GOLUB CAPITAL INVESTMENT Corp - FORM 10-Q

Attached files

file	filename
EX-32.1 - EXHIBIT 32.1 - GOLUB CAPITAL INVESTMENT Corp	fy2018q1gcicexhibit321.htm
EX-31.2 - EXHIBIT 31.2 - GOLUB CAPITAL INVESTMENT Corp	fy2018q1gcicexhibit312.htm
EX-31.1 - EXHIBIT 31.1 - GOLUB CAPITAL INVESTMENT Corp	fy2018q1gcicexhibit311.htm

______________________________________________________________________________________________________

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

______________________________________________________________________________________________________

FORM 10-Q

þ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF

THE SECURITIES EXCHANGE ACT OF 1934

For the Quarterly Period Ended December 31, 2017

o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF

THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from _____ to _____

Commission File Number 814-01128

Golub Capital Investment Corporation

(Exact name of registrant as specified in its charter)



Maryland		47-1893276
(State or other jurisdiction of incorporation or organization)		(I.R.S. Employer Identification No.)

666 Fifth Avenue, 18th Floor

New York, NY 10103

(Address of principal executive offices)

(212) 750-6060

(Registrant's telephone number, including area code)

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

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

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



Large accelerated filer o	Accelerated filer o
Non-accelerated filer þ (Do not check if a smaller reporting company)	Smaller reporting company o
Emerging growth company þ

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. þ

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

As of February 9, 2018, the Registrant had 55,530,517.674 shares of common stock, $0.001 par value, outstanding.



Part I. Financial Information
Item 1.	Financial Statements	3
	Consolidated Statements of Financial Condition as of December 31, 2017 (unaudited) and September 30, 2017	3
	Consolidated Statements of Operations for the three months ended December 31, 2017 (unaudited) and 2016 (unaudited)	4
	Consolidated Statements of Changes in Net Assets for the three months ended December 31, 2017 (unaudited) and 2016 (unaudited)	5
	Consolidated Statements of Cash Flows for the three months ended December 31, 2017 (unaudited) and 2016 (unaudited)	6
	Consolidated Schedules of Investments as of December 31, 2017 (unaudited) and September 30, 2017	8
	Notes to Consolidated Financial Statements (unaudited)	35
Item 2.	Management's Discussion and Analysis of Financial Condition and Results of Operations	68
Item 3.	Quantitative and Qualitative Disclosures about Market Risk	97
Item 4.	Controls and Procedures	98
Part II. Other Information
Item 1.	Legal Proceedings	99
Item 1A.	Risk Factors	99
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	99
Item 3.	Defaults Upon Senior Securities	99
Item 4.	Mine Safety Disclosures	99
Item 5.	Other Information	99
Item 6.	Exhibits	99

Golub Capital Investment Corporation and Subsidiaries

Consolidated Statements of Financial Condition

(In thousands, except share and per share data)



	December 31, 2017			September 30, 2017
	(unaudited)
Assets
Investments, at fair value
Non-controlled/non-affiliate company investments	$	1,456,788		$	1,347,597
Controlled affiliate company investments	56,361			50,104
Total investments at fair value (amortized cost of $1,499,146 and $1,386,209, respectively)	1,513,149			1,397,701
Cash and cash equivalents	8,886			22,859
Foreign currencies (cost of $518 and $0, respectively)	526			—
Restricted cash and cash equivalents	25,686			28,272
Interest receivable	5,215			5,027
Capital call receivable	—			1,058
Other assets	74			178
Total Assets	$	1,553,536		$	1,455,095
Liabilities
Debt	$	724,550		$	670,200
Less unamortized debt issuance costs	2,129			2,671
Debt less unamortized debt issuance costs	722,421			667,529
Interest payable	2,399			2,141
Distributions payable	6,716			8,239
Management and incentive fees payable	8,451			7,536
Payable for investments purchased	355			—
Accounts payable and accrued expenses	1,312			1,404
Accrued trustee fees	41			26
Total Liabilities	$	741,695		$	686,875
Commitments and Contingencies (Note 8)
Net Assets
Preferred stock, par value $0.001 per share, 1,000,000 shares authorized, zero shares issued and outstanding as of December 31, 2017 and September 30, 2017	—			—
Common stock, par value $0.001 per share, 100,000,000 shares authorized, 54,122,735.354 and 51,214,683.496 shares issued and outstanding as of December 31, 2017 and September 30, 2017, respectively	54			51
Paid in capital in excess of par	811,526			767,908
Capital distributions in excess of net investment income	(12,062		)	(11,366		)
Net unrealized appreciation (depreciation) on investments and foreign currency translation	14,011			11,492
Net realized gain (loss) on investments and foreign currency transactions	(1,688		)	135
Total Net Assets	811,841			768,220
Total Liabilities and Total Net Assets	$	1,553,536		$	1,455,095
Number of common shares outstanding	54,122,735.354			51,214,683.496
Net asset value per common share	$	15.00		$	15.00

See Notes to Consolidated Financial Statements.

Golub Capital Investment Corporation and Subsidiaries

Consolidated Statements of Operations (unaudited)

(In thousands, except share and per share data)



	Three months ended December 31,
	2017			2016
Investment income
From non-controlled/non-affiliate company investments:
Interest income	$	29,071		$	20,749
Dividend income	2			1
Fee income	391			146
Total investment income from non-controlled/non-affiliate company investments	29,464			20,896
From controlled affiliate company investments:
Interest income	—			732
Dividend income	1,130			421
Total investment income from controlled affiliate company investments	1,130			1,153
Total investment income	30,594			22,049
Expenses
Interest and other debt financing expenses	6,879			4,922
Base management fee	4,986			3,796
Incentive fee	4,036			2,744
Professional fees	522			442
Administrative service fee	495			362
General and administrative expenses	53			30
Total expenses	16,971			12,296
Base management fee waived (Note 4)	(1,360		)	(1,035		)
Incentive fee waived (Note 4)	(798		)	(16		)
Net expenses	14,813			11,245
Net investment income	15,781			10,804

Net gain (loss) on investments and foreign currency
Net realized gain (loss) on investments and foreign currency transactions
Non-controlled/non-affiliate company investments	(449		)	197
Foreign currency transactions	(37		)	—
Net realized gain (loss) on investments and foreign currency transactions	(486		)	197
Net change in unrealized appreciation (depreciation) on investments and foreign currency translation:
Non-controlled/non-affiliate company investments	1,767			3,378
Controlled affiliate company investments	744			201
Translation of assets in foreign currencies	8			—
Net change in unrealized appreciation (depreciation) on investments and foreign currency translation	2,519			3,579
Net gain (loss) on investments and foreign currency	2,033			3,776
Net increase in net assets resulting from operations	$	17,814		$	14,580
Per Common Share Data
Basic and diluted earnings per common share	$	0.34		$	0.35
Basic and diluted weighted average common shares outstanding	52,091,851			41,252,583

See Notes to Consolidated Financial Statements.

Golub Capital Investment Corporation and Subsidiaries

Consolidated Statements of Changes in Net Assets (unaudited)

(In thousands, except share data)



						Capital Distributions in Excess of Net Investment Income
	Common Stock			Paid in Capital in Excess of Par					Net Unrealized Appreciation (Depreciation) on Investments and Foreign Currency Translation		Net Realized Gain (loss) on Investments and Foreign Currency Transactions			Total Net Assets
	Shares	Par Amount		Paid in Capital in Excess of Par										Total Net Assets
Balance at September 30, 2016	41,087,178.250	$	41	$	616,018	$	(7,158	)	$	8,334	$	(928	)	$	616,307
Net increase in net assets resulting from operations	—	—		—		10,804			3,579		197			14,580
Distributions to stockholders:
Stock issued in connection with dividend reinvestment plan	682,316.766	1		10,235		—			—		—			10,236
Distributions from net investment income	—	—		—		(8,887		)	—		—			(8,887		)
Distributions from net realized gain	—	—		—		—			—		(140		)	(140		)
Distributions declared and payable	—	—		—		(5,553		)	—		—			(5,553		)
Total increase (decrease) for the period ended December 31, 2016	682,316.766	1		10,235		(3,636		)	3,579		57			10,236
Balance at December 31, 2016	41,769,495.016	$	42	$	626,253	$	(10,794	)	$	11,913	$	(871	)	$	626,543

Balance at September 30, 2017	51,214,683.496	$	51	$	767,908	$	(11,366	)	$	11,492	$	135		$	768,220
Issuance of common stock ⁽¹⁾	2,223,285.533	2		33,347		—			—		—			33,349
Net increase in net assets resulting from operations	—	—		—		15,781			2,519		(486		)	17,814
Distributions to stockholders:
Stock issued in connection with dividend reinvestment plan	684,766.325	1		10,271		—			—		—			10,272
Distributions from net investment income	—	—		—		(9,761		)	—		—			(9,761		)
Distributions from net realized gain	—	—		—		—			—		(1,337		)	(1,337		)
Distributions declared and payable	—	—		—		(6,716		)	—		—			(6,716		)
Total increase (decrease) for the period ended December 31, 2017	2,908,051.858	3		43,618		(696		)	2,519		(1,823		)	43,621
Balance at December 31, 2017	54,122,735.354	$	54	$	811,526	$	(12,062	)	$	14,011	$	(1,688	)	$	811,841


⁽¹⁾	Refer to Note 3 for a detailed listing of the common stock issuances for the three months ended December 31, 2017.

See Notes to Consolidated Financial Statements.

Golub Capital Investment Corporation and Subsidiaries

Consolidated Statements of Cash Flows (unaudited)

(In thousands)



	Three months ended December 31,
	2017			2016
Cash flows from operating activities
Net increase in net assets resulting from operations	$	17,814		$	14,580
Adjustments to reconcile net increase in net assets resulting from operations to net cash (used in) provided by operating activities
Amortization of deferred debt issuance costs	553			899
Accretion of discounts and amortization of premiums	(2,026		)	(1,390		)
Net realized (gain) loss on investments	449			(197		)
Net change in unrealized (appreciation) depreciation on investments	(2,511		)	(3,579		)
Proceeds from (fundings of) revolving loans, net	851			(601		)
Fundings of investments	(202,486		)	(103,185		)
Proceeds from principal payments and sales of portfolio investments	90,731			65,338
PIK interest	(456		)	(431		)
Changes in operating assets and liabilities:
Interest receivable	(188		)	(174		)
Other assets	104			(121		)
Interest payable	258			1,992
Management and incentive fees payable	915			1,294
Payable for investments purchased	355			—
Accounts payable and accrued expenses	(92		)	359
Accrued trustee fees	15			18
Net cash (used in) provided by operating activities	(95,714		)	(25,198		)
Cash flows from financing activities
Borrowings on debt	129,750			72,650
Repayments of debt	(75,400		)	(75,200		)
Capitalized debt issuance costs	(11		)	(23		)
Proceeds from issuance of common shares	34,407			—
Distributions paid	(9,065		)	(8,660		)
Net cash provided by (used in) financing activities	79,681			(11,233		)
Net change in cash, cash equivalents, foreign currencies and restricted cash and cash equivalents	(16,033		)	(36,431		)
Cash, cash equivalents, foreign currencies and restricted cash and cash equivalents, beginning of period	51,131			75,731
Cash, cash equivalents, foreign currencies and restricted cash and cash equivalents, end of period	$	35,098		$	39,300
Supplemental information:
Cash paid during the period for interest	$	6,069		$	2,030
Distributions declared during the period	17,814			14,580
Supplemental disclosure of noncash operating activity:
Funding of LLC equity interest in GCIC SLF	$	—		$	(34,917	)
Proceeds from subordinated notes in GCIC SLF principal payment	—			34,917
Supplemental disclosure of noncash financing activity:
Capital call receivable	$	(1,058	)	$	—
Distributions payable	6,716			5,553

Golub Capital Investment Corporation and Subsidiaries

Consolidated Statements of Cash Flows (unaudited) - (continued)

(In thousands)

The following table provides a reconciliation of cash, cash equivalents, foreign currency and restricted cash and cash equivalents reported within the Consolidated Statements of Financial Condition that sum to the total of the same such amounts in the Consolidated Statements of Cash Flows:



	As of December 31,
	2017		2016
Cash and cash equivalents	$	8,886	$	4,883
Foreign currencies	526		—
Restricted cash and cash equivalents	25,686		34,417
Total cash, cash equivalents, foreign currencies and restricted cash and cash equivalents shown in the Consolidated Statements of Cash Flows	$	35,098	$	39,300

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

See Notes to Consolidated Financial Statements.

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments (unaudited)

December 31, 2017

(In thousands)



	Investment Type	Spread Above Index⁽¹⁾		Interest Rate⁽²⁾	Maturity Date	Principal ($) / Shares⁽³⁾		Amortized Cost			Percentage of Net Assets		Fair Value ⁽⁴⁾
Investments
Non-controlled/non-affiliate company investments
Debt investments
Aerospace and Defense
NTS Technical Systems*	One stop	L + 6.25%	^(a)	7.61%	06/2021	$	3,250	$	3,208		0.4	%	$	3,250
NTS Technical Systems⁽⁵⁾	One stop	L + 6.25%		N/A⁽⁶⁾	06/2021	—		(10		)	—		—
NTS Technical Systems⁽⁵⁾	One stop	L + 6.25%		N/A⁽⁶⁾	06/2021	—		(14		)	—		—
Tresys Technology Holdings, Inc.⁽⁷⁾	One stop	L + 6.75%	^(a)	8.32%	12/2018	53		28			—		16
Tresys Technology Holdings, Inc.⁽⁷⁾	One stop	L + 6.75%	^(a)	8.32%	12/2018	9		9			—		9
Tronair Parent, Inc.^#	Senior loan	L + 4.75%	^(c)	6.16%	09/2023	369		366			0.1		365
Tronair Parent, Inc.	Senior loan	P + 3.50%	^(c)(e)	7.56%	09/2021	38		37			—		37
Whitcraft LLC^#	One stop	L + 6.25%	^(c)	7.94%	04/2023	16,266		16,053			2.0		16,266
Whitcraft LLC	One stop	P + 5.25%	^(e)	9.75%	04/2023	10		9			—		10
Whitcraft LLC⁽⁵⁾	One stop	L + 6.25%		N/A⁽⁶⁾	04/2023	—		(98		)	—		—
						19,995		19,588			2.5		19,953
Automobile
Dent Wizard International Corporation^*	Senior loan	L + 4.75%	^(a)	6.31%	04/2020	2,177		2,167			0.3		2,177
Grease Monkey International, LLC^*	Senior loan	L + 5.00%	^(a)	6.36%	11/2022	3,074		3,037			0.4		3,043
Grease Monkey International, LLC	Senior loan	P + 4.00%	^(e)	8.50%	11/2022	7		6			—		7
Grease Monkey International, LLC⁽⁵⁾	Senior loan	L + 5.00%		N/A⁽⁶⁾	11/2022	—		(21		)	—		(34		)
Polk Acquisition Corp.^*	Senior loan	L + 5.00%	^(a)	6.57%	06/2022	4,792		4,774			0.6		4,696
T5 Merger Corporation^#*	One stop	L + 6.50%	^(a)	7.86%	03/2022	29,983		29,541			3.7		29,983
T5 Merger Corporation	One stop	L + 6.50%	^(a)	7.86%	03/2022	3,496		3,467			0.4		3,496
T5 Merger Corporation^*	One stop	L + 6.50%	^(a)	7.86%	03/2022	1,101		1,092			0.1		1,101
T5 Merger Corporation	One stop	L + 6.50%	^(a)	7.99%	03/2022	48		46			—		48
						44,678		44,109			5.5		44,517
Beverage, Food and Tobacco
Abita Brewing Co., L.L.C.^#	One stop	L + 5.75%	^(a)	7.32%	04/2021	3,690		3,662			0.5		3,690
Abita Brewing Co., L.L.C.⁽⁵⁾	One stop	L + 5.75%	^(c)	N/A⁽⁶⁾	04/2021	—		(1		)	—		—
ABP Corporation	Senior loan	L + 4.75%		N/A⁽⁶⁾	12/2018	—		—			—		—
Benihana, Inc.	One stop	L + 7.00%	^(a)(c)(e)	9.25%	07/2018	34		34			—		34
Benihana, Inc.^#*	One stop	L + 7.00%	^(c)(e)	8.59%	01/2019	318		318			0.1		318
C. J. Foods, Inc.^#*	One stop	L + 6.25%	^(a)	7.82%	05/2019	12,638		12,587			1.6		12,638
C. J. Foods, Inc.	One stop	L + 6.25%	^(a)	7.82%	05/2019	1,593		1,590			0.2		1,593
C. J. Foods, Inc.	One stop	L + 6.25%	^(a)	7.82%	05/2019	315		312			—		315
Cafe Rio Holding, Inc.^#	One stop	L + 5.75%	^(c)	7.44%	09/2023	8,689		8,545			1.1		8,689
Cafe Rio Holding, Inc.	One stop	P + 4.75%	^(e)	9.25%	09/2023	30		28			—		30
Cafe Rio Holding, Inc.⁽⁵⁾	One stop	L + 5.75%		N/A⁽⁶⁾	09/2023	—		(82		)	—		—
Firebirds International, LLC^*	One stop	L + 5.75%	^(c)	7.42%	05/2018	3,279		3,274			0.4		3,279
Firebirds International, LLC^*	One stop	L + 5.75%	^(c)	7.42%	05/2018	924		922			0.1		924
Firebirds International, LLC^*	One stop	L + 5.75%	^(c)	7.42%	12/2018	297		296			—		297
Firebirds International, LLC⁽⁵⁾	One stop	L + 5.75%		N/A⁽⁶⁾	05/2018	—		(1		)	—		—
Firebirds International, LLC⁽⁵⁾	One stop	L + 5.75%		N/A⁽⁶⁾	12/2018	—		(3		)	—		—
Flavor Producers, LLC^#	Senior loan	L + 4.75%	^(c)	6.32%	12/2023	2,744		2,703			0.3		2,702
Flavor Producers, LLC⁽⁵⁾	Senior loan	L + 4.75%		N/A⁽⁶⁾	12/2022	—		(1		)	—		(1		)
FWR Holding Corporation^*	One stop	L + 6.00%	^(d)	7.66%	08/2023	4,069		4,011			0.5		4,069
FWR Holding Corporation	One stop	L + 6.00%	^(c)	7.60%	08/2023	458		418			0.1		458
FWR Holding Corporation	One stop	L + 6.00%	^(a)	7.57%	08/2023	8		7			—		8
Global Franchise Group, LLC^*	Senior loan	L + 5.75%	^(c)	7.44%	12/2019	4,462		4,423			0.6		4,462
Global Franchise Group, LLC	Senior loan	L + 5.75%		N/A⁽⁶⁾	12/2019	—		—			—		—
Global ID Corporation^#	One stop	L + 6.50%	^(c)	8.11%	11/2021	5,141		5,091			0.6		5,090
Global ID Corporation	One stop	L + 6.50%		N/A⁽⁶⁾	11/2021	—		—			—		—
Global ID Corporation⁽⁵⁾	One stop	L + 6.50%		N/A⁽⁶⁾	11/2021	—		(20		)	—		(20		)

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments (unaudited) - (continued)

December 31, 2017

(In thousands)



	Investment Type	Spread Above Index⁽¹⁾		Interest Rate⁽²⁾	Maturity Date	Principal ($) / Shares⁽³⁾		Amortized Cost			Percentage of Net Assets		Fair Value ⁽⁴⁾
Beverage, Food and Tobacco - (continued)
Hopdoddy Holdings, LLC	One stop	L + 8.00%	^(c)	9.48%	08/2020	$	420	$	418		0.1	%	$	420
Hopdoddy Holdings, LLC	One stop	L + 8.00%	^(c)	9.48%	08/2020	258		257			—		258
Hopdoddy Holdings, LLC	One stop	L + 8.00%	^(c)	9.48%	08/2020	3		2			—		3
Julio & Sons Company*	One stop	L + 5.50%	^(a)	7.03%	12/2018	933		931			0.1		933
Julio & Sons Company	One stop	L + 5.50%	^(a)	7.03%	12/2018	308		307			—		308
Julio & Sons Company	One stop	L + 5.50%	^(a)	7.04%	12/2018	135		134			—		135
Julio & Sons Company⁽⁵⁾	One stop	L + 5.50%		N/A⁽⁶⁾	12/2018	—		(1		)	—		—
Mid-America Pet Food, L.L.C.^#	One stop	L + 5.50%	^(c)	7.19%	12/2021	6,379		6,303			0.8		6,379
Mid-America Pet Food, L.L.C.⁽⁵⁾	One stop	L + 5.50%		N/A⁽⁶⁾	12/2021	—		(1		)	—		—
NBC Intermediate, LLC ^#	Senior loan	L + 4.50%	^(a)	6.07%	09/2023	2,748		2,722			0.3		2,748
NBC Intermediate, LLC	Senior loan	L + 4.50%		N/A⁽⁶⁾	09/2023	—		—			—		—
Purfoods, LLC^#*	One stop	L + 6.25%	^(c)	7.73%	05/2021	7,946		7,866			1.0		7,946
Purfoods, LLC	One stop	N/A		7.00% PIK	05/2026	101		101			—		106
Purfoods, LLC	One stop	L + 6.25%	^(a)	7.73%	05/2021	60		59			—		60
Purfoods, LLC	One stop	L + 6.25%	^(c)	7.94%	05/2021	24		24			—		24
Purfoods, LLC	One stop	L + 6.25%	^(c)	7.94%	05/2021	15		15			—		15
Purfoods, LLC	One stop	L + 6.25%	^(c)	7.94%	05/2021	15		15			—		15
Purfoods, LLC	One stop	L + 6.25%	^(c)	7.94%	05/2021	14		14			—		14
Purfoods, LLC	One stop	L + 6.25%	^(c)	7.94%	05/2021	11		11			—		11
Purfoods, LLC	One stop	L + 6.25%	^(c)	7.94%	05/2021	11		11			—		11
Purfoods, LLC	One stop	L + 6.25%	^(c)	7.94%	05/2021	10		10			—		10
Smashburger Finance LLC^*	Senior loan	L + 5.50%	^(c)	7.19%	05/2018	477		477			0.1		453
Smashburger Finance LLC⁽⁵⁾	Senior loan	L + 5.50%		N/A⁽⁶⁾	05/2018	—		(3		)	—		—
Surfside Coffee Company LLC^*	One stop	L + 5.25%	^(c)	6.94%	06/2020	2,315		2,304			0.3		2,315
Surfside Coffee Company LLC	One stop	L + 5.25%	^(c)	6.93%	06/2020	175		174			—		175
Surfside Coffee Company LLC	One stop	L + 5.25%	^(c)	6.81%	06/2020	30		30			—		30
Tate's Bake Shop, Inc.^#*	One stop	L + 6.25%	^(c)	7.94%	08/2019	1,039		1,025			0.1		1,031
Uinta Brewing Company^#	One stop	L + 8.50%	^(a)	10.07%	08/2019	900		900			0.1		900
Uinta Brewing Company	One stop	L + 8.50%	^(a)	10.07%	08/2019	130		129			—		130
						73,146		72,347			9.0		73,005
Broadcasting and Entertainment
TouchTunes Interactive Networks, Inc.^*	Senior loan	L + 4.75%	^(a)	6.32%	05/2021	688		686			0.1		694

Building and Real Estate
Brooks Equipment Company, LLC^*	One stop	L + 5.00%	^(c)	6.48%	08/2020	5,735		5,735			0.7		5,735
Brooks Equipment Company, LLC^*	One stop	L + 5.00%	^(b)(c)	6.49%	08/2020	1,407		1,399			0.2		1,407
Brooks Equipment Company, LLC	One stop	L + 5.00%		N/A⁽⁶⁾	08/2020	—		—			—		—
Jensen Hughes, Inc.^#	Senior loan	L + 5.00%	^(a)	6.57%	12/2021	132		131			—		132
MRI Software LLC^#	One stop	L + 6.25%	^(c)	7.95%	06/2023	17,391		17,225			2.1		17,391
MRI Software LLC^#*	One stop	L + 6.25%	^(c)	7.95%	06/2023	18,782		18,480			2.3		18,782
MRI Software LLC^*	One stop	L + 6.25%	^(c)	7.83%	06/2023	3,122		3,108			0.4		3,122
MRI Software LLC^#	One stop	L + 6.25%	^(c)	7.95%	06/2023	348		345			—		348
MRI Software LLC⁽⁵⁾	One stop	L + 6.00%		N/A⁽⁶⁾	06/2023	—		(3		)	—		—
MRI Software LLC⁽⁵⁾	One stop	L + 6.00%		N/A⁽⁶⁾	06/2023	—		(144		)	—		—
Paradigm DKD Group, LLC^#	Senior loan	L + 5.50%	^(c)(d)	7.34%	11/2018	2,132		2,121			0.3		2,089
Paradigm DKD Group, LLC	Senior loan	L + 5.50%	^(d)(e)	7.40%	11/2018	673		670			0.1		658
						49,722		49,067			6.1		49,664
Chemicals, Plastics and Rubber
Flexan, LLC^*	One stop	L + 5.75%	^(c)	7.44%	02/2020	1,039		1,032			0.1		1,039
Flexan, LLC	One stop	P + 4.50%	^(e)	9.00%	02/2020	10		10			—		10
						1,049		1,042			0.1		1,049
Diversified/Conglomerate Manufacturing
Chase Industries, Inc.^#*	One stop	L + 5.75%	^(c)	7.09%	09/2020	13,375		13,313			1.7		13,375
Chase Industries, Inc.^*	One stop	L + 5.75%	^(c)	7.09%	09/2020	1,537		1,537			0.2		1,537
Chase Industries, Inc.	One stop	L + 5.75%	^(a)	7.16%	09/2020	244		244			—		244

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments (unaudited) - (continued)

December 31, 2017

(In thousands)



	Investment Type	Spread Above Index⁽¹⁾		Interest Rate⁽²⁾	Maturity Date	Principal ($) / Shares⁽³⁾		Amortized Cost			Percentage of Net Assets		Fair Value ⁽⁴⁾
Diversified/Conglomerate Manufacturing - (continued)
Inventus Power, Inc.^#	One stop	L + 6.50%	^(a)	8.07%	04/2020	$	10,131	$	10,078		1.1	%	$	8,612
Inventus Power, Inc.	One stop	L + 6.50%	^(a)	8.07%	04/2020	312		309			—		215
Onicon Incorporated^*	One stop	L + 6.00%	^(c)	7.69%	04/2020	175		174			—		175
Onicon Incorporated	One stop	L + 6.00%		N/A⁽⁶⁾	04/2020	—		—			—		—
PetroChoice Holdings, Inc.^*	Senior loan	L + 5.00%	^(b)	6.42%	08/2022	1,624		1,588			0.2		1,624
Reladyne, Inc.^#*	Senior loan	L + 5.00%	^(a)	6.36%	07/2022	16,794		16,565			2.1		16,794
Reladyne, Inc.⁽⁵⁾	Senior loan	L + 5.00%		N/A⁽⁶⁾	07/2022	—		(20		)	—		—
Reladyne, Inc.⁽⁵⁾	Senior loan	L + 5.00%		N/A⁽⁶⁾	07/2022	—		(50		)	—		—
Sunless Merger Sub, Inc.^#	Senior loan	L + 5.00%	^(a)(e)	6.59%	07/2019	286		261			—		286
Sunless Merger Sub, Inc.	Senior loan	P + 3.75%	^(e)	8.25%	07/2019	74		73			—		74
						44,552		44,072			5.3		42,936
Diversified/Conglomerate Service
Accela, Inc.^#	One stop	L + 6.25%	^(c)	7.94%	09/2023	7,383		7,277			0.9		7,383
Accela, Inc.	One stop	P + 5.25%	^(e)	9.75%	09/2023	23		22			—		23
Agility Recovery Solutions Inc.^*	One stop	L + 6.50%	^(c)	7.88%	03/2020	6,205		6,164			0.8		6,205
Agility Recovery Solutions Inc.⁽⁵⁾	One stop	L + 6.50%		N/A⁽⁶⁾	03/2020	—		(2		)	—		—
Anaqua, Inc.^#	One stop	L + 6.50%	^(c)	7.86%	07/2022	8,917		8,795			1.1		8,917
Anaqua, Inc.⁽⁵⁾	One stop	L + 6.50%		N/A⁽⁶⁾	07/2022	—		(1		)	—		—
Bomgar Corporation^#*	One stop	L + 7.50%	^(c)	9.19%	06/2022	28,282		27,857			3.5		28,282
Bomgar Corporation⁽⁵⁾	One stop	L + 7.50%		N/A⁽⁶⁾	06/2022	—		(1		)	—		—
Clearwater Analytics, LLC^#*	One stop	L + 7.50%	^(a)	9.07%	09/2022	8,820		8,698			1.1		8,820
Clearwater Analytics, LLC	One stop	L + 7.50%	^(a)	9.00%	09/2022	9		8			—		9
Datto, Inc.	One stop	L + 8.00%	^(a)	9.41%	12/2022	14,093		13,815			1.7		13,811
Datto, Inc.⁽⁵⁾	One stop	L + 8.00%		N/A⁽⁶⁾	12/2022	—		(1		)	—		(1		)
Daxko Acquisition Corporation^#*	One stop	L + 6.50%	^(c)	8.19%	09/2022	8,971		8,863			1.1		8,971
Daxko Acquisition Corporation	One stop	L + 6.50%		N/A⁽⁶⁾	09/2022	—		—			—		—
DISA Holdings Acquisition Subsidiary Corp.^*	Senior loan	L + 4.25%	^(a)	5.61%	12/2020	1,324		1,316			0.2		1,324
DISA Holdings Acquisition Subsidiary Corp.^#	Senior loan	L + 4.25%	^(a)	5.61%	12/2020	129		128			—		129
DISA Holdings Acquisition Subsidiary Corp.	Senior loan	L + 4.25%	^(c)	5.63%	12/2020	80		78			—		80
EGD Security Systems, LLC^#*	One stop	L + 6.25%	^(c)	7.81%	06/2022	10,372		10,276			1.3		10,372
EGD Security Systems, LLC^*	One stop	L + 6.25%	^(c)	7.73%	06/2022	98		97			—		98
EGD Security Systems, LLC	One stop	L + 6.25%	^(c)	7.81%	06/2022	50		49			—		50
EGD Security Systems, LLC⁽⁵⁾	One stop	L + 6.25%		N/A⁽⁶⁾	06/2022	—		(1		)	—		—
HealthcareSource HR, Inc.^#*	One stop	L + 6.75%	^(c)	8.44%	05/2020	11,144		11,040			1.4		11,144
HealthcareSource HR, Inc.⁽⁵⁾	One stop	L + 6.75%		N/A⁽⁶⁾	05/2020	—		(1		)	—		—
Host Analytics, Inc.	One stop	N/A		8.50% cash/2.25% PIK	08/2021	1,388		1,377			0.2		1,388
Host Analytics, Inc.	One stop	N/A		8.50% cash/2.25% PIK	08/2021	1,164		1,111			0.1		1,164
Host Analytics, Inc.	One stop	N/A		8.50% cash/2.25% PIK	08/2021	327		324			—		327
III US Holdings, LLC⁽⁵⁾	One stop	L + 6.50%		N/A⁽⁶⁾	09/2022	—		(1		)	—		—
Imprivata, Inc.^#*	Senior loan	L + 4.50%	^(c)	5.86%	10/2023	16,653		16,451			2.0		16,487
Imprivata, Inc.⁽⁵⁾	Senior loan	L + 4.50%		N/A⁽⁶⁾	10/2023	—		(2		)	—		(2		)
Integration Appliance, Inc.	One stop	L + 8.25%	^(c)	9.73%	09/2020	1,550		1,541			0.2		1,550
Integration Appliance, Inc.	One stop	L + 8.25%	^(c)	9.73%	09/2020	124		123			—		124
Integration Appliance, Inc.	One stop	L + 8.25%	^(c)	9.73%	09/2020	25		25			—		25
JAMF Holdings, Inc.	One stop	L + 8.00%	^(c)	9.41%	11/2022	5,765		5,652			0.7		5,707
JAMF Holdings, Inc.⁽⁵⁾	One stop	L + 8.00%		N/A⁽⁶⁾	11/2022	—		(1		)	—		(1		)
Maverick Bidco Inc.^#	One stop	L + 6.25%	^(c)	7.94%	04/2023	22,984		22,569			2.8		22,984
Maverick Bidco Inc.	One stop	L + 6.25%	^(a)	7.71%	04/2023	27		25			—		27
Maverick Bidco Inc.⁽⁵⁾	One stop	L + 6.25%		N/A⁽⁶⁾	04/2023	—		(29		)	—		—
MMan Acquisition Co.^#	One stop	L + 6.00%	^(c)	7.69%	08/2023	12,482		12,307			1.5		12,482
MMan Acquisition Co.	One stop	L + 6.00%	^(c)	7.69%	08/2023	26		25			—		26
Net Health Acquisition Corp.^#	One stop	L + 5.50%	^(b)	7.06%	12/2023	4,910		4,861			0.6		4,861
Net Health Acquisition Corp.⁽⁵⁾	One stop	L + 5.50%		N/A⁽⁶⁾	12/2023	—		(1		)	—		(1		)
Netsmart Technologies, Inc.^#	Senior loan	L + 4.50%	^(c)	6.19%	04/2023	1,629		1,616			0.2		1,649
Netsmart Technologies, Inc.⁽⁵⁾	Senior loan	L + 4.75%		N/A⁽⁶⁾	04/2023	—		(8		)	—		—

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments (unaudited) - (continued)

December 31, 2017

(In thousands)



	Investment Type	Spread Above Index⁽¹⁾		Interest Rate⁽²⁾	Maturity Date	Principal ($) / Shares⁽³⁾		Amortized Cost			Percentage of Net Assets		Fair Value ⁽⁴⁾
Diversified/Conglomerate Service - (continued)
Nexus Brands Group, Inc.^#	One stop	L + 6.00%	^(c)	7.57%	11/2023	$	3,840	$	3,793		0.5	%	$	3,801
Nexus Brands Group, Inc.	One stop	L + 6.00%	^(a)	7.53%	11/2023	2		1			—		1
Nexus Brands Group, Inc.⁽⁵⁾	One stop	L + 6.00%		N/A⁽⁶⁾	11/2023	—		(23		)	—		(38		)
Quickbase, Inc.^#*	One stop	L + 6.00%	^(c)	7.69%	04/2022	28,772		28,286			3.5		28,700
Quickbase, Inc. ⁽⁵⁾	One stop	L + 6.00%		N/A⁽⁶⁾	04/2022	—		(3		)	—		—
Saba Software, Inc.^#	One stop	L + 5.50%	^(b)	7.12%	05/2023	26,439		26,027			3.3		26,439
Saba Software, Inc.⁽⁵⁾	One stop	L + 5.50%		N/A⁽⁶⁾	05/2023	—		(2		)	—		—
Saldon Holdings, Inc.^*	Senior loan	L + 4.50%	^(c)	5.98%	09/2022	625		618			0.1		625
Secure-24, LLC^*	One stop	L + 5.00%	^(a)	6.57%	08/2019	1,787		1,780			0.2		1,787
Secure-24, LLC	One stop	L + 5.00%		N/A⁽⁶⁾	08/2019	—		—			—		—
Severin Acquisition, LLC^#	Senior loan	L + 4.75%	^(a)	6.32%	07/2021	8,525		8,423			1.0		8,487
Severin Acquisition, LLC^*	Senior loan	L + 5.37%	^(a)	6.94%	07/2021	1,423		1,408			0.2		1,445
Severin Acquisition, LLC^*	Senior loan	L + 5.00%	^(a)	6.57%	07/2021	1,267		1,254			0.2		1,272
Severin Acquisition, LLC^#	Senior loan	L + 5.37%	^(a)	6.94%	07/2021	969		958			0.1		984
Severin Acquisition, LLC^*	Senior loan	L + 4.87%	^(a)	6.44%	07/2021	313		309			—		312
Severin Acquisition, LLC⁽⁵⁾	Senior loan	L + 4.75%		N/A⁽⁶⁾	07/2021	—		(7		)	—		—
Switchfly, Inc.	One stop	L + 10.00%	^(c)	9.85% cash/1.50% PIK	04/2020	3,216		3,106			0.4		3,216
Switchfly, Inc.	One stop	L + 8.50%		N/A⁽⁶⁾	04/2020	—		—			—		—
Telesoft, LLC^#	One stop	L + 5.50%	^(c)	6.84%	07/2022	5,339		5,291			0.7		5,339
Telesoft, LLC⁽⁵⁾	One stop	L + 5.50%		N/A⁽⁶⁾	07/2022	—		(1		)	—		—
Transaction Data Systems, Inc.^*	Senior loan	L + 5.25%	^(c)	6.94%	06/2021	392		387			0.1		392
Trintech, Inc.^#*	One stop	L + 6.50%	^(a)	8.07%	12/2023	6,096		6,020			0.7		6,035
Trintech, Inc.^#*	One stop	L + 6.50%	^(a)	7.89%	12/2023	12,044		11,893			1.5		11,924
Trintech, Inc.	One stop	L + 6.50%	^(a)	8.07%	12/2023	30		28			—		29
True Commerce, Inc.^#	One stop	L + 5.75%	^(c)	7.16%	11/2023	7,161		7,074			0.9		7,090
True Commerce, Inc.⁽⁸⁾⁽⁹⁾	One stop	L + 5.75%	^(c)	7.16%	11/2023	2,811		2,777			0.4		2,850
True Commerce, Inc.	One stop	L + 5.75%	^(c)	7.16%	11/2023	935		924			0.1		926
True Commerce, Inc.⁽⁵⁾	One stop	L + 5.75%		N/A⁽⁶⁾	11/2023	—		(1		)	—		(1		)
Valant Medical Solutions, Inc.	One stop	L + 11.00%	^(a)	10.18% cash/2.25% PIK	10/2020	1,032		943			0.1		928
Valant Medical Solutions, Inc.	One stop	L + 11.00%		N/A⁽⁶⁾	10/2020	—		—			—		—
Velocity Technology Solutions, Inc.^#	One stop	L + 6.00%	^(c)	7.52%	12/2023	10,503		10,322			1.3		10,398
Velocity Technology Solutions, Inc.⁽⁵⁾	One stop	L + 6.00%		N/A⁽⁶⁾	12/2023	—		(1		)	—		(1		)
Vendavo, Inc.	One stop	L + 8.50%	^(c)	9.85%	10/2019	4,331		4,310			0.5		4,331
Vendavo, Inc.⁽⁵⁾	One stop	L + 8.50%		N/A⁽⁶⁾	10/2019	—		(1		)	—		—
Vendor Credentialing Service LLC^#*	One stop	L + 6.00%	^(a)	7.57%	11/2021	7,612		7,532			0.9		7,612
Vendor Credentialing Service LLC⁽⁵⁾	One stop	L + 6.00%		N/A⁽⁶⁾	11/2021	—		(1		)	—		—
Verisys Corporation^#	One stop	L + 6.75%	^(c)	8.44%	01/2023	4,793		4,732			0.6		4,793
Verisys Corporation⁽⁵⁾	One stop	L + 6.75%		N/A⁽⁶⁾	01/2023	—		(1		)	—		—
Workforce Software, LLC	One stop	L + 10.50%	^(c)	4.85% cash/7.00% PIK	06/2021	23,315		23,205			2.9		23,315
Workforce Software, LLC	One stop	L + 10.50%	^(c)	4.85% cash/7.00% PIK	06/2021	51		51			—		51
Xmatters, Inc. and Alarmpoint, Inc.	One stop	L + 9.25%	^(a)	10.03% cash/0.75% PIK	08/2021	4,671		4,608			0.6		4,671
Xmatters, Inc. and Alarmpoint, Inc.	One stop	L + 9.25%	^(a)	10.03% cash/0.75% PIK	08/2021	20		20			—		20
						343,268		338,480			42.2		342,147
Ecological
Pace Analytical Services, LLC^#*	One stop	L + 6.00%	^(a)	7.57%	09/2022	15,182		14,970			1.9		15,182
Pace Analytical Services, LLC^#	One stop	L + 6.00%	^(a)	7.57%	09/2022	1,412		1,392			0.2		1,412
Pace Analytical Services, LLC	One stop	L + 6.00%	^(a)	7.48%	09/2022	420		375			—		420
Pace Analytical Services, LLC^*	One stop	L + 6.00%	^(a)	7.57%	09/2022	348		343			—		348
Pace Analytical Services, LLC	One stop	L + 6.00%	^(a)	7.57%	09/2022	25		24			—		25
WRE Holding Corp.^#	Senior loan	L + 4.75%	^(a)	6.32%	01/2023	1,319		1,305			0.2		1,319
WRE Holding Corp.	Senior loan	L + 4.75%	^(c)	6.31%	01/2023	160		138			—		160
WRE Holding Corp.	Senior loan	L + 4.75%	^(a)	6.32%	01/2023	9		9			—		9
WRE Holding Corp.⁽⁵⁾	Senior loan	L + 4.75%		N/A⁽⁶⁾	01/2023	—		(3		)	—		—
						18,875		18,553			2.3		18,875

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments (unaudited) - (continued)

December 31, 2017

(In thousands)



	Investment Type	Spread Above Index⁽¹⁾		Interest Rate⁽²⁾	Maturity Date	Principal ($) / Shares⁽³⁾		Amortized Cost			Percentage of Net Assets		Fair Value ⁽⁴⁾
Electronics
Appriss Holdings, Inc.^#*	One stop	L + 6.00%	^(c)	7.69%	11/2020	$	14,730	$	14,594		1.8	%	$	14,583
Appriss Holdings, Inc.⁽⁵⁾	One stop	L + 6.00%		N/A⁽⁶⁾	11/2020	—		(10		)	—		(14		)
Compusearch Software Holdings, Inc.^*	Senior loan	L + 4.50%	^(c)	6.07%	05/2021	835		834			0.1		835
Diligent Corporation^#*	One stop	L + 6.25%	^(c)	7.94%	04/2022	31,619		30,976			3.9		31,619
Diligent Corporation^#	One stop	L + 6.25%	^(c)	7.94%	04/2022	7,846		7,743			1.0		7,846
Diligent Corporation^#*	One stop	L + 6.25%	^(c)	7.94%	04/2022	8,868		8,742			1.1		8,868
Diligent Corporation⁽⁵⁾	One stop	L + 6.25%		N/A⁽⁶⁾	04/2022	—		(2		)	—		—
Gamma Technologies, LLC^*	One stop	L + 4.75%	^(a)	6.32%	06/2021	4,924		4,895			0.6		4,924
Gamma Technologies, LLC⁽⁵⁾	One stop	L + 5.00%		N/A⁽⁶⁾	06/2021	—		(1		)	—		—
LD Intermediate Holdings, Inc.^*	Senior loan	L + 5.87%	^(c)	7.27%	12/2022	2,861		2,671			0.3		2,570
Park Place Technologies LLC^#*	Senior loan	L + 5.00%	^(c)	6.69%	06/2022	12,151		12,043			1.5		12,151
Park Place Technologies LLC⁽⁵⁾	Senior loan	L + 5.00%		N/A⁽⁶⁾	06/2022	—		(2		)	—		—
SEI, Inc.^#	Senior loan	L + 4.75%	^(a)	6.32%	07/2021	3,148		3,122			0.4		3,148
Sloan Company, Inc., The^#	One stop	L + 7.25%	^(c)	8.94%	04/2020	3,580		3,549			0.4		3,133
Sloan Company, Inc., The	One stop	L + 7.25%	^(c)	8.70%	04/2020	38		37			—		31
Sovos Compliance^#*	One stop	L + 6.00%	^(a)	7.57%	03/2022	32,339		31,885			4.0		32,339
Sovos Compliance^*	One stop	L + 6.00%	^(a)	7.57%	03/2022	5,413		5,339			0.7		5,413
Sovos Compliance	One stop	L + 6.00%		N/A⁽⁶⁾	03/2022	—		—			—		—
Sovos Compliance⁽⁵⁾	One stop	L + 6.00%		N/A⁽⁶⁾	03/2022	—		(2		)	—		—
						128,352		126,413			15.8		127,446
Grocery
Teasdale Quality Foods, Inc.^*	Senior loan	L + 4.75%	^(c)	6.09%	10/2020	122		121			—		122

