933 
Dayton Superior Corp.(e)L+700, 2.00% LIBOR Floor12/4/2024Construction & Building1,010 1,010 1,007 
MedPlast Holdings, Inc.(e)L+775, 0.00% LIBOR Floor7/2/2026Healthcare & Pharmaceuticals6,750 6,135 6,337 
Zest Acquisition Corp.(e)L+700, 1.00% LIBOR Floor3/14/2026Healthcare & Pharmaceuticals15,000 14,820 14,175 
Total Senior Secured Second Lien Debt29,185 28,452 
Collateralized Securities and Structured Products - Equity
Ivy Hill Middle Market Credit Fund VIII, Ltd. Subordinated Loan(c)11.84% Estimated Yield2/2/2026Diversified Financials10,000 9,874 9,523 
Total Collateralized Securities and Structured Products - Equity9,874 9,523 
Equity
American Clinical Solutions LLC, Class A Membership Interests(d)Healthcare & Pharmaceuticals6,030,384 Units5,200 3,618 
Anthem Sports and Entertainment Inc., Class A Preferred Stock Warrants(d)Media: Diversified & Production1,469 Units486 1,881 
Anthem Sports and Entertainment Inc., Class B Preferred Stock Warrants(d)Media: Diversified & Production255 Units— 187 
Anthem Sports and Entertainment Inc., Common Stock Warrants(d)Media: Diversified & Production4,746 Units— 580 
BCP Great Lakes II - Series A Holdings LP, Partnership Interests (4.2% ownership)Diversified FinancialsN/A11,436 11,058 
Carestream Health Holdings, Inc., Common Stock(d)Healthcare & Pharmaceuticals613,262 Units21,759 21,544 
CHC Medical Partners, Inc., Series C Preferred Stock, 12% DividendHealthcare & Pharmaceuticals2,727,273 Units7,891 8,877 
CTS Ultimate Holdings LLC, Class A Preferred Units(d)Construction & Building3,578,701 Units1,000 859 
Dayton HoldCo, LLC, Membership Units(d)Construction & Building37,264 Units8,400 15,334 
HDNet Holdco LLC, Preferred Unit Call Option(d)Media: Diversified & Production1 Unit— 185 
HW Ultimate Holdings, LP, Class A Membership Units, 4% DividendCapital Equipment2,000,000 Units2,082 130 
Language Education Holdings GP LLC, Common Units(d)Services: Business133,333 Units— — 
Language Education Holdings LP, Ordinary Common Units(d)Services: Business133,333 Units300 427 
Skillsoft Corp., Class A Common Stock(d)High Tech Industries243,425 Units2,000 316 
Spinal USA, Inc. / Precision Medical Inc., Warrants(d)Healthcare & Pharmaceuticals20,667,324 Units— — 
Total Equity60,554 64,996 
TOTAL INVESTMENTS$102,619 $105,978 
a.The actual LIBOR rate for each loan listed may not be the applicable LIBOR rate as of December 31, 2022, as the loan may have been priced or repriced based on a LIBOR rate prior to or subsequent to December 31, 2022. The actual SOFR rate for each loan listed may not be the applicable SOFR rate as of December 31, 2022, as the loan may have been priced or repriced based on a SOFR rate prior to or subsequent to December 31, 2022.
b.Represents amortized cost for debt securities and cost for equity investments.
c.The CLO subordinated notes are considered equity positions in the CLO vehicles and are not rated. Equity investments are entitled to recurring distributions, which are generally equal to the remaining cash flow of the payments made by the underlying vehicle's securities less contractual payments to debt holders and expenses. The estimated yield indicated is based upon a current projection of the amount and timing of these recurring distributions and the estimated amount of repayment of principal upon termination. Such projections are periodically reviewed and adjusted, and the estimated yield may not ultimately be realized.
d.Non-income producing security.
e.The interest rate on these loans is subject to 1 month LIBOR, which as of December 31, 2022 was 4.39%.
f.The interest rate on these loans is subject to 3 month LIBOR, which as of December 31, 2022 was 4.77%.
g.The interest rate on these loans is subject to 1 month SOFR, which as of December 31, 2022 was 4.36%.
h.The interest rate on these loans is subject to 3 month SOFR, which as of December 31, 2022 was 4.59%.
46
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
Underlying Loans(a) Index Rate(b) Industry 
Notional
Amount
 
Fair
Value(c)
 
Unrealized
Appreciation /
(Depreciation)
Senior Secured Second Lien Debt          
Asurion, LLC, L+750, 1.00% LIBOR Floor, 3/3/2021 1 Month LIBOR Services: Consumer 7,772
 8,044
 272
Evergreen Skills Lux S.À.R.L., L+825, 1.00% LIBOR Floor, 4/28/2022(d) 6 Month LIBOR High Tech Industries 9,798
 7,594
 (2,204)
GOBP Holdings, Inc., L+825, 1.00% LIBOR Floor, 10/21/2022 3 Month LIBOR Retail 3,940
 4,010
 70
Mergermarket USA, Inc., L+650, 1.00% LIBOR Floor, 2/4/2022 3 Month LIBOR Services: Business 6,965
 6,842
 (123)
Onex Carestream Finance LP, L+850, 1.00% LIBOR Floor, 12/7/2019 3 Month LIBOR Healthcare & Pharmaceuticals 13,600
 11,318
 (2,282)
Pelican Products, Inc., L+825, 1.00% LIBOR Floor, 4/11/2021 3 Month LIBOR Chemicals, Plastics & Rubber 8,050
 7,830
 (220)
PFS Holding Corp., L+725, 1.00% LIBOR Floor, 1/31/2022 1 Month LIBOR Retail 4,973
 4,636
 (337)
Securus Technologies Holdings, Inc., L+775, 1.25% LIBOR Floor, 4/30/2021 3 Month LIBOR Telecommunications 1,002
 977
 (25)
Total Senior Secured Second Lien Debt     56,100
 51,251
 (4,849)
Total     $407,847
 $392,445
 $(15,402)
The following table includes selected balance sheet information for CION/EagleTree as of March 31, 2023 and December 31, 2022:
(a)All of the underlying loans subject to the TRS were issued by eligible U.S. portfolio companies, as defined in the 1940 Act, except for investments specifically identified as non-qualifying per note (d) below. The Company did not control and was not an affiliate of any of the companies that were issuers of the underlying loans subject to the TRS.
(b)The 1, 2, 3, and 6 month LIBOR rates were 0.77%, 0.82%, 1.00% and 1.32%, respectively, as of December 31, 2016. The actual LIBOR rate for each loan listed may not be the applicable LIBOR rate as of December 31, 2016, as the loan may have been priced or repriced based on a LIBOR rate prior to or subsequent to December 31, 2016.
(c)Fair value determined in good faith by the Company’s board of directors (see Note 9) using significant unobservable inputs unless otherwise noted.
(d)All or a portion of the underlying loan subject to the TRS was not a qualifying asset under the 1940 Act. A business development company may not acquire any asset other than qualifying assets, unless, at the time the acquisition is made, qualifying assets represent at least 70% of the company’s total assets as defined under Section 55 of the 1940 Act. As of December 31, 2016, 90.5% of the Company’s total assets represented qualifying assets. In addition, as described in this Note 7, the Company calculated its compliance with the qualifying asset test on a “look through” basis by treating each loan underlying the TRS as either a qualifying asset or non-qualifying asset based on whether the obligor was an eligible portfolio company. On this basis, 89.1% of the Company’s total assets represented qualifying assets as of December 31, 2016.
(e)For the year ended December 31, 2016, the following underlying loans subject to the TRS contained a PIK interest provision whereby the issuer had either the option or the obligation to make interest payments with the issuance of additional securities:
Selected Balance Sheet Information:March 31, 2023December 31, 2022
Investments, at fair value (amortized cost of $89,326 and $102,619, respectively)$92,722 $105,978 
Cash and other assets1,739 2,476 
Dividend receivable on investments339 225 
Interest receivable on investments282 301 
   Total assets$95,082 $108,980 
Senior secured notes (net of unamortized debt issuance costs of $88 and $94, respectively)$64,414 $70,904 
Other liabilities357 1,881 
   Total liabilities64,771 72,785 
Members' capital30,311 36,195 
   Total liabilities and members' capital$95,082 $108,980 
The following table includes selected statement of operations information for CION/EagleTree for the three months ended March 31, 2023 and 2022 and for the year ended December 31, 2022:
Three Months Ended
March 31,		Year Ended
December 31,
Selected Statement of Operations Information:202320222022
Total revenues$1,595 $1,884 $9,653 
Total expenses2,692 2,720 11,120 
Net realized gain on investments176 — 9,947 
Net change in unrealized appreciation (depreciation) on investments37 542 (5,839)
Net (decrease) increase in net assets$(884)$(294)$2,641 
47
    Interest Rate Interest Amount
Issuer of Underlying Loan Investment Type Cash PIK All-in-Rate Cash PIK Total
Smile Brands Group, Inc.(f) Senior Secured First Lien Debt 7.50% 1.50% 9.00% $233
 $41
 $274
Southcross Holdings Borrower LP(g) Senior Secured First Lien Debt 3.50% 5.50% 9.00% $1
 $1
 $2
(f)Outstanding principal and accrued interest of the underlying loan was fully repaid on August 17, 2016.
(g)Prior to December 31, 2016, the underlying loan was assigned to the Company and removed from the TRS.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
Note 8. Financing Arrangements

The following table presents summary information with respect to the Company’s outstanding financing arrangements as of September 30, 2017:March 31, 2023: 
Financing ArrangementType of Financing ArrangementRateAmount OutstandingAmount AvailableMaturity Date
JPM Credit FacilityTerm Loan Credit FacilityL+3.10%$550,000 $25,000 May 15, 2024
SOFR+3.10%50,000 50,000 
2026 Notes(1)Note Purchase Agreement4.50%125,000 — February 11, 2026
UBS FacilityRepurchase AgreementL+3.375%125,000 25,000 November 19, 2023
Series A NotesIsrael Public Bond OfferingSOFR+3.82%80,712 — August 31, 2026
2022 More Term LoanTerm Loan Facility AgreementSOFR+3.50%50,000 — April 27, 2027
2021 More Term Loan(2)Term Loan Facility Agreement5.20%30,000 — September 30, 2024
$1,010,712 $100,000 
Arrangement Type of Arrangement Rate Amount Outstanding Amount Available Maturity Date
Citibank Credit Facility Revolving Credit Facility L+2.00% $281,698
 $43,302
 March 29, 2019
JPM Credit Facility Term Loan Credit Facility L+3.50% 224,423
 577
 August 23, 2020
UBS Facility Repurchase Agreement L+3.50% 125,000
 —
 May 19, 2020
(1)As of March 31, 2023, the fair value of the 2026 Notes was $119,219, which was based on a yield analysis and discount rate commensurate with the market yields for similar types of debt. The fair value of these debt obligations would be categorized as Level 3 under ASC 820 as of March 31, 2023.

(2)As of March 31, 2023, the fair value of the 2021 More Term Loan was $28,913, which was based on a yield analysis and discount rate commensurate with the market yields for similar types of debt. The fair value of these debt obligations would be categorized as Level 3 under ASC 820 as of March 31, 2023.
CitibankJPM Credit Facility
On March 29, 2017, Flatiron Funding IIAugust 26, 2016, 34th Street entered into a senior secured credit facility with Citibank. The senior secured credit facility with Citibank, or the Citibank Credit Facility, provides for a revolving credit facility in an aggregate principal amount of $325,000, subject to compliance with a borrowing base. On March 29, 2017 and September 26, 2017, Flatiron Funding II drew down $231,698 and $50,000 of borrowings under the Citibank Credit Facility, respectively.

On July 11, 2017, Flatiron Funding II amended the Citibank Credit Facility, or the Amended Citibank Credit Facility, with Citibank to make certain immaterial administrative amendments as a result of the termination of AIM as the Company's investment sub-adviser as discussed in Note 1.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

Advances under the Amended Citibank Credit Facility bear interest at a floating rate equal to (1) the higher of (a) the Citibank prime rate, (b) the federal funds rate plus 1.5% or (c) the three-month LIBOR plus 1.0%, plus (2) a spread of (a) 2% per year during the period from and including March 29, 2017 and the earlier of March 29, 2019 and the date the Amended Citibank Credit Facility matures, or (b) 3% per year during the period from the date the Amended Citibank Credit Facility matures until all obligations under the Amended Citibank Credit Facility have been paid in full. Interest is payable quarterly in arrears. All advances under the Amended Citibank Credit Facility will mature, and all accrued and unpaid interest thereunder will be due and payable, by no later than March 30, 2020. Flatiron Funding II may prepay advances pursuant to the terms and conditions of the credit and security agreement, subject to a 0.75% or 0.50% premium if the amount of the Amended Citibank Credit Facility is reduced or terminated on or prior to March 29, 2018 or March 29, 2019, respectively. In addition, Flatiron Funding II will be subject to a non-usage fee of 0.75% per year (subject to an increase to 2% in certain circumstances) on the amount, if any, of the aggregate principal amount available under the Amended Citibank Credit Facility that has not been borrowed. The non-usage fees, if any, are payable quarterly in arrears. Flatiron Funding II incurred certain customary costs and expenses in connection with obtaining the Citibank Credit Facility.

The Company incurred debt issuance costs of $1,945 in connection with obtaining the Citibank Credit Facility, which were recorded as a direct reduction to the outstanding balance of the Amended Citibank Credit Facility, which is included in the Company’s consolidated balance sheet as of September 30, 2017 and will amortize to interest expense over the term of the Amended Citibank Credit Facility. At September 30, 2017, the unamortized portion of the debt issuance costs was $1,615.

Flatiron Funding II purchased loans and other corporate debt securities with a fair value of $354,967 on the closing date pursuant to master participation and assignment agreements between Flatiron Funding II and each of 15th Street Loan Funding LLC and 15th Street Loan Funding 2 LLC, each a special purpose subsidiary of Citibank. 15th Street Loan Funding LLC and 15th Street Loan Funding 2 LLC held loans and other corporate debt securities in connection with the TRS Agreement between Citibank and Flatiron. Flatiron Funding II’s obligations to Citibank under the Amended Citibank Credit Facility are secured by a first priority security interest in all of the assets of Flatiron Funding II. The obligations of Flatiron Funding II under the Amended Citibank Credit Facility are non-recourse to the Company, and the Company’s exposure under the Amended Citibank Credit Facility is limited to the value of the Company’s investment in Flatiron Funding II. 

In connection with the Amended Citibank Credit Facility, Flatiron Funding II has made certain representations and warranties and is required to comply with various covenants, reporting requirements and other customary requirements for similar facilities. From the inception of the Citibank Credit Facility on March 29, 2017 to September 30, 2017, Flatiron Funding II was in compliance with all covenants and reporting requirements.

For the three months ended September 30, 2017 and the period from March 29, 2017 through September 30, 2017, the components of interest expense, average borrowings, and weighted average interest rate for the Amended Citibank Credit Facility were as follows:
  Three Months Ended
September 30, 2017		 Period from March 29, 2017 to September 30, 2017
Stated interest expense $1,953
 $3,860
Non-usage fee 173
 356
Amortization of deferred financing costs 174
 330
Total interest expense $2,300
 $4,546
Weighted average interest rate(1) 3.54% 3.50%
Average borrowings $234,416
 $233,042
(1)Includes the stated interest expense and non-usage fee on the unused portion of the Amended Citibank Credit Facility and is annualized for periods covering less than one year.

JPM Credit Facility

On August 26, 2016, 34th Street Funding, LLC, or 34th Street, a newly-formed, wholly-owned, consolidated, special purpose financing subsidiary of the Company, entered into a senior secured credit facility with JPMorgan Chase Bank, National Association, or JPM. The senior secured credit facility with JPM, or the JPM Credit Facility, provided for borrowings in an aggregate principal amount of $150,000, of which $25,000 may becould have been funded as a revolving credit facility, each subject to conditions described in the JPM Credit Facility. On August 26, 2016, 34th Street drew down $57,000 of borrowings under the JPM Credit Facility.

On September 30, 2016, and July 11, 2017, November 28, 2017 and May 23, 2018, 34th Street amended and restated the JPM Credit Facility, or the Amended JPM Credit Facility, with JPM. Under the Amended JPM Credit Facility entered into on September 30, 2016, the aggregate principal amount available for borrowings was increased from $150,000 to $225,000, of which $25,000 may becould have been funded as a revolving credit facility, subject to conditions described in the Amended JPM Credit Facility. On September 30, 2016, 34th Street drew down $167,423 of additional borrowings under the Amended JPM Credit Facility, a portion of which was used to purchase the portfolio of loans from Credit Suisse Park View BDC, Inc. Under the Amended JPM Credit Facility entered into on July 11, 2017 and November 28, 2017, certain immaterial administrative amendments were made as a result of the termination of AIM as the Company's investment sub-adviser as discussed in Note 1. No other material terms of the JPM Credit Facility were revised in connection withUnder the Amended JPM Credit Facility.Facility entered into on May 23, 2018, (i) the aggregate principal amount available for borrowings was increased from $225,000 to $275,000, of which $25,000 could have been funded as a revolving credit facility, subject to conditions described in the Amended JPM Credit Facility, (ii) the reinvestment period was extended until August 24, 2020 and (iii) the maturity date was extended to August 24, 2021.
CĪON Investment Corporation
NotesOn May 15, 2020, 34th Street amended and restated the Amended JPM Credit Facility, or the Second Amended JPM Credit Facility, with JPM in order to Consolidated Financial Statements(unaudited)
September 30, 2017
(fully repay all amounts outstanding under the Company's prior Citibank Credit Facility and MS Credit Facility and repay $100,000 of advances outstanding under the UBS Facility (as described below). Under the Second Amended JPM Credit Facility, the aggregate principal amount available for borrowings was increased from $275,000 to $700,000, of which $75,000 may be funded as a revolving credit facility, subject to conditions described in thousands, except sharethe Second Amended JPM Credit Facility, during the reinvestment period. Under the Second Amended JPM Credit Facility, the reinvestment period was extended until May 15, 2022 and per share amounts)

the maturity date was extended to May 15, 2023. Advances under the Second Amended JPM Credit Facility bore interest at a floating rate equal to the three-month LIBOR, plus a spread of 3.25% per year.
On February 26, 2021, 34th Street amended and restated the Second Amended JPM Credit Facility, or the Third Amended JPM Credit Facility, with JPM. Under the Third Amended JPM Credit Facility, the aggregate principal amount available for borrowings was reduced from $700,000 to $575,000, subject to conditions described in the Third Amended JPM Credit Facility. In addition, under the Third Amended JPM Credit Facility, the reinvestment period was extended from May 15, 2022 to May 15, 2023 and the maturity date was extended from May 15, 2023 to May 15, 2024. Advances under the Third Amended JPM Credit Facility bear interest at a floating rate equal to the three-month LIBOR, plus a spread of 3.50%3.10% per year, which was reduced from a spread of 3.25% per year. 34th Street incurred certain customary costs and expenses in connection with the Third Amended JPM Credit Facility. No other material terms of the Second JPM Credit Facility were revised in connection with the Third Amended JPM Credit Facility.
48
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
On March 28, 2022, 34th Street entered into a First Amendment to the Third Amended JPM Credit Facility with JPM, or the JPM First Amendment. Under the JPM First Amendment, the aggregate principal amount available for borrowings was increased from $575,000 to $675,000, subject to conditions described in the JPM First Amendment. Additional advances of up to $100,000 under the JPM First Amendment bear interest at a floating rate equal to the three-month SOFR, plus a credit spread of 3.10% per year, and a LIBOR to SOFR credit spread adjustment of 0.15%. 34th Street incurred certain customary costs and expenses in connection with the JPM First Amendment. No other material terms of the Third Amended JPM Credit Facility were revised in connection with the JPM First Amendment.
Interest is payable quarterly in arrears. All advances under the Amended JPM Credit Facility will mature, and all accrued and unpaid interest thereunder will be due and payable, by no later than August 23, 2020. 34th Street may prepay advances pursuant to the terms and conditions of the Third Amended JPM Credit Facility and the JPM First Amendment, subject to a 1%1.0% premium in certain circumstances. In addition, 34th Street will be subject to a non-usage fee of 0.5% and 1.0% per year on the amount, if any, of the aggregate principal amount available under the Third Amended JPM Credit Facility and the JPM First Amendment that has not been borrowed during the period from the closing date and ending on, but excluding,through May 23, 2017, or the Ramp-Up Period, and from the termination of the Ramp-Up Period and ending on, but excluding, August 23, 2019, respectively.14, 2023. The non-usage fees, if any, are payable quarterly in arrears.

As of March 31, 2023 and December 31, 2022, the aggregate principal amount outstanding on the Third Amended JPM Credit Facility and the JPM First Amendment was $600,000 and $610,000, respectively.
The Company contributed loans and other corporate debt securities to 34th Street in exchange for 100% of the membership interests of 34th Street, and may contribute additional loans and other corporate debt securities to 34th Street in the future. 34th Street’s obligations to JPM under the Third Amended JPM Credit Facility and the JPM First Amendment are secured by a first priority security interest in all of the assets of 34th Street. The obligations of 34th Street under the Third Amended JPM Credit Facility and the JPM First Amendment are non-recourse to the Company, and the Company’s exposure under the Third Amended JPM Credit Facility and the JPM First Amendment is limited to the value of the Company’s investment in 34th Street.

In connection with the Third Amended JPM Credit Facility and the JPM First Amendment, 34th Street has made certain representations and warranties and is required to comply with a borrowing base requirement, various covenants, reporting requirements and other customary requirements for similar facilities. As of and for the ninethree months ended September 30, 2017,March 31, 2023, 34th Street was in compliance with all covenants and reporting requirements.

TheThrough March 31, 2023, the Company incurred debt issuance costs of $3,515$12,102 in connection with obtaining and amending the JPM Credit Facility, which were recorded as a direct reduction to the outstanding balance of the Third Amended JPM Credit Facility and the JPM First Amendment, which is included in the Company’s consolidated balance sheetssheet as of March 31, 2023 and will amortize to interest expense over the term of the Third Amended JPM Credit Facility.Facility and the JPM First Amendment. At September 30, 2017,March 31, 2023, the unamortized portion of the debt issuance costs was $2,554.

$2,571.
For the three and nine months ended September 30, 2017,March 31, 2023 and 2022 and the year ended December 31, 2022, the components of interest expense, average borrowings, and weighted average interest rate for the JPM First Amendment and the Third Amended JPM Credit Facility were as follows:
Three Months Ended March 31,Year Ended December 31,
202320222022
Stated interest expense$11,990 $4,707 $29,254 
Amortization of deferred financing costs564 490 2,214 
Non-usage fee171 70 617 
Total interest expense$12,725 $5,267 $32,085 
Weighted average interest rate(1)8.02 %3.44 %4.99 %
Average borrowings$606,667 $551,333 $590,603 
(1)Includes the stated interest expense and non-usage fee on the unused portion of the JPM First Amendment and the Third Amended JPM Credit Facility and is annualized for periods covering less than one year.
2026 Notes
On February 11, 2021, the Company entered into a Note Purchase Agreement with certain purchasers, or the Note Purchase Agreement, in connection with the Company’s issuance of $125,000 aggregate principal amount of its 4.50% senior unsecured notes due in 2026, or the 2026 Notes. The net proceeds to the Company were approximately $122,300, after the deduction of placement agent fees and other financing expenses, which the Company used to repay debt under its secured financing arrangements.
49
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
  Three Months Ended September 30, 2017 Nine Months Ended September 30, 2017
Stated interest expense $2,770
 $7,978
Amortization of deferred financing costs 222
 660
Non-usage fee 1
 3
Total interest expense $2,993
 $8,641
Weighted average interest rate(1) 4.74% 4.61%
Average borrowings $224,423
 $224,423
The 2026 Notes mature on February 11, 2026. The 2026 Notes bear interest at a rate of 4.50% per year payable semi-annually on February 11th and August 11th of each year, which commenced on August 11, 2021. The Company has the right to, at its option, redeem all or a part that is not less than 10% of the 2026 Notes (i) on or before February 11, 2024, at a redemption price equal to 100% of the principal amount of 2026 Notes to be redeemed plus an applicable “make-whole” amount equal to (x) the discounted value of the remaining scheduled payments with respect to the principal of such 2026 Note that is to be prepaid or becomes due and payable pursuant to the Note Purchase Agreement over (y) the amount of such called principal, plus accrued and unpaid interest, if any, (ii) after February 11, 2024 but on or before February 11, 2025, at a redemption price equal to 102% of the principal amount of the 2026 Notes to be redeemed, plus accrued and unpaid interest, if any, (iii) after February 11, 2025 but on or before August 11, 2025, at a redemption price equal to 101% of the principal amount of the 2026 Notes to be redeemed, plus accrued and unpaid interest, if any, and (iv) after August 11, 2025, at a redemption price equal to 100% of the principal amount of the 2026 Notes to be redeemed, plus accrued and unpaid interest, if any. For any redemptions occurring on or before February 11, 2024, the discounted value portion of the “make whole amount” is calculated by applying a discount rate on the same periodic basis as that on which interest on the 2026 Notes is payable equal to the sum of 0.50% plus the yield to maturity of the most recently issued U.S. Treasury securities having a maturity equal to the remaining average life of the 2026 Notes, or if there are no such U.S. Treasury securities, using such implied yield to maturity determined in accordance with the terms of the Note Purchase Agreement.
(1)Includes the stated interest expense and non-usage fee on the unused portion of the Amended JPM Credit Facility and is annualized for periods covering less than one year.

The 2026 Notes are general unsecured obligations of the Company that rank pari passu with all existing and future unsecured unsubordinated indebtedness issued by the Company, rank effectively junior to any of the Company’s secured indebtedness (including unsecured indebtedness that the Company later secures) to the extent of the value of the assets securing such indebtedness, and rank structurally junior to all existing and future indebtedness (including trade payables) incurred by certain of the Company’s subsidiaries, financing vehicles or similar facilities.
The Note Purchase Agreement contains other terms and conditions, including, without limitation, affirmative and negative covenants such as (i) information reporting, (ii) maintenance of the Company’s status as a BDC, (iii) minimum shareholders’ equity of 60% of the Company’s net asset value as of the year ended December 31, 2020 plus 50% of the net cash proceeds of the sale of certain equity interests by the Company after February 11, 2021, if any, (iv) a minimum asset coverage ratio of not less than 150%, (v) a minimum interest coverage ratio of 1.25 to 1.00 and (vi) an unencumbered asset coverage ratio of 1.25 to 1.00, provided that (a) first lien senior secured loans and cash represent more than 65% of the total value of unencumbered assets used by the Company for purposes of the ratio and (b) equity interests or structured products in the aggregate represent less than 15% of the total value of unencumbered assets used by the Company for purposes of the ratio. As of and for the three months ended March 31, 2023, the Company was in compliance with all covenants and reporting requirements.
The Note Purchase Agreement also contains a “most favored lender” provision in favor of the purchasers in respect of any new unsecured credit facilities, loans or indebtedness in excess of $25,000 incurred by the Company, which indebtedness contains a financial covenant not contained in, or more restrictive against the Company than those contained, in the Note Purchase Agreement. In addition, the Note Purchase Agreement contains customary events of default with customary cure and notice periods, including, without limitation, nonpayment, incorrect representation in any material respect, breach of covenant, cross-default under other indebtedness or derivative securities of the Company in an outstanding aggregate principal amount of at least $25,000, certain judgments and orders, and certain events of bankruptcy.
As of March 31, 2023, the aggregate principal amount of 2026 Notes outstanding was $125,000.
Through March 31, 2023, the Company incurred debt issuance costs of $2,669 in connection with issuing the 2026 Notes, which were recorded as a direct reduction to the outstanding balance of the 2026 Notes, which is included in the Company’s consolidated balance sheet as of March 31, 2023 and will amortize to interest expense over the term of the 2026 Notes. At March 31, 2023, the unamortized portion of the debt issuance costs was $1,531.
For the three months ended March 31, 2023 and 2022 and for the year ended December 31, 2022, the components of interest expense, average borrowings, and weighted average interest rate for the 2026 Notes were as follows:
Three Months Ended
March 31,		Year Ended December 31,
2022
20232022
Stated interest expense$1,406 $1,406 $5,600 
Amortization of deferred financing costs131 131 533 
Total interest expense$1,537 $1,537 $6,133 
Weighted average interest rate(1)4.50 %4.50 %4.50 %
Average borrowings$125,000 $125,000 $125,000 
(1)Includes the stated interest expense on the 2026 Notes and is annualized for periods covering less than one year.
50
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
UBS Facility

On May 19, 2017, the Company, through two newly-formed, wholly-owned, special-purpose financing subsidiaries, entered into a financing arrangement with UBS AG, London Branch, or UBS, pursuant to which up to $125,000 will bewas made available to the Company.

Pursuant to the financing arrangement, assets in the Company's portfolio may be contributed from time to time to Murray Hill Funding II, LLC, or Murray Hill Funding II through Murray Hill Funding, LLC, or Murray Hill Funding, each a newly-formed, wholly-owned, special-purpose financing subsidiary of the Company. On May 19, 2017, the Company contributed assets to Murray Hill Funding II. The assets held by Murray Hill Funding II secure the obligations of Murray Hill Funding II under Class AA-1 Notes, or the Notes, issued by Murray Hill Funding II. Pursuant to an Indenture, dated May 19, 2017, between Murray Hill Funding II and U.S. Bank National Association, or U.S. Bank, as trustee, or the Indenture, the aggregate principal amount of Notes that may be issued by Murray Hill Funding II from time to time iswas $192,308. Murray Hill Funding purchased the Notes issued by Murray Hill Funding II at a purchase price equal to their par value. Murray Hill Funding makes capital contributions to Murray Hill Funding II to, among other things, maintain the value of the portfolio of assets held by Murray Hill Funding II.

Principal on the Notes will be due and payable on the stated maturity date of May 19, 2027. Pursuant to the Indenture, Murray Hill Funding II has made certain representations and warranties and is required to comply with various covenants, reporting requirements and other customary requirements for similar transactions. The Indenture contains events of default customary for similar transactions, including, without limitation: (a) the failure to make principal payments on the Notes at their stated maturity or any earlier redemption date or to make interest payments on the Notes and such failure is not cured within three business days; (b) the failure to disburse amounts in accordance with the priority of payments and such failure is not cured within three business days; and (c) the occurrence of certain bankruptcy and insolvency events with respect to Murray Hill Funding II or Murray Hill Funding.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
( As of and for the three months ended March 31, 2023, Murray Hill Funding II was in thousands, except sharecompliance with all covenants and per share amounts)

reporting requirements.
Murray Hill Funding, in turn, has entered into a repurchase transaction with UBS, pursuant to the terms of a Global Master Repurchase Agreement and the related Annex and Master Confirmation thereto, each dated May 19, 2017, or collectively, the UBS Facility. Pursuant to the UBS Facility, on May 19, 2017 and June 19, 2017, UBS purchased Notes held by Murray Hill Funding for an aggregate purchase price equal to 65% of the principal amount of Notes purchased. Subject to certain conditions, the maximum principal amount of Notes that may be purchased under the UBS Facility iswas $192,308. Accordingly, the aggregate maximum amount payable to Murray Hill Funding under the UBS Facility willwould not exceed $125,000. Murray Hill Funding willwas required to repurchase the Notes sold to UBS under the UBS Facility by no later than May 19, 2020. The repurchase price paid by Murray Hill Funding to UBS will be equal to the purchase price paid by UBS for the repurchased Notes (giving effect to any reductions resulting from voluntary partial prepayment(s)). If the UBS Facility is accelerated prior to May 19, 2020 due to an event of default or a mandatory or voluntary full payment by Murray Hill Funding, then Murray Hill Funding must pay to UBS a fee equal to the present value of the spread portion of the financing fees that would have been payable to UBS from the date of acceleration through May 19, 2020 had the acceleration not occurred. The financing fee under the UBS Facility iswas equal to the three-month LIBOR plus a spread of up to 3.50% per year for the relevant period.

On December 1, 2017, Murray Hill Funding II amended and restated the Indenture, or the Amended Indenture, pursuant to which the aggregate principal amount of Notes that may be issued by Murray Hill Funding II was increased from $192,308 to $266,667. On December 1, 2017, Murray Hill Funding entered into a First Amended and Restated Master Confirmation to the Global Master Repurchase Agreement, or the Amended Master Confirmation, which sets forth the terms of the repurchase transaction between Murray Hill Funding and UBS under the UBS Facility. As part of the Amended Master Confirmation, on December 15, 2017 and April 2, 2018, UBS purchased the increased aggregate principal amount of Notes held by Murray Hill Funding for an aggregate purchase price equal to 75% of the principal amount of Notes issued. As a result of the Amended Master Confirmation, the aggregate maximum amount payable to Murray Hill Funding and made available to the Company under the UBS Facility was increased from $125,000 to $200,000. No other material terms of the UBS Facility were revised in connection with the amended UBS Facility, or the Amended UBS Facility.
On May 19, 2020, Murray Hill Funding entered into a Second Amended and Restated Master Confirmation to the Global Master Repurchase Agreement, or the Second Amended Master Confirmation, which extended the date that Murray Hill Funding will be required to repurchase the Notes sold to UBS under the Amended UBS Facility from May 19, 2020 to November 19, 2020, and increased the spread on the financing fee from 3.50% to 3.90% per year.
On May 19, 2020, Murray Hill Funding also repurchased Notes in the aggregate principal amount of $133,333 from UBS for an aggregate repurchase price of $100,000, which was then repaid by Murray Hill Funding II. The repurchase of the Notes on May 19, 2020 resulted in a repayment of one-half of the outstanding amount of borrowings under the Amended UBS Facility as of May 19, 2020. As of December 31, 2020, Notes remained outstanding in the aggregate principal amount of $133,333, which was purchased by Murray Hill Funding from Murray Hill Funding II and subsequently sold to UBS under the Amended UBS Facility for aggregate proceeds of $100,000.
On November 12, 2020, Murray Hill Funding entered into a Third Amended and Restated Master Confirmation to the Global Master Repurchase Agreement, or the Third Amended Master Confirmation, to further extend the date that Murray Hill Funding will be required to repurchase the Notes to December 18, 2020.
51
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
On December 17, 2020, Murray Hill Funding entered into a Fourth Amended and Restated Master Confirmation to the Global Master Repurchase Agreement, or the Fourth Amended Master Confirmation, which further extended the date that Murray Hill Funding will be required to repurchase the Notes sold to UBS under the Amended UBS Facility from December 18, 2020 to November 19, 2023, and decreased the spread on the financing fee from 3.90% to 3.375% per year. No other material terms of the Amended UBS Facility were revised in connection with the Fourth Amended Master Confirmation.
On December 17, 2020, Murray Hill Funding also entered into a Revolving Credit Note Agreement, or the Revolving Note Agreement, with Murray Hill Funding II, UBS and U.S. Bank, as note agent and trustee, which provides for a revolving credit facility in an aggregate principal amount of $50,000, subject to compliance with a borrowing base. Murray Hill Funding II will issue Class A-R Notes, or the Class A-R Notes, in exchange for advances under the Revolving Note Agreement. Principal on the Class A-R Notes will be due and payable on the stated maturity date of May 19, 2027, which is the same stated maturity date as the Notes.
The Class A-R Notes will be issued pursuant to a Second Amended and Restated Indenture, dated December 17, 2020, between Murray Hill Funding II and U.S. Bank, as trustee, or the Second Amended Indenture. Under the Second Amended Indenture, the aggregate principal amount of Notes and Class A-R Notes that may be issued by Murray Hill Funding II from time to time is $150,000. Murray Hill Funding, in turn, entered into a repurchase transaction with UBS pursuant to the terms of the related Annex and Master Confirmation, dated December 17, 2020, to the Global Master Repurchase Agreement, dated May 19, 2017, related to the Class A-R Notes. Murray Hill Funding is required to repurchase the Class A-R Notes that will be sold to UBS by no later than November 19, 2023. The financing fee for the funded Class A-R Notes is equal to the three-month LIBOR plus a spread of 3.375% per year while the financing fee for the unfunded Class A-R Notes is equal to 0.75% per year.
Pursuant to the Amended UBS Facility, on July 1, 2021, December 14, 2021 and April 19, 2022, UBS purchased Class A-R Notes held by Murray Hill Funding for an aggregate purchase price equal to 100% of the principal amount of Class A-R Notes purchased, which was $21,000, $25,000 and $17,500, respectively. On August 20, 2021, March 7, 2023 and April 14, 2023, Murray Hill Funding repurchased Class A-R Notes in the aggregate principal amount of $21,000, $17,500 and $25,000, respectively, from UBS for an aggregate repurchase price of $21,000, $17,500 and $25,000, respectively, which was then repaid by Murray Hill Funding II. The repurchase of the A-R Notes on August 20, 2021, March 7, 2023 and April 14, 2023 resulted in repayments of $21,000, $17,500 and $25,000, respectively, of the outstanding amount of borrowings under the Amended UBS Facility.
UBS may require Murray Hill Funding to post cash collateral if, without limitation, the sum of the market value of the portfolio of assets and the cash and eligible investments held by Murray Hill Funding II, together with any posted cash collateral, is less than the required margin amount under the Amended UBS Facility; provided, however, that Murray Hill Funding will not be required to post cash collateral with UBS until such market value has declined at least 10% from the initial market value of the portfolio assets.

The Company has no contractual obligation to post any such cash collateral or to make any payments to UBS on behalf of Murray Hill Funding. The Company may, but is not obligated to, increase its investment in Murray Hill Funding for the purpose of funding any cash collateral or payment obligations for which Murray Hill Funding becomes obligated in connection with the Amended UBS Facility. The Company’s exposure under the Amended UBS Facility is limited to the value of the Company’s investment in Murray Hill Funding.  

Pursuant to the Amended UBS Facility, Murray Hill Funding has made certain representations and warranties and is required to comply with a borrowing base requirement, various covenants, reporting requirements and other customary requirements for similar transactions. The Amended UBS Facility contains events of default customary for similar financing transactions, including, without limitation: (a) failure to transfer the Notes to UBS on the applicable purchase date or repurchase the Notes from UBS on the applicable repurchase date; (b) failure to pay certain fees and make-whole amounts when due; (c) failure to post cash collateral as required; (d) the occurrence of insolvency events with respect to Murray Hill Funding; and (e) the admission by Murray Hill Funding of its inability to, or its intention not to, perform any of its obligations under the Amended UBS Facility.

As of and for the three months ended March 31, 2023, Murray Hill Funding was in compliance with all covenants and reporting requirements.
Murray Hill Funding paid an upfront fee and incurred certain other customary costs and expenses totaling $1,786$2,637 in connection with obtaining the Amended UBS Facility, which were recorded as a direct reduction to the outstanding balance of the Amended UBS Facility, which is included in the Company’s consolidated balance sheets and will amortizeamortized to interest expense over the term of the Amended UBS Facility. At September 30, 2017, the unamortized portion of theMarch 31, 2023, all upfront feefees and other expenses was $1,567.

were fully amortized.
As of September 30, 2017,March 31, 2023, Notes in the aggregate principal amount of $192,308$125,000 had been purchased by Murray Hill Funding from Murray Hill Funding II and subsequently sold to UBS under the Amended UBS Facility for aggregate proceeds of $125,000. The carrying amount outstanding under the Amended UBS Facility approximates its fair value. The Company funded each purchase of Notes by Murray Hill Funding through a capital contribution to Murray Hill Funding. As of September 30, 2017,March 31, 2023, the amount due at maturity under the Amended UBS Facility was $125,000. The Notes issued by Murray Hill Funding II and purchased by Murray Hill Funding eliminate in consolidation on the Company’s consolidated financial statements.

As of September 30, 2017,March 31, 2023, the fair value of assets held by Murray Hill Funding II was $248,916.$252,595.