Healthcare, Education and Childcare
Active Day, Inc.^#*	One stop	L + 6.00%	^(a)	7.57%	12/2021	11,497		11,363			1.4		11,497
Active Day, Inc.^*	One stop	L + 6.00%	^(a)	7.57%	12/2021	887		881			0.1		887
Active Day, Inc.	One stop	L + 6.00%	^(a)	7.57%	12/2021	572		569			0.1		572
Active Day, Inc.	One stop	L + 6.00%	^(a)	7.57%	12/2021	395		392			0.1		395
Active Day, Inc.⁽⁵⁾	One stop	L + 6.00%		N/A⁽⁶⁾	12/2021	—		(1		)	—		—
Active Day, Inc.⁽⁵⁾	One stop	L + 6.00%		N/A⁽⁶⁾	12/2021	—		(12		)	—		—
Acuity Eyecare Holdings, LLC^#	One stop	L + 6.75%	^(b)	8.28%	03/2022	4,817		4,756			0.6		4,817
Acuity Eyecare Holdings, LLC	One stop	L + 6.75%	^(b)	8.37%	03/2022	807		766			0.1		807
Acuity Eyecare Holdings, LLC	One stop	P + 5.75%	^(e)	10.25%	03/2022	8		7			—		8
ADCS Clinics Intermediate Holdings, LLC^#	One stop	L + 5.75%	^(c)	7.44%	05/2022	21,849		21,476			2.7		21,412
ADCS Clinics Intermediate Holdings, LLC^#	One stop	L + 5.75%	^(c)	7.44%	05/2022	108		107			—		106
ADCS Clinics Intermediate Holdings, LLC	One stop	L + 5.75%	^(c)	7.44%	05/2022	84		79			—		79
ADCS Clinics Intermediate Holdings, LLC^*	One stop	L + 5.75%	^(c)	7.44%	05/2022	32		31			—		31
ADCS Clinics Intermediate Holdings, LLC⁽⁵⁾	One stop	L + 5.75%		N/A⁽⁶⁾	05/2022	—		(2		)	—		(2		)
Advanced Pain Management Holdings, Inc.^#	Senior loan	L + 5.00%	^(a)	6.57%	02/2018	5,593		5,592			0.6		5,033
Advanced Pain Management Holdings, Inc.^#	Senior loan	L + 5.00%	^(a)	6.57%	02/2018	383		383			—		344
Advanced Pain Management Holdings, Inc.	Senior loan	L + 5.00%		N/A⁽⁶⁾	02/2018	—		—			—		—
Agilitas USA, Inc.^#	One stop	L + 6.00%	^(c)	7.34%	04/2022	1,971		1,954			0.2		1,931
Agilitas USA, Inc.	One stop	L + 6.00%	^(c)	7.34%	04/2022	10		9			—		8
Agilitas USA, Inc.⁽⁵⁾	One stop	L + 6.00%		N/A⁽⁶⁾	04/2022	—		(14		)	—		—
Apothecary Products, LLC^*	Senior loan	L + 4.00%	^(c)	5.72%	02/2019	1,857		1,857			0.2		1,857
Apothecary Products, LLC	Senior loan	L + 4.00%	^(c)	5.74%	02/2019	211		211			—		211
Aris Teleradiology Company, LLC^#*	Senior loan	L + 5.50%	^(c)	7.19%	03/2021	2,500		2,483			0.3		2,150
Aris Teleradiology Company, LLC	Senior loan	L + 5.50%	^(c)	6.88%	03/2021	25		25			—		22
Avalign Technologies, Inc.^*	Senior loan	L + 4.50%	^(a)	6.07%	07/2021	948		946			0.1		948
BIORECLAMATIONIVT, LLC^#*	One stop	L + 5.75%	^(a)	7.32%	01/2021	13,907		13,760			1.7		13,907
BIORECLAMATIONIVT, LLC	One stop	P + 4.75%	^(e)	9.25%	01/2021	55		54			—		55
California Cryobank, LLC^*	One stop	L + 5.50%	^(c)	7.19%	08/2019	2,514		2,514			0.3		2,514
California Cryobank, LLC^*	One stop	L + 5.50%	^(c)	7.19%	08/2019	964		954			0.1		964
California Cryobank, LLC^*	One stop	L + 5.50%	^(c)	7.19%	08/2019	322		322			—		322
California Cryobank, LLC	One stop	L + 5.50%		N/A⁽⁶⁾	08/2019	—		—			—		—

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments (unaudited) - (continued)

December 31, 2017

(In thousands)



	Investment Type	Spread Above Index⁽¹⁾		Interest Rate⁽²⁾	Maturity Date	Principal ($) / Shares⁽³⁾		Amortized Cost			Percentage of Net Assets		Fair Value ⁽⁴⁾
Healthcare, Education and Childcare - (continued)
CLP Healthcare Services, Inc.^*	Senior loan	L + 5.25%	^(c)	6.94%	12/2020	$	934	$	928		0.1	%	$	915
Curo Health Services LLC^#	Senior loan	L + 4.00%	^(c)	5.41%	02/2022	825		825			0.1		826
DCA Investment Holding, LLC^#*	One stop	L + 5.25%	^(c)	6.94%	07/2021	13,589		13,449			1.6		13,352
DCA Investment Holding, LLC^#*	One stop	L + 5.25%	^(c)	6.94%	07/2021	14,564		14,450			1.8		14,309
DCA Investment Holding, LLC^#*	One stop	L + 5.25%	^(c)	6.94%	07/2021	6,088		5,997			0.7		5,981
DCA Investment Holding, LLC	One stop	L + 5.25%	^(a)	6.80%	07/2021	153		150			—		149
DCA Investment Holding, LLC⁽⁵⁾	One stop	L + 5.25%		N/A⁽⁶⁾	07/2021	—		(12		)	—		(25		)
DCA Investment Holding, LLC⁽⁵⁾	One stop	L + 5.25%		N/A⁽⁶⁾	07/2021	—		(194		)	—		(196		)
Deca Dental Management LLC	One stop	L + 6.25%	^(c)	7.94%	07/2020	7,486		7,428			0.9		7,486
Deca Dental Management LLC^*	One stop	L + 6.25%	^(c)	7.80%	07/2020	911		906			0.1		911
Deca Dental Management LLC	One stop	L + 6.25%	^(a)	7.82%	07/2020	50		50			—		50
Deca Dental Management LLC⁽⁵⁾	One stop	L + 6.25%		N/A⁽⁶⁾	07/2020	—		(6		)	—		—
Dental Holdings Corporation^*	One stop	L + 5.50%	^(c)	6.88%	02/2020	3,314		3,289			0.4		3,247
Dental Holdings Corporation	One stop	L + 5.50%	^(c)	6.88%	02/2020	505		501			0.1		495
Dental Holdings Corporation	One stop	L + 5.50%	^(c)(e)	7.74%	02/2020	196		193			—		187
eSolutions, Inc.^#*	One stop	L + 6.50%	^(a)	8.07%	03/2022	18,583		18,391			2.3		18,583
eSolutions, Inc.⁽⁵⁾	One stop	L + 6.50%		N/A⁽⁶⁾	03/2022	—		(1		)	—		—
Excelligence Learning Corporation^#	One stop	L + 6.00%	^(a)	7.57%	04/2023	6,284		6,228			0.8		6,284
Eyecare Services Partners Holdings LLC^#	One stop	L + 6.25%	^(c)	7.94%	05/2023	10,467		10,303			1.3		10,467
Eyecare Services Partners Holdings LLC	One stop	L + 6.25%	^(c)	7.73%	05/2023	8,666		8,507			1.1		8,666
Eyecare Services Partners Holdings LLC	One stop	P + 5.25%	^(e)	9.75%	05/2023	7		4			—		7
Eyecare Services Partners Holdings LLC⁽⁵⁾	One stop	L + 6.25%		N/A⁽⁶⁾	05/2023	—		(58		)	—		—
G & H Wire Company, Inc.^#	One stop	L + 5.50%	^(c)	7.19%	09/2023	1,146		1,135			0.2		1,146
G & H Wire Company, Inc.⁽⁵⁾	One stop	L + 5.50%		N/A⁽⁶⁾	09/2023	—		(1		)	—		—
Immucor, Inc. ^#	Senior loan	L + 5.00%	^(a)	6.57%	06/2021	2,050		2,031			0.3		2,087
Kareo, Inc.	One stop	L + 9.00%	^(b)	10.41%	06/2022	5,755		5,521			0.7		5,755
Kareo, Inc.	One stop	L + 9.00%		N/A⁽⁶⁾	06/2022	—		—			—		—
Katena Holdings, Inc.^*	One stop	L + 6.75%	^(c)	8.44%	06/2021	4,509		4,471			0.6		4,509
Katena Holdings, Inc.^*	One stop	L + 6.75%	^(c)	N/A⁽⁶⁾	06/2021	440		437			0.1		440
Katena Holdings, Inc.^#	One stop	L + 6.75%	^(c)	8.44%	06/2021	303		299			—		303
Katena Holdings, Inc.	One stop	P + 5.75%	^(e)	10.25%	06/2021	89		88			—		89
Lombart Brothers, Inc.^#	One stop	L + 6.75%	^(c)	8.44%	04/2022	3,369		3,320			0.4		3,369
Lombart Brothers, Inc.^#(8)	One stop	L + 6.75%	^(c)	8.44%	04/2022	1,546		1,524			0.2		1,546
Lombart Brothers, Inc.⁽⁸⁾	One stop	L + 6.75%		N/A⁽⁶⁾	04/2022	—		—			—		—
Lombart Brothers, Inc.⁽⁵⁾	One stop	L + 6.75%		N/A⁽⁶⁾	04/2022	—		(1		)	—		—
Maverick Healthcare Group, LLC^#	Senior loan	L + 7.50%	^(a)	7.25% cash/2.00% PIK	12/2017	646		646			0.1		614
Maverick Healthcare Group, LLC	Senior loan	P + 6.50%	^(e)	5.50% cash/5.50% PIK	12/2017	27		27			—		27
MWD Management, LLC & MWD Services, Inc.^#	One stop	L + 5.25%	^(c)	6.94%	06/2023	1,305		1,290			0.2		1,305
MWD Management, LLC & MWD Services, Inc.⁽⁵⁾	One stop	L + 5.25%		N/A⁽⁶⁾	06/2022	—		(1		)	—		—
MWD Management, LLC & MWD Services, Inc.⁽⁵⁾	One stop	L + 5.25%		N/A⁽⁶⁾	06/2023	—		(38		)	—		—
Oliver Street Dermatology Holdings, LLC^#*	One stop	L + 6.50%	^(c)	8.19%	05/2022	8,783		8,665			1.1		8,783
Oliver Street Dermatology Holdings, LLC^*	One stop	L + 6.50%	^(c)	8.18%	05/2022	1,899		1,883			0.2		1,899
Oliver Street Dermatology Holdings, LLC^#	One stop	L + 6.50%	^(c)	8.19%	05/2022	1,051		1,042			0.1		1,051
Oliver Street Dermatology Holdings, LLC	One stop	L + 6.50%	^(c)	7.96%	05/2022	816		809			0.1		816
Oliver Street Dermatology Holdings, LLC	One stop	L + 6.50%	^(c)	8.09%	05/2022	343		329			—		343
Oliver Street Dermatology Holdings, LLC^*	One stop	L + 6.50%	^(c)	8.19%	05/2022	46		45			—		46
Oliver Street Dermatology Holdings, LLC^*	One stop	L + 6.50%	^(c)	8.19%	05/2022	42		41			—		42
Oliver Street Dermatology Holdings, LLC^*	One stop	L + 6.50%	^(c)	8.19%	05/2022	33		32			—		33
Oliver Street Dermatology Holdings, LLC^*	One stop	L + 6.50%	^(c)	8.19%	05/2022	30		30			—		30
Oliver Street Dermatology Holdings, LLC⁽⁵⁾	One stop	L + 6.50%		N/A⁽⁶⁾	05/2022	—		(1		)	—		—
ONsite Mammography, LLC	One stop	L + 6.75%	^(a)	8.32%	11/2023	2,859		2,824			0.4		2,831
ONsite Mammography, LLC⁽⁵⁾	One stop	L + 6.75%		N/A⁽⁶⁾	11/2023	—		(1		)	—		—
ONsite Mammography, LLC⁽⁵⁾	One stop	L + 6.75%		N/A⁽⁶⁾	11/2023	—		(14		)	—		(11		)
Pinnacle Treatment Centers, Inc.^#	One stop	L + 6.25%	^(b)	7.87%	08/2021	9,723		9,600			1.2		9,723
Pinnacle Treatment Centers, Inc.	One stop	P + 5.00%	^(e)	9.50%	08/2021	30		29			—		30

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments (unaudited) - (continued)

December 31, 2017

(In thousands)



	Investment Type	Spread Above Index⁽¹⁾		Interest Rate⁽²⁾	Maturity Date	Principal ($) / Shares⁽³⁾		Amortized Cost			Percentage of Net Assets		Fair Value ⁽⁴⁾
Healthcare, Education and Childcare - (continued)
Pinnacle Treatment Centers, Inc.⁽⁵⁾	One stop	L + 6.25%		N/A⁽⁶⁾	08/2021	$	—	$	(2	)	—	%	$	—
PPT Management Holdings, LLC^#*	One stop	P + 5.00%	^(e)	9.50%	12/2022	11,682		11,464			1.4		11,449
PPT Management Holdings, LLC	One stop	P + 5.00%	^(e)	9.50%	12/2022	135		135			—		132
PPT Management Holdings, LLC	One stop	L + 6.00%	^(a)	7.57%	12/2022	100		96			—		96
PPT Management Holdings, LLC	One stop	P + 5.00%	^(e)	9.50%	12/2022	38		30			—		31
Premise Health Holding Corp.^*	One stop	L + 4.50%	^(c)	6.19%	06/2020	1,982		1,982			0.2		1,982
Premise Health Holding Corp.	One stop	L + 4.50%		N/A⁽⁶⁾	06/2020	—		—			—		—
Radiology Partners, Inc.^#	One stop	L + 5.75%	^(c)(d)	7.59%	12/2023	9,215		9,146			1.1		9,123
Radiology Partners, Inc.	One stop	L + 5.75%	^(d)	7.59%	12/2023	9,152		8,969			1.1		9,004
Radiology Partners, Inc.⁽⁵⁾	One stop	L + 5.75%		N/A⁽⁶⁾	12/2023	—		(3		)	—		(2		)
Reliant Pro ReHab, LLC^*	Senior loan	L + 5.00%	^(c)	6.69%	12/2018	1,135		1,135			0.2		1,135
Reliant Pro ReHab, LLC	Senior loan	P + 4.00%	^(e)	8.25%	12/2018	87		87			—		87
Riverchase MSO, LLC^#*	Senior loan	L + 5.25%	^(a)	6.82%	10/2022	4,928		4,867			0.6		4,928
Riverchase MSO, LLC	Senior loan	L + 5.25%	^(a)(c)	6.82%	10/2022	37		37			—		37
RXH Buyer Corporation^#	One stop	L + 5.75%	^(c)	7.44%	09/2021	11,106		10,969			1.4		11,106
RXH Buyer Corporation^*	One stop	L + 5.75%	^(c)	7.44%	09/2021	1,257		1,249			0.2		1,257
RXH Buyer Corporation	One stop	L + 5.75%	^(c)(e)	8.22%	09/2021	70		68			—		70
SLMP, LLC	One stop	L + 6.00%	^(a)	7.57%	05/2023	5,640		5,559			0.7		5,640
SLMP, LLC^#	One stop	L + 6.00%	^(a)	7.57%	05/2023	4,737		4,670			0.6		4,689
SLMP, LLC	One stop	N/A		7.50% PIK	05/2027	109		109			—		114
SLMP, LLC⁽⁵⁾	One stop	L + 6.00%		N/A⁽⁶⁾	05/2023	—		(1		)	—		(1		)
SLMP, LLC⁽⁵⁾	One stop	L + 6.00%		N/A⁽⁶⁾	05/2023	—		(11		)	—		—
Spear Education, LLC^*	One stop	L + 6.25%	^(c)	7.58%	08/2019	3,495		3,486			0.4		3,495
Spear Education, LLC	One stop	L + 6.25%	^(c)	7.58%	08/2019	179		179			—		179
Spear Education, LLC	One stop	L + 6.25%		N/A⁽⁶⁾	08/2019	—		—			—		—
Summit Behavioral Healthcare, LLC^#	Senior loan	L + 4.75%	^(b)	6.37%	10/2023	2,419		2,395			0.3		2,395
Summit Behavioral Healthcare, LLC	Senior loan	L + 4.75%	^(b)	6.37%	10/2023	9		8			—		8
Summit Behavioral Healthcare, LLC⁽⁵⁾	Senior loan	L + 4.75%		N/A⁽⁶⁾	10/2023	—		(8		)	—		(9		)
WHCG Management, LLC^*	Senior loan	L + 4.75%	^(c)	6.44%	03/2023	3,980		3,937			0.5		3,980
WHCG Management, LLC⁽⁵⁾	Senior loan	L + 4.75%		N/A⁽⁶⁾	03/2023	—		(1		)	—		—
WHCG Management, LLC⁽⁵⁾	Senior loan	L + 4.75%		N/A⁽⁶⁾	03/2023	—		(23		)	—		—
WIRB-Copernicus Group, Inc.^#	Senior loan	L + 5.00%	^(c)	6.69%	08/2022	9,363		9,291			1.2		9,363
WIRB-Copernicus Group, Inc.	Senior loan	L + 5.00%		N/A⁽⁶⁾	08/2022	—		—			—		—
						292,633		288,670			35.7		289,663
Home and Office Furnishings, Housewares, and Durable Consumer
1A Smart Start LLC^*	Senior loan	L + 4.50%	^(a)	6.19%	02/2022	355		355			—		356
CST Buyer Company^*	One stop	L + 6.25%	^(c)	7.75%	03/2023	3,198		3,122			0.4		3,198
CST Buyer Company⁽⁵⁾	One stop	L + 6.25%		N/A⁽⁶⁾	03/2023	—		(1		)	—		—
Plano Molding Company, LLC^#	One stop	L + 7.50%	^(a)	8.99%	05/2021	6,338		6,275			0.7		5,387
						9,891		9,751			1.1		8,941
Hotels, Motels, Inns, and Gaming
Aimbridge Hospitality, LLC^#*	One stop	L + 5.50%	^(a)	7.07%	06/2022	5,032		4,953			0.6		5,032
Aimbridge Hospitality, LLC	One stop	L + 5.50%	^(a)	7.07%	06/2022	62		57			—		62
Aimbridge Hospitality, LLC⁽⁵⁾	One stop	L + 5.50%		N/A⁽⁶⁾	06/2022	—		(1		)	—		—
						5,094		5,009			0.6		5,094
Insurance
Captive Resources Midco, LLC^#*	One stop	L + 6.00%	^(a)	7.57%	12/2021	12,906		12,717			1.6		12,712
Captive Resources Midco, LLC⁽⁵⁾	One stop	L + 6.00%		N/A⁽⁶⁾	12/2021	—		(5		)	—		(6		)
Captive Resources Midco, LLC⁽⁵⁾	One stop	L + 6.00%		N/A⁽⁶⁾	12/2021	—		(15		)	—		(15		)
Internet Pipeline, Inc^.#*	One stop	L + 7.25%	^(a)	8.82%	08/2022	10,326		10,187			1.3		10,496

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments (unaudited) - (continued)

December 31, 2017

(In thousands)



	Investment Type	Spread Above Index⁽¹⁾		Interest Rate⁽²⁾	Maturity Date	Principal ($) / Shares⁽³⁾		Amortized Cost			Percentage of Net Assets		Fair Value ⁽⁴⁾
Insurance - (continued)
Internet Pipeline, Inc.⁽⁸⁾	One stop	L + 6.50%		8.07%	08/2022	$	3,595	$	3,550		0.4	%	$	3,587
Internet Pipeline, Inc.^#*	One stop	L + 6.25%	^(a)	7.74%	08/2022	4,439		4,399			0.5		4,345
Internet Pipeline, Inc.^*	One stop	L + 6.25%	^(a)	7.74%	08/2022	1,680		1,665			0.2		1,645
Internet Pipeline, Inc.⁽⁵⁾	One stop	L + 7.25%		N/A⁽⁶⁾	08/2021	—		(1		)	—		1
RSC Acquisition, Inc.^#*	Senior loan	L + 5.25%	^(c)	6.94%	11/2022	13,832		13,782			1.7		13,763
RSC Acquisition, Inc.⁽⁵⁾	Senior loan	L + 5.25%		N/A⁽⁶⁾	11/2022	—		(55		)	—		(33		)
						46,778		46,224			5.7		46,495
Leisure, Amusement, Motion Pictures, Entertainment
NFD Operating, LLC^*	One stop	L + 7.00%	^(a)	8.36%	06/2021	2,164		2,142			0.3		2,164
NFD Operating, LLC	One stop	L + 7.00%		N/A⁽⁶⁾	06/2021	—		—			—		—
NFD Operating, LLC⁽⁵⁾	One stop	L + 7.00%		N/A⁽⁶⁾	06/2021	—		(1		)	—		—
PADI Holdco, Inc.^#	One stop	L + 6.50%	^(c)	8.20%	04/2023	25,465		25,127			3.1		25,465
PADI Holdco, Inc.	One stop	L + 6.50%	^(c)	8.20%	04/2022	49		47			—		49
Self Esteem Brands, LLC^#*	Senior loan	L + 4.75%	^(a)	6.32%	02/2020	9,454		9,399			1.2		9,454
Teaching Company, The^#*	One stop	L + 7.00%	^(a)(c)	8.48%	08/2020	12,156		12,107			1.5		12,156
Teaching Company, The	One stop	L + 7.00%	^(a)(e)	8.55%	08/2020	80		79			—		80
Titan Fitness, LLC^*	One stop	L + 6.50%	^(a)	7.86%	09/2019	1,948		1,948			0.2		1,948
Titan Fitness, LLC^*	One stop	L + 6.50%	^(a)	7.86%	09/2019	294		293			0.1		294
Titan Fitness, LLC^#	One stop	L + 6.50%	^(a)	7.86%	09/2019	258		258			—		258
Titan Fitness, LLC^*	One stop	L + 6.50%	^(a)	7.86%	09/2019	139		137			—		139
Titan Fitness, LLC	One stop	L + 6.50%		N/A⁽⁶⁾	09/2019	—		—			—		—
						52,007		51,536			6.4		52,007
Mining, Steel, Iron and Non-Precious Metals
Benetech, Inc.^#	One stop	L + 11.00%	^(a)	10.57% cash/2.00% PIK	08/2018	190		190			—		171
Benetech, Inc.	One stop	P + 9.75%	^(a)(e)	12.13% cash/2.00% PIK	08/2018	9		9			—		4
						199		199			—		175
Oil and Gas
Drilling Info, Inc.^#*	One stop	L + 6.25%	^(c)	7.94%	06/2020	26,565		26,347			3.2		26,299
Drilling Info, Inc.	One stop	L + 6.25%		N/A⁽⁶⁾	06/2020	—		—			—		—
						26,565		26,347			3.2		26,299
Personal and Non Durable Consumer Products (Mfg. Only)
Georgica Pine Clothiers, LLC^*	One stop	L + 5.50%	^(c)	7.19%	11/2021	4,860		4,829			0.6		4,860
Georgica Pine Clothiers, LLC^#	One stop	L + 5.50%	^(c)	7.19%	11/2021	425		421			0.1		425
Georgica Pine Clothiers, LLC^*	One stop	L + 5.50%	^(c)	7.19%	11/2021	298		296			—		298
Georgica Pine Clothiers, LLC	One stop	L + 5.50%	^(c)	7.19%	11/2021	48		47			—		48
IMPLUS Footwear, LLC^#	One stop	L + 6.75%	^(c)	8.44%	04/2021	13,474		13,370			1.7		13,474
IMPLUS Footwear, LLC^#	One stop	L + 6.75%	^(c)	8.35%	04/2021	2,372		2,354			0.3		2,372
Massage Envy, LLC^*	One stop	L + 6.75%	^(b)(e)	8.37%	09/2020	3,144		3,126			0.4		3,144
Massage Envy, LLC^*	One stop	L + 6.75%	^(c)(e)	8.18%	09/2020	99		99			—		99
Massage Envy, LLC^*	One stop	L + 6.75%	^(c)(e)	8.24%	09/2020	95		94			—		95
Massage Envy, LLC^*	One stop	L + 6.75%	^(c)(e)	8.25%	09/2020	71		71			—		71
Massage Envy, LLC^*	One stop	L + 6.75%	^(c)	8.11%	09/2020	46		45			—		46
Massage Envy, LLC^*	One stop	L + 6.75%	^(c)(e)	8.35%	09/2020	31		30			—		31
Massage Envy, LLC	One stop	L + 6.75%	^(c)	8.44%	09/2020	7		7			—		7
Massage Envy, LLC⁽⁵⁾	One stop	L + 6.75%		N/A⁽⁶⁾	09/2020	—		(1		)	—		—
Orthotics Holdings, Inc.^#	One stop	L + 6.00%	^(a)	7.57%	02/2020	3,685		3,658			0.4		3,611
Orthotics Holdings, Inc.^#(8)	One stop	L + 6.00%	^(a)	7.57%	02/2020	604		600			0.1		592
Orthotics Holdings, Inc.⁽⁸⁾	One stop	L + 6.00%		N/A⁽⁶⁾	02/2020	—		—			—		—
Orthotics Holdings, Inc.⁽⁵⁾	One stop	L + 6.00%		N/A⁽⁶⁾	02/2020	—		(4		)	—		(2		)
Team Technologies Acquisition Company^*	Senior loan	L + 5.00%	^(c)(e)	6.37%	12/2018	260		259			—		259
Team Technologies Acquisition Company^#	Senior loan	L + 5.50%	^(c)(e)	6.87%	12/2018	48		48			—		48
Team Technologies Acquisition Company	Senior loan	L + 5.00%		N/A⁽⁶⁾	12/2018	—		—			—		—
						29,567		29,349			3.6		29,478
Personal, Food and Miscellaneous Services
Captain D's, LLC^#	Senior loan	L + 4.50%	^(a)	5.98%	12/2023	8,238		8,115			1.0		8,155

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments (unaudited) - (continued)

December 31, 2017

(In thousands)



	Investment Type	Spread Above Index⁽¹⁾		Interest Rate⁽²⁾	Maturity Date	Principal ($) / Shares⁽³⁾		Amortized Cost			Percentage of Net Assets		Fair Value ⁽⁴⁾
Personal, Food and Miscellaneous Services - (continued)
Captain D's, LLC	Senior loan	L + 4.50%	^(a)	6.03%	12/2023	$	44	$	43		—	%	$	44
Clarkson Eyecare LLC^#*	One stop	L + 6.25%	^(c)	7.94%	04/2021	17,146		16,971			2.1		16,632
Clarkson Eyecare LLC	One stop	L + 6.25%	^(c)	7.94%	04/2021	8,508		8,451			1.0		8,252
Clarkson Eyecare LLC^#	One stop	L + 6.25%	^(c)	7.94%	04/2021	2,949		2,929			0.4		2,860
Clarkson Eyecare LLC^#	One stop	L + 6.25%	^(c)	7.94%	04/2021	2,510		2,494			0.3		2,435
Clarkson Eyecare LLC	One stop	L + 6.25%	^(c)	7.94%	04/2021	715		669			0.1		693
Clarkson Eyecare LLC^#	One stop	L + 6.25%	^(c)	7.94%	04/2021	661		661			0.1		641
Clarkson Eyecare LLC^#	One stop	L + 6.25%	^(c)	7.94%	04/2021	488		480			0.1		473
Clarkson Eyecare LLC	One stop	L + 6.25%	^(c)	7.94%	04/2021	277		273			—		259
Community Veterinary Partners, LLC	One stop	L + 5.50%	^(c)	7.19%	10/2021	1,770		1,737			0.2		1,770
Community Veterinary Partners, LLC^*	One stop	L + 5.50%	^(c)	7.19%	10/2021	100		98			—		100
PetVet Care Centers LLC^#	One stop	L + 6.00%	^(c)	7.69%	06/2023	10,955		10,856			1.3		10,955
PetVet Care Centers LLC	One stop	L + 6.00%	^(c)	7.55%	06/2023	3,964		3,910			0.5		3,964
PetVet Care Centers LLC	One stop	P + 5.00%	^(e)	9.50%	06/2023	250		248			—		250
R.G. Barry Corporation^#	Senior loan	L + 5.00%	^(a)	6.57%	09/2019	1,200		1,200			0.1		1,200
Southern Veterinary Partners, LLC	One stop	L + 5.00%	^(a)	6.57%	06/2020	3,625		3,625			0.4		3,625
Southern Veterinary Partners, LLC^*	One stop	L + 5.50%	^(a)	7.07%	06/2020	1,581		1,571			0.2		1,581
Southern Veterinary Partners, LLC	One stop	L + 5.50%	^(a)	7.07%	06/2020	1,044		1,044			0.1		1,044
Southern Veterinary Partners, LLC	One stop	L + 5.50%	^(a)	7.07%	06/2020	23		23			—		23
Southern Veterinary Partners, LLC⁽⁵⁾	One stop	L + 5.50%		N/A⁽⁶⁾	06/2020	—		(44		)	—		—
Vetcor Professional Practices LLC	One stop	L + 6.00%	^(c)	7.69%	04/2021	6,576		6,471			0.8		6,576
Vetcor Professional Practices LLC^#*	One stop	L + 6.00%	^(c)	7.69%	04/2021	27,206		26,845			3.4		27,206
Vetcor Professional Practices LLC	One stop	L + 6.00%	^(c)	7.69%	04/2021	2,354		2,322			0.3		2,354
Vetcor Professional Practices LLC^#	One stop	L + 6.00%	^(c)	7.69%	04/2021	626		622			0.1		626
Vetcor Professional Practices LLC^*	One stop	L + 6.00%	^(c)	7.69%	04/2021	621		613			0.1		621
Vetcor Professional Practices LLC^*	One stop	L + 6.00%	^(c)	7.69%	04/2021	488		488			0.1		488
Vetcor Professional Practices LLC^*	One stop	L + 6.00%	^(c)	7.69%	04/2021	475		469			0.1		475
Vetcor Professional Practices LLC^*	One stop	L + 6.00%	^(c)	7.69%	04/2021	187		186			—		187
Vetcor Professional Practices LLC^*	One stop	L + 6.00%	^(c)	7.69%	04/2021	153		152			—		153
Vetcor Professional Practices LLC	One stop	L + 6.00%	^(c)	7.69%	04/2021	133		129			—		133
Vetcor Professional Practices LLC⁽⁵⁾	One stop	L + 6.00%		N/A⁽⁶⁾	04/2021	—		(179		)	—		—
Veterinary Specialists of North America, LLC^#*	One stop	L + 5.50%	^(c)	6.88%	07/2021	3,843		3,807			0.5		3,843
Veterinary Specialists of North America, LLC^*	One stop	L + 5.50%	^(c)	6.93%	07/2021	230		229			—		230
Veterinary Specialists of North America, LLC^*	One stop	L + 5.50%	^(c)	6.95%	07/2021	89		88			—		89
Veterinary Specialists of North America, LLC^#	One stop	L + 5.50%	^(c)	6.91%	07/2021	33		33			—		33
Veterinary Specialists of North America, LLC⁽⁵⁾	One stop	L + 5.50%		N/A⁽⁶⁾	07/2021	—		(1		)	—		—
Veterinary Specialists of North America, LLC⁽⁵⁾	One stop	L + 5.50%		N/A⁽⁶⁾	07/2021	—		(6		)	—		—
Veterinary Specialists of North America, LLC⁽⁵⁾	One stop	L + 5.50%		N/A⁽⁶⁾	07/2021	—		(15		)	—		—
Wetzel's Pretzels, LLC^*	One stop	L + 6.75%	^(a)	8.11%	09/2021	5,868		5,789			0.7		5,868
Wetzel's Pretzels, LLC⁽⁵⁾	One stop	L + 6.75%		N/A⁽⁶⁾	09/2021	—		(1		)	—		—
						114,930		113,395			14.0		113,838
Printing and Publishing
Brandmuscle, Inc.^*	Senior loan	L + 5.00%	^(c)	6.69%	12/2021	536		532			0.1		540
Marketo, Inc.	One stop	L + 9.50%	^(c)	11.19%	08/2021	20,640		20,191			2.5		20,640
Marketo, Inc.⁽⁵⁾	One stop	L + 9.50%		N/A⁽⁶⁾	08/2021	—		(1		)	—		—
						21,176		20,722			2.6		21,180
Retail Stores
Batteries Plus Holding Corporation^#*	One stop	L + 6.75%	^(a)	8.32%	07/2022	11,467		11,315			1.4		11,467
Batteries Plus Holding Corporation⁽⁵⁾	One stop	L + 6.75%		N/A⁽⁶⁾	07/2022	—		(2		)	—		—
CVS Holdings I, LP^#*	One stop	L + 6.25%	^(a)	7.82%	08/2021	17,095		16,901			2.1		17,095
CVS Holdings I, LP^#	One stop	L + 6.25%	^(a)	7.82%	08/2021	247		243			—		247
CVS Holdings I, LP	One stop	L + 6.25%	^(a)	7.82%	08/2021	34		29			—		34
CVS Holdings I, LP⁽⁵⁾	One stop	L + 6.25%		N/A⁽⁶⁾	08/2020	—		(2		)	—		—
Cycle Gear, Inc.^*	One stop	L + 6.50%	^(c)	7.84%	01/2020	7,552		7,499			0.9		7,552
Cycle Gear, Inc.^*	One stop	L + 6.50%	^(a)	7.86%	01/2020	710		704			0.1		710

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments (unaudited) - (continued)

December 31, 2017

(In thousands)



	Investment Type	Spread Above Index⁽¹⁾		Interest Rate⁽²⁾	Maturity Date	Principal ($) / Shares⁽³⁾		Amortized Cost			Percentage of Net Assets		Fair Value ⁽⁴⁾
Retail Stores - (continued)
Cycle Gear, Inc.	One stop	L + 6.50%	^(a)(c)(e)	7.95%	01/2020	$	300	$	294		0.1	%	$	300
DTLR, Inc.^#*	One stop	L + 6.50%	^(c)	7.87%	08/2022	19,655		19,382			2.4		19,655
Feeders Supply Company, LLC^#*	One stop	L + 5.75%	^(a)	7.32%	04/2021	4,637		4,597			0.6		4,637
Feeders Supply Company, LLC	Subordinated Debt	N/A		12.50% cash/7.00% PIK	04/2021	56		56			—		56
Feeders Supply Company, LLC	One stop	L + 5.75%		N/A⁽⁶⁾	04/2021	—		—			—		—
Marshall Retail Group, LLC, The^#	One stop	L + 6.00%	^(c)	7.34%	08/2020	3,150		3,150			0.4		3,150
Marshall Retail Group, LLC, The	One stop	L + 6.00%		N/A⁽⁶⁾	08/2019	—		—			—		—
Mills Fleet Farm Group LLC^#*	One stop	L + 5.50%	^(a)	7.07%	02/2022	5,650		5,431			0.7		5,650
Pet Holdings ULC^#(8)(10)	One stop	L + 5.50%	^(c)	6.84%	07/2022	32,267		31,779			4.0		32,267
Pet Holdings ULC^(8)(10)	One stop	L + 5.50%	^(a)(c)	6.90%	07/2022	56		55			—		56
Pet Holdings ULC^(8)(10)	One stop	P + 4.50%	^(e)	9.00%	07/2022	30		28			—		30
PetPeople Enterprises, LLC^*	One stop	L + 6.00%	^(a)	7.57%	09/2023	2,367		2,339			0.3		2,367
PetPeople Enterprises, LLC⁽⁵⁾	One stop	L + 6.00%		N/A⁽⁶⁾	09/2023	—		(1		)	—		—
PetPeople Enterprises, LLC⁽⁵⁾	One stop	L + 6.00%		N/A⁽⁶⁾	09/2023	—		(2		)	—		—
						105,273		103,795			13.0		105,273
Telecommunications
NetMotion Wireless Holdings, Inc.^*	One stop	L + 6.75%	^(c)	8.44%	10/2021	7,034		6,936			0.9		7,034
NetMotion Wireless Holdings, Inc.⁽⁵⁾	One stop	L + 6.75%		N/A⁽⁶⁾	10/2021	—		(1		)	—		—
						7,034		6,935			0.9		7,034
Textile and Leather
SHO Holding I Corporation^*	Senior loan	L + 5.00%	^(b)	6.42%	10/2022	1,912		1,880			0.2		1,874
SHO Holding I Corporation	Senior loan	L + 4.00%	^(a)(b)	5.48%	10/2021	16		16			—		13
						1,928		1,896			0.2		1,887
Utilities
Arcos, LLC^*	One stop	L + 6.00%	^(c)	7.69%	02/2021	3,411		3,388			0.4		3,411
Arcos, LLC	One stop	L + 6.00%		N/A⁽⁶⁾	02/2021	—		—			—		—
PowerPlan Holdings, Inc.^*	Senior loan	L + 5.25%	^(a)	6.82%	02/2022	2,515		2,493			0.3		2,515
PowerPlan Holdings, Inc.^*	Senior loan	L + 5.25%	^(a)	6.82%	02/2022	805		792			0.1		805
						6,731		6,673			0.8		6,731
Total non-controlled/non-affiliate company debt investments						$	1,444,253	$	1,424,979		176.7	%	$	1,434,503

Equity investments^(11)(12)
Aerospace and Defense
Whitcraft LLC	Common stock	N/A		N/A	N/A	7		$	688		0.1	%	$	592

Automobile
Grease Monkey International, LLC	LLC units	N/A		N/A	N/A	448		448			0.1		448
Polk Acquisition Corp.	LP interest	N/A		N/A	N/A	4		401			—		235
								849			0.1		683
Beverage, Food and Tobacco
Cafe Rio Holding, Inc.	Common stock	N/A		N/A	N/A	3		283			—		283
Global ID Corporation	LLC interest	N/A		N/A	N/A	2		240			0.1		286
Hopdoddy Holdings, LLC	LLC units	N/A		N/A	N/A	17		84			—		73
Hopdoddy Holdings, LLC	LLC units	N/A		N/A	N/A	8		24			—		21
Purfoods, LLC	LLC interest	N/A		N/A	N/A	355		355			—		371
								986			0.1		1,034
Chemicals, Plastics and Rubber
Flexan, LLC	Preferred stock	N/A		N/A	N/A	—		40			—		49
Flexan, LLC	Common stock	N/A		N/A	N/A	—		—			—		6
								40			—		55
Diversified/Conglomerate Manufacturing
Inventus Power, Inc.	Preferred stock	N/A		N/A	N/A	—		259			—		—
Inventus Power, Inc.	Common stock	N/A		N/A	N/A	—		—			—		—

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments (unaudited) - (continued)

December 31, 2017

(In thousands)



	Investment Type	Spread Above Index⁽¹⁾	Interest Rate⁽²⁾	Maturity Date	Principal ($) / Shares⁽³⁾	Amortized Cost		Percentage of Net Assets		Fair Value ⁽⁴⁾
Diversified/Conglomerate Manufacturing - (continued)
Reladyne, Inc.	LP interest	N/A	N/A	N/A	—	$	242	—	%	$	404
						501		—		404
Diversified/Conglomerate Service
Accela, Inc.	LLC units	N/A	N/A	N/A	374	374		0.1		374
Agility Recovery Solutions Inc.	Preferred stock	N/A	N/A	N/A	30	152		—		199
Bomgar Corporation	Common stock	N/A	N/A	N/A	1	620		0.1		709
Bomgar Corporation	Common stock	N/A	N/A	N/A	415	6		—		75
HealthcareSource HR, Inc.	LLC interest	N/A	N/A	N/A	—	165		—		167
Host Analytics, Inc.	Warrant	N/A	N/A	N/A	154	58		—		133
Maverick Bidco Inc.	LLC units	N/A	N/A	N/A	1	597		0.1		616
MMan Acquisition Co.	LP interest	N/A	N/A	N/A	334	334		—		334
Net Health Acquisition Corp.	LP interest	N/A	N/A	N/A	—	436		0.1		436
Nexus Brands Group, Inc.	LP interest	N/A	N/A	N/A	—	172		—		172
Project Alpha Intermediate Holding, Inc.	Common stock	N/A	N/A	N/A	—	399		0.1		413
Project Alpha Intermediate Holding, Inc.	Common stock	N/A	N/A	N/A	99	4		—		—
Quickbase, Inc.	Common stock	N/A	N/A	N/A	615	260		0.1		800
Switchfly, Inc.	Warrant	N/A	N/A	N/A	79	114		—		172
Valant Medical Solutions, Inc.	Warrant	N/A	N/A	N/A	6	86		—		86
Verisys Corporation	LLC interest	N/A	N/A	N/A	318	318		0.1		339
Workforce Software, LLC	LLC units	N/A	N/A	N/A	1,309	1,309		0.2		1,555
Xmatters, Inc. and Alarmpoint, Inc.	Warrant	N/A	N/A	N/A	41	33		—		14
						5,437		0.9		6,594
Ecological
Pace Analytical Services, LLC	Common stock	N/A	N/A	N/A	3	302		—		348

Electronics
Diligent Corporation	Preferred stock	N/A	N/A	N/A	535	424		0.1		999
Gamma Technologies, LLC	LLC units	N/A	N/A	N/A	1	82		—		215
SEI, Inc.	LLC units	N/A	N/A	N/A	207	161		0.1		346
Sloan Company, Inc., The	LLC units	N/A	N/A	N/A	—	59		—		—
Sloan Company, Inc., The	LLC units	N/A	N/A	N/A	1	7		—		—
						733		0.2		1,560
Healthcare, Education and Childcare
Active Day, Inc.	LLC interest	N/A	N/A	N/A	1	529		0.1		580
Acuity Eyecare Holdings, LLC	LLC interest	N/A	N/A	N/A	419	419		0.1		521
ADCS Clinics Intermediate Holdings, LLC	Preferred stock	N/A	N/A	N/A	1	596		0.1		524
ADCS Clinics Intermediate Holdings, LLC	Common stock	N/A	N/A	N/A	—	6		—		—
BIORECLAMATIONIVT, LLC	LLC units	N/A	N/A	N/A	—	360		0.1		544
DCA Investment Holding, LLC	LLC units	N/A	N/A	N/A	5,253	525		0.1		630
DCA Investment Holding, LLC	LLC units	N/A	N/A	N/A	53	5		—		11
Deca Dental Management LLC	LLC units	N/A	N/A	N/A	651	651		0.1		730
Dental Holdings Corporation	LLC units	N/A	N/A	N/A	359	359		—		228
Encore GC Acquisition, LLC	LLC units	N/A	N/A	N/A	8	81		—		71
Encore GC Acquisition, LLC	LLC units	N/A	N/A	N/A	8	—		—		—
Eyecare Services Partners Holdings LLC	LLC units	N/A	N/A	N/A	—	304		—		275
Eyecare Services Partners Holdings LLC	LLC units	N/A	N/A	N/A	—	3		—		—
G & H Wire Company, Inc	LLC interest	N/A	N/A	N/A	187	187		—		187
Kareo, Inc.	Warrant	N/A	N/A	N/A	27	203		—		70
Katena Holdings, Inc.	LLC units	N/A	N/A	N/A	—	205		—		152
Lombart Brothers, Inc.	Common stock	N/A	N/A	N/A	—	123		—		110
MWD Management, LLC & MWD Services, Inc.	LLC interest	N/A	N/A	N/A	154	154		—		137

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments (unaudited) - (continued)

December 31, 2017

(In thousands)



	Investment Type	Spread Above Index⁽¹⁾	Interest Rate⁽²⁾	Maturity Date	Principal ($) / Shares⁽³⁾		Amortized Cost		Percentage of Net Assets		Fair Value ⁽⁴⁾
Healthcare, Education and Childcare - (continued)
Oliver Street Dermatology Holdings, LLC	LLC units	N/A	N/A	N/A	218		$	218	—	%	$	335
Pinnacle Treatment Centers, Inc.	Preferred stock	N/A	N/A	N/A	—		216		0.1		214
Pinnacle Treatment Centers, Inc.	Common stock	N/A	N/A	N/A	2		2		—		—
RXH Buyer Corporation	LP interest	N/A	N/A	N/A	4		443		—		160
SLMP, LLC	LLC interest	N/A	N/A	N/A	378		378		0.1		403
Summit Behavioral Healthcare, LLC	LLC interest	N/A	N/A	N/A	1		86		—		86
WHCG Management, LLC	LLC interest	N/A	N/A	N/A	—		281		—		275
							6,334		0.8		6,243
Insurance
Internet Pipeline, Inc.	Preferred stock	N/A	N/A	N/A	—		153		—		189
Internet Pipeline, Inc.	Common stock	N/A	N/A	N/A	93		2		0.1		305
							155		0.1		494
Leisure, Amusement, Motion Pictures, Entertainment
PADI Holdco, Inc.	LLC units	N/A	N/A	N/A	1		539		0.1		542

Mining, Steel, Iron and Non-Precious Metals
Benetech, Inc.	LLC interest	N/A	N/A	N/A	2		—		—		—
Benetech, Inc.	LLC interest	N/A	N/A	N/A	2		—		—		—
							—		—		—
Personal and Non Durable Consumer Products (Mfg. Only)
Georgica Pine Clothiers, LLC	LLC units	N/A	N/A	N/A	9		91		—		107

Personal, Food and Miscellaneous Services
Captain D's, LLC	LLC interest	N/A	N/A	N/A	88		88		—		88
Clarkson Eyecare LLC	LLC units	N/A	N/A	N/A	—		63		—		57
Community Veterinary Partners, LLC	Common stock	N/A	N/A	N/A	1		126		—		162
Southern Veterinary Partners, LLC	LLC units	N/A	N/A	N/A	—		49		—		52
Southern Veterinary Partners, LLC	LLC units	N/A	N/A	N/A	52		3		—		63
Vetcor Professional Practices LLC	LLC units	N/A	N/A	N/A	498		234		0.1		273
Vetcor Professional Practices LLC	LLC units	N/A	N/A	N/A	55		55		0.1		754
Veterinary Specialists of North America, LLC	LLC units	N/A	N/A	N/A	—		56		—		75
Wetzel's Pretzels, LLC	Common stock	N/A	N/A	N/A	—		149		—		191
							823		0.2		1,715
Printing and Publishing
Brandmuscle, Inc.	LLC interest	N/A	N/A	N/A	—		207		—		159

Retail Stores
Batteries Plus Holding Corporation	LP interest	N/A	N/A	N/A	5		505		0.1		688
Cycle Gear, Inc.	LLC units	N/A	N/A	N/A	8		111		—		160
Elite Sportswear, L.P.	LLC interest	N/A	N/A	N/A	—		70		—		34
Feeders Supply Company, LLC	Preferred stock	N/A	N/A	N/A	2		179		0.1		208
Feeders Supply Company, LLC	Common stock	N/A	N/A	N/A	—		—		—		124
Pet Holdings ULC⁽⁷⁾⁽⁸⁾	LP interest	N/A	N/A	N/A	222		188		—		235
							1,053		0.2		1,449
Utilities
PowerPlan Holdings, Inc.	Common stock	N/A	N/A	N/A	—		116		—		116
PowerPlan Holdings, Inc.	Common stock	N/A	N/A	N/A	68		1		—		190
							117		—		306

Total non-controlled/non-affiliate company equity investments							$	18,855	2.8	%	$	22,285

Total non-controlled/non-affiliate company investments					$	1,444,253	$	1,443,834	179.5	%	$	1,456,788

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments (unaudited) - (continued)

December 31, 2017

(In thousands)



	Investment Type	Spread Above Index⁽¹⁾	Interest Rate⁽²⁾	Maturity Date	Principal ($) / Shares⁽³⁾		Amortized Cost		Percentage of Net Assets		Fair Value ⁽⁴⁾
Controlled affiliate company investments⁽¹³⁾
Equity investments
Investment Funds and Vehicles
GCIC Senior Loan Fund LLC^(8)(15)	LLC interest	N/A	N/A	N/A	55,312		$	55,312	6.9	%	$	56,361

Total controlled affiliate company equity investments							$	55,312	6.9	%	$	56,361

Total controlled affiliate company investments							$	55,312	6.9	%	$	56,361

Total investments					$	1,444,253	$	1,499,146	186.4	%	$	1,513,149

Cash and cash equivalents and restricted cash and cash equivalents
Cash and restricted cash							$	35,077	4.3	%	$	35,077
BlackRock Liquidity Funds T-Fund Institutional Shares (CUSIP 09248U718)			1.18% ⁽¹⁴⁾				21		—		21
Total cash and cash equivalents and restricted cash and cash equivalents							$	35,098	4.3	%	$	35,098

Total investments and cash and cash equivalents and restricted cash and cash equivalents							$	1,534,244	190.7	%	$	1,548,247



^#		Denotes that all or a portion of the investment collateralizes the Credit Facility (as defined in Note 8).
^*		Denotes that all or a portion of the investment secures the notes offered in the GCIC 2016 Debt Securitization (as defined in Note 8).