52
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
For the period from May 19, 2017 through September 30, 2017,three months ended March 31, 2023 and 2022 and the year ended December 31, 2022, the components of interest expense, average borrowings, and weighted average interest rate for the Amended UBS Facility were as follows:
Three Months Ended March 31,Year Ended December 31,
202320222022
Stated interest expense$2,804 $1,147 $7,273 
Non-usage fee23 47 96 
Total interest expense$2,827 $1,194 $7,369 
Weighted average interest rate(1)8.22 %3.82 %5.29 %
Average borrowings$137,639 $125,000 $137,322 
  Three Months Ended September 30, 2017 Period from May 19, 2017 to September 30, 2017
Stated interest expense $1,480
 $2,009
Amortization of deferred financing costs 147
 219
Total interest expense $1,627
 $2,228
Weighted average interest rate(1) 4.74% 4.72%
Average borrowings $125,000
 $113,519
(1)Includes the stated interest expense and non-usage fee on the unused portion of the Amended UBS Facility and is annualized for periods covering less than one year.
(1)Includes the stated interest expense and non-usage fee, if any, on the unused portion of the UBS Facility and is annualized for periods covering less than one year.
East West Bank Credit FacilitySeries A Notes
On April 30, 2015,February 28, 2023, the Company entered into a revolving credit facility,Deed of Trust, or the EWB Credit Facility,Deed of Trust, with East West Bank, or EWB. The EWB Credit Facility provided for borrowingsMishmeret Trust Company Ltd., as trustee, under which the Company issued $80,712 in an aggregate principal amount of up to $40,000, subject to certain conditions,its Series A Unsecured Notes due 2026, or the Series A Notes. The Series A Notes offering in Israel closed on February 28, 2023 and the Series A Notes listed and commenced trading on the TASE on February 28, 2023. After the deduction of fees and other offering expenses, the Company was requiredreceived net proceeds of approximately $77,900, which it used to maintain $2,000make investments in a demand deposit account with EWB at all times. On April 27, 2017, the EWB Credit Facility expiredportfolio companies in accordance with its terms. Throughinvestment objectives and for working capital and general corporate purposes. The Series A Notes are rated A1.il by Midroog Ltd., an affiliate of Moody’s.
The Series A Notes will mature on August 31, 2026 and may be redeemed in whole or in part at the expiration date,Company's option at par plus a “make-whole” premium, if applicable, as set forth in the Deed of Trust. The Series A Notes bear interest at a rate equal to SOFR plus a credit spread of 3.82% per year, which will be paid quarterly on February 28, May 31, August 31, and November 30 of each year, commencing on May 31, 2023. The Series A Notes are general unsecured obligations of the Company that rank senior in right of payment to all of the Company’s existing and future indebtedness that is expressly subordinated in right of payment to the Series A Notes, rank pari passu with all existing and future unsecured unsubordinated indebtedness issued by the Company, rank effectively junior to any of the Company's secured indebtedness (including unsecured indebtedness that the Company later secures) to the extent of the value of the assets securing such indebtedness, and rank structurally junior to all existing and future indebtedness (including trade payables) incurred by the Company's subsidiaries, financing vehicles or similar facilities.
The Deed of Trust contains other terms and conditions, including, without limitation, affirmative and negative covenants such as (i) information reporting, (ii) maintenance of the Company’s status as a BDC within the meaning of the 1940 Act, (iii) minimum shareholders’ equity of $525 million, (iv) a minimum asset coverage ratio of not less than 150%, and (v) an unencumbered asset coverage ratio of 1.25 to 1.00. In addition, the Deed of Trust contains customary events of default with customary cure and notice periods, including, without limitation, nonpayment, incorrect representation in any material respect, breach of covenant, cross-default under the Company’s other indebtedness in an outstanding aggregate principal amount of at least $50,000, certain judgments and orders, and certain events of bankruptcy. As of and for the three months ended March 31, 2023, the Company was in compliance with all covenants and reporting requirementsrequirements.
On February 26, 2023, the Company’s shares of common stock listed and commenced trading on the TASE under the EWB Credit Facility.ticker symbol “CION”.
Through March 31, 2023, the Company incurred debt issuance costs of $3,033 in connection with issuing the Series A Notes, which were recorded as a direct reduction to the outstanding balance of the Series A Notes, which is included in the Company’s consolidated balance sheet as of March 31, 2023 and will amortize to interest expense over the term of the Series A Notes. At March 31, 2023, the unamortized portion of the debt issuance costs was $2,955.
53
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017March 31, 2023
(in thousands, except share and per share amounts)

For the three and nine months ended September 30, 2017 and 2016,period from February 28, 2023 through March 31, 2023, the components of interest expense, average borrowings, and weighted average interest rate for the EWB Credit FacilitySeries A Notes were as follows:
 
Three Months Ended
September 30,
 Nine Months Ended
September 30,
 2017 2016 2017 2016
Non-usage fee$—
 $46
 $65
 $147
Amortization of deferred financing costs—
 51
 63
 177
Stated interest expense—
 44
 —
 44
Total interest expense$—
 $141
 $128
 $368
Weighted average interest rate(1)—
 8.62% —
 18.25%
Average borrowings$—
 $4,109
 $—
 $1,380
For the Period From February 28, 2023 Through March 31, 2023
Stated interest expense$618 
Amortization of deferred financing costs78 
Total interest expense$696
Weighted average interest rate(1)8.62 %
Average borrowings$80,712 
(1) Includes the stated interest expense and non-usage fee on the unusedSeries A Notes and is annualized for periods covering less than one year.
2022 More Term Loan
On April 27, 2022, the Company entered into an Unsecured Term Loan Facility Agreement, or the More Term Loan Agreement, with More Provident Funds and Pension Ltd., or More Provident, as lender, which provided for an unsecured term loan to the Company in an aggregate principal amount of $50,000, or the 2022 More Term Loan. On April 27, 2022, the Company drew down $50,000 of borrowings under the 2022 More Term Loan. After the deduction of fees and other financing expenses, the Company received net borrowings of approximately $49,000, which it used for working capital and other general corporate purposes.
Advances under the 2022 More Term Loan bear interest at a floating rate equal to the three-month SOFR, plus a credit spread of 3.50% per year and subject to a 1.0% SOFR floor, payable quarterly in arrears. Advances under the 2022 More Term Loan mature on April 27, 2027. The Company has the right to, at its option, prepay all or any portion of advances then outstanding together with a prepayment fee equal to the higher of (i) zero, or (ii) the discounted present value of all remaining interest payments that would have been paid by the Company through the maturity date with respect to the principal amount of such advance that is to be prepaid or becomes due and payable pursuant to the More Term Loan Agreement. The discounted present value portion of the EWB Credit Facility.prepayment fee is calculated by applying a discount rate on the same periodic basis as that on which interest on advances is payable equal to the three-month SOFR plus 2.00%.
Advances under the 2022 More Term Loan are general unsecured obligations of the Company that rank pari passu with all existing and future unsecured unsubordinated indebtedness issued by the Company, rank effectively junior to any of the Company’s secured indebtedness (including unsecured indebtedness that the Company later secures) to the extent of the value of the assets securing such indebtedness, and rank structurally junior to all existing and future indebtedness (including trade payables) incurred by certain of the Company’s subsidiaries, financing vehicles or similar facilities.
The More Term Loan Agreement contains other terms and conditions, including, without limitation, affirmative and negative covenants such as (i) information reporting, (ii) maintenance of the Company’s status as a BDC within the meaning of the 1940 Act, (iii) minimum shareholders’ equity of 60% of the Company’s net asset value as of the year ended December 31, 2021 plus 50% of the net cash proceeds of the sale of certain equity interests by the Company after April 27, 2022, if any, (iv) a minimum asset coverage ratio of not less than 150%, and (v) an unencumbered asset coverage ratio of 1.25 to 1.00, provided that (a) first lien senior secured loans and cash represent more than 65% of the total value of unencumbered assets used by the Company for purposes of the ratio and (b) equity interests or structured products in the aggregate represent less than 15% of the total value of unencumbered assets used by the Company for purposes of the ratio. In addition, the More Term Loan Agreement contains customary events of default with customary cure and notice periods, including, without limitation, nonpayment, incorrect representation in any material respect, breach of covenant, cross-default under other indebtedness or derivative securities of the Company in an outstanding aggregate principal amount of at least $25,000, certain judgments and orders, and certain events of bankruptcy. As of and for the three months ended March 31, 2023, the Company was in compliance with all covenants and reporting requirements.
Through March 31, 2023, the Company incurred debt issuance costs of $1,025 in connection with obtaining the 2022 More Term Loan, which were recorded as a direct reduction to the outstanding balance of the 2022 More Term Loan, which is included in the Company’s consolidated balance sheet as of March 31, 2023 and will amortize to interest expense over the term of the 2022 More Term Loan. At March 31, 2023, the unamortized portion of the debt issuance costs was $834.
54
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
For the three months ended March 31, 2023 and for the period from April 27, 2022 through December 31, 2022, the components of interest expense, average borrowings, and weighted average interest rate for the 2022 More Term Loan were as follows:
Three Months Ended March 31, 2023For the Period From April 27, 2022 Through December 31, 2022
Stated interest expense$1,012 $2,027 
Amortization of deferred financing costs51 140 
Total interest expense$1,063 $2,167 
Weighted average interest rate(1)8.10 %5.86 %
Average borrowings$50,000 $50,000 
(1) Includes the stated interest expense on the 2022 More Term Loan and is annualized for periods covering less than one year.
2021 More Term Loan
On April 14, 2021, the Company entered into an Unsecured Term Loan Facility Agreement, or the Term Loan Agreement, with More Provident Funds Ltd., or More, as lender. The Term Loan Agreement with More, or the 2021 More Term Loan, provided for an unsecured term loan to the Company in an aggregate principal amount of $30,000. On April 20, 2021, the Company drew down $30,000 of borrowings under the 2021 More Term Loan. After the deduction of fees and other financing expenses, the Company received net borrowings of approximately $29,000, which the Company used for working capital and other general corporate purposes.
Advances under the 2021 More Term Loan mature on September 30, 2024, and bear interest at a rate of 5.20% per year payable quarterly in arrears. The Company has the right to, at its option, prepay all or any portion of advances then outstanding together with a prepayment fee equal to the higher of (i) zero, or (ii) the discounted present value of all remaining interest payments that would have been paid by the Company through the maturity date with respect to the principal amount of such advance that is to be prepaid or becomes due and payable pursuant to the Term Loan Agreement. The discounted present value portion of the prepayment fee is calculated by applying a discount rate on the same periodic basis as that on which interest on advances is payable equal to the sum of 2.00% plus the yield to maturity of the most recently issued U.S. Treasury securities having a maturity equal to the remaining average life of the 2021 More Term Loan, or if there are no such U.S. Treasury securities, using such implied yield to maturity determined in accordance with the terms of the Term Loan Agreement.
Advances under the 2021 More Term Loan are general unsecured obligations of the Company that rank pari passu with all existing and future unsecured unsubordinated indebtedness issued by the Company, rank effectively junior to the Company's secured indebtedness (including unsecured indebtedness that the Company later secures) to the extent of the value of the assets securing such indebtedness, and rank structurally junior to all existing and future indebtedness (including trade payables) incurred by certain of the Company's subsidiaries, financing vehicles or similar facilities.
The Term Loan Agreement contains other terms and conditions, including, without limitation, affirmative and negative covenants such as (i) information reporting, (ii) maintenance of the Company's status as a BDC within the meaning of the 1940 Act, (iii) minimum shareholders’ equity of 60% of the Company’s net asset value as of the year ended December 31, 2020 plus 50% of the net cash proceeds of the sale of certain equity interests by the Company after April 14, 2021, if any, (iv) a minimum asset coverage ratio of not less than 150%, and (v) an unencumbered asset coverage ratio of 1.25 to 1.00, provided that (a) first lien senior secured loans and cash represent more than 65% of the total value of unencumbered assets used by the Company for purposes of the ratio and (b) equity interests or structured products in the aggregate represent less than 15% of the total value of unencumbered assets used by the Company for purposes of the ratio. In addition, the Term Loan Agreement contains customary events of default with customary cure and notice periods, including, without limitation, nonpayment, incorrect representation in any material respect, breach of covenant, cross default under other indebtedness or derivative securities of the Company in an outstanding aggregate principal amount of at least $25,000, certain judgments and orders, and certain events of bankruptcy. As of and for the three months ended March 31, 2023, the Company was in compliance with all covenants and reporting requirements.
Through March 31, 2023, the Company incurred debt issuance costs of $992 in connection with obtaining the 2021 More Term Loan, which were recorded as a direct reduction to the outstanding balance of the 2021 More Term Loan, which is included in the Company’s consolidated balance sheet as of March 31, 2023 and will amortize to interest expense over the term of the 2021 More Term Loan. At March 31, 2023, the unamortized portion of the debt issuance costs was $425.
55
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
For the three months ended March 31, 2023 and 2022 and the year ended December 31, 2022, the components of interest expense, average borrowings, and weighted average interest rate for the 2021 More Term Loan were as follows:
Three Months Ended March 31,Year Ended December 31,
2022
20232022
Stated interest expense$390 $390 $1,582 
Amortization of deferred financing costs71 71 288 
Total interest expense$461 $461 $1,870 
Weighted average interest rate(1)5.20 %5.20 %5.20 %
Average borrowings$30,000 $30,000 $30,000 
(1) Includes the stated interest expense on the 2021 More Term Loan and is annualized for periods covering less than one year.
Note 9. Fair Value of Financial Instruments
The following table presents fair value measurements of the Company’s portfolio investments and TRS as of September 30, 2017March 31, 2023 and December 31, 2016,2022, according to the fair value hierarchy:
September 30, 2017 December 31, 2016March 31, 2023(1)December 31, 2022(2)
Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 TotalLevel 1Level 2Level 3TotalLevel 1Level 2Level 3Total
Senior secured first lien debt$—
 $—
 $1,079,520
 $1,079,520
 $—
 $—
 $489,913
 $489,913
Senior secured first lien debt$— $— $1,472,453 $1,472,453 $— $— $1,579,512 $1,579,512 
Senior secured second lien debt—
 —
 402,459
 402,459
 —
 —
 434,347
 434,347
Senior secured second lien debt— — 38,997 38,997 — — 38,769 38,769 
Collateralized securities and structured products - debt—
 —
 28,284
 28,284
 —
 —
 38,114
 38,114
Collateralized securities and structured products - equity—
 —
 29,588
 29,588
 —
 —
 34,648
 34,648
Collateralized securities and structured products - equity— — 1,133 1,133 — — 1,179 1,179 
Unsecured debt—
 —
 7,331
 7,331
 —
 —
 16,851
 16,851
Unsecured debt— — 15,517 15,517 — — 22,643 22,643 
Equity—
 —
 3,863
 3,863
 —
 —
 5,107
 5,107
Equity2,204 — 100,958 103,162 2,341 — 73,951 76,292 
Short term investments140,810
 —
 —
 140,810
 70,498
 —
 —
 70,498
Short term investments66,326 — — 66,326 10,869 — — 10,869 
Total Investments$140,810
 $—
 $1,551,045
 $1,691,855
 $70,498
 $—
 $1,018,980
 $1,089,478
Total Investments$68,530 $— $1,629,058 $1,697,588 $13,210 $— $1,716,054 $1,729,264 
Total return swap$—
 $—
 $—
 $—
 $—
 $—
 $(15,402) $(15,402)
Credit default swap—
 —
 —
 —
 —
 46
 —
 46
Total Derivatives$—
 $—
 $—
 $—
 $—
 $46
 $(15,402) $(15,356)
Total Investments and Derivatives$140,810
 $—
 $1,551,045
 $1,691,855
 $70,498
 $46
 $1,003,578
 $1,074,122
CĪON Investment Corporation(1)Excludes the Company's $25,764 investment in CION/EagleTree, which is measured at NAV.
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
((2)Excludes the Company's $30,766 investment in thousands, except share and per share amounts)

CION/EagleTree, which is measured at NAV.
The following tables provide a reconciliation of the beginning and ending balances for investments that use Level 3 inputs for the three and nine months ended September 30, 2017March 31, 2023 and 2016:2022:
Three Months Ended
March 31, 2023
Senior Secured First Lien DebtSenior Secured Second Lien DebtCollateralized Securities and Structured Products - EquityUnsecured DebtEquityTotal
Beginning balance, December 31, 2022$1,579,512 $38,769 $1,179 $22,643 $73,951 $1,716,054 
Investments purchased(2)(3)40,752 — — — 35,933 76,685 
Net realized loss(4,511)— — — (14)(4,525)
Net change in unrealized (depreciation) appreciation(35,394)163 35 (7,130)(8,912)(51,238)
Accretion of discount4,269 69 — 4 — 4,342 
Sales and principal repayments(3)(112,175)(4)(81)— — (112,260)
Ending balance, March 31, 2023$1,472,453 $38,997 $1,133 $15,517 $100,958 $1,629,058 
Change in net unrealized (depreciation) appreciation on investments still held as of March 31, 2023(1)$(34,672)$163 $35 $(7,130)$(8,912)$(50,516)
(1)Included in net change in unrealized depreciation on investments in the consolidated statements of operations.
(2)Investments purchased includes PIK interest.
(3)Includes non-cash restructured securities.
56
 Three Months Ended
September 30, 2017
 Senior Secured First Lien Debt Senior Secured Second Lien Debt Collateralized Securities and Structured Products - Debt Collateralized Securities and Structured Products - Equity Unsecured Debt Equity 
Total Return
Swap
 Total
Beginning balance, June 30, 2017$1,062,513
 $413,690
 $29,113
 $30,190
 $—
 $3,554
 $—
 $1,539,060
Investments purchased215,514
 61,505
 —
 —
 7,331
 853
 —
 285,203
Net realized (loss) gain(5,600) 2,805
 (5) —
 —
 —
 67
 (2,733)
Net change in unrealized appreciation (depreciation)5,400
 (3,079) 253
 (328) (2) (544) —
 1,700
Accretion of discount1,825
 690
 13
 —
 2
 —
 —
 2,530
Sales and principal repayments(200,132) (73,152) (1,090) (274) —
 —
 (67) (274,715)
Ending balance, September 30, 2017$1,079,520
 $402,459
 $28,284
 $29,588
 $7,331
 $3,863
 $—
 $1,551,045
Change in net unrealized appreciation (depreciation) on investments still held as of September 30, 2017(1)$1,205
 $(1,434) $253
 $(328) $(2) $(544) $—
 $(850)
(1)Included in net change in unrealized appreciation on investments in the consolidated statements of operations except where related to the total return swap, which is included in net change in unrealized appreciation on total return swap.
 Nine Months Ended
September 30, 2017
 Senior Secured First Lien Debt Senior Secured Second Lien Debt Collateralized Securities and Structured Products - Debt Collateralized Securities and Structured Products - Equity Unsecured Debt Equity 
Total Return
Swap
 Total
Beginning balance, December 31, 2016$489,913
 $434,347
 $38,114
 $34,648
 $16,851
 $5,107
 $(15,402) $1,003,578
Investments purchased951,502
 179,814
 —
 —
 8,420
 1,025
 —
 1,140,761
Net realized (loss) gain(8,883) 4,256
 2
 (451) 163
 —
 (13,789) (18,702)
Net change in unrealized appreciation (depreciation)10,240
 564
 823
 1,116
 437
 (2,269) 15,402
 26,313
Accretion of discount4,768
 1,940
 60
 —
 31
 —
 —
 6,799
Sales and principal repayments(368,020) (218,462) (10,715) (5,725) (18,571) —
 13,789
 (607,704)
Ending balance, September 30, 2017$1,079,520
 $402,459
 $28,284
 $29,588
 $7,331
 $3,863
 $—
 $1,551,045
Change in net unrealized appreciation (depreciation) on investments still held as of September 30, 2017(1)$10,033
 $1,612
 $596
 $1,116
 $(2) $(2,269) $—
 $11,086
(1)Included in net change in unrealized appreciation on investments in the consolidated statements of operations except where related to the total return swap, which is included in net change in unrealized appreciation on total return swap.

CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017March 31, 2023
(in thousands, except share and per share amounts)

Three Months Ended
March 31, 2022
Senior Secured First Lien DebtSenior Secured Second Lien DebtCollateralized Securities and Structured Products - EquityUnsecured DebtEquityTotal
Beginning balance, December 31, 2021$1,526,989 $38,583 $2,998 $26,616 $37,736 $1,632,922 
Investments purchased(2)141,792 — — 623 1,125 143,540 
Net realized (loss) gain(73)4 — — — (69)
Net change in unrealized (depreciation) appreciation(12,906)(1,800)(176)37 3,544 (11,301)
Accretion of discount2,404 88 — 4 — 2,496 
Sales and principal repayments(60,842)— (190)— — (61,032)
Ending balance, March 31, 2022$1,597,364 $36,875 $2,632 $27,280 $42,405 $1,706,556 
Change in net unrealized (depreciation) appreciation on investments still held as of March 31, 2022(1)$(12,710)$(1,800)$(176)$37 $3,544 $(11,105)
(1)Included in net change in unrealized depreciation on investments in the consolidated statements of operations.
 Three Months Ended
September 30, 2016
 Senior Secured First Lien Debt Senior Secured Second Lien Debt Collateralized Securities and Structured Products - Debt Collateralized Securities and Structured Products - Equity Unsecured Debt Equity 
Total Return
Swap
 Total
Beginning balance, June 30, 2016$168,798
 $431,875
 $40,288
 $34,397
 $28,275
 $72
 $(27,601) $676,104
Investments purchased255,919
 40,108
 —
 —
 —
 5,540
 —
 301,567
Net realized gain153
 226
 —
 —
 —
 —
 8,188
 8,567
Net change in unrealized appreciation (depreciation)2,372
 8,736
 1,625
 848
 1,369
 (2) 9,527
 24,475
Accretion of discount339
 208
 27
 —
 32
 —
 —
 606
Sales and principal repayments(14,022) (21,721) (5,000) (856) —
 —
 (8,188) (49,787)
Ending balance, September 30, 2016$413,559
 $459,432
 $36,940
 $34,389
 $29,676
 $5,610
 $(18,074) $961,532
Change in net unrealized appreciation (depreciation) on investments still held as of September 30, 2016(1)$1,987
 $8,712
 $1,625
 $848
 $1,369
 $(2) $9,868
 $24,407
(2)Investments purchased includes PIK interest.
(1)Included in net change in unrealized appreciation on investments in the consolidated statements of operations except where related to the total return swap, which is included in net change in unrealized appreciation on total return swap.
 Nine Months Ended
September 30, 2016
 Senior Secured First Lien Debt Senior Secured Second Lien Debt Collateralized Securities and Structured Products - Debt Collateralized Securities and Structured Products - Equity Unsecured Debt Equity 
Total Return
Swap
 Total
Beginning balance, December 31, 2015$104,187
 $453,713
 $41,663
 $24,604
 $26,740
 $—
 $(34,900) $616,007
Investments purchased337,712
 94,931
 —
 10,000
 2,704
 5,615
 —
 450,962
Net realized gain268
 799
 —
 —
 11
 —
 23,799
 24,877
Net change in unrealized appreciation (depreciation)991
 10,395
 195
 2,169
 2,842
 (5) 16,826
 33,413
Accretion of discount692
 574
 82
 —
 94
 —
 —
 1,442
Sales and principal repayments(30,291) (100,980) (5,000) (2,384) (2,715) —
 (23,799) (165,169)
Ending balance, September 30, 2016$413,559
 $459,432
 $36,940
 $34,389
 $29,676
 $5,610
 $(18,074) $961,532
Change in net unrealized (depreciation) appreciation on investments still held as of September 30, 2016(1)$(421) $8,495
 $135
 $2,169
 $2,842
 $(5) $14,399
 $27,614
(1)Included in net change in unrealized appreciation on investments in the consolidated statements of operations except where related to the total return swap, which is included in net change in unrealized appreciation on total return swap.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

Significant Unobservable Inputs
The valuation techniques and significant unobservable inputs used in recurring Level 3 fair value measurements of investments as of September 30, 2017March 31, 2023 and December 31, 20162022 were as follows:
March 31, 2023
Fair ValueValuation Techniques/
Methodologies		Unobservable
Inputs		RangeWeighted Average(1)
Senior secured first lien debt$1,258,936 Discounted Cash FlowDiscount Rates6.5%—35.0%13.9%
124,286 Broker QuotesBroker QuotesN/AN/A
45,643 Market Comparable ApproachRevenue Multiple0.20x—1.55x0.62x
39,376 EBITDA Multiple5.75x—12.5x10.45x
3,837 $ per kW$131.85N/A
375 Other(2)Other(2)N/AN/A
Senior secured second lien debt38,997 Discounted Cash FlowDiscount Rates10.3%—22.5%15.6%
Collateralized securities and structured products - equity1,133 Discounted Cash FlowDiscount Rates21.0%N/A
Unsecured debt8,132 Contingent Claims AnalysisExpected Volatility110.0%N/A
7,385 Discounted Cash FlowDiscount Rates16.5%N/A
Equity69,263 Market Comparable ApproachEBITDA Multiple3.75x—15.50x10.08x
22,680 $ per kW$425N/A
7,940 Revenue Multiple0.13x—6.00x3.25x
1,075 Broker QuotesBroker QuotesN/AN/A
— Options Pricing ModelExpected Volatility60.0%—95.0%N/A
Total$1,629,058 
(1)Weighted average amounts are based on the estimated fair values.
(2)Fair value is based on the expected outcome of proposed corporate transactions and/or other factors.
57
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
  September 30, 2017
  Fair Value 
Valuation Techniques/
Methodologies
 
Unobservable
Inputs
 Range Weighted Average(1)
Senior secured first lien debt $697,598
 Discounted Cash Flow Discount Rates 5.7% - 51.9% 9.8%
  361,263
 Broker Quotes Broker Quotes N/A N/A
  20,659
 Market Comparable Approach EBITDA Multiple 3.50x - 9.00x 6.45x
     Revenue Multiple 0.75x - 1.00x 0.88x
Senior secured second lien debt 204,912
 Broker Quotes Broker Quotes N/A N/A
  188,147
 Discounted Cash Flow Discount Rates 8.3% - 26.8% 10.4%
  9,400
 Market Comparable Approach EBITDA Multiple 7.50x - 8.50x 7.74x
Collateralized securities and structured products - debt 28,284
 Discounted Cash Flow Discount Rates 7.5% - 11.0% 9.9%
Collateralized securities and structured products - equity 29,588
 Discounted Cash Flow Discount Rates 14.0% - 15.0% 14.7%
Unsecured debt 7,331
 Discounted Cash Flow Discount Rates N/A 13.1%
Equity 3,827
 Market Comparable Approach EBITDA Multiple 4.75x - 20.00x 7.82x
  

  Revenue Multiple 0.50x - 0.75x 0.57x
  36
 Options Pricing Model Expected Volatility 31.0% - 32.0% 31.5%
Total $1,551,045
            
(1)Weighted average amounts are based on the estimated fair values.
December 31, 2022
Fair ValueValuation Techniques/
Methodologies		Unobservable
Inputs		RangeWeighted Average(1)
Senior secured first lien debt$1,471,816 Discounted Cash FlowDiscount Rates6.5%—34.0%14.7%
79,035 Broker QuotesBroker QuotesN/AN/A
20,050 Market Comparable ApproachRevenue Multiple0.25x—1.70x1.19x
4,527 $ per kW$131.85N/A
3,552 EBITDA Multiple2.75x—4.25x4.09x
532 Other(2)Other(2)N/AN/A
Senior secured second lien debt38,769 Discounted Cash FlowDiscount Rates14.3%—21.5%17.2%
Collateralized securities and structured products - equity1,179 Discounted Cash FlowDiscount Rates21.0%N/A
Unsecured debt15,316 Market Comparable ApproachEBITDA Multiple9.25xN/A
7,327 Discounted Cash FlowDiscount Rates17.7%N/A
Equity33,441 Market Comparable ApproachEBITDA Multiple2.75x—14.55x7.02x
23,995 $ per kW$412.5N/A
13,038 Revenue Multiple0.13x—5.75x2.93x
2,238 Discounted Cash FlowDiscount Rates16.8%N/A
1,234 Broker QuotesBroker QuotesN/AN/A
5 Options Pricing ModelExpected Volatility80.0%—90.0%87.3%
Total$1,716,054 
  December 31, 2016
  Fair Value 
Valuation Techniques/
Methodologies
 
Unobservable
Inputs
 Range Weighted Average(1)
Senior secured first lien debt $417,736
 Discounted Cash Flow Discount Rates 6.0% - 21.3% 16.5%
  61,846
 Broker Quotes Broker Quotes N/A N/A
  10,331
 Market Comparable Approach EBITDA Multiple 4.00x - 6.00x 4.78x
Senior secured second lien debt 291,189
 Discounted Cash Flow Discount Rates 8.5% - 20.6% 10.5%
  129,219
 Broker Quotes Broker Quotes N/A N/A
  13,939
 Market Comparable Approach EBITDA Multiple 6.50x - 9.50x 8.09x
     Revenue Multiple 0.65x - 0.90x 0.65x
Collateralized securities and structured products - debt 38,114
 Discounted Cash Flow Discount Rates 7.8% - 11.0% 10.1%
Collateralized securities and structured products - equity 34,648
 Discounted Cash Flow Discount Rates 9.3% - 17.0% 13.8%
Unsecured debt 16,851
 Broker Quotes Broker Quotes N/A N/A
Equity 4,946
 Market Comparable Approach EBITDA Multiple 3.75x - 10.50x 7.23x
  161
 Options Pricing Model Expected Volatility N/A 36.2%
Total return swap (1,002) Discounted Cash Flow Discount Rates 5.1% - 14.6% 7.3%
  (14,400) Broker Quotes Broker Quotes N/A N/A
Total $1,003,578
            
(1)Weighted average amounts are based on the estimated fair values.
(1)Weighted average amounts are based on the estimated fair values.
(2)Fair value is based on the expected outcome of proposed corporate transactions and/or other factors.
The significant unobservable inputs used in the fair value measurement of the Company’s senior secured first lien debt, senior secured second lien debt, collateralized securities and structured products, unsecured debt equity, and total return swapequity are discount rates, EBITDA multiples, revenue multiples, broker quotes and expected volatility. A significant increase or decrease in discount rates would result in a significantly lower or higher fair value measurement, respectively. A significant increase or decrease in the EBITDA multiples, revenue multiples, expected proceeds from proposed corporate transactions, broker quotes and expected volatility would result in a significantly higher or lower fair value measurement, respectively.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

Note 10. General and Administrative Expense
General and administrative expense consisted of the following items for the three and nine months ended September 30, 2017March 31, 2023 and 2016:2022 and the year ended December 31, 2022:
Three Months Ended March 31,Year Ended December 31,
202320222022
Professional fees$526 $633 $1,778 
Dues and subscriptions429 535 791 
Transfer agent expense268 291 1,124 
Valuation expense173 179 821 
Director fees and expenses169 154 632 
Insurance expense167 251 833 
Accounting and administrative costs166 157 524 
Printing and marketing expense5 5 708 
Other expenses52 17 67 
Total general and administrative expense$1,955 $2,222 $7,278 
58
 Three Months Ended
September 30,		 Nine Months Ended
September 30,
 2017 2016 2017 2016
Valuation expense$463
 $125
 $989
 $350
Transfer agent expense321
 307
 947
 926
Professional fees147
 680
 943
 1,284
Dues and subscriptions223
 177
 630
 621
Director fees and expenses125
 69
 327
 207
Insurance expense102
 105
 309
 271
Printing and other related costs59
 177
 291
 520
Due diligence fees87
 120
 145
 401
Other expenses276
 132
 639
 364
Total general and administrative expense$1,803
 $1,892
 $5,220
 $4,944
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
Note 11. Commitments and Contingencies
The Company entered into certain contracts with related and other parties that contain a variety of indemnifications. The Company’s maximum exposure under these arrangements is unknown. However, the Company has not experienced claims or losses pursuant to these contracts and believes the risk of loss related to such indemnifications to be remote.
As of September 30, 2017March 31, 2023 and December 31, 2016,2022, the Company’s unfunded commitments were as follows:
Unfunded CommitmentsMarch 31, 2023(1)December 31, 2022(1)
Cennox, Inc.$7,193 $7,567 
Flatworld Intermediate Corp.5,865 5,865 
Critical Nurse Staffing, LLC5,139 5,599 
Instant Web, LLC4,763 5,628 
American Health Staffing Group, Inc.3,333 3,333 
Thrill Holdings LLC3,261 3,261 
Mimeo.com, Inc.3,000 3,000 
Service Compression, LLC2,791 4,186 
Coyote Buyer, LLC2,500 2,500 
Moss Holding Company2,232 2,232 
HW Acquisition, LLC2,200 2,200 
MacNeill Pride Group Corp.2,017 2,017 
BDS Solutions Intermediateco, LLC1,998 1,998 
Archer Systems, LLC1,905 1,905 
Bradshaw International Parent Corp.1,844 1,844 
Rogers Mechanical Contractors, LLC1,827 3,365 
Dermcare Management, LLC1,683 1,862 
Sleep Opco, LLC1,225 1,750 
OpCo Borrower, LLC1,042 833 
Williams Industrial Services Group, Inc.1,000 — 
RA Outdoors, LLC735 1,049 
Ironhorse Purchaser, LLC707 2,469 
WorkGenius, Inc.570 750 
NWN Parent Holdings LLC480 90 
Invincible Boat Company LLC239 559 
American Teleconferencing Services, Ltd.235 235 
H.W. Lochner, Inc.225 225 
Anthem Sports & Entertainment Inc.167 167 
Homer City Holdings LLC— 3,000 
RumbleOn, Inc.— 1,775 
STATinMED, LLC— 156 
Total$60,176 $71,420 
(1)Unless otherwise noted, the funding criteria for these unfunded commitments had not been met at the date indicated.
59
Unfunded Commitments September 30, 2017(1) December 31, 2016(1)
DFC Global Facility Borrower II LLC(2) $22,800
 $—
Lonestar Prospects, Ltd.(2) 18,985
 —
CF Entertainment Inc. 5,000
 —
Accruent, LLC(2) 4,238
 —
Ministry Brands, LLC(2) 3,537
 5,274
Moss Holding Company(2) 3,278
 —
Visual Edge Technology, Inc.(2) 2,878
 —
Elemica Holdings, Inc.(2) 2,500
 2,500
Studio Movie Grill Holdings, LLC(2) 2,156
 4,127
PDI TA Holdings, Inc.(2) 1,833
 —
Woodstream Corporation(2) 1,553
 —
Teledoc, Inc.(2) 1,250
 —
Island Medical Management Holdings, LLC(2) 1,188
 —
Adams Publishing Group, LLC 1,136
 —
Ivy Hill Middle Market Credit Fund VIII, Ltd.(2) 1,111
 1,111
GTCR-Ultra Acquisition, Inc.(2) 992
 —
Covenant Surgical Partners, Inc.(2) 562
 —
Frontline Technologies Group Holdings LLC(2) 540
 —
American Media, Inc.(2) 296
 711
Tennessee Merger Sub, Inc.(3) —
 10,254
ABG Intermediate Holdings 2 LLC —
 1,119
Total $75,833
 $25,096
(1)Unless otherwise noted, the funding criteria for these unfunded commitments had not been met at the date indicated.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017March 31, 2023
(in thousands, except share and per share amounts)


(2)As of November 9, 2017, the Company's unfunded commitments were to portfolio companies DFC Global Facility Borrower II LLC, Lonestar Prospects, Ltd., Discovery DJ Holdings, LLC, Moss Holding Company, Elemica Holdings, Inc., Ministry Brands, LLC, Studio Movie Grill Holdings, LLC, Woodstream Corp., Teladoc, Inc., Island Medical Management Holdings, LLC, Visual Edge Technology, Inc., Ivy Hill Middle Market Credit Fund VIII, Ltd., VLS Recovery Services, LLC, GTCR-Ultra Acquisition, Inc., Pathway Partners Vet Management Company, LLC, PDI TA Holdings, Inc., Frontline Technologies Group Holdings LLC, Covenant Surgical Partners, Inc., Accruent, LLC and American Media, Inc., in the amount of $22,800, $18,985, $4,706, $3,278, $2,500, $1,865, $1,608, $1,553, $1,250, $1,188, $1,151, $1,111, $1,108, $992, $906, $815, $540, $459, $157 and $154, respectively. In addition, subsequent to September 30, 2017, the Company entered into unfunded commitments of $12,171 and $3,780 to Centene Corp. and Itron, Inc., respectively.
(3)
As of December 31, 2016, such commitment was subject to the execution of a definitive loan agreement and the consummation of the underlying corporate transaction, and conditional upon receipt of all necessary shareholder, regulatory and other applicable approvals. Prior to September 30, 2017, the unfunded commitment was terminated.
Unfunded commitments to provide funds to companies are not recorded on the Company’s consolidated balance sheets. Since these commitments may expire without being drawn upon, unfunded commitments do not necessarily represent future cash requirements or future earning assets for the Company. The Company intends to use cash on hand, short-term investments, proceeds from borrowings, and other liquid assets to fund these commitments should the need arise. For information on the companies to which the Company is committed to fund additional amounts as of September 30, 2017March 31, 2023 and December 31, 2016,2022, refer to the table above and the consolidated schedules of investments. As of May 3, 2023, the Company was committed, upon the satisfaction of certain conditions, to fund an additional $55,387.
The Company will fund its unfunded commitments from the same sources it uses to fund its investment commitments that are funded at the time they are made (i.e., advances from its financing arrangements and/or cash flows from operations). The Company will not fund its unfunded commitments from future net proceeds generated by securities offerings.offerings, if any. The Company follows a process to manage its liquidity and ensure that it has available capital to fund its unfunded commitments. Specifically, the Company prepares detailed analyses of the level of its unfunded commitments relative to its then available liquidity on a daily basis.  These analyses are reviewed and discussed on a weekly basis by the Company’sCompany's executive officers and senior members of CIM (including members of the investment committee) and are updated on a “real time” basis in order to ensure that the Company has adequate liquidity to satisfy its unfunded commitments.
Note 12. Fee Income
Fee income consists of amendment fees, capital structuring and other fees, conversion fees, commitment fees and amendmentadministrative agent fees. The following table summarizes the Company’s fee income for the three and nine months ended September 30, 2017March 31, 2023 and 2016:2022 and the year ended December 31, 2022:
Three Months Ended
March 31,		Year Ended
December 31,
202320222022
Amendment fees$2,724 $395 $2,633 
Commitment fees309 — — 
Administrative agent fees30 25 100 
Capital structuring and other fees— 1,022 4,446 
Conversion fees— — 2,365 
Total$3,063 $1,442 $9,544 
 Three Months Ended
September 30,		 Nine Months Ended
September 30,
 2017 2016 2017 2016
Amendment fees$984
 $112
 $1,979
 $156
Commitment fees182
 42
 672
 293
Total$1,166
 $154
 $2,651
 $449
ForAdministrative agent fees are recurring income as long as the three and nine months ended September 30, 2017 and 2016,Company remains the administrative agent for the related investment. Income from all fee incomeother fees was non-recurring.
60
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017March 31, 2023
(in thousands, except share and per share amounts)

Note 13. Financial Highlights


The following is a schedule of financial highlights as of and for the ninethree months ended September 30, 2017March 31, 2023 and 2016:2022 and the year ended December 31, 2022:
Three Months Ended
March 31,		Year Ended
December 31,
202320222022
Per share data:(1)
Net asset value at beginning of period$15.98 $16.34 $16.34 
Results of operations:
Net investment income0.54 0.34 1.56 
Net realized loss and net change in unrealized depreciation on investments and loss on foreign currency(2)(1.10)(0.20)(0.68)
Net (decrease) increase in net assets resulting from operations(2)(0.56)0.14 0.88 
Shareholder distributions:
Distributions from net investment income(0.34)(0.28)(1.44)
Net decrease in net assets resulting from shareholders' distributions(0.34)(0.28)(1.44)
Capital share transactions:
Issuance of common stock above net asset value(3)— — — 
Repurchases of common stock below net asset value(4)0.03 — 0.20 
Net increase in net assets resulting from capital share transactions0.03 — 0.20 
Net asset value at end of period$15.11 $16.20 $15.98 
Shares of common stock outstanding at end of period54,961,455 56,958,440 55,299,484 
Total investment return-net asset value(5)(2.17)%1.01 %10.44 %
Total investment return-market value(6)4.75 %15.38 %(14.87)%
Net assets at beginning of period$883,634 $930,512 $930,512 
Net assets at end of period$830,310 $922,453 $883,634 
Average net assets$875,337 $931,165 $917,781 
Ratio/Supplemental data:
Ratio of net investment income to average net assets3.41 %2.09 %9.61 %
Ratio of net operating expenses to average net assets4.01 %2.38 %11.63 %
Portfolio turnover rate(7)1.35 %3.60 %26.81 %
Total amount of senior securities outstanding$1,010,712 $875,000 $957,500 
Asset coverage ratio(8)1.82 2.05 1.92 
(1)The per share data for the three months ended March 31, 2023 and 2022 and the year ended December 31, 2022 was derived by using the weighted average shares of common stock outstanding during each period.
(2)The amount shown for net realized loss, net change in unrealized depreciation on investments and loss on foreign currency is the balancing figure derived from the other figures in the schedule. The amount shown at this caption for a share outstanding throughout the period may not agree with the change in the aggregate gains and losses in portfolio securities for the period because of the timing of sales and repurchases of the Company’s shares in relation to fluctuating market values for the portfolio. As a result, net (decrease) increase in net assets resulting from operations in this schedule may vary from the consolidated statements of operations.
61
  Nine Months Ended
September 30,
  2017 2016
Per share data:(1)    
Net asset value at beginning of period $9.11
 $8.71
Results of operations:    
Net investment income(2) 0.52
 0.30
Net realized gain and net change in unrealized appreciation on investments(3) 0.06
 0.17
Net realized gain and net change in unrealized appreciation on total return swap 0.01
 0.39
Net increase in net assets resulting from operations(3) 0.59
 0.86
Shareholder distributions:    
Distributions from net investment income (0.50) (0.30)
Distributions from net realized gains (0.05) (0.25)
Net decrease in net assets from shareholders' distributions (0.55) (0.55)
Capital share transactions:    
Issuance of common stock above net asset value(4) —
 —
Repurchases of common stock(5) —
 —
Net increase in net assets resulting from capital share transactions —
 —
Net asset value at end of period $9.15
 $9.02
Shares of common stock outstanding at end of period 114,440,741
 107,920,075
Total investment return-net asset value(6) 6.68% 10.25%
Net assets at beginning of period $999,763
 $904,326
Net assets at end of period $1,047,187
 $973,191
Average net assets $1,020,019
 $922,031
Ratio/Supplemental data:    
Ratio of net investment income to average net assets(7) 5.69% 3.47%
Ratio of gross operating expenses to average net assets(8) 4.28% 2.37%
Ratio of expenses (before recoupment of expense support) to average net assets(9) 4.28% 2.30%
Ratio of net expense recoupments to average net assets(10) —
 0.07%
Ratio of net operating expenses to average net assets 4.28% 2.37%
Portfolio turnover rate(11) 46.07% 20.04%
Asset coverage ratio(12) 2.66
 2.85
(1)The per share data for the nine months ended September 30, 2017 and 2016 was derived by using the weighted average shares of common stock outstanding during each period.
(2)Net investment income per share includes expense support recoupments to CIG of $0.01 per share for the nine months ended September 30, 2016.
(3)The amount shown for net realized gain and net change in unrealized appreciation on investments is the balancing figure derived from the other figures in the schedule. The amount shown at this caption for a share outstanding throughout the period may not agree with the change in the aggregate gains and losses in portfolio securities for the period because of the timing of sales and repurchases of the Company’s shares in relation to fluctuating market values for the portfolio. As a result, net increase in net assets resulting from operations in this schedule may vary from the consolidated statements of operations.
(4)The continuous issuance of shares of common stock may cause an incremental increase in net asset value per share due to the sale of shares at the then prevailing public offering price and the receipt of net proceeds per share by the Company in excess of net asset value per share on each subscription closing date. The per share impact of the continuous issuance of shares of common stock was an increase to net asset value of less than $0.01 per share during the nine months ended September 30, 2017 and 2016.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017March 31, 2023
(in thousands, except share and per share amounts)

(5)Repurchases of common stock may cause an incremental decrease in net asset value per share due to the repurchase of shares at a price in excess of net asset value per share on each repurchase date. The per share impact of repurchases of common stock was a decrease to net asset value of less than $0.01 per share during the nine months ended September 30, 2017 and 2016.
(6)Total investment return-net asset value is a measure of the change in total value for shareholders who held the Company’s common stock at the beginning and end of the period, including distributions paid or payable during the period. Total investment return-net asset value is based on (i) the beginning period net asset value per share on the first day of the period, (ii) the net asset value per share on the last day of the period of (A) one share plus (B) any fractional shares issued in connection with the reinvestment of monthly distributions, and (iii) the value of distributions payable, if any, on the last day of the period. The total investment return-net asset value calculation assumes that monthly cash distributions are reinvested in accordance with the Company's distribution reinvestment plan then in effect as described in Note 5. The total investment return-net asset value does not consider the effect of the sales load from the sale of the Company’s common stock. The total investment return-net asset value includes the effect of the issuance of shares at a net offering price that is greater than net asset value per share, which causes an increase in net asset value per share. Total returns covering less than a full year are not annualized.
(7)Excluding the impact of the recoupment of expense support by CIG during the period, the ratio of net investment income to average net assets would have been 5.69% and 3.54% for the nine months ended September 30, 2017 and 2016, respectively.
(8)Ratio of gross operating expenses to average net assets does not include expense support provided by CIG and/or AIM, if any.
(9)The ratio of gross expense recoupments to CIG to average net assets for the nine months ended September 30, 2017 and 2016 was 0.00% and (0.07%), respectively.
(10)In order to record an obligation to reimburse CIG for expense support provided, the ratio of gross operating expenses to average net assets, when considering the recoupment, in the period in which recoupment is sought, cannot exceed the ratio of gross operating expenses to average net assets for the period when the expense support was provided. For purposes of this calculation, gross operating expenses include all expenses borne by the Company, except for offering and organizational costs, base management fees, incentive fees, administrative services expenses, other general and administrative expenses owed to CIM and its affiliates and interest expense. For the nine months ended September 30, 2017 and 2016, the ratio of gross operating expenses to average net assets, when considering recoupment of expense support to CIG, if any, was 0.46% and 0.43%, respectively.
(11)Portfolio turnover rate is calculated using the lesser of year-to-date sales or purchases over the average of the invested assets at fair value, excluding short term investments, and is not annualized.
(12)Asset coverage ratio is equal to (i) the sum of (a) net assets at the end of the period and (b) total senior securities outstanding at the end of the period (excluding unfunded commitments), divided by (ii) total senior securities outstanding at the end of the period. For purposes of the asset coverage ratio test applicable to the Company as a BDC, the Company treated the outstanding TRS notional amount at the end of the period, less the total amount of cash collateral posted by Flatiron under the TRS, as senior securities. 