⁽¹⁾

The majority of the investments bear interest at a rate that may be determined by reference to London Interbank Offered Rate (‘‘LIBOR’’ or ‘‘L’’) or Prime (‘‘P’’) and which reset daily, monthly, quarterly or semiannually. For each, the Company has provided the spread over LIBOR or Prime and the weighted average current interest rate in effect as of December 31, 2017. Certain investments are subject to a LIBOR or Prime interest rate floor. For fixed rate loans, a spread above a reference rate is not applicable. Listed below are the index rates as of December 29, 2017, which was the last business day of the period on which LIBOR was determined. The actual index rate for each loan listed may not be the applicable index rate outstanding as of December 31, 2017, as the loan may have priced or repriced based on an index rate prior to December 29, 2017.

^(a) Denotes that all or a portion of the loan was indexed to the 30-day LIBOR, which was 1.56% as of December 29, 2017.

^(b) Denotes that all or a portion of the loan was indexed to the 60-day LIBOR, which was 1.62% as of December 29, 2017.

^(c) Denotes that all or a portion of the loan was indexed to the 90-day LIBOR, which was 1.69% as of December 29, 2017.

^(d) Denotes that all or a portion of the loan was indexed to the 180-day LIBOR, which was 1.84% as of December 29, 2017.

^(e)Denotes that all or a portion of the loan was indexed to the Prime rate, which was 4.50% as of December 29, 2017.


⁽²⁾	For portfolio companies with multiple interest rate contracts, the interest rate shown is a weighted average current interest rate in effect as of December 31, 2017.


⁽³⁾	The total principal amount is presented for debt investments while the number of shares or units owned is presented for equity investments.


⁽⁴⁾	The fair value of the investment was valued using significant unobservable inputs. See Note 6. Fair Value Measurements.


⁽⁵⁾	The negative fair value is the result of the capitalized discount on the loan or the unfunded commitment being valued below par. The negative amortized cost is the result of the capitalized discount being greater than the principal amount outstanding on the loan.


⁽⁶⁾	The entire commitment was unfunded as of December 31, 2017. As such, no interest is being earned on this investment. The investment may be subject to an unused facility fee.


⁽⁷⁾	Loan was on non-accrual status as of December 31, 2017, meaning that the Company has ceased recognizing interest income on the loan.

⁽⁸⁾

The investment is treated as a non-qualifying asset under Section 55(a) of the Investment Company Act of 1940, as amended (the ‘‘1940 Act’’). Under the 1940 Act, the Company may not acquire any non-qualifying asset unless, at the time the acquisition is made, qualifying assets represent at least 70% of the Company’s total assets. As of December 31, 2017, total non-qualifying assets at fair value represented 6.3% of the Company’s assets calculated in accordance with the 1940 Act.


⁽⁹⁾	Loan is denominated in Great Britain pounds and is translated into U.S. dollars as of the valuation date.


⁽¹⁰⁾	The headquarters of this portfolio company is located in Canada.


⁽¹¹⁾	Equity investments are non-income producing securities unless otherwise noted.


⁽¹²⁾	Ownership of certain equity investments may occur through a holding company or partnership.


⁽¹³⁾	The Company holds an equity investment that entitles it to receive preferential dividends.

⁽¹⁴⁾

As defined in the 1940 Act, the Company is deemed to be both an ‘‘affiliated person’’ of and ‘‘control’’ this portfolio company as the Company owns more than 25% of the portfolio company’s outstanding voting securities or has the power to exercise control over management or policies of such portfolio company (including through a management agreement)("controlled affiliate"). Transactions related to investments in controlled affiliates for the three months ended December 31, 2017 were as follows:

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments (unaudited) - (continued)

December 31, 2017

(In thousands)



Portfolio Company	Fair value as of September 30, 2017		Purchases(cost)		Redemptions (cost)		Discount accretion		Net change in unrealized gain/(loss)		Fair value as of December 31, 2017		Net realized gain/(loss)		Interest and fee income		Dividend income
GCIC Senior Loan Fund LLC*	$	50,104	$	5,513	$	—	$	—	$	744	$	56,361	$	—	$	—	$	1,130
Total Controlled Affiliates	$	50,104	$	5,513	$	—	$	—	$	744	$	56,361	$	—	$	—	$	1,130

^(f)Together with Aurora National Life Assurance Company ("Aurora"), the Company co-invests through GCIC Senior Loan Fund ("GCIC SLF"). GCIC SLF is capitalized as transactions are completed and all portfolio and investment decisions in respect to GCIC SLF must be approved by the GCIC SLF investment committee consisting of two representatives of the Company and Aurora (with unanimous approval required from (i) one representative of each of the Company and Aurora or (ii) both representatives of each of the Company and Aurora). Therefore, although the Company owns more than 25% of the voting securities of GCIC SLF, the Company does not believe that it has control over GCIC SLF for purposes of the 1940 Act or otherwise.


⁽¹⁵⁾	The Company receives quarterly profit distributions from its equity investment in GCIC Senior Loan Fund LLC. See Note 5. Investments.


⁽¹⁶⁾	The rate shown is the annualized seven-day yield as of December 31, 2017.

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments

September 30, 2017

(In thousands)



	Investment Type	Spread Above Index⁽¹⁾		Interest Rate⁽²⁾	Maturity Date	Principal ($) / Shares⁽³⁾		Amortized Cost			Percentage of Net Assets		Fair Value ⁽¹⁵⁾
Investments
Non-controlled/non-affiliate company investments
Debt investments
Aerospace and Defense
ILC Dover, LP	One stop	L + 9.00%	^(a)	8.24% cash/2.00% PIK	03/2020	$	2,355	$	2,316		0.3	%	$	2,355
ILC Dover, LP	One stop	L + 9.00%	^(a)(c)	8.24% cash/2.00% PIK	03/2019	107		105			—		107
NTS Technical Systems^*	One stop	L + 6.25%	^(a)	7.49%	06/2021	3,250		3,205			0.5		3,250
NTS Technical Systems⁽⁴⁾	One stop	L + 6.25%		N/A⁽⁵⁾	06/2021	—		(11		)	—		—
NTS Technical Systems⁽⁴⁾	One stop	L + 6.25%		N/A⁽⁵⁾	06/2021	—		(15		)	—		—
Tresys Technology Holdings, Inc.⁽⁶⁾	One stop	L + 6.75%	^(c)	8.08%	12/2017	53		28			—		16
Tresys Technology Holdings, Inc.⁽⁶⁾	One stop	L + 6.75%	^(c)	8.06%	12/2017	9		9			—		9
Tronair Parent, Inc.^#	Senior loan	L + 4.75%	^(c)(e)	6.06%	09/2023	191		189			—		191
Tronair Parent, Inc.	Senior loan	L + 4.50%	^(c)	5.81%	09/2021	32		31			—		31
Whitcraft LLC^#	One stop	L + 6.25%	^(c)	7.58%	04/2023	16,306		16,081			2.1		16,306
Whitcraft LLC	One stop	P + 5.25%	^(e)	9.50%	04/2023	17		16			—		17
Whitcraft LLC⁽⁴⁾	One stop	L + 6.25%		N/A⁽⁵⁾	04/2023	—		(103		)	—		—
						22,320		21,851			2.9		22,282
Automobile
Dent Wizard International Corporation^*	Senior loan	L + 4.75%	^(a)	5.98%	04/2020	2,183		2,171			0.3		2,183
OEConnection LLC^#*	Senior loan	L + 5.00%	^(c)	6.33%	06/2022	11,055		10,829			1.4		11,097
OEConnection LLC^#*	Senior loan	L + 4.75%	^(c)	6.08%	06/2023	5,853		5,797			0.8		5,815
OEConnection LLC⁽⁴⁾	Senior loan	L + 5.00%		N/A⁽⁵⁾	06/2021	—		(1		)	—		—
Polk Acquisition Corp.^*	Senior loan	L + 5.00%	^(a)	6.24%	06/2022	4,805		4,786			0.6		4,708
T5 Merger Corporation^#*	One stop	L + 6.25%	^(a)	7.49%	03/2022	30,058		29,590			3.9		30,058
T5 Merger Corporation	One stop	L + 6.25%	^(a)	7.48%	03/2022	3,496		3,465			0.5		3,496
T5 Merger Corporation	One stop	L + 6.25%	^(a)	7.48%	03/2022	1,104		1,094			0.1		1,104
T5 Merger Corporation	One stop	L + 6.50%	^(a)	7.74%	03/2022	8		6			—		8
						58,562		57,737			7.6		58,469
Beverage, Food and Tobacco
Abita Brewing Co., L.L.C.^#	One stop	L + 5.75%	^(a)	6.99%	04/2021	3,747		3,717			0.5		3,634
Abita Brewing Co., L.L.C.⁽⁴⁾	One stop	L + 5.75%	^(c)	N/A⁽⁵⁾	04/2021	—		(1		)	—		(2		)
ABP Corporation^*	Senior loan	L + 4.75%	^(c)	6.07%	09/2018	598		598			0.1		598
ABP Corporation	Senior loan	P + 3.50%	^(e)	7.75%	09/2018	43		43			—		43
Benihana, Inc.^#*	One stop	L + 7.00%	^(a)(c)	8.32%	01/2019	319		319			0.1		316
Benihana, Inc.	One stop	L + 7.00%	^(c)(e)	9.16%	07/2018	34		34			—		34
C. J. Foods, Inc.^#*	One stop	L + 6.25%	^(c)	7.58%	05/2019	12,670		12,610			1.7		12,670
C. J. Foods, Inc.	One stop	L + 6.25%	^(c)	7.58%	05/2019	1,597		1,594			0.2		1,597
C. J. Foods, Inc.	One stop	L + 6.25%	^(c)	7.56%	05/2019	315		312			0.1		315
Cafe Rio Holding, Inc.^#	One stop	L + 5.75%	^(c)	7.08%	09/2023	8,711		8,560			1.1		8,624
Cafe Rio Holding, Inc.⁽⁴⁾	One stop	L + 5.75%		N/A⁽⁵⁾	09/2023	—		(2		)	—		(1		)
Cafe Rio Holding, Inc.⁽⁴⁾	One stop	L + 5.75%		N/A⁽⁵⁾	09/2023	—		(85		)	—		(49		)
Firebirds International, LLC^*	One stop	L + 5.75%	^(c)	7.06%	05/2018	3,296		3,289			0.4		3,296
Firebirds International, LLC^*	One stop	L + 5.75%	^(c)	7.06%	05/2018	926		924			0.1		926
Firebirds International, LLC^*	One stop	L + 5.75%	^(c)	7.06%	12/2018	298		297			—		298
Firebirds International, LLC⁽⁴⁾	One stop	L + 5.75%		N/A⁽⁵⁾	05/2018	—		(1		)	—		—
Firebirds International, LLC⁽⁴⁾	One stop	L + 5.75%		N/A⁽⁵⁾	12/2018	—		(4		)	—		—
FWR Holding Corporation^*	One stop	L + 6.00%	^(c)	7.40%	08/2023	4,079		4,019			0.5		4,038
FWR Holding Corporation	One stop	L + 6.00%	^(a)(c)	7.28%	08/2023	18		17			—		18
FWR Holding Corporation⁽⁴⁾	One stop	L + 6.00%		N/A⁽⁵⁾	08/2023	—		(42		)	—		(29		)
Global Franchise Group, LLC^*	Senior loan	L + 5.75%	^(c)	7.07%	12/2019	4,473		4,429			0.6		4,428
Global Franchise Group, LLC	Senior loan	L + 5.75%		N/A⁽⁵⁾	12/2019	—		—			—		—
Hopdoddy Holdings, LLC	One stop	L + 8.00%	^(a)	9.24%	08/2020	421		419			0.1		421
Hopdoddy Holdings, LLC	One stop	L + 8.00%	^(a)	9.24%	08/2020	172		171			—		172

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments - (continued)

September 30, 2017

(In thousands)



	Investment Type	Spread Above Index⁽¹⁾		Interest Rate⁽²⁾	Maturity Date	Principal ($) / Shares⁽³⁾		Amortized Cost			Percentage of Net Assets		Fair Value ⁽¹⁵⁾
Beverage, Food and Tobacco - (continued)
Hopdoddy Holdings, LLC	One stop	L + 8.00%		N/A⁽⁵⁾	08/2020	$	—	$	—		—	%	$	—
Julio & Sons Company^*	One stop	L + 5.50%	^(a)(e)	6.74%	12/2018	936		933			0.1		936
Julio & Sons Company	One stop	L + 5.50%	^(a)(e)	6.74%	12/2018	308		308			0.1		308
Julio & Sons Company	One stop	L + 5.50%	^(a)(e)	6.74%	12/2018	114		113			—		114
Julio & Sons Company⁽⁴⁾	One stop	L + 5.50%		N/A⁽⁵⁾	12/2018	—		(2		)	—		—
Mid-America Pet Food, L.L.C.^#	One stop	L + 5.50%	^(c)	6.83%	12/2021	6,395		6,314			0.8		6,395
Mid-America Pet Food, L.L.C.⁽⁴⁾	One stop	L + 5.50%		N/A⁽⁵⁾	12/2021	—		(1		)	—		—
NBC Intermediate, LLC ^#	Senior loan	L + 4.50%	^(a)	5.74%	09/2023	2,899		2,870			0.4		2,870
NBC Intermediate, LLC	Senior loan	L + 4.50%		N/A⁽⁵⁾	09/2023	—		—			—		—
P&P Food Safety US Acquisition, Inc.^#	One stop	L + 6.50%	^(c)	7.82%	11/2021	4,092		4,050			0.5		4,092
P&P Food Safety US Acquisition, Inc.	One stop	P + 5.25%	^(e)	9.50%	11/2021	13		13			—		13
Purfoods, LLC^#*	One stop	L + 6.25%	^(c)	7.57%	05/2021	7,967		7,880			1.0		7,967
Purfoods, LLC	One stop	N/A		7.00% PIK	05/2026	101		101			—		104
Purfoods, LLC	One stop	L + 6.25%	^(a)(c)	7.55%	05/2021	70		69			—		70
Purfoods, LLC	One stop	L + 6.25%	^(c)	7.58%	05/2021	15		15			—		15
Purfoods, LLC	One stop	L + 6.25%	^(a)	7.49%	05/2021	15		15			—		15
Purfoods, LLC	One stop	L + 6.25%	^(c)	7.58%	05/2021	14		14			—		14
Purfoods, LLC	One stop	L + 6.25%	^(c)	7.58%	05/2021	11		10			—		11
Purfoods, LLC	One stop	L + 6.25%	^(c)	7.58%	05/2021	10		10			—		10
Smashburger Finance LLC^*	Senior loan	L + 5.50%	^(c)	6.83%	05/2018	482		482			0.1		420
Smashburger Finance LLC⁽⁴⁾	Senior loan	L + 5.50%		N/A⁽⁵⁾	05/2018	—		(5		)	—		—
Surfside Coffee Company LLC^*	One stop	L + 5.25%	^(c)	6.58%	06/2020	2,327		2,314			0.3		2,327
Surfside Coffee Company LLC	One stop	L + 5.25%	^(c)	6.58%	06/2020	176		175			—		176
Surfside Coffee Company LLC	One stop	L + 5.25%	^(c)	6.57%	06/2020	30		30			—		30
Tate's Bake Shop, Inc.^*	Senior loan	L + 5.00%	^(c)	6.33%	08/2019	142		142			—		142
Uinta Brewing Company^#	One stop	L + 8.50%	^(a)	9.74%	08/2019	900		900			0.1		873
Uinta Brewing Company	One stop	L + 8.50%	^(a)	9.74%	08/2019	130		129			—		125
						68,864		68,096			8.9		68,374
Broadcasting and Entertainment
TouchTunes Interactive Networks, Inc.^*	Senior loan	L + 4.75%	^(a)	5.99%	05/2021	690		688			0.1		694

Building and Real Estate
Brooks Equipment Company, LLC^*	One stop	L + 5.00%	^(b)(c)	6.32%	08/2020	5,835		5,835			0.8		5,835
Brooks Equipment Company, LLC^*	One stop	L + 5.00%	^(c)	6.32%	08/2020	1,442		1,433			0.2		1,442
Brooks Equipment Company, LLC	One stop	L + 5.00%	^(a)	6.24%	08/2020	238		238			—		238
Jensen Hughes, Inc.^#	Senior loan	L + 5.00%		6.45%	12/2021	132		131			—		132
MRI Software LLC^#*	One stop	L + 6.00%	^(c)	7.33%	06/2023	18,829		18,513			2.4		18,641
MRI Software LLC^#	One stop	L + 6.00%	^(c)	7.33%	06/2023	17,435		17,261			2.2		17,261
MRI Software LLC	One stop	L + 6.00%	^(c)	7.32%	06/2023	3,130		3,115			0.4		3,099
MRI Software LLC⁽⁴⁾	One stop	L + 6.00%		N/A⁽⁵⁾	06/2023	—		(3		)	—		(2		)
MRI Software LLC⁽⁴⁾	One stop	L + 6.00%	^(c)	N/A⁽⁵⁾	06/2023	—		(150		)	—		(94		)
Paradigm DKD Group, LLC^#	Senior loan	L + 4.75%	^(c)	6.20%	11/2018	2,137		2,123			0.3		2,137
Paradigm DKD Group, LLC	Senior loan	L + 4.75%	^(c)(e)	6.18%	11/2018	644		639			0.1		644
						49,822		49,135			6.4		49,333
Chemicals, Plastics and Rubber
Flexan, LLC^*	One stop	L + 5.75%	^(c)	7.08%	02/2020	1,041		1,034			0.1		1,041
Flexan, LLC	One stop	P + 4.50%	^(e)	8.75%	02/2020	2		1			—		2
						1,043		1,035			0.1		1,043
Diversified/Conglomerate Manufacturing
Chase Industries, Inc.^#*	One stop	L + 5.75%	^(c)	7.05%	09/2020	13,409		13,341			1.8		13,409
Chase Industries, Inc.^*	One stop	L + 5.75%	^(c)	7.05%	09/2020	1,541		1,541			0.2		1,541
Chase Industries, Inc.	One stop	L + 5.75%	^(a)	6.99%	09/2020	105		105			—		105
Inventus Power, Inc.^#	One stop	L + 6.50%	^(a)	7.74%	04/2020	10,147		10,088			1.2		9,132

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments - (continued)

September 30, 2017

(In thousands)



	Investment Type	Spread Above Index⁽¹⁾		Interest Rate⁽²⁾	Maturity Date	Principal ($) / Shares⁽³⁾		Amortized Cost			Percentage of Net Assets		Fair Value ⁽¹⁵⁾
Diversified/Conglomerate Manufacturing - (continued)
Inventus Power, Inc.	One stop	L + 6.50%	^(a)	7.74%	04/2020	$	312	$	309		—	%	$	247
Onicon Incorporated^*	One stop	L + 6.00%	^(c)	7.33%	04/2020	176		175			—		176
Onicon Incorporated	One stop	L + 6.00%		N/A⁽⁵⁾	04/2020	—		—			—		—
PetroChoice Holdings, Inc.^*	Senior loan	L + 5.00%	^(b)	6.28%	08/2022	1,628		1,590			0.2		1,628
Reladyne, Inc.^#*	Senior loan	L + 5.00%	^(a)	6.24%	07/2022	16,836		16,599			2.2		16,668
Reladyne, Inc.⁽⁴⁾	Senior loan	L + 5.00%		N/A⁽⁵⁾	07/2022	—		(21		)	—		(17		)
Reladyne, Inc.⁽⁴⁾	Senior loan	L + 5.00%		N/A⁽⁵⁾	07/2022	—		(52		)	—		(54		)
Sunless Merger Sub, Inc.^#	Senior loan	L + 5.00%	^(a)(e)	6.27%	07/2019	289		260			—		289
Sunless Merger Sub, Inc.	Senior loan	P + 3.75%	^(e)	8.00%	07/2019	65		63			—		65
						44,508		43,998			5.6		43,189
Diversified/Conglomerate Service
Accela, Inc.^#	One stop	L + 6.25%	^(c)	7.58%	09/2023	7,401		7,291			0.9		7,327
Accela, Inc.	One stop	P + 5.25%	^(e)	9.50%	09/2023	1		—			—		1
Actiance, Inc.	One stop	L + 9.00%	^(a)	10.24%	10/2019	1,918		1,869			0.2		1,918
Actiance, Inc.	One stop	L + 9.00%	^(a)	10.24%	10/2019	20		20			—		20
Agility Recovery Solutions Inc.^*	One stop	L + 6.50%	^(c)	7.81%	03/2020	6,205		6,159			0.8		6,205
Agility Recovery Solutions Inc.⁽⁴⁾	One stop	L + 6.50%		N/A⁽⁵⁾	03/2020	—		(2		)	—		—
Anaqua, Inc.^#	One stop	L + 6.50%	^(c)	7.81%	07/2022	8,940		8,811			1.2		8,850
Anaqua, Inc.⁽⁴⁾	One stop	L + 6.50%		N/A⁽⁵⁾	07/2022	—		(1		)	—		(1		)
Bomgar Corporation^#*	One stop	L + 7.50%	^(c)	8.83%	06/2022	28,354		27,904			3.7		28,354
Bomgar Corporation⁽⁴⁾	One stop	L + 7.50%		N/A⁽⁵⁾	06/2022	—		(2		)	—		—
Clearwater Analytics, LLC^#*	One stop	L + 7.50%	^(a)	8.74%	09/2022	8,913		8,784			1.2		8,913
Clearwater Analytics, LLC	One stop	L + 7.50%	^(a)	8.74%	09/2022	10		8			—		10
Daxko Acquisition Corporation^#	One stop	L + 6.50%	^(a)	7.74%	09/2022	8,403		8,298			1.1		8,403
Daxko Acquisition Corporation	One stop	L + 6.50%		N/A⁽⁵⁾	09/2022	—		—			—		—
DISA Holdings Acquisition Subsidiary Corp.^*	Senior loan	L + 4.25%	^(c)	5.55%	12/2020	1,324		1,316			0.2		1,324
DISA Holdings Acquisition Subsidiary Corp.^#	Senior loan	L + 4.25%	^(c)	5.57%	12/2020	129		128			—		129
DISA Holdings Acquisition Subsidiary Corp.⁽⁴⁾	Senior loan	L + 4.25%		N/A⁽⁵⁾	12/2020	—		(2		)	—		—
EGD Security Systems, LLC^#*	One stop	L + 6.25%	^(c)	7.55%	06/2022	10,372		10,270			1.4		10,372
EGD Security Systems, LLC^*	One stop	L + 6.25%	^(a)	7.49%	06/2022	98		97			—		98
EGD Security Systems, LLC	One stop	L + 6.25%	^(c)	7.55%	06/2022	35		34			—		35
EGD Security Systems, LLC⁽⁴⁾	One stop	L + 6.25%		N/A⁽⁵⁾	06/2022	—		(1		)	—		—
HealthcareSource HR, Inc.^#*	One stop	L + 6.75%	^(c)	8.08%	05/2020	9,790		9,685			1.3		9,790
HealthcareSource HR, Inc.⁽⁴⁾	One stop	L + 6.75%		N/A⁽⁵⁾	05/2020	—		(1		)	—		—
Host Analytics, Inc.	One stop	N/A		8.50% cash/2.25% PIK	08/2021	1,381		1,368			0.2		1,381
Host Analytics, Inc.	One stop	N/A		8.50% cash/2.25% PIK	08/2021	1,157		1,101			0.2		1,157
Host Analytics, Inc.⁽⁴⁾	One stop	N/A		N/A⁽⁵⁾	08/2021	—		(3		)	—		—
III US Holdings, LLC⁽⁴⁾	One stop	L + 6.50%		N/A⁽⁵⁾	09/2022	—		(1		)	—		—
Integration Appliance, Inc.	One stop	L + 8.25%	^(c)	9.57%	09/2020	1,550		1,540			0.2		1,550
Integration Appliance, Inc.	One stop	L + 8.25%	^(c)	9.57%	09/2020	124		123			—		124
Integration Appliance, Inc.	One stop	L + 8.25%	^(c)	9.57%	09/2020	25		25			—		25
Maverick Bidco Inc.^#	One stop	L + 6.25%	^(c)	7.56%	04/2023	23,041		22,606			3.0		23,041
Maverick Bidco Inc.	One stop	L + 6.25%	^(c)	7.57%	04/2023	27		25			—		27
Maverick Bidco Inc.⁽⁴⁾	One stop	L + 6.25%		N/A⁽⁵⁾	04/2023	—		(31		)	—		—
MMan Acquisition Co.^#	One stop	L + 6.00%	^(b)	7.26%	08/2023	12,513		12,330			1.6		12,388
MMan Acquisition Co.	One stop	L + 6.00%	^(c)	7.33%	08/2023	10		9			—		9
Netsmart Technologies, Inc.^#	Senior loan	L + 4.50%	^(c)	5.83%	04/2023	1,633		1,620			0.2		1,655
Netsmart Technologies, Inc.⁽⁴⁾	Senior loan	L + 4.75%		N/A⁽⁵⁾	04/2023	—		(8		)	—		—
PT Intermediate Holdings III, LLC^#*	One stop	L + 6.50%	^(a)	7.74%	06/2022	23,273		22,997			3.0		23,273
PT Intermediate Holdings III, LLC^#	One stop	L + 6.50%	^(a)	7.74%	06/2022	2,298		2,278			0.3		2,298
PT Intermediate Holdings III, LLC	One stop	L + 6.50%	^(a)(e)	7.90%	06/2022	200		197			—		200
Quickbase, Inc.^#	One stop	L + 7.50%	^(c)	8.83%	04/2022	20,977		20,646			2.7		20,977
Quickbase, Inc.⁽⁴⁾	One stop	L + 7.50%		N/A⁽⁵⁾	04/2022	—		(2		)	—		—

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments - (continued)

September 30, 2017

(In thousands)



	Investment Type	Spread Above Index⁽¹⁾		Interest Rate⁽²⁾	Maturity Date	Principal ($) / Shares⁽³⁾		Amortized Cost			Percentage of Net Assets		Fair Value ⁽¹⁵⁾
Diversified/Conglomerate Service - (continued)
Saba Software, Inc.^#	One stop	L + 5.50%	^(a)	6.74%	05/2023	$	26,505	$	26,074		3.5	%	$	26,505
Saba Software, Inc.⁽⁴⁾	One stop	L + 5.50%		N/A⁽⁵⁾	05/2023	—		(2		)	—		—
Saldon Holdings, Inc.^*	Senior loan	L + 4.50%	^(a)(b)	5.77%	09/2022	647		639			0.1		639
Secure-24, LLC^*	One stop	L + 5.00%	^(c)	6.33%	08/2019	1,792		1,783			0.2		1,792
Secure-24, LLC	One stop	L + 5.00%		N/A⁽⁵⁾	08/2019	—		—			—		—
Severin Acquisition, LLC^#	Senior loan	L + 4.75%	^(a)	5.99%	07/2021	8,546		8,437			1.1		8,505
Severin Acquisition, LLC^#	Senior loan	L + 5.38%	^(a)	6.62%	07/2021	1,427		1,411			0.2		1,450
Severin Acquisition, LLC^#	Senior loan	L + 5.00%	^(a)	6.24%	07/2021	1,271		1,256			0.2		1,275
Severin Acquisition, LLC^#	Senior loan	L + 5.38%	^(a)	6.62%	07/2021	971		960			0.1		987
Severin Acquisition, LLC^*	Senior loan	L + 4.88%	^(a)	6.12%	07/2021	313		310			—		313
Severin Acquisition, LLC⁽⁴⁾	Senior loan	L + 4.75%		N/A⁽⁵⁾	07/2021	—		(7		)	—		—
Switchfly, Inc.	One stop	L + 10.00%	^(c)	9.80% cash/1.50% PIK	04/2020	3,204		3,082			0.4		3,204
Switchfly, Inc.	One stop	L + 10.00%		N/A⁽⁵⁾	04/2020	—		—			—		—
Telesoft, LLC#	One stop	L + 5.50%	^(c)	6.81%	07/2022	5,339		5,288			0.7		5,286
Telesoft, LLC⁽⁴⁾	One stop	L + 5.50%		N/A⁽⁵⁾	07/2022	—		(1		)	—		(1		)
Trintech, Inc.^#*	One stop	L + 6.00%	^(c)	7.31%	10/2021	9,736		9,648			1.3		9,736
Trintech, Inc.	One stop	L + 6.00%		N/A⁽⁵⁾	10/2021	—		—			—		—
Vendavo, Inc.	One stop	L + 8.50%	^(c)	9.80%	10/2019	4,331		4,307			0.6		4,331
Vendavo, Inc.⁽⁴⁾	One stop	L + 8.50%		N/A⁽⁵⁾	10/2019	—		(2		)	—		—
Vendor Credentialing Service LLC^#*	One stop	L + 6.00%	^(a)	7.24%	11/2021	7,631		7,546			1.0		7,631
Vendor Credentialing Service LLC⁽⁴⁾	One stop	L + 6.00%		N/A⁽⁵⁾	11/2021	—		(1		)	—		—
Verisys Corporation^#	One stop	L + 6.75%	^(c)	8.08%	01/2023	4,805		4,741			0.6		4,805
Verisys Corporation⁽⁴⁾	One stop	L + 6.75%		N/A⁽⁵⁾	01/2023	—		(1		)	—		—
Workforce Software, LLC	One stop	L + 10.50%	^(c)	4.80% cash/7.00% PIK	06/2021	22,905		22,788			3.0		22,905
Workforce Software, LLC	One stop	L + 10.50%	^(c)	4.80% cash/7.00% PIK	06/2021	50		50			—		50
Xmatters, Inc. and Alarmpoint, Inc.	One stop	L + 9.25%	^(a)	9.74% cash/0.75% PIK	08/2021	4,662		4,595			0.6		4,662
Xmatters, Inc. and Alarmpoint, Inc.	One stop	L + 9.25%	^(a)	9.74% cash/0.75% PIK	08/2021	20		20			—		20
						284,277		280,406			37.0		283,948
Ecological
Pace Analytical Services, LLC^#*	One stop	L + 6.00%	^(a)	7.24%	09/2022	15,220		14,998			2.0		15,220
Pace Analytical Services, LLC^#	One stop	L + 6.00%	^(a)	7.24%	09/2022	1,415		1,395			0.2		1,415
Pace Analytical Services, LLC	One stop	L + 6.00%	^(a)	7.24%	09/2022	349		344			—		349
Pace Analytical Services, LLC	One stop	L + 6.00%	^(a)	7.24%	09/2022	25		24			—		25
Pace Analytical Services, LLC⁽⁴⁾	One stop	L + 6.00%		N/A⁽⁵⁾	09/2022	—		(48		)	—		—
WRE Holding Corp.^#	Senior loan	L + 4.75%	^(a)	5.99%	01/2023	1,322		1,308			0.2		1,322
WRE Holding Corp.	Senior loan	L + 4.75%	^(a)(c)	6.00%	01/2023	7		7			—		7
WRE Holding Corp.⁽⁴⁾	Senior loan	L + 4.75%		N/A⁽⁵⁾	01/2023	—		(3		)	—		—
WRE Holding Corp.⁽⁴⁾	Senior loan	L + 4.75%		N/A⁽⁵⁾	01/2023	—		(23		)	—		—
						18,338		18,002			2.4		18,338
Electronics
Appriss Holdings, Inc.^#*	Senior loan	L + 5.25%	^(c)	6.58%	11/2020	10,219		10,145			1.3		10,219
Appriss Holdings, Inc.	Senior loan	L + 5.25%	^(b)	6.53%	11/2020	896		888			0.1		896
Compusearch Software Holdings, Inc.^*	Senior loan	L + 4.25%	^(c)	5.58%	05/2021	837		836			0.1		837
Diligent Corporation^#*	One stop	L + 6.25%	^(c)	7.58%	04/2022	31,699		31,017			4.1		31,699
Diligent Corporation^#*	One stop	L + 6.25%	^(c)	7.58%	04/2022	8,890		8,757			1.2		8,890
Diligent Corporation^#	One stop	L + 6.25%	^(c)	7.58%	04/2022	7,865		7,757			1.0		7,865
Diligent Corporation⁽⁴⁾	One stop	L + 6.25%		N/A⁽⁵⁾	04/2022	—		(2		)	—		—
Gamma Technologies, LLC^*	One stop	L + 4.75%	^(a)	5.99%	06/2021	4,937		4,906			0.6		4,937
Gamma Technologies, LLC⁽⁴⁾	One stop	L + 5.00%		N/A⁽⁵⁾	06/2021	—		(1		)	—		—
LD Intermediate Holdings, Inc.^*	Senior loan	L + 5.88%	^(c)	7.19%	12/2022	2,879		2,678			0.4		2,710
Park Place Technologies LLC.	Senior loan	L + 5.00%	^(c)	6.33%	06/2022	12,159		12,045			1.6		12,037
Park Place Technologies LLC⁽⁴⁾	One stop	L + 5.00%	^(c)	N/A⁽⁵⁾	06/2022	—		(2		)	—		(2		)
SEI, Inc.^#	Senior loan	L + 4.75%	^(a)	5.99%	07/2021	3,156		3,128			0.4		3,156

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments - (continued)

September 30, 2017

(In thousands)



	Investment Type	Spread Above Index⁽¹⁾		Interest Rate⁽²⁾	Maturity Date	Principal ($) / Shares⁽³⁾		Amortized Cost			Percentage of Net Assets		Fair Value ⁽¹⁵⁾
Electronics - (continued)
Sloan Company, Inc., The^#	One stop	L + 7.25%	^(c)	8.58%	04/2020	$	3,590	$	3,554		0.5	%	$	3,410
Sloan Company, Inc., The	One stop	L + 7.25%	^(c)	8.57%	04/2020	32		32			—		30
Sovos Compliance^#*	One stop	L + 6.00%	^(a)	7.24%	03/2022	32,422		31,939			4.2		32,097
Sovos Compliance Formerly Taxware, LLC^*	One stop	L + 6.00%	^(a)	7.24%	03/2022	5,427		5,348			0.7		5,373
Sovos Compliance Formerly Taxware, LLC	One stop	L + 6.00%		N/A⁽⁵⁾	03/2022	—		—			—		—
Sovos Compliance⁽⁴⁾	One stop	L + 6.00%		N/A⁽⁵⁾	03/2022	—		(2		)	—		(1		)
						125,008		123,023			16.2		124,153
Grocery
Teasdale Quality Foods, Inc.^*	Senior loan	L + 4.75%	^(c)	6.05%	10/2020	124		123			—		124

Healthcare, Education and Childcare
Active Day, Inc.^#*	One stop	L + 6.00%	^(a)	7.24%	12/2021	11,525		11,383			1.5		11,525
Active Day, Inc.^*	One stop	L + 6.00%	^(a)	7.24%	12/2021	889		883			0.1		889
Active Day, Inc.	One stop	L + 6.00%	^(a)	7.24%	12/2021	573		570			0.1		573
Active Day, Inc.	One stop	L + 6.00%	^(a)	7.24%	12/2021	396		393			0.1		396
Active Day, Inc.⁽⁴⁾	One stop	L + 6.00%		N/A⁽⁵⁾	12/2021	—		(1		)	—		—
Active Day, Inc.⁽⁴⁾	One stop	L + 6.00%	^(a)	N/A⁽⁵⁾	12/2021	—		(12		)	—		—
Acuity Eyecare Holdings, LLC^#	One stop	L + 6.75%	^(b)(c)	8.04%	03/2022	4,829		4,764			0.6		4,829
Acuity Eyecare Holdings, LLC	One stop	L + 6.75%	^(c)	8.06%	03/2022	809		766			0.1		809
Acuity Eyecare Holdings, LLC⁽⁴⁾	One stop	L + 6.75%		N/A⁽⁵⁾	03/2022	—		(1		)	—		—
ADCS Clinics Intermediate Holdings, LLC^#	One stop	L + 5.75%	^(c)	7.08%	05/2022	21,905		21,565			2.8		21,467
ADCS Clinics Intermediate Holdings, LLC^#	One stop	L + 5.75%	^(c)	7.08%	05/2022	108		107			—		106
ADCS Clinics Intermediate Holdings, LLC	One stop	P + 4.75%	^(e)	9.00%	05/2022	95		93			—		93
ADCS Clinics Intermediate Holdings, LLC^#	One stop	L + 5.75%	^(c)	7.08%	05/2022	32		32			—		31
ADCS Clinics Intermediate Holdings, LLC	One stop	P + 4.75%	^(e)	9.00%	05/2022	5		1			—		5
Advanced Pain Management Holdings, Inc.^#	Senior loan	L + 5.00%	^(a)	6.25%	02/2018	5,800		5,799			0.7		4,930
Advanced Pain Management Holdings, Inc.^#	Senior loan	L + 5.00%	^(a)	6.25%	02/2018	397		397			—		337
Advanced Pain Management Holdings, Inc.	Senior loan	L + 5.00%		N/A⁽⁵⁾	02/2018	—		—			—		—
Agilitas USA, Inc.^#	One stop	L + 6.00%	^(c)	7.30%	04/2022	1,976		1,958			0.3		1,976
Agilitas USA, Inc.	One stop	L + 6.00%	^(c)	7.30%	04/2022	10		9			—		10
Agilitas USA, Inc.⁽⁴⁾	One stop	L + 6.00%		N/A⁽⁵⁾	04/2022	—		(15		)	—		—
Apothecary Products, LLC^*	Senior loan	L + 4.00%	^(c)	5.72%	02/2019	1,857		1,857			0.2		1,857
Apothecary Products, LLC	Senior loan	L + 4.00%	^(c)	5.74%	02/2019	263		263			—		263
Aris Teleradiology Company, LLC^#*	Senior loan	L + 5.50%	^(c)	6.83%	03/2021	2,507		2,488			0.3		2,156
Aris Teleradiology Company, LLC	Senior loan	L + 5.50%	^(c)	6.81%	03/2021	25		25			—		22
Avalign Technologies, Inc.^*	Senior loan	L + 4.50%	^(a)	5.74%	07/2021	960		957			0.1		957
BIORECLAMATIONIVT, LLC^#*	One stop	L + 5.75%	^(a)	6.99%	01/2021	13,943		13,783			1.8		13,943
BIORECLAMATIONIVT, LLC	One stop	P + 4.75%	^(e)	9.00%	01/2021	55		54			—		55
California Cryobank, LLC^*	One stop	L + 5.50%	^(c)	6.83%	08/2019	2,544		2,544			0.3		2,544
California Cryobank, LLC^*	One stop	L + 5.50%	^(c)	6.83%	08/2019	976		964			0.1		976
California Cryobank, LLC^*	One stop	L + 5.50%	^(c)	6.83%	08/2019	326		326			—		326
California Cryobank, LLC	One stop	L + 5.50%		N/A⁽⁵⁾	08/2019	—		—			—		—
CLP Healthcare Services, Inc.^*	Senior loan	L + 5.25%	^(c)	6.58%	12/2020	936		930			0.1		918
Curo Health Services LLC^#	Senior loan	L + 4.00%	^(b)(c)	5.31%	02/2022	827		827			0.1		829
DCA Investment Holding, LLC^#*	One stop	L + 5.25%	^(c)	6.58%	07/2021	14,601		14,479			1.9		14,601
DCA Investment Holding, LLC^#*	One stop	L + 5.25%	^(c)	6.58%	07/2021	13,625		13,474			1.8		13,625
DCA Investment Holding, LLC^#*	One stop	L + 5.25%	^(c)	6.58%	07/2021	6,103		6,006			0.8		6,103
DCA Investment Holding, LLC	One stop	P + 4.25%	^(e)	8.50%	07/2021	707		695			0.1		707
DCA Investment Holding, LLC⁽⁴⁾	One stop	L + 5.25%		N/A⁽⁵⁾	07/2021	—		(3		)	—		—
Deca Dental Management LLC	One stop	L + 6.25%	^(c)	7.58%	07/2020	7,486		7,422			1.0		7,486
Deca Dental Management LLC^*	One stop	L + 6.25%	^(a)(c)	7.57%	07/2020	911		906			0.1		911
Deca Dental Management LLC	One stop	L + 6.25%	^(a)	7.49%	07/2020	50		50			—		50
Deca Dental Management LLC⁽⁴⁾	One stop	L + 6.25%		N/A⁽⁵⁾	07/2020	—		(7		)	—		—

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments - (continued)

September 30, 2017

(In thousands)