(3)The continuous issuance of shares of common stock may have caused an incremental increase in net asset value per share due to the sale of shares at the then prevailing public offering price and the receipt of net proceeds per share by the Company in excess of net asset value per share on each subscription closing date. The per share impact of the continuous issuance of shares of common stock was an increase to net asset value of less than $0.01 per share during the three months ended March 31, 2023 and 2022 and the year ended December 31, 2022. The Company's follow-on continuous public offering ended on January 25, 2019.

(4)Repurchases of common stock may have caused an incremental decrease or increase in net asset value per share due to the repurchase of shares at a price in excess of or below net asset value per share, respectively, on each repurchase date. The per share impact of repurchases of common stock was a decrease to net asset value of less than $0.01 per share during the three months ended March 31, 2023 and 2022 and the year ended December 31, 2022.
(5)Total investment return-net asset value is a measure of the change in total value for shareholders who held the Company’s common stock at the beginning and end of the period, including distributions paid or payable during the period. Total investment return-net asset value is based on (i) the beginning period net asset value per share on the first day of the period, (ii) the net asset value per share on the last day of the period of (A) one share plus (B) any fractional shares issued in connection with the reinvestment of distributions, and (iii) the value of distributions payable, if any, on the last day of the period. The total investment return-net asset value calculation assumes that distributions are reinvested in accordance with the Company's distribution reinvestment plan then in effect as described in Note 5. The total investment return-net asset value does not consider the effect of the sales load from the sale of the Company’s common stock. The total investment return-net asset value includes the effect of the issuance of shares at a net offering price that is greater than net asset value per share, which causes an increase in net asset value per share. Total returns covering less than a full year are not annualized.
(6)Total investment return-market value for the three months ended March 31, 2023 and 2022 and the year ended December 31, 2022 was calculated by taking the change in the market price of the Company's common stock since the first day of the period, and including the impact of distributions reinvested in accordance with the Company’s New DRP. Total investment return-market value does not consider the effect of any sales commissions or charges that may be incurred in connection with the sale of shares of the Company’s common stock. The historical calculation of total investment return-market value in the table should not be considered a representation of the Company’s future total return based on market value, which may be greater or less than the return shown in the table due to a number of factors, including the Company’s ability or inability to make investments in companies that meet its investment criteria, the interest rates payable on the debt securities the Company acquires, the level of the Company’s expenses, variations in and the timing of the recognition of realized and unrealized gains or losses, the degree to which the Company encounters competition in its markets, general economic conditions and fluctuations in per share market value. As a result of these factors, results for any previous period should not be relied upon as being indicative of performance in future periods.
(7)Portfolio turnover rate is calculated using the lesser of year-to-date sales or purchases over the average of the invested assets at fair value, excluding short term investments, and is not annualized.
(8)Asset coverage ratio is equal to (i) the sum of (a) net assets at the end of the period and (b) total senior securities outstanding at the end of the period (excluding unfunded commitments), divided by (ii) total senior securities outstanding at the end of the period.
62

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations
As used in this Quarterly Report on Form 10-Q, “we,” “us,” “our” or similar terms include CĪON Investment Corporation and its consolidated subsidiaries. In addition, the term "portfolio companies" refers to companies in which we have invested, either directly or indirectly through our consolidated subsidiaries.
The following discussion should be read in conjunction with our unaudited consolidated financial statements and related notes appearing elsewhere in this Quarterly Report on Form 10-Q and the audited consolidated financial statements and related notes included in our Annual Report on Form 10-K for the year ended December 31, 2016.2022. In addition to historical information, the following discussion and other parts of this Quarterly Report on Form 10-Q contain forward-looking information that involves risks and uncertainties. Amounts and percentages presented herein may have been rounded for presentation and all dollar amounts, excluding share and per share amounts, are presented in thousands unless otherwise noted.
Forward-Looking Statements
Some of the statements within this Quarterly Report on Form 10-Q constitute forward-looking statements because they relate to future events or our future performance or financial condition. The forward-looking statements contained in this Quarterly Report on Form 10-Q may includeinvolve numerous risks and uncertainties, including statements as to:
•our future operating results;
•our business prospects and the prospects of our portfolio companies;companies, including our and their ability to achieve our respective objectives as a result of COVID-19, inflation, rising interest rates, supply-chain disruptions and the risk of recession;
•the impact of the investments that we expect to make;
•the ability of our portfolio companies to achieve their objectives;
•our current and expected financings and investments;
•the adequacy of our cash resources, financing sources and working capital;
•the use of borrowed money to finance a portion of our investments;
•the timing of cash flows, if any, from the operations of our portfolio companies;
•our contractual arrangements and relationships with third parties;
•the actual and potential conflicts of interest with CIM and Apollo and their respectiveits affiliates;
•the ability of CIM and AIMCIM's investment professionals to locate suitable investments for us and the ability of CIM to monitor and administer our investments;
•the ability of CIM and AIM and their respectiveits affiliates to attract and retain highly talented professionals;
•the dependence of our future success on the general economy and its impact on the industries in which we invest;invest, including COVID-19, inflation, rising interest rates and supply-chain disruptions and the related economic disruptions caused thereby;
•the effects of a changing interest rate environment;
•our ability to source favorable private investments;
•our tax status;
•the effect of changes to tax legislation and our tax position;
•the tax status of the companies in which we invest; and
•the timing and amount of distributions and dividends from the companies in which we invest.
63

In addition, words such as “anticipate,” “believe,” “expect” and “intend” indicate a forward-looking statement, although not all forward-looking statements include these words. The forward-looking statements contained in this Quarterly Report on Form 10-Q involve risks and uncertainties. Our actual results could differ materially from those implied or expressed in the forward-looking statements for any reason, including the factors set forth in “Risk Factors” in Item 1A of Part II of this Quarterly Report on Form 10-Q. Other factors that could cause actual results to differ materially include: 
•changes in the economy;
•risks associated with possible disruption in our operations or the economy generally due to terrorism, pandemics, or natural disasters; and
•future changes in laws or regulations and conditions in our operating areas.areas;
•the price at which shares of our common stock may trade on and volume fluctuations in the NYSE; and
•the costs associated with being a publicly traded company.
We have based the forward-looking statements on information available to us on the date of this Quarterly Report on Form 10-Q. Except as required by the federal securities laws, we undertake 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 review any additional disclosures that we may make directly to you or through reports that we 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. The forward-looking statements contained in this Quarterly Report on Form 10-Q are excluded from the safe harbor protection provided by Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended.


Overview
We were incorporated under the general corporation laws of the State of Maryland on August 9, 2011 and commenced operations on December 17, 2012 upon raising proceeds of $2,500 from persons not affiliated with us, CIM or Apollo.its affiliates. We are an externally managed, non-diversified, closed-end management investment company that has elected to be regulated as a BDC under the 1940 Act. We elected to be treated for federal income tax purposes as a RIC, as defined under Subchapter M of the Code.
Our investment objective is to generate current income and, to a lesser extent, capital appreciation for investors. Our portfolio is comprised primarily of investments in senior secured debt, including first lien loans, second lien loans and unitranche loans, and, to a lesser extent, collateralized securities, structured products and other similar securities, unsecured debt, including corporate bonds and long-term subordinated loans, referred to as mezzanine loans, and equity, of private and thinly tradedthinly-traded U.S. middle-market companies. In connection with our debt investments, we may receive equity interests such as warrants or options as additional consideration. We may also purchase minorityequity interests in the form of common or preferred equitystock in our target companies, either in conjunction with one of our debt investments or through a co-investment with a financial sponsor.
On October 5, 2021, shares of our common stock began trading on the NYSE under the ticker symbol “CION”. The Listing accomplished our goal of providing our shareholders with greatly enhanced liquidity. On February 26, 2023, our shares of common stock also listed and commenced trading on the TASE under the ticker symbol “CION”.
We are managed by CIM, our affiliate and a registered investment adviser. Pursuant to an investment advisory agreement with us, CIM oversees the management of our activities and is responsible for making investment decisions for our portfolio. We and CIM previously engaged AIM to act as our investment sub-adviser. On November 1, 2017,April 5, 2021, our board of directors, including a majority of directors who are not interested persons, approved the renewal of theamended and restated investment advisory agreement with CIM for a period of twelvetwenty four months, commencing December 17, 2017. On November 1, 2016,which was subsequently approved by shareholders on August 9, 2021 (as described in further detail below). We and CIM previously engaged AIM to act as our board of directors, including a majority of directors who are not interested persons, approved the renewal of the investment sub-advisory agreement with AIM for a period of twelve months commencing December 17, 2016.sub-adviser.
On July 11, 2017, the members of CIM entered into the Third Amended CIM LLC Agreement with AIM for the purpose of creating a joint venture between AIM and CIG. Under the Third Amended CIM LLC Agreement, AIM became a member of CIM and was issued a newly-created class of membership interests in CIM pursuant to which AIM, among other things, will shareshares in the profits, losses, distributions and expenses of CIM with the other members in accordance with the terms of the Third Amended CIM LLC Agreement, which will ultimately resultresults in CIG and AIM each owning a 50% economic interest in CIM.
On July 10, 2017, our independent directors unanimously approved the termination of the investment sub-advisory agreement with AIM, effective as of July 11, 2017.2017, as part of the new and ongoing relationship among us, CIM and AIM. Although the investment sub-advisory agreement and AIM's engagement as our investment sub-adviser were terminated, AIM continues to perform identicalcertain services for CIM and us, including, without limitation, identifying investment opportunities for approval by CIM.us. AIM willis not be paid a separate fee in exchange for such services, but will beis entitled to receive distributions as a member of CIM as described above.
64

On December 4, 2017, the members of CIM entered into the Fourth Amended CIM LLC Agreement under which AIM performs certain services for CIM, which include, among other services, providing (a) trade and settlement support; (b) portfolio and cash reconciliation; (c) market pipeline information regarding syndicated deals, in each case, as reasonably requested by CIM; and (d) monthly valuation reports and support for all broker-quoted investments. AIM may also, from time to time, provide us with access to potential investment opportunities made available on Apollo's credit platform on a similar basis as other third-party market participants. All of our investment decisions are the sole responsibility of, and are made at the sole discretion of, CIM's investment committee, which consists entirely of CIG senior personnel.
The amended and restated investment advisory agreement was approved by shareholders on August 9, 2021. As a result, on August 10, 2021, we and CIM entered into the amended and restated investment advisory agreement in order to implement the change to the calculation of the subordinated incentive fee payable from us to CIM that expresses the hurdle rate required for CIM to earn, and be paid, the incentive fee as a percentage of our net assets rather than adjusted capital.
Upon the occurrence of the Listing on October 5, 2021, we and CIM entered into the second amended and restated investment advisory agreement in order to implement the changes to the advisory fees payable from us to CIM that (i) reduced the annual base management fee, (ii) amended the structure of the subordinated incentive fee on income payable from us to CIM and reduced the hurdle and incentive fee rates, and (iii) reduced the incentive fee on capital gains payable from us to CIM (as described in further detail in Notes 2 and 4 to our consolidated financial statements included in this report).
We seek to meet our investment objective by utilizing the experienced management teamsteam of both CIM, and AIM, which includes theirits access to the relationships and human capital of Apollo, CIG and ICON Capital,its affiliates in sourcing, evaluating and structuring transactions, as well as monitoring and servicing our investments. We focus primarily on the senior secured debt of private and thinly-traded U.S. middle-market companies, which we define as companies that generally possess annual EBITDA of $50$75 million or less, with experienced management teams, significant free cash flow, strong competitive positions and potential for growth.
Revenue
We primarily generate revenue in the form of interest income on the debt securities that we hold and capital gains on debt or other equity interests that we acquire in portfolio companies. The majority of our senior debt investments bear interest at a floating rate. Interest on debt securities is generally payable quarterly or monthly. In some cases, some of our investments may provide for deferred interest payments or PIK interest. The principal amount of the debt securities and any accrued, but unpaid, interest generally will become due at the maturity date. In addition, we may generate revenue in the form of commitment and capital structuring or diligence fees, monitoring fees, fees for providing managerial assistance and possibly consulting fees and performance-based fees. Any such fees generated in connection with our investments will be recognized when earned.
Operating Expenses
Our primary operating expenses are the payment of advisorymanagement fees and subordinated incentive fees on income under the investment advisory agreement and interest expense on our financing arrangements. Our investment advisory fee compensatesfees compensate CIM for its work in identifying, evaluating, negotiating, executing, monitoring and servicing our investments. We bear all other expenses of our operations and transactions.

Recent Developments

Q2 2023 Regular Distribution

On May 8, 2023, our co-chief executive officers declared a regular quarterly distribution of $0.34 per share for the second quarter of 2023 payable on June 15, 2023 to shareholders of record as of June 1, 2023.
65

Portfolio Investment Activity for the Three Months Ended September 30, 2017March 31, 2023 and 20162022 and the Year Ended December 31, 2022
The following table summarizes our investment activity, excluding short term investments and PIK securities, for the three months ended September 30, 2017March 31, 2023 and 2016:2022 and the year ended December 31, 2022:
 Three Months Ended
September 30,
 2017 2016Three Months Ended
March 31,		Year Ended
December 31,
Net Investment Activity Investment Portfolio Total Return Swap Total Investment Portfolio Total Return Swap TotalNet Investment Activity202320222022
Purchases and drawdowns 
 
 
 
 
 
Purchases and drawdowns
Senior secured first lien debt $215,196
 $—
 $215,196
 $255,919
 $211
 $256,130
 Senior secured first lien debt$22,221 $136,698 $524,293 
Senior secured second lien debt 61,464
 —
 61,464
 40,108
 —
 40,108
 Senior secured second lien debt— — 19,932 
Unsecured debt 7,331
 —
 7,331
 —
 —
 —
Equity 853
 —
 853
 5,540
 —
 5,540
 Equity2,000 1,125 6,313 
Sales and principal repayments (274,648) —
 (274,648) (41,599) (245,657) (287,256)Sales and principal repayments(66,274)(61,031)(469,760)
Net portfolio activity $10,196
 $—
 $10,196
 $259,968
 $(245,446) $14,522
Net portfolio activity$(42,053)$76,792 $80,778 
The following table summarizestables summarize the composition of our investment portfolio at amortized cost and fair value as of September 30, 2017:March 31, 2023 and December 31, 2022:
March 31, 2023
Investments Cost(1)Investments Fair
Value		Percentage of
Investment
Portfolio
Senior secured first lien debt$1,567,330 $1,472,453 88.8 %
Senior secured second lien debt41,102 38,997 2.4 %
Collateralized securities and structured products - equity2,606 1,133 0.1 %
Unsecured debt30,431 15,517 0.9 %
Equity115,514 128,926 7.8 %
Subtotal/total percentage1,756,983 1,657,026 100.0 %
Short term investments(2)66,326 66,326 
Total investments$1,823,309 $1,723,352 
Number of portfolio companies109 
Average annual EBITDA of portfolio companies$56.0 million
Median annual EBITDA of portfolio companies$35.0 million
Purchased at a weighted average price of par97.81 %
Gross annual portfolio yield based upon the purchase price(3)11.18 %
  September 30, 2017
  Investments Cost(1) 
Investments Fair
Value
 
Percentage of
Investment
Portfolio
Senior secured first lien debt $1,069,271
 $1,079,520
 69.6%
Senior secured second lien debt 404,788
 402,459
 26.0%
Collateralized securities and structured products - debt 28,818
 28,284
 1.8%
Collateralized securities and structured products - equity 31,537
 29,588
 1.9%
Unsecured debt 7,333
 7,331
 0.5%
Equity 5,857
 3,863
 0.2%
Subtotal/total percentage 1,547,604
 1,551,045
 100.0%
Short term investments(2) 140,810
 140,810
  
Total investments $1,688,414
 $1,691,855
  
Number of portfolio companies   161
Average annual EBITDA of portfolio companies $82.9 million 
Median annual EBITDA of portfolio companies $49.0 million 
Purchased at a weighted average price of par     95.95%
Gross annual portfolio yield based upon the purchase price(3)     9.15%
(1)(1)Represents amortized cost for debt investments and cost for equity investments. Amortized cost represents the original cost adjusted for the amortization of premiums and/or accretion of discounts, as applicable, on our investments.
(2)Short term investments represent an investment in a fund that invests in highly liquid investments with average original maturity dates of three months or less.
(3)The gross annual portfolio yield does not represent and may be higher than an actual investment return to shareholders because it excludes our expenses and all sales commissions and dealer manager fees and does not consider the cost of leverage.


The following table summarizes the composition of our investment portfolio at amortized cost for debt investments and fair valuecost for equity investments. Amortized cost represents the original cost adjusted for the amortization of premiums and/or accretion of discounts, as applicable, on our investments.
(2)Short term investments represent an investment in a fund that invests in highly liquid investments with average original maturity dates of three months or less.
(3)The gross annual portfolio yield does not represent and may be higher than an actual investment return to shareholders because it excludes our underlying TRS loans portfolio at notional amountexpenses and fair value asall sales commissions and dealer manager fees and does not consider the cost of December 31, 2016:leverage.
66

December 31, 2016
Investment Portfolio Total Return Swap TotalDecember 31, 2022
Investments Cost(1) 
Investments Fair
Value
 
Percentage of
Investment
Portfolio
 Notional Amount of Underlying TRS Loans Fair Value of Underlying TRS Loans Percentage of Underlying TRS Loans Cost/Notional Amount(1) Fair Value PercentageInvestments Cost(1)Investments Fair
Value		Percentage of
Investment
Portfolio
Senior secured first lien debt$489,904
 $489,913
 48.1% $351,747
 $341,194
 86.9% $841,651
 $831,107
 58.9%Senior secured first lien debt$1,638,995 $1,579,512 90.3 %
Senior secured second lien debt437,240
 434,347
 42.6% 56,100
 51,251
 13.1% 493,340
 485,598
 34.4%Senior secured second lien debt41,036 38,769 2.2 %
Collateralized securities and structured products - debt39,471
 38,114
 3.7% —
 —
 —
 39,471
 38,114
 2.7%
Collateralized securities and structured products - equity37,713
 34,648
 3.4% —
 —
 —
 37,713
 34,648
 2.5%Collateralized securities and structured products - equity2,687 1,179 0.1 %
Unsecured debt17,290
 16,851
 1.7% —
 —
 —
 17,290
 16,851
 1.1%Unsecured debt30,427 22,643 1.3 %
Equity4,832
 5,107
 0.5% —
 —
 —
 4,832
 5,107
 0.4%Equity79,595 107,058 6.1 %
Subtotal/total percentage1,026,450
 1,018,980
 100.0% 407,847
 392,445
 100.0% 1,434,297
 1,411,425
 100.0%Subtotal/total percentage1,792,740 1,749,161 100.0 %
Short term investments(2)70,498
 70,498
  
 —
 —
  
 70,498
 70,498
  
Short term investments(2)10,869 10,869  
Total investments$1,096,948
 $1,089,478
   $407,847
 $392,445
   $1,504,795
 $1,481,923
  Total investments$1,803,609 $1,760,030 
Number of portfolio companiesNumber of portfolio companies  
 103
     49
     141(3)
Number of portfolio companies 113 
Average annual EBITDA of portfolio companiesAverage annual EBITDA of portfolio companies $49.9 million    $200.7 million    $94.7 million Average annual EBITDA of portfolio companies$55.2 million
Median annual EBITDA of portfolio companiesMedian annual EBITDA of portfolio companies $42.7 million    $66.0 million    $50.4 million Median annual EBITDA of portfolio companies$35.0 million
Purchased at a weighted average price of parPurchased at a weighted average price of par 95.87%     98.96%     96.73%Purchased at a weighted average price of par97.81 %
Gross annual portfolio yield based upon the purchase price(4) 9.99%     6.73%     9.07%
Gross annual portfolio yield based upon the purchase price(3)Gross annual portfolio yield based upon the purchase price(3)11.80 %
(1)Represents amortized cost for debt investments and cost for equity investments. Amortized cost represents the original cost adjusted for the amortization of premiums and/or accretion of discounts, as applicable, on our investments.
(2)Short term investments represent an investment in a fund that invests in highly liquid investments with average original maturity dates of three months or less.
(3)The sum of investment portfolio and TRS portfolio companies does not equal the total number of portfolio companies. This is due to 11 portfolio companies being in both the investment and TRS portfolios.
(4)The gross annual portfolio yield does not represent and may be higher than an actual investment return to shareholders because it excludes our expenses and all sales commissions and dealer manager fees and does not consider the cost of leverage.
(1)Represents amortized cost for debt investments and cost for equity investments. Amortized cost represents the original cost adjusted for the amortization of premiums and/or accretion of discounts, as applicable, on our investments.
(2)Short term investments represent an investment in a fund that invests in highly liquid investments with average original maturity dates of three months or less.
(3)The gross annual portfolio yield does not represent and may be higher than an actual investment return to shareholders because it excludes our expenses and all sales commissions and dealer manager fees and does not consider the cost of leverage.
The following table summarizes the composition of our investment portfolio by the type of interest rate as of September 30, 2017,March 31, 2023 and December 31, 2022, excluding short term investments of $140,810:$66,326 and $10,869, respectively:
March 31, 2023December 31, 2022
Interest Rate AllocationInvestments CostInvestments Fair ValuePercentage of
Investment
Portfolio		Investments CostInvestments Fair ValuePercentage of
Investment
Portfolio
Floating interest rate investments$1,480,336 $1,390,918 84.0 %$1,539,214 $1,477,630 84.5 %
Fixed interest rate investments158,527 134,681 8.1 %166,297 157,006 9.0 %
Non-income producing investments87,203 78,278 4.7 %76,061 104,619 6.0 %
Other income producing investments30,917 53,149 3.2 %11,168 9,906 0.5 %
Total investments$1,756,983 $1,657,026 100.0 %$1,792,740 $1,749,161 100.0 %
67
  September 30, 2017
Interest Rate Allocation Investments Cost 
Investments Fair
Value
 
Percentage of
Investment
Portfolio
Floating interest rate investments $1,444,100
 $1,446,737
 93.3%
Fixed interest rate investments 66,474
 71,233
 4.6%
Other income producing investments 31,537
 29,588
 1.9%
Non-income producing equity 5,493
 3,487
 0.2%
Total investments $1,547,604
 $1,551,045
 100.0%


The following table summarizes the composition of our investment portfolio and our underlying TRS loans portfolio by the type of interest rate as of December 31, 2016, excluding short term investments of $70,498:

  December 31, 2016
  Investment Portfolio Total Return Swap Total
Interest Rate Allocation Investments Cost 
Investments Fair
Value
 
Percentage of
Investment
Portfolio
 Notional Amount of Underlying TRS Loans Fair Value of Underlying TRS Loans Percentage of Underlying TRS Loans Cost/Notional Amount Fair Value Percentage
Floating interest rate investments $936,846
 $931,214
 91.4% $407,847
 $392,445
 100.0% $1,344,693
 $1,323,659
 93.8%
Fixed interest rate investments 47,059
 48,011
 4.7% —
 —
 —
 47,059
 48,011
 3.4%
Other income producing investments 37,713
 34,648
 3.4% —
 —
 —
 37,713
 34,648
 2.4%
Non-income producing equity 4,832
 5,107
 0.5% —
 —
 —
 4,832
 5,107
 0.4%
Total investments $1,026,450
 $1,018,980
 100.0% $407,847
 $392,445
 100.0% $1,434,297
 $1,411,425
 100.0%
The following table shows the composition of our investment portfolio by industry classification and the percentage, by fair value, of the total assets in such industries as of September 30, 2017:
  September 30, 2017
Industry Classification 
Investments at
Fair Value
 
Percentage of
Investment Portfolio
High Tech Industries $229,022
 14.8%
Healthcare & Pharmaceuticals 222,843
 14.4%
Services: Business 209,615
 13.5%
Media: Diversified & Production 116,013
 7.5%
Chemicals, Plastics & Rubber 89,142
 5.8%
Telecommunications 72,967
 4.7%
Services: Consumer 64,137
 4.1%
Media: Advertising, Printing & Publishing 61,147
 3.9%
Consumer Goods: Durable 60,992
 3.9%
Diversified Financials 57,872
 3.7%
Beverage, Food & Tobacco 54,846
 3.5%
Capital Equipment 51,899
 3.3%
Hotel, Gaming & Leisure 45,990
 3.0%
Automotive 40,347
 2.6%
Retail 32,052
 2.1%
Aerospace & Defense 28,811
 1.9%
Banking, Finance, Insurance & Real Estate 27,296
 1.8%
Energy: Oil & Gas 25,904
 1.7%
Consumer Goods: Non-Durable 16,056
 1.0%
Construction & Building 16,048
 1.0%
Transportation: Cargo 9,844
 0.6%
Media: Broadcasting & Subscription 6,450
 0.4%
Forest Products & Paper 5,598
 0.4%
Metals & Mining 3,341
 0.2%
Environmental Industries 2,813
 0.2%
Subtotal/total percentage 1,551,045
 100.0%
Short term investments 140,810
  
Total investments $1,691,855
  


The following table shows the composition of our investment portfolioMarch 31, 2023 and our underlying TRS loans portfolio by industry classification and the percentage, by fair value, of the total assets in such industries as of December 31, 2016:2022:
March 31, 2023December 31, 2022
Industry ClassificationInvestments Fair ValuePercentage of
Investment Portfolio		Investments Fair ValuePercentage of
Investment Portfolio
Services: Business$340,815 20.6 %$336,055 19.2 %
Healthcare & Pharmaceuticals232,306 14.0 %237,082 13.6 %
Media: Diversified & Production126,177 7.6 %134,927 7.7 %
Services: Consumer106,082 6.4 %115,849 6.6 %
Media: Advertising, Printing & Publishing87,247 5.3 %105,375 6.0 %
Diversified Financials81,724 4.9 %99,819 5.7 %
Chemicals, Plastics & Rubber66,992 4.0 %66,753 3.8 %
Energy: Oil & Gas65,343 3.9 %68,756 3.9 %
Consumer Goods: Durable62,420 3.8 %60,735 3.5 %
Retail57,034 3.4 %74,718 4.3 %
High Tech Industries53,597 3.2 %56,501 3.2 %
Construction & Building51,310 3.1 %46,007 2.6 %
Beverage, Food & Tobacco44,519 2.7 %45,396 2.6 %
Consumer Goods: Non-Durable42,305 2.6 %47,886 2.8 %
Capital Equipment41,713 2.5 %41,580 2.4 %
Aerospace & Defense39,195 2.4 %38,842 2.2 %
Banking, Finance, Insurance & Real Estate39,048 2.4 %43,836 2.5 %
Hotel, Gaming & Leisure38,520 2.3 %46,739 2.7 %
Containers, Packaging & Glass19,477 1.2 %19,551 1.1 %
Telecommunications18,315 1.1 %18,302 1.1 %
Automotive16,395 1.0 %16,255 0.9 %
Metals & Mining15,836 1.0 %15,780 0.9 %
Transportation: Cargo10,656 0.6 %12,417 0.7 %
Subtotal/total percentage1,657,026 100.0 %1,749,161 100.0 %
Short term investments66,326  10,869 
Total investments$1,723,352 $1,760,030 
  December 31, 2016
  Investment Portfolio Total Return Swap Total
Industry Classification Investments Fair Value 
Percentage of
Investment Portfolio
 
Fair Value of
Underlying
TRS Loans
 
Percentage of
Underlying
TRS Loans
 Fair Value Percentage
High Tech Industries $217,339
 21.3% $45,351
 11.6% $262,690
 18.6%
Services: Business 126,869
 12.5% 66,733
 17.0% 193,602
 13.7%
Healthcare & Pharmaceuticals 118,337
 11.6% 70,176
 17.9% 188,513
 13.4%
Diversified Financials 72,762
 7.1% —
 —
 72,762
 5.2%
Media: Advertising, Printing & Publishing 54,354
 5.3% 7,328
 1.9% 61,682
 4.4%
Beverage, Food & Tobacco 53,658
 5.3% —
 —
 53,658
 3.8%
Construction & Building 39,137
 3.8% 14,269
 3.6% 53,406
 3.8%
Chemicals, Plastics & Rubber 27,253
 2.7% 25,701
 6.5% 52,954
 3.7%
Capital Equipment 51,155
 5.0% —
 —
 51,155
 3.6%
Hotel, Gaming & Leisure 28,974
 2.8% 21,071
 5.4% 50,045
 3.5%
Retail 18,852
 1.9% 30,801
 7.8% 49,653
 3.5%
Telecommunications 35,411
 3.5% 13,775
 3.5% 49,186
 3.5%
Automotive 39,192
 3.9% —
 —
 39,192
 2.8%
Services: Consumer 9,477
 0.9% 26,278
 6.7% 35,755
 2.5%
Media: Diversified & Production 23,100
 2.3% 7,277
 1.8% 30,377
 2.1%
Banking, Finance, Insurance & Real Estate 17,636
 1.7% 11,547
 2.9% 29,183
 2.1%
Aerospace & Defense 21,780
 2.1% 5,564
 1.4% 27,344
 1.9%
Media: Broadcasting & Subscription 9,776
 1.0% 10,013
 2.6% 19,789
 1.4%
Energy: Oil & Gas 12,803
 1.3% 4,570
 1.2% 17,373
 1.2%
Consumer Goods: Durable 1,000
 0.1% 15,942
 4.1% 16,942
 1.2%
Metals & Mining 11,349
 1.1% 3,528
 0.9% 14,877
 1.1%
Energy: Electricity 13,715
 1.3% —
 —
 13,715
 1.0%
Forest Products & Paper —
 —
 12,521
 3.2% 12,521
 0.9%
Consumer Goods: Non-Durable 8,611
 0.8% —
 —
 8,611
 0.6%
Containers, Packaging & Glass 3,845
 0.4% —
 —
 3,845
 0.3%
Environmental Industries 2,595
 0.3% —
 —
 2,595
 0.2%
Subtotal/total percentage 1,018,980
 100.0% 392,445
 100.0% 1,411,425
 100.0%
Short term investments 70,498
   —
   70,498
  
Total investments $1,089,478
   $392,445
   $1,481,923
  
We do not “control” and are not an “affiliate” of any of our portfolio companies, each as defined in the 1940 Act. In general, under the 1940 Act, we would be presumed to “control” a portfolio company or issuer if we owned 25% or more of its voting securities and would be an “affiliate” of a portfolio company or issuer if we owned 5% or more of its voting securities.
Our investment portfolio may contain senior secured investments that are in the form of lines of credit, delayed draw term loans, revolving credit facilities, or unfunded commitments, which may require us to provide funding when requested in accordance with the terms of the underlying agreements. As of September 30, 2017March 31, 2023 and December 31, 2016,2022, ourunfunded commitments amounted to$75,833 and $25,096, respectively. As of November 9, 2017, our unfunded commitments amounted to $83,077.$60,176 and $71,420, respectively. As of May 3, 2023, our unfunded commitments amounted to $55,387. Since these commitments may expire without being drawn upon, unfunded commitments do not necessarily represent future cash requirements or future earning assets for us. For additional informationRefer to the section “Commitments and Contingencies” for further details on our unfunded commitments, refer to Note 11 to our consolidated financial statements included in this report.commitments.
Investment Portfolio Asset Quality
CIM uses an investment rating system to characterize and monitor our expected level of returns on each investment in our portfolio. These ratings are just one of several factors that CIM uses to monitor our portfolio, are not in and of themselves determinative of fair value or revenue recognition and are presented for indicative purposes. CIM rates the credit risk of all investments on a scale of 1 to 5 no less frequently than quarterly. This system is intended primarily to reflect the underlying risk of a portfolio investment relative to our initial cost basis in respect of such portfolio investment (i.e., at the time of acquisition), although it may also take into account under certain circumstances the performance of the portfolio company’s business, the collateral coverage of the investment and other relevant factors.

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The following is a description of the conditions associated with each investment rating used in this ratings system:
Investment RatingDescription
1Indicates the least amount of risk to our initial cost basis. The trends and risk factors for this investment since origination or acquisition are generally favorable, which may include the performance of the portfolio company or a potential exit.
2Indicates a level of risk to our initial cost basis that is similar to the risk to our initial cost basis at the time of origination or acquisition. This portfolio company is generally performing in accordance with our analysis of its business and the full return of principal and interest or dividend is expected.
3Indicates that the risk to our ability to recoup the cost of such investment has increased since origination or acquisition, but full return of principal and interest or dividend is expected. A portfolio company with an investment rating of 3 requires closer monitoring.
4Indicates that the risk to our ability to recoup the cost of such investment has increased significantly since origination or acquisition, including as a result of factors such as declining performance and noncompliance with debt covenants, and we expect some loss of interest, dividend or capital appreciation, but still expect an overall positive internal rate of return on the investment.
5Indicates that the risk to our ability to recoup the cost of such investment has increased materially since origination or acquisition and the portfolio company likely has materially declining performance. Loss of interest or dividend and some loss of principal investment is expected, which would result in an overall negative internal rate of return on the investment.
For investments rated 3, 4, or 5, CIM enhances its level of scrutiny over the monitoring of such portfolio company.
The following table summarizes the composition of our investment portfolio based on the 1 to 5 investment rating scale at fair value as of September 30, 2017,March 31, 2023 and December 31, 2022, excluding short term investments of $140,810:$66,326 and $10,869, respectively:    
  September 30, 2017
Investment Rating 
Investments
Fair Value
 
Percentage of
Investment Portfolio
1 $—
 —
2 1,282,461
 82.7%
3 207,746
 13.4%
4 53,223
 3.4%
5 7,615
 0.5%
  $1,551,045
 100.0%
The following table summarizes the composition of our investment portfolio and our underlying TRS loans portfolio based on the 1 to 5 investment rating scale at fair value as of December 31, 2016, excluding short term investments of $70,498:
 December 31, 2016
 Investment Portfolio Total Return Swap TotalMarch 31, 2023December 31, 2022
Investment Rating 
Investments
Fair Value
 
Percentage of
Investment Portfolio
 Fair Value of Underlying TRS Loans Percentage of Underlying TRS Loans Fair Value PercentageInvestment RatingInvestments
Fair Value		Percentage of
Investment Portfolio		Investments
Fair Value		Percentage of
Investment Portfolio
1 $—
 —
 $—
 —
 $—
 —
1$1,530 0.1 %$24,450 1.4 %
2 963,477
 94.6% 342,620
 87.3% 1,306,097
 92.5%21,410,148 85.1 %1,424,681 81.5 %
3 50,942
 5.0% 34,657
 8.8% 85,599
 6.1%3187,757 11.3 %260,662 14.9 %
4 4,561
 0.4% 12,798
 3.3% 17,359
 1.2%431,414 1.9 %39,032 2.2 %
5 —
 —
 2,370
 0.6% 2,370
 0.2%526,177 1.6 %336 — 
 $1,018,980
 100.0% $392,445
 100.0% $1,411,425
 100.0%$1,657,026 100.0 %$1,749,161 100.0 %
The amount of the investment portfolio in each rating category may vary substantially from period to period resulting primarily from changes in the composition of such portfolio as a result of new investment, repayment and exit activities. In addition, changes in the rating of investments may be made to reflect our expectation of performance and changes in investment values.