	Investment Type	Spread Above Index⁽¹⁾		Interest Rate⁽²⁾	Maturity Date	Principal ($) / Shares⁽³⁾		Amortized Cost			Percentage of Net Assets		Fair Value ⁽¹⁵⁾
Healthcare, Education and Childcare - (continued)
Dental Holdings Corporation^*	One stop	L + 5.50%	^(c)	6.81%	02/2020	$	3,314	$	3,286		0.4	%	$	3,247
Dental Holdings Corporation	One stop	L + 5.50%	^(b)	6.78%	02/2020	505		500			0.1		495
Dental Holdings Corporation	One stop	L + 5.50%	^(c)	6.82%	02/2020	98		94			—		88
eSolutions, Inc.^#*	One stop	L + 6.50%	^(a)	7.74%	03/2022	18,630		18,426			2.4		18,630
eSolutions, Inc.⁽⁴⁾	One stop	L + 6.50%		N/A⁽⁵⁾	03/2022	—		(1		)	—		—
Excelligence Learning Corporation^#	One stop	L + 6.00%	^(a)	7.24%	04/2023	6,300		6,241			0.8		6,300
Eyecare Services Partners Holdings LLC^#	One stop	L + 6.25%	^(c)	7.58%	05/2023	10,493		10,321			1.4		10,493
Eyecare Services Partners Holdings LLC	One stop	P + 5.25%	^(e)	9.50%	05/2023	17		14			—		17
Eyecare Services Partners Holdings LLC⁽⁴⁾	One stop	L + 6.25%		N/A⁽⁵⁾	05/2023	—		(61		)	—		—
Eyecare Services Partners Holdings LLC⁽⁴⁾	One stop	L + 6.25%		N/A⁽⁵⁾	05/2023	—		(77		)	—		—
G & H Wire Company, Inc^#	One stop	L + 5.50%	^(c)	6.81%	09/2023	7,148		7,060			0.9		7,077
G & H Wire Company, Inc⁽⁴⁾	One stop	L + 5.50%		N/A⁽⁵⁾	09/2023	—		(1		)	—		(1		)
Immucor, Inc.^#	Senior loan	L + 5.00%	^(a)	6.24%	06/2021	2,055		2,028			0.3		2,087
Kareo, Inc.	One stop	L + 9.00%	^(b)	10.27%	06/2022	5,755		5,508			0.8		5,755
Kareo, Inc.	One stop	L + 9.00%		N/A⁽⁵⁾	06/2022	—		—			—		—
Katena Holdings, Inc.^*	One stop	L + 6.25%	^(c)	7.58%	06/2021	4,521		4,491			0.6		4,430
Katena Holdings, Inc.^*	One stop	L + 6.25%	^(c)	7.58%	06/2021	441		438			0.1		432
Katena Holdings, Inc.	One stop	P + 5.25%	^(e)	9.50%	06/2021	64		63			—		62
Lombart Brothers, Inc.^#	One stop	L + 6.75%	^(c)	8.08%	04/2022	3,377		3,325			0.4		3,377
Lombart Brothers, Inc.^#(7)	One stop	L + 6.75%	^(c)	8.08%	04/2022	1,550		1,526			0.2		1,550
Lombart Brothers, Inc.	One stop	P + 5.50%	^(e)	9.75%	04/2022	36		35			—		36
Lombart Brothers, Inc.⁽⁷⁾	One stop	L + 6.75%		N/A⁽⁵⁾	04/2022	—		—			—		—
Maverick Healthcare Group, LLC^#	Senior loan	L + 7.50%	^(a)	7.25% cash/2.00% PIK	12/2017	643		643			0.1		624
Maverick Healthcare Group, LLC	Senior loan	P + 6.50%	^(e)	5.25% cash/5.50% PIK	12/2017	27		27			—		27
MWD Management, LLC & MWD Services, Inc.^#	One stop	L + 5.25%	^(c)	6.58%	06/2023	1,308		1,293			0.2		1,308
MWD Management, LLC & MWD Services, Inc.⁽⁴⁾	One stop	L + 5.25%		N/A⁽⁵⁾	06/2022	—		(1		)	—		—
MWD Management, LLC & MWD Services, Inc.⁽⁴⁾	One stop	L + 5.25%		N/A⁽⁵⁾	06/2023	—		(40		)	—		—
Oliver Street Dermatology Holdings, LLC^#*	One stop	L + 6.50%	^(c)	7.83%	05/2022	8,806		8,681			1.2		8,806
Oliver Street Dermatology Holdings, LLC	One stop	L + 6.50%	^(a)(b)(c)	7.78%	05/2022	1,803		1,785			0.2		1,803
Oliver Street Dermatology Holdings, LLC^#	One stop	L + 6.50%	^(c)	7.83%	05/2022	1,054		1,044			0.1		1,054
Oliver Street Dermatology Holdings, LLC	One stop	L + 6.50%	^(c)	7.81%	05/2022	46		45			—		46
Oliver Street Dermatology Holdings, LLC^*	One stop	L + 6.50%	^(c)	7.83%	05/2022	42		41			—		42
Oliver Street Dermatology Holdings, LLC	One stop	L + 6.50%	^(c)	7.83%	05/2022	33		32			—		33
Oliver Street Dermatology Holdings, LLC	One stop	L + 6.50%	^(c)	7.83%	05/2022	30		30			—		30
Oliver Street Dermatology Holdings, LLC⁽⁴⁾	One stop	L + 6.50%	^(c)(e)	N/A⁽⁵⁾	05/2022	—		(1		)	—		—
Oliver Street Dermatology Holdings, LLC⁽⁴⁾	One stop	L + 6.50%		N/A⁽⁵⁾	05/2022	—		(8		)	—		—
Pinnacle Treatment Centers, Inc.^#	One stop	L + 6.25%	^(b)	7.53%	08/2021	9,748		9,616			1.3		9,748
Pinnacle Treatment Centers, Inc.	One stop	P + 5.00%	^(e)	9.25%	08/2021	30		29			—		30
Pinnacle Treatment Centers, Inc.⁽⁴⁾	One stop	L + 6.25%		N/A⁽⁵⁾	08/2021	—		(2		)	—		—
PPT Management Holdings, LLC^#*	One stop	L + 6.00%	^(c)	7.33%	12/2022	11,711		11,482			1.5		11,477
PPT Management Holdings, LLC	One stop	L + 6.00%	^(c)	7.33%	12/2022	135		132			—		132
PPT Management Holdings, LLC	One stop	L + 6.00%	^(a)	7.24%	12/2022	50		46			—		46
Premise Health Holding Corp.^*	One stop	L + 4.50%	^(c)	5.83%	06/2020	1,987		1,987			0.3		1,987
Premise Health Holding Corp.	One stop	L + 4.50%		N/A⁽⁵⁾	06/2020	—		—			—		—
Pyramid Healthcare, Inc.	One stop	L + 6.50%	^(a)	7.74%	08/2019	150		148			—		150
Radiology Partners, Inc.^#	One stop	L + 5.75%	^(c)	7.08%	09/2020	4,399		4,361			0.6		4,399
Radiology Partners, Inc.	One stop	L + 5.75%	^(c)	7.08%	09/2020	99		98			—		99
Reliant Pro ReHab, LLC^*	Senior loan	L + 5.00%	^(c)	6.33%	12/2017	1,144		1,143			0.2		1,144
Reliant Pro ReHab, LLC	Senior loan	P + 4.00%	^(e)	8.25%	12/2017	83		83			—		83
Riverchase MSO, LLC^#*	Senior loan	L + 5.25%	^(c)	6.58%	10/2022	4,940		4,877			0.7		4,940
Riverchase MSO, LLC	Senior loan	L + 5.25%	^(c)	6.58%	10/2022	28		27			—		28
RXH Buyer Corporation^#	One stop	L + 5.75%	^(c)	7.08%	09/2021	11,134		10,987			1.4		10,912
RXH Buyer Corporation^*	One stop	L + 5.75%	^(c)	7.08%	09/2021	1,260		1,252			0.2		1,235

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments - (continued)

September 30, 2017

(In thousands)



	Investment Type	Spread Above Index⁽¹⁾		Interest Rate⁽²⁾	Maturity Date	Principal ($) / Shares⁽³⁾		Amortized Cost			Percentage of Net Assets		Fair Value ⁽¹⁵⁾
Healthcare, Education and Childcare - (continued)
RXH Buyer Corporation	One stop	L + 5.75%	^(c)(e)	7.61%	09/2021	$	55	$	52		—	%	$	51
SLMP, LLC^#	One stop	L + 6.00%	^(a)	7.24%	05/2023	2,888		2,847			0.4		2,888
SLMP, LLC	One stop	N/A		7.50% PIK	05/2027	109		109			—		109
SLMP, LLC⁽⁴⁾	One stop	L + 6.00%		N/A⁽⁵⁾	05/2023	—		(1		)	—		—
SLMP, LLC⁽⁴⁾		L + 6.00%		N/A⁽⁵⁾	05/2023	—		(27		)	—		—
Spear Education, LLC^*	One stop	L + 6.00%	^(c)	7.05%	08/2019	3,504		3,493			0.5		3,504
Spear Education, LLC	One stop	L + 6.00%	^(c)	7.30%	08/2019	180		179			—		180
Spear Education, LLC⁽⁴⁾	One stop	L + 6.00%		N/A⁽⁵⁾	08/2019	—		—			—		(2		)
Summit Behavioral Holdings I, LLC^*	One stop	L + 5.00%	^(a)	6.24%	06/2021	4,137		4,098			0.5		4,137
Summit Behavioral Holdings I, LLC	One stop	L + 5.00%	^(a)	6.24%	06/2021	113		112			—		113
Summit Behavioral Holdings I, LLC	One stop	L + 5.00%	^(a)	6.24%	06/2021	5		5			—		5
WHCG Management, LLC^*	Senior loan	L + 4.75%	^(c)	6.08%	03/2023	3,990		3,945			0.5		3,990
WHCG Management, LLC⁽⁴⁾	Senior loan	L + 4.75%		N/A⁽⁵⁾	03/2023	—		(1		)	—		—
WHCG Management, LLC⁽⁴⁾	Senior loan	L + 4.75%		N/A⁽⁵⁾	03/2023	—		(24		)	—		—
WIRB-Copernicus Group, Inc.^#	Senior loan	L + 5.00%	^(c)	6.33%	08/2022	9,387		9,310			1.2		9,387
WIRB-Copernicus Group, Inc.	Senior loan	L + 5.00%		N/A⁽⁵⁾	08/2022	—		—			—		—
Young Innovations, Inc.^#	Senior loan	L + 5.00%	^(c)	6.33%	01/2019	133		132			—		133
						267,546		264,013			34.5		265,058
Home and Office Furnishings, Housewares, and Durable Consumer
CST Buyer Company^*	Senior loan	L + 6.25%	^(c)	7.58%	03/2023	3,351		3,268			0.4		3,351
CST Buyer Company⁽⁴⁾	Senior loan	L + 6.25%		N/A⁽⁵⁾	03/2023	—		(1		)	—		—
Plano Molding Company, LLC^#	One stop	L + 7.50%	^(a)	8.74%	05/2021	6,991		6,920			0.8		5,942
						10,342		10,187			1.2		9,293
Hotels, Motels, Inns, and Gaming
Aimbridge Hospitality, LLC^#*	One stop	L + 5.50%	^(a)	6.74%	06/2022	11,044		10,862			1.5		11,044
Aimbridge Hospitality, LLC	One stop	L + 5.50%	^(a)	6.74%	06/2022	301		277			—		301
Aimbridge Hospitality, LLC⁽⁴⁾	One stop	L + 5.50%		N/A⁽⁵⁾	06/2022	—		(1		)	—		—
						11,345		11,138			1.5		11,345
Insurance
Captive Resources Midco, LLC^#*	One stop	L + 5.75%	^(a)	6.99%	06/2020	7,546		7,489			1.0		7,546
Captive Resources Midco, LLC⁽⁴⁾	One stop	L + 5.75%		N/A⁽⁵⁾	06/2020	—		(3		)	—		—
Captive Resources Midco, LLC⁽⁴⁾	One stop	L + 5.75%		N/A⁽⁵⁾	06/2020	—		(7		)	—		—
Higginbotham Insurance Agency, Inc.^*	Senior loan	L + 5.00%	^(a)	6.24%	11/2021	1,372		1,363			0.2		1,372
Internet Pipeline, Inc.^#*	One stop	L + 7.25%	^(a)	8.49%	08/2022	10,326		10,179			1.3		10,476
Internet Pipeline, Inc.^#*	One stop	L + 6.25%	^(a)	7.48%	08/2022	4,450		4,408			0.6		4,341
Internet Pipeline, Inc.^*	One stop	L + 6.25%	^(a)	7.48%	08/2022	1,685		1,668			0.2		1,643
Internet Pipeline, Inc.⁽⁴⁾	One stop	L + 7.25%		N/A⁽⁵⁾	08/2021	—		(1		)	—		1
RSC Acquisition, Inc.^#*	Senior loan	L + 5.25%	^(c)	6.58%	11/2022	6,838		6,819			0.9		6,838
RSC Acquisition, Inc.⁽⁴⁾	Senior loan	L + 5.25%		N/A⁽⁵⁾	11/2022	—		(20		)	—		—
						32,217		31,895			4.2		32,217
Leisure, Amusement, Motion Pictures, Entertainment
NFD Operating, LLC^*	One stop	L + 7.00%	^(c)	8.30%	06/2021	2,170		2,145			0.3		2,170
NFD Operating, LLC	One stop	L + 7.00%		N/A⁽⁵⁾	06/2021	—		—			—		—
NFD Operating, LLC⁽⁴⁾	One stop	L + 7.00%		N/A⁽⁵⁾	06/2021	—		(1		)	—		—
PADI Holdco, Inc.^#	One stop	L + 6.50%	^(c)	7.84%	04/2023	25,529		25,174			3.3		25,529
PADI Holdco, Inc.	One stop	L + 6.50%	^(b)(c)	7.78%	04/2022	72		70			—		72
Self Esteem Brands, LLC^#*	Senior loan	L + 4.75%	^(a)	5.99%	02/2020	9,683		9,621			1.3		9,683
Teaching Company, The^#*	One stop	L + 7.00%	^(a)(c)	8.32%	08/2020	12,187		12,133			1.6		11,943
Teaching Company, The	One stop	L + 7.00%	^(a)(e)	8.24%	08/2020	25		24			—		23
Titan Fitness, LLC^*	One stop	L + 7.00%	^(a)	8.25%	09/2019	1,954		1,954			0.3		1,954
Titan Fitness, LLC	One stop	L + 7.00%	^(a)	8.25%	09/2019	294		293			—		294
Titan Fitness, LLC^#	One stop	L + 7.00%	^(a)	8.25%	09/2019	259		259			—		259
Titan Fitness, LLC	One stop	L + 7.00%		N/A⁽⁵⁾	09/2019	—		—			—		—

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments - (continued)

September 30, 2017

(In thousands)



	Investment Type	Spread Above Index⁽¹⁾		Interest Rate⁽²⁾	Maturity Date	Principal ($) / Shares⁽³⁾		Amortized Cost			Percentage of Net Assets		Fair Value ⁽¹⁵⁾
Leisure, Amusement, Motion Pictures, Entertainment - (continued)
Titan Fitness, LLC⁽⁴⁾	One stop	L + 7.00%		N/A⁽⁵⁾	09/2019	$	—	$	(2	)	—	%	$	—
						52,173		51,670			6.8		51,927
Mining, Steel, Iron and Non-Precious Metals
Benetech, Inc.^#	One stop	L + 11.00%	^(a)	10.25% cash/2.00% PIK	08/2018	192		192			—		154
Benetech, Inc.	One stop	P + 9.75%	^(a)(e)	12.00% cash/2.00% PIK	08/2018	16		16			—		6
						208		208			—		160
Oil and Gas
Drilling Info, Inc.^#*	One stop	L + 6.25%	^(b)	7.52%	06/2020	17,048		16,948			2.2		16,919
Drilling Info, Inc.	One stop	L + 6.25%		N/A⁽⁵⁾	06/2020	—		—			—		—
						17,048		16,948			2.2		16,919
Personal and Non Durable Consumer Products (Mfg. Only)
Georgica Pine Clothiers, LLC^*	One stop	L + 5.50%	^(c)	6.83%	11/2021	4,873		4,839			0.6		4,873
Georgica Pine Clothiers, LLC^#	One stop	L + 5.50%	^(c)	6.83%	11/2021	426		422			0.1		426
Georgica Pine Clothiers, LLC^*	One stop	L + 5.50%	^(c)	6.83%	11/2021	299		296			—		299
Georgica Pine Clothiers, LLC	One stop	L + 5.50%	^(c)	6.83%	11/2021	58		57			—		58
IMPLUS Footwear, LLC^#	One stop	L + 6.75%	^(c)	8.08%	04/2021	13,510		13,398			1.8		13,510
IMPLUS Footwear, LLC^#	One stop	L + 6.75%	^(c)	8.07%	04/2021	2,378		2,359			0.3		2,378
Massage Envy, LLC^*	One stop	L + 6.75%	^(c)(e)	8.09%	09/2020	3,152		3,132			0.4		3,152
Massage Envy, LLC	One stop	L + 6.75%	^(c)(e)	8.07%	09/2020	100		99			—		100
Massage Envy, LLC	One stop	L + 6.75%	^(c)	8.07%	09/2020	95		94			—		95
Massage Envy, LLC	One stop	L + 6.75%	^(c)(e)	8.08%	09/2020	71		71			—		71
Massage Envy, LLC	One stop	L + 6.75%	^(c)(e)	8.10%	09/2020	31		30			—		31
Massage Envy, LLC	One stop	L + 6.75%	^(a)	7.99%	09/2020	21		20			—		21
Massage Envy, LLC⁽⁴⁾	One stop	L + 6.75%	^(c)	N/A⁽⁵⁾	09/2020	—		(2		)	—		—
Orthotics Holdings, Inc.^#	One stop	L + 6.00%	^(a)	7.24%	02/2020	3,694		3,664			0.5		3,620
Orthotics Holdings, Inc.^#(7)(8)	One stop	L + 6.00%	^(a)	7.24%	02/2020	606		601			0.1		594
Orthotics Holdings, Inc.^(4)(7)(8)	One stop	L + 6.00%		N/A⁽⁵⁾	02/2020	—		(1		)	—		—
Orthotics Holdings, Inc.⁽⁴⁾	One stop	L + 6.00%		N/A⁽⁵⁾	02/2020	—		(5		)	—		(2		)
Team Technologies Acquisition Company^*	Senior loan	L + 5.00%	^(c)(e)	6.32%	12/2017	260		261			—		260
Team Technologies Acquisition Company^#	Senior loan	L + 5.50%	^(c)(e)	6.82%	12/2017	48		48			—		49
Team Technologies Acquisition Company	Senior loan	L + 5.00%		N/A⁽⁵⁾	12/2017	—		—			—		—
						29,622		29,383			3.8		29,535
Personal, Food and Miscellaneous Services
Clarkson Eyecare LLC^#*	One stop	L + 6.25%	^(c)	7.58%	04/2021	17,190		17,001			2.2		16,674
Clarkson Eyecare LLC	One stop	L + 6.25%	^(c)	7.58%	04/2021	8,529		8,468			1.1		8,273
Clarkson Eyecare LLC^#	One stop	L + 6.25%	^(c)	7.58%	04/2021	2,956		2,935			0.4		2,867
Clarkson Eyecare LLC^#	One stop	L + 6.25%	^(c)	7.58%	04/2021	2,517		2,500			0.3		2,441
Clarkson Eyecare LLC	One stop	L + 6.25%	^(c)	7.58%	04/2021	716		666			0.1		692
Clarkson Eyecare LLC^#	One stop	L + 6.25%	^(c)	7.58%	04/2021	663		663			0.1		643
Clarkson Eyecare LLC^#	One stop	L + 6.25%	^(c)	7.58%	04/2021	489		481			0.1		474
Clarkson Eyecare LLC	One stop	L + 6.25%	^(c)	7.58%	04/2021	277		273			—		259
Community Veterinary Partners, LLC	One stop	L + 5.50%	^(c)	6.83%	10/2021	42		41			—		42
Ignite Restaurant Group, Inc (Joe's Crab Shack)^*(6)	One stop	P + 6.00%	^(e)	10.25%	02/2019	1,039		1,039			—		286
PetVet Care Centers LLC^#	One stop	L + 6.00%	^(c)	7.33%	06/2023	10,983		10,879			1.4		10,983
PetVet Care Centers LLC	One stop	L + 6.00%	^(c)	7.32%	06/2023	2,665		2,608			0.3		2,665
PetVet Care Centers LLC	One stop	L + 6.00%	^(b)	7.27%	06/2023	69		66			—		69
R.G. Barry Corporation^#	Senior loan	L + 5.00%	^(a)	6.24%	09/2019	1,257		1,257			0.2		1,257
Southern Veterinary Partners, LLC	One stop	L + 5.00%	^(a)	6.23%	06/2020	2,493		2,456			0.3		2,493
Southern Veterinary Partners, LLC^*	One stop	L + 5.00%	^(a)	6.24%	06/2020	1,585		1,574			0.2		1,585
Southern Veterinary Partners, LLC	One stop	L + 5.00%	^(a)	6.23%	06/2020	17		17			—		17
Vetcor Professional Practices LLC^#*	One stop	L + 6.00%	^(c)	7.33%	04/2021	27,276		26,887			3.5		27,276
Vetcor Professional Practices LLC	One stop	L + 6.00%	^(c)	7.33%	04/2021	2,980		2,867			0.4		2,980
Vetcor Professional Practices LLC	One stop	L + 6.00%	^(c)	7.33%	04/2021	2,360		2,325			0.3		2,360
Vetcor Professional Practices LLC^#	One stop	L + 6.00%	^(c)	7.33%	04/2021	$	628	$	623		0.1	%	$	628

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments - (continued)

September 30, 2017

(In thousands)



	Investment Type	Spread Above Index⁽¹⁾		Interest Rate⁽²⁾	Maturity Date	Principal ($) / Shares⁽³⁾		Amortized Cost			Percentage of Net Assets		Fair Value ⁽¹⁵⁾
Personal, Food and Miscellaneous Services - (continued)
Vetcor Professional Practices LLC^*	One stop	L + 6.00%	^(c)	7.33%	04/2021	622		614			0.1		622
Vetcor Professional Practices LLC^*	One stop	L + 6.00%	^(c)	7.33%	04/2021	489		489			0.1		489
Vetcor Professional Practices LLC^*	One stop	L + 6.00%	^(c)	7.33%	04/2021	476		470			0.1		476
Vetcor Professional Practices LLC^*	One stop	L + 6.00%	^(c)	7.33%	04/2021	187		186			—		187
Vetcor Professional Practices LLC^*	One stop	L + 6.00%	^(c)	7.33%	04/2021	153		152			—		153
Vetcor Professional Practices LLC	One stop	L + 6.00%	^(c)	7.33%	04/2021	17		13			—		17
Veterinary Specialists of North America, LLC^#*	One stop	L + 5.25%	^(c)	6.56%	07/2021	3,853		3,813			0.5		3,853
Veterinary Specialists of North America, LLC	One stop	L + 5.25%	^(c)	6.58%	07/2021	49		41			—		49
Veterinary Specialists of North America, LLC^#	One stop	L + 5.25%	^(c)	6.56%	07/2021	33		33			—		33
Veterinary Specialists of North America, LLC⁽⁴⁾	One stop	L + 5.25%		N/A⁽⁵⁾	07/2021	—		(1		)	—		—
Wetzel's Pretzels, LLC^*	One stop	L + 6.75%	^(a)	7.99%	09/2021	6,012		5,927			0.8		6,012
Wetzel's Pretzels, LLC⁽⁴⁾	One stop	L + 6.75%		N/A⁽⁵⁾	09/2021	—		(1		)	—		—
						98,622		97,362			12.6		96,855
Printing and Publishing
Brandmuscle, Inc.^*	Senior loan	L + 5.00%	^(c)	6.33%	12/2021	538		533			0.1		542
Marketo, Inc.	One stop	L + 9.50%	^(c)	10.83%	08/2021	20,640		20,160			2.7		20,640
Marketo, Inc.⁽⁴⁾	One stop	L + 9.50%		N/A⁽⁵⁾	08/2021	—		(1		)	—		—
						21,178		20,692			2.8		21,182
Retail Stores
Batteries Plus Holding Corporation^#*	One stop	L + 6.75%	^(a)	7.99%	07/2022	13,086		12,919			1.7		13,086
Batteries Plus Holding Corporation⁽⁴⁾	One stop	L + 6.75%		N/A⁽⁵⁾	07/2022	—		(2		)	—		—
CVS Holdings I, LP^#*	One stop	L + 6.25%	^(a)	7.49%	08/2021	17,139		16,930			2.2		17,139
CVS Holdings I, LP^#	One stop	L + 6.25%	^(a)	7.49%	08/2021	248		244			—		248
CVS Holdings I, LP	One stop	L + 6.25%	^(a)	7.49%	08/2021	34		28			—		34
CVS Holdings I, LP⁽⁴⁾	One stop	L + 6.25%		N/A⁽⁵⁾	08/2020	—		(2		)	—		—
Cycle Gear, Inc.^*	One stop	L + 6.50%	^(c)	7.80%	01/2020	7,572		7,511			1.0		7,572
Cycle Gear, Inc.	One stop	L + 6.50%	^(c)	7.82%	01/2020	710		704			0.1		710
Cycle Gear, Inc.⁽⁴⁾	One stop	L + 6.50%		N/A⁽⁵⁾	01/2020	—		(7		)	—		—
DTLR, Inc.^#*	One stop	L + 6.50%	^(c)	7.81%	08/2022	19,705		19,417			2.6		19,408
Feeders Supply Company, LLC^#*	One stop	L + 5.75%	^(a)	6.99%	04/2021	4,699		4,656			0.6		4,699
Feeders Supply Company, LLC	Subordinated Debt	N/A		12.50% cash/7.00% PIK	04/2021	55		55			—		55
Feeders Supply Company, LLC	One stop	L + 5.75%		N/A⁽⁵⁾	04/2021	—		—			—		—
Marshall Retail Group, LLC, The^#	One stop	L + 6.00%	^(c)	7.30%	08/2020	3,150		3,150			0.4		3,150
Marshall Retail Group, LLC, The	One stop	P + 4.75%	^(e)	9.00%	08/2019	77		77			—		77
Mills Fleet Farm Group LLC^#*	One stop	L + 5.50%	^(a)	6.74%	02/2022	5,650		5,419			0.8		5,650
Pet Holdings ULC^#(7)(8)	One stop	L + 5.50%	^(c)	6.80%	07/2022	32,348		31,832			4.2		32,348
Pet Holdings ULC(7)⁽⁸⁾	One stop	L + 5.50%	^(c)	6.81%	07/2022	56		55			—		56
Pet Holdings ULC^(4)(7)(8)	One stop	L + 5.50%	^(e)	N/A⁽⁵⁾	07/2022	—		(2		)	—		—
PetPeople Enterprises, LLC^*	One stop	L + 6.00%	^(c)	7.32%	09/2023	2,373		2,343			0.3		2,349
PetPeople Enterprises, LLC⁽⁴⁾	One stop	L + 6.00%		N/A⁽⁵⁾	09/2023	—		(1		)	—		—
PetPeople Enterprises, LLC⁽⁴⁾	One stop	L + 6.00%		N/A⁽⁵⁾	09/2023	—		(2		)	—		(17		)
						106,902		105,324			13.9		106,564
Telecommunications
NetMotion Wireless Holdings, Inc.^*	One stop	L + 6.25%	^(c)	7.58%	10/2021	7,278		7,190			0.9		7,278
NetMotion Wireless Holdings, Inc.⁽⁴⁾	One stop	L + 6.25%		N/A⁽⁵⁾	10/2021	—		(1		)	—		—
						7,278		7,189			0.9		7,278
Textile and Leather
SHO Holding I Corporation^*	Senior loan	L + 5.00%	^(a)	6.24%	10/2022	1,917		1,883			0.3		1,917
SHO Holding I Corporation	Senior loan	L + 4.00%	^(a)(b)	5.24%	10/2021	16		15			—		15
						1,933		1,898			0.3		1,932
Utilities
Arcos, LLC^*	One stop	L + 6.00%	^(c)	7.33%	02/2021	3,411		3,386			0.5		3,411
Arcos, LLC	One stop	L + 6.00%		N/A⁽⁵⁾	02/2021	$	—	$	—		—	%	$	—
PowerPlan Holdings, Inc.^*	Senior loan	L + 5.25%	^(a)	6.49%	02/2022	2,522		2,498			0.3		2,522

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments - (continued)

September 30, 2017

(In thousands)



	Investment Type	Spread Above Index⁽¹⁾		Interest Rate⁽²⁾	Maturity Date	Principal ($) / Shares⁽³⁾		Amortized Cost		Percentage of Net Assets		Fair Value ⁽¹⁵⁾
Utilities - (continued)
PowerPlan Holdings, Inc.^*	Senior loan	L + 5.25%	^(a)	6.49%	02/2022	805		791		0.1		805
						6,738		6,675		0.9		6,738
Total non-controlled/non-affiliate company debt investments						$	1,336,708	$	1,318,676	172.8	%	$	1,326,950

Equity investments^(9)(10)
Aerospace and Defense
Whitcraft LLC	Common stock	N/A		N/A	N/A	7		$	688	0.1	%	$	688

Automobile
Polk Acquisition Corp.	LP interest	N/A		N/A	N/A	4		401		—		255

Beverage, Food and Tobacco
Cafe Rio Holding, Inc.	Common stock	N/A		N/A	N/A	3		283		—		283
Hopdoddy Holdings, LLC	LLC units	N/A		N/A	N/A	17		84		—		57
Hopdoddy Holdings, LLC	LLC units	N/A		N/A	N/A	8		24		—		16
P&P Food Safety US Acquisition, Inc.	LLC interest	N/A		N/A	N/A	2		203		—		209
Purfoods, LLC	LLC interest	N/A		N/A	N/A	355		355		0.1		383
								949		0.1		948
Chemicals, Plastics and Rubber
Flexan, LLC	Preferred stock	N/A		N/A	N/A	—		40		—		48
Flexan, LLC	Common stock	N/A		N/A	N/A	—		—		—		8
								40		—		56
Diversified/Conglomerate Manufacturing
Inventus Power, Inc.	Preferred stock	N/A		N/A	N/A	—		259		—		—
Inventus Power, Inc.	Common stock	N/A		N/A	N/A	—		—		—		—
Reladyne, Inc.	LP interest	N/A		N/A	N/A	—		242		0.1		450
								501		0.1		450
Diversified/Conglomerate Service
Accela, Inc.	LLC units	N/A		N/A	N/A	374		374		0.1		374
Actiance, Inc.	Warrant	N/A		N/A	N/A	248		59		—		86
Agility Recovery Solutions Inc.	Preferred stock	N/A		N/A	N/A	30		152		—		191
Bomgar Corporation	Common stock	N/A		N/A	N/A	1		620		0.1		694
Bomgar Corporation	Common stock	N/A		N/A	N/A	415		6		—		33
HealthcareSource HR, Inc.	LLC interest	N/A		N/A	N/A	—		165		—		176
Host Analytics, Inc.	Warrant	N/A		N/A	N/A	154		58		—		123
Maverick Bidco Inc.	LLC units	N/A		N/A	N/A	1		597		0.1		597
MMan Acquisition Co.	LP interest	N/A		N/A	N/A	334		334		—		334
Project Alpha Intermediate Holding, Inc.	Common stock	N/A		N/A	N/A	—		399		0.1		440
Project Alpha Intermediate Holding, Inc.	Common stock	N/A		N/A	N/A	99		4		—		4
Quickbase, Inc.	Common stock	N/A		N/A	N/A	615		412		0.1		808
Switchfly, Inc.	Warrant	N/A		N/A	N/A	79		114		—		181
Verisys Corporation	LLC interest	N/A		N/A	N/A	318		318		0.1		346
Workforce Software, LLC	LLC units	N/A		N/A	N/A	1,309		1,309		0.2		1,519
Xmatters, Inc. and Alarmpoint, Inc.	Warrant	N/A		N/A	N/A	41		33		—		30
								4,954		0.8		5,936
Ecological
Pace Analytical Services, LLC	Common stock	N/A		N/A	N/A	3		302		—		362

Electronics
Diligent Corporation	Preferred stock	N/A		N/A	N/A	535		424		0.1		779
Gamma Technologies, LLC	LLC units	N/A		N/A	N/A	1		82		—		201

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments - (continued)

September 30, 2017

(In thousands)



	Investment Type	Spread Above Index⁽¹⁾	Interest Rate⁽²⁾	Maturity Date	Principal ($) / Shares⁽³⁾		Amortized Cost		Percentage of Net Assets			Fair Value ⁽¹⁵⁾
Electronics - (continued)
SEI, Inc.	LLC units	N/A	N/A	N/A	$	207	$	161	0.1		%	$	293
Sloan Company, Inc., The	LLC units	N/A	N/A	N/A	—		59		—			—
Sloan Company, Inc., The	LLC units	N/A	N/A	N/A	1		7		—			—
							733		0.2			1,273
Healthcare, Education and Childcare
Active Day, Inc.	LLC interest	N/A	N/A	N/A	1		529		0.1			618
Acuity Eyecare Holdings, LLC	LLC interest	N/A	N/A	N/A	419		419		0.1			522
ADCS Clinics Intermediate Holdings, LLC	Preferred stock	N/A	N/A	N/A	1		596		0.1			480
ADCS Clinics Intermediate Holdings, LLC	Common stock	N/A	N/A	N/A	—		6		—			—
BIORECLAMATIONIVT, LLC	LLC units	N/A	N/A	N/A	—		360		0.1			543
DCA Investment Holding, LLC	LLC units	N/A	N/A	N/A	5,253		525		0.1			571
DCA Investment Holding, LLC	LLC units	N/A	N/A	N/A	53		5		—			—
Deca Dental Management LLC	LLC units	N/A	N/A	N/A	651		651		0.1			748
Dental Holdings Corporation	LLC units	N/A	N/A	N/A	359		359		—			245
Encore GC Acquisition, LLC	LLC units	N/A	N/A	N/A	8		81		—			67
Encore GC Acquisition, LLC	LLC units	N/A	N/A	N/A	8		—		—			—
Eyecare Services Partners Holdings LLC	LLC interests	N/A	N/A	N/A	—		304		0.1			304
Eyecare Services Partners Holdings LLC	LLC interests	N/A	N/A	N/A	—		3		—			3
G & H Wire Company, Inc	LLC interest	N/A	N/A	N/A	187		187		—			187
Kareo, Inc.	Warrant	N/A	N/A	N/A	27		203		—			203
Katena Holdings, Inc.	LLC units	N/A	N/A	N/A	—		205		—			136
Lombart Brothers, Inc.	Common stock	N/A	N/A	N/A	—		123		—			164
MWD Management, LLC & MWD Services, Inc.	LLC interest	N/A	N/A	N/A	154		154		—			154
Oliver Street Dermatology Holdings, LLC	LLC units	N/A	N/A	N/A	218		218		—			292
Pinnacle Treatment Centers, Inc.	Preferred stock	N/A	N/A	N/A	—		216		—			222
Pinnacle Treatment Centers, Inc.	Common stock	N/A	N/A	N/A	2		2		—			—
RXH Buyer Corporation	LP interest	N/A	N/A	N/A	4		443		—			155
SLMP, LLC	LLC interest	N/A	N/A	N/A	334		334		0.1			334
WHCG Management, LLC	LLC interest	N/A	N/A	N/A	—		281		—			277
							6,204		0.8			6,225
Insurance
Internet Pipeline, Inc.	Preferred stock	N/A	N/A	N/A	—		153		—			185
Internet Pipeline, Inc.	Common stock	N/A	N/A	N/A	93		2		0.1			304
							155		0.1			489
Leisure, Amusement, Motion Pictures, Entertainment
PADI Holdco, Inc.	LLC units	N/A	N/A	N/A	1		539		0.1			539

Mining, Steel, Iron and Non-Precious Metals
Benetech, Inc.	LLC interest	N/A	N/A	N/A	2		—		—			—
Benetech, Inc.	LLC interest	N/A	N/A	N/A	2		—		—			—
							—		—			—
Personal and Non Durable Consumer Products (Mfg. Only)
Georgica Pine Clothiers, LLC	LLC units	N/A	N/A	N/A	9		91		—			89

Personal, Food and Miscellaneous Services
Clarkson Eyecare LLC	LLC units	N/A	N/A	N/A	—		63		—			75
Community Veterinary Partners, LLC	Common stock	N/A	N/A	N/A	1		126		—			132
Southern Veterinary Partners, LLC	LLC units	N/A	N/A	N/A	—		49		—			49
Southern Veterinary Partners, LLC	LLC units	N/A	N/A	N/A	52		3		—			3
Vetcor Professional Practices LLC	LLC units	N/A	N/A	N/A	498		298		0.1			331
Vetcor Professional Practices LLC	LLC units	N/A	N/A	N/A	55		55		0.1			667
Veterinary Specialists of North America, LLC	LLC units	N/A	N/A	N/A	—		56		—			74
Wetzel's Pretzels, LLC	Common stock	N/A	N/A	N/A	$	—	$	149	$	—		$	173
							799		0.2		%	1,504

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments - (continued)

September 30, 2017

(In thousands)



	Investment Type	Spread Above Index⁽¹⁾	Interest Rate⁽²⁾	Maturity Date	Principal ($) / Shares⁽³⁾		Amortized Cost		Percentage of Net Assets		Fair Value ⁽¹⁵⁾
Printing and Publishing
Brandmuscle, Inc.	LLC interest	N/A	N/A	N/A	—		207		—		203

Retail Stores
Batteries Plus Holding Corporation	LP interest	N/A	N/A	N/A	5		505		0.1		653
Cycle Gear, Inc.	LLC units	N/A	N/A	N/A	8		111		—		169
Elite Sportswear, L.P.	LLC interest	N/A	N/A	N/A	—		70		—		43
Feeders Supply Company, LLC	Preferred stock	N/A	N/A	N/A	2		179		—		204
Feeders Supply Company, LLC	Common stock	N/A	N/A	N/A	—		—		—		97
Pet Holdings ULC⁽⁷⁾⁽⁸⁾	LP interest	N/A	N/A	N/A	222		188		0.1		228
							1,053		0.2		1,394
Utilities
PowerPlan Holdings, Inc.	Common stock	N/A	N/A	N/A	—		116		—		116
PowerPlan Holdings, Inc.	Common stock	N/A	N/A	N/A	68		1		—		120
							117		—		236

Total non-controlled/non-affiliate company equity investments							$	17,733	2.7	%	$	20,647

Total non-controlled/non-affiliate company investments					$	1,336,708	$	1,336,409	175.5	%	$	1,347,597

Controlled affiliate company investments⁽¹²⁾
Equity investments
Investment Funds and Vehicles
GCIC Senior Loan Fund LLC^(7)(13)	LLC interest	N/A	N/A	N/A			$	49,800	6.5	%	$	50,104

Total controlled affiliate company equity investments							$	49,800	6.5	%	$	50,104

Total controlled affiliate company investments							$	49,800	6.5	%	$	50,104

Total investments					$	1,336,708	$	1,386,209	182.0	%	$	1,397,701

Cash and cash equivalents and restricted cash and cash equivalents
Cash and restricted cash							$	47,487	6.8	%	$	47,487
BlackRock Liquidity Funds T-Fund Institutional Shares (CUSIP 09248U718)			0.91% ⁽¹⁴⁾				3,644		0.1		3,644
Total cash and cash equivalents and restricted cash and cash equivalents							$	51,131	6.9	%	$	51,131

Total investments and cash and cash equivalents and restricted cash and cash equivalents							$	1,437,340	188.9	%	$	1,448,832



^#		Denotes that all or a portion of the investment collateralizes the Credit Facility (as defined in Note 7).
^*		Denotes that all or a portion of the investment secures the notes offered in the GCIC 2016 Debt Securitization (as defined in Note 7).

⁽¹⁾

The majority of the investments bear interest at a rate that may be determined by reference to LIBOR or Prime and which reset daily, monthly, quarterly or semiannually. For each, the Company has provided the spread over LIBOR or Prime and the weighted average current interest rate in effect as of September 30, 2017. Certain investments are subject to a LIBOR or Prime interest rate floor. For fixed rate loans, a spread above a reference rate is not applicable. Listed below are the index rates as of September 29, 2017, which was the last business day of the period on which LIBOR was determined. The actual index rate for each loan listed may not be the applicable index rate outstanding as of September 30, 2017, as the loan may have priced or repriced based on an index rate prior to September 29, 2017.

^(a) Denotes that all or a portion of the loan was indexed to the 30-day LIBOR, which was 1.23% as of September 29, 2017.

^(b) Denotes that all or a portion of the loan was indexed to the 60-day LIBOR, which was 1.27% as of September 29, 2017.

^(c) Denotes that all or a portion of the loan was indexed to the 90-day LIBOR, which was 1.33% as of September 29, 2017.

^(d) Denotes that all or a portion of the loan was indexed to the 180-day LIBOR, which was 1.51% as of September 29, 2017.

Golub Capital Investment Corporation and Subsidiaries

Consolidated Schedule of Investments - (continued)

September 30, 2017

(In thousands)

^(e)Denotes that all or a portion of the loan was indexed to the Prime rate, which was 4.25% as of September 29, 2017.


⁽²⁾	For portfolio companies with multiple interest rate contracts, the interest rate shown is a weighted average current interest rate in effect as of September 30, 2017.


⁽³⁾	The total principal amount is presented for debt investments while the number of shares or units owned is presented for equity investments.


⁽⁴⁾	The negative fair value is the result of the capitalized discount on the loan or the unfunded commitment being valued below par. The negative amortized cost is the result of the capitalized discount being greater than the principal amount outstanding on the loan.


⁽⁵⁾	The entire commitment was unfunded as of September 30, 2017. As such, no interest is being earned on this investment. The investment may be subject to an unused facility fee.


⁽⁶⁾	Loan was on non-accrual status as of September 30, 2017, meaning that the Company has ceased recognizing interest income on the loan.

⁽⁷⁾

The investment is treated as a non-qualifying asset under Section 55(a) of the 1940 Act. Under the 1940 Act, the Company may not acquire any non-qualifying asset unless, at the time the acquisition is made, qualifying assets represent at least 70% of the Company’s total assets. As of September 30, 2017, total non-qualifying assets at fair value represented 5.9% of the Company’s assets calculated in accordance with the 1940 Act.


⁽⁸⁾	The headquarters of this portfolio company is located in Canada.


⁽⁹⁾	Equity investments are non-income producing securities unless otherwise noted.


⁽¹⁰⁾	Ownership of certain equity investments may occur through a holding company or partnership.


⁽¹¹⁾	The Company holds an equity investment that entitles it to receive preferential dividends.

⁽¹²⁾ As defined in the 1940 Act, the Company is deemed to be both an ‘‘affiliated person’’ of and ‘‘control’’ this portfolio company as the Company owns more than 25% of the portfolio company’s outstanding voting securities or has the power to exercise control over management or policies of such portfolio company (including through a management agreement). Transactions related to investments in controlled affiliates for the year ended September 30, 2017 were as follows:



Portfolio Company	Fair value as of September 30, 2016		Purchases(cost)		Redemptions (cost)			Discount accretion		Net change in unrealized gain/(loss)			Fair value as of September 30, 2017		Net realized gain/(loss)		Interest and fee income		Dividend income
GCIC Senior Loan Fund LLC*	$	47,956	$	46,344	$	(43,719	)	$	—	$	(477	)	$	50,104	$	—	$	732	$	3,950
Total Controlled Affiliates	$	47,956	$	46,344	$	(43,719	)	$	—	$	(477	)	$	50,104	$	—	$	732	$	3,950

^(f)Together with Aurora, the Company co-invests through GCIC SLF. GCIC SLF is capitalized as transactions are completed and all portfolio and investment decisions in respect to GCIC SLF must be approved by the GCIC SLF investment committee consisting of two representatives of the Company and Aurora (with unanimous approval required from (i) one representative of each of the Company and Aurora or (ii) both representatives of each of the Company and Aurora). Therefore, although the Company owns more than 25% of the voting securities of GCIC SLF, the Company does not believe that it has control over GCIC SLF for purposes of the 1940 Act or otherwise.


⁽¹³⁾	The Company receives quarterly profit distributions from its equity investment in GCIC SLF. See Note 5. Investments.


⁽¹⁴⁾	The rate shown is the annualized seven-day yield as of September 30, 2017.


⁽¹⁵⁾	The fair value of the investment was valued using significant unobservable inputs. See Note 6. Fair Value Measurements.

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)

Note 1. Organization

Golub Capital Investment Corporation (“GCIC” and collectively with its subsidiaries, the “Company”) is an externally managed, closed-end, non-diversified management investment company that was formed on September 22, 2014 and commenced operations on December 31, 2014, the effective date of the Company’s election to be treated as a business development company (“BDC”) under the Investment Company Act of 1940, as amended (the “1940 Act”). In addition, for U.S. federal income tax purposes, GCIC has elected to be treated as a regulated investment company (“RIC”) under Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”).

The Company’s investment strategy is to invest primarily in senior secured and one stop (a loan that combines characteristics of traditional first lien senior secured loans and second lien or subordinated loans) loans of U.S. middle-market companies. The Company may also selectively invest in second lien and subordinated (a loan that ranks senior only to a borrower’s equity securities and ranks junior to all of such borrower’s other indebtedness in priority of payment) loans of, and warrants and minority equity securities in, U.S. middle-market companies. The Company has entered into an investment advisory agreement (the “Investment Advisory Agreement”) with GC Advisors LLC (the “Investment Adviser”), under which the Investment Adviser manages the day-to-day operations of, and provides investment advisory services to, the Company. Under an administration agreement (the “Administration Agreement”) the Company is provided with certain services by an administrator (the “Administrator”), which is currently Golub Capital LLC.

Note 2. Significant Accounting Policies and Recent Accounting Updates

Basis of presentation: The Company is an investment company as defined in the accounting and reporting guidance under Accounting Standards Codification (“ASC”) Topic 946 - Financial Services - Investment Companies (“ASC Topic 946”).