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CurrentOperating Expenses
Our primary operating expenses are the payment of management fees and subordinated incentive fees on income under the investment advisory agreement and interest expense on our financing arrangements. Our investment advisory fees compensate CIM for its work in identifying, evaluating, negotiating, executing, monitoring and servicing our investments. We bear all other expenses of our operations and transactions.
Recent Developments
Q2 2023 Regular Distribution

On May 8, 2023, our co-chief executive officers declared a regular quarterly distribution of $0.34 per share for the second quarter of 2023 payable on June 15, 2023 to shareholders of record as of June 1, 2023.
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Portfolio Investment PortfolioActivity for the Three Months Ended March 31, 2023 and 2022 and the Year Ended December 31, 2022

The following table summarizes our investment activity, excluding short term investments and PIK securities, for the three months ended March 31, 2023 and 2022 and the year ended December 31, 2022:
As
Three Months Ended
March 31,		Year Ended
December 31,
Net Investment Activity202320222022
Purchases and drawdowns
    Senior secured first lien debt$22,221 $136,698 $524,293 
    Senior secured second lien debt— — 19,932 
    Equity2,000 1,125 6,313 
Sales and principal repayments(66,274)(61,031)(469,760)
Net portfolio activity$(42,053)$76,792 $80,778 
The following tables summarize the composition of November 9, 2017, our investment portfolio excludingat amortized cost and fair value as of March 31, 2023 and December 31, 2022:
March 31, 2023
Investments Cost(1)Investments Fair
Value		Percentage of
Investment
Portfolio
Senior secured first lien debt$1,567,330 $1,472,453 88.8 %
Senior secured second lien debt41,102 38,997 2.4 %
Collateralized securities and structured products - equity2,606 1,133 0.1 %
Unsecured debt30,431 15,517 0.9 %
Equity115,514 128,926 7.8 %
Subtotal/total percentage1,756,983 1,657,026 100.0 %
Short term investments(2)66,326 66,326 
Total investments$1,823,309 $1,723,352 
Number of portfolio companies109 
Average annual EBITDA of portfolio companies$56.0 million
Median annual EBITDA of portfolio companies$35.0 million
Purchased at a weighted average price of par97.81 %
Gross annual portfolio yield based upon the purchase price(3)11.18 %
(1)Represents amortized cost for debt investments and cost for equity investments. Amortized cost represents the original cost adjusted for the amortization of premiums and/or accretion of discounts, as applicable, on our shortinvestments.
(2)Short term investments consistedrepresent an investment in a fund that invests in highly liquid investments with average original maturity dates of interests in 161 portfolio companies (72% in senior secured first lien debt, 24% in senior secured second lien debt, 1% in collateralized securities and structured products (comprised of 1% invested in rated debt, 1% invested in non-rated debt and 1% invested in non-rated equity of such securities and products), less than 1% in unsecured debt, and less than 1% in equity) with a total fair value of $1,568,392 with an average and median portfolio company annual EBITDA of $90.0 million and $50.0 million, respectively, at initial investment. As of November 9, 2017, investments in our portfolio, excluding our short term investments, were purchased at a weighted average price of 96.15% of par value. Our estimatedthree months or less.
(3)The gross annual portfolio yield was 9.14% based upon the purchase price of such investments. The estimated gross portfolio yield does not represent and may be higher than an actual investment return to shareholders because it excludes our expenses and all sales commissions and dealer manager fees. Forfees and does not consider the quarter ended September 30, 2017,cost of leverage.
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December 31, 2022
Investments Cost(1)Investments Fair
Value		Percentage of
Investment
Portfolio
Senior secured first lien debt$1,638,995 $1,579,512 90.3 %
Senior secured second lien debt41,036 38,769 2.2 %
Collateralized securities and structured products - equity2,687 1,179 0.1 %
Unsecured debt30,427 22,643 1.3 %
Equity79,595 107,058 6.1 %
Subtotal/total percentage1,792,740 1,749,161 100.0 %
Short term investments(2)10,869 10,869  
Total investments$1,803,609 $1,760,030 
Number of portfolio companies 113 
Average annual EBITDA of portfolio companies$55.2 million
Median annual EBITDA of portfolio companies$35.0 million
Purchased at a weighted average price of par97.81 %
Gross annual portfolio yield based upon the purchase price(3)11.80 %
(1)Represents amortized cost for debt investments and cost for equity investments. Amortized cost represents the original cost adjusted for the amortization of premiums and/or accretion of discounts, as applicable, on our totalinvestments.
(2)Short term investments represent an investment return-net asset value was 6.68%. Total investment return-net asset valuein a fund that invests in highly liquid investments with average original maturity dates of three months or less.
(3)The gross annual portfolio yield does not represent and may be higher than an actual investment return to shareholders because it excludes our expenses and all sales commissions and dealer manager fees. Total investment return-net asset value is a measurefees and does not consider the cost of the change in total value for shareholders who held our common stock at the beginning and end of the period, including distributions paid or payable during the period, and is described further in Note 13 of our consolidated financial statements.
As of November 9, 2017, our only short term investment was an investment in a U.S. Treasury Obligations Fund of $123,448.
Results of Operations for the Three Months Ended September 30, 2017 and 2016
Our results of operations for the three months ended September 30, 2017 and 2016 were as follows:
 Three Months Ended
September 30,
 2017 2016
Investment income$38,378
 $18,733
Net operating expenses16,976
 8,038
Net investment income21,402
 10,695
Net realized (loss) gain on investments and foreign currency(2,788) 379
Net change in unrealized appreciation on investments1,700
 14,948
Net realized gain on total return swap67
 8,188
Net change in unrealized appreciation on total return swap—
 9,527
Net increase in net assets resulting from operations$20,381
 $43,737
Investment Income
For the three months ended September 30, 2017 and 2016, we generated investment income of $38,378 and $18,733, respectively, consisting primarily of interest income on investments in senior secured debt, collateralized securities, structured products, and unsecured debt of 176 and 108 portfolio companies held during each respective period. Our average investment portfolio size, excluding our short term investments and TRS, increased $703,397, from $841,656 for the three months ended September 30, 2016 to $1,545,053 for the three months ended September 30, 2017, as we deployed the net proceeds from our financing arrangements and the net proceeds from our follow-on continuous public offering, which commenced on January 25, 2016. We expect our investment portfolio to continue to grow due to the anticipated equity available to us for investment from our follow-on continuous public offering and amounts available under our financing arrangements. As a result, we believe that reported investment income for the three months ended September 30, 2017 and 2016 is not representative of our stabilized or future performance. Interest income earned by loans underlying the TRS was not included in investment income in the consolidated statements of operations, but rather it was recorded as part of net realized gain (loss) on total return swap. In lieu of extending the expiration date of the TRS beyond April 18, 2017, we entered into a traditional credit facility with Citibank on March 29, 2017.
Operating Expensesleverage.
The composition of our operating expenses forfollowing table summarizes the three months ended September 30, 2017 and 2016 was as follows:
 Three Months Ended
September 30,
 2017 2016
Management fees$7,820
 $5,187
Administrative services expense433
 425
General and administrative1,803
 1,892
Interest expense6,920
 534
Total operating expenses16,976
 8,038
Recoupment of expense support from CIG—
 —
Net operating expenses$16,976
 $8,038


During the three months ended September 30, 2017, the increase in management fees was a direct result of the increase in our total assets less cash and cash equivalents, while the increase in interest expense was primarily the result of entering into new financing arrangements.

The composition of our general and administrative expenses for the three months ended September 30, 2017 and 2016 was as follows:
 Three Months Ended
September 30,
 2017 2016
Valuation expense$463
 $125
Transfer agent expense321
 307
Dues and subscriptions223
 177
Professional fees147
 680
Director fees and expenses125
 69
Insurance expense102
 105
Due diligence fees87
 120
Printing and other related costs59
 177
Other expenses276
 132
Total general and administrative expense$1,803
 $1,892

Expense Support and Recoupment of Expense Support

For the three months ended September 30, 2017 and 2016, CIG and AIM did not provide any expense support or recoup any previously provided expense support. 
Net Investment Income
Our net investment income totaled $21,402 and $10,695 for the three months ended September 30, 2017 and 2016, respectively. The increase in net investment income was primarily due to an increase in the size of our investment portfolio by the type of interest rate as of March 31, 2023 and December 31, 2022, excluding short term investments of $66,326 and $10,869, respectively:
March 31, 2023December 31, 2022
Interest Rate AllocationInvestments CostInvestments Fair ValuePercentage of
Investment
Portfolio		Investments CostInvestments Fair ValuePercentage of
Investment
Portfolio
Floating interest rate investments$1,480,336 $1,390,918 84.0 %$1,539,214 $1,477,630 84.5 %
Fixed interest rate investments158,527 134,681 8.1 %166,297 157,006 9.0 %
Non-income producing investments87,203 78,278 4.7 %76,061 104,619 6.0 %
Other income producing investments30,917 53,149 3.2 %11,168 9,906 0.5 %
Total investments$1,756,983 $1,657,026 100.0 %$1,792,740 $1,749,161 100.0 %
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The following table shows the composition of our investment portfolio by industry classification and the percentage, by fair value, of the total assets in such industries as of March 31, 2023 and December 31, 2022:
March 31, 2023December 31, 2022
Industry ClassificationInvestments Fair ValuePercentage of
Investment Portfolio		Investments Fair ValuePercentage of
Investment Portfolio
Services: Business$340,815 20.6 %$336,055 19.2 %
Healthcare & Pharmaceuticals232,306 14.0 %237,082 13.6 %
Media: Diversified & Production126,177 7.6 %134,927 7.7 %
Services: Consumer106,082 6.4 %115,849 6.6 %
Media: Advertising, Printing & Publishing87,247 5.3 %105,375 6.0 %
Diversified Financials81,724 4.9 %99,819 5.7 %
Chemicals, Plastics & Rubber66,992 4.0 %66,753 3.8 %
Energy: Oil & Gas65,343 3.9 %68,756 3.9 %
Consumer Goods: Durable62,420 3.8 %60,735 3.5 %
Retail57,034 3.4 %74,718 4.3 %
High Tech Industries53,597 3.2 %56,501 3.2 %
Construction & Building51,310 3.1 %46,007 2.6 %
Beverage, Food & Tobacco44,519 2.7 %45,396 2.6 %
Consumer Goods: Non-Durable42,305 2.6 %47,886 2.8 %
Capital Equipment41,713 2.5 %41,580 2.4 %
Aerospace & Defense39,195 2.4 %38,842 2.2 %
Banking, Finance, Insurance & Real Estate39,048 2.4 %43,836 2.5 %
Hotel, Gaming & Leisure38,520 2.3 %46,739 2.7 %
Containers, Packaging & Glass19,477 1.2 %19,551 1.1 %
Telecommunications18,315 1.1 %18,302 1.1 %
Automotive16,395 1.0 %16,255 0.9 %
Metals & Mining15,836 1.0 %15,780 0.9 %
Transportation: Cargo10,656 0.6 %12,417 0.7 %
Subtotal/total percentage1,657,026 100.0 %1,749,161 100.0 %
Short term investments66,326  10,869 
Total investments$1,723,352 $1,760,030 
Our investment portfolio may contain senior secured investments that are in the form of lines of credit, delayed draw term loans, revolving credit facilities, or unfunded commitments, which may require us to provide funding when requested in accordance with the terms of the underlying agreements. As of March 31, 2023 and December 31, 2022, our unfunded commitments amounted to $60,176 and $71,420, respectively. As of May 3, 2023, our unfunded commitments amounted to $55,387. Since these commitments may expire without being drawn upon, unfunded commitments do not necessarily represent future cash requirements or future earning assets for us. Refer to the section “Commitments and Contingencies” for further details on our unfunded commitments.
Investment Portfolio Asset Quality
CIM uses an investment rating system to characterize and monitor our expected level of returns on each investment in our portfolio. These ratings are just one of several factors that CIM uses to monitor our portfolio, are not in and of themselves determinative of fair value or revenue recognition and are presented for indicative purposes. CIM rates the credit risk of all investments on a scale of 1 to 5 no less frequently than quarterly. This system is intended primarily to reflect the underlying risk of a portfolio investment relative to our expenses as we continued to achieve economiesinitial cost basis in respect of scale due to proceeds received from our follow-on continuous public offeringsuch portfolio investment (i.e., at the time of acquisition), although it may also take into account under certain circumstances the performance of the portfolio company’s business, the collateral coverage of the investment and our financing arrangements.other relevant factors.
Net Realized (Loss) Gain on Investments and Foreign Currency
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Our net realized (loss) gain on investments and foreign currency totaled ($2,788) and $379 for the three months ended September 30, 2017 and 2016, respectively. This change was mainly due to losses realized on certain investments, which were partially offset by an increase in sales and principal repayment activity during the three months ended September 30, 2017 compared to the three months ended September 30, 2016. During the three months ended September 30, 2017, we received sale proceeds of $131,279 and principal repayments of $143,369, resulting in net realized losses of ($2,800). During the three months ended September 30, 2016, we received sale proceeds of $2,047 and principal repayments of $39,552, resulting in net realized gains of $379.

Net Change in Unrealized Appreciation on Investments
The net changefollowing is a description of the conditions associated with each investment rating used in unrealizedthis ratings system:
Investment RatingDescription
1Indicates the least amount of risk to our initial cost basis. The trends and risk factors for this investment since origination or acquisition are generally favorable, which may include the performance of the portfolio company or a potential exit.
2Indicates a level of risk to our initial cost basis that is similar to the risk to our initial cost basis at the time of origination or acquisition. This portfolio company is generally performing in accordance with our analysis of its business and the full return of principal and interest or dividend is expected.
3Indicates that the risk to our ability to recoup the cost of such investment has increased since origination or acquisition, but full return of principal and interest or dividend is expected. A portfolio company with an investment rating of 3 requires closer monitoring.
4Indicates that the risk to our ability to recoup the cost of such investment has increased significantly since origination or acquisition, including as a result of factors such as declining performance and noncompliance with debt covenants, and we expect some loss of interest, dividend or capital appreciation, but still expect an overall positive internal rate of return on the investment.
5Indicates that the risk to our ability to recoup the cost of such investment has increased materially since origination or acquisition and the portfolio company likely has materially declining performance. Loss of interest or dividend and some loss of principal investment is expected, which would result in an overall negative internal rate of return on the investment.
For investments rated 3, 4, or 5, CIM enhances its level of scrutiny over the monitoring of such portfolio company.
The following table summarizes the composition of our investment portfolio based on our investments totaled $1,700 and $14,948 for the three months ended September 30, 2017 and 2016, respectively. This change was driven primarily by a greater degree of credit spread tightening for middle market loans during the three months ended September 30, 2016 compared1 to the three months ended September 30, 2017 that positively impacted the5 investment rating scale at fair value as of certain investments.March 31, 2023 and December 31, 2022, excluding short term investments of $66,326 and $10,869, respectively:    

Net Realized Gain on TRS
Our net realized gain on the TRS totaled $67 and $8,188 for the three months ended September 30, 2017 and 2016, respectively. The components of net realized gain on the TRS are summarized below:
 Three Months Ended
September 30,
 2017 2016
Interest and other income from TRS portfolio$67
 $9,426
Interest and other expense from TRS portfolio—
 (3,265)
Net gain on TRS loan sales—
 2,027
   Total$67
 $8,188
March 31, 2023December 31, 2022
Investment RatingInvestments
Fair Value		Percentage of
Investment Portfolio		Investments
Fair Value		Percentage of
Investment Portfolio
1$1,530 0.1 %$24,450 1.4 %
21,410,148 85.1 %1,424,681 81.5 %
3187,757 11.3 %260,662 14.9 %
431,414 1.9 %39,032 2.2 %
526,177 1.6 %336 — 
$1,657,026 100.0 %$1,749,161 100.0 %
The net realized gain on TRS decreased primarily due to the sale of a majority of loans underlying the TRS to Flatiron Funding II on March 29, 2017 in connection with the refinancingamount of the TRS into a new credit facility.


Net Changeinvestment portfolio in Unrealized Appreciation on TRS
The net changeeach rating category may vary substantially from period to period resulting primarily from changes in unrealized appreciation on the TRS totaled $0 and $9,527 for the three months ended September 30, 2017 and 2016, respectively. This change was driven primarily by the salecomposition of a majority of loans underlying the TRS to Flatiron Funding II on March 29, 2017 in connection with the refinancing of the TRS into a new credit facility.
Net Increase in Net Assets Resulting from Operations
For the three months ended September 30, 2017 and 2016, we recorded a net increase in net assets resulting from operations of $20,381 and $43,737, respectively,such portfolio as a result of new investment, repayment and exit activities. In addition, changes in the rating of investments may be made to reflect our operating activity for the respective periods.
Resultsexpectation of Operations for the Nine Months Ended September 30, 2017performance and 2016
Our results of operations for the nine months ended September 30, 2017 and 2016 were as follows:
 Nine Months Ended
September 30,
 2017 2016
Investment income$101,768
 $53,834
Net operating expenses43,691
 21,834
Net investment income58,077
 32,000
Net realized (loss) gain on investments and foreign currency(4,983) 1,078
Net change in unrealized appreciation on investments11,094
 16,587
Net realized (loss) gain on total return swap(13,789) 23,799
Net change in unrealized appreciation on total return swap15,402
 16,826
Net increase in net assets resulting from operations$65,801
 $90,290
Investment Income
For the nine months ended September 30, 2017 and 2016, we generated investment income of $101,768 and $53,834, respectively, consisting primarily of interest income on investments in senior secured debt, collateralized securities, structured products, and unsecured debt of 205 and 120 portfolio companies held during each respective period. Our average investment portfolio size, excluding our short term investments and TRS, increased $469,756, from $815,257 for the nine months ended September 30, 2016 to $1,285,013 for the nine months ended September 30, 2017, as we deployed the net proceeds from our financing arrangements and the net proceeds from our follow-on continuous public offering, which commenced on January 25, 2016. We expect our investment portfolio to continue to grow due to the anticipated equity available to us for investment from our follow-on continuous public offering and amounts available under our financing arrangements. As a result, we believe that reported investment income for the nine months ended September 30, 2017 and 2016 is not representative of our stabilized or future performance. Interest income earned by loans underlying the TRS is not includedchanges in investment income in the consolidated statements of operations, but rather was recorded as part of net realized gain (loss) on total return swap. In lieu of extending the expiration date of the TRS beyond April 18, 2017, we entered into a traditional credit facility with Citibank on March 29, 2017.values.

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Operating ExpensesJPM Credit Facility
On August 26, 2016, 34th Street entered into a senior secured credit facility with JPM. The compositionsenior secured credit facility with JPM, or the JPM Credit Facility, provided for borrowings in an aggregate principal amount of our operating expenses for$150,000, of which $25,000 could have been funded as a revolving credit facility, each subject to conditions described in the nine months endedJPM Credit Facility. On August 26, 2016, 34th Street drew down $57,000 of borrowings under the JPM Credit Facility.
On September 30, 2016, July 11, 2017, November 28, 2017 and 2016 was as follows:
 Nine Months Ended
September 30,
 2017 2016
Management fees$21,724
 $14,311
Administrative services expense1,204
 1,151
General and administrative5,220
 4,944
Interest expense15,543
 761
Total operating expenses43,691
 21,167
Recoupment of expense support from CIG—
 667
Net operating expenses$43,691
 $21,834
DuringMay 23, 2018, 34th Street amended and restated the nine months endedJPM Credit Facility, or the Amended JPM Credit Facility, with JPM. Under the Amended JPM Credit Facility entered into on September 30, 2016, the aggregate principal amount available for borrowings was increased from $150,000 to $225,000, of which $25,000 could have been funded as a revolving credit facility, subject to conditions described in the Amended JPM Credit Facility. Under the Amended JPM Credit Facility entered into on July 11, 2017 the increase in management fees wasand November 28, 2017, certain immaterial administrative amendments were made as a direct result of the increasetermination of AIM as the Company's investment sub-adviser as discussed in our total assets less cashNote 1. Under the Amended JPM Credit Facility entered into on May 23, 2018, (i) the aggregate principal amount available for borrowings was increased from $225,000 to $275,000, of which $25,000 could have been funded as a revolving credit facility, subject to conditions described in the Amended JPM Credit Facility, (ii) the reinvestment period was extended until August 24, 2020 and cash equivalents, while(iii) the increasematurity date was extended to August 24, 2021.
On May 15, 2020, 34th Street amended and restated the Amended JPM Credit Facility, or the Second Amended JPM Credit Facility, with JPM in order to fully repay all amounts outstanding under the Company's prior Citibank Credit Facility and MS Credit Facility and repay $100,000 of advances outstanding under the UBS Facility (as described below). Under the Second Amended JPM Credit Facility, the aggregate principal amount available for borrowings was increased from $275,000 to $700,000, of which $75,000 may be funded as a revolving credit facility, subject to conditions described in the Second Amended JPM Credit Facility, during the reinvestment period. Under the Second Amended JPM Credit Facility, the reinvestment period was extended until May 15, 2022 and the maturity date was extended to May 15, 2023. Advances under the Second Amended JPM Credit Facility bore interest expenseat a floating rate equal to the three-month LIBOR, plus a spread of 3.25% per year.
On February 26, 2021, 34th Street amended and restated the Second Amended JPM Credit Facility, or the Third Amended JPM Credit Facility, with JPM. Under the Third Amended JPM Credit Facility, the aggregate principal amount available for borrowings was primarilyreduced from $700,000 to $575,000, subject to conditions described in the resultThird Amended JPM Credit Facility. In addition, under the Third Amended JPM Credit Facility, the reinvestment period was extended from May 15, 2022 to May 15, 2023 and the maturity date was extended from May 15, 2023 to May 15, 2024. Advances under the Third Amended JPM Credit Facility bear interest at a floating rate equal to the three-month LIBOR, plus a spread of entering3.10% per year, which was reduced from a spread of 3.25% per year. 34th Street incurred certain customary costs and expenses in connection with the Third Amended JPM Credit Facility. No other material terms of the Second JPM Credit Facility were revised in connection with the Third Amended JPM Credit Facility.
48
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
On March 28, 2022, 34th Street entered into new financing arrangements.a First Amendment to the Third Amended JPM Credit Facility with JPM, or the JPM First Amendment. Under the JPM First Amendment, the aggregate principal amount available for borrowings was increased from $575,000 to $675,000, subject to conditions described in the JPM First Amendment. Additional advances of up to $100,000 under the JPM First Amendment bear interest at a floating rate equal to the three-month SOFR, plus a credit spread of 3.10% per year, and a LIBOR to SOFR credit spread adjustment of 0.15%. 34th Street incurred certain customary costs and expenses in connection with the JPM First Amendment. No other material terms of the Third Amended JPM Credit Facility were revised in connection with the JPM First Amendment.

Interest is payable quarterly in arrears. 34th Street may prepay advances pursuant to the terms and conditions of the Third Amended JPM Credit Facility and the JPM First Amendment, subject to a 1.0% premium in certain circumstances. In addition, 34th Street will be subject to a non-usage fee of 1.0% per year on the amount, if any, of the aggregate principal amount available under the Third Amended JPM Credit Facility and the JPM First Amendment that has not been borrowed through May 14, 2023. The non-usage fees, if any, are payable quarterly in arrears.

As of March 31, 2023 and December 31, 2022, the aggregate principal amount outstanding on the Third Amended JPM Credit Facility and the JPM First Amendment was $600,000 and $610,000, respectively.
The compositionCompany contributed loans and other corporate debt securities to 34th Street in exchange for 100% of our generalthe membership interests of 34th Street, and administrative expensesmay contribute additional loans and other corporate debt securities to 34th Street in the future. 34th Street’s obligations to JPM under the Third Amended JPM Credit Facility and the JPM First Amendment are secured by a first priority security interest in all of the assets of 34th Street. The obligations of 34th Street under the Third Amended JPM Credit Facility and the JPM First Amendment are non-recourse to the Company, and the Company’s exposure under the Third Amended JPM Credit Facility and the JPM First Amendment is limited to the value of the Company’s investment in 34th Street.
In connection with the Third Amended JPM Credit Facility and the JPM First Amendment, 34th Street made certain representations and warranties and is required to comply with a borrowing base requirement, various covenants, reporting requirements and other customary requirements for the nine months ended September 30, 2017similar facilities. As of and 2016 was as follows:
 Nine Months Ended
September 30,
 2017 2016
Valuation expense$989
 $350
Transfer agent expense947
 926
Professional fees943
 1,284
Dues and subscriptions630
 621
Director fees and expenses327
 207
Insurance expense309
 271
Printing and other related costs291
 520
Due diligence fees145
 401
Other expenses639
 364
Total general and administrative expense$5,220
 $4,944

Expense Support and Recoupment of Expense Support

For the nine months ended September 30, 2017, CIG and AIM did not provide any expense support or recoup any previously provided expense support. For the nine months ended September 30, 2016, CIG recouped $667 of expense support made duringfor the three months ended March 31, 2023, 34th Street was in compliance with all covenants and reporting requirements.
Through March 31, 2023, the Company incurred debt issuance costs of $12,102 in connection with obtaining and amending the JPM Credit Facility, which were recorded as a direct reduction to the outstanding balance of the Third Amended JPM Credit Facility and the JPM First Amendment, which is included in the Company’s consolidated balance sheet as of March 31, 2023 and will amortize to interest expense over the term of the Third Amended JPM Credit Facility and the JPM First Amendment. At March 31, 2023, the unamortized portion of the debt issuance costs was $2,571.
For the three months ended March 31, 2023 and 2022 and the year ended December 31, 20142022, the components of interest expense, average borrowings, and weighted average interest rate for the JPM First Amendment and the Third Amended JPM Credit Facility were as follows:
Three Months Ended March 31,Year Ended December 31,
202320222022
Stated interest expense$11,990 $4,707 $29,254 
Amortization of deferred financing costs564 490 2,214 
Non-usage fee171 70 617 
Total interest expense$12,725 $5,267 $32,085 
Weighted average interest rate(1)8.02 %3.44 %4.99 %
Average borrowings$606,667 $551,333 $590,603 
(1)Includes the stated interest expense and non-usage fee on the unused portion of the JPM First Amendment and the Third Amended JPM Credit Facility and is annualized for periods covering less than one year.
2026 Notes
On February 11, 2021, the Company entered into a Note Purchase Agreement with certain purchasers, or the Note Purchase Agreement, in connection with the expense supportCompany’s issuance of $125,000 aggregate principal amount of its 4.50% senior unsecured notes due in 2026, or the 2026 Notes. The net proceeds to the Company were approximately $122,300, after the deduction of placement agent fees and conditional reimbursement agreement. other financing expenses, which the Company used to repay debt under its secured financing arrangements.

49
CĪON Investment Corporation
RecoupmentNotes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
The 2026 Notes mature on February 11, 2026. The 2026 Notes bear interest at a rate of 4.50% per year payable semi-annually on February 11th and August 11th of each year, which commenced on August 11, 2021. The Company has the right to, at its option, redeem all or a part that is not less than 10% of the 2026 Notes (i) on or before February 11, 2024, at a redemption price equal to 100% of the principal amount of 2026 Notes to be redeemed plus an applicable “make-whole” amount equal to (x) the discounted value of the remaining scheduled payments with respect to the principal of such support2026 Note that is to be prepaid or becomes due and payable pursuant to the Note Purchase Agreement over (y) the amount of such called principal, plus accrued and unpaid interest, if any, (ii) after February 11, 2024 but on or before February 11, 2025, at a redemption price equal to 102% of the principal amount of the 2026 Notes to be redeemed, plus accrued and unpaid interest, if any, (iii) after February 11, 2025 but on or before August 11, 2025, at a redemption price equal to 101% of the principal amount of the 2026 Notes to be redeemed, plus accrued and unpaid interest, if any, and (iv) after August 11, 2025, at a redemption price equal to 100% of the principal amount of the 2026 Notes to be redeemed, plus accrued and unpaid interest, if any. For any redemptions occurring on or before February 11, 2024, the discounted value portion of the “make whole amount” is calculated by applying a discount rate on the same periodic basis as that on which interest on the 2026 Notes is payable equal to the sum of 0.50% plus the yield to maturity of the most recently issued U.S. Treasury securities having a maturity equal to the remaining average life of the 2026 Notes, or if there are no such U.S. Treasury securities, using such implied yield to maturity determined in accordance with the terms of the Note Purchase Agreement.
The 2026 Notes are general unsecured obligations of the Company that rank pari passu with all existing and future unsecured unsubordinated indebtedness issued by the Company, rank effectively junior to any of the Company’s secured indebtedness (including unsecured indebtedness that the Company later secures) to the extent of the value of the assets securing such indebtedness, and rank structurally junior to all existing and future indebtedness (including trade payables) incurred by certain of the Company’s subsidiaries, financing vehicles or similar facilities.
The Note Purchase Agreement contains other terms and conditions, including, without limitation, affirmative and negative covenants such as (i) information reporting, (ii) maintenance of the Company’s status as a BDC, (iii) minimum shareholders’ equity of 60% of the Company’s net asset value as of the year ended December 31, 2020 plus 50% of the net cash proceeds of the sale of certain equity interests by the Company after February 11, 2021, if any, (iv) a minimum asset coverage ratio of not less than 150%, (v) a minimum interest coverage ratio of 1.25 to 1.00 and (vi) an unencumbered asset coverage ratio of 1.25 to 1.00, provided that (a) first lien senior secured loans and cash represent more than 65% of the total value of unencumbered assets used by the Company for purposes of the ratio and (b) equity interests or structured products in the aggregate represent less than 15% of the total value of unencumbered assets used by the Company for purposes of the ratio. As of and for the three months ended March 31, 2023, the Company was in compliance with all covenants and reporting requirements.
The Note Purchase Agreement also contains a “most favored lender” provision in favor of the purchasers in respect of any new unsecured credit facilities, loans or indebtedness in excess of $25,000 incurred by the Company, which indebtedness contains a financial covenant not contained in, or more restrictive against the Company than those contained, in the Note Purchase Agreement. In addition, the Note Purchase Agreement contains customary events of default with customary cure and notice periods, including, without limitation, nonpayment, incorrect representation in any material respect, breach of covenant, cross-default under other indebtedness or derivative securities of the Company in an outstanding aggregate principal amount of at least $25,000, certain judgments and orders, and certain events of bankruptcy.
As of March 31, 2023, the aggregate principal amount of 2026 Notes outstanding was $125,000.
Through March 31, 2023, the Company incurred debt issuance costs of $2,669 in connection with issuing the 2026 Notes, which were recorded as a direct reduction to the outstanding balance of the 2026 Notes, which is included in the Company’s consolidated balance sheet as of March 31, 2023 and will amortize to interest expense over the term of the 2026 Notes. At March 31, 2023, the unamortized portion of the debt issuance costs was $1,531.
For the three months ended March 31, 2023 and 2022 and for the year ended December 31, 2022, the components of interest expense, average borrowings, and weighted average interest rate for the 2026 Notes were as follows:
Three Months Ended
March 31,		Year Ended December 31,
2022
20232022
Stated interest expense$1,406 $1,406 $5,600 
Amortization of deferred financing costs131 131 533 
Total interest expense$1,537 $1,537 $6,133 
Weighted average interest rate(1)4.50 %4.50 %4.50 %
Average borrowings$125,000 $125,000 $125,000 
(1)Includes the stated interest expense on the 2026 Notes and is annualized for periods covering less than one year.
50
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
UBS Facility
On May 19, 2017, the Company, through two newly-formed, wholly-owned, special-purpose financing subsidiaries, entered into a financing arrangement with UBS pursuant to which up to $125,000 was made available to the Company.
Pursuant to the financing arrangement, assets in the Company's portfolio may be contributed from time to time to Murray Hill Funding II through Murray Hill Funding, LLC, or Murray Hill Funding, each a newly-formed, wholly-owned, special-purpose financing subsidiary of the Company. On May 19, 2017, the Company contributed assets to Murray Hill Funding II. The assets held by Murray Hill Funding II secure the obligations of Murray Hill Funding II under Class A-1 Notes, or the Notes, issued by Murray Hill Funding II. Pursuant to an Indenture, dated May 19, 2017, between Murray Hill Funding II and U.S. Bank National Association, or U.S. Bank, as trustee, or the Indenture, the aggregate principal amount of Notes that may be issued by Murray Hill Funding II from time to time was $192,308. Murray Hill Funding purchased the Notes issued by Murray Hill Funding II at a purchase price equal to their par value. Murray Hill Funding makes capital contributions to Murray Hill Funding II to, among other things, maintain the value of the portfolio of assets held by Murray Hill Funding II.
Principal on the Notes will be determined as appropriatedue and payable on the stated maturity date of May 19, 2027. Pursuant to meet the objectivesIndenture, Murray Hill Funding II made certain representations and warranties and is required to comply with various covenants, reporting requirements and other customary requirements for similar transactions. The Indenture contains events of default customary for similar transactions, including, without limitation: (a) the failure to make principal payments on the Notes at their stated maturity or any earlier redemption date or to make interest payments on the Notes and such failure is not cured within three business days; (b) the failure to disburse amounts in accordance with the priority of payments and such failure is not cured within three business days; and (c) the occurrence of certain bankruptcy and insolvency events with respect to Murray Hill Funding II or Murray Hill Funding. As of and for the three months ended March 31, 2023, Murray Hill Funding II was in compliance with all covenants and reporting requirements.
Murray Hill Funding, in turn, entered into a repurchase transaction with UBS, pursuant to the terms of a Global Master Repurchase Agreement and the related Annex and Master Confirmation thereto, each dated May 19, 2017, or collectively, the UBS Facility. Pursuant to the UBS Facility, on May 19, 2017 and June 19, 2017, UBS purchased Notes held by Murray Hill Funding for an aggregate purchase price equal to 65% of the expense supportprincipal amount of Notes purchased. Subject to certain conditions, the maximum principal amount of Notes that may be purchased under the UBS Facility was $192,308. Accordingly, the aggregate maximum amount payable to Murray Hill Funding under the UBS Facility would not exceed $125,000. Murray Hill Funding was required to repurchase the Notes sold to UBS under the UBS Facility by no later than May 19, 2020. The repurchase price paid by Murray Hill Funding to UBS will be equal to the purchase price paid by UBS for the repurchased Notes (giving effect to any reductions resulting from voluntary partial prepayment(s)). The financing fee under the UBS Facility was equal to the three-month LIBOR plus a spread of up to 3.50% per year for the relevant period.
On December 1, 2017, Murray Hill Funding II amended and conditional reimbursement agreement.restated the Indenture, or the Amended Indenture, pursuant to which the aggregate principal amount of Notes that may be issued by Murray Hill Funding II was increased from $192,308 to $266,667. On December 1, 2017, Murray Hill Funding entered into a First Amended and Restated Master Confirmation to the Global Master Repurchase Agreement, or the Amended Master Confirmation, which sets forth the terms of the repurchase transaction between Murray Hill Funding and UBS under the UBS Facility. As part of the Amended Master Confirmation, on December 15, 2017 and April 2, 2018, UBS purchased the increased aggregate principal amount of Notes held by Murray Hill Funding for an aggregate purchase price equal to 75% of the principal amount of Notes issued. As a result we mayof the Amended Master Confirmation, the aggregate maximum amount payable to Murray Hill Funding and made available to the Company under the UBS Facility was increased from $125,000 to $200,000. No other material terms of the UBS Facility were revised in connection with the amended UBS Facility, or may notthe Amended UBS Facility.
On May 19, 2020, Murray Hill Funding entered into a Second Amended and Restated Master Confirmation to the Global Master Repurchase Agreement, or the Second Amended Master Confirmation, which extended the date that Murray Hill Funding will be requestedrequired to reimburse CIGrepurchase the Notes sold to UBS under the Amended UBS Facility from May 19, 2020 to November 19, 2020, and AIMincreased the spread on the financing fee from 3.50% to 3.90% per year.
On May 19, 2020, Murray Hill Funding also repurchased Notes in the aggregate principal amount of $133,333 from UBS for any expense supportan aggregate repurchase price of $100,000, which was then repaid by Murray Hill Funding II. The repurchase of the Notes on May 19, 2020 resulted in a repayment of one-half of the outstanding amount of borrowings under the Amended UBS Facility as of May 19, 2020. As of December 31, 2020, Notes remained outstanding in the aggregate principal amount of $133,333, which was purchased by Murray Hill Funding from Murray Hill Funding II and subsequently sold to UBS under the Amended UBS Facility for aggregate proceeds of $100,000.
On November 12, 2020, Murray Hill Funding entered into a Third Amended and Restated Master Confirmation to the Global Master Repurchase Agreement, or the Third Amended Master Confirmation, to further extend the date that Murray Hill Funding will be required to repurchase the Notes to December 18, 2020.
51
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
On December 17, 2020, Murray Hill Funding entered into a Fourth Amended and Restated Master Confirmation to the Global Master Repurchase Agreement, or the Fourth Amended Master Confirmation, which further extended the date that Murray Hill Funding will be required to repurchase the Notes sold to UBS under the Amended UBS Facility from December 18, 2020 to November 19, 2023, and decreased the spread on the financing fee from 3.90% to 3.375% per year. No other material terms of the Amended UBS Facility were revised in connection with the Fourth Amended Master Confirmation.
On December 17, 2020, Murray Hill Funding also entered into a Revolving Credit Note Agreement, or the Revolving Note Agreement, with Murray Hill Funding II, UBS and U.S. Bank, as note agent and trustee, which provides for a revolving credit facility in an aggregate principal amount of $50,000, subject to compliance with a borrowing base. Murray Hill Funding II will issue Class A-R Notes, or the Class A-R Notes, in exchange for advances under the Revolving Note Agreement. Principal on the Class A-R Notes will be due and payable on the stated maturity date of May 19, 2027, which is the same stated maturity date as the Notes.
The Class A-R Notes will be issued pursuant to a Second Amended and Restated Indenture, dated December 17, 2020, between Murray Hill Funding II and U.S. Bank, as trustee, or the Second Amended Indenture. Under the Second Amended Indenture, the aggregate principal amount of Notes and Class A-R Notes that may be receivedissued by Murray Hill Funding II from CIGtime to time is $150,000. Murray Hill Funding, in turn, entered into a repurchase transaction with UBS pursuant to the terms of the related Annex and AIMMaster Confirmation, dated December 17, 2020, to the Global Master Repurchase Agreement, dated May 19, 2017, related to the Class A-R Notes. Murray Hill Funding is required to repurchase the Class A-R Notes that will be sold to UBS by no later than November 19, 2023. The financing fee for the funded Class A-R Notes is equal to the three-month LIBOR plus a spread of 3.375% per year while the financing fee for the unfunded Class A-R Notes is equal to 0.75% per year.
Pursuant to the Amended UBS Facility, on July 1, 2021, December 14, 2021 and April 19, 2022, UBS purchased Class A-R Notes held by Murray Hill Funding for an aggregate purchase price equal to 100% of the principal amount of Class A-R Notes purchased, which was $21,000, $25,000 and $17,500, respectively. On August 20, 2021, March 7, 2023 and April 14, 2023, Murray Hill Funding repurchased Class A-R Notes in the future.aggregate principal amount of $21,000, $17,500 and $25,000, respectively, from UBS for an aggregate repurchase price of $21,000, $17,500 and $25,000, respectively, which was then repaid by Murray Hill Funding II. The repurchase of the A-R Notes on August 20, 2021, March 7, 2023 and April 14, 2023 resulted in repayments of $21,000, $17,500 and $25,000, respectively, of the outstanding amount of borrowings under the Amended UBS Facility.
Net Investment IncomeUBS may require Murray Hill Funding to post cash collateral if, without limitation, the sum of the market value of the portfolio of assets and the cash and eligible investments held by Murray Hill Funding II, together with any posted cash collateral, is less than the required margin amount under the Amended UBS Facility; provided, however, that Murray Hill Funding will not be required to post cash collateral with UBS until such market value has declined at least 10% from the initial market value of the portfolio assets.
Our netThe Company has no contractual obligation to post any such cash collateral or to make any payments to UBS on behalf of Murray Hill Funding. The Company may, but is not obligated to, increase its investment income totaled $58,077 and $32,000in Murray Hill Funding for the ninepurpose of funding any cash collateral or payment obligations for which Murray Hill Funding becomes obligated in connection with the Amended UBS Facility. The Company’s exposure under the Amended UBS Facility is limited to the value of the Company’s investment in Murray Hill Funding.  
Pursuant to the Amended UBS Facility, Murray Hill Funding made certain representations and warranties and is required to comply with a borrowing base requirement, various covenants, reporting requirements and other customary requirements for similar transactions. The Amended UBS Facility contains events of default customary for similar financing transactions, including, without limitation: (a) failure to transfer the Notes to UBS on the applicable purchase date or repurchase the Notes from UBS on the applicable repurchase date; (b) failure to pay certain fees and make-whole amounts when due; (c) failure to post cash collateral as required; (d) the occurrence of insolvency events with respect to Murray Hill Funding; and (e) the admission by Murray Hill Funding of its inability to, or its intention not to, perform any of its obligations under the Amended UBS Facility. As of and for the three months ended March 31, 2023, Murray Hill Funding was in compliance with all covenants and reporting requirements.
Murray Hill Funding paid an upfront fee and incurred certain other customary costs and expenses totaling $2,637 in connection with obtaining the Amended UBS Facility, which were recorded as a direct reduction to the outstanding balance of the Amended UBS Facility, which is included in the Company’s consolidated balance sheets and amortized to interest expense over the term of the Amended UBS Facility. At March 31, 2023, all upfront fees and other expenses were fully amortized.
As of March 31, 2023, Notes in the aggregate principal amount of $125,000 had been purchased by Murray Hill Funding from Murray Hill Funding II and subsequently sold to UBS under the Amended UBS Facility for aggregate proceeds of $125,000. The carrying amount outstanding under the Amended UBS Facility approximates its fair value. The Company funded each purchase of Notes by Murray Hill Funding through a capital contribution to Murray Hill Funding. As of March 31, 2023, the amount due at maturity under the Amended UBS Facility was $125,000. The Notes issued by Murray Hill Funding II and purchased by Murray Hill Funding eliminate in consolidation on the Company’s consolidated financial statements.
As of March 31, 2023, the fair value of assets held by Murray Hill Funding II was $252,595.
52
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
For the three months ended March 31, 2023 and 2022 and the year ended December 31, 2022, the components of interest expense, average borrowings, and weighted average interest rate for the Amended UBS Facility were as follows:
Three Months Ended March 31,Year Ended December 31,
202320222022
Stated interest expense$2,804 $1,147 $7,273 
Non-usage fee23 47 96 
Total interest expense$2,827 $1,194 $7,369 
Weighted average interest rate(1)8.22 %3.82 %5.29 %
Average borrowings$137,639 $125,000 $137,322 
(1)Includes the stated interest expense and non-usage fee on the unused portion of the Amended UBS Facility and is annualized for periods covering less than one year.
Series A Notes
On February 28, 2023, the Company entered into a Deed of Trust, or the Deed of Trust, with Mishmeret Trust Company Ltd., as trustee, under which the Company issued $80,712 in aggregate principal amount of its Series A Unsecured Notes due 2026, or the Series A Notes. The Series A Notes offering in Israel closed on February 28, 2023 and the Series A Notes listed and commenced trading on the TASE on February 28, 2023. After the deduction of fees and other offering expenses, the Company received net proceeds of approximately $77,900, which it used to make investments in portfolio companies in accordance with its investment objectives and for working capital and general corporate purposes. The Series A Notes are rated A1.il by Midroog Ltd., an affiliate of Moody’s.
The Series A Notes will mature on August 31, 2026 and may be redeemed in whole or in part at the Company's option at par plus a “make-whole” premium, if applicable, as set forth in the Deed of Trust. The Series A Notes bear interest at a rate equal to SOFR plus a credit spread of 3.82% per year, which will be paid quarterly on February 28, May 31, August 31, and November 30 of each year, commencing on May 31, 2023. The Series A Notes are general unsecured obligations of the Company that rank senior in right of payment to all of the Company’s existing and future indebtedness that is expressly subordinated in right of payment to the Series A Notes, rank pari passu with all existing and future unsecured unsubordinated indebtedness issued by the Company, rank effectively junior to any of the Company's secured indebtedness (including unsecured indebtedness that the Company later secures) to the extent of the value of the assets securing such indebtedness, and rank structurally junior to all existing and future indebtedness (including trade payables) incurred by the Company's subsidiaries, financing vehicles or similar facilities.
The Deed of Trust contains other terms and conditions, including, without limitation, affirmative and negative covenants such as (i) information reporting, (ii) maintenance of the Company’s status as a BDC within the meaning of the 1940 Act, (iii) minimum shareholders’ equity of $525 million, (iv) a minimum asset coverage ratio of not less than 150%, and (v) an unencumbered asset coverage ratio of 1.25 to 1.00. In addition, the Deed of Trust contains customary events of default with customary cure and notice periods, including, without limitation, nonpayment, incorrect representation in any material respect, breach of covenant, cross-default under the Company’s other indebtedness in an outstanding aggregate principal amount of at least $50,000, certain judgments and orders, and certain events of bankruptcy. As of and for the three months ended March 31, 2023, the Company was in compliance with all covenants and reporting requirements.
On February 26, 2023, the Company’s shares of common stock listed and commenced trading on the TASE under the ticker symbol “CION”.
Through March 31, 2023, the Company incurred debt issuance costs of $3,033 in connection with issuing the Series A Notes, which were recorded as a direct reduction to the outstanding balance of the Series A Notes, which is included in the Company’s consolidated balance sheet as of March 31, 2023 and will amortize to interest expense over the term of the Series A Notes. At March 31, 2023, the unamortized portion of the debt issuance costs was $2,955.
53
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
For the period from February 28, 2023 through March 31, 2023, the components of interest expense, average borrowings, and weighted average interest rate for the Series A Notes were as follows:
For the Period From February 28, 2023 Through March 31, 2023
Stated interest expense$618 
Amortization of deferred financing costs78 
Total interest expense$696
Weighted average interest rate(1)8.62 %
Average borrowings$80,712 
(1) Includes the stated interest expense on the Series A Notes and is annualized for periods covering less than one year.
2022 More Term Loan
On April 27, 2022, the Company entered into an Unsecured Term Loan Facility Agreement, or the More Term Loan Agreement, with More Provident Funds and Pension Ltd., or More Provident, as lender, which provided for an unsecured term loan to the Company in an aggregate principal amount of $50,000, or the 2022 More Term Loan. On April 27, 2022, the Company drew down $50,000 of borrowings under the 2022 More Term Loan. After the deduction of fees and other financing expenses, the Company received net borrowings of approximately $49,000, which it used for working capital and other general corporate purposes.
Advances under the 2022 More Term Loan bear interest at a floating rate equal to the three-month SOFR, plus a credit spread of 3.50% per year and subject to a 1.0% SOFR floor, payable quarterly in arrears. Advances under the 2022 More Term Loan mature on April 27, 2027. The Company has the right to, at its option, prepay all or any portion of advances then outstanding together with a prepayment fee equal to the higher of (i) zero, or (ii) the discounted present value of all remaining interest payments that would have been paid by the Company through the maturity date with respect to the principal amount of such advance that is to be prepaid or becomes due and payable pursuant to the More Term Loan Agreement. The discounted present value portion of the prepayment fee is calculated by applying a discount rate on the same periodic basis as that on which interest on advances is payable equal to the three-month SOFR plus 2.00%.
Advances under the 2022 More Term Loan are general unsecured obligations of the Company that rank pari passu with all existing and future unsecured unsubordinated indebtedness issued by the Company, rank effectively junior to any of the Company’s secured indebtedness (including unsecured indebtedness that the Company later secures) to the extent of the value of the assets securing such indebtedness, and rank structurally junior to all existing and future indebtedness (including trade payables) incurred by certain of the Company’s subsidiaries, financing vehicles or similar facilities.
The More Term Loan Agreement contains other terms and conditions, including, without limitation, affirmative and negative covenants such as (i) information reporting, (ii) maintenance of the Company’s status as a BDC within the meaning of the 1940 Act, (iii) minimum shareholders’ equity of 60% of the Company’s net asset value as of the year ended December 31, 2021 plus 50% of the net cash proceeds of the sale of certain equity interests by the Company after April 27, 2022, if any, (iv) a minimum asset coverage ratio of not less than 150%, and (v) an unencumbered asset coverage ratio of 1.25 to 1.00, provided that (a) first lien senior secured loans and cash represent more than 65% of the total value of unencumbered assets used by the Company for purposes of the ratio and (b) equity interests or structured products in the aggregate represent less than 15% of the total value of unencumbered assets used by the Company for purposes of the ratio. In addition, the More Term Loan Agreement contains customary events of default with customary cure and notice periods, including, without limitation, nonpayment, incorrect representation in any material respect, breach of covenant, cross-default under other indebtedness or derivative securities of the Company in an outstanding aggregate principal amount of at least $25,000, certain judgments and orders, and certain events of bankruptcy. As of and for the three months ended March 31, 2023, the Company was in compliance with all covenants and reporting requirements.
Through March 31, 2023, the Company incurred debt issuance costs of $1,025 in connection with obtaining the 2022 More Term Loan, which were recorded as a direct reduction to the outstanding balance of the 2022 More Term Loan, which is included in the Company’s consolidated balance sheet as of March 31, 2023 and will amortize to interest expense over the term of the 2022 More Term Loan. At March 31, 2023, the unamortized portion of the debt issuance costs was $834.
54
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
For the three months ended March 31, 2023 and for the period from April 27, 2022 through December 31, 2022, the components of interest expense, average borrowings, and weighted average interest rate for the 2022 More Term Loan were as follows:
Three Months Ended March 31, 2023For the Period From April 27, 2022 Through December 31, 2022
Stated interest expense$1,012 $2,027 
Amortization of deferred financing costs51 140 
Total interest expense$1,063 $2,167 
Weighted average interest rate(1)8.10 %5.86 %
Average borrowings$50,000 $50,000 
(1) Includes the stated interest expense on the 2022 More Term Loan and is annualized for periods covering less than one year.
2021 More Term Loan
On April 14, 2021, the Company entered into an Unsecured Term Loan Facility Agreement, or the Term Loan Agreement, with More Provident Funds Ltd., or More, as lender. The Term Loan Agreement with More, or the 2021 More Term Loan, provided for an unsecured term loan to the Company in an aggregate principal amount of $30,000. On April 20, 2021, the Company drew down $30,000 of borrowings under the 2021 More Term Loan. After the deduction of fees and other financing expenses, the Company received net borrowings of approximately $29,000, which the Company used for working capital and other general corporate purposes.
Advances under the 2021 More Term Loan mature on September 30, 20172024, and 2016, respectively.bear interest at a rate of 5.20% per year payable quarterly in arrears. The increaseCompany has the right to, at its option, prepay all or any portion of advances then outstanding together with a prepayment fee equal to the higher of (i) zero, or (ii) the discounted present value of all remaining interest payments that would have been paid by the Company through the maturity date with respect to the principal amount of such advance that is to be prepaid or becomes due and payable pursuant to the Term Loan Agreement. The discounted present value portion of the prepayment fee is calculated by applying a discount rate on the same periodic basis as that on which interest on advances is payable equal to the sum of 2.00% plus the yield to maturity of the most recently issued U.S. Treasury securities having a maturity equal to the remaining average life of the 2021 More Term Loan, or if there are no such U.S. Treasury securities, using such implied yield to maturity determined in accordance with the terms of the Term Loan Agreement.
Advances under the 2021 More Term Loan are general unsecured obligations of the Company that rank pari passu with all existing and future unsecured unsubordinated indebtedness issued by the Company, rank effectively junior to the Company's secured indebtedness (including unsecured indebtedness that the Company later secures) to the extent of the value of the assets securing such indebtedness, and rank structurally junior to all existing and future indebtedness (including trade payables) incurred by certain of the Company's subsidiaries, financing vehicles or similar facilities.
The Term Loan Agreement contains other terms and conditions, including, without limitation, affirmative and negative covenants such as (i) information reporting, (ii) maintenance of the Company's status as a BDC within the meaning of the 1940 Act, (iii) minimum shareholders’ equity of 60% of the Company’s net investment income was primarily dueasset value as of the year ended December 31, 2020 plus 50% of the net cash proceeds of the sale of certain equity interests by the Company after April 14, 2021, if any, (iv) a minimum asset coverage ratio of not less than 150%, and (v) an unencumbered asset coverage ratio of 1.25 to an increase1.00, provided that (a) first lien senior secured loans and cash represent more than 65% of the total value of unencumbered assets used by the Company for purposes of the ratio and (b) equity interests or structured products in the sizeaggregate represent less than 15% of our investment portfolio relative to our expenses as we continued to achieve economiesthe total value of scale due to proceeds received from our follow-on continuous public offeringunencumbered assets used by the Company for purposes of the ratio. In addition, the Term Loan Agreement contains customary events of default with customary cure and our financing arrangements.
Net Realized (Loss) Gain on Investmentsnotice periods, including, without limitation, nonpayment, incorrect representation in any material respect, breach of covenant, cross default under other indebtedness or derivative securities of the Company in an outstanding aggregate principal amount of at least $25,000, certain judgments and Foreign Currency
Our net realized (loss) gain on investmentsorders, and foreign currency totaled ($4,983)certain events of bankruptcy. As of and $1,078 for the ninethree months ended September 30, 2017March 31, 2023, the Company was in compliance with all covenants and 2016, respectively. This change was mainly due to losses realized on certain investments,reporting requirements.
Through March 31, 2023, the Company incurred debt issuance costs of $992 in connection with obtaining the 2021 More Term Loan, which were partially offset by an increaserecorded as a direct reduction to the outstanding balance of the 2021 More Term Loan, which is included in salesthe Company’s consolidated balance sheet as of March 31, 2023 and principal repayment activity duringwill amortize to interest expense over the nineterm of the 2021 More Term Loan. At March 31, 2023, the unamortized portion of the debt issuance costs was $425.
55
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
For the three months ended September 30, 2017 comparedMarch 31, 2023 and 2022 and the year ended December 31, 2022, the components of interest expense, average borrowings, and weighted average interest rate for the 2021 More Term Loan were as follows:
Three Months Ended March 31,Year Ended December 31,
2022
20232022
Stated interest expense$390 $390 $1,582 
Amortization of deferred financing costs71 71 288 
Total interest expense$461 $461 $1,870 
Weighted average interest rate(1)5.20 %5.20 %5.20 %
Average borrowings$30,000 $30,000 $30,000 
(1) Includes the stated interest expense on the 2021 More Term Loan and is annualized for periods covering less than one year.
Note 9. Fair Value of Financial Instruments
The following table presents fair value measurements of the Company’s portfolio investments as of March 31, 2023 and December 31, 2022, according to the ninefair value hierarchy:
March 31, 2023(1)December 31, 2022(2)
Level 1Level 2Level 3TotalLevel 1Level 2Level 3Total
Senior secured first lien debt$— $— $1,472,453 $1,472,453 $— $— $1,579,512 $1,579,512 
Senior secured second lien debt— — 38,997 38,997 — — 38,769 38,769 
Collateralized securities and structured products - equity— — 1,133 1,133 — — 1,179 1,179 
Unsecured debt— — 15,517 15,517 — — 22,643 22,643 
Equity2,204 — 100,958 103,162 2,341 — 73,951 76,292 
Short term investments66,326 — — 66,326 10,869 — — 10,869 
Total Investments$68,530 $— $1,629,058 $1,697,588 $13,210 $— $1,716,054 $1,729,264 
(1)Excludes the Company's $25,764 investment in CION/EagleTree, which is measured at NAV.
(2)Excludes the Company's $30,766 investment in CION/EagleTree, which is measured at NAV.
The following tables provide a reconciliation of the beginning and ending balances for investments that use Level 3 inputs for the three months ended September 30, 2016. During the nine months ended September 30, 2017, we received sale proceeds of $218,395March 31, 2023 and principal repayments of $403,098, resulting2022:
Three Months Ended
March 31, 2023
Senior Secured First Lien DebtSenior Secured Second Lien DebtCollateralized Securities and Structured Products - EquityUnsecured DebtEquityTotal
Beginning balance, December 31, 2022$1,579,512 $38,769 $1,179 $22,643 $73,951 $1,716,054 
Investments purchased(2)(3)40,752 — — — 35,933 76,685 
Net realized loss(4,511)— — — (14)(4,525)
Net change in unrealized (depreciation) appreciation(35,394)163 35 (7,130)(8,912)(51,238)
Accretion of discount4,269 69 — 4 — 4,342 
Sales and principal repayments(3)(112,175)(4)(81)— — (112,260)
Ending balance, March 31, 2023$1,472,453 $38,997 $1,133 $15,517 $100,958 $1,629,058 
Change in net unrealized (depreciation) appreciation on investments still held as of March 31, 2023(1)$(34,672)$163 $35 $(7,130)$(8,912)$(50,516)
(1)Included in net realized losses of ($5,142). During the nine months ended September 30, 2016, we received sale proceeds of $14,462 and principal repayments of $126,908, resulting in net realized gains of $1,078.