The accompanying interim consolidated financial statements of the Company and related financial information have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”) for interim financial information and pursuant to the requirements for reporting under Articles 6, 10, and 12 of Regulation S-X. In the opinion of management, the consolidated financial statements reflect all adjustments and reclassifications consisting solely of normal accruals that are necessary for the fair presentation of financial results as of and for the periods presented. All intercompany balances and transactions have been eliminated. Certain prior period amounts have been reclassified to conform to the current period presentation. The unaudited interim consolidated financial statements and notes thereto should be read in conjunction with the financial statements and notes thereto in the Company’s Form 10-K for the year ended September 30, 2017, as filed with the U.S. Securities and Exchange Commission (the Commission or the SEC).

Fair value of financial instruments: The Company applies fair value to all of its financial instruments in accordance with ASC Topic 820 - Fair Value Measurement (“ASC Topic 820”). ASC Topic 820 defines fair value, establishes a framework used to measure fair value and requires disclosures for fair value measurements. In accordance with ASC Topic 820, the Company has categorized its financial instruments carried at fair value, based on the priority of the valuation technique, into a three-level fair value hierarchy. Fair value is a market-based measure considered from the perspective of the market participant who holds the financial instrument rather than an entity-specific measure. Therefore, when market assumptions are not readily available, the Company’s own assumptions are set to reflect those that management believes market participants would use in pricing the financial instrument at the measurement date.

The availability of observable inputs can vary depending on the financial instrument and is affected by a wide variety of factors, including, for example, the type of product, whether the product is new, whether the product is traded on an active exchange or in the secondary market and the current market conditions. To the extent that the valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised by the Company in determining fair value is greatest for financial instruments classified as Level 3.

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)

Any changes to the valuation methodology are reviewed by management and the Company’s board of directors (the “Board”) to confirm that the changes are appropriate. As markets change, new products develop and the pricing for products becomes more or less transparent, the Company will continue to refine its valuation methodologies. See Note 6.

Use of estimates: The preparation of the consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and 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 could differ from those estimates.

Consolidation: As provided under Regulation S-X and ASC Topic 946, the Company will generally not consolidate its investment in a company other than an investment company subsidiary or a controlled operating company whose business consists of providing services to the Company. Accordingly, the Company consolidated the results of the Company’s wholly-owned subsidiaries, GCIC Holdings LLC (“GCIC Holdings”), GCIC Funding LLC (“GCIC Funding”)and Golub Capital Investment Corporation CLO 2016(M) LLC (“GCIC 2016 Issuer”), in its consolidated financial statements. The Company does not consolidate its non-controlling interest in GCIC SLF. See further description of the Company’s investment in GCIC SLF in Note 5.

Assets related to transactions that do not meet ASC Topic 860 - Transfers and Servicing (“ASC Topic 860”) requirements for accounting sale treatment are reflected in the Company’s Consolidated Statements

of Financial Condition as investments. Those assets are owned by special purpose entities, including GCIC Funding and GCIC 2016 Issuer, that are consolidated in the Company’s consolidated financial statements. The creditors of the special purpose entities have received security interests in such assets and such assets are not intended to be available to the creditors of GCIC (or any affiliate of GCIC).

Cash and cash equivalents: Cash and cash equivalents are highly liquid investments with an original maturity of three months or less at the date of acquisition. The Company deposits its cash in financial institutions and, at times, such balances may be in excess of the Federal Deposit Insurance Corporation insurance limits.

Restricted cash and cash equivalents: Restricted cash and cash equivalents include amounts that are collected and are held by trustees who have been appointed as custodians of the assets securing certain of the Company’s financing transactions. Restricted cash and cash equivalents are held by the trustees for payment of interest expense and principal on the outstanding borrowings or reinvestment into new assets.

Foreign currency translation: The Company’s books and records are maintained in U.S. dollars. Any foreign currency amounts are translated into U.S. dollars on the following basis:


⁽¹⁾	cash and cash equivalents, fair value of investments, interest receivable, and other assets—at the spot exchange rate on the last business day of the period; and


⁽²⁾	purchases and sales of investments, income and expenses—at the exchange rates prevailing on the respective dates of such transactions.

Although net assets and fair values are presented based on the applicable foreign exchange rates described above, 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 fair values of investments held. Such fluctuations are included with the net realized and unrealized gain or loss from investments. Fluctuations arising from the translation of assets other than investments are included with the net change in unrealized gains (losses) on translation of assets in foreign currencies on the Consolidated Statements of Operations.

Foreign security and currency transactions may involve certain considerations and risks not typically associated with investing in U.S. companies. These risks include, but are not limited to, currency fluctuations and revaluations and

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)

future adverse political, social and economic developments, which could cause investments in foreign markets to be less liquid and prices more volatile than those of comparable U.S. companies or U.S. government securities.

Revenue recognition:

Investments and related investment income: Interest income is accrued based upon the outstanding principal amount and contractual interest terms of debt investments.

Loan origination fees, original issue discount and market discount or premium are capitalized, and the Company accretes or amortizes such amounts over the life of the loan as interest income. For the three months ended December 31, 2017 and 2016, interest income included $2,026 and $1,390, respectively, of accretion of discounts. For the three months ended December 31, 2017, and 2016 the Company received loan origination fees of $3,172 and $1,664, respectively.

For investments with contractual (“PIK”) interest, which represents contractual interest accrued and added to the principal balance that generally becomes due at maturity, the Company will not accrue PIK interest if the portfolio company valuation indicates that the PIK interest is not collectible. For the three months ended December 31, 2017 and 2016, the Company recorded PIK income of $468 and $445, respectively, and received PIK payments in cash of $0 and $0, respectively.

In addition, the Company may generate revenue in the form of amendment, structuring or due diligence fees, fees for providing managerial assistance, consulting fees and prepayment premiums on loans. The Company records these fees as fee income when received. All other income is recorded into income when earned. For the three months ended December 31, 2017 and 2016, fee income included $386 and $143, respectively, of prepayment premiums, which fees are non-recurring.

For the three months ended December 31, 2017 and 2016, the Company received interest and fee income in cash, which excludes capitalized loan origination fees, of $26,780 and $19,618, respectively.

Dividend income on preferred equity securities is recorded as dividend income 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. Each distribution received from limited liability company ("LLC") and limited partnership (“LP”) investments is evaluated to determine if the distribution should be recorded as dividend income or a return of capital. Generally, the Company will not record distributions from equity investments in LLCs and LPs as dividend income unless there are sufficient accumulated tax-basis earnings and profits in the LLC or LP prior to the distribution. Distributions that are classified as a return of capital are recorded as a reduction in the amortized cost basis of the investment. For the three months ended December 31, 2017, the Company recorded dividend income of $1,132 and return of capital distributions of $217. For the three months ended December 31, 2016, the Company recorded dividend income of $422 and return of capital distributions of $46.

Investment transactions are accounted for on a trade-date basis. Realized gains or losses on investments are measured by the difference between the net proceeds from the disposition and the amortized cost basis of investment, without regard to unrealized gains or losses previously recognized. The Company reports current period changes in fair value of investments that are measured at fair value as a component of the net change in unrealized appreciation (depreciation) on investments and foreign currency translation in the Consolidated Statements of Operations.

Non-accrual loans: A loan may be left on accrual status during the period the Company is pursuing repayment of the loan. Management reviews all loans that become 90 days or more past due on principal and interest, or when there is reasonable doubt that principal or interest will be collected, for possible placement on non-accrual status. When a loan is placed on non-accrual status, unpaid interest credited to income is reversed. Additionally, any original issue discount and market discount are no longer accreted to interest income as of the date the loan is placed on non-accrual status. Interest payments received on non-accrual loans may be recognized as income or applied to

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)

principal depending upon management’s judgment. Non-accrual loans are restored to accrual status when past due principal and interest is paid and, in management’s judgment, payments are likely to remain current. The total fair value of non-accrual loans was $25 and $311 as of December 31, 2017 and September 30, 2017, respectively.

Income taxes: The Company has elected to be treated as a RIC under Subchapter M of the Code and operates in a manner so as to qualify for the tax treatment applicable to RICs. In order to qualify and be subject to tax as a RIC, among other things, the Company is required to meet certain source of income and asset diversification requirements and timely distribute dividends for U.S. federal income tax purposes to its stockholders of an amount generally at least equal to 90% of its investment company taxable income, as defined by the Code and determined without regard to any deduction for dividends paid, for each tax year. The Company has made, and intends to continue to make, the requisite distributions to its stockholders, which will generally relieve the Company from U.S. federal income taxes with respect to all income distributed to its stockholders.

Depending on the level of taxable income earned in a tax year, the Company may choose to retain taxable income in excess of current year dividend distributions and would distribute such taxable income in the next tax year. The Company may then be required to incur a 4% excise tax on such income. To the extent that the Company determines that its estimated current year annual taxable income, determined on a calendar year basis, could exceed estimated current calendar year dividend distributions, the Company accrues excise tax, if any, on estimated excess taxable income as taxable income is earned. For the three months ended December 31, 2017 and 2016, no amount was incurred for U.S. federal excise tax.

The Company accounts for income taxes in conformity with ASC Topic 740 - Income Taxes (“ASC Topic 740”). ASC Topic 740 provides guidelines for how uncertain tax positions should be recognized, measured, presented and disclosed in financial statements. ASC Topic 740 requires the evaluation of tax positions taken in the course of preparing the Company’s tax returns to determine whether the tax positions are “more-likely-than-not” to be sustained by the applicable tax authority. Tax benefits of positions not deemed to meet the more-likely-than-not threshold would be recorded as a tax expense or tax benefit in the current year. It is the Company’s policy to recognize accrued interest and penalties related to uncertain tax benefits in income tax expense. There were no material unrecognized tax benefits or unrecognized tax liabilities related to uncertain income tax positions through December 31, 2017. The Company's tax returns for the 2014 through 2016 tax years remain subject to examination by U.S. federal and most state tax authorities.

Distributions: Distributions to common stockholders are recorded on the record date. Subject to the discretion of and as determined by the Board, the Company intends to authorize and declare ordinary cash distributions based on a formula approved by the Board on a quarterly basis. The amount to be paid out as a dividend or distribution is determined by the Board each quarter and is generally based upon the earnings estimated by management. Net realized capital gains, if any, are distributed at least annually, although the Company may decide to retain such capital gains for investment.

The Company has adopted a dividend reinvestment plan (“DRIP”) that provides for reinvestment of any distributions the Company declares in cash on behalf of its stockholders, unless a stockholder elects to receive cash. As a result, if the Board authorizes and the Company declares a cash distribution, then stockholders who have not “opted out” of the DRIP will have their cash distribution automatically reinvested in additional shares of the Company’s common stock, rather than receiving the cash distribution. Shares issued under the DRIP will be issued at a price per share equal to the most recent net asset value (“NAV”) per share as determined by the Board (subject to adjustment to the extent required by Section 23 of the 1940 Act).

Deferred debt issuance costs: Deferred debt issuance costs represent fees and other direct incremental costs incurred in connection with the Company’s borrowings. As of December 31, 2017 and September 30, 2017, the Company had deferred debt issuance costs of $2,129 and $2,671, respectively. These amounts are amortized and included in interest expense in the Consolidated Statements of Operations over the estimated average life of the borrowings. Amortization expense for the three months ended December 31, 2017 and 2016 was $553 and $899, respectively.

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)

Recent accounting pronouncements: In November 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash a consensus of FASB Emerging Issues Task Force, which requires that a statement of cash flows explain the change during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents. This guidance is effective for annual reporting periods, and the interim periods within those periods, beginning after December 15, 2017. The Company adopted the ASU, which did not have a material impact on the Company’s consolidated financial statements. Prior to adoption, the Company presented the change in restricted cash and cash equivalents separately as a cash flow from investing activity. Upon adoption, the Company included the restricted cash and cash equivalents in each of the balances of the cash, cash equivalents and restricted cash and cash equivalents at the beginning of and end of periods and included the change in restricted cash and cash equivalents as part of the net change in cash, cash equivalents and restricted cash and cash equivalents in the Consolidated Statements of Cash Flows and retrospectively restated the three months ended December 31, 2016.

Note 3. Stockholders’ Equity

GCIC is authorized to issue 1,000,000 shares of preferred stock at a par value of $0.001 per share and 100,000,000 shares of common stock at a par value of $0.001 per share. Since the commencement of operations on December 31, 2014, GCIC has entered into subscription agreements (collectively, the “Subscription Agreements”) with several investors, including with affiliates of the Investment Adviser, providing for the private placement of GCIC’s common stock. Under the terms of the Subscription Agreements, investors are required to fund drawdowns to purchase GCIC’s common stock, at a price per share equal to the most recent NAV per share as determined by the Board (subject to adjustment to the extent required by Section 23 of the 1940 Act), up to the amount of their respective capital subscriptions on an as-needed basis as determined by GCIC with a minimum of 10 calendar days prior notice.

As of December 31, 2017 and September 30, 2017, GCIC had the following subscriptions, pursuant to the Subscription Agreements, and contributions from its stockholders:



	As of December 31, 2017				As of September 30, 2017
	Subscriptions		Contributions		Subscriptions		Contributions
GCIC Stockholders	$	1,301,643	$	749,353	$	1,301,643	$	716,004
Total	$	1,301,643	$	749,353	$	1,301,643	$	716,004

As of December 31, 2017 and September 30, 2017, the ratio of total contributed capital to total capital subscriptions was 57.6% and 55.0%, respectively, and GCIC had uncalled capital commitments of $552,290 and $585,639, respectively. The Investment Adviser has determined not all remaining undrawn commitments to purchase GCIC’s common stock will be drawn prior to a public offering by GCIC or the occurrence of another liquidity event. Therefore, the Company expects to reach agreements from time to time with one or more of its investors to cancel all or a portion of their remaining undrawn commitments.

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)

The following table summarizes the shares of GCIC common stock issued and outstanding for the three months ended December 31, 2017 and 2016:



	Date	Shares Issued	NAV ($) per share		Proceeds

Shares outstanding, September 30, 2016		41,087,178.250	$	15.00	$	616,307
Issuance of shares ⁽¹⁾	11/21/2016	355,195.794	15.00		5,329
Issuance of shares ⁽¹⁾	12/30/2016	327,120.972	15.00		4,907
Shares issued through DRIP		682,316.766	$	15.00	$	10,236
Shares outstanding, December 31, 2016		41,769,495.016	$	15.00	$	626,543

Shares outstanding, September 30, 2017		51,214,683.496	$	15.00	$	768,220
Issuance of shares	12/01/2017	2,223,285.533	15.00		33,349
Shares issued for capital drawdowns		2,223,285.533	$	15.00	$	33,349
Issuance of shares ⁽¹⁾	11/27/2017	291,564.353	15.00		4,374
Issuance of shares ⁽¹⁾	12/28/2017	393,201.972	15.00		5,898
Shares issued through DRIP		684,766.325	$	15.00	$	10,272
Shares outstanding, December 31, 2017		54,122,735.354	$	15.00	$	811,841


⁽¹⁾	Shares issued through the DRIP.

Note 4. Related Party Transactions

Investment Advisory Agreement: Under the Investment Advisory Agreement, the Investment Adviser manages the day-to-day operations of, and provides investment advisory services to, GCIC. The Board most recently reapproved the Investment Advisory Agreement in May 2017. The Investment Adviser is a registered investment adviser with the SEC. The Investment Adviser receives fees for providing services, consisting of two components, a base management fee and an Incentive Fee (as defined below).

The base management fee is calculated at an annual rate equal to the lesser of (a) 1.50% or (b) the base management fee of Golub Capital BDC, Inc. (currently 1.375%) in either case on the fair value of the average adjusted gross assets of the Company at the end of the two most recently completed calendar quarters (including assets purchased with borrowed funds and securitization-related assets, leverage and cash collateral on deposit with custodian but adjusted to exclude cash and cash equivalents and restricted cash and cash equivalents so that investors do not pay the base management fee on such assets) and is payable quarterly in arrears. The base management fee is adjusted, based on the actual number of days elapsed relative to the total number of days in such calendar quarter, for any share issuances or repurchases during such calendar quarter. For purposes of the Investment Advisory Agreement, cash equivalents means U.S. government securities and commercial paper instruments maturing within 270 days of purchase (which is different than the GAAP definition, which defines cash equivalents as U.S. government securities and commercial paper instruments maturing within 90 days of purchase). To the extent that the Investment Adviser or any of its affiliates provides investment advisory, collateral management or other similar services to a subsidiary of GCIC, the base management fee shall be reduced by an amount equal to the product of (1) the total fees paid to the Investment Adviser by such subsidiary for such services and (2) the percentage of such subsidiary’s total equity, including membership interests and any class of notes not exclusively held by one or more third parties, that is owned, directly or indirectly, by the Company. For periods prior to the earlier of (1) the date of the pricing of an initial public offering or listing on a national securities exchange of the securities of GCIC or (2) a sale of all or substantially all of the Company’s assets to, or other liquidity event with, an entity for consideration of publicly listed securities of the acquirer (each, a “Liquidity Event”), the Investment Adviser has irrevocably agreed to waive any base management fee in excess of 1.00% of the fair value of the Company’s average adjusted gross assets as calculated in accordance with the Investment Advisory Agreement and as described above. For the three months ended December 31, 2017 and 2016, the base management fees irrevocably waived by the Investment Adviser were $1,360 and $1,035, respectively.

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)

The Incentive Fee consists of three parts: the income component (the “Income Incentive Fee”), the capital gains component (the “Capital Gain Incentive Fee”) and the subordinated liquidation incentive component (the “Subordinated Liquidation Incentive Fee” and, together with the Income Incentive Fee and the Capital Gain Incentive Fee, the “Incentive Fee”).

The Income Incentive Fee is calculated quarterly in arrears based on Pre-Incentive Fee Net Investment Income for the immediately preceding calendar quarter. “Pre-Incentive Fee Net Investment Income” means interest income, dividend income and any other income (including any other fees such as commitment, origination, structuring, diligence and consulting fees or other fees that the Company receives from portfolio companies but excluding fees for providing managerial assistance) accrued during the calendar quarter, minus operating expenses for the calendar quarter (including the base management fee, taxes, any expenses payable under the Investment Advisory Agreement and the Administration Agreement, any expenses of securitizations and any interest expense and dividends paid on any outstanding preferred stock, but excluding the Incentive Fee). Pre-Incentive Fee Net Investment Income includes, in the case of investments with a deferred interest feature such as market discount, debt instruments with PIK interest, preferred stock with PIK dividends and zero coupon securities, accrued income that the Company has not yet received in cash.

Pre-Incentive Fee Net Investment Income does not include any realized capital gains, realized capital losses or unrealized capital appreciation or depreciation. Because of the structure of the Income Incentive Fee, it is possible that an Incentive Fee may be calculated under this formula with respect to a period in which the Company has incurred a loss. For example, if the Company receives Pre-Incentive Fee Net Investment Income in excess of the hurdle rate (as defined below) for a calendar quarter, the Income Incentive Fee will result in a positive value and an Income Incentive Fee will be paid even if the Company has incurred a loss in such period due to realized and/or unrealized capital losses unless the payment of such Income Incentive Fee would be subject to the Incentive Fee Cap defined below.

Pre-Incentive Fee Net Investment Income, expressed as a rate of return on the value of the Company’s net assets (defined as total assets less indebtedness and before taking into account any Incentive Fees payable during the period) at the end of the immediately preceding calendar quarter, is compared to a fixed “hurdle rate” of 1.5% quarterly. If market interest rates rise, the Company may be able to invest funds in debt instruments that provide for a higher return, which would increase Pre-Incentive Fee Net Investment Income and make it easier for the Investment Adviser to surpass the fixed hurdle rate and receive an Incentive Fee based on such net investment income. The Company’s Pre-Incentive Fee Net Investment Income used to calculate this part of the Incentive Fee is also included in the amount of its total assets (excluding cash and cash equivalents but including assets purchased with borrowed funds and leverage) used to calculate the base management fee annual rate.

The Company calculates the Income Incentive Fee with respect to its Pre-Incentive Fee Net Investment Income quarterly, in arrears, as follows:


•	Zero in any calendar quarter in which the Pre-Incentive Fee Net Investment Income does not exceed the hurdle rate;

•

50.0% of the Company’s Pre-Incentive Fee Net Investment Income with respect to that portion of such Pre-Incentive Fee Net Investment Income, if any, that exceeds the hurdle rate but is less than the percentage at which the amount payable to the Investment Adviser equals 20.0% of the Pre-Incentive Fee Net Investment Income as if a hurdle rate did not apply. This portion of the Company’s Pre-Incentive Fee Net Investment Income that exceeds the hurdle rate is referred to as the “catch-up” provision; and


•	20.0% of the amount of the Company’s Pre-Incentive Fee Net Investment Income, if any, that exceeds the catch-up provision in any calendar quarter.

The sum of these calculations yields the Income Incentive Fee. This amount is appropriately adjusted for any share issuances or repurchases during the quarter. For the three months ended December 31, 2017 and 2016, the Income Incentive Fee incurred was $3,651 and $2,046, respectively.

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)

For periods prior to a Liquidity Event, the Investment Adviser has irrevocably agreed to waive the Income Incentive fee calculated under the Investment Advisory Agreement in amounts in excess of the following amounts (computed on a quarterly basis, in arrears):


•	zero in any calendar quarter in which the Pre-Incentive Fee Net Investment Income does not exceed the hurdle rate;

•

50.0% of the Company’s Pre-Incentive Fee Net Investment Income with respect to that portion of such Pre-Incentive Fee Net Investment Income, if any, that exceeds the hurdle rate but is less than the percentage at which the amount payable to the Investment Adviser equals to 15.0% of the Pre-Incentive Fee Net Investment Income as if a hurdle rate did not apply. This portion of the Company’s Pre-Incentive Fee Net Investment Income that exceeds the hurdle rate is referred to as the “catch-up” provision; and


•	15.0% of the amount of the Company’s Pre-Incentive Fee Net Investment Income, if any, that exceeds the catch-up provision in any calendar quarter.

For the three months ended December 31, 2017 and 2016, the Income Incentive Fees irrevocably waived by the Investment Adviser were $798 and $16, respectively.

The second part of the Incentive Fee, the Capital Gain Incentive Fee, equals (a) 20.0% of the Company’s Capital Gain Incentive Fee Base (as defined below), if any, calculated in arrears as of the end of each calendar year (or upon termination of the Investment Advisory Agreement, as of the termination date), commencing with the calendar year ending December 31, 2015, less (b) the aggregate amount of any previously paid Capital Gain Incentive Fees. The Company’s “Capital Gain Incentive Fee Base” equals (1) the sum of (i) realized capital gains, if any, on a cumulative positive basis from December 31, 2014, the date the Company elected to become a BDC, through the end of each calendar year, (ii) all realized capital losses on a cumulative basis and (iii) all unrealized capital depreciation on a cumulative basis less (2) all unamortized deferred financing costs, if and to the extent such costs exceed all unrealized capital appreciation on a cumulative basis.


•	The cumulative aggregate realized capital losses are calculated as the sum of the amounts by which (a) the net sales price of each investment in the Company’s portfolio when sold is less than (b) the accreted or amortized cost basis of such investment.


•	The cumulative aggregate realized capital gains are calculated as the sum of the differences, if positive, between (a) the net sales price of each investment in the Company’s portfolio when sold and (b) the accreted or amortized cost basis of such investment.


•	The aggregate unrealized capital depreciation is calculated as the sum of the differences, if negative, between (a) the valuation of each investment in the Company’s portfolio as of the applicable Capital Gain Incentive Fee calculation date and (b) the accreted or amortized cost basis of such investment.

The Capital Gain Incentive Fee is calculated on a cumulative basis from December 31, 2014 through the end of each calendar year. Prior to the closing of a Liquidity Event, the Investment Adviser has agreed to waive that portion of the Capital Gain Incentive Fee, calculated as described above, in excess of 15.0% of the Capital Gain Incentive Fee Base, provided that any amounts so waived shall be deemed to have been paid to the Investment Adviser for purposes of determining the Capital Gain Incentive Fee payable after the closing of a public offering.

There was no Capital Gain Incentive Fee as calculated under the Investment Advisory Agreement (as described above) payable for the three months ended December 31, 2017 and 2016. However, in accordance with GAAP, the Company is required to include the aggregate unrealized capital appreciation on investments in the calculation and accrue a capital gain incentive fee on a quarterly basis, as if such unrealized capital appreciation were realized, even though such unrealized capital appreciation is not permitted to be considered in calculating the fee actually payable under the Investment Advisory Agreement. If the Capital Gain Incentive Fee Base, adjusted as required by GAAP to include unrealized appreciation, is positive at the end of a period, then GAAP requires the Company to accrue a capital gain incentive fee equal to 15.0% prior to a Liquidity Event (20.0% following a Liquidity Event) of such amount, less the aggregate amount of the actual Capital Gain Incentive Fees paid and capital gain incentive fees accrued under GAAP in all prior periods. If such amount is negative, then there is no accrual for such period. The resulting accrual under GAAP in a given period may result in additional expense if such cumulative amount is

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)

greater than in the prior period or a reversal of previously recorded expense if such cumulative amount is less than in the prior period. There can be no assurance that such unrealized capital appreciation will be realized in the future. For the three months ended December 31, 2017 and 2016, the Company accrued a capital gain incentive fee under GAAP of $385 and $698 respectively, which are included in incentive fee in the Consolidated Statements of Operations. As of December 31, 2017 and September 30, 2017, included in management and incentive fees payable on the Consolidated Statements of Financial Condition were $2,056 and $1,671, respectively, for accruals for capital gain incentive fees under GAAP, none of which were payable pursuant to the Investment Advisory Agreement.

The third part of the Incentive Fee, the Subordinated Liquidation Incentive Fee, equals 20.0% of the net proceeds from a liquidation of the Company in excess of adjusted capital, as calculated immediately prior to liquidation; subject, however, to the limit of cumulative Incentive Fees of all types not exceeding the Incentive Fee Cap (as defined below). For purposes of this calculation, “liquidation” will include any merger of the Company with another entity or the acquisition of all or substantially all of the shares of common stock of GCIC in a single or series of related transactions. The Investment Advisory Agreement provides that no Subordinated Liquidation Incentive Fee shall be payable for any liquidation that occurs more than six months after the date of a public offering of securities of GCIC. For periods prior to the closing of a Liquidity Event, the Investment Adviser has agreed to waive that portion of the Subordinated Liquidation Incentive Fee in excess of 10.0% of the net proceeds from liquidation in excess of adjusted capital, as calculated immediately prior to liquidation.

The Company has structured the calculation of the Incentive Fee to include a fee limitation such that an Incentive Fee for any quarter can only be paid to the Investment Adviser if, after such payment, the cumulative Incentive Fees paid to the Investment Adviser since December 31, 2014, would be less than or equal to 20.0% of the Company’s Cumulative Pre-Incentive Fee Net Income (the “Incentive Fee Cap”). Cumulative Pre-Incentive Fee Net Income is equal to the sum of (a) Pre-Incentive Fee Net Investment Income for each period from December 31, 2014 and (b) cumulative aggregate realized capital gains, cumulative aggregate realized capital losses, cumulative aggregate unrealized capital depreciation and cumulative aggregate unrealized capital appreciation from December 31, 2014. For periods prior to a Liquidity Event, the Investment Adviser has agreed to irrevocably waive any Incentive Fee payable in excess of 15.0% of the Company’s Cumulative Pre-Incentive Fee Net Income; provided that any amounts so waived shall be deemed to have been paid to the Investment Adviser for purposes of the Incentive Fee Cap after the closing of such Liquidity Event.

The sum of the Income Incentive Fee, the Capital Gain Incentive Fee and the Subordinated Liquidation Incentive Fee is the Incentive Fee. The Company will deposit one-third of each Incentive Fee payment into an escrow account (the “Escrow Account”) administered by The Bank of New York Mellon (the “Escrow Agent”). Assets in the Escrow Account will be held by the Escrow Agent until the closing of a Liquidity Event at which time the Escrow Agent will release the assets to the Investment Adviser. If no Liquidity Event occurs prior to December 31, 2020, the Escrow Agent will return all assets in the Escrow Account to the Company for the benefit of its stockholders. For the three months ended December 31, 2017 and 2016, the Company deposited $836 and $624, respectively, into the Escrow Account. As of December 31, 2017, the Company has made deposits totaling $5,014 into the Escrow Account.

Administration Agreement: Under the Administration Agreement, the Administrator furnishes the Company with office facilities and equipment, provides the Company with clerical, bookkeeping and record keeping services at such facilities and provides the Company with other administrative services as the Administrator, subject to review by the Board, determines necessary to conduct the Company’s day-to-day operations. GCIC reimburses the Administrator the allocable portion (subject to the review and approval of the Board) of overhead and other expenses incurred by it in performing its obligations under the Administration Agreement, including rent, fees and expenses associated with performing compliance functions and GCIC’s allocable portion of the cost of its chief financial officer and chief compliance officer and their respective staffs. The Board reviews such expenses to determine that these expenses are reasonable and comparable to administrative services charged by unaffiliated third party asset managers. Under the Administration Agreement, the Administrator also provides, on the Company’s behalf, managerial assistance to those portfolio companies to which the Company is required to provide such assistance and will be paid an additional amount based on the cost of the services provided, which amount shall not exceed the amount the Company receives from such portfolio companies.

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)

Included in accounts payable and accrued expenses is $495 and $449 as of December 31, 2017 and September 30, 2017, respectively, for accrued allocated shared services under the Administration Agreement.

Other related party transactions: The Company agreed to reimburse the Investment Adviser for the organization and offering costs incurred on its behalf up to an aggregate amount of $700. Organization and offering costs include, among other things, the cost of incorporating the Company, including legal, accounting, regulatory filing and other fees pertaining to the Company’s organization, as well as expenses for the registration and offering of shares of GCIC common stock that were paid by the Investment Adviser on behalf of the Company. As of December 31, 2017 and September 30, 2017, the organization and offering costs incurred by the Company totaled $700 and $700, respectively.

The Administrator pays for certain unaffiliated third-party expenses incurred by the Company. Such expenses include postage, printing, office supplies, rating agency fees and professional fees. These expenses are not marked-up and represent the same amount the Company would have paid had the Company paid the expenses directly. These expenses are subsequently reimbursed in cash.

Total expenses reimbursed to the Administrator during the three months ended December 31, 2017 and 2016 were $461 and $262, respectively.

As of December 31, 2017 and September 30, 2017, included in accounts payable and accrued expenses were $850 and $461, respectively, for accrued expenses paid on behalf of the Company by the Administrator.

During the three months ended December 31, 2017 and 2016, the Company sold $22,756 and $23,733, respectively, of investments and unfunded commitments to GCIC SLF at fair value and recognized $195 and $197, respectively, of net realized gains.

On December 30, 2014, the Investment Adviser transferred 666.670 shares of the Company’s common stock acquired in connection with the Company’s formation to GCOP LLC, an affiliate of the Investment Adviser, for $10. In addition, on December 31, 2014, GCOP LLC entered into a $15,000 subscription agreement to purchase shares of the Company’s common stock in a private placement. As of December 31, 2017, the Company has issued 1,004,905.973 shares of its common stock, including through the DRIP, to GCOP LLC in exchange for aggregate capital contributions totaling $15,074.

On December 31, 2014, GEMS Fund, L.P. ("GEMS") entered into a $40,000 subscription agreement to purchase shares of the Company’s common stock in a private placement. In connection with the Company’s acquisition of GCIC Holdings and GCIC Funding from GEMS on December 31, 2014, the Company issued 2,666,666.667 shares of its common stock and entered into an $11,820 short-term unsecured promissory note with GEMS (“GEMS Note”) that matured and was paid-off on March 2, 2015. As of December 31, 2017, the Company has issued 3,380,090.639 shares of its common stock, including through the DRIP, to GEMS in exchange for aggregate capital contributions totaling $50,701.

On February 3, 2015, the Company entered into an unsecured revolving credit facility with the Investment Adviser (the “Revolver”) with a maximum credit limit of $40,000 and expiration date of February 3, 2018. Refer to Note 7 for discussion of the Revolver.

On June 1, 2015, GEMS Fund 4, L.P, a Delaware limited partnership whose general partner is controlled by the Investment Adviser, entered into a subscription agreement, which was subsequently increased to $33,677, to purchase shares of the Company’s common stock in a private placement. As of December 31, 2017, the Company has issued 1,394,954.998 shares of its common stock to GEMS Fund 4, L.P in exchange for aggregate capital contributions totaling $20,924.

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)

During the three months ended December 31, 2017 and 2016, GCIC SLF incurred an administrative service fee of $54 and $55, respectively, to reimburse the Administrator for expenses pursuant to an administrative and loan services agreement by and between GCIC SLF and the Administrator.

Note 5. Investments

Investments as of December 31, 2017 and September 30, 2017 consisted of the following:



	As of December 31, 2017						As of September 30, 2017
	Principal		Amortized Cost		Fair Value		Principal		Amortized Cost		Fair Value
Senior secured	$	174,397	$	172,417	$	172,455	$	167,646	$	165,642	$	165,620
One stop	1,269,800		1,252,506		1,261,992		1,169,007		1,152,979		1,161,275
Subordinated debt	56		56		56		55		55		55
LLC equity interests in GCIC SLF⁽¹⁾	N/A		55,312		56,361		N/A		49,800		50,104
Equity	N/A		18,855		22,285		N/A		17,733		20,647
Total	$	1,444,253	$	1,499,146	$	1,513,149	$	1,336,708	$	1,386,209	$	1,397,701


⁽¹⁾	GCIC SLF’s proceeds from the LLC equity interests invested in GCIC SLF were utilized by GCIC SLF to invest in senior secured loans.

The following tables show the portfolio composition by geographic region at amortized cost and fair value as a percentage of total investments in portfolio companies. The geographic composition is determined by the location of the corporate headquarters of the portfolio company, which may not be indicative of the primary source of the portfolio company’s business.



	As of December 31, 2017				As of September 30, 2017
Amortized Cost:
United States
Mid-Atlantic	$	277,168	18.5	%	$	248,290	17.9	%
Midwest	328,023		21.9		358,990		25.9
West	212,701		14.2		181,740		13.1
Southeast	308,614		20.6		286,057		20.6
Southwest	140,376		9.4		122,242		8.8
Northeast	200,214		13.3		156,817		11.3
Canada	32,050		2.1		32,073		2.4
Total	$	1,499,146	100.0	%	$	1,386,209	100.0	%

Fair Value:
United States
Mid-Atlantic	$	281,837	18.6	%	$	251,278	18.0	%
Midwest	327,206		21.6		358,219		25.6
West	214,990		14.2		184,438		13.2
Southeast	310,935		20.5		288,780		20.7
Southwest	141,605		9.4		122,670		8.8
Northeast	203,988		13.5		159,684		11.4
Canada	32,588		2.2		32,632		2.3
Total	$	1,513,149	100.0	%	$	1,397,701	100.0	%

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)

The industry compositions of the portfolio at amortized cost and fair value as of December 31, 2017 and September 30, 2017 were as follows:



	As of December 31, 2017				As of September 30, 2017
Amortized Cost:
Aerospace and Defense	$	20,276	1.3	%	$	22,539	1.6	%
Automobile	44,958		3.0		58,138		4.2
Beverage, Food and Tobacco	73,333		4.9		69,045		5.0
Broadcasting and Entertainment	686		0.0	*	688		0.0	*
Buildings and Real Estate	49,067		3.3		49,135		3.6
Chemicals, Plastics and Rubber	1,082		0.1		1,075		0.1
Diversified/Conglomerate Manufacturing	44,573		3.0		44,499		3.2
Diversified/Conglomerate Service	343,917		22.9		285,360		20.6
Ecological	18,855		1.3		18,304		1.3
Electronics	127,146		8.5		123,756		8.9
Grocery	121		0.0	*	123		0.0	*
Healthcare, Education and Childcare	295,004		19.7		270,217		19.5
Home and Office Furnishings, Housewares, and Durable Consumer	9,751		0.6		10,187		0.7
Hotels, Motels, Inns, and Gaming	5,009		0.3		11,138		0.8
Insurance	46,379		3.1		32,050		2.3
Investment Funds and Vehicles	55,312		3.7		49,800		3.6
Leisure, Amusement, Motion Pictures, Entertainment	52,075		3.5		52,209		3.8
Mining, Steel, Iron and Non-Precious Metals	199		0.0	*	208		0.0	*
Oil and Gas	26,347		1.8		16,948		1.2
Personal and Non Durable Consumer Products (Mfg. Only)	29,440		2.0		29,474		2.1
Personal, Food and Miscellaneous Services	114,218		7.6		98,161		7.1
Printing and Publishing	20,929		1.4		20,899		1.5
Retail Stores	104,848		7.0		106,377		7.7
Telecommunications	6,935		0.5		7,189		0.5
Textiles and Leather	1,896		0.1		1,898		0.2
Utilities	6,790		0.4		6,792		0.5
Total	$	1,499,146	100.0	%	$	1,386,209	100.0	%

* Represents an amount less than 0.1%

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)



	As of December 31, 2017				As of September 30, 2017
Fair Value:
Aerospace and Defense	$	20,545	1.4	%	$	22,970	1.7	%
Automobile	45,200		3.0		58,724		4.2
Beverage, Food and Tobacco	74,039		4.9		69,322		5.0
Broadcasting and Entertainment	694		0.0	*	694		0.1
Buildings and Real Estate	49,664		3.3		49,333		3.5
Chemicals, Plastics and Rubber	1,104		0.1		1,099		0.1
Diversified/Conglomerate Manufacturing	43,340		2.9		43,639		3.1
Diversified/Conglomerate Service	348,741		23.0		289,884		20.7
Ecological	19,223		1.3		18,700		1.3
Electronics	129,006		8.5		125,426		9.0
Grocery	122		0.0	*	124		0.0	*
Healthcare, Education and Childcare	295,906		19.6		271,283		19.4
Home and Office Furnishings, Housewares, and Durable Consumer	8,941		0.6		9,293		0.7
Hotels, Motels, Inns, and Gaming	5,094		0.3		11,345		0.8
Insurance	46,989		3.1		32,706		2.4
Investment Funds and Vehicles	56,361		3.7		50,104		3.6
Leisure, Amusement, Motion Pictures and Entertainment	52,549		3.5		52,466		3.8
Mining, Steel, Iron and Non-Precious Metals	175		0.0	*	160		0.0	*
Oil and Gas	26,299		1.7		16,919		1.2
Personal and Non-Durable Consumer Products (Mfg. Only)	29,585		2.0		29,624		2.1
Personal, Food and Miscellaneous Services	115,553		7.6		98,359		7.0
Printing and Publishing	21,339		1.4		21,385		1.5
Retail Stores	106,722		7.0		107,958		7.7
Telecommunications	7,034		0.5		7,278		0.5
Textiles and Leather	1,887		0.1		1,932		0.1
Utilities	7,037		0.5		6,974		0.5
Total	$	1,513,149	100.0	%	$	1,397,701	100.0	%

* Represents an amount less than 0.1%.

GCIC Senior Loan Fund LLC:

The Company co-invests with Aurora, a wholly-owned subsidiary of RGA Reinsurance Company, in senior secured loans through GCIC SLF, an unconsolidated Delaware LLC. GCIC SLF is capitalized as transactions are completed and all portfolio and investment decisions in respect of GCIC SLF must be approved by the GCIC SLF investment committee consisting of two representatives of each of the Company and Aurora (with unanimous approval required from (i) one representative of each of the Company and Aurora or (ii) both representatives of each of the Company and Aurora). GCIC SLF may cease making new investments upon notification of either member but operations will continue until all investments have been sold or paid-off in the normal course of business. Investments held by GCIC SLF are measured at fair value by GCIC SLF using the same valuation methodologies as described in Note 6.

As of December 31, 2017, GCIC SLF was capitalized by LLC equity interest subscriptions from its members. On December 14, 2016, the GCIC SLF investment committee approved the recapitalization of the commitments of GCIC SLF's members. On December 30, 2016, GCIC SLF’s members entered into additional LLC equity interest subscriptions totaling $100,000, GCIC SLF issued capital calls to the Company and Aurora totaling $39,905 and the subordinated notes previously issued by GCIC SLF were redeemed and terminated. As of December 31, 2017 and September 30, 2017, the Company and Aurora owned 87.5% and 12.5%, respectively, of the LLC equity interests of GCIC SLF. GCIC SLF’s profits and losses are allocated to the Company and Aurora in accordance with their respective ownership interests.

GCIC SLF has entered into a senior secured revolving credit facility (as amended, the “GCIC SLF Credit Facility”) with Wells Fargo Bank, N.A. through its wholly-owned subsidiary GCIC Senior Loan Fund II LLC (“GCIC SLF II”), which as of December 31, 2017 allowed GCIC SLF II to borrow up to $150,000 at any one time outstanding, subject to leverage and borrowing base restrictions.

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)

As of December 31, 2017 and September 30, 2017, GCIC SLF had the following commitments from its members (in the aggregate):



	As of December 31, 2017				As of September 30, 2017
	Committed		Funded⁽¹⁾		Committed		Funded⁽¹⁾
LLC equity commitments	$	125,000	$	63,214	$	125,000	$	56,914
Total	$	125,000	$	63,214	$	125,000	$	56,914


⁽¹⁾	Funded LLC equity commitments are presented net of return of capital distributions subject to recall.

As of December 31, 2017 and September 30, 2017, GCIC SLF had total assets at fair value of $177,039 and $164,551, respectively. As of December 31, 2017 and September 30, 2017, GCIC SLF did not have any investments on non-accrual status. The portfolio companies in GCIC SLF are in industries and geographies similar to those in which the Company may invest directly. Additionally, as of December 31, 2017 and September 30, 2017, GCIC SLF had commitments to fund various undrawn revolvers and delayed draw investments to its portfolio companies totaling $14,026 and $10,020 respectively.

Below is a summary of GCIC SLF’s portfolio, followed by a listing of the individual investments in GCIC SLF’s portfolio as of December 31, 2017 and September 30, 2017:



	As of			As of
	December 31, 2017			September 30, 2017
Senior secured loans⁽¹⁾	$	174,708		$	162,815
Weighted average current interest rate on senior secured loans⁽²⁾	6.8		%	6.4		%
Number of borrowers in GCIC SLF	40			40
Largest portfolio company investments⁽¹⁾	$	8,904		$	8,928
Total of five largest portfolio company investments⁽¹⁾	$	39,415		$	39,540


⁽¹⁾	At principal amount.


⁽²⁾	Computed as the (a) annual stated interest rate on accruing senior secured loans divided by (b) total senior secured loans at principal amount.