Net Change in Unrealized Appreciation on Investments
The net change in unrealized appreciationdepreciation on our investments totaled $11,094 and $16,587 forin the nine months ended September 30, 2017 and 2016, respectively. This change was driven primarily by a tighteningconsolidated statements of credit spreads during the nine months ended September 30, 2017 as well as the reversal of unrealized depreciation for certain investments that were realized during the nine months ended September 30, 2017. operations.
Net Realized (Loss) Gain on TRS(2)Investments purchased includes PIK interest.
Our net realized (loss) gain on the TRS totaled ($13,789) and $23,799 for the nine months ended September 30, 2017 and 2016, respectively. The components of net realized (loss) gain on the TRS are summarized below:(3)Includes non-cash restructured securities.
56
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
 Nine Months Ended
September 30,
 2017 2016
Interest and other income from TRS portfolio$6,610
 $32,693
Interest and other expense from TRS portfolio(2,949) (10,307)
Net (loss) gain on TRS loan sales(17,450) 1,413
   Total$(13,789) $23,799
Three Months Ended
March 31, 2022
Senior Secured First Lien DebtSenior Secured Second Lien DebtCollateralized Securities and Structured Products - EquityUnsecured DebtEquityTotal
Beginning balance, December 31, 2021$1,526,989 $38,583 $2,998 $26,616 $37,736 $1,632,922 
Investments purchased(2)141,792 — — 623 1,125 143,540 
Net realized (loss) gain(73)4 — — — (69)
Net change in unrealized (depreciation) appreciation(12,906)(1,800)(176)37 3,544 (11,301)
Accretion of discount2,404 88 — 4 — 2,496 
Sales and principal repayments(60,842)— (190)— — (61,032)
Ending balance, March 31, 2022$1,597,364 $36,875 $2,632 $27,280 $42,405 $1,706,556 
Change in net unrealized (depreciation) appreciation on investments still held as of March 31, 2022(1)$(12,710)$(1,800)$(176)$37 $3,544 $(11,105)


Net Change(1)Included in Unrealized Appreciation on TRS
The net change in unrealized appreciationdepreciation on investments in the consolidated statements of operations.
(2)Investments purchased includes PIK interest.
Significant Unobservable Inputs
The valuation techniques and significant unobservable inputs used in recurring Level 3 fair value measurements of investments as of March 31, 2023 and December 31, 2022 were as follows:
March 31, 2023
Fair ValueValuation Techniques/
Methodologies		Unobservable
Inputs		RangeWeighted Average(1)
Senior secured first lien debt$1,258,936 Discounted Cash FlowDiscount Rates6.5%—35.0%13.9%
124,286 Broker QuotesBroker QuotesN/AN/A
45,643 Market Comparable ApproachRevenue Multiple0.20x—1.55x0.62x
39,376 EBITDA Multiple5.75x—12.5x10.45x
3,837 $ per kW$131.85N/A
375 Other(2)Other(2)N/AN/A
Senior secured second lien debt38,997 Discounted Cash FlowDiscount Rates10.3%—22.5%15.6%
Collateralized securities and structured products - equity1,133 Discounted Cash FlowDiscount Rates21.0%N/A
Unsecured debt8,132 Contingent Claims AnalysisExpected Volatility110.0%N/A
7,385 Discounted Cash FlowDiscount Rates16.5%N/A
Equity69,263 Market Comparable ApproachEBITDA Multiple3.75x—15.50x10.08x
22,680 $ per kW$425N/A
7,940 Revenue Multiple0.13x—6.00x3.25x
1,075 Broker QuotesBroker QuotesN/AN/A
— Options Pricing ModelExpected Volatility60.0%—95.0%N/A
Total$1,629,058 
(1)Weighted average amounts are based on the TRS totaled $15,402estimated fair values.
(2)Fair value is based on the expected outcome of proposed corporate transactions and/or other factors.
57
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and $16,826per share amounts)
December 31, 2022
Fair ValueValuation Techniques/
Methodologies		Unobservable
Inputs		RangeWeighted Average(1)
Senior secured first lien debt$1,471,816 Discounted Cash FlowDiscount Rates6.5%—34.0%14.7%
79,035 Broker QuotesBroker QuotesN/AN/A
20,050 Market Comparable ApproachRevenue Multiple0.25x—1.70x1.19x
4,527 $ per kW$131.85N/A
3,552 EBITDA Multiple2.75x—4.25x4.09x
532 Other(2)Other(2)N/AN/A
Senior secured second lien debt38,769 Discounted Cash FlowDiscount Rates14.3%—21.5%17.2%
Collateralized securities and structured products - equity1,179 Discounted Cash FlowDiscount Rates21.0%N/A
Unsecured debt15,316 Market Comparable ApproachEBITDA Multiple9.25xN/A
7,327 Discounted Cash FlowDiscount Rates17.7%N/A
Equity33,441 Market Comparable ApproachEBITDA Multiple2.75x—14.55x7.02x
23,995 $ per kW$412.5N/A
13,038 Revenue Multiple0.13x—5.75x2.93x
2,238 Discounted Cash FlowDiscount Rates16.8%N/A
1,234 Broker QuotesBroker QuotesN/AN/A
5 Options Pricing ModelExpected Volatility80.0%—90.0%87.3%
Total$1,716,054 
(1)Weighted average amounts are based on the estimated fair values.
(2)Fair value is based on the expected outcome of proposed corporate transactions and/or other factors.
The significant unobservable inputs used in the fair value measurement of the Company’s senior secured first lien debt, senior secured second lien debt, collateralized securities and structured products, unsecured debt and equity are discount rates, EBITDA multiples, revenue multiples, broker quotes and expected volatility. A significant increase or decrease in discount rates would result in a significantly lower or higher fair value measurement, respectively. A significant increase or decrease in the EBITDA multiples, revenue multiples, expected proceeds from proposed corporate transactions, broker quotes and expected volatility would result in a significantly higher or lower fair value measurement, respectively.
Note 10. General and Administrative Expense
General and administrative expense consisted of the following items for the ninethree months ended September 30, 2017March 31, 2023 and 2016, respectively. This2022 and the year ended December 31, 2022:
Three Months Ended March 31,Year Ended December 31,
202320222022
Professional fees$526 $633 $1,778 
Dues and subscriptions429 535 791 
Transfer agent expense268 291 1,124 
Valuation expense173 179 821 
Director fees and expenses169 154 632 
Insurance expense167 251 833 
Accounting and administrative costs166 157 524 
Printing and marketing expense5 5 708 
Other expenses52 17 67 
Total general and administrative expense$1,955 $2,222 $7,278 
58
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
Note 11. Commitments and Contingencies
The Company entered into certain contracts with related and other parties that contain a variety of indemnifications. The Company’s maximum exposure under these arrangements is unknown. However, the Company has not experienced claims or losses pursuant to these contracts and believes the risk of loss related to such indemnifications to be remote.
As of March 31, 2023 and December 31, 2022, the Company’s unfunded commitments were as follows:
Unfunded CommitmentsMarch 31, 2023(1)December 31, 2022(1)
Cennox, Inc.$7,193 $7,567 
Flatworld Intermediate Corp.5,865 5,865 
Critical Nurse Staffing, LLC5,139 5,599 
Instant Web, LLC4,763 5,628 
American Health Staffing Group, Inc.3,333 3,333 
Thrill Holdings LLC3,261 3,261 
Mimeo.com, Inc.3,000 3,000 
Service Compression, LLC2,791 4,186 
Coyote Buyer, LLC2,500 2,500 
Moss Holding Company2,232 2,232 
HW Acquisition, LLC2,200 2,200 
MacNeill Pride Group Corp.2,017 2,017 
BDS Solutions Intermediateco, LLC1,998 1,998 
Archer Systems, LLC1,905 1,905 
Bradshaw International Parent Corp.1,844 1,844 
Rogers Mechanical Contractors, LLC1,827 3,365 
Dermcare Management, LLC1,683 1,862 
Sleep Opco, LLC1,225 1,750 
OpCo Borrower, LLC1,042 833 
Williams Industrial Services Group, Inc.1,000 — 
RA Outdoors, LLC735 1,049 
Ironhorse Purchaser, LLC707 2,469 
WorkGenius, Inc.570 750 
NWN Parent Holdings LLC480 90 
Invincible Boat Company LLC239 559 
American Teleconferencing Services, Ltd.235 235 
H.W. Lochner, Inc.225 225 
Anthem Sports & Entertainment Inc.167 167 
Homer City Holdings LLC— 3,000 
RumbleOn, Inc.— 1,775 
STATinMED, LLC— 156 
Total$60,176 $71,420 
(1)Unless otherwise noted, the funding criteria for these unfunded commitments had not been met at the date indicated.
59
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
Unfunded commitments to provide funds to companies are not recorded on the Company’s consolidated balance sheets. Since these commitments may expire without being drawn upon, unfunded commitments do not necessarily represent future cash requirements or future earning assets for the Company. The Company intends to use cash on hand, short-term investments, proceeds from borrowings, and other liquid assets to fund these commitments should the need arise. For information on the companies to which the Company is committed to fund additional amounts as of March 31, 2023 and December 31, 2022, refer to the table above and the consolidated schedules of investments. As of May 3, 2023, the Company was committed, upon the satisfaction of certain conditions, to fund an additional $55,387.
The Company will fund its unfunded commitments from the same sources it uses to fund its investment commitments that are funded at the time they are made (i.e., advances from its financing arrangements and/or cash flows from operations). The Company will not fund its unfunded commitments from future net proceeds generated by securities offerings, if any. The Company follows a process to manage its liquidity and ensure that it has available capital to fund its unfunded commitments. Specifically, the Company prepares detailed analyses of the level of its unfunded commitments relative to its then available liquidity on a daily basis.  These analyses are reviewed and discussed on a weekly basis by the Company's executive officers and senior members of CIM (including members of the investment committee) and are updated on a “real time” basis in order to ensure that the Company has adequate liquidity to satisfy its unfunded commitments.
Note 12. Fee Income
Fee income consists of amendment fees, capital structuring and other fees, conversion fees, commitment fees and administrative agent fees. The following table summarizes the Company’s fee income for the three months ended March 31, 2023 and 2022 and the year ended December 31, 2022:
Three Months Ended
March 31,		Year Ended
December 31,
202320222022
Amendment fees$2,724 $395 $2,633 
Commitment fees309 — — 
Administrative agent fees30 25 100 
Capital structuring and other fees— 1,022 4,446 
Conversion fees— — 2,365 
Total$3,063 $1,442 $9,544 
Administrative agent fees are recurring income as long as the Company remains the administrative agent for the related investment. Income from all other fees was non-recurring.
60
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
Note 13. Financial Highlights

The following is a schedule of financial highlights as of and for the three months ended March 31, 2023 and 2022 and the year ended December 31, 2022:
Three Months Ended
March 31,		Year Ended
December 31,
202320222022
Per share data:(1)
Net asset value at beginning of period$15.98 $16.34 $16.34 
Results of operations:
Net investment income0.54 0.34 1.56 
Net realized loss and net change in unrealized depreciation on investments and loss on foreign currency(2)(1.10)(0.20)(0.68)
Net (decrease) increase in net assets resulting from operations(2)(0.56)0.14 0.88 
Shareholder distributions:
Distributions from net investment income(0.34)(0.28)(1.44)
Net decrease in net assets resulting from shareholders' distributions(0.34)(0.28)(1.44)
Capital share transactions:
Issuance of common stock above net asset value(3)— — — 
Repurchases of common stock below net asset value(4)0.03 — 0.20 
Net increase in net assets resulting from capital share transactions0.03 — 0.20 
Net asset value at end of period$15.11 $16.20 $15.98 
Shares of common stock outstanding at end of period54,961,455 56,958,440 55,299,484 
Total investment return-net asset value(5)(2.17)%1.01 %10.44 %
Total investment return-market value(6)4.75 %15.38 %(14.87)%
Net assets at beginning of period$883,634 $930,512 $930,512 
Net assets at end of period$830,310 $922,453 $883,634 
Average net assets$875,337 $931,165 $917,781 
Ratio/Supplemental data:
Ratio of net investment income to average net assets3.41 %2.09 %9.61 %
Ratio of net operating expenses to average net assets4.01 %2.38 %11.63 %
Portfolio turnover rate(7)1.35 %3.60 %26.81 %
Total amount of senior securities outstanding$1,010,712 $875,000 $957,500 
Asset coverage ratio(8)1.82 2.05 1.92 
(1)The per share data for the three months ended March 31, 2023 and 2022 and the year ended December 31, 2022 was derived by using the weighted average shares of common stock outstanding during each period.
(2)The amount shown for net realized loss, net change was driven primarily by a reversal ofin unrealized depreciation on investments and loss on foreign currency is the loans underlyingbalancing figure derived from the TRS uponother figures in the refinancingschedule. The amount shown at this caption for a share outstanding throughout the period may not agree with the change in the aggregate gains and losses in portfolio securities for the period because of the TRS.
Net Increasetiming of sales and repurchases of the Company’s shares in Net Assets Resulting from Operations
Forrelation to fluctuating market values for the nine months ended September 30, 2017 and 2016, we recordedportfolio. As a result, net (decrease) increase in net assets resulting from operations in this schedule may vary from the consolidated statements of $65,801operations.
61
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and $90,290, respectively, as a result of our operating activity for the respective periods.
Net Asset Value per Share, Annual Investment Return and Total Return Since Inception
Our net asset value per share was $9.15 and $9.11 on September 30, 2017 and December 31, 2016, respectively. After considering (i) the overall changesamounts)
(3)The continuous issuance of shares of common stock may have caused an incremental increase in net asset value per share (ii) paid distributionsdue to the sale of approximately $0.5487shares at the then prevailing public offering price and the receipt of net proceeds per share by the Company in excess of net asset value per share on each subscription closing date. The per share impact of the continuous issuance of shares of common stock was an increase to net asset value of less than $0.01 per share during the ninethree months ended September 30, 2017,March 31, 2023 and (iii)2022 and the assumed reinvestmentyear ended December 31, 2022. The Company's follow-on continuous public offering ended on January 25, 2019.
(4)Repurchases of those distributionscommon stock may have caused an incremental decrease or increase in accordance with our distribution reinvestment plan then in effect, the total investment return was 6.68% for the nine month period ended September 30, 2017. Total investment return-netnet asset value does not representper share due to the repurchase of shares at a price in excess of or below net asset value per share, respectively, on each repurchase date. The per share impact of repurchases of common stock was a decrease to net asset value of less than $0.01 per share during the three months ended March 31, 2023 and may be higher than an actual return to shareholders because it excludes all sales commissions2022 and dealer manager fees. the year ended December 31, 2022.
(5)Total investment return-net asset value is a measure of the change in total value for shareholders who held ourthe Company’s common stock at the beginning and end of the period, including distributions paid or payable during the period. Total investment return-net asset value is based on (i) the beginning period and is described further in Note 13 to our consolidated financial statements included in this report.
Initial shareholders who subscribed to the offering in December 2012 with an initial investment of $10,000 and an initial purchase price equal to $9.00net asset value per share (public offering price net of sales load) have seen an annualized return of 8.46% and a cumulative total return of 47.58% through September 30, 2017 (see chart below). Initial shareholders who subscribed toon the offering in December 2012 with an initial investment of $10,000 and an initial purchase price equal to $10.00 per share (the initial public offering price including sales load) have seen an annualized return of 6.10% and a cumulative total return of 32.82% through September 30, 2017. Over the same time period, the S&P/LSTA Leveraged Loan Index, a primary measure of senior debt covering the U.S. leveraged loan market, which currently consists of approximately 1,000 credit facilities throughout numerous industries, recorded an annualized return of 4.14% and a cumulative total return of 21.45%. In addition, the BofA Merrill Lynch US High Yield Index, a primary measure of short-term US dollar denominated below investment grade corporate debt publicly issued in the US domestic market, recorded an annualized return of 6.01% and a cumulative total return of 32.27% over the same period.
capturea04.jpg
(1) Cumulative performance: December 17, 2012 to September 30, 2017


The calculations for the Growth of $10,000 Initial Investment are based upon (i) an initial investment of $10,000 in our common stock at the beginningfirst day of the period, at a share price of $10.00 per share (including sales load) and $9.00 per share (excluding sales load), (ii) assumes reinvestment of monthly distributions in accordance with our distribution reinvestment plan then in effect, (iii) the sale of the entire investment position at the net asset value per share on the last day of the period of (A) one share plus (B) any fractional shares issued in connection with the reinvestment of distributions, and (iv)(iii) the value of distributions declared and payable, to shareholders, if any, on the last day of the period. The total investment return-net asset value calculation assumes that distributions are reinvested in accordance with the Company's distribution reinvestment plan then in effect as described in Note 5. The total investment return-net asset value does not consider the effect of the sales load from the sale of the Company’s common stock. The total investment return-net asset value includes the effect of the issuance of shares at a net offering price that is greater than net asset value per share, which causes an increase in net asset value per share. Total returns covering less than a full year are not annualized.

(6)Total investment return-market value for the three months ended March 31, 2023 and 2022 and the year ended December 31, 2022 was calculated by taking the change in the market price of the Company's common stock since the first day of the period, and including the impact of distributions reinvested in accordance with the Company’s New DRP. Total investment return-market value does not consider the effect of any sales commissions or charges that may be incurred in connection with the sale of shares of the Company’s common stock. The historical calculation of total investment return-market value in the table should not be considered a representation of the Company’s future total return based on market value, which may be greater or less than the return shown in the table due to a number of factors, including the Company’s ability or inability to make investments in companies that meet its investment criteria, the interest rates payable on the debt securities the Company acquires, the level of the Company’s expenses, variations in and the timing of the recognition of realized and unrealized gains or losses, the degree to which the Company encounters competition in its markets, general economic conditions and fluctuations in per share market value. As a result of these factors, results for any previous period should not be relied upon as being indicative of performance in future periods.
(7)Portfolio turnover rate is calculated using the lesser of year-to-date sales or purchases over the average of the invested assets at fair value, excluding short term investments, and is not annualized.
(8)Asset coverage ratio is equal to (i) the sum of (a) net assets at the end of the period and (b) total senior securities outstanding at the end of the period (excluding unfunded commitments), divided by (ii) total senior securities outstanding at the end of the period.
62

Item 2. Management’s Discussion and Analysis of Financial Condition Liquidity and Capital ResourcesResults of Operations
As used in this Quarterly Report on Form 10-Q, “we,” “us,” “our” or similar terms include CĪON Investment Corporation and its consolidated subsidiaries. In addition, the term "portfolio companies" refers to companies in which we have invested, either directly or indirectly through our consolidated subsidiaries.
The following discussion should be read in conjunction with our unaudited consolidated financial statements and related notes appearing elsewhere in this Quarterly Report on Form 10-Q and the audited consolidated financial statements and related notes included in our Annual Report on Form 10-K for the year ended December 31, 2022. In addition to historical information, the following discussion and other parts of this Quarterly Report on Form 10-Q contain forward-looking information that involves risks and uncertainties. Amounts and percentages presented herein may have been rounded for presentation and all dollar amounts, excluding share and per share amounts, are presented in thousands unless otherwise noted.
Forward-Looking Statements
Some of the statements within this Quarterly Report on Form 10-Q constitute forward-looking statements because they relate to future events or our future performance or financial condition. The forward-looking statements contained in this Quarterly Report on Form 10-Q involve numerous risks and uncertainties, including statements as to:
•our future operating results;
•our business prospects and the prospects of our portfolio companies, including our and their ability to achieve our respective objectives as a result of COVID-19, inflation, rising interest rates, supply-chain disruptions and the risk of recession;
•the impact of the investments that we expect to make;
•the ability of our portfolio companies to achieve their objectives;
•our current and expected financings and investments;
•the adequacy of our cash resources, financing sources and working capital;
•the use of borrowed money to finance a portion of our investments;
•the timing of cash flows, if any, from the operations of our portfolio companies;
•our contractual arrangements and relationships with third parties;
•the actual and potential conflicts of interest with CIM and its affiliates;
•the ability of CIM's investment professionals to locate suitable investments for us and the ability of CIM to monitor and administer our investments;
•the ability of CIM and its affiliates to attract and retain highly talented professionals;
•the dependence of our future success on the general economy and its impact on the industries in which we invest, including COVID-19, inflation, rising interest rates and supply-chain disruptions and the related economic disruptions caused thereby;
•the effects of a changing interest rate environment;
•our ability to source favorable private investments;
•our tax status;
•the effect of changes to tax legislation and our tax position;
•the tax status of the companies in which we invest; and
•the timing and amount of distributions and dividends from the companies in which we invest.
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In addition, words such as “anticipate,” “believe,” “expect” and “intend” indicate a forward-looking statement, although not all forward-looking statements include these words. The forward-looking statements contained in this Quarterly Report on Form 10-Q involve risks and uncertainties. Our actual results could differ materially from those implied or expressed in the forward-looking statements for any reason, including the factors set forth in “Risk Factors” in Item 1A of Part II of this Quarterly Report on Form 10-Q. Other factors that could cause actual results to differ materially include: 
•changes in the economy;
•risks associated with possible disruption in our operations or the economy generally due to terrorism, pandemics, or natural disasters;
•future changes in laws or regulations and conditions in our operating areas;
•the price at which shares of our common stock may trade on and volume fluctuations in the NYSE; and
•the costs associated with being a publicly traded company.
We generate cash primarily fromhave based the net proceeds from our follow-on continuous public offering and from cash flows from interest, fees and dividends earned from our investments as well as principal repayments and proceeds from salesforward-looking statements on information available to us on the date of our investments. We also employ leverage to seek to enhance our returns as market conditions permit and at the discretion of CIM, but in no event will leverage employed exceed 50% of the value of our total assets,this Quarterly Report on Form 10-Q. Except as required by the federal securities laws, we undertake 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 review any additional disclosures that we may make directly to you or through reports that we 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. The forward-looking statements contained in this Quarterly Report on Form 10-Q are excluded from the safe harbor protection provided by Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended.
Overview
We were incorporated under the general corporation laws of the State of Maryland on August 9, 2011 and commenced operations on December 17, 2012 upon raising proceeds of $2,500 from persons not affiliated with us, CIM or its affiliates. We are an externally managed, non-diversified, closed-end management investment company that has elected to be regulated as a BDC under the 1940 Act. We are engagedelected to be treated for federal income tax purposes as a RIC, as defined under Subchapter M of the Code.
Our investment objective is to generate current income and, to a lesser extent, capital appreciation for investors. Our portfolio is comprised primarily of investments in senior secured debt, including first lien loans, second lien loans and unitranche loans, and, to a follow-on continuous public offeringlesser extent, collateralized securities, structured products and other similar securities, unsecured debt, and equity, of private and thinly-traded U.S. middle-market companies. In connection with our debt investments, we may receive equity interests such as warrants or options as additional consideration. We may also purchase equity interests in the form of common or preferred stock in our target companies, either in conjunction with one of our debt investments or through a co-investment with a financial sponsor.
On October 5, 2021, shares of our common stock. Our initial continuous public offering commencedstock began trading on July 2, 2012 and ended on December 31, 2015. Our follow-on continuous public offering commenced on January 25, 2016 and will continue until no later than January 25, 2019. We accept subscriptions on a continuous basis and issue shares at weekly closings at prices that, after deducting selling commissions and dealer manager fees, are at or abovethe NYSE under the ticker symbol “CION”. The Listing accomplished our net asset value per share.
We will sellgoal of providing our shares on a continuous basis atshareholders with greatly enhanced liquidity. On February 26, 2023, our latest public offering price of $9.70 per share; however, to the extent that our net asset value fluctuates, we will sell at a price necessary to ensure that shares are sold at a price, after deduction of selling commissions and dealer manager fees, that is above and within 2.5% of net asset value per share.
Since commencing our initial continuous public offering on July 2, 2012 and through September 30, 2017, we sold 114,440,741 shares of common stock also listed and commenced trading on the TASE under the ticker symbol “CION”.
We are managed by CIM, our affiliate and a registered investment adviser. Pursuant to an investment advisory agreement with us, CIM oversees the management of our activities and is responsible for net proceedsmaking investment decisions for our portfolio. On April 5, 2021, our board of $1,162,041directors, including a majority of directors who are not interested persons, approved the amended and restated investment advisory agreement with CIM for a period of twenty four months, which was subsequently approved by shareholders on August 9, 2021 (as described in further detail below). We and CIM previously engaged AIM to act as our investment sub-adviser.
On July 11, 2017, the members of CIM entered into the Third Amended CIM LLC Agreement for the purpose of creating a joint venture between AIM and CIG. Under the Third Amended CIM LLC Agreement, AIM became a member of CIM and was issued a newly-created class of membership interests in CIM pursuant to which AIM, among other things, shares in the profits, losses, distributions and expenses of CIM with the other members in accordance with the terms of the Third Amended CIM LLC Agreement, which results in CIG and AIM each owning a 50% economic interest in CIM.
On July 10, 2017, our independent directors unanimously approved the termination of the investment sub-advisory agreement with AIM, effective as of July 11, 2017, as part of the new and ongoing relationship among us, CIM and AIM. Although the investment sub-advisory agreement and AIM's engagement as our investment sub-adviser were terminated, AIM continues to perform certain services for CIM and us. AIM is not paid a separate fee in exchange for such services, but is entitled to receive distributions as a member of CIM as described above.
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On December 4, 2017, the members of CIM entered into the Fourth Amended CIM LLC Agreement under which AIM performs certain services for CIM, which include, among other services, providing (a) trade and settlement support; (b) portfolio and cash reconciliation; (c) market pipeline information regarding syndicated deals, in each case, as reasonably requested by CIM; and (d) monthly valuation reports and support for all broker-quoted investments. AIM may also, from time to time, provide us with access to potential investment opportunities made available on Apollo's credit platform on a similar basis as other third-party market participants. All of our investment decisions are the sole responsibility of, and are made at an average price per sharethe sole discretion of, $10.15. CIM's investment committee, which consists entirely of CIG senior personnel.
The net proceeds include gross proceeds received from reinvested shareholder distributions of $114,174, for whichamended and restated investment advisory agreement was approved by shareholders on August 9, 2021. As a result, on August 10, 2021, we issued 12,532,914 shares of common stock, and gross proceeds paid for shares of common stock tendered for repurchase of $55,581, for which we repurchased 6,143,717 shares of common stock. Since commencing our initial continuous public offering on July 2, 2012CIM entered into the amended and through September 30, 2017, sales commissions and dealer manager fees relatedrestated investment advisory agreement in order to implement the change to the salecalculation of the subordinated incentive fee payable from us to CIM that expresses the hurdle rate required for CIM to earn, and be paid, the incentive fee as a percentage of our common stock were $64,186net assets rather than adjusted capital.
Upon the occurrence of the Listing on October 5, 2021, we and $31,776, respectively.
As of November 8, 2017, we sold 114,398,359 shares of common stock for net proceeds of $1,161,927 at an average price per share of $10.16. The net proceeds include gross proceeds received from reinvested shareholder distributions of $117,998, for which we issued 12,950,612 shares of common stock,CIM entered into the second amended and gross proceeds paid for shares of common stock tendered for repurchase of $65,821, for which we repurchased 7,261,847 shares of common stock. Since commencing our initial continuous public offering on July 2, 2012 and through November 8, 2017, sales commissions and dealer manager fees relatedrestated investment advisory agreement in order to implement the changes to the saleadvisory fees payable from us to CIM that (i) reduced the annual base management fee, (ii) amended the structure of our common stock were $64,317the subordinated incentive fee on income payable from us to CIM and $31,878, respectively.
The net proceedsreduced the hurdle and incentive fee rates, and (iii) reduced the incentive fee on capital gains payable from our follow-on continuous public offering will be invested primarilyus to CIM (as described in cash, cash equivalents, U.S. government securities, repurchase agreementsfurther detail in Notes 2 and high-quality debt instruments maturing in one year or less prior to being invested in debt securities of private U.S. middle-market companies.
As of September 30, 2017 and December 31, 2016, we had $140,810 and $70,498 in short term investments, respectively, invested in a fund that primarily invests in U.S. government securities.

Citibank Credit Facility

As of September 30, 2017 and November 9, 2017, our outstanding borrowings under the Citibank Credit Facility were $281,698 and the aggregate unfunded principal amount in connection with the Citibank Credit Facility was $43,302. For a detailed discussion of our Citibank Credit Facility, refer to Note 84 to our consolidated financial statements included in this report.report).

We seek to meet our investment objective by utilizing the experienced management team of CIM, which includes its access to the relationships and human capital of its affiliates in sourcing, evaluating and structuring transactions, as well as monitoring and servicing our investments. We focus primarily on the senior secured debt of private and thinly-traded U.S. middle-market companies, which we define as companies that generally possess annual EBITDA of $75 million or less, with experienced management teams, significant free cash flow, strong competitive positions and potential for growth.
Revenue
We primarily generate revenue in the form of interest income on the debt securities that we hold and capital gains on debt or other equity interests that we acquire in portfolio companies. The majority of our senior debt investments bear interest at a floating rate. Interest on debt securities is generally payable quarterly or monthly. In some cases, some of our investments may provide for deferred interest payments or PIK interest. The principal amount of the debt securities and any accrued, but unpaid, interest generally will become due at the maturity date. In addition, we may generate revenue in the form of commitment and capital structuring fees, monitoring fees, fees for providing managerial assistance and possibly consulting fees and performance-based fees. Any such fees generated in connection with our investments will be recognized when earned.
JPM Credit Facility
On August 26, 2016, 34th Street entered into a senior secured credit facility with JPM. The senior secured credit facility with JPM, or the JPM Credit Facility, provided for borrowings in an aggregate principal amount of $150,000, of which $25,000 could have been funded as a revolving credit facility, each subject to conditions described in the JPM Credit Facility. On August 26, 2016, 34th Street drew down $57,000 of borrowings under the JPM Credit Facility.
On September 30, 2016, July 11, 2017, November 28, 2017 and May 23, 2018, 34th Street amended and restated the JPM Credit Facility, or the Amended JPM Credit Facility, with JPM. Under the Amended JPM Credit Facility entered into on September 30, 2016, the aggregate principal amount available for borrowings was increased from $150,000 to $225,000, of which $25,000 could have been funded as a revolving credit facility, subject to conditions described in the Amended JPM Credit Facility. Under the Amended JPM Credit Facility entered into on July 11, 2017 and November 28, 2017, certain immaterial administrative amendments were made as a result of the termination of AIM as the Company's investment sub-adviser as discussed in Note 1. Under the Amended JPM Credit Facility entered into on May 23, 2018, (i) the aggregate principal amount available for borrowings was increased from $225,000 to $275,000, of which $25,000 could have been funded as a revolving credit facility, subject to conditions described in the Amended JPM Credit Facility, (ii) the reinvestment period was extended until August 24, 2020 and (iii) the maturity date was extended to August 24, 2021.
On May 15, 2020, 34th Street amended and restated the Amended JPM Credit Facility, or the Second Amended JPM Credit Facility, with JPM in order to fully repay all amounts outstanding under the Company's prior Citibank Credit Facility and MS Credit Facility and repay $100,000 of advances outstanding under the UBS Facility (as described below). Under the Second Amended JPM Credit Facility, the aggregate principal amount available for borrowings was increased from $275,000 to $700,000, of which $75,000 may be funded as a revolving credit facility, subject to conditions described in the Second Amended JPM Credit Facility, during the reinvestment period. Under the Second Amended JPM Credit Facility, the reinvestment period was extended until May 15, 2022 and the maturity date was extended to May 15, 2023. Advances under the Second Amended JPM Credit Facility bore interest at a floating rate equal to the three-month LIBOR, plus a spread of 3.25% per year.
On February 26, 2021, 34th Street amended and restated the Second Amended JPM Credit Facility, or the Third Amended JPM Credit Facility, with JPM. Under the Third Amended JPM Credit Facility, the aggregate principal amount available for borrowings was reduced from $700,000 to $575,000, subject to conditions described in the Third Amended JPM Credit Facility. In addition, under the Third Amended JPM Credit Facility, the reinvestment period was extended from May 15, 2022 to May 15, 2023 and the maturity date was extended from May 15, 2023 to May 15, 2024. Advances under the Third Amended JPM Credit Facility bear interest at a floating rate equal to the three-month LIBOR, plus a spread of 3.10% per year, which was reduced from a spread of 3.25% per year. 34th Street incurred certain customary costs and expenses in connection with the Third Amended JPM Credit Facility. No other material terms of the Second JPM Credit Facility were revised in connection with the Third Amended JPM Credit Facility.
48
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
On March 28, 2022, 34th Street entered into a First Amendment to the Third Amended JPM Credit Facility with JPM, or the JPM First Amendment. Under the JPM First Amendment, the aggregate principal amount available for borrowings was increased from $575,000 to $675,000, subject to conditions described in the JPM First Amendment. Additional advances of up to $100,000 under the JPM First Amendment bear interest at a floating rate equal to the three-month SOFR, plus a credit spread of 3.10% per year, and a LIBOR to SOFR credit spread adjustment of 0.15%. 34th Street incurred certain customary costs and expenses in connection with the JPM First Amendment. No other material terms of the Third Amended JPM Credit Facility were revised in connection with the JPM First Amendment.
Interest is payable quarterly in arrears. 34th Street may prepay advances pursuant to the terms and conditions of the Third Amended JPM Credit Facility and the JPM First Amendment, subject to a 1.0% premium in certain circumstances. In addition, 34th Street will be subject to a non-usage fee of 1.0% per year on the amount, if any, of the aggregate principal amount available under the Third Amended JPM Credit Facility and the JPM First Amendment that has not been borrowed through May 14, 2023. The non-usage fees, if any, are payable quarterly in arrears.
As of March 31, 2023 and December 31, 2022, the aggregate principal amount outstanding on the Third Amended JPM Credit Facility and the JPM First Amendment was $600,000 and $610,000, respectively.
The Company contributed loans and other corporate debt securities to 34th Street in exchange for 100% of the membership interests of 34th Street, and may contribute additional loans and other corporate debt securities to 34th Street in the future. 34th Street’s obligations to JPM under the Third Amended JPM Credit Facility and the JPM First Amendment are secured by a first priority security interest in all of the assets of 34th Street. The obligations of 34th Street under the Third Amended JPM Credit Facility and the JPM First Amendment are non-recourse to the Company, and the Company’s exposure under the Third Amended JPM Credit Facility and the JPM First Amendment is limited to the value of the Company’s investment in 34th Street.
In connection with the Third Amended JPM Credit Facility and the JPM First Amendment, 34th Street made certain representations and warranties and is required to comply with a borrowing base requirement, various covenants, reporting requirements and other customary requirements for similar facilities. As of and for the three months ended March 31, 2023, 34th Street was in compliance with all covenants and reporting requirements.
Through March 31, 2023, the Company incurred debt issuance costs of $12,102 in connection with obtaining and amending the JPM Credit Facility, which were recorded as a direct reduction to the outstanding balance of the Third Amended JPM Credit Facility and the JPM First Amendment, which is included in the Company’s consolidated balance sheet as of March 31, 2023 and will amortize to interest expense over the term of the Third Amended JPM Credit Facility and the JPM First Amendment. At March 31, 2023, the unamortized portion of the debt issuance costs was $2,571.
For the three months ended March 31, 2023 and 2022 and the year ended December 31, 2022, the components of interest expense, average borrowings, and weighted average interest rate for the JPM First Amendment and the Third Amended JPM Credit Facility were as follows:
Three Months Ended March 31,Year Ended December 31,
202320222022
Stated interest expense$11,990 $4,707 $29,254 
Amortization of deferred financing costs564 490 2,214 
Non-usage fee171 70 617 
Total interest expense$12,725 $5,267 $32,085 
Weighted average interest rate(1)8.02 %3.44 %4.99 %
Average borrowings$606,667 $551,333 $590,603 
(1)Includes the stated interest expense and non-usage fee on the unused portion of the JPM First Amendment and the Third Amended JPM Credit Facility and is annualized for periods covering less than one year.
2026 Notes
On February 11, 2021, the Company entered into a Note Purchase Agreement with certain purchasers, or the Note Purchase Agreement, in connection with the Company’s issuance of $125,000 aggregate principal amount of its 4.50% senior unsecured notes due in 2026, or the 2026 Notes. The net proceeds to the Company were approximately $122,300, after the deduction of placement agent fees and other financing expenses, which the Company used to repay debt under its secured financing arrangements.
49
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
The 2026 Notes mature on February 11, 2026. The 2026 Notes bear interest at a rate of 4.50% per year payable semi-annually on February 11th and August 11th of each year, which commenced on August 11, 2021. The Company has the right to, at its option, redeem all or a part that is not less than 10% of the 2026 Notes (i) on or before February 11, 2024, at a redemption price equal to 100% of the principal amount of 2026 Notes to be redeemed plus an applicable “make-whole” amount equal to (x) the discounted value of the remaining scheduled payments with respect to the principal of such 2026 Note that is to be prepaid or becomes due and payable pursuant to the Note Purchase Agreement over (y) the amount of such called principal, plus accrued and unpaid interest, if any, (ii) after February 11, 2024 but on or before February 11, 2025, at a redemption price equal to 102% of the principal amount of the 2026 Notes to be redeemed, plus accrued and unpaid interest, if any, (iii) after February 11, 2025 but on or before August 11, 2025, at a redemption price equal to 101% of the principal amount of the 2026 Notes to be redeemed, plus accrued and unpaid interest, if any, and (iv) after August 11, 2025, at a redemption price equal to 100% of the principal amount of the 2026 Notes to be redeemed, plus accrued and unpaid interest, if any. For any redemptions occurring on or before February 11, 2024, the discounted value portion of the “make whole amount” is calculated by applying a discount rate on the same periodic basis as that on which interest on the 2026 Notes is payable equal to the sum of 0.50% plus the yield to maturity of the most recently issued U.S. Treasury securities having a maturity equal to the remaining average life of the 2026 Notes, or if there are no such U.S. Treasury securities, using such implied yield to maturity determined in accordance with the terms of the Note Purchase Agreement.
The 2026 Notes are general unsecured obligations of the Company that rank pari passu with all existing and future unsecured unsubordinated indebtedness issued by the Company, rank effectively junior to any of the Company’s secured indebtedness (including unsecured indebtedness that the Company later secures) to the extent of the value of the assets securing such indebtedness, and rank structurally junior to all existing and future indebtedness (including trade payables) incurred by certain of the Company’s subsidiaries, financing vehicles or similar facilities.
The Note Purchase Agreement contains other terms and conditions, including, without limitation, affirmative and negative covenants such as (i) information reporting, (ii) maintenance of the Company’s status as a BDC, (iii) minimum shareholders’ equity of 60% of the Company’s net asset value as of the year ended December 31, 2020 plus 50% of the net cash proceeds of the sale of certain equity interests by the Company after February 11, 2021, if any, (iv) a minimum asset coverage ratio of not less than 150%, (v) a minimum interest coverage ratio of 1.25 to 1.00 and (vi) an unencumbered asset coverage ratio of 1.25 to 1.00, provided that (a) first lien senior secured loans and cash represent more than 65% of the total value of unencumbered assets used by the Company for purposes of the ratio and (b) equity interests or structured products in the aggregate represent less than 15% of the total value of unencumbered assets used by the Company for purposes of the ratio. As of and for the three months ended March 31, 2023, the Company was in compliance with all covenants and reporting requirements.
The Note Purchase Agreement also contains a “most favored lender” provision in favor of the purchasers in respect of any new unsecured credit facilities, loans or indebtedness in excess of $25,000 incurred by the Company, which indebtedness contains a financial covenant not contained in, or more restrictive against the Company than those contained, in the Note Purchase Agreement. In addition, the Note Purchase Agreement contains customary events of default with customary cure and notice periods, including, without limitation, nonpayment, incorrect representation in any material respect, breach of covenant, cross-default under other indebtedness or derivative securities of the Company in an outstanding aggregate principal amount of at least $25,000, certain judgments and orders, and certain events of bankruptcy.
As of March 31, 2023, the aggregate principal amount of 2026 Notes outstanding was $125,000.
Through March 31, 2023, the Company incurred debt issuance costs of $2,669 in connection with issuing the 2026 Notes, which were recorded as a direct reduction to the outstanding balance of the 2026 Notes, which is included in the Company’s consolidated balance sheet as of March 31, 2023 and will amortize to interest expense over the term of the 2026 Notes. At March 31, 2023, the unamortized portion of the debt issuance costs was $1,531.
For the three months ended March 31, 2023 and 2022 and for the year ended December 31, 2022, the components of interest expense, average borrowings, and weighted average interest rate for the 2026 Notes were as follows:
Three Months Ended
March 31,		Year Ended December 31,
2022
20232022
Stated interest expense$1,406 $1,406 $5,600 
Amortization of deferred financing costs131 131 533 
Total interest expense$1,537 $1,537 $6,133 
Weighted average interest rate(1)4.50 %4.50 %4.50 %
Average borrowings$125,000 $125,000 $125,000 
(1)Includes the stated interest expense on the 2026 Notes and is annualized for periods covering less than one year.
50
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
UBS Facility
On May 19, 2017, the Company, through two newly-formed, wholly-owned, special-purpose financing subsidiaries, entered into a financing arrangement with UBS pursuant to which up to $125,000 was made available to the Company.
Pursuant to the financing arrangement, assets in the Company's portfolio may be contributed from time to time to Murray Hill Funding II through Murray Hill Funding, LLC, or Murray Hill Funding, each a newly-formed, wholly-owned, special-purpose financing subsidiary of the Company. On May 19, 2017, the Company contributed assets to Murray Hill Funding II. The assets held by Murray Hill Funding II secure the obligations of Murray Hill Funding II under Class A-1 Notes, or the Notes, issued by Murray Hill Funding II. Pursuant to an Indenture, dated May 19, 2017, between Murray Hill Funding II and U.S. Bank National Association, or U.S. Bank, as trustee, or the Indenture, the aggregate principal amount of Notes that may be issued by Murray Hill Funding II from time to time was $192,308. Murray Hill Funding purchased the Notes issued by Murray Hill Funding II at a purchase price equal to their par value. Murray Hill Funding makes capital contributions to Murray Hill Funding II to, among other things, maintain the value of the portfolio of assets held by Murray Hill Funding II.
Principal on the Notes will be due and payable on the stated maturity date of May 19, 2027. Pursuant to the Indenture, Murray Hill Funding II made certain representations and warranties and is required to comply with various covenants, reporting requirements and other customary requirements for similar transactions. The Indenture contains events of default customary for similar transactions, including, without limitation: (a) the failure to make principal payments on the Notes at their stated maturity or any earlier redemption date or to make interest payments on the Notes and such failure is not cured within three business days; (b) the failure to disburse amounts in accordance with the priority of payments and such failure is not cured within three business days; and (c) the occurrence of certain bankruptcy and insolvency events with respect to Murray Hill Funding II or Murray Hill Funding. As of and for the three months ended March 31, 2023, Murray Hill Funding II was in compliance with all covenants and reporting requirements.
Murray Hill Funding, in turn, entered into a repurchase transaction with UBS, pursuant to the terms of a Global Master Repurchase Agreement and the related Annex and Master Confirmation thereto, each dated May 19, 2017, or collectively, the UBS Facility. Pursuant to the UBS Facility, on May 19, 2017 and June 19, 2017, UBS purchased Notes held by Murray Hill Funding for an aggregate purchase price equal to 65% of the principal amount of Notes purchased. Subject to certain conditions, the maximum principal amount of Notes that may be purchased under the UBS Facility was $192,308. Accordingly, the aggregate maximum amount payable to Murray Hill Funding under the UBS Facility would not exceed $125,000. Murray Hill Funding was required to repurchase the Notes sold to UBS under the UBS Facility by no later than May 19, 2020. The repurchase price paid by Murray Hill Funding to UBS will be equal to the purchase price paid by UBS for the repurchased Notes (giving effect to any reductions resulting from voluntary partial prepayment(s)). The financing fee under the UBS Facility was equal to the three-month LIBOR plus a spread of up to 3.50% per year for the relevant period.
On December 1, 2017, Murray Hill Funding II amended and restated the Indenture, or the Amended Indenture, pursuant to which the aggregate principal amount of Notes that may be issued by Murray Hill Funding II was increased from $192,308 to $266,667. On December 1, 2017, Murray Hill Funding entered into a First Amended and Restated Master Confirmation to the Global Master Repurchase Agreement, or the Amended Master Confirmation, which sets forth the terms of the repurchase transaction between Murray Hill Funding and UBS under the UBS Facility. As part of the Amended Master Confirmation, on December 15, 2017 and April 2, 2018, UBS purchased the increased aggregate principal amount of Notes held by Murray Hill Funding for an aggregate purchase price equal to 75% of the principal amount of Notes issued. As a result of the Amended Master Confirmation, the aggregate maximum amount payable to Murray Hill Funding and made available to the Company under the UBS Facility was increased from $125,000 to $200,000. No other material terms of the UBS Facility were revised in connection with the amended UBS Facility, or the Amended UBS Facility.
On May 19, 2020, Murray Hill Funding entered into a Second Amended and Restated Master Confirmation to the Global Master Repurchase Agreement, or the Second Amended Master Confirmation, which extended the date that Murray Hill Funding will be required to repurchase the Notes sold to UBS under the Amended UBS Facility from May 19, 2020 to November 19, 2020, and increased the spread on the financing fee from 3.50% to 3.90% per year.
On May 19, 2020, Murray Hill Funding also repurchased Notes in the aggregate principal amount of $133,333 from UBS for an aggregate repurchase price of $100,000, which was then repaid by Murray Hill Funding II. The repurchase of the Notes on May 19, 2020 resulted in a repayment of one-half of the outstanding amount of borrowings under the Amended UBS Facility as of May 19, 2020. As of December 31, 2020, Notes remained outstanding in the aggregate principal amount of $133,333, which was purchased by Murray Hill Funding from Murray Hill Funding II and subsequently sold to UBS under the Amended UBS Facility for aggregate proceeds of $100,000.
On November 12, 2020, Murray Hill Funding entered into a Third Amended and Restated Master Confirmation to the Global Master Repurchase Agreement, or the Third Amended Master Confirmation, to further extend the date that Murray Hill Funding will be required to repurchase the Notes to December 18, 2020.
51
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
On December 17, 2020, Murray Hill Funding entered into a Fourth Amended and Restated Master Confirmation to the Global Master Repurchase Agreement, or the Fourth Amended Master Confirmation, which further extended the date that Murray Hill Funding will be required to repurchase the Notes sold to UBS under the Amended UBS Facility from December 18, 2020 to November 19, 2023, and decreased the spread on the financing fee from 3.90% to 3.375% per year. No other material terms of the Amended UBS Facility were revised in connection with the Fourth Amended Master Confirmation.
On December 17, 2020, Murray Hill Funding also entered into a Revolving Credit Note Agreement, or the Revolving Note Agreement, with Murray Hill Funding II, UBS and U.S. Bank, as note agent and trustee, which provides for a revolving credit facility in an aggregate principal amount of $50,000, subject to compliance with a borrowing base. Murray Hill Funding II will issue Class A-R Notes, or the Class A-R Notes, in exchange for advances under the Revolving Note Agreement. Principal on the Class A-R Notes will be due and payable on the stated maturity date of May 19, 2027, which is the same stated maturity date as the Notes.
The Class A-R Notes will be issued pursuant to a Second Amended and Restated Indenture, dated December 17, 2020, between Murray Hill Funding II and U.S. Bank, as trustee, or the Second Amended Indenture. Under the Second Amended Indenture, the aggregate principal amount of Notes and Class A-R Notes that may be issued by Murray Hill Funding II from time to time is $150,000. Murray Hill Funding, in turn, entered into a repurchase transaction with UBS pursuant to the terms of the related Annex and Master Confirmation, dated December 17, 2020, to the Global Master Repurchase Agreement, dated May 19, 2017, related to the Class A-R Notes. Murray Hill Funding is required to repurchase the Class A-R Notes that will be sold to UBS by no later than November 19, 2023. The financing fee for the funded Class A-R Notes is equal to the three-month LIBOR plus a spread of 3.375% per year while the financing fee for the unfunded Class A-R Notes is equal to 0.75% per year.
Pursuant to the Amended UBS Facility, on July 1, 2021, December 14, 2021 and April 19, 2022, UBS purchased Class A-R Notes held by Murray Hill Funding for an aggregate purchase price equal to 100% of the principal amount of Class A-R Notes purchased, which was $21,000, $25,000 and $17,500, respectively. On August 20, 2021, March 7, 2023 and April 14, 2023, Murray Hill Funding repurchased Class A-R Notes in the aggregate principal amount of $21,000, $17,500 and $25,000, respectively, from UBS for an aggregate repurchase price of $21,000, $17,500 and $25,000, respectively, which was then repaid by Murray Hill Funding II. The repurchase of the A-R Notes on August 20, 2021, March 7, 2023 and April 14, 2023 resulted in repayments of $21,000, $17,500 and $25,000, respectively, of the outstanding amount of borrowings under the Amended UBS Facility.
UBS may require Murray Hill Funding to post cash collateral if, without limitation, the sum of the market value of the portfolio of assets and the cash and eligible investments held by Murray Hill Funding II, together with any posted cash collateral, is less than the required margin amount under the Amended UBS Facility; provided, however, that Murray Hill Funding will not be required to post cash collateral with UBS until such market value has declined at least 10% from the initial market value of the portfolio assets.
The Company has no contractual obligation to post any such cash collateral or to make any payments to UBS on behalf of Murray Hill Funding. The Company may, but is not obligated to, increase its investment in Murray Hill Funding for the purpose of funding any cash collateral or payment obligations for which Murray Hill Funding becomes obligated in connection with the Amended UBS Facility. The Company’s exposure under the Amended UBS Facility is limited to the value of the Company’s investment in Murray Hill Funding.  
Pursuant to the Amended UBS Facility, Murray Hill Funding made certain representations and warranties and is required to comply with a borrowing base requirement, various covenants, reporting requirements and other customary requirements for similar transactions. The Amended UBS Facility contains events of default customary for similar financing transactions, including, without limitation: (a) failure to transfer the Notes to UBS on the applicable purchase date or repurchase the Notes from UBS on the applicable repurchase date; (b) failure to pay certain fees and make-whole amounts when due; (c) failure to post cash collateral as required; (d) the occurrence of insolvency events with respect to Murray Hill Funding; and (e) the admission by Murray Hill Funding of its inability to, or its intention not to, perform any of its obligations under the Amended UBS Facility. As of and for the three months ended March 31, 2023, Murray Hill Funding was in compliance with all covenants and reporting requirements.
Murray Hill Funding paid an upfront fee and incurred certain other customary costs and expenses totaling $2,637 in connection with obtaining the Amended UBS Facility, which were recorded as a direct reduction to the outstanding balance of the Amended UBS Facility, which is included in the Company’s consolidated balance sheets and amortized to interest expense over the term of the Amended UBS Facility. At March 31, 2023, all upfront fees and other expenses were fully amortized.
As of March 31, 2023, Notes in the aggregate principal amount of $125,000 had been purchased by Murray Hill Funding from Murray Hill Funding II and subsequently sold to UBS under the Amended UBS Facility for aggregate proceeds of $125,000. The carrying amount outstanding under the Amended UBS Facility approximates its fair value. The Company funded each purchase of Notes by Murray Hill Funding through a capital contribution to Murray Hill Funding. As of March 31, 2023, the amount due at maturity under the Amended UBS Facility was $125,000. The Notes issued by Murray Hill Funding II and purchased by Murray Hill Funding eliminate in consolidation on the Company’s consolidated financial statements.
As of March 31, 2023, the fair value of assets held by Murray Hill Funding II was $252,595.
52
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
For the three months ended March 31, 2023 and 2022 and the year ended December 31, 2022, the components of interest expense, average borrowings, and weighted average interest rate for the Amended UBS Facility were as follows:
Three Months Ended March 31,Year Ended December 31,
202320222022
Stated interest expense$2,804 $1,147 $7,273 
Non-usage fee23 47 96 
Total interest expense$2,827 $1,194 $7,369 
Weighted average interest rate(1)8.22 %3.82 %5.29 %
Average borrowings$137,639 $125,000 $137,322 
(1)Includes the stated interest expense and non-usage fee on the unused portion of the Amended UBS Facility and is annualized for periods covering less than one year.
Series A Notes
On February 28, 2023, the Company entered into a Deed of Trust, or the Deed of Trust, with Mishmeret Trust Company Ltd., as trustee, under which the Company issued $80,712 in aggregate principal amount of its Series A Unsecured Notes due 2026, or the Series A Notes. The Series A Notes offering in Israel closed on February 28, 2023 and the Series A Notes listed and commenced trading on the TASE on February 28, 2023. After the deduction of fees and other offering expenses, the Company received net proceeds of approximately $77,900, which it used to make investments in portfolio companies in accordance with its investment objectives and for working capital and general corporate purposes. The Series A Notes are rated A1.il by Midroog Ltd., an affiliate of Moody’s.
The Series A Notes will mature on August 31, 2026 and may be redeemed in whole or in part at the Company's option at par plus a “make-whole” premium, if applicable, as set forth in the Deed of Trust. The Series A Notes bear interest at a rate equal to SOFR plus a credit spread of 3.82% per year, which will be paid quarterly on February 28, May 31, August 31, and November 30 of each year, commencing on May 31, 2023. The Series A Notes are general unsecured obligations of the Company that rank senior in right of payment to all of the Company’s existing and future indebtedness that is expressly subordinated in right of payment to the Series A Notes, rank pari passu with all existing and future unsecured unsubordinated indebtedness issued by the Company, rank effectively junior to any of the Company's secured indebtedness (including unsecured indebtedness that the Company later secures) to the extent of the value of the assets securing such indebtedness, and rank structurally junior to all existing and future indebtedness (including trade payables) incurred by the Company's subsidiaries, financing vehicles or similar facilities.
The Deed of Trust contains other terms and conditions, including, without limitation, affirmative and negative covenants such as (i) information reporting, (ii) maintenance of the Company’s status as a BDC within the meaning of the 1940 Act, (iii) minimum shareholders’ equity of $525 million, (iv) a minimum asset coverage ratio of not less than 150%, and (v) an unencumbered asset coverage ratio of 1.25 to 1.00. In addition, the Deed of Trust contains customary events of default with customary cure and notice periods, including, without limitation, nonpayment, incorrect representation in any material respect, breach of covenant, cross-default under the Company’s other indebtedness in an outstanding aggregate principal amount of at least $50,000, certain judgments and orders, and certain events of bankruptcy. As of and for the three months ended March 31, 2023, the Company was in compliance with all covenants and reporting requirements.
On February 26, 2023, the Company’s shares of common stock listed and commenced trading on the TASE under the ticker symbol “CION”.
Through March 31, 2023, the Company incurred debt issuance costs of $3,033 in connection with issuing the Series A Notes, which were recorded as a direct reduction to the outstanding balance of the Series A Notes, which is included in the Company’s consolidated balance sheet as of March 31, 2023 and will amortize to interest expense over the term of the Series A Notes. At March 31, 2023, the unamortized portion of the debt issuance costs was $2,955.
53
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
For the period from February 28, 2023 through March 31, 2023, the components of interest expense, average borrowings, and weighted average interest rate for the Series A Notes were as follows:
For the Period From February 28, 2023 Through March 31, 2023
Stated interest expense$618 
Amortization of deferred financing costs78 
Total interest expense$696
Weighted average interest rate(1)8.62 %
Average borrowings$80,712 
(1) Includes the stated interest expense on the Series A Notes and is annualized for periods covering less than one year.
2022 More Term Loan
On April 27, 2022, the Company entered into an Unsecured Term Loan Facility Agreement, or the More Term Loan Agreement, with More Provident Funds and Pension Ltd., or More Provident, as lender, which provided for an unsecured term loan to the Company in an aggregate principal amount of $50,000, or the 2022 More Term Loan. On April 27, 2022, the Company drew down $50,000 of borrowings under the 2022 More Term Loan. After the deduction of fees and other financing expenses, the Company received net borrowings of approximately $49,000, which it used for working capital and other general corporate purposes.
Advances under the 2022 More Term Loan bear interest at a floating rate equal to the three-month SOFR, plus a credit spread of 3.50% per year and subject to a 1.0% SOFR floor, payable quarterly in arrears. Advances under the 2022 More Term Loan mature on April 27, 2027. The Company has the right to, at its option, prepay all or any portion of advances then outstanding together with a prepayment fee equal to the higher of (i) zero, or (ii) the discounted present value of all remaining interest payments that would have been paid by the Company through the maturity date with respect to the principal amount of such advance that is to be prepaid or becomes due and payable pursuant to the More Term Loan Agreement. The discounted present value portion of the prepayment fee is calculated by applying a discount rate on the same periodic basis as that on which interest on advances is payable equal to the three-month SOFR plus 2.00%.
Advances under the 2022 More Term Loan are general unsecured obligations of the Company that rank pari passu with all existing and future unsecured unsubordinated indebtedness issued by the Company, rank effectively junior to any of the Company’s secured indebtedness (including unsecured indebtedness that the Company later secures) to the extent of the value of the assets securing such indebtedness, and rank structurally junior to all existing and future indebtedness (including trade payables) incurred by certain of the Company’s subsidiaries, financing vehicles or similar facilities.
The More Term Loan Agreement contains other terms and conditions, including, without limitation, affirmative and negative covenants such as (i) information reporting, (ii) maintenance of the Company’s status as a BDC within the meaning of the 1940 Act, (iii) minimum shareholders’ equity of 60% of the Company’s net asset value as of the year ended December 31, 2021 plus 50% of the net cash proceeds of the sale of certain equity interests by the Company after April 27, 2022, if any, (iv) a minimum asset coverage ratio of not less than 150%, and (v) an unencumbered asset coverage ratio of 1.25 to 1.00, provided that (a) first lien senior secured loans and cash represent more than 65% of the total value of unencumbered assets used by the Company for purposes of the ratio and (b) equity interests or structured products in the aggregate represent less than 15% of the total value of unencumbered assets used by the Company for purposes of the ratio. In addition, the More Term Loan Agreement contains customary events of default with customary cure and notice periods, including, without limitation, nonpayment, incorrect representation in any material respect, breach of covenant, cross-default under other indebtedness or derivative securities of the Company in an outstanding aggregate principal amount of at least $25,000, certain judgments and orders, and certain events of bankruptcy. As of and for the three months ended March 31, 2023, the Company was in compliance with all covenants and reporting requirements.
Through March 31, 2023, the Company incurred debt issuance costs of $1,025 in connection with obtaining the 2022 More Term Loan, which were recorded as a direct reduction to the outstanding balance of the 2022 More Term Loan, which is included in the Company’s consolidated balance sheet as of March 31, 2023 and will amortize to interest expense over the term of the 2022 More Term Loan. At March 31, 2023, the unamortized portion of the debt issuance costs was $834.
54
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
For the three months ended March 31, 2023 and for the period from April 27, 2022 through December 31, 2022, the components of interest expense, average borrowings, and weighted average interest rate for the 2022 More Term Loan were as follows:
Three Months Ended March 31, 2023For the Period From April 27, 2022 Through December 31, 2022
Stated interest expense$1,012 $2,027 
Amortization of deferred financing costs51 140 
Total interest expense$1,063 $2,167 
Weighted average interest rate(1)8.10 %5.86 %
Average borrowings$50,000 $50,000 
(1) Includes the stated interest expense on the 2022 More Term Loan and is annualized for periods covering less than one year.
2021 More Term Loan
On April 14, 2021, the Company entered into an Unsecured Term Loan Facility Agreement, or the Term Loan Agreement, with More Provident Funds Ltd., or More, as lender. The Term Loan Agreement with More, or the 2021 More Term Loan, provided for an unsecured term loan to the Company in an aggregate principal amount of $30,000. On April 20, 2021, the Company drew down $30,000 of borrowings under the 2021 More Term Loan. After the deduction of fees and other financing expenses, the Company received net borrowings of approximately $29,000, which the Company used for working capital and other general corporate purposes.
Advances under the 2021 More Term Loan mature on September 30, 2024, and bear interest at a rate of 5.20% per year payable quarterly in arrears. The Company has the right to, at its option, prepay all or any portion of advances then outstanding together with a prepayment fee equal to the higher of (i) zero, or (ii) the discounted present value of all remaining interest payments that would have been paid by the Company through the maturity date with respect to the principal amount of such advance that is to be prepaid or becomes due and payable pursuant to the Term Loan Agreement. The discounted present value portion of the prepayment fee is calculated by applying a discount rate on the same periodic basis as that on which interest on advances is payable equal to the sum of 2.00% plus the yield to maturity of the most recently issued U.S. Treasury securities having a maturity equal to the remaining average life of the 2021 More Term Loan, or if there are no such U.S. Treasury securities, using such implied yield to maturity determined in accordance with the terms of the Term Loan Agreement.
Advances under the 2021 More Term Loan are general unsecured obligations of the Company that rank pari passu with all existing and future unsecured unsubordinated indebtedness issued by the Company, rank effectively junior to the Company's secured indebtedness (including unsecured indebtedness that the Company later secures) to the extent of the value of the assets securing such indebtedness, and rank structurally junior to all existing and future indebtedness (including trade payables) incurred by certain of the Company's subsidiaries, financing vehicles or similar facilities.
The Term Loan Agreement contains other terms and conditions, including, without limitation, affirmative and negative covenants such as (i) information reporting, (ii) maintenance of the Company's status as a BDC within the meaning of the 1940 Act, (iii) minimum shareholders’ equity of 60% of the Company’s net asset value as of the year ended December 31, 2020 plus 50% of the net cash proceeds of the sale of certain equity interests by the Company after April 14, 2021, if any, (iv) a minimum asset coverage ratio of not less than 150%, and (v) an unencumbered asset coverage ratio of 1.25 to 1.00, provided that (a) first lien senior secured loans and cash represent more than 65% of the total value of unencumbered assets used by the Company for purposes of the ratio and (b) equity interests or structured products in the aggregate represent less than 15% of the total value of unencumbered assets used by the Company for purposes of the ratio. In addition, the Term Loan Agreement contains customary events of default with customary cure and notice periods, including, without limitation, nonpayment, incorrect representation in any material respect, breach of covenant, cross default under other indebtedness or derivative securities of the Company in an outstanding aggregate principal amount of at least $25,000, certain judgments and orders, and certain events of bankruptcy. As of and for the three months ended March 31, 2023, the Company was in compliance with all covenants and reporting requirements.
Through March 31, 2023, the Company incurred debt issuance costs of $992 in connection with obtaining the 2021 More Term Loan, which were recorded as a direct reduction to the outstanding balance of the 2021 More Term Loan, which is included in the Company’s consolidated balance sheet as of March 31, 2023 and will amortize to interest expense over the term of the 2021 More Term Loan. At March 31, 2023, the unamortized portion of the debt issuance costs was $425.
55
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
For the three months ended March 31, 2023 and 2022 and the year ended December 31, 2022, the components of interest expense, average borrowings, and weighted average interest rate for the 2021 More Term Loan were as follows:
Three Months Ended March 31,Year Ended December 31,
2022
20232022
Stated interest expense$390 $390 $1,582 
Amortization of deferred financing costs71 71 288 
Total interest expense$461 $461 $1,870 
Weighted average interest rate(1)5.20 %5.20 %5.20 %
Average borrowings$30,000 $30,000 $30,000 
(1) Includes the stated interest expense on the 2021 More Term Loan and is annualized for periods covering less than one year.
Note 9. Fair Value of Financial Instruments
The following table presents fair value measurements of the Company’s portfolio investments as of March 31, 2023 and December 31, 2022, according to the fair value hierarchy:
March 31, 2023(1)December 31, 2022(2)
Level 1Level 2Level 3TotalLevel 1Level 2Level 3Total
Senior secured first lien debt$— $— $1,472,453 $1,472,453 $— $— $1,579,512 $1,579,512 
Senior secured second lien debt— — 38,997 38,997 — — 38,769 38,769 
Collateralized securities and structured products - equity— — 1,133 1,133 — — 1,179 1,179 
Unsecured debt— — 15,517 15,517 — — 22,643 22,643 
Equity2,204 — 100,958 103,162 2,341 — 73,951 76,292 
Short term investments66,326 — — 66,326 10,869 — — 10,869 
Total Investments$68,530 $— $1,629,058 $1,697,588 $13,210 $— $1,716,054 $1,729,264 
(1)Excludes the Company's $25,764 investment in CION/EagleTree, which is measured at NAV.
(2)Excludes the Company's $30,766 investment in CION/EagleTree, which is measured at NAV.
The following tables provide a reconciliation of the beginning and ending balances for investments that use Level 3 inputs for the three months ended March 31, 2023 and 2022:
Three Months Ended
March 31, 2023
Senior Secured First Lien DebtSenior Secured Second Lien DebtCollateralized Securities and Structured Products - EquityUnsecured DebtEquityTotal
Beginning balance, December 31, 2022$1,579,512 $38,769 $1,179 $22,643 $73,951 $1,716,054 
Investments purchased(2)(3)40,752 — — — 35,933 76,685 
Net realized loss(4,511)— — — (14)(4,525)
Net change in unrealized (depreciation) appreciation(35,394)163 35 (7,130)(8,912)(51,238)
Accretion of discount4,269 69 — 4 — 4,342 
Sales and principal repayments(3)(112,175)(4)(81)— — (112,260)
Ending balance, March 31, 2023$1,472,453 $38,997 $1,133 $15,517 $100,958 $1,629,058 
Change in net unrealized (depreciation) appreciation on investments still held as of March 31, 2023(1)$(34,672)$163 $35 $(7,130)$(8,912)$(50,516)
(1)Included in net change in unrealized depreciation on investments in the consolidated statements of operations.
(2)Investments purchased includes PIK interest.
(3)Includes non-cash restructured securities.
56
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
Three Months Ended
March 31, 2022
Senior Secured First Lien DebtSenior Secured Second Lien DebtCollateralized Securities and Structured Products - EquityUnsecured DebtEquityTotal
Beginning balance, December 31, 2021$1,526,989 $38,583 $2,998 $26,616 $37,736 $1,632,922 
Investments purchased(2)141,792 — — 623 1,125 143,540 
Net realized (loss) gain(73)4 — — — (69)
Net change in unrealized (depreciation) appreciation(12,906)(1,800)(176)37 3,544 (11,301)
Accretion of discount2,404 88 — 4 — 2,496 
Sales and principal repayments(60,842)— (190)— — (61,032)
Ending balance, March 31, 2022$1,597,364 $36,875 $2,632 $27,280 $42,405 $1,706,556 
Change in net unrealized (depreciation) appreciation on investments still held as of March 31, 2022(1)$(12,710)$(1,800)$(176)$37 $3,544 $(11,105)
(1)Included in net change in unrealized depreciation on investments in the consolidated statements of operations.
(2)Investments purchased includes PIK interest.
Significant Unobservable Inputs
The valuation techniques and significant unobservable inputs used in recurring Level 3 fair value measurements of investments as of March 31, 2023 and December 31, 2022 were as follows:
March 31, 2023
Fair ValueValuation Techniques/
Methodologies		Unobservable
Inputs		RangeWeighted Average(1)
Senior secured first lien debt$1,258,936 Discounted Cash FlowDiscount Rates6.5%—35.0%13.9%
124,286 Broker QuotesBroker QuotesN/AN/A
45,643 Market Comparable ApproachRevenue Multiple0.20x—1.55x0.62x
39,376 EBITDA Multiple5.75x—12.5x10.45x
3,837 $ per kW$131.85N/A
375 Other(2)Other(2)N/AN/A
Senior secured second lien debt38,997 Discounted Cash FlowDiscount Rates10.3%—22.5%15.6%
Collateralized securities and structured products - equity1,133 Discounted Cash FlowDiscount Rates21.0%N/A
Unsecured debt8,132 Contingent Claims AnalysisExpected Volatility110.0%N/A
7,385 Discounted Cash FlowDiscount Rates16.5%N/A
Equity69,263 Market Comparable ApproachEBITDA Multiple3.75x—15.50x10.08x
22,680 $ per kW$425N/A
7,940 Revenue Multiple0.13x—6.00x3.25x
1,075 Broker QuotesBroker QuotesN/AN/A
— Options Pricing ModelExpected Volatility60.0%—95.0%N/A
Total$1,629,058 
(1)Weighted average amounts are based on the estimated fair values.
(2)Fair value is based on the expected outcome of proposed corporate transactions and/or other factors.
57
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
December 31, 2022
Fair ValueValuation Techniques/
Methodologies		Unobservable
Inputs		RangeWeighted Average(1)
Senior secured first lien debt$1,471,816 Discounted Cash FlowDiscount Rates6.5%—34.0%14.7%
79,035 Broker QuotesBroker QuotesN/AN/A
20,050 Market Comparable ApproachRevenue Multiple0.25x—1.70x1.19x
4,527 $ per kW$131.85N/A
3,552 EBITDA Multiple2.75x—4.25x4.09x
532 Other(2)Other(2)N/AN/A
Senior secured second lien debt38,769 Discounted Cash FlowDiscount Rates14.3%—21.5%17.2%
Collateralized securities and structured products - equity1,179 Discounted Cash FlowDiscount Rates21.0%N/A
Unsecured debt15,316 Market Comparable ApproachEBITDA Multiple9.25xN/A
7,327 Discounted Cash FlowDiscount Rates17.7%N/A
Equity33,441 Market Comparable ApproachEBITDA Multiple2.75x—14.55x7.02x
23,995 $ per kW$412.5N/A
13,038 Revenue Multiple0.13x—5.75x2.93x
2,238 Discounted Cash FlowDiscount Rates16.8%N/A
1,234 Broker QuotesBroker QuotesN/AN/A
5 Options Pricing ModelExpected Volatility80.0%—90.0%87.3%
Total$1,716,054 
(1)Weighted average amounts are based on the estimated fair values.
(2)Fair value is based on the expected outcome of proposed corporate transactions and/or other factors.
The significant unobservable inputs used in the fair value measurement of the Company’s senior secured first lien debt, senior secured second lien debt, collateralized securities and structured products, unsecured debt and equity are discount rates, EBITDA multiples, revenue multiples, broker quotes and expected volatility. A significant increase or decrease in discount rates would result in a significantly lower or higher fair value measurement, respectively. A significant increase or decrease in the EBITDA multiples, revenue multiples, expected proceeds from proposed corporate transactions, broker quotes and expected volatility would result in a significantly higher or lower fair value measurement, respectively.
Note 10. General and Administrative Expense
General and administrative expense consisted of the following items for the three months ended March 31, 2023 and 2022 and the year ended December 31, 2022:
Three Months Ended March 31,Year Ended December 31,
202320222022
Professional fees$526 $633 $1,778 
Dues and subscriptions429 535 791 
Transfer agent expense268 291 1,124 
Valuation expense173 179 821 
Director fees and expenses169 154 632 
Insurance expense167 251 833 
Accounting and administrative costs166 157 524 
Printing and marketing expense5 5 708 
Other expenses52 17 67 
Total general and administrative expense$1,955 $2,222 $7,278 
58
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
Note 11. Commitments and Contingencies
The Company entered into certain contracts with related and other parties that contain a variety of indemnifications. The Company’s maximum exposure under these arrangements is unknown. However, the Company has not experienced claims or losses pursuant to these contracts and believes the risk of loss related to such indemnifications to be remote.
As of March 31, 2023 and December 31, 2022, the Company’s unfunded commitments were as follows:
Unfunded CommitmentsMarch 31, 2023(1)December 31, 2022(1)
Cennox, Inc.$7,193 $7,567 
Flatworld Intermediate Corp.5,865 5,865 
Critical Nurse Staffing, LLC5,139 5,599 
Instant Web, LLC4,763 5,628 
American Health Staffing Group, Inc.3,333 3,333 
Thrill Holdings LLC3,261 3,261 
Mimeo.com, Inc.3,000 3,000 
Service Compression, LLC2,791 4,186 
Coyote Buyer, LLC2,500 2,500 
Moss Holding Company2,232 2,232 
HW Acquisition, LLC2,200 2,200 
MacNeill Pride Group Corp.2,017 2,017 
BDS Solutions Intermediateco, LLC1,998 1,998 
Archer Systems, LLC1,905 1,905 
Bradshaw International Parent Corp.1,844 1,844 
Rogers Mechanical Contractors, LLC1,827 3,365 
Dermcare Management, LLC1,683 1,862 
Sleep Opco, LLC1,225 1,750 
OpCo Borrower, LLC1,042 833 
Williams Industrial Services Group, Inc.1,000 — 
RA Outdoors, LLC735 1,049 
Ironhorse Purchaser, LLC707 2,469 
WorkGenius, Inc.570 750 
NWN Parent Holdings LLC480 90 
Invincible Boat Company LLC239 559 
American Teleconferencing Services, Ltd.235 235 
H.W. Lochner, Inc.225 225 
Anthem Sports & Entertainment Inc.167 167 
Homer City Holdings LLC— 3,000 
RumbleOn, Inc.— 1,775 
STATinMED, LLC— 156 
Total$60,176 $71,420 
(1)Unless otherwise noted, the funding criteria for these unfunded commitments had not been met at the date indicated.
59
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
Unfunded commitments to provide funds to companies are not recorded on the Company’s consolidated balance sheets. Since these commitments may expire without being drawn upon, unfunded commitments do not necessarily represent future cash requirements or future earning assets for the Company. The Company intends to use cash on hand, short-term investments, proceeds from borrowings, and other liquid assets to fund these commitments should the need arise. For information on the companies to which the Company is committed to fund additional amounts as of March 31, 2023 and December 31, 2022, refer to the table above and the consolidated schedules of investments. As of May 3, 2023, the Company was committed, upon the satisfaction of certain conditions, to fund an additional $55,387.
The Company will fund its unfunded commitments from the same sources it uses to fund its investment commitments that are funded at the time they are made (i.e., advances from its financing arrangements and/or cash flows from operations). The Company will not fund its unfunded commitments from future net proceeds generated by securities offerings, if any. The Company follows a process to manage its liquidity and ensure that it has available capital to fund its unfunded commitments. Specifically, the Company prepares detailed analyses of the level of its unfunded commitments relative to its then available liquidity on a daily basis.  These analyses are reviewed and discussed on a weekly basis by the Company's executive officers and senior members of CIM (including members of the investment committee) and are updated on a “real time” basis in order to ensure that the Company has adequate liquidity to satisfy its unfunded commitments.
Note 12. Fee Income
Fee income consists of amendment fees, capital structuring and other fees, conversion fees, commitment fees and administrative agent fees. The following table summarizes the Company’s fee income for the three months ended March 31, 2023 and 2022 and the year ended December 31, 2022:
Three Months Ended
March 31,		Year Ended
December 31,
202320222022
Amendment fees$2,724 $395 $2,633 
Commitment fees309 — — 
Administrative agent fees30 25 100 
Capital structuring and other fees— 1,022 4,446 
Conversion fees— — 2,365 
Total$3,063 $1,442 $9,544 
Administrative agent fees are recurring income as long as the Company remains the administrative agent for the related investment. Income from all other fees was non-recurring.
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CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
Note 13. Financial Highlights