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)



GCIC SLF Investment Portfolio as of December 31, 2017
Portfolio Company	Business Description	Security Type	Maturity Date	Current Interest Rate⁽¹⁾	Principal ($)		Fair Value⁽²⁾
1A Smart Start LLC	Home and Office Furnishings, Housewares, and Durable Consumer	Senior loan	02/2022	6.4%	$	1,348	$	1,354
1A Smart Start LLC⁽³⁾	Home and Office Furnishings, Housewares, and Durable Consumer	Senior loan	02/2022	6.2	598		599
Aimbridge Hospitality, LLC⁽³⁾	Hotels, Motels, Inns, and Gaming	Senior loan	06/2022	7.1	5,985		5,985
Aimbridge Hospitality, LLC⁽³⁾	Hotels, Motels, Inns, and Gaming	Senior loan	06/2022	7.1	239		239
Argon Medical Devices, Inc.	Healthcare, Education and Childcare	Senior loan	12/2021	6.3	2,816		2,816
Boot Barn, Inc.	Retail Stores	Senior loan	06/2021	6.2	5,285		5,285
Brandmuscle, Inc.	Printing and Publishing	Senior loan	12/2021	6.4	4,023		4,019
CLP Healthcare Services, Inc.	Healthcare, Education and Childcare	Senior loan	12/2020	6.9	2,044		2,003
CLP Healthcare Services, Inc.	Healthcare, Education and Childcare	Senior loan	12/2020	6.9	1,030		1,009
Community Veterinary Partners, LLC	Personal, Food and Miscellaneous Services	Senior loan	10/2021	7.2	2,090		2,090
Community Veterinary Partners, LLC	Personal, Food and Miscellaneous Services	Senior loan	10/2021	7.2	1,051		1,051
Community Veterinary Partners, LLC	Personal, Food and Miscellaneous Services	Senior loan	10/2021	7.2	59		59
Community Veterinary Partners, LLC	Personal, Food and Miscellaneous Services	Senior loan	10/2021	7.2	40		40
Curo Health Services LLC⁽³⁾	Healthcare, Education and Childcare	Senior loan	02/2022	5.4	4,863		4,867
Elite Sportswear, L.P.	Retail Stores	Senior loan	03/2020	6.9	3,086		3,092
Elite Sportswear, L.P.	Retail Stores	Senior loan	03/2020	6.7	1,241		1,235
Elite Sportswear, L.P.	Retail Stores	Senior loan	03/2020	6.9	638		640
Elite Sportswear, L.P.	Retail Stores	Senior loan	03/2020	6.6	217		218
Elite Sportswear, L.P.	Retail Stores	Senior loan	03/2020	6.9	97		97
Elite Sportswear, L.P.	Retail Stores	Senior loan	03/2020	6.6	93		93
Elite Sportswear, L.P.⁽⁴⁾	Retail Stores	Senior loan	03/2020	N/A⁽⁵⁾	—		(2		)
Encore GC Acquisition, LLC	Healthcare, Education and Childcare	Senior loan	01/2020	7.2	2,103		2,103
Flexan, LLC	Chemicals, Plastics and Rubber	Senior loan	02/2020	7.4	2,683		2,683
Flexan, LLC	Chemicals, Plastics and Rubber	Senior loan	02/2020	7.4	745		745
Flexan, LLC⁽³⁾	Chemicals, Plastics and Rubber	Senior loan	02/2020	9.0	125		125
G & H Wire Company, Inc⁽³⁾	Healthcare, Education and Childcare	Senior loan	09/2023	7.2	5,985		5,985
Gamma Technologies, LLC⁽³⁾	Electronics	Senior loan	06/2021	6.3	4,400		4,400
III US Holdings, LLC	Diversified/Conglomerate Service	Senior loan	09/2022	8.2	4,989		4,989
Jensen Hughes, Inc.	Buildings and Real Estate	Senior loan	12/2021	6.4	1,973		1,973
Jensen Hughes, Inc.	Buildings and Real Estate	Senior loan	12/2021	6.6	103		103
Jensen Hughes, Inc.	Buildings and Real Estate	Senior loan	12/2021	6.6	55		55
Mills Fleet Farm Group LLC⁽³⁾	Retail Stores	Senior loan	02/2022	7.1	6,000		6,000
Park Place Technologies LLC⁽³⁾	Electronics	Senior loan	06/2022	6.7	5,992		5,992
Pasternack Enterprises, Inc. and Fairview Microwave, Inc	Diversified/Conglomerate Manufacturing	Senior loan	05/2022	6.6	5,001		5,001
Polk Acquisition Corp.⁽³⁾	Automobile	Senior loan	06/2022	6.6	8,276		8,110
Polk Acquisition Corp.	Automobile	Senior loan	06/2022	6.9	80		78
Polk Acquisition Corp.	Automobile	Senior loan	06/2022	6.6	53		52
PowerPlan Holdings, Inc.⁽³⁾	Utilities	Senior loan	02/2022	6.8	7,126		7,126
Premise Health Holding Corp. ⁽³⁾	Healthcare, Education and Childcare	Senior loan	06/2020	6.2	5,910		5,910
Pyramid Healthcare, Inc.	Healthcare, Education and Childcare	Senior loan	08/2019	8.1	2,470		2,470
Pyramid Healthcare, Inc.	Healthcare, Education and Childcare	Senior loan	08/2019	8.1	167		167
Pyramid Healthcare, Inc.	Healthcare, Education and Childcare	Senior loan	08/2019	8.1	149		149
Pyramid Healthcare, Inc.	Healthcare, Education and Childcare	Senior loan	08/2019	9.8	27		27
Radiology Partners, Inc.⁽³⁾	Healthcare, Education and Childcare	Senior loan	12/2023	7.6	8,097		8,016
Radiology Partners, Inc.⁽³⁾⁽⁴⁾	Healthcare, Education and Childcare	Senior loan	12/2023	N/A⁽⁵⁾	—		(3		)

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)



GCIC SLF Investment Portfolio as of December 31, 2017 - (continued)
Portfolio Company	Business Description	Security Type	Maturity Date	Current Interest Rate⁽¹⁾	Principal ($)		Fair Value⁽²⁾
RSC Acquisition, Inc.⁽³⁾	Insurance	Senior loan	11/2022	6.9%	$	3,314	$	3,298
RSC Acquisition, Inc.	Insurance	Senior loan	11/2020	6.2	15		15
Rubio's Restaurants, Inc (MRCC)	Beverage, Food and Tobacco	Senior loan	11/2018	6.4	1,672		1,672
Rug Doctor LLC	Personal and Non Durable Consumer Products (Mfg. Only)	Senior loan	06/2018	6.8	1,466		1,466
Saldon Holdings, Inc.⁽³⁾	Diversified/Conglomerate Service	Senior loan	09/2022	6.0	1,958		1,958
Sarnova HC, LLC	Healthcare, Education and Childcare	Senior loan	01/2022	6.3	3,292		3,292
SEI, Inc.⁽³⁾	Electronics	Senior loan	07/2021	6.3	5,204		5,204
Self Esteem Brands, LLC⁽³⁾	Leisure, Amusement, Motion Pictures, Entertainment	Senior loan	02/2020	6.3	6,291		6,291
Severin Acquisition, LLC⁽³⁾	Diversified/Conglomerate Service	Senior loan	07/2021	6.4	7,828		7,825
Severin Acquisition, LLC	Diversified/Conglomerate Service	Senior loan	07/2021	6.6	1,076		1,080
Smashburger Finance LLC	Beverage, Food and Tobacco	Senior loan	05/2018	7.2	5,233		4,972
Smashburger Finance LLC	Beverage, Food and Tobacco	Senior loan	05/2018	7.2	413		393
Smashburger Finance LLC	Beverage, Food and Tobacco	Senior loan	05/2018	7.2	412		392
Smashburger Finance LLC	Beverage, Food and Tobacco	Senior loan	05/2018	7.2	411		391
Smashburger Finance LLC	Beverage, Food and Tobacco	Senior loan	05/2018	7.2	410		390
Smashburger Finance LLC⁽⁴⁾	Beverage, Food and Tobacco	Senior loan	05/2018	N/A⁽⁵⁾	—		(35		)
Summit Behavioral Healthcare, LLC⁽³⁾	Healthcare, Education and Childcare	Senior loan	10/2023	6.4	6,000		5,940
Summit Behavioral Healthcare, LLC ⁽³⁾	Healthcare, Education and Childcare	Senior loan	10/2023	6.4	21		20
Summit Behavioral Healthcare, LLC ⁽³⁾⁽⁴⁾	Healthcare, Education and Childcare	Senior loan	10/2023	N/A⁽⁵⁾	—		(22		)
Tate's Bake Shop, Inc.⁽³⁾	Beverage, Food and Tobacco	Senior loan	08/2019	7.9	703		698
Tate's Bake Shop, Inc.⁽⁴⁾	Beverage, Food and Tobacco	Senior loan	08/2019	N/A⁽⁵⁾	—		(1		)
Teasdale Quality Foods, Inc.	Grocery	Senior loan	10/2020	6.1	1,094		1,094
Teasdale Quality Foods, Inc.	Grocery	Senior loan	10/2020	6.4	855		855
Teasdale Quality Foods, Inc.	Grocery	Senior loan	10/2020	6.1	161		161
Teasdale Quality Foods, Inc.	Grocery	Senior loan	10/2020	6.1	59		59
Transaction Data Systems, Inc.	Diversified/Conglomerate Service	Senior loan	06/2021	6.9	3,883		3,883
Transaction Data Systems, Inc.	Diversified/Conglomerate Service	Senior loan	06/2020	6.2	11		10
Vendor Credentialing Service LLC⁽³⁾	Diversified/Conglomerate Service	Senior loan	11/2021	7.6	5,970		5,970
WHCG Management, LLC⁽³⁾	Healthcare, Education and Childcare	Senior loan	03/2023	6.4	2,196		2,196
WIRB-Copernicus Group, Inc.	Healthcare, Education and Childcare	Senior loan	08/2022	6.7	5,408		5,408
					$	174,708	$	173,920


⁽¹⁾	Represents the weighted average annual current interest rate as of December 31, 2017. All interest rates are payable in cash.


⁽²⁾	Represents the fair value in accordance with ASC Topic 820. The determination of such fair value is not included in the Board's valuation process described elsewhere herein.


⁽³⁾	The Company also holds a portion of the first lien senior secured loan in this portfolio company.


⁽⁴⁾	The negative fair value is the result of the unfunded commitment being valued below par.


⁽⁵⁾	The entire commitment was unfunded as of December 31, 2017. As such, no interest is being earned on this investment. The investment may be subject to an unused facility fee.

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)



GCIC SLF Investment Portfolio as of September 30, 2017
Portfolio Company	Business Description	Security Type	Maturity Date	Current Interest Rate⁽¹⁾		Principal ($)		Fair Value⁽²⁾
1A Smart Start LLC	Home and Office Furnishings, Housewares, and Durable Consumer	Senior loan	02/2022	6.1	%	$	1,351	$	1,358
1A Smart Start LLC	Home and Office Furnishings, Housewares, and Durable Consumer	Senior loan	02/2022	5.8		599		599
Argon Medical Devices, Inc.	Healthcare, Education and Childcare	Senior loan	12/2021	6.0		2,816		2,816
Boot Barn, Inc.	Retail Stores	Senior loan	06/2021	5.8		5,285		5,285
Brandmuscle, Inc.	Printing and Publishing	Senior loan	12/2021	6.1		4,172		4,167
CLP Healthcare Services, Inc.	Healthcare, Education and Childcare	Senior loan	12/2020	6.6		2,049		2,008
CLP Healthcare Services, Inc.	Healthcare, Education and Childcare	Senior loan	12/2020	6.6		1,033		1,012
Community Veterinary Partners, LLC	Personal, Food and Miscellaneous Services	Senior loan	10/2021	6.8		2,095		2,095
Community Veterinary Partners, LLC	Personal, Food and Miscellaneous Services	Senior loan	10/2021	6.8		1,053		1,053
Community Veterinary Partners, LLC	Personal, Food and Miscellaneous Services	Senior loan	10/2021	6.8		59		59
Community Veterinary Partners, LLC	Personal, Food and Miscellaneous Services	Senior loan	10/2021	6.8		41		41
Curo Health Services LLC ⁽³⁾	Healthcare, Education and Childcare	Senior loan	02/2022	5.3		4,875		4,890
Elite Sportswear, L.P.	Retail Stores	Senior loan	03/2020	6.6		3,093		3,100
Elite Sportswear, L.P.	Retail Stores	Senior loan	03/2020	6.3		1,244		1,239
Elite Sportswear, L.P.	Retail Stores	Senior loan	03/2020	6.6		640		641
Elite Sportswear, L.P.	Retail Stores	Senior loan	03/2020	6.6		218		218
Elite Sportswear, L.P.	Retail Stores	Senior loan	03/2020	6.6		97		97
Elite Sportswear, L.P.	Retail Stores	Senior loan	03/2020	6.5		93		93
Elite Sportswear, L.P. ⁽⁴⁾	Retail Stores	Senior loan	03/2020	N/A ⁽⁵⁾		—		(2		)
Encore GC Acquisition, LLC	Healthcare, Education and Childcare	Senior loan	01/2020	6.8		2,108		2,108
Flexan, LLC	Chemicals, Plastics and Rubber	Senior loan	02/2020	7.1		2,690		2,690
Flexan, LLC	Chemicals, Plastics and Rubber	Senior loan	02/2020	7.1		752		752
Flexan, LLC ⁽³⁾	Chemicals, Plastics and Rubber	Senior loan	02/2020	8.8		21		21
Gamma Technologies, LLC ⁽³⁾	Electronics	Senior loan	06/2021	6.0		4,411		4,411
Harvey Tool Company, LLC	Diversified/Conglomerate Manufacturing	Senior loan	03/2020	6.1		1,976		1,976
III US Holdings, LLC	Diversified/Conglomerate Service	Senior loan	09/2022	7.9		5,002		5,002
Jensen Hughes, Inc.	Buildings and Real Estate	Senior loan	12/2021	6.3		1,973		1,973
Jensen Hughes, Inc.	Buildings and Real Estate	Senior loan	12/2021	6.4		87		87
Jensen Hughes, Inc.	Buildings and Real Estate	Senior loan	12/2021	6.4		55		55
Loar Group Inc.	Aerospace and Defense	Senior loan	01/2022	6.0		1,939		1,939
Loar Group Inc.	Aerospace and Defense	Senior loan	01/2022	6.0		1,337		1,337
Mills Fleet Farm Group LLC ⁽³⁾	Retail Stores	Senior loan	02/2022	6.7		6,000		6,000
Park Place Technologies LLC ⁽³⁾	Electronics	Senior loan	06/2022	6.3		5,996		5,936
Pasternack Enterprises, Inc. and Fairview Microwave, Inc	Diversified/Conglomerate Manufacturing	Senior loan	05/2022	6.2		5,013		5,013
Polk Acquisition Corp. ⁽³⁾	Automobile	Senior loan	06/2022	6.2		8,297		8,131
Polk Acquisition Corp.	Automobile	Senior loan	06/2022	6.7		83		81
Polk Acquisition Corp.	Automobile	Senior loan	06/2022	6.2		53		52
PowerPlan Holdings, Inc. ⁽³⁾	Utilities	Senior loan	02/2022	6.5		7,126		7,126
Premise Health Holding Corp. ⁽³⁾	Healthcare, Education and Childcare	Senior loan	06/2020	5.8		5,925		5,925
Pyramid Healthcare, Inc.	Healthcare, Education and Childcare	Senior loan	08/2019	7.7		2,346		2,346
Pyramid Healthcare, Inc.	Healthcare, Education and Childcare	Senior loan	08/2019	7.9		144		144
Radiology Partners, Inc. ⁽³⁾	Healthcare, Education and Childcare	Senior loan	09/2020	7.1		7,095		7,095
Radiology Partners, Inc. ⁽³⁾	Healthcare, Education and Childcare	Senior loan	09/2020	7.1		542		542
Radiology Partners, Inc.	Healthcare, Education and Childcare	Senior loan	09/2020	7.1		460		460
RSC Acquisition, Inc. ⁽³⁾	Insurance	Senior loan	11/2022	6.6		3,323		3,323

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)



GCIC SLF Investment Portfolio as of September 30, 2017 - (continued)
Portfolio Company	Business Description	Security Type	Maturity Date	Current Interest Rate⁽¹⁾		Principal ($)		Fair Value⁽²⁾
RSC Acquisition, Inc.	Insurance	Senior loan	11/2020	6.1	%	$	15	$	15
Rubio's Restaurants, Inc.	Beverage, Food and Tobacco	Senior loan	11/2018	6.1		1,676		1,676
Rug Doctor LLC	Personal and Non Durable Consumer Products (Mfg. Only)	Senior loan	06/2018	6.6		1,501		1,501
Saldon Holdings, Inc. ⁽³⁾	Diversified/Conglomerate Service	Senior loan	09/2022	5.8		2,028		2,003
Sarnova HC, LLC	Healthcare, Education and Childcare	Senior loan	01/2022	6.0		3,301		3,301
SEI, Inc. ⁽³⁾	Electronics	Senior loan	07/2021	6.0		5,217		5,217
Self Esteem Brands, LLC ⁽³⁾	Leisure, Amusement, Motion Pictures, Entertainment	Senior loan	02/2020	6.0		6,443		6,443
Severin Acquisition, LLC ⁽³⁾	Diversified/Conglomerate Service	Senior loan	07/2021	6.1		7,848		7,844
Severin Acquisition, LLC	Diversified/Conglomerate Service	Senior loan	07/2021	6.2		1,079		1,083
Smashburger Finance LLC	Beverage, Food and Tobacco	Senior loan	05/2018	6.8		5,291		4,603
Smashburger Finance LLC	Beverage, Food and Tobacco	Senior loan	05/2018	6.8		418		364
Smashburger Finance LLC	Beverage, Food and Tobacco	Senior loan	05/2018	6.8		417		363
Smashburger Finance LLC	Beverage, Food and Tobacco	Senior loan	05/2018	6.8		416		362
Smashburger Finance LLC	Beverage, Food and Tobacco	Senior loan	05/2018	6.8		415		361
Smashburger Finance LLC ⁽⁴⁾	Beverage, Food and Tobacco	Senior loan	05/2018	N/A ⁽⁵⁾		—		(90		)
Tate's Bake Shop, Inc. (3)	Beverage, Food and Tobacco	Senior loan	08/2019	6.3		705		705
Teasdale Quality Foods, Inc.	Grocery	Senior loan	10/2020	5.6		1,097		1,097
Teasdale Quality Foods, Inc.	Grocery	Senior loan	10/2020	6.1		859		859
Teasdale Quality Foods, Inc.	Grocery	Senior loan	10/2020	6.1		165		165
Teasdale Quality Foods, Inc.	Grocery	Senior loan	10/2020	6.1		61		61
Transaction Data Systems, Inc.	Diversified/Conglomerate Service	Senior loan	06/2021	6.6		3,892		3,892
Transaction Data Systems, Inc.	Diversified/Conglomerate Service	Senior loan	06/2020	5.8		22		21
Vendor Credentialing Service LLC ⁽³⁾	Diversified/Conglomerate Service	Senior loan	11/2021	7.2		5,985		5,985
WHCG Management, LLC ⁽³⁾	Healthcare, Education and Childcare	Senior loan	03/2023	6.1		2,202		2,202
WIRB-Copernicus Group, Inc.	Healthcare, Education and Childcare	Senior loan	08/2022	6.3		5,421		5,421
Young Innovations, Inc. ⁽³⁾	Healthcare, Education and Childcare	Senior loan	01/2019	6.3		751		751
Young Innovations, Inc.	Healthcare, Education and Childcare	Senior loan	01/2019	6.3		23		23
						$	162,815	$	161,522


⁽¹⁾	Represents the weighted average annual current interest rate as of September 30, 2017. All interest rates are payable in cash.


⁽²⁾	Represents the fair value in accordance with ASC Topic 820. The determination of such fair value is not included in the Board's valuation process described elsewhere herein.


⁽³⁾	The Company also holds a portion of the first lien senior secured loan in this portfolio company.


⁽⁴⁾	The negative fair value is the result of the unfunded commitment being valued below par.


⁽⁵⁾	The entire commitment was unfunded at September 30, 2017. As such, no interest is being earned on this investment. The investment may be subject to an unused facility fee.

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)

As of December 31, 2017 and September 30, 2017, the Company has committed to fund $109,375 and $109,375 of LLC equity interest subscriptions to GCIC SLF, respectively. As of December 31, 2017 and September 30, 2017, $55,312 and $49,800, respectively, of the Company's LLC equity interest subscriptions to GCIC SLF had been called and contributed, net of return of capital distributions subject to recall. For the three months ended December 31, 2017 and 2016, the Company received $1,130 and $421, respectively, in dividend income from the GCIC SLF LLC equity interests.

On December 30, 2016, GCIC SLF issued a capital call in an aggregate amount of $39,905 the proceeds of which were used to redeem in full the outstanding balance on the subordinated notes previously issued by GCIC SLF and terminate all remaining subordinated note commitments. For the three months ended December 31, 2017 and 2016, the Company earned interest income on the subordinated notes of $0 and $732, respectively.

See below for certain summarized financial information for GCIC SLF as of December 31, 2017 and September 30, 2017 and for the three months ended December 31, 2017 and 2016:



	As of			As of
	December 31, 2017			September 30, 2017
Selected Balance Sheet Information:
Investments, at fair value	$	173,920		$	161,522
Cash and other assets	3,119			3,029
Total assets	$	177,039		$	164,551
Senior credit facility	$	113,250		$	108,150
Unamortized debt issuance costs	(1,043		)	(1,199		)
Other liabilities	419			338
Total liabilities	112,626			107,289
Members’ equity	64,413			57,262
Total liabilities and members' equity	$	177,039		$	164,551



	Three months ended December 31,
	2017		2016
Selected Statement of Operations Information:
Interest income	$	2,811	$	2,441
Fee income	7		—
Total investment income	2,818		2,441
Interest and other debt financing expenses	1,193		1,713
Administrative service fee	54		55
Other expenses	34		24
Total expenses	1,281		1,792
Net investment income	1,537		649
Net change in unrealized appreciation (depreciation) on investments and subordinated notes	605		62
Net increase in members' equity	$	2,142	$	711

Note 6. Fair Value Measurements

The Company follows ASC Topic 820 for measuring fair value. Fair value is the price that would be received in the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Where available, fair value is based on observable market prices or parameters, or derived from such prices or parameters. Where observable prices or inputs are not available, valuation models are applied. These

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)

valuation models involve some level of management estimation and judgment, the degree of which is dependent on the price transparency for the assets or liabilities or market and the assets’ or liabilities’ complexity. The Company’s fair value analysis includes an analysis of the value of any unfunded loan commitments. Assets and liabilities are categorized for disclosure purposes based upon the level of judgment associated with the inputs used to measure their value. The valuation hierarchical levels are based upon the transparency of the inputs to the valuation of the asset or liability as of the measurement date. The three levels are defined as follows:

Level 1: Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date.

Level 2: Inputs include quoted prices for similar assets or liabilities in active markets and inputs that are observable for the assets or liabilities, either directly or indirectly, for substantially the full term of the assets or liabilities.

Level 3: Inputs include significant unobservable inputs for the assets or liabilities and include situations where there is little, if any, market activity for the assets or liabilities. The inputs into the determination of fair value are based upon the best information available and may require significant management judgment or estimation.

In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, an asset’s or a liability’s categorization within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment, and considers factors specific to the asset or liability. The Company assesses the levels of assets and liabilities at each measurement date, and transfers between levels are recognized on the actual date of the event or change in circumstances that caused the transfers. There were no transfers among Level 1, 2 and 3 of the fair value hierarchy for assets and liabilities during the three months ended December 31, 2017 and 2016. The following section describes the valuation techniques used by the Company to measure different assets and liabilities at fair value and includes the level within the fair value hierarchy in which the assets and liabilities are categorized.

Investments

Level 1 investments are valued using quoted market prices. Level 2 investments are valued using market consensus prices that are corroborated by observable market data and quoted market prices for similar assets and liabilities. Level 3 investments are valued at fair value as determined in good faith by the Board, based on input of management, the audit committee and independent valuation firms that have been engaged at the direction of the Board to assist in the valuation of each portfolio investment without a readily available market quotation at least once during a trailing twelve-month period under a valuation policy and a consistently applied valuation process. This valuation process is conducted at the end of each fiscal quarter, with approximately 25% (based on the number of portfolio companies) of the Company’s valuations of debt and equity investments without readily available market quotations subject to review by an independent valuation firm. All investments as of December 31, 2017 and September 30, 2017, with the exception of money market funds included in cash and cash equivalents and restricted cash and cash equivalents (Level 1 investments) and investments measured at fair value using the NAV per share (or its equivalent) of the underlying investment company as a practical expedient, were valued using Level 3 inputs.

When determining fair value of Level 3 debt and equity investments, the Company may take into account the following factors, where relevant: the enterprise value of a portfolio company, the nature and realizable value of any collateral, the portfolio company’s ability to make payments and its earnings and discounted cash flows, the markets in which the portfolio company does business, comparisons to publicly traded securities, and changes in the interest rate environment and the credit markets generally that may affect the price at which similar investments may be made and other relevant factors. The primary method for determining enterprise value uses a multiple analysis whereby appropriate multiples are applied to the portfolio company’s net income before net interest expense, income tax expense, depreciation and amortization (“EBITDA”). A portfolio company’s EBITDA may include pro forma adjustments for items such as acquisitions, divestitures, or expense reductions. The enterprise value analysis is

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)

performed to determine the value of equity investments and to determine if debt investments are credit impaired. If debt investments are credit impaired, the Company will use the enterprise value analysis or a liquidation basis analysis to determine fair value. For debt investments that are not determined to be credit impaired, the Company uses a market interest rate yield analysis to determine fair value.

In addition, for certain debt investments, the Company may base its valuation on indicative bid and ask prices provided by an independent third party pricing service. Bid prices reflect the highest price that the Company and others may be willing to pay. Ask prices represent the lowest price that the Company and others may be willing to accept. The Company generally uses the midpoint of the bid/ask range as its best estimate of fair value of such investment.

Due to the inherent uncertainty of determining the fair value of Level 3 investments that do not have a readily available market value, the fair value of the investments may differ significantly from the values that would have been used had a ready market existed for such investments and may differ materially from the values that may ultimately be received or settled. Further, such investments are generally subject to legal and other restrictions or otherwise are less liquid than publicly traded instruments. If the Company were required to liquidate a portfolio investment in a forced or liquidation sale, the Company may realize significantly less than the value at which such investment had previously been recorded.

The Company’s investments are subject to market risk. Market risk is the potential for changes in the value due to market changes. Market risk is directly impacted by the volatility and liquidity in the markets in which the investments are traded.

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)

The following tables present fair value measurements of the Company’s investments and indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value as of December 31, 2017 and September 30, 2017:



As of December 31, 2017	Fair Value Measurements Using
Description	Level 1		Level 2		Level 3		Total
Assets, at fair value:
Debt investments⁽¹⁾	$	—	$	—	$	1,434,503	$	1,434,503
Equity investments⁽¹⁾	—		—		22,285		22,285
Money market funds⁽¹⁾⁽²⁾	21		—		—		21
Investment measured at NAV⁽³⁾⁽⁴⁾	—		—		—		56,361
Total assets, at fair value:	$	21	$	—	$	1,456,788	$	1,513,170



As of September 30, 2017	Fair Value Measurements Using
Description	Level 1		Level 2		Level 3		Total
Assets, at fair value:
Debt investments⁽¹⁾	$	—	$	—	$	1,326,950	$	1,326,950
Equity investments⁽¹⁾	—		—		20,647		20,647
Money market funds⁽¹⁾⁽²⁾	3,644		—		—		3,644
Investment measured at NAV⁽³⁾⁽⁴⁾	—		—		—		50,104
Total assets, at fair value:	$	3,644	$	—	$	1,347,597	$	1,401,345


⁽¹⁾	Refer to the Consolidated Schedules of Investments for further details.


⁽²⁾	Included in cash and cash equivalents and restricted cash and cash equivalents on the Consolidated Statements of Financial Condition.

⁽³⁾

Certain investments that are measured at fair value using the NAV per share (or its equivalent) of the underlying investment company as a practical expedient have not been categorized in the fair value hierarchy. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the Consolidated Statements of Financial Condition.


⁽⁴⁾	Represents the Company's investment in LLC equity interest in GCIC SLF. The fair value of this investment has been determined using the NAV of the Company’s ownership interest in members’ capital.

The net change in unrealized appreciation (depreciation) for the three months ended December 31, 2017 and 2016 reported within the net change in unrealized appreciation (depreciation) on investments and foreign currency translation in the Company’s Consolidated Statements of Operations attributable to the Company’s Level 3 assets held as of December 31, 2017 and 2016 was $1,947 and $3,987, respectively.

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)

The following tables present the changes in investments measured at fair value using Level 3 inputs for the three months ended December 31, 2017 and 2016:



	For the three months ended December 31, 2017
	Debt Investments			Equity Investments			Total Investments
Fair value, beginning of period	$	1,326,950		$	20,647		$	1,347,597
Net change in unrealized appreciation (depreciation) on investments	1,250			517			1,767
Realized gain (loss) on investments	(562		)	113			(449		)
Funding of (proceeds from) revolving loans, net	(851		)	—			(851		)
Fundings of investments	195,576			1,397			196,973
PIK interest	456			—			456
Proceeds from principal payments and sales of portfolio investments	(90,342		)	(389		)	(90,731		)
Accretion of discounts and amortization of premiums	2,026			—			2,026
Fair value, end of period	$	1,434,503		$	22,285		$	1,456,788



	For the three months ended December 31, 2016
	Debt Investments			Equity Investments			Total Investments
Fair value, beginning of period	$	1,042,600		$	14,071		$	1,056,671
Net change in unrealized appreciation (depreciation) on investments	2,520			858			3,378
Realized gain (loss) on investments	197			—			197
Funding of (proceeds from) revolving loans, net	601			—			601
Fundings of investments	94,225			157			94,382
PIK interest	431			—			431
Proceeds from principal payments and sales of portfolio investments	(65,292		)	(46		)	(65,338		)
Noncash proceeds from subordinated notes in GCIC SLF principal payments	(34,917		)	—			(34,917		)
Accretion of discounts and amortization of premiums	1,390			—			1,390
Fair value, end of period	$	1,041,755		$	15,040		$	1,056,795

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)

The following tables present quantitative information about the significant unobservable inputs of the Company’s Level 3 investments as of December 31, 2017 and September 30, 2017:



Quantitative information about Level 3 Fair Value Measurements
	Fair value as of December 31, 2017		Valuation Techniques	Unobservable Input	Range (Weighted Average)
Assets:
Senior secured loans⁽¹⁾	$	164,273	Market rate approach	Market interest rate	5.5% - 11.0% (7.0%)
			Market comparable companies	EBITDA multiples	5.0x - 15.0x (11.5x)
	8,182		Market comparable	Broker/dealer bids or quotes	N/A
One stop loans⁽¹⁾⁽²⁾	$	1,261,967	Market rate approach	Market interest rate	2.3% - 39.5% (8.3%)
			Market comparable companies	EBITDA multiples ⁽³⁾	4.5x - 35.0x (13.6x)
				Revenue multiples ⁽³⁾	2.0x - 7.5x (5.2x)
Subordinated debt⁽¹⁾	$	56	Market rate approach	Market interest rate	19.5%
			Market comparable companies	EBITDA multiples	11.5x
Equity ⁽⁴⁾	$	22,285	Market comparable companies	EBITDA multiples⁽⁵⁾	3.7x - 28.7x (13.7x)
				Revenue multiples⁽⁵⁾	2.7x - 5.0x (4.0x)


⁽¹⁾	The fair value of this asset class was determined using the market rate approach as the investments in this asset class were determined not to be credit impaired using the market comparable companies approach. The unobservable inputs for both valuation techniques have been presented, but the fair value as of December 31, 2017 was determined using the market rate approach.


⁽²⁾	Excludes $25 of non-accrual loans at fair value, which the Company valued on a liquidation basis.


⁽³⁾	The Company valued $1,174,946 and $87,021 of one stop loans using EBITDA and revenue multiples, respectively. All one stop loans were also valued using the market rate approach.


⁽⁴⁾	Excludes $56,361 of LLC equity interests in GCIC SLF at fair value, which the Company valued using the NAV.


⁽⁵⁾	The Company valued $20,341 and $1,944 of equity investments using EBITDA and revenue multiples, respectively.

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)



Quantitative information about Level 3 Fair Value Measurements
	Fair value as of September 30, 2017		Valuation Techniques	Unobservable Input	Range (Weighted Average)
Assets:
Senior secured loans ⁽¹⁾	$	157,645	Market rate approach	Market interest rate	5.3% - 12.8% (7.0%)
			Market comparable companies	EBITDA multiples	5.0x - 17.5x (11.9x)
	7,975		Market comparable	Broker/dealer bids or quotes	N/A
One stop loans ⁽¹⁾⁽²⁾	$	1,160,964	Market rate approach	Market interest rate	2.3% - 39.5% (8.0%)
			Market comparable companies	EBITDA multiples ⁽³⁾	4.0x - 35.0x (13.3x)
				Revenue multiples ⁽³⁾	2.0x - 7.5x (5.1x)
Subordinated debt ⁽¹⁾	$	55	Market rate approach	Market interest rate	19.5%
			Market comparable companies	EBITDA multiples	11.0x
Equity ⁽⁴⁾	$	20,647	Market comparable companies	EBITDA multiples ⁽⁵⁾	4.0x - 28.7x (13.6x)
				Revenue multiples ⁽⁵⁾	3.5x - 5.8x (4.2x)


⁽¹⁾	The fair value of this asset class was determined using the market rate approach as the investments in this asset class were determined not to be credit impaired using the market comparable companies approach. The unobservable inputs for both valuation techniques have been presented, but the fair value as of September 30, 2017 was determined using the market rate approach.


⁽²⁾	Excludes $311 of non-accrual loans at fair value, which the Company valued on a liquidation basis.


⁽³⁾	The Company valued $1,093,222 and $67,742 of one stop loans using EBITDA and revenue multiples, respectively. All one stop loans were also valued using the market rate approach.


⁽⁴⁾	Excludes $50,104 of LLC equity interests in GCIC SLF at fair value, which the Company valued using the NAV.


⁽⁵⁾	The Company valued $18,505 and $2,142 of equity investments using EBITDA and revenue multiples, respectively.

The above tables are not intended to be all-inclusive but rather to provide information on significant unobservable inputs and valuation techniques used by the Company.

The significant unobservable inputs used in the fair value measurement of the Company’s debt and equity investments are EBITDA multiples, revenue multiples and market interest rates. The Company uses EBITDA multiples and, to a lesser extent, revenue multiples on its debt and equity investments to determine any credit gains or losses. Increases or decreases in either of these inputs in isolation may result in a significantly lower or higher fair value measurement. The Company uses market interest rates for loans to determine if the effective yield on a loan is commensurate with the market yields for that type of loan. If a loan’s effective yield is significantly less than the market yield for a similar loan with a similar credit profile, then the resulting fair value of the loan may be lower.

Other Financial Assets and Liabilities

ASC Topic 820 requires disclosure of the fair value of financial instruments for which it is practical to estimate such value. As a result, with the exception of the line item titled “debt” which is reported at cost, all assets and liabilities approximate fair value on the consolidated statements of financial condition due to their short maturity. Fair value of the Company’s debt is estimated using Level 3 inputs by discounting remaining payments using comparable market rates or market quotes for similar instruments at the measurement date, if available.

The following are the carrying values and fair values of the Company’s debt as of December 31, 2017 and September 30, 2017. Fair value is estimated by discounting remaining payments using applicable market rates or market quotes for similar instruments at the measurement date, if available.

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)



	As of December 31, 2017				As of September 30, 2017
	Carrying Value		Fair Value		Carrying Value		Fair Value
Debt	$	724,550	$	724,550	$	670,200	$	670,200

Note 7. Borrowings

In accordance with the 1940 Act, with certain limited exceptions, the Company is only allowed to borrow amounts such that its asset coverage, as defined in the 1940 Act, is at least 200% after such borrowing. As of December 31, 2017, the Company’s asset coverage for borrowed amounts was 211.7%.

Debt Securitization: On August 16, 2016, the Company completed a $410,086 term debt securitization (the “GCIC 2016 Debt Securitization”). The notes (“GCIC 2016 Notes”) offered in the GCIC 2016 Debt Securitization were issued by the GCIC 2016 Issuer and are secured by a diversified portfolio of senior secured and second lien loans held by the GCIC 2016 Issuer. The GCIC 2016 Debt Securitization consists of $220,000 of Aaa/AAA Class A GCIC 2016 Notes and $32,500 of Aa1 Class B GCIC 2016 Notes. In partial consideration for the loans transferred to the GCIC 2016 Issuer as part of the GCIC 2016 Debt Securitization, the Company received $42,300 of Class C GCIC 2016 Notes, $28,600 of Class D GCIC 2016 Notes and $86,686 of LLC equity interests in the GCIC 2016 Issuer. The Company retained all of the Class C GCIC 2016 Notes, Class D GCIC 2016 Notes and LLC equity interests totaling $42,300, $28,600 and $86,686, respectively. The Class A and Class B GCIC 2016 Notes are included in the December 31, 2017 and September 30, 2017 Consolidated Statements of Financial Condition as debt of the Company. As of December 31, 2017 and September 30, 2017, the Class C GCIC 2016 Notes, Class D GCIC 2016 Notes and LLC equity interests were eliminated in consolidation.

Through August 8, 2020, all principal collections received on the underlying collateral may be used by the GCIC 2016 Issuer to purchase new collateral under the direction of the Investment Adviser in its capacity as collateral manager of the GCIC 2016 Issuer and in accordance with the Company’s investment strategy, allowing the Company to maintain the initial leverage in the GCIC 2016 Debt Securitization. The GCIC 2016 Notes are scheduled to mature on August 8, 2028.

As of December 31, 2017 and September 30, 2017, there were 100 and 99 portfolio companies with a total fair value of $394,291 and $389,204, respectively, securing the GCIC 2016 Notes. The pool of loans in the GCIC 2016 Debt Securitization must meet certain requirements, including asset mix and concentration, collateral coverage, term, agency rating, minimum coupon, minimum spread and sector diversity requirements.

The interest charged under the GCIC 2016 Debt Securitization is based on three-month LIBOR. The three-month LIBOR in effect as of December 31, 2017 based on the last interest rate reset was 1.4%. For the three months ended December 31, 2017 and 2016, the components of interest expense, cash paid for interest, annualized average interest rates and average outstanding balances for the GCIC 2016 Debt Securitization were as follows:



	For the three months ended December 31,
	2017			2016
Stated interest expense	$	2,337		$	1,954
Amortization of debt issuance costs	193			191
Total interest and other debt financing expenses	$	2,530		$	2,145
Cash paid for interest expense	$	2,305		$	—
Annualized average stated interest rate	3.7		%	3.1		%
Average outstanding balance	$	252,500		$	252,500

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)

As of December 31, 2017, the classes, amounts, ratings and interest rates (expressed as a spread to three-month LIBOR) of the Class A and B GCIC 2016 Notes were as follows:



Description	Class A GCIC 2016 Notes	Class B GCIC 2016 Notes
Type	Senior Secured Floating Rate	Senior Secured Floating Rate
Amount Outstanding	$220,000	$32,500
Moody’s Rating	“Aaa”	“Aa1”
S&P Rating	“AAA”	N/A
Interest Rate	LIBOR + 2.15%	LIBOR + 3.00%

The Investment Adviser serves as collateral manager to the GCIC 2016 Issuer under a separate collateral management agreement and receives a fee for providing these services. The total fees payable by the Company under its Investment Advisory Agreement are reduced by an amount equal to the total aggregate fees that are paid to the Investment Adviser by the GCIC 2016 Issuer for rendering such collateral management services.

As part of the GCIC 2016 Debt Securitization, the Company entered into a master loan sale agreement under which the Company agreed to directly or indirectly sell or contribute certain senior secured and second lien loans (or participation interests therein) to the GCIC 2016 Issuer and to purchase or otherwise acquire the Class C GCIC 2016 Notes, Class D GCIC 2016 Notes and LLC equity interests in the GCIC 2016 Issuer. The GCIC 2016 Notes are the secured obligations of the GCIC 2016 Issuer and indentures governing the GCIC 2016 Notes include customary covenants and events of default. The pool of loans in the GCIC 2016 Debt Securitization must meet certain requirements, including asset mix and concentration, collateral coverage, term, agency rating, minimum coupon, minimum spread and sector diversity requirements.

Revolving Credit Facility: On December 31, 2014, as part of the Company’s acquisition of GCIC Funding as part of its formation transactions, the Company and GCIC Funding entered into an amendment to the senior secured revolving credit facility (as amended, the “Credit Facility”) with Wells Fargo Bank, N.A., as administrative agent and lender, which as of December 31, 2017 allowed GCIC Funding to borrow up to $420,000 at any one time outstanding, subject to leverage and borrowing base restrictions.

Through a series of amendments, most recently on August 30, 2017, the Company and GCIC Funding amended the Credit Facility to, among other things, extend the expiration of the reinvestment period to August 29, 2018, during which period GCIC Funding, subject to certain conditions, may make borrowings under the facility and extend the stated maturity date to August 30, 2022.

The Credit Facility bears interest at one-month LIBOR plus 2.25% per annum. In addition to the stated interest expense on the Credit Facility, the Company is required to pay a non-usage fee rate between 0.50% and 2.00% per annum depending on the size of the unused portion of the Credit Facility.

The Credit Facility is collateralized by all of the assets held by GCIC Funding, and GCIC has pledged its interests in GCIC Funding as collateral to Wells Fargo Bank, N.A., as the collateral agent, under an ancillary agreement to secure the obligations of GCIC as the transferor and servicer under the Credit Facility. Both GCIC and GCIC Funding have made customary representations and warranties and are required to comply with various covenants, reporting requirements and other customary requirements for similar credit facilities. Borrowing under the Credit Facility is subject to the leverage restrictions contained in the 1940 Act.

The Company has transferred certain loans and debt securities it has originated or acquired from time to time to GCIC Funding through a purchase and sale agreement and may cause GCIC Funding to originate or acquire loans in the future, consistent with the Company’s investment objectives.

As of December 31, 2017 and September 30, 2017, the Company had outstanding debt under the Credit Facility of $397,050 and $342,700, respectively. For the three months ended December 31, 2017 and 2016, the Company had

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)

borrowings on the Credit Facility of $129,750 and $72,650, respectively, and repayments on the Credit Facility of $75,400 and $75,200, respectively.

For the three months ended December 31, 2017 and 2016, the components of interest expense, cash paid for interest and facility fees, annualized average interest rates and average outstanding balances for the Credit Facility were as follows:



	For the three months ended December 31,
	2017			2016
Stated interest expense	$	3,368		$	1,355
Facility fees	68			300
Amortization of debt issuance costs	280			636
Total interest and other debt financing expenses	$	3,716		$	2,291
Cash paid for interest expense and facility fees	$	3,209		$	1,596
Annualized average stated interest rate	3.6		%	2.9		%
Average outstanding balance	$	366,799		$	185,732

Revolver: On February 3, 2015, the Company entered into the Revolver with the Investment Adviser, with a maximum credit limit of $40,000 and expiration date of February 3, 2018. See Note 12. The Revolver bears an interest rate equal to the short-term Applicable Federal Rate (“AFR”), which was 1.5% as of December 31, 2017. As of December 31, 2017 and September 30, 2017, the Company had no outstanding debt under the Revolver. For the three months ended December 31, 2017 and 2016, the Company had no borrowings and no repayments on the Revolver.

SMBC Revolver: On May 17, 2016, the Company entered into a revolving credit agreement with Sumitomo Mitsui Banking Corporation (the “SMBC Revolver”), which as of December 31, 2017 allowed GCIC to borrow up to $75,000 at any one time outstanding, subject to leverage and borrowing base restrictions, with a stated maturity date of May 17, 2018.

The SMBC Revolver bears an interest rate at the Company's election of either one-month LIBOR plus 1.60% per annum or Prime. In addition to the stated interest rate on the SMBC Revolver, the Company is required to pay a non-usage fee at a rate of 0.25% per annum on the unused portion of the SMBC Revolver.

The SMBC Revolver is secured by the unfunded capital commitments of certain GCIC stockholders. GCIC has made customary representations and warranties and is required to comply with various covenants, reporting requirements and other customary requirements for similar credit facilities. Borrowing under the SMBC Revolver is subject to the leverage restrictions contained in the 1940 Act.

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)

As of December 31, 2017 and September 30, 2017, the Company had outstanding debt under the SMBC Revolver of $75,000 and $75,000, respectively. For the three months ended December 31, 2017 and 2016, the Company had no borrowings and no repayments on the SMBC Revolver. For the three months ended December 31, 2017 and 2016, the components of interest expense, cash paid for interest, annualized average interest rates and average outstanding balances for the SMBC Revolver were as follows:



	For the three months ended December 31,
	2017			2016
Stated interest expense	$	553		$	414
Amortization of debt issuance costs	80			72
Total interest and other debt financing expenses	$	633		$	486
Cash paid for interest expense	$	555		$	434
Annualized average stated interest rate	2.9		%	2.2		%
Average outstanding balance	$	75,000		$	75,000

The Company’s average total debt outstanding (including the debt under the Credit Facility, Revolver, SMBC Revolver, and GCIC 2016 Debt Securitization) the three months ended December 31, 2017 and 2016 was $694,299 and $513,232, respectively.

For the three months ended December 31, 2017 and 2016, the effective annualized average interest rate, which includes amortization of debt issuance costs and non-usage facility fees, on the Company’s total debt outstanding was 3.9% and 3.8%, respectively.

A summary of the Company’s maturity requirements for borrowings as of December 31, 2017 is as follows:



	Payments Due by Period
	Total		Less Than 1 Year		1 – 3 Years		3 – 5 Years		More Than 5 Years
GCIC 2016 Debt Securitization	$	252,500	$	—	$	—	$	—	$	252,500
Credit Facility	397,050		—		—		397,050		—
SMBC Revolver	75,000		75,000		—		—		—
Revolver	—		—		—		—		—
Total borrowings	$	724,550	$	75,000	$	—	$	397,050	$	252,500

Note 8. Commitments and Contingencies

Commitments: The Company had outstanding commitments to fund investments totaling $155,343 and $133,566 under various undrawn revolvers and other credit facilities as of December 31, 2017 and September 30, 2017, respectively. In addition, as described in Note 5, the Company had commitments of up to $54,063 and $59,575 to GCIC SLF as of December 31, 2017 and September 30, 2017, respectively, that may be contributed primarily for the purpose of funding new investments approved by the GCIC SLF investment committee.

Indemnifications: In the normal course of business, the Company enters into contracts and agreements that contain a variety of representations and warranties that provide general indemnifications. The Company’s maximum exposure under these arrangements is unknown, as these involve future claims that may be made against the Company but that have not occurred. The Company expects the risk of any future obligations under these indemnifications to be remote.

Off-balance sheet risk: Off-balance sheet risk refers to an unrecorded potential liability that may result in a future obligation or loss, even though it does not appear on the Consolidated Statements of Financial Condition. The Company may enter into derivative instruments that contain elements of off-balance sheet market and credit risk.

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)

There were no commitments outstanding for derivative contracts as of December 31, 2017 and September 30, 2017. Derivative instruments can be affected by market conditions, such as interest rate volatility, which could impact the fair value of the derivative instruments. If market conditions move against the Company, it may not achieve the anticipated benefits of any derivative instruments and may realize a loss. The Company minimizes market risk through monitoring its investments and borrowings.

Concentration of credit and counterparty risk: Credit risk arises primarily from the potential inability of counterparties to perform in accordance with the terms of the contract. The Company may engage in derivative transactions with counterparties. In the event that the counterparties do not fulfill their obligations, the Company may be exposed to risk. The risk of default depends on the creditworthiness of the counterparties or issuers of the instruments. The Company’s maximum loss that it could incur related to counterparty risk on derivative instruments is the value of the collateral for that respective derivative instrument. It is the Company’s policy to review, as necessary, the credit standing of each counterparty.

Legal proceedings: In the normal course of business, the Company may be subject to legal and regulatory proceedings that are generally incidental to its ongoing operations. While there can be no assurance of the ultimate disposition of any such proceedings, the Company does not believe any disposition will have a material adverse effect on the Company’s consolidated financial statements.

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)

Note 9. Financial Highlights

The financial highlights for the Company are as follows:



	Three months ended December 31,
Per share data:⁽¹⁾	2017			2016
Net asset value at beginning of period	$	15.00		$	15.00
Distributions declared:⁽²⁾
From net investment income	(0.31		)	(0.35		)
From capital gains	(0.03		)	(0.00		)	⁽³⁾
Net investment income	0.30			0.26
Net realized gain (loss) on investments and foreign currency transactions	(0.01		)	—
Net change in unrealized appreciation (depreciation) on investments and foreign currency translation	0.05			0.09
Net asset value at end of period	$	15.00		$	15.00
Total return based on net asset value per share⁽⁴⁾	2.29		%	2.37		%
Number of common shares outstanding	54,122,735.354			41,769,495.016



	Three months ended December 31,
Listed below are supplemental data and ratios to the financial highlights:	2017			2016
Ratio of net investment income to average net assets^*	8.03		%	6.94		%
Ratio of total expenses to average net assets ^(5)*	7.10		%	6.58		%
Ratio of management fee waiver to average net assets ^*	(0.69		)%	(0.67		)%
Ratio of incentive fee waiver to average net assets	(0.10		)%	(0.00		)%
Ratio of net expenses to average net assets ^(5)*	6.31		%	5.91		%
Ratio of incentive fees to average net assets	0.52		%	0.44		%
Ratio of total expenses (without incentive fees, incentive fee waiver and management fee waiver) to average net assets^(5)*	6.58		%	6.14		%
Net assets at end of period	$	811,841		$	626,543
Average debt outstanding	$	694,299		$	513,232
Average debt outstanding per share	$	12.83		$	12.29
Portfolio Turnover^*	20.34		%	23.90		%
Asset coverage ratio⁽⁶⁾	211.68		%	220.15		%
Asset coverage ratio per unit⁽⁷⁾	$	2,117		$	2,202
Average market value per unit ⁽⁸⁾:
2016 Debt Securitization	N/A			N/A
Credit Facility	N/A			N/A
SMBC Revolver	N/A			N/A
Revolver	N/A			N/A
GEMS Note	N/A			N/A

* Annualized for a period less than one year.


⁽¹⁾	Based on actual number of shares outstanding at the end of the corresponding period or the weighted average shares outstanding for the period, unless otherwise noted, as appropriate.


⁽²⁾	The per share data for distributions reflect the amount of distributions paid or payable with a record date during the applicable period.


⁽³⁾	Represents an amount less than $0.01 per share.


⁽⁴⁾	Total return based on net asset value assumes distributions are reinvested in accordance with the DRIP. Total return does not include sales load.


⁽⁵⁾	Expenses, other than incentive fees, are annualized for a period less than one year.


⁽⁶⁾	In accordance with the 1940 Act, with certain limited exceptions, the Company is only allowed to borrow amounts such that its asset coverage, as defined in the 1940 Act, is at least 200% after such borrowing.

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)


⁽⁷⁾	Asset coverage ratio per unit is the ratio of the carrying value of our total consolidated assets, less all liabilities and indebtedness not represented by senior securities, to the aggregate amount of senior securities representing indebtedness. Asset coverage ratio per unit is expressed in terms of dollars amounts per $1,000 of indebtedness.


⁽⁸⁾	Not applicable because such senior securities are not registered for public trading.

Note 10. Earnings Per Share

The following information sets forth the computation of the net increase in net assets per share resulting from operations for the three months ended December 31, 2017 and 2016:



	Three months ended December 31,
	2017		2016
Earnings available to stockholders	$	17,814	$	14,580
Basic and diluted weighted average shares outstanding	52,091,851		41,252,583
Basic and diluted earnings per share	$	0.34	$	0.35

Note 11. Dividends and Distributions

The Company’s dividends and distributions are recorded on the record date. The following table summarizes the Company’s dividend declarations and distributions during the three months ended December 31, 2017 and 2016:



Date Declared	Record Date	Payment Date	Shares Outstanding	Amount Per Share		Cash Distribution		DRIP Shares Value		DRIP Shares Issued

For the three months ended December 31, 2017
08/02/2017	10/23/2017	12/28/2017	51,214,683.496	$	0.1122	$	2,692	$	3,053	203,562.960
11/17/2017	11/24/2017	12/28/2017	51,214,683.496	$	0.1045	$	2,508	$	2,845	189,639.012
11/17/2017	12/26/2017	02/26/2018	53,729,533.382	$	0.1250	$	3,140	$	3,576	N/A⁽¹⁾
For the three months ended December 31, 2016
08/03/2016	10/24/2016	12/30/2016	41,087,178.250	$	0.0729	$	1,366	$	1,627	108,467.710
11/14/2016	11/18/2016	12/30/2016	41,087,178.250	$	0.1469	$	2,754	$	3,280	218,653.262
11/14/2016	12/26/2016	02/27/2017	41,442,374.044	$	0.1340	$	2,563	$	2,990	N/A⁽²⁾


⁽¹⁾	The DRIP shares were not issued as of December 31, 2017.


⁽²⁾	The DRIP shares were not issued as of December 31, 2016. On February 27, 2017, the Company issued 199,352.082 shares of common stock through the DRIP.

Golub Capital Investment Corporation and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

(In thousands, except shares and per share data)

Note 12. Subsequent Events

In preparing these financial statements, the Company has evaluated events and transactions for potential recognition or disclosure through February 9, 2018, the date the financial statements were available to be issued. There are no subsequent events to disclose except for the following:

On November 17, 2017 and February 6, 2018, the Board declared distributions to holders of record as set forth in the table below:



Record Date	Payment Date	Amount Per Share
January 23, 2018	February 26, 2018	Net increase in net assets resulting from operations earned by the Company (if positive) as determined in accordance with GAAP for the period January 1, 2018 through January 31, 2018 per share
February 23, 2018	May 23, 2018	Net increase in net assets resulting from operations earned by the Company (if positive) as determined in accordance with GAAP for the period February 1, 2018 through February 28, 2018 per share
March 30, 2018	May 23, 2018	Net increase in net assets resulting from operations earned by the Company (if positive) as determined in accordance with GAAP for the period March 1, 2018 through March 31, 2018 per share
April 27, 2018	July 24, 2018	Net increase in net assets resulting from operations earned by the Company (if positive) as determined in accordance with GAAP for the period April 1, 2018 through April 30, 2018 per share

On January 1, 2018, the Company reached agreements to cancel undrawn subscriptions totaling $55,806 in the aggregate.

The Company issued capital calls to stockholders that were due on January 29, 2018, which are summarized in the following table:



	Date	Shares Issued	NAV ($) per share		Proceeds
Issuance of shares	1/29/2018	1,407,782.320	$	15.00	$	21,117

On February 7, 2018, GCIC entered into an amendment to the Revolver to extend the maturity date to February 5, 2021. No other terms of the Revolver changed pursuant to such amendment.

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

The information contained in this section should be read in conjunction with our interim and unaudited consolidated financial statements and related notes thereto appearing elsewhere in this quarterly report on Form 10-Q. In this report, "we," "us," "our" and "GCIC" refer to Golub Capital Investment Corporation and its consolidated subsidiaries.

Forward-Looking Statements

Some of the statements in this quarterly report on Form 10-Q constitute forward-looking statements, which 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 risks and uncertainties, including statements as to:


•	our future operating results;


•	our business prospects and the prospects of our portfolio companies;


•	the effect of investments that we expect to make and the competition for those investments;


•	our contractual arrangements and relationships with third parties;


•	completion of a public offering of our securities or other liquidity event;


•	actual and potential conflicts of interest with GC Advisors LLC, or GC Advisors, and other affiliates of Golub Capital LLC, or collectively, Golub Capital;


•	the dependence of our future success on the general economy and its effect on the industries in which we invest;


•	the ability of our portfolio companies to achieve their objectives;


•	the use of borrowed money to finance a portion of our investments;


•	the adequacy of our financing sources and working capital;


•	the timing of cash flows, if any, from the operations of our portfolio companies;


•	general economic and political trends and other external factors;


•	the ability of GC Advisors to locate suitable investments for us and to monitor and administer our investments;


•	the ability of GC Advisors or its affiliates to attract and retain highly talented professionals;


•	our ability to qualify and maintain our qualification as a regulated investment company, or RIC, and as a business development company;


•	general price and volume fluctuations in the stock markets;


•	the impact on our business of the Dodd-Frank Wall Street Reform and Consumer Protection Act and the rules and regulations issued thereunder and any actions toward repeal thereof; and


•	the effect of changes to tax legislation and our tax position.

Such forward-looking statements may include statements preceded by, followed by or that otherwise include the words “may,” “might,” “will,” “intend,” “should,” “could,” “can,” “would,” “expect,” “believe,” “estimate,” “anticipate,” ”predict,” “potential,” “plan” or similar words. The forward looking statements contained in this 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 elsewhere in this quarterly report on Form 10-Q and as “Risk Factors” in our annual report on Form 10-K for the year ended September 30, 2017.

We have based the forward-looking statements included in this report on information available to us on the date of this report. Actual results could differ materially from those anticipated in our forward-looking statements and future results could differ materially from historical performance. You are advised to consult any additional disclosures that we may make directly to you or through reports that we have filed or 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. This quarterly report on Form 10-Q contains statistics and other data that have been obtained from or compiled from information made available by third-party service providers. We have not independently verified such statistics or data.

Overview

We are an externally managed, closed-end, non-diversified management investment company that has elected to be regulated as a business development company under the Investment Company Act of 1940, as amended, or the 1940 Act. In addition, for U.S. federal income tax purposes, we have elected to be treated as a RIC under Subchapter M of the Internal Revenue Code of 1986, as amended, or the Code. As a business development company and a RIC, we are also subject to certain constraints, including limitations imposed by the 1940 Act and the Code. We were formed in September 2014 and commenced operations on December 31, 2014.

Our investment objective is to generate current income and capital appreciation by investing primarily in senior secured and one stop loans of U.S. middle-market companies. We may also selectively invest in second lien and subordinated loans of, and warrants and minority equity securities in, U.S. middle-market companies. We intend to achieve our investment objective by (1) accessing the established loan origination channels developed by Golub Capital, a leading lender to U.S. middle-market companies with over $20.0 billion in capital under management as of December 31, 2017, (2) selecting investments within our core middle-market company focus, (3) partnering with experienced private equity firms, or sponsors, in many cases with whom Golub Capital has invested alongside in the past, (4) implementing the disciplined underwriting standards of Golub Capital and (5) drawing upon the aggregate experience and resources of Golub Capital.

Our investment activities are managed by GC Advisors and supervised by our board of directors of which a majority of the members are independent of us, GC Advisors and its affiliates.

Under an investment advisory agreement, or the Investment Advisory Agreement, which was most recently reapproved by our board of directors in May 2017, we have agreed to pay GC Advisors an annual base management fee based on our average adjusted gross assets as well as an incentive fee based on our investment performance. Under an administration agreement, or the Administration Agreement, we are provided with certain administrative services by an administrator, or the Administrator, which is currently Golub Capital LLC.

Under the Administration Agreement, we have agreed to reimburse the Administrator for our allocable portion (subject to the review and approval of our independent directors) of overhead and other expenses incurred by the Administrator in performing its obligations under the Administration Agreement.

We seek to create a portfolio that includes primarily senior secured and one stop loans by primarily investing approximately $5.0 million to $30.0 million of capital, on average, in the securities of U.S. middle-market companies. We may also selectively invest more than $30.0 million in some of our portfolio companies and generally expect that the size of our individual investments will vary proportionately with the size of our capital base.

We generally invest in securities that have been rated below investment grade by independent rating agencies or that would be rated below investment grade if they were rated. These securities, which may be referred to as “junk,” have predominantly speculative characteristics with respect to the issuer’s capacity to pay interest and repay principal. In addition, many of our debt investments have floating interest rates that reset on a periodic basis and typically do not fully pay down principal prior to maturity, which may increase our risk of losing part or all of our investment.

As of December 31, 2017 and September 30, 2017, our portfolio at fair value was comprised of the following:



	As of December 31, 2017				As of September 30, 2017
Investment Type	Investments at Fair Value (In thousands)		Percentage of Total Investments		Investments at Fair Value (In thousands)		Percentage of Total Investments
Senior secured	$	172,455	11.4	%	$	165,620	11.8	%
One stop	1,261,992		83.4		1,161,275		83.1
Subordinated debt	56		0.0	*	55		0.0	*
LLC equity interests in GCIC SLF⁽¹⁾	56,361		3.7		50,104		3.6
Equity	22,285		1.5		20,647		1.5
Total	$	1,513,149	100.0	%	$	1,397,701	100.0	%

* Represents an amount less than 0.1%


⁽¹⁾	Proceeds from the limited liability company, or LLC, equity interests invested in GCIC SLF were utilized by GCIC SLF to invest in senior secured loans.

One stop loans include loans to technology companies undergoing strong growth due to new services, increased adoption and/or entry into new markets. We refer to loans to these companies as late stage lending loans. Other targeted characteristics of late stage lending businesses include strong customer revenue retention rates, a diversified customer base and backing from growth equity or venture capital firms. In some cases, the borrower’s high revenue growth is supported by a high level of discretionary spending. As part of the underwriting of such loans and consistent with industry practice, we may adjust our characterization of the earnings of such borrowers for a reduction or elimination of such discretionary expenses, if appropriate. As of December 31, 2017 and September 30, 2017, one stop loans included $87.0 million and $67.7 million, respectively, of late stage lending loans at fair value.

As of December 31, 2017 and September 30, 2017, we had debt and equity investments in 173 and 167 portfolio companies, respectively, and an investment in GCIC Senior Loan Fund LLC, or GCIC SLF.

The weighted average annualized income yield and weighted average annualized investment income yield of our earning portfolio company investments, which represented nearly 100% of our debt investments, for the three months ended December 31, 2017 and 2016 was as follows:



	For the three months ended December 31,
	2017	2016
Weighted average annualized income yield⁽¹⁾⁽³⁾	7.9%	7.6%
Weighted average annualized investment income yield⁽²⁾⁽³⁾	8.4%	8.1%


⁽¹⁾	Represents income from interest, including subordinated notes in GCIC SLF, and fees excluding amortization of capitalized fees and discounts divided by the average fair value of earning portfolio company investments, and does not represent a return to any investor in us.


⁽²⁾	Represents income from interest, including subordinated notes in GCIC SLF, fees and amortization of capitalized fees and discounts divided by the average fair value of earning portfolio company investments, and does not represent a return to any investor in us.


⁽³⁾	For the three months ending December 31, 2017, weighted average annualized income yield and weighted average annualized investment income yield do not reflect interest income from subordinated notes in GCIC SLF, which were redeemed on December 30, 2016.

The total return, based on the change in the net asset value, or NAV, per share and assuming distributions were reinvested in accordance with the dividend reinvestment plan, or DRIP, for the three months ended December 31, 2017 and 2016, was 2.29% and 2.37%, respectively. The total return does not include sales load.

As of December 31, 2017, GCIC has earned an inception-to-date internal rate of return, or IRR, of 8.8% for stockholders taken as a whole. For the three months ended December 31, 2017 and 2016, GCIC has earned an annual IRR of 9.4% and 9.6%, respectively, for stockholders taken as a whole. An individual stockholder’s IRR may vary based on the timing of their capital transactions. The IRR is the annualized effective compound rate of return

that brings a series of cash flows to the current value of the cash invested. The IRR was computed based on the actual dates of cash inflows (share issuances, including share issuances through the DRIP), outflows (capital distributions), the stockholders’ NAV at the end of the period and distributions declared and payable at the end of the period (residual value of the stockholders’ NAV and distributions payable as of each measurement date).

Revenues: We generate revenue in the form of interest and fee income on debt investments and capital gains and distributions, if any, on portfolio company investments that we originate or acquire. Our debt investments typically have a term of three to seven years and bear interest at a fixed or floating rate. In some instances, we receive payments on our debt investments based on scheduled amortization of the outstanding balances. In addition, we receive repayments of some of our debt investments prior to their scheduled maturity date. The frequency or volume of these repayments fluctuates significantly from period to period. Our portfolio activity also reflects the proceeds of sales of securities. In some cases, our investments provide for deferred interest payments or payment-in-kind, or PIK, interest. The principal amount of loans and any accrued but unpaid interest generally become due at the maturity date. In addition, we may generate revenue in the form of commitment, origination, amendment, structuring or due diligence fees, fees for providing managerial assistance and consulting fees. Loan origination fees, original issue discount and market discount or premium are capitalized, and we accrete or amortize such amounts as interest income. We record prepayment premiums on loans as fee income. For additional details on revenues, see “Critical Accounting Policies - Revenue Recognition.”

We recognize realized gains or losses on investments based on the difference between the net proceeds from the disposition and the amortized cost basis of the investment, without regard to unrealized gains or losses previously recognized. We record current period changes in fair value of investments that are measured at fair value as a component of the net change in unrealized appreciation (depreciation) on investments and foreign currency translation in the Consolidated Statements of Operations.

Significant U.S. federal tax reform legislation was recently enacted that, among other things, permanently reduces the maximum federal corporate income tax rate, reduces the maximum individual income tax rate (effective for taxable years 2018 through 2025), restricts the deductibility of business interest expense, changes the rules regarding the calculation of net operating loss deductions that may be used to offset taxable income, expands the circumstances in which a foreign corporation will be treated as a “controlled foreign corporation” and, under certain circumstances, requires accrual method taxpayers to recognize income for U.S. federal income tax purposes no later than the income is taken into account as revenue in an applicable reporting period. Although we do not expect any material, negative impact on us and our portfolio companies as a result of this legislation, we are continuing to evaluate.

Expenses: Our primary operating expenses include the payment of fees to GC Advisors under the Investment Advisory Agreement and interest expense on our outstanding debt. We bear all out-of-pocket costs and expenses of our operations and transactions, including:


•	reimbursement to GC Advisors of organizational and offering expenses up to an aggregate amount of $0.7 million;


•	calculating our NAV (including the cost and expenses of any independent valuation firm);

•

fees and expenses incurred by GC Advisors payable to third parties, including agents, consultants or other advisors, in monitoring financial and legal affairs for us and in monitoring our investments and performing due diligence on our prospective portfolio companies or otherwise relating to, or associated with, evaluating and making investments, which fees and expenses may include, among other items, due diligence reports, appraisal reports, any studies that may be commissioned by GC Advisors and travel and lodging expenses;


•	expenses related to unsuccessful portfolio acquisition efforts;


•	administration fees and expenses, if any, payable under the Administration Agreement (including payments based upon our allocable portion of the Administrator’s overhead in performing its obligations under the Administration Agreement, including rent and the allocable portion of the cost of our chief compliance officer, chief financial officer and their respective staffs);


•	fees payable to third parties, including agents, consultants or other advisors, relating to, or associated with, evaluating and making investments in portfolio companies, including costs associated with meeting financial sponsors;


•	transfer agent, dividend agent and custodial fees and expenses;


•	U.S. federal and state registration and franchise fees;


•	U.S. federal, state and local taxes;


•	independent directors’ fees and expenses;


•	costs of preparing and filing reports or other documents required by the SEC or other regulators;


•	costs of any reports, proxy statements or other notices to stockholders, including printing costs;


•	costs associated with individual or group stockholders;


•	costs associated with compliance under the Sarbanes-Oxley Act of 2002, or the Sarbanes-Oxley Act;


•	our allocable portion of any fidelity bond, directors and officers/errors and omissions liability insurance, and any other insurance premiums;


•	direct costs and expenses of administration, including printing, mailing, long distance telephone, copying, secretarial and other staff, independent auditors and outside legal costs;


•	proxy voting expenses; and


•	all other expenses incurred by us or the Administrator in connection with administering our business.

We expect our general and administrative expenses to be relatively stable or decline as a percentage of total assets during periods of asset growth and to increase during periods of asset declines.

GC Advisors, as collateral manager for Golub Capital Investment Corporation 2016(M) LLC, or the GCIC 2016 Issuer, our wholly-owned subsidiary, under a collateral management agreement, or the GCIC 2016 Collateral Management Agreement, is entitled to receive an annual fee in an amount equal to 0.25% of the principal balance of the portfolio loans held by the GCIC 2016 Issuer at the beginning of the collection period relating to each payment date, which is payable in arrears on each payment date. Under the GCIC 2016 Collateral Management Agreement, the term “collection period” refers to a quarterly period running from the day after the end of the prior collection period to the tenth business day prior to the payment date.

Collateral management fees are paid directly by the GCIC 2016 Issuer to GC Advisors and offset against the management fees payable under the Investment Advisory Agreement. In addition, the GCIC 2016 Issuer paid Wells Fargo Securities, LLC structuring and placement fees for its services in connection with the initial structuring of a $410.1 million term debt securitization, or the GCIC 2016 Debt Securitization. The GCIC 2016 Issuer also agreed to pay ongoing administrative expenses to the trustee, collateral manager, independent accountants, legal counsel, rating agencies and independent managers in connection with developing and maintaining reports and providing required services in connection with the administration of the GCIC 2016 Debt Securitization.

We believe that these administrative expenses approximate the amount of ongoing fees and expenses that we would be required to pay in connection with a traditional secured credit facility. Our common stockholders indirectly bear all of these expenses.

Recent Developments

On November 17, 2017 and February 6, 2018, our board of directors declared distributions to holders of record as set forth in the table below:



Record Date	Payment Date	Amount Per Share
January 23, 2018	February 26, 2018	Net increase in net assets resulting from operations earned by us (if positive) as determined in accordance with GAAP for the period January 1, 2018 through January 31, 2018 per share
February 23, 2018	May 23, 2018	Net increase in net assets resulting from operations earned by us (if positive) as determined in accordance with GAAP for the period February 1, 2018 through February 28, 2018 per share
March 30, 2018	May 23, 2018	Net increase in net assets resulting from operations earned by us (if positive) as determined in accordance with GAAP for the period March 1, 2018 through March 31, 2018 per share
April 27, 2018	July 24, 2018	Net increase in net assets resulting from operations earned by us (if positive) as determined in accordance with GAAP for the period April 1, 2018 through April 30, 2018 per share

On January 1, 2018, we reached agreements to cancel undrawn subscriptions totaling $55.8 million in the aggregate.

On January 19, 2018, we issued capital calls to stockholders that were due on January 29, 2018, which are summarized in the following table:



	Date	Shares Issued	NAV ($) per share		Proceeds
					(In thousands)
Issuance of shares	1/29/2018	1,407,782.320	$	15.00	$	21,117

On February 7, 2018, we entered into an amendment to the Revolver to extend the maturity date to February 5, 2021. No other terms of the Revolver changed pursuant to such amendment.

Consolidated Results of Operations

Consolidated operating results for for the three months ended December 31, 2017 and 2016 are as follows:



	For the three months ended December 31,					Variances
	2017			2016		2017 vs. 2016
	(In thousands)
Interest income	$	27,045		$	19,359	$	7,686
Income from accretion of discounts and origination fees	2,026			1,390		636
Interest and dividend income from investments in GCIC SLF ⁽¹⁾	1,130			1,153		(23		)
Dividend income	2			1		1
Fee income	391			146		245
Total investment income	30,594			22,049		8,545
Net expenses	14,813			11,245		3,568
Net investment income	15,781			10,804		4,977
Net realized gain (loss) on investments and foreign currency transactions	(486		)	197		(683		)
Net change in unrealized appreciation (depreciation) on investments and translation of assets in foreign currencies	2,519			3,579		(1,060		)
Net increase in net assets resulting from operations	$	17,814		$	14,580	$	3,234
Average earning debt investments, at fair value	$	1,374,161		$	1,017,973	$	356,188
Average investment in subordinated notes of GCIC SLF, at fair value	—			34,157		(34,157		)
Average earning portfolio company investments, at fair value ⁽²⁾	$	1,374,161		$	1,052,130	$	322,031


⁽¹⁾	For the three months ended December 31, 2016, the investments in GCIC SLF include our investments in both subordinated notes (prior to their redemption by GCIC SLF on December 30, 2016) and LLC equity interests in GCIC SLF.


⁽²⁾	Does not include our investment in LLC equity interests in GCIC SLF.

Net income can vary substantially from period to period for various reasons, including the recognition of realized gains and losses and unrealized appreciation and depreciation. As a result, quarterly comparisons of net income may not be meaningful.

As we have continued to raise and deploy capital, we have experienced significant growth in total assets, total liabilities and net assets from December 31, 2016 to December 31, 2017. As a result, quarterly comparisons of operating results may not be meaningful.

Investment Income

Investment income increased from the three months ended December 31, 2016 to the three months ended December 31, 2017 by $8.5 million primarily as a result of an increase in the average earning debt investment balance, which is the average balance of accruing loans, in our investment portfolio of $322.0 million and increases in prepayment fee income and accretion of discounts resulting from increased debt investment payoffs.

The annualized income yield by debt security type for the three months ended December 31, 2017 and 2016 was as follows:



	For the three months ended December 31,
	2017	2016
Senior secured	6.5%	6.2%
One stop	8.1%	7.8%
Subordinated debt ⁽¹⁾	19.8%	19.8%
Subordinated notes in GCIC SLF ⁽²⁾	N/A	8.5%


⁽¹⁾	Represents one portfolio company investment.


⁽²⁾	GCIC SLF’s proceeds from the subordinated notes were utilized by GCIC SLF to invest in senior secured loans. GCIC SLF redeemed the outstanding balance on the subordinated notes on December 30, 2016.

Annualized income yields on senior secured and one stop loans have increased for the three months ended December 31, 2017 compared to the three months ended December 31, 2016 primarily due to the rise in the London Interbank Offered Rate, or LIBOR. As of December 31, 2017, we have one subordinated debt investment as shown in the Consolidated Schedule of Investments.

For additional details on investment yields and asset mix, refer to the “Liquidity and Capital Resources - Portfolio Composition, Investment Activity and Yield” section below.

Expenses

The following table summarizes our expenses for the three months ended December 31, 2017 and 2016:



	For the three months ended December 31,				Variances
	2017		2016		2017 vs. 2016
	(In thousands)
Interest and other debt financing expenses	$	6,326	$	4,023	$	2,303
Amortization of debt issuance costs	553		899		(346		)
Base management fee, net of waiver	3,626		2,761		865
Income Incentive Fee, net of waiver	2,853		2,030		823
Capital gain incentive fee accrued under GAAP	385		698		(313		)
Professional fees	522		442		80
Administrative service fee	495		362		133
General and administrative expenses	53		30		23
Total expenses	$	14,813	$	11,245	$	3,568
Average debt outstanding	$	694,299	$	513,232	$	181,067

Interest Expense

Interest and other debt financing expenses increased by $2.3 million from the three months ended December 31, 2016 to the three months ended December 31, 2017 primarily due to an increase in the weighted average of outstanding borrowings from $513.2 million for the three months ended December 31, 2016 to $694.3 million for the three months ended December 31, 2017 and an increase in LIBOR, which is the index that determines the interest rate on our floating rate liabilities. The increase in our weighted average debt outstanding was driven by an increase in the weighted average debt outstanding balance under the Credit Facility from $185.7 million for the three months ended December 31, 2016 to $366.8 million for the three months ended December 31, 2017. The effective

annualized average interest rate on our outstanding debt increased to 3.9% for the three months ended December 31, 2017 from 3.8% for the three months ended December 31, 2016 primarily due to the increase in LIBOR, which was offset by a decrease in amortization of debt issuance costs.

Management Fees

The base management fee increased as a result of a sequential increase in average assets from the three months ended December 31, 2016 to the three months ended December 31, 2017.

Incentive Fees

The incentive fee payable under the Investment Advisory Agreement consists of two parts: (1) the income component, or the Income Incentive Fee, and (2) the capital gains component, or the Capital Gain Incentive Fee. The Income Incentive Fee increased by $0.8 million from three months ended December 31, 2017 to the three months ended December 31, 2016 primarily as a result of the $322.0 million increase in our average earning debt investment balances that resulted in an increase in our Pre-Incentive Fee Net Investment Income (as defined below). For the three months ended December 31, 2017 and 2016, we were fully through the catch-up provision of the Income Incentive Fee calculation and the Income Incentive Fee earned by GC Advisors as a percentage of Pre-Incentive Fee Net Investment Income. "Pre-Incentive Fee Net Investment Income" means interest income, dividend income and any other income (including any other fees such as commitment, origination, structuring, diligence and consulting fees or other fees that we receive from portfolio companies, but excluding fees for providing managerial assistance) accrued during the calendar quarter, minus operating expenses for the calendar quarter (including the base management fee, taxes, any expenses payable under the Investment Advisory Agreement and the Administration Agreement, any expenses of securitizations and any interest expense and dividends paid on any outstanding preferred stock, but excluding the incentive fee). Pre-Incentive Fee Net Investment Income includes, in the case of investments with a deferred interest feature such as market discount, debt instruments with PIK interest, preferred stock with PIK dividends and zero coupon securities, accrued income that we have not yet received in cash.

In accordance with GAAP, we are required to include the aggregate unrealized capital appreciation on investments in the calculation and accrue a capital gain incentive fee as if such unrealized capital appreciation were realized, even though such unrealized capital appreciation is not permitted to be considered in calculating the fee actually payable under the Investment Advisory Agreement.

We recorded an accrual for capital gain incentive fee under GAAP of $0.4 million or $0.01 per share, for the three months ended December 31, 2017, and $0.7 million, or $0.02 per share, for the three months ended December 31, 2016, respectively. The decrease in the accrual for capital gain incentive fee under GAAP for the three months ended December 31, 2017 from the three months ended December 31, 2016 was primarily the result of decreased unrealized appreciation on portfolio company investments and the realized loss on the write off of one non-accrual portfolio company investment. For additional details on unrealized appreciation and depreciation of investments, refer to the “Net Realized and Unrealized Gains and Losses” see section below.

As of December 31, 2017 and September 30, 2017, the cumulative capital gain incentive fee accrual in accordance with GAAP was $2,056 and $1,671, respectively, of which $0 and $0, respectively, was payable as a Capital Gain Incentive Fee pursuant to the Investment Advisory Agreement.

Professional Fees, Administrative Service Fees, and General and Administrative Expenses

In total, professional fees, the administrative service fee, and general and administrative expenses increased by $0.2 million from the three months ended December 31, 2016 to the three months ended December 31, 2017 . These increases are associated with increased costs to service a growing portfolio. In general, we expect certain of our operating expenses, including professional fees, the administrative service fee, and other general and administrative expenses to decline as a percentage of our total assets during periods of growth and increase as a percentage of our total assets during periods of asset declines.The Administrator pays for certain expenses incurred by us. These expenses are subsequently reimbursed in cash. Total expenses reimbursed by us to the Administrator for the three months ended December 31, 2017 and 2016 were $0.5 million and $0.3 million, respectively.

As of December 31, 2017 and September 30, 2017, included in accounts payable and accrued expenses were $0.4 million and $0.5 million, respectively, for accrued expenses paid on behalf of us by the Administrator.

Net Realized and Unrealized Gains and Losses

The following table summarizes our net realized and unrealized gains (losses) for the periods presented:



	For the three months ended December 31,						Variances
	2017			2016			2017 vs. 2016
	(In thousands)
Net realized gain (loss) on investments	$	(449	)	$	197		$	(646	)
Foreign currency transactions	(37		)	—			(37		)
Net realized gain (loss) on investments and foreign currency transactions	(486		)	197			(683		)
Unrealized appreciation on investments	6,360			6,022			338
Unrealized (depreciation) on investments	(4,593		)	(2,644		)	(1,949		)
Unrealized appreciation on investments in GCIC SLF ⁽¹⁾	744			201			543
Unrealized appreciation on translation of assets in foreign currencies	8			—			8
Net change in unrealized appreciation (depreciation) on investments, investments in GCIC SLF, and foreign currency transactions	$	2,519		$	3,579		$	(1,060	)


⁽¹⁾	Unrealized appreciation on investments in GCIC SLF includes our investment in LLC equity interests in GCIC SLF.

For the three months ended December 31, 2017, we had a net realized loss of $0.5 million primarily due to the realized loss on the write off of one non-accrual portfolio company investment that was partially offset by realized gains resulting from the sale of portfolio company investments to GCIC SLF and the sale of two equity investments above their fair value.

For the three months ended December 31, 2017, we had $6.4 million in unrealized appreciation on 88 portfolio company investments, which was partially offset by $4.6 million in unrealized depreciation on 140 portfolio company investments. Unrealized depreciation primarily resulted from the amortization of discounts, negative credit related adjustments that caused a reduction in fair value and the reversal of the net unrealized appreciation associated with the sales of portfolio company investments during the three months ended December 31, 2017.

For the three months ended December 31, 2017, we had $0.7 million in unrealized appreciation on our investment in GCIC SLF LLC equity interests. Unrealized appreciation during the three months ended December 31, 2017 resulted from an increase in fair value primarily due to the rise in market prices of portfolio company investments held by GCIC SLF.

For the three months ended December 31, 2016, we had a net realized gain of $0.2 million resulting from the sale of portfolio company investments to GCIC SLF.

For the three months ended December 31, 2016, we had $6.0 million in unrealized appreciation on 87 portfolio company investments, which was partially offset by $2.6 million in unrealized depreciation on 114 portfolio company investments. Unrealized appreciation during the three months ended December 31, 2016 resulted from an increase in fair value primarily due to the rise in market prices of portfolio company investments. Unrealized depreciation primarily resulted from the amortization of discounts, negative credit related adjustments that caused a reduction in fair value and the reversal of the net unrealized appreciation associated with the sales of portfolio company investments during the three months ended December 31, 2016.

For the three months ended December 31, 2016, we had $0.2 million in unrealized appreciation on our investment in GCIC SLF equity interests. Unrealized appreciation during the three months ended December 31, 2016 resulted

from an increase in fair value primarily due to the rise in market prices of portfolio company investments held by GCIC SLF.

Liquidity and Capital Resources

For the three months ended December 31, 2017, we experienced a net decrease in cash, cash equivalents and restricted cash and cash equivalents of $16.0 million. During the period we used $95.7 million in operating activities, primarily as a result of fundings of portfolio investments of $202.5 million, partially offset by proceeds from principal payments and sales of portfolio investments of $90.7 million and net investment income of $15.8 million. Lastly, cash provided by financing activities was $79.7 million, primarily driven by borrowings on debt of $129.8 million and proceeds from the issuance of common shares of $34.4 million that were partially offset by repayments of debt of $75.4 million million and distributions paid of $9.1 million.

For the three months ended December 31, 2016, we experienced a net decrease in cash, cash equivalents and restricted cash and cash equivalents of $36.4 million. During the period we used $25.2 million in operating activities, primarily as a result of fundings of portfolio investments of $103.2 million, partially offset by proceeds from principal payments and sales of portfolio investments of $65.3 million and net investment income of $10.8 million. Lastly, cash used by financing activities was $11.2 million, primarily driven by repayments of debt of $75.2 million and distributions paid of $8.7 million that were partially offset by borrowings on debt of $72.7 million.

As of December 31, 2017 and September 30, 2017, we had cash and cash equivalents of $8.9 million and $22.9 million, respectively. In addition, we had restricted cash and cash equivalents of $25.7 million and $28.3 million as of December 31, 2017 and September 30, 2017, respectively. Cash and cash equivalents are available to fund new investments, pay operating expenses and pay distributions. As of December 31, 2017, $13.6 million of our restricted cash and cash equivalents could be used to fund new investments that meet the investment guidelines established in the GCIC 2016 Debt Securitization, which is described in further detail in Note 7 to our consolidated financial statements, and for the payment of interest expense on the notes issued in the GCIC 2016 Debt Securitization. As of December 31, 2017, $12.1 million of our restricted cash and cash equivalents could be used to fund investments that meet the guidelines under the Credit Facility as well as for the payment of interest expense and revolving debt of the Credit Facility.

As of December 31, 2017, the Credit Facility allowed GCIC Funding to borrow up to $420.0 million at any one time outstanding, subject to leverage and borrowing base restrictions. As of December 31, 2017 and September 30, 2017, we had $397.1 million and $342.7 million outstanding under the Credit Facility, respectively. As of December 31, 2017 and September 30, 2017, subject to leverage and borrowing base restrictions, we had approximately $22.9 million and $77.3 million, respectively, of remaining commitments and $20.9 million and $59.0 million, respectively, of availability on the Credit Facility.

As of December 31, 2017, the SMBC Revolver allowed us to borrow up to $75.0 million at any one time outstanding, subject to leverage and borrowing base restrictions. As of each of December 31, 2017 and September 30, 2017, we had $75,000.0 million outstanding under the SMBC Revolver. As of each of December 31, 2017 and September 30, 2017, subject to leverage and borrowing base restrictions, we had $0 million of remaining commitments and $0 million of availability under the SMBC Revolver.

As of December 31, 2017, we were permitted to borrow up to $40.0 million at any one time outstanding, under the terms of the Revolver with GC Advisors. We entered into the Revolver in order to have the ability to borrow funds on a short-term basis and have in the past, and generally intend in the future, that borrowings under the Revolver will be repaid within the same quarter in which they are drawn. As of each of December 31, 2017 and September 30, 2017, we had no amounts outstanding under the Revolver.

On August 16, 2016, we completed the GCIC 2016 Debt Securitization in which the GCIC 2016 Issuer issued an aggregate of $410.1 million of GCIC 2016 Notes, including $220.0 million of Class A GCIC 2016 Notes, which bear interest at a rate of three-month LIBOR plus 2.15%, $32.5 million of Class B GCIC 2016 Notes, which bear interest at a rate of three-month LIBOR plus 3.00%, $42.3 million of Class C GCIC 2016 Notes, which bear interest

at a rate of three-month LIBOR plus 3.10%, and $28.6 million of Class D GCIC 2016 Notes, which bear interest at a rate of three-month LIBOR plus 3.25%, and $86.7 million of LLC equity interests in the GCIC 2016 Issuer that do not bear interest. We retained all of the Class C and Class D GCIC 2016 Notes and LLC equity interests in the GCIC 2016 Issuer totaling $42.3 million, $28.6 million and $86.7 million, respectively. The Class A and Class B GCIC 2016 Notes are included in the December 31, 2017 and September 30, 2017 Consolidated Statements of Financial Condition as our debt and the Class C GCIC 2016 Notes, Class D GCIC 2016 Notes and LLC equity interests in the GCIC 2016 issuer were eliminated in consolidation. As of each of December 31, 2017 and September 30, 2017, we had outstanding debt under the GCIC 2016 Debt Securitization of $252.5 million.

As of December 31, 2017 and September 30, 2017, we had investor capital subscriptions totaling $1,301.6 million and $1,301.6 million, respectively, of which $749.3 million and $716.0 million, respectively, had been called and contributed, leaving $552.3 million and $585.6 million of uncalled investor capital subscriptions, respectively. Prior to the completion of a public offering or other liquidity event, we expect to target a leverage ratio of between 0.85x to 0.90x and may issue capital calls to stock holders as our leverage ratio is at or approaching its target. GC Advisors has determined that it is possible that not all remaining undrawn commitments to purchase our common stock will be drawn prior to a public offering or other liquidity event and, we expect to reach agreements from time to time with one or more stockholders to cancel all or a portion of their remaining undrawn commitments. On January 1, 2018, we reached agreements to cancel undrawn subscriptions totaling $55.8 million in the aggregate. We do not expect such agreements to be material to us, individually or in the aggregate.

In accordance with the 1940 Act, with certain limited exceptions, we are only allowed to borrow amounts such that our asset coverage, as defined in the 1940 Act, is at least 200% after such borrowing. As of December 31, 2017, our asset coverage for borrowed amounts was 211.7%.

As of December 31, 2017 and September 30, 2017, we had outstanding commitments to fund investments, excluding our investment in GCIC SLF, totaling $155.3 million and $133.6 million, respectively. These amounts may or may not be funded to the borrowing party now or in the future. The unfunded commitments relate to loans with various maturity dates, but the entire amount was eligible for funding to the borrowers as of December 31, 2017 and September 30, 2017, respectively, subject to the terms of each loan’s respective credit agreement. As of December 31, 2017, we believe that we had sufficient assets and liquidity to adequately cover future obligations under our unfunded commitments based on historical rates of drawings upon unfunded commitments, cash and restricted cash balances that we maintain, availability under our Credit Facility, SMBC Revolver and Revolver, ongoing principal repayments on debt investments assets and uncalled investor capital subscriptions.

Although we expect to fund the growth of our investment portfolio through net proceeds from capital calls on existing investor capital subscriptions and through our dividend reinvestment plan as well as future borrowings, to the extent permitted by the 1940 Act, we cannot assure you that our efforts to raise capital will be successful. In addition, we may, from time to time, amend or refinance our leverage facilities and borrowings, including refinancing the 2016 Notes, in order to, among other things, modify covenants or the interest rates payable and extend the reinvestment period or maturity date. In addition to capital not being available, it also may not be available on favorable terms. To the extent we are not able to raise capital on what we believe are favorable terms, we will focus on optimizing returns by investing in capital generated by repayments into new investments we believe are attractive from a risk/reward perspective. Furthermore, to the extent we are not able to raise capital and are at or near our targeted leverage ratios, we may receive smaller allocations, if any, on new investment opportunities under GC Advisors’ allocation policy.

Portfolio Composition, Investment Activity and Yield

As of December 31, 2017 and September 30, 2017 we had investments in 173 and 165 portfolio companies, respectively, with a total fair value of $1,456.8 million and $1,347.6 million, respectively. As of December 31, 2017 and September 30, 2017, we had investments in GCIC SLF with a total fair value of $56.4 million and $50.1 million, respectively.

The following table shows the asset mix of our new investment commitments for the three months ended December 31, 2017 and 2016:



	For the three months ended December 31,
	2017				2016
	(In thousands)		Percentage of Commitments		(In thousands)		Percentage of Commitments
Senior secured	$	56,324	24.2	%	$	16,990	16.5	%
One stop	169,015		72.8		76,870		74.8
Subordinated debt	—		—		11		0.0	*
LLC equity interests in GCIC SLF⁽¹⁾	5,513		2.4		8,803		8.6
Equity	1,397		0.6		157		0.1
Total new investment commitments	$	232,249	100.0	%	$	102,831	100.0	%

^* Represents an amount less than 0.1%.


⁽¹⁾	GCIC SLF’s proceeds from the LLC equity interests were utilized by GCIC SLF to invest in senior secured loans. As of December 31, 2017, GCIC SLF had investments in senior secured loans to 40 different borrowers.

For the three months ended December 31, 2017, we had approximately $71.7 million in proceeds from principal payments and return of capital distributions of portfolio companies. For the three months ended December 31, 2016, we had approximately $42.5 million in proceeds from principal payments and return of capital distributions of portfolio companies, excluding $34.9 million of proceeds from the repayment in full and termination of our investment in subordinated notes of GCIC SLF. For the three months ended December 31, 2017 and 2016, we had sales of securities in 15 and 8 portfolio companies, respectively, aggregating approximately $19.0 and $22.8 million, respectively, in net proceeds.

The following table shows the principal, amortized cost and fair value of our portfolio of investments by asset class:



	As of December 31, 2017 ⁽¹⁾						As of September 30, 2017 ⁽¹⁾
	Principal		Amortized Cost		Fair Value		Principal		Amortized Cost		Fair Value
	(In thousands)						(In thousands)
Senior secured:
Performing	$	174,397	$	172,417	$	172,455	$	167,646	$	165,642	$	165,620
One stop:
Performing	1,269,738		1,252,469		1,261,967		1,167,906		1,151,903		1,160,964
Non-accrual ⁽²⁾	62		37		25		1,101		1,076		311
Subordinated debt:
Performing	56		56		56		55		55		55
LLC equity interests in GCIC SLF ⁽³⁾	N/A		55,312		56,361		N/A		49,800		50,104
Equity	N/A		18,855		22,285		N/A		17,733		20,647
Total	$	1,444,253	$	1,499,146	$	1,513,149	$	1,336,708	$	1,386,209	$	1,397,701


⁽¹⁾	16 and 15 of our loans included a feature permitting a portion of the interest due on such loan to be PIK interest as of December 31, 2017 and September 30, 2017, respectively.