The following is a schedule of financial highlights as of and for the three months ended March 31, 2023 and 2022 and the year ended December 31, 2022:
Three Months Ended
March 31,		Year Ended
December 31,
202320222022
Per share data:(1)
Net asset value at beginning of period$15.98 $16.34 $16.34 
Results of operations:
Net investment income0.54 0.34 1.56 
Net realized loss and net change in unrealized depreciation on investments and loss on foreign currency(2)(1.10)(0.20)(0.68)
Net (decrease) increase in net assets resulting from operations(2)(0.56)0.14 0.88 
Shareholder distributions:
Distributions from net investment income(0.34)(0.28)(1.44)
Net decrease in net assets resulting from shareholders' distributions(0.34)(0.28)(1.44)
Capital share transactions:
Issuance of common stock above net asset value(3)— — — 
Repurchases of common stock below net asset value(4)0.03 — 0.20 
Net increase in net assets resulting from capital share transactions0.03 — 0.20 
Net asset value at end of period$15.11 $16.20 $15.98 
Shares of common stock outstanding at end of period54,961,455 56,958,440 55,299,484 
Total investment return-net asset value(5)(2.17)%1.01 %10.44 %
Total investment return-market value(6)4.75 %15.38 %(14.87)%
Net assets at beginning of period$883,634 $930,512 $930,512 
Net assets at end of period$830,310 $922,453 $883,634 
Average net assets$875,337 $931,165 $917,781 
Ratio/Supplemental data:
Ratio of net investment income to average net assets3.41 %2.09 %9.61 %
Ratio of net operating expenses to average net assets4.01 %2.38 %11.63 %
Portfolio turnover rate(7)1.35 %3.60 %26.81 %
Total amount of senior securities outstanding$1,010,712 $875,000 $957,500 
Asset coverage ratio(8)1.82 2.05 1.92 
(1)The per share data for the three months ended March 31, 2023 and 2022 and the year ended December 31, 2022 was derived by using the weighted average shares of common stock outstanding during each period.
(2)The amount shown for net realized loss, net change in unrealized depreciation on investments and loss on foreign currency is the balancing figure derived from the other figures in the schedule. The amount shown at this caption for a share outstanding throughout the period may not agree with the change in the aggregate gains and losses in portfolio securities for the period because of the timing of sales and repurchases of the Company’s shares in relation to fluctuating market values for the portfolio. As a result, net (decrease) increase in net assets resulting from operations in this schedule may vary from the consolidated statements of operations.
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CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
March 31, 2023
(in thousands, except share and per share amounts)
(3)The continuous issuance of shares of common stock may have caused an incremental increase in net asset value per share due to the sale of shares at the then prevailing public offering price and the receipt of net proceeds per share by the Company in excess of net asset value per share on each subscription closing date. The per share impact of the continuous issuance of shares of common stock was an increase to net asset value of less than $0.01 per share during the three months ended March 31, 2023 and 2022 and the year ended December 31, 2022. The Company's follow-on continuous public offering ended on January 25, 2019.
(4)Repurchases of common stock may have caused an incremental decrease or increase in net asset value per share due to the repurchase of shares at a price in excess of or below net asset value per share, respectively, on each repurchase date. The per share impact of repurchases of common stock was a decrease to net asset value of less than $0.01 per share during the three months ended March 31, 2023 and 2022 and the year ended December 31, 2022.
(5)Total investment return-net asset value is a measure of the change in total value for shareholders who held the Company’s common stock at the beginning and end of the period, including distributions paid or payable during the period. Total investment return-net asset value is based on (i) the beginning period net asset value per share on the first day of the period, (ii) the net asset value per share on the last day of the period of (A) one share plus (B) any fractional shares issued in connection with the reinvestment of distributions, and (iii) the value of distributions payable, if any, on the last day of the period. The total investment return-net asset value calculation assumes that distributions are reinvested in accordance with the Company's distribution reinvestment plan then in effect as described in Note 5. The total investment return-net asset value does not consider the effect of the sales load from the sale of the Company’s common stock. The total investment return-net asset value includes the effect of the issuance of shares at a net offering price that is greater than net asset value per share, which causes an increase in net asset value per share. Total returns covering less than a full year are not annualized.
(6)Total investment return-market value for the three months ended March 31, 2023 and 2022 and the year ended December 31, 2022 was calculated by taking the change in the market price of the Company's common stock since the first day of the period, and including the impact of distributions reinvested in accordance with the Company’s New DRP. Total investment return-market value does not consider the effect of any sales commissions or charges that may be incurred in connection with the sale of shares of the Company’s common stock. The historical calculation of total investment return-market value in the table should not be considered a representation of the Company’s future total return based on market value, which may be greater or less than the return shown in the table due to a number of factors, including the Company’s ability or inability to make investments in companies that meet its investment criteria, the interest rates payable on the debt securities the Company acquires, the level of the Company’s expenses, variations in and the timing of the recognition of realized and unrealized gains or losses, the degree to which the Company encounters competition in its markets, general economic conditions and fluctuations in per share market value. As a result of these factors, results for any previous period should not be relied upon as being indicative of performance in future periods.
(7)Portfolio turnover rate is calculated using the lesser of year-to-date sales or purchases over the average of the invested assets at fair value, excluding short term investments, and is not annualized.
(8)Asset coverage ratio is equal to (i) the sum of (a) net assets at the end of the period and (b) total senior securities outstanding at the end of the period (excluding unfunded commitments), divided by (ii) total senior securities outstanding at the end of the period.
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Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations
As used in this Quarterly Report on Form 10-Q, “we,” “us,” “our” or similar terms include CĪON Investment Corporation and its consolidated subsidiaries. In addition, the term "portfolio companies" refers to companies in which we have invested, either directly or indirectly through our consolidated subsidiaries.
The following discussion should be read in conjunction with our unaudited consolidated financial statements and related notes appearing elsewhere in this Quarterly Report on Form 10-Q and the audited consolidated financial statements and related notes included in our Annual Report on Form 10-K for the year ended December 31, 2022. In addition to historical information, the following discussion and other parts of this Quarterly Report on Form 10-Q contain forward-looking information that involves risks and uncertainties. Amounts and percentages presented herein may have been rounded for presentation and all dollar amounts, excluding share and per share amounts, are presented in thousands unless otherwise noted.
Forward-Looking Statements
Some of the statements within this Quarterly Report on Form 10-Q constitute forward-looking statements because they relate to future events or our future performance or financial condition. The forward-looking statements contained in this Quarterly Report on Form 10-Q involve numerous risks and uncertainties, including statements as to:
•our future operating results;
•our business prospects and the prospects of our portfolio companies, including our and their ability to achieve our respective objectives as a result of COVID-19, inflation, rising interest rates, supply-chain disruptions and the risk of recession;
•the impact of the investments that we expect to make;
•the ability of our portfolio companies to achieve their objectives;
•our current and expected financings and investments;
•the adequacy of our cash resources, financing sources and working capital;
•the use of borrowed money to finance a portion of our investments;
•the timing of cash flows, if any, from the operations of our portfolio companies;
•our contractual arrangements and relationships with third parties;
•the actual and potential conflicts of interest with CIM and its affiliates;
•the ability of CIM's investment professionals to locate suitable investments for us and the ability of CIM to monitor and administer our investments;
•the ability of CIM and its affiliates to attract and retain highly talented professionals;
•the dependence of our future success on the general economy and its impact on the industries in which we invest, including COVID-19, inflation, rising interest rates and supply-chain disruptions and the related economic disruptions caused thereby;
•the effects of a changing interest rate environment;
•our ability to source favorable private investments;
•our tax status;
•the effect of changes to tax legislation and our tax position;
•the tax status of the companies in which we invest; and
•the timing and amount of distributions and dividends from the companies in which we invest.
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In addition, words such as “anticipate,” “believe,” “expect” and “intend” indicate a forward-looking statement, although not all forward-looking statements include these words. The forward-looking statements contained in this Quarterly Report on Form 10-Q involve risks and uncertainties. Our actual results could differ materially from those implied or expressed in the forward-looking statements for any reason, including the factors set forth in “Risk Factors” in Item 1A of Part II of this Quarterly Report on Form 10-Q. Other factors that could cause actual results to differ materially include: 
•changes in the economy;
•risks associated with possible disruption in our operations or the economy generally due to terrorism, pandemics, or natural disasters;
•future changes in laws or regulations and conditions in our operating areas;
•the price at which shares of our common stock may trade on and volume fluctuations in the NYSE; and
•the costs associated with being a publicly traded company.
We have based the forward-looking statements on information available to us on the date of this Quarterly Report on Form 10-Q. Except as required by the federal securities laws, we undertake 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 review any additional disclosures that we may make directly to you or through reports that we 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. The forward-looking statements contained in this Quarterly Report on Form 10-Q are excluded from the safe harbor protection provided by Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended.
Overview
We were incorporated under the general corporation laws of the State of Maryland on August 9, 2011 and commenced operations on December 17, 2012 upon raising proceeds of $2,500 from persons not affiliated with us, CIM or its affiliates. We are an externally managed, non-diversified, closed-end management investment company that has elected to be regulated as a BDC under the 1940 Act. We elected to be treated for federal income tax purposes as a RIC, as defined under Subchapter M of the Code.
Our investment objective is to generate current income and, to a lesser extent, capital appreciation for investors. Our portfolio is comprised primarily of investments in senior secured debt, including first lien loans, second lien loans and unitranche loans, and, to a lesser extent, collateralized securities, structured products and other similar securities, unsecured debt, and equity, of private and thinly-traded U.S. middle-market companies. In connection with our debt investments, we may receive equity interests such as warrants or options as additional consideration. We may also purchase equity interests in the form of common or preferred stock in our target companies, either in conjunction with one of our debt investments or through a co-investment with a financial sponsor.
On October 5, 2021, shares of our common stock began trading on the NYSE under the ticker symbol “CION”. The Listing accomplished our goal of providing our shareholders with greatly enhanced liquidity. On February 26, 2023, our shares of common stock also listed and commenced trading on the TASE under the ticker symbol “CION”.
We are managed by CIM, our affiliate and a registered investment adviser. Pursuant to an investment advisory agreement with us, CIM oversees the management of our activities and is responsible for making investment decisions for our portfolio. On April 5, 2021, our board of directors, including a majority of directors who are not interested persons, approved the amended and restated investment advisory agreement with CIM for a period of twenty four months, which was subsequently approved by shareholders on August 9, 2021 (as described in further detail below). We and CIM previously engaged AIM to act as our investment sub-adviser.
On July 11, 2017, the members of CIM entered into the Third Amended CIM LLC Agreement for the purpose of creating a joint venture between AIM and CIG. Under the Third Amended CIM LLC Agreement, AIM became a member of CIM and was issued a newly-created class of membership interests in CIM pursuant to which AIM, among other things, shares in the profits, losses, distributions and expenses of CIM with the other members in accordance with the terms of the Third Amended CIM LLC Agreement, which results in CIG and AIM each owning a 50% economic interest in CIM.
On July 10, 2017, our independent directors unanimously approved the termination of the investment sub-advisory agreement with AIM, effective as of July 11, 2017, as part of the new and ongoing relationship among us, CIM and AIM. Although the investment sub-advisory agreement and AIM's engagement as our investment sub-adviser were terminated, AIM continues to perform certain services for CIM and us. AIM is not paid a separate fee in exchange for such services, but is entitled to receive distributions as a member of CIM as described above.
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On December 4, 2017, the members of CIM entered into the Fourth Amended CIM LLC Agreement under which AIM performs certain services for CIM, which include, among other services, providing (a) trade and settlement support; (b) portfolio and cash reconciliation; (c) market pipeline information regarding syndicated deals, in each case, as reasonably requested by CIM; and (d) monthly valuation reports and support for all broker-quoted investments. AIM may also, from time to time, provide us with access to potential investment opportunities made available on Apollo's credit platform on a similar basis as other third-party market participants. All of our investment decisions are the sole responsibility of, and are made at the sole discretion of, CIM's investment committee, which consists entirely of CIG senior personnel.
The amended and restated investment advisory agreement was approved by shareholders on August 9, 2021. As a result, on August 10, 2021, we and CIM entered into the amended and restated investment advisory agreement in order to implement the change to the calculation of the subordinated incentive fee payable from us to CIM that expresses the hurdle rate required for CIM to earn, and be paid, the incentive fee as a percentage of our net assets rather than adjusted capital.
Upon the occurrence of the Listing on October 5, 2021, we and CIM entered into the second amended and restated investment advisory agreement in order to implement the changes to the advisory fees payable from us to CIM that (i) reduced the annual base management fee, (ii) amended the structure of the subordinated incentive fee on income payable from us to CIM and reduced the hurdle and incentive fee rates, and (iii) reduced the incentive fee on capital gains payable from us to CIM (as described in further detail in Notes 2 and 4 to our consolidated financial statements included in this report).
We seek to meet our investment objective by utilizing the experienced management team of CIM, which includes its access to the relationships and human capital of its affiliates in sourcing, evaluating and structuring transactions, as well as monitoring and servicing our investments. We focus primarily on the senior secured debt of private and thinly-traded U.S. middle-market companies, which we define as companies that generally possess annual EBITDA of $75 million or less, with experienced management teams, significant free cash flow, strong competitive positions and potential for growth.
Revenue
We primarily generate revenue in the form of interest income on the debt securities that we hold and capital gains on debt or other equity interests that we acquire in portfolio companies. The majority of our senior debt investments bear interest at a floating rate. Interest on debt securities is generally payable quarterly or monthly. In some cases, some of our investments may provide for deferred interest payments or PIK interest. The principal amount of the debt securities and any accrued, but unpaid, interest generally will become due at the maturity date. In addition, we may generate revenue in the form of commitment and capital structuring fees, monitoring fees, fees for providing managerial assistance and possibly consulting fees and performance-based fees. Any such fees generated in connection with our investments will be recognized when earned.
Operating Expenses
Our primary operating expenses are the payment of management fees and subordinated incentive fees on income under the investment advisory agreement and interest expense on our financing arrangements. Our investment advisory fees compensate CIM for its work in identifying, evaluating, negotiating, executing, monitoring and servicing our investments. We bear all other expenses of our operations and transactions.
Recent Developments
Q2 2023 Regular Distribution

On May 8, 2023, our co-chief executive officers declared a regular quarterly distribution of $0.34 per share for the second quarter of 2023 payable on June 15, 2023 to shareholders of record as of June 1, 2023.
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Portfolio Investment Activity for the Three Months Ended March 31, 2023 and 2022 and the Year Ended December 31, 2022
The following table summarizes our investment activity, excluding short term investments and PIK securities, for the three months ended March 31, 2023 and 2022 and the year ended December 31, 2022:
Three Months Ended
March 31,		Year Ended
December 31,
Net Investment Activity202320222022
Purchases and drawdowns
    Senior secured first lien debt$22,221 $136,698 $524,293 
    Senior secured second lien debt— — 19,932 
    Equity2,000 1,125 6,313 
Sales and principal repayments(66,274)(61,031)(469,760)
Net portfolio activity$(42,053)$76,792 $80,778 
The following tables summarize the composition of our investment portfolio at amortized cost and fair value as of March 31, 2023 and December 31, 2022:
March 31, 2023
Investments Cost(1)Investments Fair
Value		Percentage of
Investment
Portfolio
Senior secured first lien debt$1,567,330 $1,472,453 88.8 %
Senior secured second lien debt41,102 38,997 2.4 %
Collateralized securities and structured products - equity2,606 1,133 0.1 %
Unsecured debt30,431 15,517 0.9 %
Equity115,514 128,926 7.8 %
Subtotal/total percentage1,756,983 1,657,026 100.0 %
Short term investments(2)66,326 66,326 
Total investments$1,823,309 $1,723,352 
Number of portfolio companies109 
Average annual EBITDA of portfolio companies$56.0 million
Median annual EBITDA of portfolio companies$35.0 million
Purchased at a weighted average price of par97.81 %
Gross annual portfolio yield based upon the purchase price(3)11.18 %
(1)Represents amortized cost for debt investments and cost for equity investments. Amortized cost represents the original cost adjusted for the amortization of premiums and/or accretion of discounts, as applicable, on our investments.
(2)Short term investments represent an investment in a fund that invests in highly liquid investments with average original maturity dates of three months or less.
(3)The gross annual portfolio yield does not represent and may be higher than an actual investment return to shareholders because it excludes our expenses and all sales commissions and dealer manager fees and does not consider the cost of leverage.
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December 31, 2022
Investments Cost(1)Investments Fair
Value		Percentage of
Investment
Portfolio
Senior secured first lien debt$1,638,995 $1,579,512 90.3 %
Senior secured second lien debt41,036 38,769 2.2 %
Collateralized securities and structured products - equity2,687 1,179 0.1 %
Unsecured debt30,427 22,643 1.3 %
Equity79,595 107,058 6.1 %
Subtotal/total percentage1,792,740 1,749,161 100.0 %
Short term investments(2)10,869 10,869  
Total investments$1,803,609 $1,760,030 
Number of portfolio companies 113 
Average annual EBITDA of portfolio companies$55.2 million
Median annual EBITDA of portfolio companies$35.0 million
Purchased at a weighted average price of par97.81 %
Gross annual portfolio yield based upon the purchase price(3)11.80 %
(1)Represents amortized cost for debt investments and cost for equity investments. Amortized cost represents the original cost adjusted for the amortization of premiums and/or accretion of discounts, as applicable, on our investments.
(2)Short term investments represent an investment in a fund that invests in highly liquid investments with average original maturity dates of three months or less.
(3)The gross annual portfolio yield does not represent and may be higher than an actual investment return to shareholders because it excludes our expenses and all sales commissions and dealer manager fees and does not consider the cost of leverage.
The following table summarizes the composition of our investment portfolio by the type of interest rate as of March 31, 2023 and December 31, 2022, excluding short term investments of $66,326 and $10,869, respectively:
March 31, 2023December 31, 2022
Interest Rate AllocationInvestments CostInvestments Fair ValuePercentage of
Investment
Portfolio		Investments CostInvestments Fair ValuePercentage of
Investment
Portfolio
Floating interest rate investments$1,480,336 $1,390,918 84.0 %$1,539,214 $1,477,630 84.5 %
Fixed interest rate investments158,527 134,681 8.1 %166,297 157,006 9.0 %
Non-income producing investments87,203 78,278 4.7 %76,061 104,619 6.0 %
Other income producing investments30,917 53,149 3.2 %11,168 9,906 0.5 %
Total investments$1,756,983 $1,657,026 100.0 %$1,792,740 $1,749,161 100.0 %
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The following table shows the composition of our investment portfolio by industry classification and the percentage, by fair value, of the total assets in such industries as of March 31, 2023 and December 31, 2022:
March 31, 2023December 31, 2022
Industry ClassificationInvestments Fair ValuePercentage of
Investment Portfolio		Investments Fair ValuePercentage of
Investment Portfolio
Services: Business$340,815 20.6 %$336,055 19.2 %
Healthcare & Pharmaceuticals232,306 14.0 %237,082 13.6 %
Media: Diversified & Production126,177 7.6 %134,927 7.7 %
Services: Consumer106,082 6.4 %115,849 6.6 %
Media: Advertising, Printing & Publishing87,247 5.3 %105,375 6.0 %
Diversified Financials81,724 4.9 %99,819 5.7 %
Chemicals, Plastics & Rubber66,992 4.0 %66,753 3.8 %
Energy: Oil & Gas65,343 3.9 %68,756 3.9 %
Consumer Goods: Durable62,420 3.8 %60,735 3.5 %
Retail57,034 3.4 %74,718 4.3 %
High Tech Industries53,597 3.2 %56,501 3.2 %
Construction & Building51,310 3.1 %46,007 2.6 %
Beverage, Food & Tobacco44,519 2.7 %45,396 2.6 %
Consumer Goods: Non-Durable42,305 2.6 %47,886 2.8 %
Capital Equipment41,713 2.5 %41,580 2.4 %
Aerospace & Defense39,195 2.4 %38,842 2.2 %
Banking, Finance, Insurance & Real Estate39,048 2.4 %43,836 2.5 %
Hotel, Gaming & Leisure38,520 2.3 %46,739 2.7 %
Containers, Packaging & Glass19,477 1.2 %19,551 1.1 %
Telecommunications18,315 1.1 %18,302 1.1 %
Automotive16,395 1.0 %16,255 0.9 %
Metals & Mining15,836 1.0 %15,780 0.9 %
Transportation: Cargo10,656 0.6 %12,417 0.7 %
Subtotal/total percentage1,657,026 100.0 %1,749,161 100.0 %
Short term investments66,326  10,869 
Total investments$1,723,352 $1,760,030 
Our investment portfolio may contain senior secured investments that are in the form of lines of credit, delayed draw term loans, revolving credit facilities, or unfunded commitments, which may require us to provide funding when requested in accordance with the terms of the underlying agreements. As of March 31, 2023 and December 31, 2022, our unfunded commitments amounted to $60,176 and $71,420, respectively. As of May 3, 2023, our unfunded commitments amounted to $55,387. Since these commitments may expire without being drawn upon, unfunded commitments do not necessarily represent future cash requirements or future earning assets for us. Refer to the section “Commitments and Contingencies” for further details on our unfunded commitments.
Investment Portfolio Asset Quality
CIM uses an investment rating system to characterize and monitor our expected level of returns on each investment in our portfolio. These ratings are just one of several factors that CIM uses to monitor our portfolio, are not in and of themselves determinative of fair value or revenue recognition and are presented for indicative purposes. CIM rates the credit risk of all investments on a scale of 1 to 5 no less frequently than quarterly. This system is intended primarily to reflect the underlying risk of a portfolio investment relative to our initial cost basis in respect of such portfolio investment (i.e., at the time of acquisition), although it may also take into account under certain circumstances the performance of the portfolio company’s business, the collateral coverage of the investment and other relevant factors.
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The following is a description of the conditions associated with each investment rating used in this ratings system:
Investment RatingDescription
1Indicates the least amount of risk to our initial cost basis. The trends and risk factors for this investment since origination or acquisition are generally favorable, which may include the performance of the portfolio company or a potential exit.
2Indicates a level of risk to our initial cost basis that is similar to the risk to our initial cost basis at the time of origination or acquisition. This portfolio company is generally performing in accordance with our analysis of its business and the full return of principal and interest or dividend is expected.
3Indicates that the risk to our ability to recoup the cost of such investment has increased since origination or acquisition, but full return of principal and interest or dividend is expected. A portfolio company with an investment rating of 3 requires closer monitoring.
4Indicates that the risk to our ability to recoup the cost of such investment has increased significantly since origination or acquisition, including as a result of factors such as declining performance and noncompliance with debt covenants, and we expect some loss of interest, dividend or capital appreciation, but still expect an overall positive internal rate of return on the investment.
5Indicates that the risk to our ability to recoup the cost of such investment has increased materially since origination or acquisition and the portfolio company likely has materially declining performance. Loss of interest or dividend and some loss of principal investment is expected, which would result in an overall negative internal rate of return on the investment.
For investments rated 3, 4, or 5, CIM enhances its level of scrutiny over the monitoring of such portfolio company.
The following table summarizes the composition of our investment portfolio based on the 1 to 5 investment rating scale at fair value as of March 31, 2023 and December 31, 2022, excluding short term investments of $66,326 and $10,869, respectively:    
March 31, 2023December 31, 2022
Investment RatingInvestments
Fair Value		Percentage of
Investment Portfolio		Investments
Fair Value		Percentage of
Investment Portfolio
1$1,530 0.1 %$24,450 1.4 %
21,410,148 85.1 %1,424,681 81.5 %
3187,757 11.3 %260,662 14.9 %
431,414 1.9 %39,032 2.2 %
526,177 1.6 %336 — 
$1,657,026 100.0 %$1,749,161 100.0 %
The amount of the investment portfolio in each rating category may vary substantially from period to period resulting primarily from changes in the composition of such portfolio as a result of new investment, repayment and exit activities. In addition, changes in the rating of investments may be made to reflect our expectation of performance and changes in investment values.
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Current Investment Portfolio
The following table summarizes the composition of our investment portfolio at fair value as of May 3, 2023:
Investments Fair
Value		Percentage of
Investment
Portfolio
Senior secured first lien debt$1,424,228 87.1 %
Senior secured second lien debt38,992 2.4 %
Collateralized securities and structured products - equity1,133 0.1 %
Unsecured debt15,517 0.9 %
Equity155,883 9.5 %
Subtotal/total percentage1,635,753 100.0 %
Short term investments(2)66,876 
Total investments$1,702,629 
Number of portfolio companies109 
Average annual EBITDA of portfolio companies$55.6 million
Median annual EBITDA of portfolio companies$33.7 million
Purchased at a weighted average price of par97.78 %
Gross annual portfolio yield based upon the purchase price(2)10.99 %
(1)Short term investments represent an investment in a fund that invests in highly liquid investments with average original maturity dates of three months or less.
(2)The gross annual portfolio yield does not represent and may be higher than an actual investment return to shareholders because it excludes our expenses and all sales commissions and dealer manager fees and does not consider the cost of leverage.
Results of Operations for the Three Months Ended March 31, 2023 and 2022
Our results of operations for the three months ended March 31, 2023 and 2022 were as follows:
Three Months Ended
March 31,
20232022
Investment income$64,975 $41,683 
Operating expenses and income taxes35,117 22,200 
Net investment income after taxes29,858 19,483 
Net realized loss on investments and foreign currency(4,525)(69)
Net change in unrealized depreciation on investments(56,378)(11,525)
Net (decrease) increase in net assets resulting from operations$(31,045)$7,889 
Investment Income
For the three months ended March 31, 2023 and 2022, we generated investment income of $64,975 and $41,683, respectively, consisting primarily of interest income on investments in senior secured debt, collateralized securities and structured products, and unsecured debt of 102 and 112 portfolio companies held during each respective period. The increase in investment income was primarily due to higher LIBOR and SOFR rates and higher dividend income during the three months ended March 31, 2023 compared to the three months ended March 31, 2022.
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Operating Expenses and Income Taxes
The composition of our operating expenses and income taxes for the three months ended March 31, 2023 and 2022 was as follows:
Three Months Ended
March 31,
20232022
Management fees$6,676 $6,655 
Administrative services expense837 720 
Subordinated incentive fee on income6,335 4,133 
General and administrative1,955 2,222 
Interest expense19,309 8,459 
Income tax expense, including excise tax5 11 
Total operating expenses and income taxes$35,117 $22,200 

The increase in interest expense was primarily the result of (a) higher average borrowings under our financing arrangements during the three months ended March 31, 2023 compared to the three months ended March 31, 2022, and (b) higher LIBOR and SOFR rates during the three months ended March 31, 2023 compared to the three months ended March 31, 2022. The increase in subordinated incentive fee on income was primarily the result of the increase in investment income during the three months ended March 31, 2023 compared to the three months ended March 31, 2022, which was partially offset by the increase in interest expense during the three months ended March 31, 2023 compared to the three months ended March 31, 2022.
The composition of our general and administrative expenses for the three months ended March 31, 2023 and 2022 was as follows:
Three Months Ended
March 31,
20232022
Professional fees$526 $633 
Dues and subscriptions429 535 
Transfer agent expense268 291 
Valuation expense173 179 
Director fees and expenses169 154 
Insurance expense167 251 
Accounting and administrative costs166 157 
Printing and marketing expense5 5 
Other expenses52 17 
Total general and administrative expense$1,955 $2,222 
Net Investment Income After Taxes

Our net investment income after taxes totaled $29,858 and $19,483 for the three months ended March 31, 2023 and 2022, respectively. The increase in net investment income was a result of an increase in our investment income during the three months ended March 31, 2023 as compared to the three months ended March 31, 2022, which was partially offset by an increase in our operating expenses during the same period, which was driven primarily by increases in interest expense and the subordinated incentive fee on income.
Net Realized Loss on Investments and Foreign Currency
Our net realized loss on investments and foreign currency totaled $(4,525) and $(69) for the three months ended March 31, 2023 and 2022, respectively. This change was driven primarily by realized losses on the restructure of certain investments during the three months ended March 31, 2023 as compared to the three months ended March 31, 2022.
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Net Change in Unrealized Depreciation on Investments
The net change in unrealized depreciation on our investments totaled $(56,378) and $(11,525) for the three months ended March 31, 2023 and 2022, respectively. This change was driven primarily by the underperformance of certain investments during the three months ended March 31, 2023 compared to widening credit spreads and decreased multiples in equity markets as well as the underperformance of certain investments during the three months ended March 31, 2022.
Net (Decrease) Increase in Net Assets Resulting from Operations
For the three months ended March 31, 2023 and 2022, we recorded a net (decrease) increase in net assets resulting from operations of $(31,045) and $7,889, respectively, as a result of our operating activity for the respective periods.
Financial Condition, Liquidity and Capital Resources

We generate cash primarily from cash flows from interest, fees and dividends earned from our investments as well as principal repayments and proceeds from sales of our investments. We also employ leverage to seek to enhance our returns as market conditions permit and at the discretion of CIM and pursuant to the 1940 Act. As a result, we also generate cash from our existing financing arrangements and may generate cash from future borrowings, as well as future offerings of securities including public and/or private issuances of debt and/or equity securities. We use cash primarily to (i) purchase investments in new and existing portfolio companies, (ii) pay for the cost of operations (including paying advisory fees to and/or reimbursing CIM), (iii) make debt service payments related to any of our financing arrangements and (iv) pay cash distributions to the holders of our shares.

On March 23, 2018, an amendment to Section 61(a) of the 1940 Act was signed into law to permit BDCs to reduce the minimum “asset coverage” ratio from 200% to 150% and, as a result, to potentially increase the ratio of a BDC’s debt to equity from a maximum of 1-to-1 to a maximum of 2-to-1, so long as certain approval and disclosure requirements are satisfied. As a result of receiving shareholder approval on December 30, 2021, effective December 31, 2021, we are required to maintain asset coverage for our senior securities of 150% rather than 200%, which allows us to increase the maximum amount of leverage that we are permitted to incur. We may from time to time enter into additional financing arrangements or amend the size of our existing financing arrangements. Any increase to our leverage would be subject to prevailing market conditions, our liquidity requirements, contractual and regulatory restrictions and other factors.

As of March 31, 2023 and December 31, 2022, our asset coverage ratio was 1.82 and 1.92, respectively. We seek to carefully consider our unfunded commitments for the purpose of planning our ongoing financial leverage.

On September 15, 2022, our shareholders authorized us to issue shares of our common stock at prices below the then current NAV per share in one or more offerings for a 12-month period following such shareholder approval. As of the date of this report, we are not engaged in discussions to issue any such shares.

As of March 31, 2023, we had cash of $96,016 and short term investments of $66,326 invested in a fund that primarily invests in U.S. government securities. Cash and short term investments as of March 31, 2023, taken together with our available debt, is expected to be sufficient for our investing and financing activities and to conduct our operations in the near term. As of March 31, 2023, we had $100 million available under our financing arrangements.

Our short-term cash needs include the funding of additional portfolio investments (including unfunded commitments), the payment of operating expenses including interest expense, management fees, incentive fees, administrative services expense and general and administrative expenses, as well as paying distributions to our shareholders. Our short-term cash needs also include principal payments on outstanding secured financing arrangements to the extent such secured financing arrangements are not extended. Our long-term cash needs will include principal payments on outstanding financing arrangements and funding of additional portfolio investments. Funding for short and long-term cash needs will come from cash provided from operating activities and/or unused net proceeds from financing activities. We believe that our liquidity and sources of capital are adequate to satisfy our short and long-term cash requirements. We cannot, however, be certain that these sources of funds will be available at a time and upon terms acceptable to us in sufficient amounts in the future.
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Post-Listing Share Repurchase Policy

On September 15, 2021, our board of directors, including the independent directors, approved a share repurchase policy authorizing us to repurchase up to $50 million of our outstanding common stock after the Listing. On June 24, 2022, our board of directors, including the independent directors, increased the amount of shares of our common stock that may be repurchased under the share repurchase policy by $10 million to up to an aggregate of $60 million. Under the share repurchase policy, we may purchase shares of our common stock through various means such as open market transactions, including block purchases, and privately negotiated transactions. The number of shares repurchased and the timing, manner, price and amount of any repurchases will be determined at our discretion. Factors include, but are not limited to, share price, trading volume and general market conditions, along with our general business conditions. The policy may be suspended or discontinued at any time and does not obligate us to acquire any specific number of shares of our common stock.

On August 16, 2022, as part of the share repurchase policy, we entered into a trading plan with an independent broker, Wells Fargo, in accordance with Rule 10b5-1 of the Securities Exchange Act of 1934, as amended, based in part on historical trading data with respect to our shares. The 10b5-1 trading plan permits common stock to be repurchased at a time that we might otherwise be precluded from doing so under insider trading laws or self-imposed trading restrictions. The 10b5-1 trading plan is subject to price, market volume and timing restrictions.

During the three months ended March 31, 2023, we repurchased an aggregate of 338,029 shares under the 10b5-1 trading plan for an aggregate purchase price of $3,592, or an average purchase price of $10.63 per share.
From April 1, 2023 to May 3, 2023, we repurchased an aggregate of 160,838 shares of common stock under the 10b5-1 trading plan for an aggregate purchase price of $1,548, or an average purchase price of $9.62 per share. From the inception of the 10b5-1 trading plan in August 2022 through May 3, 2023, we repurchased an aggregate of 2,157,823 shares of common stock under the 10b5-1 trading plan for an aggregate purchase price of $20,584, or an average purchase price of $9.54 per share.

Distributions
To qualify for and maintain RIC tax treatment, we must, among other things, distribute in respect of each taxable year at least 90% of our net ordinary income and realized net short-term capital gains in excess of realized net long-term capital losses, if any. We will incur an excise tax of 4% imposed on RICs to the extent we do not distribute in respect of each calendar year an amount at least equal to the sum of (1) 98.0% of our net ordinary income (taking into account certain deferrals and elections) for the calendar year, (2) 98.2% of our capital gains in excess of capital losses, or capital gain net income (adjusted for certain ordinary losses), for the one-year period ending on October 31 of the calendar year and (3) any net ordinary income and capital gain net income from preceding years that were not distributed during such years and on which we paid no federal income tax.

We intend to make distributions in an amount sufficient to maintain RIC status each year and to avoid any federal income taxes on income. Therefore, subject to applicable legal restrictions and the sole discretion of our board of directors, we intend to authorize, declare, and pay regular distributions on a quarterly basis. Regular and special distributions in respect of future periods will be evaluated by management and our board of directors based on circumstances and expectations existing at the time of consideration.
The following table presents distributions per share that were declared during the year ended December 31, 2022 and the three months ended March 31, 2023:
Distributions
Three Months EndedPer ShareAmount
2022
March 31, 2022 (one record date)$0.2800 $15,948 
June 30, 2022 (one record date)0.2800 15,949 
September 30, 2022 (one record date)0.3100 17,604 
December 31, 2022 (two record dates)0.5800 32,074 
Total distributions for the year ended December 31, 2022$1.4500 $81,575 
2023
March 31, 2023 (one record date)$0.3400 $18,687 
Total distributions for the three months ended March 31, 2023$0.3400 $18,687 
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On May 8, 2023, our co-chief executive officers declared a regular quarterly distribution of $0.34 per share for the second quarter of 2023 payable on June 15, 2023 to shareholders of record as of June 1, 2023.

For an additional discussion of our RIC status and distributions, refer to Note 2 and Note 5, respectively, of our consolidated financial statements included in this report.

JPM Credit Facility
As of September 30, 2017March 31, 2023 and November 9, 2017,May 3, 2023, our aggregate outstanding borrowings under the JPM Credit Facility were $224,423$600,000 and the aggregate unfunded principal amount available in connection with the JPM Credit Facility was $577.$75,000. For a detailed discussion of our JPM Credit Facility, refer to Note 8 to our consolidated financial statements included in this report.

UBS Facility
As of September 30, 2017March 31, 2023 and November 9, 2017,May 3, 2023, our outstanding borrowings under the Amended UBS Facility were $125,000 and no additional$100,000, respectively, and the aggregate unfunded principal amount was available in connection with the Amended UBS Facility.Facility was $25,000 and $50,000, respectively. For a detailed discussion of our Amended UBS Facility, refer to Note 8 to our consolidated financial statements included in this report.
2026 Notes

As of March 31, 2023 and May 3, 2023, we had $125,000 in aggregate principal amount of 2026 Notes outstanding and there was no unfunded principal amount in connection with the 2026 Notes. For a detailed discussion of our 2026 Notes, refer to Note 8 to our consolidated financial statements included in this report.
2021 More Term Loan
As of March 31, 2023 and May 3, 2023, our outstanding borrowings under the 2021 More Term Loan were $30,000 and there was no unfunded principal amount in connection with the 2021 More Term Loan. For a detailed discussion of our 2021 More Term Loan, refer to Note 8 to our consolidated financial statements included in this report.
2022 More Term Loan
As of March 31, 2023 and May 3, 2023, our outstanding borrowings under the 2022 More Term Loan were $50,000 and there was no unfunded principal amount in connection with the 2022 More Term Loan. For a detailed discussion of our 2022 More Term Loan, refer to Note 8 to our consolidated financial statements included in this report.
Series A Notes

As of March 31, 2023 and May 3, 2023, we had $80,712 in aggregate principal amount of Series A Notes outstanding and there was no unfunded principal amount in connection with the Series A Notes. For a detailed discussion of our Series A Notes, refer to Note 8 to our consolidated financial statements included in this report.
Unfunded Commitments
As of September 30, 2017March 31, 2023 and November 9, 2017,May 3, 2023, our unfunded commitments amounted to $75,833 and $83,077,$60,176 and $55,387, respectively. For a detailed discussion of our unfunded commitments, refer to Note 11 to our consolidated financial statements included in this report.


RIC Status and Distributions
Prior to the refinancing of the TRS, our total investment portfolio includes loans and other securities on our consolidated balance sheets and loans underlying the TRS. Accordingly, we treat net interest and other income earned on all investments, including the loans underlying the TRS, as a component of investment company taxable income when determining our sources of distributions. The sources of our distributions for the nine months ended September 30, 2017 were as follows:
  Three Months Ended
September 30, 2017		 Nine Months Ended
September 30, 2017
  Investment Portfolio Total Return Swap Portfolio Total Investment Portfolio Percentage Investment Portfolio Total Return Swap Portfolio Total Investment Portfolio Percentage
Net investment income $20,577
 $67
 $20,644
 100.0% $55,191
 $3,661
 $58,852
 96.3%
Capital gains from the sale of assets(1)(2) —
 —
 —
 —
 —
 2,286
 2,286
 3.7%
Total $20,577
 $67
 $20,644
 100.0% $55,191
 $5,947
 $61,138
 100.0%
(1)For the three and nine months ended September 30, 2017, we estimate that we had no net capital gains classified as long-term. The final determination of the tax attributes of our distributions is made annually as of the end of the year.
(2)During the nine months ended September 30, 2017, the Company realized losses of $24,164 primarily in connection with the refinancing of the TRS, which are not currently deductible on a tax-basis.
For an additional discussion of our RIC status and distributions, refer to Note 2 and Note 5, respectively, to our consolidated financial statements included in this report.
Recent Accounting Pronouncements


See Note 2 to our consolidated financial statements included in this report for a discussion of certain recent accounting pronouncements that are applicable to us.
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Critical Accounting Policies
Our consolidated financial statements are prepared in conformity with GAAP, which requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. Critical accounting policies are those that require the application of management’s most difficult, subjective or complex judgments, often because of the need to make estimates about the effect of matters that are inherently uncertain and that may change in subsequent periods. In preparing the consolidated financial statements, we also utilize available information, including our past history, industry standards and the current economic environment, among other factors, in forming our estimates and judgments, giving due consideration to materiality. Actual results may differ from these estimates. In addition, other companies may utilize different estimates, which may impact the comparability of our results of operations to those of companies in similar businesses.
Valuation of Portfolio Investments
The value of our assets is determined quarterly and at such other times that an event occurs that materially affects the valuation. The valuation is made pursuant to Section 2(a)(41) of the 1940 Act, which requires that we value our assets as follows: (i) the market price for those securities for which a market quotation is readily available, and (ii) for all other securities and assets, at fair value, as determined in good faith by our board of directors. As a BDC, Section 2(a)(41) of the 1940 Act requires the board of directors to determine in good faith the fair value of portfolio securities for which a market price is not readily available, and it does so in conjunction with the application of our valuation procedures by CIM. In accordance with Rule 2a-5 of the 1940 Act, our board of directors has designated CIM as our “valuation designee.” Our board of directors and the audit committee of our board of directors, which is comprised solely of our independent directors, oversees the activities, methodology and processes of the valuation designee.
There is no single standard for determining fair value in good faith. As a result, determining fair value requires that judgment be applied to the specific facts and circumstances of each asset while employing a valuation process that is consistently followed. Determinations of fair value involve subjective judgments and estimates. Accordingly, the notes to our consolidated financial statements refer to the uncertainty with respect to the possible effect of such valuations, and any change in such valuations in our consolidated financial statements.
Valuation Methods
With respect to investments for which market quotations are not readily available, we undertakeCIM, as the valuation designee of our board of directors, undertakes a multi-step valuation process each quarter, as described below:
our•the quarterly valuation process generally begins with each portfolio company or investment either being sent directly to an independent valuation firm or initially valued by certain of CIM’s investment professionals and certain members of its management team, with such valuation taking into account information received from various sources, including independent valuation firms, and AIM, if applicable;
•preliminary valuation conclusions are then documented and discussed withby members of CIM’s valuation committee;management team;


•designated members of CIM’s valuation committee reviewsmanagement team review the preliminary valuation, and, if applicable, deliversdeliver such preliminary valuation to an independent valuation firm for its review;
•designated members of CIM’s valuation committee, or its designee,management team and, if appropriate, the relevant investment professionals meet with the independent valuation firm to discuss the preliminary valuation;
•designated members of CIM’s management team respond and supplement the preliminary valuation to reflect any comments provided by the independent valuation firm;
•our audit committee meets with members of CIM’s management team and the independent valuation firmfirms to discuss the assistance provided and the results of the independent valuation firm’sfirms' review; and
•our board of directors discussesand our audit committee provide oversight with respect to this valuation process, including requesting such materials as they may determine appropriate.
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We shall promptly (but no later than five business days after we become aware) report to our board of directors in writing on the valuation and determinesoccurrence of matters that materially affect the fair value of each investmentthe designated portfolio of investments. Material matters in our portfoliothis instance include a significant deficiency or material weakness in good faith based on various statistical and other factors, including the input and recommendationdesign or effectiveness of CIM,CIM’s fair value determination process resulting in a material error in the audit committee and any third-party valuation firm, if applicable.calculation of net asset value of $0.01 per share or greater.
In addition to the foregoing, certain investments for which a market price is not readily available are evaluated on a quarterly basis by an independent valuation firm and certain other investments are on a rotational basis reviewed once over a twelve-month period by an independent valuation firm. Finally, certain investments are not evaluated by an independent valuation firm unless the net asset value and othercertain aspects of such investments in the aggregate exceedmeet certain thresholds.criteria.

Given the expected types of investments, excluding short term investments and stock of publicly traded companies that are classified as Level 1, management expects our portfolio holdings to be classified as Level 3. Due to the uncertainty inherent in the valuation process, particularly for Level 3 investments, such fair value estimates may differ significantly from the values that would have been used had an active market for the investments existed. In addition, changes in the market environment and other events that may occur over the life of the investments may cause the gains or losses that we ultimately realize on these investments to materially differ from the valuations currently assigned. Inputs used in the valuation process are subject to variability in the future and can result in materially different fair values.
For an additional discussion of our investment valuation process, refer to Note 2 to our consolidated financial statements included in this report.
Related Party Transactions


For a discussion of our relationship with related parties including CION Securities, CIM, ICON Capital, CIG, and AIMAIA and amounts incurred under agreements with such related parties, refer to Note 4 to our consolidated financial statements included in this report. For a discussion of our relationship with CION/EagleTree, refer to Note 7 to our consolidated financial statements included in this report.
Contractual Obligations


On August 26, 2016, 34th Street entered into the JPM Credit Facility with JPM, as amended and restated on September 30, 2016, and July 11, 2017.2017, November 28, 2017, May 23, 2018, May 15, 2020, February 26, 2021 and March 28, 2022. See Note 8 to our consolidated financial statements for a more detailed description of the JPM Credit Facility.

On March 29, 2017, Flatiron Funding II entered into the Citibank Credit Facility with Citibank, as amended on July 11, 2017. See Note 8 to our consolidated financial statements for a more detailed description of the Citibank Credit Facility.

On May 19, 2017, Murray Hill Funding II entered into the UBS Facility with UBS.UBS, as amended on December 1, 2017, May 19, 2020, November 12, 2020 and December 17, 2020. See Note 8 to our consolidated financial statements for a more detailed description of the UBS Facility.

CommitmentsOn February 11, 2021, we entered into the Note Purchase Agreement with purchasers of the 2026 Notes. See Note 8 to our consolidated financial statements for a more detailed description of the 2026 Notes.

On April 14, 2021, we entered into the 2021 More Term Loan with More. See Note 8 to our consolidated financial statements for a more detailed description of the 2021 More Term Loan.

On April 27, 2022, we entered into the 2022 More Term Loan with More Provident. See Note 8 to our consolidated financial statements for a more detailed description of the 2022 More Term Loan.

On February 28, 2023, we entered into a Deed of Trust with Mishmeret Trust Company Ltd., as trustee, pursuant to which we issued our Series A Notes. See Note 8 to our consolidated financial statements for a more detailed description of the Deed of Trust and Contingencies and Off-Balance Sheet Arrangementsthe Series A Notes.
Commitments and Contingencies
We have entered into certain contracts with other parties that contain a variety of indemnifications. Our maximum exposure under these arrangements is unknown. However, we have not experienced claims or losses pursuant to these contracts and believe the risk of loss related to such indemnifications to be remote.
Our investment portfolio may contain debt investments that are in the form of lines of credit, delayed draw term loans, revolving credit facilities, or other unfunded commitments, which may require us to provide funding when requested in accordance with the terms of the underlying agreement.agreements. For further details on such debt investments, refer to Note 11 to our consolidated financial statements included in this report.
Off-Balance Sheet Arrangements
    
We currently have no off-balance sheet arrangements, except for those discussed in Note 7 and Note 11 to our consolidated financial statements included in this report.

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Item 3. Quantitative and Qualitative Disclosures About Market Risk

We are subject to financial market risks, including changes in interest rates. As of September 30, 2017, 93.3%March 31, 2023, 84.0% of our investments paid variable interest rates. A rise in the general level of interest rates can be expected to lead to higher interest rates applicable to our debt investments, especially to the extent that we hold variable rate investments, and to declines in the value of any fixed rate investments we may hold. To the extent that a majority of our investments may be in variable rate investments, an increase in interest rates could make it easier for us to meet or exceed our incentive fee hurdle rate, as defined in our investment advisory agreement, and may result in a substantial increase in our net investment income, and also to the amount of incentive fees payable to CIM with respect to our pre-incentive fee net investment income.
Under
As of March 31, 2023, under the terms of the Third Amended JPM Credit Facility, advances currently bear interest at a floating rate equal to the three-month LIBOR, plus a spread of 3.50%3.10% per year. Under the terms of the Citibank Credit Facility,JPM First Amendment, additional advances currentlyof up to $100,000 bear interest at a floating rate equal to the three-month SOFR, plus a credit spread of 3.10% per year, and a LIBOR plus 2.0%to SOFR credit spread adjustment of 0.15%. Pursuant to the terms of the Amended UBS Facility, we currently pay a financing fee equal to the three-month LIBOR, plus a spread of 3.375% per year. Pursuant to the terms of the Deed of Trust, the Series A Notes bear interest at a floating rate equal to average overnight SOFR, plus a credit spread of 3.82% per year. Pursuant to the terms of the 2022 More Term Loan, advances bear interest at a floating rate equal to the three-month SOFR, plus a credit spread of 3.50%. per year and subject to a 1.0% SOFR floor. In addition, we may seek to further borrow funds in order to make additional investments. Our net investment income will be impacted, in part, by the difference between the rate at which we borrow funds and the rate at which we invest those funds. As a result, we would be subject to risks relating to changes in market interest rates. In periods of rising interest rates when we have debt outstanding, our cost of funds would increase, which could reduce our net investment income, especially to the extent we hold fixed rate investments. We expect that our long-term investments will be financed primarily with equity and long-term debt. Our interest rate risk management techniques may include various interest rate hedging activities to the extent permitted by the 1940 Act. Adverse developments resulting from changes in interest rates could have a material adverse effect on our business, financial condition and results of operations.
The following table shows the effect over a twelve month period of changes in interest rates on our net interest income, excluding short term investments, assuming no changes in our investment portfolio, the Citibank Credit Facility, theThird Amended JPM Credit Facility (including the JPM First Amendment), the Amended UBS Facility, the Series A Notes or the UBS Facility2022 More Term Loan in effect as of September 30, 2017:March 31, 2023:
Basis Point Change in Interest Rates(Decrease) Increase in Net Interest Income(1)Percentage Change in Net Interest Income
Down 300 basis points$(14,417)(14.3)%
Down 200 basis points(9,783)(9.7)%
Down 100 basis points(4,926)(4.9)%
Down 50 basis points(2,486)(2.5)%
No change to current base rate (4.96% as of March 31, 2023)— — 
Up 50 basis points2,395 2.4 %
Up 100 basis points4,835 4.8 %
Up 200 basis points9,716 9.6 %
Up 300 basis points14,596 14.5 %
Change in Interest Rates Increase (Decrease) in Net Interest Income(1) Percentage Change in Net Interest Income
Down 100 basis points $1,290
 1.2 %
Down 50 basis points (1,585) (1.5)%
Current base interest rate —
 —
Up 50 basis points 4,276
 4.0 %
Up 100 basis points 8,560
 8.1 %
Up 200 basis points 17,126
 16.1 %
Up 300 basis points 25,693
 24.2 %
(1)This table assumes no change in defaults or prepayments by portfolio companies over the next twelve months.
(1)This table assumes no change in defaults or prepayments by portfolio companies over the next twelve months.
The interest rate sensitivity analysis presented above does not consider the potential impact of the changes in fair value of our fixed rate debt investments, our fixed rate borrowings (the 2026 Notes and the 2021 More Term Loan), or the net asset value of our common stock in the event of sudden changes in interest rates. Approximately 4.6%8.1% of our investments paid fixed interest rates as of September 30, 2017.March 31, 2023. Rising market interest rates will most likely lead to fair value declines for fixed interest rate investments and fixed interest rate borrowings and a decline in the net asset value of our common stock, while declining market interest rates will most likely lead to an increase in the fair value of fixed interest rate investments and fixed interest rate borrowings and an increase in the net asset value of our common stock.
In addition, we may have risk regarding portfolio valuation as discussed in Note 2 to our consolidated financial statements included in this report.

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Item 4. Controls and Procedures
Evaluation of disclosure controls and procedures
In connection with the preparation of this Quarterly Report on Form 10-Q for the three months ended September 30, 2017,March 31, 2023, we carried out an evaluation, under the supervision and with the participation of our management, including our Co-Chief Executive Officers and our Chief Financial Officer, of the effectiveness of the design and operation of our disclosure controls and procedures as of the end of the period covered by this report pursuant to Rule 13a-15(b) and Rule 15d-15(b) of the Securities Exchange Act of 1934, as amended. Based on the foregoing evaluation, the Co-Chief Executive Officers and the Chief Financial Officer concluded that our disclosure controls and procedures were effective.
In designing and evaluating our disclosure controls and procedures, we recognized that disclosure controls and procedures, no matter how well conceived and operated, can provide only reasonable, not absolute, assurance that the objectives of the disclosure controls and procedures are met.  Our disclosure controls and procedures have been designed to meet reasonable assurance standards. Disclosure controls and procedures cannot detect or prevent all error and fraud. Some inherent limitations in disclosure controls and procedures include costs of implementation, faulty decision-making, simple error and mistake. Additionally, controls can be circumvented by the individual acts of some persons, by collusion of two or more people, or by management override of the controls. The design of any system of controls is based, in part, upon certain assumptions about the likelihood of future events, and there can be no assurance that any design will succeed in achieving its stated goals under all anticipated and unanticipated future conditions. Over time, controls may become inadequate because of changes in conditions, or the degree of compliance with established policies or procedures.
Evaluation of internal control over financial reporting
There have been no changes in our internal control over financial reporting during the three months ended September 30, 2017March 31, 2023 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

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PART II - OTHER INFORMATION
Item 1. Legal Proceedings
We are not currently subject to any material legal proceedings, nor, to our knowledge, is any material legal proceeding threatened against us. From time to time, we may be party to certain legal proceedings in the ordinary course of business, including proceedings relating to the enforcement of our rights under contracts with our portfolio companies and other third parties. While the outcome of these legal proceedings cannot be predicted with certainty, we do not expect that any such proceedings will have a material effect upon our financial condition or results of operations.
Item 1A. Risk Factors
In addition to other information set forth in this Quarterly Report on Form 10-Q, you should carefully consider the factors set forth in “Item 1A. Risk Factors” in our Annual Report on Form 10‑K for the year ended December 31, 2022, which could materially affect our business, financial condition and/or operating results. Additional risks and uncertainties not currently known to us or that we currently deem to be immaterial also may materially affect our business, financial condition and/or operating results. There have been no material changes fromduring the three months ended March 31, 2023 to the risk factors disclosedset forth in “Item 1A. Risk Factors” of our Annual Report on Form 10-K for the year ended December 31, 2016.2022, except as set forth below.
We and our portfolio companies may maintain cash balances at financial institutions that exceed federally insured limits and may otherwise be materially affected by adverse developments affecting the financial services industry, such as actual events or concerns involving liquidity, defaults or non-performance by financial institutions or transactional counterparties.
Our cash is held principally at one financial institution that we believe is of high quality and at times may exceed insured limits. Cash held by us and by our portfolio companies in non-interest-bearing and interest-bearing operating accounts may exceed the FDIC insurance limits. If such banking institutions were to fail, we or our portfolio companies could lose all or a portion of those amounts held in excess of such insurance limitations. In addition, actual events involving limited liquidity, defaults, non-performance or other adverse developments that affect financial institutions, transactional counterparties or other companies in the financial services industry or the financial services industry generally, or concerns or rumors about any events of these kinds or other similar risks, have in the past and may in the future lead to market-wide liquidity problems, which could adversely affect our and our portfolio companies’ business, financial condition, results of operations, or prospects.
Although we assess our banking relationships as we believe necessary or appropriate, our access to funding sources and other credit arrangements in amounts adequate to finance or capitalize our current and projected future business operations could be significantly impaired by factors that affect us, the financial institutions with which we have arrangements directly, or the financial services industry or economy in general. These factors could include, among others, events such as liquidity constraints or failures, the ability to perform obligations under various types of financial, credit or liquidity agreements or arrangements, disruptions or instability in the financial services industry or financial markets or concerns or negative expectations about the prospects for companies in the financial services industry. These factors could involve financial institutions or financial services industry companies with which we have financial or business relationships but could also include factors involving financial markets or the financial services industry generally.
In addition, investor concerns regarding the U.S. or international financial systems could result in less favorable commercial financing terms, including higher interest rates or costs and tighter financial and operating covenants, or systemic limitations on access to credit and liquidity sources, thereby making it more difficult for us to acquire financing on acceptable terms or at all.
79

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds
Our registration statement on Form N-2, as amended, in connection with our follow-on continuous public offering was declared effective by the SEC on January 25, 2016 (SEC File No. 333-203683). Our follow-on continuous public offering commenced on January 25, 2016.
We did not engage in any unregistered sales of equity securities during the three months ended September 30, 2017.March 31, 2023.
The table below provides information concerning our repurchases of shares of our common stock during the three months ended September 30, 2017March 31, 2023 pursuant to our share repurchase program.policy.
PeriodTotal Number of Shares PurchasedAverage Price Paid per ShareTotal Number of Shares Purchased as Part of Publicly Announced Plans or ProgramsMaximum Number of Shares That May Yet Be Purchased Under the Plans or Programs
January 1 to January 31, 2023129,882 $10.58 129,882 (1)
February 1 to February 28, 2023114,733 11.06114,733 (1)
March 1 to March 31, 202393,423 10.1793,423 (1)
    Total338,038 $10.63 338,038 (1)
Period Total Number of Shares Purchased Average Price Paid per Share Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs Maximum Number of Shares That May Yet Be Purchased Under the Plans or Programs
July 1 to July 31, 2017 1,365,168
 $9.10
 1,365,168
 (1)
August 1 to August 31, 2017 —
 —
 —
 —
September 1 to September 30, 2017 —
 —
 —
 —
Total 1,365,168
 $9.10
 1,365,168
 (1)
(1)A description of the shares of our common stock that may be repurchased is set forth in a discussion of our share repurchase program in Note 3 to our unaudited consolidated financial statements contained in this Quarterly Report on Form 10-Q.
(1)A description of the maximum number of shares of our common stock that may be repurchased is set forth in a detailed discussion of the terms of our share repurchase program in Note 3 to our unaudited consolidated financial statements contained in this Quarterly Report on Form 10-Q.
Item 3. Defaults Upon Senior Securities
Not applicable.
Item 4. Mine Safety Disclosures
Not applicable.
Item 5. Other Information
Not applicable.None of the officers or directors of the Company adopted or terminated any Rule 10b5-1 trading arrangements applicable to them (if any) or the Company.

80



Item 6. Exhibits
Exhibit

Number
Description of Document
2.1
Purchase and Sale Agreement, dated as of September 30, 2016, by and between Park South Funding, LLC and Credit Suisse Alternative Capital, LLC (Incorporated by reference to Exhibit 2.1 to Registrant’s Current Report on Form 8-K filed with the SEC on October 4, 2016 (File No. 814-00941)).
3.1
3.1
Third Articles of Amendment and Restatement of the Articles of Incorporation of CĪON Investment Corporation (Incorporated by reference to Exhibit (A)(2) to Pre-Effective Amendment No. 4A to Registrant’s RegistrationDefinitive Proxy Statement on Form N-2Schedule 14A filed with the SEC on June 29, 2012May 13, 2021 (File No. 333-178646)814-00941)).
3.2
SecondArticles of Amendment to the Third Articles of Amendment and Restatement of the Articles of Incorporation of CĪON Investment Corporation (Incorporated by reference to Exhibit 3.1 to Registrant’s Current Report on Form 8-K filed with the SEC on August 27, 2012 (FileSeptember 16, 2021(File No. 814-00941)).
3.3
Bylaws of CĪON Investment Corporation (Incorporated by reference to Exhibit (B) to Pre-Effective Amendment No. 4 to Registrant’s Registration Statement on Form N-2 filed with the SEC on June 29, 2012 (File No. 333-178646)).
4.1
Form of Follow-On Subscription Agreement (Incorporated by reference to Appendix A to Post-Effective Amendment No. 4 to Registrant’s Registration Statement on Form N-2 filed with the SEC on April 26, 2017 (File No. 333-203683)).
4.24.1
Fifth Amended and Restated Distribution Reinvestment Plan of CĪON Investment Corporation (Incorporated by reference to Exhibit 4.1 to Registrant’s Current Report on Form 8-K filed with the SEC on December 8, 2016 (File No. 814-00941)).
10.14.2
Distribution Reinvestment Plan of CĪON Investment Corporation (Incorporated by reference to Exhibit 4.1 to Registrant’s Current Report on Form 8-K filed with the SEC on September 16, 2021 (File No. 814-00941)).
4.3
Description of Registrant’s Securities (Incorporated by reference to Exhibit 4.4 to Registrant’s Annual Report on Form 10-K filed with the SEC on March 10, 2022 (File No. 814-00941)).
10.1
Second Amended and Restated Investment Advisory Agreement, dated as of October 5, 2021, by and between CĪON Investment Corporation and CION Investment Management, LLC (Incorporated by reference to Exhibit (G)(1)10.1 to Pre-Effective Amendment No. 4 tothe Registrant’s Registration StatementCurrent Report on Form N-28-K filed with the SEC on June 29, 2012October 5, 2021 (File No. 333-178646)814-00941)).
10.2
Investment Sub-Advisory Agreement by and among CION Investment Management, LLC, CĪON Investment Corporation and Apollo Investment Management, L.P. (Incorporated by reference to Exhibit (G)(2) to Pre-Effective Amendment No. 4 to Registrant’s Registration Statement on Form N-2 filed with the SEC on June 29, 2012 (File No. 333-178646)).
10.3
Administration Agreement by and between CĪON Investment Corporation and ICON Capital Corp. (Incorporated by reference to Exhibit (K)(2) to Pre-Effective Amendment No. 4 to Registrant’s Registration Statement on Form N-2 filed with the SEC on June 29, 2012 (File No. 333-178646)).
10.4
Custody Agreement by and between CĪON Investment Corporation and U.S. Bank National Association (Incorporated by reference to Exhibit (J) to Pre-Effective Amendment No. 4 to Registrant’s Registration Statement on Form N-2 filed with the SEC on June 29, 2012 (File No. 333-178646)).
10.510.3
EscrowThird Amended and Restated Expense Support and Conditional Reimbursement Agreement, dated as of December 9, 2020, by and amongbetween CĪON Investment Corporation UMB Bank, N.A., and ICON Securities Corp. (Incorporated by reference to Exhibit (K)(1) to Pre-Effective Amendment No. 4 to Registrant’s Registration Statement on Form N-2 filed with the SEC on June 29, 2012 (File No. 333-178646)).
10.6
Dealer Manager Agreement by and among CĪON Investment Corporation, CION Investment Management, LLC and ICON Securities Corp. (Incorporated by reference to Exhibit (H)(1) to Pre-Effective Amendment No. 4 to Registrant’s Registration Statement on Form N-2 filed with the SEC on June 29, 2012 (File No. 333-178646)).
10.7
ISDA 2002 Master Agreement, together with the Schedule thereto and Credit Support Annex to such Schedule, each dated as of December 17, 2012, by and between Flatiron Funding, LLC and Citibank, N.A. (Incorporated by reference to Exhibit 10.1 to the Registrant’s Current Report on Form 8-K filed with the SEC on December 19, 201215, 2020 (File No. 814-00941)).
10.8
Thirteenth Amended and Restated Confirmation Letter Agreement, dated as of February 18, 2017, by and between Flatiron Funding, LLC and Citibank, N.A. (Incorporated by reference to Exhibit 10.1 to the Registrant’s Current Report on Form 8-K filed with the SEC on February 23, 2017 (File No. 814-00941)).
10.9
Third Amended and Restated Expense Support and Conditional Reimbursement Agreement, dated as of December 14, 2016, by and among CĪON Investment Corporation, Apollo Investment Management, L.P. and CION Investment Group, LLC (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on December 14, 2016 (File No. 814-00941)).
10.10
Amended and Restated Follow-On Dealer Manager Agreement, dated as of December 28, 2016, by and among CĪON Investment Corporation, CION Investment Management, LLC and CION Securities, LLC (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on January 4, 2017 (File No. 814-00941)).
10.11
Form of Follow-On Selected Dealer Agreement (Incorporated by reference to Exhibit (H)(4) to Registrant’s Registration Statement on Form N-2 filed with the SEC on April 28, 2015 (File No. 333-203683)).
10.12
Loan and Security Agreement, dated as of April 30, 2015, by and between CĪON Investment Corporation and East West Bank (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on May 6, 2015 (File No. 814-00941)).
10.13
First Amendment to Loan and Security Agreement, dated as of January 28, 2016, by and between CĪON Investment Corporation and East West Bank (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on February 3, 2016 (File No. 814-00941)).
10.14
Second Amendment to Loan and Security Agreement, dated as of April 21, 2016, by and between CĪON Investment Corporation and East West Bank (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on April 27, 2016 (File No. 814-00941)).
10.15
Custody Control Agreement, dated as of April 30, 2015, by and among CĪON Investment Corporation, East West Bank and U.S. Bank National Association (Incorporated by reference to Exhibit 10.2 to Registrant’s Current Report on Form 8-K filed with the SEC on May 6, 2015 (File No. 814-00941)).
10.16
Limited Liability Company Agreement of CION / Capitala Senior Loan Fund I, LLC, dated as of June 24, 2015, by and between CĪON Investment Corporation and Capitala Finance Corp. (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on June 26, 2015 (File No. 814-00941)).



Exhibit
Number
10.4		Description of Document
10.17
Loan and Security Agreement, dated as of August 26, 2016, by and among 34th Street Funding, LLC, JPMorgan Chase Bank, National Association, U.S. Bank National Association and CION Investment Management, LLC (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on September 1, 2016 (File No. 814-00941)).
10.18
Sale and Contribution Agreement, dated as of August 26, 2016, by and between 34th Street Funding, LLC and CĪON Investment Corporation (Incorporated by reference to Exhibit 10.2 to Registrant’s Current Report on Form 8-K filed with the SEC on September 1, 2016 (File No. 814-00941)).
10.1910.5
Master Participation Agreement, dated as of August 26, 2016, by and between 34th Street Funding, LLC and CĪON Investment Corporation (Incorporated by reference to Exhibit 10.3 to Registrant’s Current Report on Form 8-K filed with the SEC on September 1, 2016 (File No. 814-00941)).
10.2010.6
Portfolio Management Agreement, dated as of August 26, 2016, by and between 34th Street Funding, LLC and CION Investment Management, LLC (Incorporated by reference to Exhibit 10.4 to Registrant’s Current Report on Form 8-K filed with the SEC on September 1, 2016 (File No. 814-00941)).
10.21
Guarantee of CĪON Investment Corporation dated as of August 26, 2016 (Incorporated by reference to Exhibit 10.5 to Registrant’s Current Report on Form 8-K filed with the SEC on September 1, 2016 (File No. 814-00941)).
10.22
Amended and Restated Loan and Security Agreement, dated as of September 30, 2016, by and among 34th Street Funding, LLC, JPMorgan Chase Bank, National Association, U.S. Bank National Association and CION Investment Management, LLC (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on October 4, 2016 (File No. 814-00941)).
10.23
Release and Termination Agreement, dated as of September 30, 2016, by and among CĪON Investment Corporation, 34th Street Funding, LLC and JPMorgan Chase Bank, National Association (Incorporated by reference to Exhibit 10.2 to Registrant’s Current Report on Form 8-K filed with the SEC on October 4, 2016 (File No. 814-00941)).
10.24
Amended and Restated Portfolio Management Agreement, dated as of September 30, 2016, by and among 34th Street Funding, LLC, CION Investment Management, LLC and JPMorgan Chase Bank, National Association (Incorporated by reference to Exhibit 10.3 to Registrant’s Current Report on Form 8-K filed with the SEC on October 4, 2016 (File No. 814-00941)).
10.2510.7
Credit and Security Agreement, dated as of March 29, 2017, by and among Flatiron Funding II, LLC, CION Investment Management, LLC, CĪON Investment Corporation, Citibank, N.A. and U.S. Bank National Association (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on April 4, 2017 (File No. 814-00941)).
10.26
Account Control Agreement, dated as of March 29, 2017, by and among Flatiron Funding II, LLC, CION Investment Management, LLC and U.S. Bank National Association (Incorporated by reference to Exhibit 10.2 to Registrant’s Current Report on Form 8-K filed with the SEC on April 4, 2017 (File No. 814-00941)).
10.27
Master Participation and Assignment Agreement, dated as of March 29, 2017, by and between 15th Street Loan Funding LLC and Flatiron Funding II, LLC (Incorporated by reference to Exhibit 10.3 to Registrant’s Current Report on Form 8-K filed with the SEC on April 4, 2017 (File No. 814-00941)).
10.28
Master Participation and Assignment Agreement, dated as of March 29, 2017, by and between 15th Street Loan Funding 2 LLC and Flatiron Funding II, LLC (Incorporated by reference to Exhibit 10.4 to Registrant’s Current Report on Form 8-K filed with the SEC on April 4, 2017 (File No. 814-00941)).
10.29
Contribution Agreement, dated as of May 19, 2017, by and among CÎONCION Investment Corporation, Murray Hill Funding, LLC and Murray Hill Funding II, LLC (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on May 25, 2017 (File No. 814-00941)).
10.3010.8
Indenture, dated as of May 19, 2017, by and between Murray Hill Funding II, LLC and U.S. Bank National Association (Incorporated by reference to Exhibit 10.2 to Registrant’s Current Report on Form 8-K filed with the SEC on May 25, 2017 (File No. 814-00941)).
10.31
Murray Hill Funding II, LLC Class A Notes Due 2027 (Incorporated by reference to Exhibit 10.3 to Registrant’s Current Report on Form 8-K filed with the SEC on May 25, 2017 (File No. 814-00941)).
10.3210.9
Contribution Agreement, dated as of May 19, 2017, by and among UBS AG, London Branch, Murray Hill Funding II, LLC, U.S. Bank National Association, Murray Hill Funding, LLC and CION Investment Management, LLC (Incorporated by reference to Exhibit 10.4 to Registrant’s Current Report on Form 8-K filed with the SEC on May 25, 2017 (File No. 814-00941)).
10.3310.10
October 2000 Version Global Master Repurchase Agreement, by and between UBS AG and Murray Hill Funding, LLC, together with the related Annex and Master Confirmation thereto, each dated as of May 19, 2017 (Incorporated by reference to Exhibit 10.5 to Registrant’s Current Report on Form 8-K filed with the SEC on May 25, 2017 (File No. 814-00941)).
10.3410.11
Collateral Management Agreement, dated as of May 19, 2017, by and between CION Investment Management, LLC and Murray Hill Funding II, LLC (Incorporated by reference to Exhibit 10.6 to Registrant’s Current Report on Form 8-K filed with the SEC on May 25, 2017 (File No. 814-00941)).
10.3510.12
Collateral Administration Agreement, dated as of May 19, 2017, by and among Murray Hill Funding II, LLC, CION Investment Management, LLC and U.S. Bank National Association (Incorporated by reference to Exhibit 10.7 to Registrant’s Current Report on Form 8-K filed with the SEC on May 25, 2017 (File No. 814-00941)).
31.110.13
Murray Hill Funding II, LLC Class A Notes Due 2027 (Incorporated by reference to Exhibit 10.2 to the Registrant’s Current Report on Form 8-K filed with the SEC on December 7, 2017 (File No. 814-00941)).
10.14
Administration Agreement, dated as of April 1, 2018, by and between CĪON Investment Corporation and CION Investment Management, LLC (Incorporated by reference to Exhibit 10.1 to the Registrant’s Current Report on Form 8-K filed with the SEC on April 3, 2018 (File No. 814-00941)).



81

Exhibit
Number		Description of Document
10.15
Second Amended and Restated Loan and Security Agreement, dated as of May 15, 2020, by and among 34th Street Funding, LLC, JPMorgan Chase Bank, National Association, U.S. Bank National Association and CION Investment Management, LLC (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on May 21, 2020 (File No. 814-00941)).
10.16
Fourth Amended and Restated Master Confirmation to the Global Master Repurchase Agreement, dated as of December 17, 2020, by and between Murray Hill Funding, LLC and UBS AG (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on December 23, 2020 (File No. 814-00941)).
10.17
Revolving Credit Note Agreement, dated as of December 17, 2020, by and among Murray Hill Funding II, LLC, Murray Hill Funding, LLC, U.S. Bank National Association, and the Class A-R Noteholders (Incorporated by reference to Exhibit 10.2 to Registrant’s Current Report on Form 8-K filed with the SEC on December 23, 2020 (File No. 814-00941)).
10.18
Murray Hill Funding II, LLC Class A-R Notes Due 2027 (Incorporated by reference to Exhibit 10.3 to Registrant’s Current Report on Form 8-K filed with the SEC on December 23, 2020 (File No. 814-00941)).
10.19
Second Amended and Restated Indenture, dated as of December 17, 2020, by and between Murray Hill Funding II, LLC and U.S. Bank National Association (Incorporated by reference to Exhibit 10.4 to Registrant’s Current Report on Form 8-K filed with the SEC on December 23, 2020 (File No. 814-00941)).
10.20
Master Confirmation to the Global Master Repurchase Agreement (Class A-R Notes), dated as of December 17, 2020, by and between Murray Hill Funding, LLC and UBS AG (Incorporated by reference to Exhibit 10.5 to Registrant’s Current Report on Form 8-K filed with the SEC on December 23, 2020 (File No. 814-00941)).
10.21
Note Purchase Agreement of CĪON Investment Corporation related to the 2026 Notes, dated as of February 11, 2021 (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on February 16, 2021 (File No. 814-00941)).
10.22
Third Amended and Restated Loan and Security Agreement, dated as of February 26, 2021, by and among 34th Street Funding, LLC, JPMorgan Chase Bank, National Association, U.S. Bank National Association and CION Investment Management, LLC (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on March 1, 2021 (File No. 814-00941)).
10.23
Unsecured Term Loan Facility Agreement, dated as of April 14, 2021, by and between CĪON Investment Corporation and More Provident Funds Ltd. (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on April 20, 2021 (File No. 814-00941)).
10.24
First Amendment to Third Amended and Restated Loan and Security Agreement, dated as of March 28, 2022, by and among 34th Street Funding, LLC, JPMorgan Chase Bank, National Association, U.S. Bank Trust Company, National Association, U.S. Bank National Association and CION Investment Management, LLC (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on March 29, 2022 (File No. 814-00941)).
10.25
Unsecured Term Loan Facility Agreement, dated as of April 27, 2022, by and between CĪON Investment Corporation and More Provident Funds and Pension Ltd. (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on April 27, 2022 (File No. 814-00941)).
10.26
Deed of Trust, dated as of February 20, 2023, by and between CĪON Investment Corporation and Mishmeret Trust Company Ltd. (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on February 28, 2023 (File No. 814-00941)).
14.1
Code of Ethics of CĪON Investment Corporation, CION Investment Management, LLC, CION Management, LLC and Affiliated Advisers (Incorporated by reference to Exhibit 14.1 to Registrant’s Current Report on Form 8-K filed with the SEC on May 3, 2019 (File No. 814-00941)).
21.1
Subsidiaries of CĪON Investment Corporation. (Incorporated by reference to Exhibit 21.1 to Registrant’s Annual Report on Form 10-K filed with the SEC on March 16, 2023 (File No. 814-00941)).
31.1
Rule 13a-14(a)/15d-14(a) Certification of Co-Chief Executive Officer.*
31.2
Rule 13a-14(a)/15d-14(a) Certification of Co-Chief Executive Officer.*
31.3
Rule 13a-14(a)/15d-14(a) Certification of Chief Financial Officer.*
32.1
Certification of Co-Chief Executive Officer pursuant to 18 U.S.C. §1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.*
32.2
Certification of Co-Chief Executive Officer pursuant to 18 U.S.C. §1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.*
32.3
Certification of Chief Financial Officer pursuant to 18 U.S.C. §1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.*
101.INSInline XBRL Instance Document – the instance document does not appear in the Interactive Data File because XBRL tags are embedded within the Inline XBRL document.
101.SCHInline XBRL Taxonomy Extension Schema Document.
101.CALInline XBRL Taxonomy Extension Calculation Linkbase Document.
101.DEFInline XBRL Taxonomy Extension Definition Linkbase Document.
101.LABInline XBRL Taxonomy Extension Label Linkbase Document.
101.PREInline XBRL Taxonomy Extension Presentation Linkbase Document.
104Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101).


* Filed herewith.


82

SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Date: November 13, 2017May 9, 2023
CĪON Investment Corporation
(Registrant)
By: /s/ Michael A. Reisner
Michael A. Reisner
Co-Chief Executive Officer
(Principal Executive Officer)
By: /s/ Mark Gatto
Mark Gatto
Co-Chief Executive Officer
(Principal Executive Officer)
By: /s/ Keith S. Franz
Keith S. Franz
Chief Financial Officer
(Principal Financial and Accounting Officer)



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