⁽²⁾	We refer to a loan as non-accrual when we cease recognizing interest income on the loan because we have stopped pursuing repayment of the loan or, in certain circumstances, it is past due 90 days or more on principal and interest or our management has reasonable doubt that principal or interest will be collected. See “— Critical Accounting Policies — Revenue Recognition.”


⁽³⁾	GCIC SLF's proceeds from the LLC equity interests in GCIC SLF were utilized by GCIC SLF to invest in senior secured loans.

As of December 31, 2017 and September 30, 2017, the fair value of our debt investments as a percentage of the outstanding principal value was 99.3% and 99.3%, respectively.

The following table shows the weighted average rate, spread over LIBOR of floating rate and fees of investments originated and the weighted average rate of sales and payoffs of portfolio companies during the three months ended December 31, 2017 and 2016:



	For the three months ended December 31,
	2017	2016
Weighted average rate of new investment fundings⁽¹⁾	7.5%	7.0%
Weighted average spread over LIBOR of new floating rate investment fundings⁽¹⁾	6.0%	6.0%
Weighted average fees of new investment fundings	1.3%	1.7%
Weighted average rate of sales and payoffs of portfolio investments⁽¹⁾⁽²⁾	7.1%	6.5%
Weighted average annualized income yield ⁽³⁾⁽⁴⁾	7.9%	7.6%


⁽¹⁾	Excludes our subordinated note investment in GCIC SLF.


⁽²⁾	Excludes exits on investments on non-accrual status.


⁽³⁾	Represents income from interest, including our subordinated note investment in GCIC SLF, and fees excluding amortization of capitalized fees and discounts divided by the average fair value of earning debt investments and does not represent a return to any investor in us.


⁽⁴⁾	For the three months ending December 31, 2017, weighted average annualized income yield does not reflect interest income from subordinated notes in GCIC SLF, which were redeemed on December 30, 2016.

As of December 31, 2017, 99.8% and 99.8% of our debt portfolio at fair value and at amortized cost, respectively, had interest rate floors that limit the minimum applicable interest rates on such loans. As of September 30, 2017, 99.8% and 99.8% of our debt portfolio at fair value and at amortized cost, respectively, had interest rate floors that limit the minimum applicable interest rates on such loans.

As of December 31, 2017 and September 30, 2017, the portfolio median earnings before interest, taxes, depreciation and amortization, or EBITDA, for our portfolio companies (excluding GCIC SLF and its underlying borrowers) was $26.5 million and $25.2 million, respectively. The portfolio median EBITDA is based on the most recently reported trailing twelve-month EBITDA received from the portfolio company.

As part of the monitoring process, GC Advisors regularly assesses the risk profile of each of our investments and rates each of them based on an internal system developed by Golub Capital and its affiliates. This system is not generally accepted in our industry or used by our competitors. It is based on the following categories, which we refer to as GC Advisors’ internal performance ratings:




Internal Performance Ratings
Rating		Definition
5		Involves the least amount of risk in our portfolio. The borrower is performing above expectations, and the trends and risk factors are generally favorable.
4		Involves an acceptable level of risk that is similar to the risk at the time of origination. The borrower is generally performing as expected, and the risk factors are neutral to favorable.
3		Involves a borrower performing below expectations and indicates that the loan’s risk has increased somewhat since origination. The borrower may be out of compliance with debt covenants; however, loan payments are generally not past due.
2		Involves a borrower performing materially below expectations and indicates that the loan’s risk has increased materially since origination. In addition to the borrower being generally out of compliance with debt covenants, loan payments may be past due (but generally not more than 180 days past due).
1		Involves a borrower performing substantially below expectations and indicates that the loan’s risk has substantially increased since origination. Most or all of the debt covenants are out of compliance and payments are substantially delinquent. Loans rated 1 are not anticipated to be repaid in full and we will reduce the fair market value of the loan to the amount we anticipate will be recovered.

Our internal performance ratings do not constitute any rating of investments by a nationally recognized statistical rating organization or represent or reflect any third-party assessment of any of our investments.

For any investment rated 1, 2 or 3, GC Advisors will increase its monitoring intensity and prepare regular updates for the investment committee, summarizing current operating results and material impending events and suggesting recommended actions.

GC Advisors monitors and, when appropriate, changes the internal performance ratings assigned to each investment in our portfolio. In connection with our valuation process, GC Advisors and our board of directors review these internal performance ratings on a quarterly basis.

The following table shows the distribution of our investments on the 1 to 5 internal performance rating scale at fair value as of December 31, 2017 and September 30, 2017:



	December 31, 2017				September 30, 2017
Internal Performance Rating	Investments at Fair Value (In thousands)		Percentage of Total Investments		Investments at Fair Value (In thousands)		Percentage of Total Investments
5	$	43,056	2.8	%	$	22,656	1.6	%
4	1,343,033		88.8		1,246,641		89.2
3	124,712		8.2		127,947		9.2
2	2,332		0.2		155		0.0	*
1	16		0.0	*	302		0.0	*
Total	$	1,513,149	100.0	%	$	1,397,701	100.0	%

^* Represents an amount less than 0.1%.

GCIC Senior Loan Fund LLC:

We co-invest with Aurora National Life Assurance Company, a wholly-owned subsidiary of RGA Reinsurance Company, or Aurora, in senior secured loans through GCIC SLF, an unconsolidated Delaware LLC. GCIC SLF is capitalized as transactions are completed and all portfolio and investment decisions in respect of GCIC SLF must be approved by the GCIC SLF investment committee consisting of two representatives of each of us and Aurora (with unanimous approval required from (i) one representative of each of us and Aurora or (ii) both representatives of each of us and Aurora). GCIC SLF may cease making new investments upon notification of either member but operations will continue until all investments have been sold or paid-off in the normal course of business.

As of December 31, 2017, GCIC SLF is capitalized by LLC equity interest subscriptions from its members. On December 14, 2016, the GCIC SLF investment committee approved the recapitalization of the commitments of GCIC SLF’s members. On December 30, 2016, GCIC SLF’s members entered into additional LLC equity interest subscriptions totaling $100.0 million, GCIC SLF issued capital calls totaling $39.9 million to us and Aurora and the subordinated notes previously issued by GCIC SLF were redeemed and terminated. As of December 31, 2017 and September 30, 2017, we and Aurora owned 87.5% and 12.5%, respectively, of the LLC equity interests. GCIC SLF’s profits and losses are allocated to us and Aurora in accordance with our respective ownership interests.

As of December 31, 2017 and September 30, 2017, GCIC SLF had the following commitments from its members (int the aggregate):



	As of December 31, 2017				As of September 30, 2017
	Committed		Funded⁽¹⁾		Committed		Funded
	(In thousands)
LLC equity commitments	$	125,000	$	63,214	$	125,000	$	56,914
Total	$	125,000	$	63,214	$	125,000	$	56,914


⁽¹⁾	Funded LLC equity commitments are presented net of return of capital distributions subject to recall.

On October 21, 2015, GCIC Senior Loan Fund II LLC, or GCIC SLF II, a wholly-owned subsidiary of GCIC SLF, entered into a senior secured revolving credit facility, or, as amended, the GCIC SLF Credit Facility, with Wells Fargo Bank, N.A., which allowed GCIC SLF II to borrow up to $150 million at any one time outstanding, subject to leverage and borrowing base restrictions. The reinvestment period of the GCIC SLF Credit Facility ends September 27, 2018, and the stated maturity date is September 28, 2022. As of December 31, 2017 and September 30, 2017, GCIC SLF II had outstanding debt under the GCIC SLF Credit Facility of $113.3 million and $108.2 million, respectively.

Through the reinvestment period, the GCIC SLF Credit Facility bears interest at one-month LIBOR plus a rate between 1.75% and 2.15% per annum, depending on the composition of the collateral asset portfolio. After the reinvestment period, the rate will reset to one-month LIBOR plus 2.75% per annum for the remaining term of the GCIC SLF Credit Facility.

As of December 31, 2017 and September 30, 2017, GCIC SLF had total assets at fair value of $177.0 million and $164.6 million, respectively. As of December 31, 2017 and September 30, 2017, GCIC SLF did not have any investments on non-accrual status. The portfolio companies in GCIC SLF are in industries and geographies similar to those in which we may invest directly. Additionally, as of December 31, 2017 and September 30, 2017, GCIC SLF had commitments to fund various undrawn revolvers and delayed draw investments to its portfolio companies totaling $14.0 million and $10.0 million, respectively.

Below is a summary of GCIC SLF’s portfolio, followed by a listing of the individual investments in GCIC SLF’s portfolio as of December 31, 2017 and September 30, 2017:



	As of December 31, 2017			As of September 30, 2017
	(Dollars in thousands)
Senior secured loans⁽¹⁾	$	174,708		$	162,815
Weighted average current interest rate on senior secured loans⁽²⁾	6.8		%	6.4		%
Number of borrowers in GCIC SLF	40			40
Largest portfolio company investments⁽¹⁾	$	8,904		$	8,928
Total of five largest portfolio company investments⁽¹⁾	$	39,415		$	39,540


⁽¹⁾	At principal amount.


⁽²⁾	Computed as the (a) annual stated interest rate on accruing senior secured loans divided by (b) total senior secured loans at principal amount.



GCIC SLF Investment Portfolio as of December 31, 2017
Portfolio Company	Business Description	Security Type	Maturity Date	Current Interest Rate⁽¹⁾	Principal ($)		Fair Value⁽²⁾
					(In thousands)
1A Smart Start LLC	Home and Office Furnishings, Housewares, and Durable Consumer	Senior loan	02/2022	6.4%	$	1,348	$	1,354
1A Smart Start LLC⁽³⁾	Home and Office Furnishings, Housewares, and Durable Consumer	Senior loan	02/2022	6.2	598		599
Aimbridge Hospitality, LLC⁽³⁾	Hotels, Motels, Inns, and Gaming	Senior loan	06/2022	7.1	5,985		5,985
Aimbridge Hospitality, LLC⁽³⁾	Hotels, Motels, Inns, and Gaming	Senior loan	06/2022	7.1	239		239
Argon Medical Devices, Inc.	Healthcare, Education and Childcare	Senior loan	12/2021	6.3	2,816		2,816
Boot Barn, Inc.	Retail Stores	Senior loan	06/2021	6.2	5,285		5,285
Brandmuscle, Inc.	Printing and Publishing	Senior loan	12/2021	6.4	4,023		4,019
CLP Healthcare Services, Inc.	Healthcare, Education and Childcare	Senior loan	12/2020	6.9	2,044		2,003
CLP Healthcare Services, Inc.	Healthcare, Education and Childcare	Senior loan	12/2020	6.9	1,030		1,009
Community Veterinary Partners, LLC	Personal, Food and Miscellaneous Services	Senior loan	10/2021	7.2	2,090		2,090
Community Veterinary Partners, LLC	Personal, Food and Miscellaneous Services	Senior loan	10/2021	7.2	1,051		1,051
Community Veterinary Partners, LLC	Personal, Food and Miscellaneous Services	Senior loan	10/2021	7.2	59		59
Community Veterinary Partners, LLC	Personal, Food and Miscellaneous Services	Senior loan	10/2021	7.2	40		40
Curo Health Services LLC⁽³⁾	Healthcare, Education and Childcare	Senior loan	02/2022	5.4	4,863		4,867
Elite Sportswear, L.P.	Retail Stores	Senior loan	03/2020	6.9	3,086		3,092
Elite Sportswear, L.P.	Retail Stores	Senior loan	03/2020	6.7	1,241		1,235
Elite Sportswear, L.P.	Retail Stores	Senior loan	03/2020	6.9	638		640
Elite Sportswear, L.P.	Retail Stores	Senior loan	03/2020	6.6	217		218
Elite Sportswear, L.P.	Retail Stores	Senior loan	03/2020	6.9	97		97
Elite Sportswear, L.P.	Retail Stores	Senior loan	03/2020	6.6	93		93
Elite Sportswear, L.P.⁽⁴⁾	Retail Stores	Senior loan	03/2020	N/A⁽⁵⁾	—		(2		)
Encore GC Acquisition, LLC	Healthcare, Education and Childcare	Senior loan	01/2020	7.2	2,103		2,103
Flexan, LLC	Chemicals, Plastics and Rubber	Senior loan	02/2020	7.4	2,683		2,683
Flexan, LLC	Chemicals, Plastics and Rubber	Senior loan	02/2020	7.4	745		745
Flexan, LLC⁽³⁾	Chemicals, Plastics and Rubber	Senior loan	02/2020	9.0	125		125
G & H Wire Company, Inc⁽³⁾	Healthcare, Education and Childcare	Senior loan	09/2023	7.2	5,985		5,985
Gamma Technologies, LLC⁽³⁾	Electronics	Senior loan	06/2021	6.3	4,400		4,400
III US Holdings, LLC	Diversified/Conglomerate Service	Senior loan	09/2022	8.2	4,989		4,989
Jensen Hughes, Inc.	Buildings and Real Estate	Senior loan	12/2021	6.4	1,973		1,973
Jensen Hughes, Inc.	Buildings and Real Estate	Senior loan	12/2021	6.6	103		103
Jensen Hughes, Inc.	Buildings and Real Estate	Senior loan	12/2021	6.6	55		55
Mills Fleet Farm Group LLC⁽³⁾	Retail Stores	Senior loan	02/2022	7.1	6,000		6,000
Park Place Technologies LLC⁽³⁾	Electronics	Senior loan	06/2022	6.7	5,992		5,992
Pasternack Enterprises, Inc. and Fairview Microwave, Inc	Diversified/Conglomerate Manufacturing	Senior loan	05/2022	6.6	5,001		5,001
Polk Acquisition Corp.⁽³⁾	Automobile	Senior loan	06/2022	6.6	8,276		8,110
Polk Acquisition Corp.	Automobile	Senior loan	06/2022	6.9	80		78
Polk Acquisition Corp.	Automobile	Senior loan	06/2022	6.6	53		52
PowerPlan Holdings, Inc.⁽³⁾	Utilities	Senior loan	02/2022	6.8	7,126		7,126
Premise Health Holding Corp. ⁽³⁾	Healthcare, Education and Childcare	Senior loan	06/2020	6.2	5,910		5,910
Pyramid Healthcare, Inc.	Healthcare, Education and Childcare	Senior loan	08/2019	8.1	2,470		2,470
Pyramid Healthcare, Inc.	Healthcare, Education and Childcare	Senior loan	08/2019	8.1	167		167
Pyramid Healthcare, Inc.	Healthcare, Education and Childcare	Senior loan	08/2019	8.1	149		149
Pyramid Healthcare, Inc.	Healthcare, Education and Childcare	Senior loan	08/2019	9.8	27		27
Radiology Partners, Inc.⁽³⁾	Healthcare, Education and Childcare	Senior loan	12/2023	7.6	8,097		8,016
Radiology Partners, Inc.⁽³⁾⁽⁴⁾	Healthcare, Education and Childcare	Senior loan	12/2023	N/A⁽⁵⁾	—		(3		)



GCIC SLF Investment Portfolio as of December 31, 2017
Portfolio Company	Business Description	Security Type	Maturity Date	Current Interest Rate⁽¹⁾	Principal ($)		Fair Value⁽²⁾
					(In thousands)
RSC Acquisition, Inc.⁽³⁾	Insurance	Senior loan	11/2022	6.9%	$	3,314	$	3,298
RSC Acquisition, Inc.	Insurance	Senior loan	11/2020	6.2	15		15
Rubio's Restaurants, Inc (MRCC)	Beverage, Food and Tobacco	Senior loan	11/2018	6.4	1,672		1,672
Rug Doctor LLC	Personal and Non Durable Consumer Products (Mfg. Only)	Senior loan	06/2018	6.8	1,466		1,466
Saldon Holdings, Inc.⁽³⁾	Diversified/Conglomerate Service	Senior loan	09/2022	6.0	1,958		1,958
Sarnova HC, LLC	Healthcare, Education and Childcare	Senior loan	01/2022	6.3	3,292		3,292
SEI, Inc.⁽³⁾	Electronics	Senior loan	07/2021	6.3	5,204		5,204
Self Esteem Brands, LLC⁽³⁾	Leisure, Amusement, Motion Pictures, Entertainment	Senior loan	02/2020	6.3	6,291		6,291
Severin Acquisition, LLC⁽³⁾	Diversified/Conglomerate Service	Senior loan	07/2021	6.4	7,828		7,825
Severin Acquisition, LLC	Diversified/Conglomerate Service	Senior loan	07/2021	6.6	1,076		1,080
Smashburger Finance LLC	Beverage, Food and Tobacco	Senior loan	05/2018	7.2	5,233		4,972
Smashburger Finance LLC	Beverage, Food and Tobacco	Senior loan	05/2018	7.2	413		393
Smashburger Finance LLC	Beverage, Food and Tobacco	Senior loan	05/2018	7.2	412		392
Smashburger Finance LLC	Beverage, Food and Tobacco	Senior loan	05/2018	7.2	411		391
Smashburger Finance LLC	Beverage, Food and Tobacco	Senior loan	05/2018	7.2	410		390
Smashburger Finance LLC⁽⁴⁾	Beverage, Food and Tobacco	Senior loan	05/2018	N/A⁽⁵⁾	—		(35		)
Summit Behavioral Healthcare, LLC⁽³⁾	Healthcare, Education and Childcare	Senior loan	10/2023	6.4	6,000		5,940
Summit Behavioral Healthcare, LLC ⁽³⁾	Healthcare, Education and Childcare	Senior loan	10/2023	6.4	21		20
Summit Behavioral Healthcare, LLC ⁽³⁾⁽⁴⁾	Healthcare, Education and Childcare	Senior loan	10/2023	N/A⁽⁵⁾	—		(22		)
Tate's Bake Shop, Inc.⁽³⁾	Beverage, Food and Tobacco	Senior loan	08/2019	7.9	703		698
Tate's Bake Shop, Inc.⁽⁴⁾	Beverage, Food and Tobacco	Senior loan	08/2019	N/A⁽⁵⁾	—		(1		)
Teasdale Quality Foods, Inc.	Grocery	Senior loan	10/2020	6.1	1,094		1,094
Teasdale Quality Foods, Inc.	Grocery	Senior loan	10/2020	6.4	855		855
Teasdale Quality Foods, Inc.	Grocery	Senior loan	10/2020	6.1	161		161
Teasdale Quality Foods, Inc.	Grocery	Senior loan	10/2020	6.1	59		59
Transaction Data Systems, Inc.	Diversified/Conglomerate Service	Senior loan	06/2021	6.9	3,883		3,883
Transaction Data Systems, Inc.	Diversified/Conglomerate Service	Senior loan	06/2020	6.2	11		10
Vendor Credentialing Service LLC⁽³⁾	Diversified/Conglomerate Service	Senior loan	11/2021	7.6	5,970		5,970
WHCG Management, LLC⁽³⁾	Healthcare, Education and Childcare	Senior loan	03/2023	6.4	2,196		2,196
WIRB-Copernicus Group, Inc.	Healthcare, Education and Childcare	Senior loan	08/2022	6.7	5,408		5,408
					$	174,708	$	173,920


⁽¹⁾	Represents the weighted average annual current interest rate as of December 31, 2017. All interest rates are payable in cash.


⁽²⁾	Represents the fair value in accordance with Accounting Standards Codification, or ASC, Topic 820 - Fair Value Measurement, or ASC Topic 820. The determination of such fair value is not included in our board of directors' valuation process described elsewhere herein.


⁽³⁾	We also hold a portion of the first lien senior secured loan in this portfolio company.


⁽⁴⁾	The negative fair value is the result of the unfunded commitment being valued below par.


⁽⁵⁾	The entire commitment was unfunded as of December 31, 2017. As such, no interest is being earned on this investment.



GCIC SLF Loan Portfolio as of September 30, 2017
Portfolio Company	Business Description	Security Type	Maturity Date	Current Interest Rate⁽¹⁾		Principal ($)		Fair Value⁽²⁾
						(In thousands)
1A Smart Start LLC	Home and Office Furnishings, Housewares, and Durable Consumer	Senior loan	02/2022	6.1	%	$	1,351	$	1,358
1A Smart Start LLC	Home and Office Furnishings, Housewares, and Durable Consumer	Senior loan	02/2022	5.8		599		599
Argon Medical Devices, Inc.	Healthcare, Education and Childcare	Senior loan	12/2021	6.0		2,816		2,816
Boot Barn, Inc.	Retail Stores	Senior loan	06/2021	5.8		5,285		5,285
Brandmuscle, Inc.	Printing and Publishing	Senior loan	12/2021	6.1		4,172		4,167
CLP Healthcare Services, Inc.	Healthcare, Education and Childcare	Senior loan	12/2020	6.6		2,049		2,008
CLP Healthcare Services, Inc.	Healthcare, Education and Childcare	Senior loan	12/2020	6.6		1,033		1,012
Community Veterinary Partners, LLC	Personal, Food and Miscellaneous Services	Senior loan	10/2021	6.8		2,095		2,095
Community Veterinary Partners, LLC	Personal, Food and Miscellaneous Services	Senior loan	10/2021	6.8		1,053		1,053
Community Veterinary Partners, LLC	Personal, Food and Miscellaneous Services	Senior loan	10/2021	6.8		59		59
Community Veterinary Partners, LLC	Personal, Food and Miscellaneous Services	Senior loan	10/2021	6.8		41		41
Curo Health Services LLC ⁽³⁾	Healthcare, Education and Childcare	Senior loan	02/2022	5.3		4,875		4,890
Elite Sportswear, L.P.	Retail Stores	Senior loan	03/2020	6.6		3,093		3,100
Elite Sportswear, L.P.	Retail Stores	Senior loan	03/2020	6.3		1,244		1,239
Elite Sportswear, L.P.	Retail Stores	Senior loan	03/2020	6.6		640		641
Elite Sportswear, L.P.	Retail Stores	Senior loan	03/2020	6.6		218		218
Elite Sportswear, L.P.	Retail Stores	Senior loan	03/2020	6.6		97		97
Elite Sportswear, L.P.	Retail Stores	Senior loan	03/2020	6.5		93		93
Elite Sportswear, L.P. ⁽⁴⁾	Retail Stores	Senior loan	03/2020	N/A ⁽⁵⁾		—		(2		)
Encore GC Acquisition, LLC	Healthcare, Education and Childcare	Senior loan	01/2020	6.8		2,108		2,108
Flexan, LLC	Chemicals, Plastics and Rubber	Senior loan	02/2020	7.1		2,690		2,690
Flexan, LLC	Chemicals, Plastics and Rubber	Senior loan	02/2020	7.1		752		752
Flexan, LLC ⁽³⁾	Chemicals, Plastics and Rubber	Senior loan	02/2020	8.8		21		21
Gamma Technologies, LLC ⁽³⁾	Electronics	Senior loan	06/2021	6.0		4,411		4,411
Harvey Tool Company, LLC	Diversified/Conglomerate Manufacturing	Senior loan	03/2020	6.1		1,976		1,976
III US Holdings, LLC	Diversified/Conglomerate Service	Senior loan	09/2022	7.9		5,002		5,002
Jensen Hughes, Inc.	Buildings and Real Estate	Senior loan	12/2021	6.3		1,973		1,973
Jensen Hughes, Inc.	Buildings and Real Estate	Senior loan	12/2021	6.4		87		87
Jensen Hughes, Inc.	Buildings and Real Estate	Senior loan	12/2021	6.4		55		55
Loar Group Inc.	Aerospace and Defense	Senior loan	01/2022	6.0		1,939		1,939
Loar Group Inc.	Aerospace and Defense	Senior loan	01/2022	6.0		1,337		1,337
Mills Fleet Farm Group LLC ⁽³⁾	Retail Stores	Senior loan	02/2022	6.7		6,000		6,000
Park Place Technologies LLC ⁽³⁾	Electronics	Senior loan	06/2022	6.3		5,996		5,936
Pasternack Enterprises, Inc. and Fairview Microwave, Inc	Diversified/Conglomerate Manufacturing	Senior loan	05/2022	6.2		5,013		5,013
Polk Acquisition Corp. ⁽³⁾	Automobile	Senior loan	06/2022	6.2		8,297		8,131
Polk Acquisition Corp.	Automobile	Senior loan	06/2022	6.7		83		81
Polk Acquisition Corp.	Automobile	Senior loan	06/2022	6.2		53		52
PowerPlan Holdings, Inc. ⁽³⁾	Utilities	Senior loan	02/2022	6.5		7,126		7,126
Premise Health Holding Corp. ⁽³⁾	Healthcare, Education and Childcare	Senior loan	06/2020	5.8		5,925		5,925
Pyramid Healthcare, Inc.	Healthcare, Education and Childcare	Senior loan	08/2019	7.7		2,346		2,346
Pyramid Healthcare, Inc.	Healthcare, Education and Childcare	Senior loan	08/2019	7.9		144		144



GCIC SLF Loan Portfolio as of September 30, 2017
Portfolio Company	Business Description	Security Type	Maturity Date	Current Interest Rate⁽¹⁾		Principal ($)		Fair Value⁽²⁾
						(In thousands)
Radiology Partners, Inc. ⁽³⁾	Healthcare, Education and Childcare	Senior loan	09/2020	7.1	%	$	7,095	$	7,095
Radiology Partners, Inc. ⁽³⁾	Healthcare, Education and Childcare	Senior loan	09/2020	7.1		542		542
Radiology Partners, Inc.	Healthcare, Education and Childcare	Senior loan	09/2020	7.1		460		460
RSC Acquisition, Inc. ⁽³⁾	Insurance	Senior loan	11/2022	6.6		3,323		3,323
RSC Acquisition, Inc.	Insurance	Senior loan	11/2020	6.1		15		15
Rubio's Restaurants, Inc.	Beverage, Food and Tobacco	Senior loan	11/2018	6.1		1,676		1,676
Rug Doctor LLC	Personal and Non Durable Consumer Products (Mfg. Only)	Senior loan	06/2018	6.6		1,501		1,501
Saldon Holdings, Inc. ⁽³⁾	Diversified/Conglomerate Service	Senior loan	09/2022	5.8		2,028		2,003
Sarnova HC, LLC	Healthcare, Education and Childcare	Senior loan	01/2022	6.0		3,301		3,301
SEI, Inc. ⁽³⁾	Electronics	Senior loan	07/2021	6.0		5,217		5,217
Self Esteem Brands, LLC ⁽³⁾	Leisure, Amusement, Motion Pictures, Entertainment	Senior loan	02/2020	6.0		6,443		6,443
Severin Acquisition, LLC ⁽³⁾	Diversified/Conglomerate Service	Senior loan	07/2021	6.1		7,848		7,844
Severin Acquisition, LLC	Diversified/Conglomerate Service	Senior loan	07/2021	6.2		1,079		1,083
Smashburger Finance LLC	Beverage, Food and Tobacco	Senior loan	05/2018	6.8		5,291		4,603
Smashburger Finance LLC	Beverage, Food and Tobacco	Senior loan	05/2018	6.8		418		364
Smashburger Finance LLC	Beverage, Food and Tobacco	Senior loan	05/2018	6.8		417		363
Smashburger Finance LLC	Beverage, Food and Tobacco	Senior loan	05/2018	6.8		416		362
Smashburger Finance LLC	Beverage, Food and Tobacco	Senior loan	05/2018	6.8		415		361
Smashburger Finance LLC ⁽⁴⁾	Beverage, Food and Tobacco	Senior loan	05/2018	N/A ⁽⁵⁾		—		(90		)
Tate's Bake Shop, Inc. (3)	Beverage, Food and Tobacco	Senior loan	08/2019	6.3		705		705
Teasdale Quality Foods, Inc.	Grocery	Senior loan	10/2020	5.6		1,097		1,097
Teasdale Quality Foods, Inc.	Grocery	Senior loan	10/2020	6.1		859		859
Teasdale Quality Foods, Inc.	Grocery	Senior loan	10/2020	6.1		165		165
Teasdale Quality Foods, Inc.	Grocery	Senior loan	10/2020	6.1		61		61
Transaction Data Systems, Inc.	Diversified/Conglomerate Service	Senior loan	06/2021	6.6		3,892		3,892
Transaction Data Systems, Inc.	Diversified/Conglomerate Service	Senior loan	06/2020	5.8		22		21
Vendor Credentialing Service LLC ⁽³⁾	Diversified/Conglomerate Service	Senior loan	11/2021	7.2		5,985		5,985
WHCG Management, LLC ⁽³⁾	Healthcare, Education and Childcare	Senior loan	03/2023	6.1		2,202		2,202
WIRB-Copernicus Group, Inc.	Healthcare, Education and Childcare	Senior loan	08/2022	6.3		5,421		5,421
Young Innovations, Inc. ⁽³⁾	Healthcare, Education and Childcare	Senior loan	01/2019	6.3		751		751
Young Innovations, Inc.	Healthcare, Education and Childcare	Senior loan	01/2019	6.3		23		23
						$	162,815	$	161,522


⁽¹⁾	Represents the weighted average annual current interest rate as of September 30, 2017. All interest rates are payable in cash.


⁽²⁾	Represents the fair value in accordance with ASC Topic 820. The determination of such fair value is not included in our board of directors' valuation process described elsewhere herein.


⁽³⁾	We also hold a portion of the first lien senior secured loan in this portfolio company.


⁽⁴⁾	The negative fair value is the result of the unfunded commitment being valued below par.


⁽⁵⁾	The entire commitment was unfunded as of September 30, 2017. As such, no interest is being earned on this investment.

As of each of December 31, 2017 and September 30, 2017, we have committed to fund $109.4 million of LLC equity interest subscriptions to GCIC SLF. As of December 31, 2017 and September 30, 2017, $55.3 million and $49.8 million, respectively, of our LLC equity interest subscriptions to GCIC SLF had been called and contributed, net of return of capital distributions subject to recall. For the three months ended December 31, 2017 and 2016, we received $1.1 million and $0.4 million, respectively, in dividend income from the GCIC SLF LLC equity interests.

The subordinated notes previously held by us were redeemed on December 30, 2016, and, therefore, no interest income was earned for the three months ended December 31, 2017. For the three months ended December 31, 2016, we earned interest income on the subordinated notes of $0.7 million.

For the three months ended December 31, 2017 and 2016, we earned an annualized total return on our weighted average capital invested in GCIC SLF of 10.1% and 10.4%, respectively. The annualized total return on weighted average capital invested is calculated by dividing total income earned on our investments in GCIC SLF by the combined daily average of our investments in (1) the principal of the GCIC SLF subordinated notes, if any, and (2) the NAV of the GCIC SLF LLC equity interests.

See below for certain summarized financial information for GCIC SLF as of December 31, 2017 and September 30, 2017 and for the three months ended December 31, 2017 and 2016:



	As of December 31, 2017			As of September 30, 2017
	(In thousands)
Selected Balance Sheet Information:
Investments, at fair value	$	173,920		$	161,522
Cash and other assets	3,119			3,029
Total assets	$	177,039		$	164,551
Senior credit facility	$	113,250		$	108,150
Unamortized debt issuance costs	(1,043		)	(1,199		)
Other liabilities	419			338
Total liabilities	112,626			107,289
Members’ equity	64,413			57,262
Total liabilities and members' equity	$	177,039		$	164,551



	Three months ended December 31,
	2017		2016
	(In thousands)
Selected Statement of Operations Information:
Interest income	$	2,811	$	2,441
Fee income	7		—
Total investment income	2,818		2,441
Interest and other debt financing expense	1,193		1,713
Administrative service fee	54		55
Other expenses	34		24
Total expenses	1,281		1,792
Net investment income (loss)	1,537		649
Net change in unrealized appreciation (depreciation) on investments and subordinated notes	605		62
Net increase in members' equity	$	2,142	$	711

Prior to their termination, GCIC SLF elected to fair value the subordinated notes issued to us and Aurora under ASC Topic 825 — Financial Instruments, or ASC Topic 825. The subordinated notes were valued by calculating the net present value of the future expected cash flow streams using an appropriate risk-adjusted discount rate model. For the three months ended December 31, 2016, GCIC SLF did not recognize unrealized appreciation or depreciation on the subordinated notes. As of December 31, 2017 and September 30, 2017, GCIC SLF had no subordinated notes outstanding.

Contractual Obligations and Off-Balance Sheet Arrangements

A summary of our significant contractual payment obligations as of December 31, 2017 is as follows:



	Payments Due by Period (In millions)
	Total		Less Than 1 Year		1 – 3 Years		3 – 5 Years		More Than 5 Years
GCIC 2016 Debt Securitization	$	252.5	$	—	$	—	$	—	$	252.5
Credit Facility	397.1		—		—		397.1		—
SMBC Revolver	75.0		75.0		—		—		—
Revolver	—		—		—		—		—
Unfunded commitments ⁽¹⁾	155.3		155.3		—		—		—
Total contractual obligations	$	879.9	$	230.3	$	—	$	397.1	$	252.5

⁽¹⁾

Unfunded commitments represent unfunded commitments to fund investments, excluding our investments in GCIC SLF, as of December 31, 2017 these amounts may or may not be funded to the borrowing party now or in the future. The unfunded commitments relate to loans with various maturity dates, but we are showing this amount in the less than one year category as this entire amount was eligible for funding to the borrowers as of December 31, 2017, subject to the terms of each loan’s respective credit agreement.

We may become a party to financial instruments with off-balance sheet risk in the normal course of our business to meet the financial needs of our portfolio companies. These instruments may include commitments to extend credit and involve, to varying degrees, elements of liquidity and credit risk in excess of the amount recognized in the balance sheet. As of December 31, 2017 and September 30, 2017, we had outstanding commitments to fund investments, excluding our investments in GCIC SLF, totaling $155.3 million and $133.6 million, respectively. We had commitments of up to $54.1 million and $59.6 million to GCIC SLF as of December 31, 2017 and September 30, 2017, respectively, that may be contributed primarily for the purpose of funding new investments approved by the GCIC SLF investment committee.

We have certain contracts under which we have material future commitments. We have entered into the Investment Advisory Agreement with GC Advisors in accordance with the 1940 Act. Under the Investment Advisory Agreement, GC Advisors provides us with investment advisory and management services.

Under the Administration Agreement, the Administrator furnishes us with office facilities and equipment, provides us with clerical, bookkeeping and record keeping services at such facilities and provides us with other administrative services necessary to conduct our day-to-day operations. The Administrator also provides on our behalf managerial assistance to those portfolio companies to which we are required to offer to provide such assistance.

If any of the contractual obligations discussed above is terminated, our costs under any new agreements that we enter into may increase. In addition, we would likely incur significant time and expense in locating alternative parties to provide the services we receive under our Investment Advisory Agreement and our Administration Agreement. Any new investment advisory agreement would also be subject to approval by our stockholders.

Distributions

We intend to make periodic distributions to our stockholders as determined by our board of directors. For additional information on distributions, see “Critical Accounting Policies - Income Taxes.”

We may not be able to achieve operating results that will allow us to make distributions at a specific level or to increase the amount of our distributions from time to time. In addition, we may be limited in our ability to make distributions due to the asset coverage requirements applicable to us as a business development company under the 1940 Act. If we do not distribute a certain percentage of our income annually, we will suffer adverse U.S. federal income tax consequences, including the possible loss of our ability to be subject to tax as a RIC. We cannot assure stockholders that they will receive any distributions.

To the extent our taxable earnings fall below the total amount of our distributions for any tax year, a portion of those distributions may be deemed a return of capital to our stockholders for U.S. federal income tax purposes. Thus, the source of a distribution to our stockholders may be the original capital invested by the stockholder rather than our income or gains. Stockholders should read any written disclosure accompanying a distribution payment carefully and should not assume that the source of any distribution is our ordinary income or gains.

We have adopted an “opt out” dividend reinvestment plan for our common stockholders. As a result, if we declare a distribution, our stockholders’ cash distributions will be automatically reinvested in additional shares of our common stock unless a stockholder specifically “opts out” of our dividend reinvestment plan. If a stockholder opts out, that stockholder will receive cash distributions. Although distributions paid in the form of additional shares of our common stock will generally be subject to U.S. federal, state and local taxes in the same manner as cash distributions, stockholders participating in our dividend reinvestment plan will not receive any corresponding cash distributions with which to pay any such applicable taxes.

Related Party Transactions

We have entered into a number of business relationships with affiliated or related parties, including the following:


•	We entered into the Investment Advisory Agreement with GC Advisors. Each of Mr. Lawrence Golub, our chairman, and Mr. David Golub, our president and chief executive officer, is a manager of GC Advisors, and each of Messrs. Lawrence Golub and David Golub owns an indirect pecuniary interest in GC Advisors.


•	Golub Capital LLC provides us with the office facilities and administrative services necessary to conduct day-to-day operations pursuant to our Administration Agreement.


•	We have entered into a license agreement with Golub Capital LLC, pursuant to which Golub Capital LLC has granted us a non-exclusive, royalty-free license to use the name “Golub Capital.”


•	GC Advisors serves as collateral manager to the GCIC 2016 Issuer under the 2016 GCIC Collateral Management Agreement and receives a fee for providing these services that is offset against the base management fee payable by us under the Investment Advisory Agreement.

•

Under a staffing agreement, or the Staffing Agreement, Golub Capital LLC has agreed to provide GC Advisors with the resources necessary to fulfill its obligations under the Investment Advisory Agreement. The Staffing Agreement provides that Golub Capital LLC will make available to GC Advisors experienced investment professionals and provide access to the senior investment personnel of Golub Capital LLC for purposes of evaluating, negotiating, structuring, closing and monitoring our investments. The Staffing Agreement also includes a commitment that the members of GC Advisors’ investment committee will serve in such capacity. Services under the Staffing Agreement are provided on a direct cost reimbursement basis.


•	We have entered into the Revolver with GC Advisors in order to have the ability to borrow funds on a short-term basis.

•

Immediately prior to our election to be regulated as a business development company, we acquired our initial portfolio of investments by purchasing (1) all of the outstanding equity interests of GCIC Holdings LLC, or GCIC Holdings, and GCIC Funding, from GEMS Fund, L.P., a Delaware limited partnership whose general partner is controlled by GC Advisors, and (2) loans from certain unaffiliated third-party investors. At the time of our acquisition of their respective equity interests, the only assets (other than certain cash and cash equivalents) of GCIC Funding and GCIC Holdings were senior secured and one stop loans to U.S. middle-market companies consistent with our investment objectives and strategies. Each of the loans acquired in our formation transactions had been underwritten by GC Advisors at the time of origination or acquisition using the same criteria and standards as GC Advisors uses in connection with the origination or acquisition of loans for us.

GC Advisors also sponsors or manages, and may in the future sponsor or manage, other investment funds, accounts or investment vehicles (together referred to as “accounts”) that have investment mandates that are similar, in whole and in part, with ours. For example, GC Advisors presently serves as the investment adviser to Golub Capital BDC, Inc., a publicly-traded business development company (NASDAQ: GBDC) and Golub Capital BDC 3, Inc, an unlisted business

development company, each of which that focuses on investing primarily in senior secured and one stop loans of U.S. middle-market companies. In addition, our officers and directors serve in similar capacities for Golub Capital BDC, Inc. and Golub Capital BDC 3, Inc. GC Advisors and its affiliates may determine that an investment is appropriate for us and for one or more of these other accounts. In such event, depending on the availability of such investment and other appropriate factors, and pursuant to GC Advisors’ allocation policy, GC Advisors or its affiliates may determine that we should invest side-by-side with one or more other accounts. We do not intend to make any investments if they are not permitted by applicable law and interpretive positions of the SEC and its staff, or if they are inconsistent with GC Advisors’ allocation procedures.

In addition, we have adopted a formal code of ethics that governs the conduct of our and GC Advisors’ officers, directors and employees. Our officers and directors also remain subject to the duties imposed by both the 1940 Act and the General Corporation Law of the State of Maryland.

Critical Accounting Policies

The preparation of financial statements and related disclosures in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements and revenues and expenses during the periods reported. Actual results could materially differ from those estimates. We have identified the following items as critical accounting policies.

Fair Value Measurements

We value investments for which market quotations are readily available at their market quotations. However, a readily available market value is not expected to exist for many of the investments in our portfolio, and we value these portfolio investments at fair value as determined in good faith by our board of directors under our valuation policy and process.

Valuation methods may include comparisons of the portfolio companies to peer companies that are public, determination of the enterprise value of a portfolio company, discounted cash flow analysis and a market interest rate approach. The factors that are taken into account in fair value pricing investments include: available current market data, including relevant and applicable market trading and transaction comparables; applicable market yields and multiples; security covenants; call protection provisions; information rights; the nature and realizable value of any collateral; the portfolio company’s ability to make payments, its earnings and discounted cash flows and the markets in which it does business; comparisons of financial ratios of peer companies that are public; comparable merger and acquisition transactions; and the principal market and enterprise values. When an external event such as a purchase transaction, public offering or subsequent equity sale occurs, we will consider the pricing indicated by the external event to corroborate the private equity valuation. Due to the inherent uncertainty of determining the fair value of investments that do not have a readily available market value, the fair value of the investments may differ significantly from the values that would have been used had a readily available market value existed for such investments and may differ materially from values that may ultimately be received or settled.

Our board of directors is ultimately and solely responsible for determining, in good faith, the fair value of investments that are not publicly traded, whose market prices are not readily available on a quarterly basis or any other situation where portfolio investments require a fair value determination.

With respect to investments for which market quotations are not readily available, our board of directors undertakes a multi-step valuation process each quarter, as described below:


•	Our quarterly valuation process begins with each portfolio company investment being initially valued by the investment professionals of GC Advisors responsible for credit monitoring.


•	Preliminary valuation conclusions are then documented and discussed with our senior management and GC Advisors.


•	The audit committee of our board of directors reviews these preliminary valuations.


•	At least once annually, the valuation for each portfolio investment is reviewed by an independent valuation firm.


•	The board of directors discusses valuations and determines the fair value of each investment in our portfolio in good faith.

In connection with each sale of shares of our common stock, we make a determination that we are not selling shares of our common stock at a price below the then-current net asset value per share of common stock at the time at which the sale is made or otherwise in violation of the 1940 Act. GC Advisors will consider the following factors, among others, in making such determination:


•	The net asset value of our common stock disclosed in the most recent periodic report filed with the SEC;


•	Its assessment of whether any change in the net asset value per share of our common stock has occurred (including through the realization of gains on the sale of portfolio securities) during the period beginning on the date of the most recently disclosed net asset value per share of our common stock and ending two days prior to the date of the sale; and


•	The magnitude of the difference between the sale price of the shares of common stock and management’s assessment of any change in the net asset value per share of our common stock during the period discussed above.

Determination of fair values involves subjective judgments and estimates. Under current accounting standards, 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, on our consolidated financial statements.

We follow ASC Topic 820 for measuring fair value. Fair value is the price that would be received in the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Where available, fair value is based on observable market prices or parameters, or derived from such prices or parameters. Where observable prices or inputs are not available, valuation models are applied. These valuation models involve some level of management estimation and judgment, the degree of which is dependent on the price transparency for the assets or liabilities or market and the assets’ or liabilities’ complexity. Our fair value analysis includes an analysis of the value of any unfunded loan commitments. Assets and liabilities are categorized for disclosure purposes based upon the level of judgment associated with the inputs used to measure their value. The valuation hierarchical levels are based upon the transparency of the inputs to the valuation of the asset or liability as of the measurement date. The three levels are defined as follows:

Level 1: Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date.

In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, an asset’s or a liability’s categorization within the fair value hierarchy is 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 we consider factors specific to the asset or liability. We assess the levels of assets and liabilities at each measurement date, and transfers between levels are recognized on the actual date of the event or change in circumstances that caused the transfers. There were no transfers among Level 1, 2 and 3 of the fair value hierarchy for assets and liabilities during the three months ended December 31, 2017 and 2016. The following section describes the valuation techniques used by us to measure different assets and liabilities at fair value and includes the level within the fair value hierarchy in which the assets and liabilities are categorized.

Valuation of Investments

Level 1 investments are valued using quoted market prices. Level 2 investments are valued using market consensus prices that are corroborated by observable market data and quoted market prices for similar assets and liabilities. Level 3 investments are valued at fair value as determined in good faith by our board of directors, based on input of management, the audit committee and independent valuation firms that have been engaged at the direction of our board of directors to assist in the valuation of each portfolio investment without a readily available market quotation at least once during a trailing twelve-month period under a valuation policy and a consistently applied valuation process. This valuation process is conducted at the end of each fiscal quarter, with approximately 25% (based on the number of portfolio companies) of our valuations of debt and equity investments without readily available market quotations subject to review by an independent valuation firm. As of December 31, 2017 and September 30, 2017, with the exception of money market funds included in cash and cash equivalents and restricted cash and cash equivalents (Level 1 investments) and investments measured at fair value using the NAV, all investments were valued using Level 3 inputs of the fair value hierarchy.

When determining fair value of Level 3 debt and equity investments, we may take into account the following factors, where relevant: the enterprise value of a portfolio company, the nature and realizable value of any collateral, the portfolio company’s ability to make payments and its earnings and discounted cash flows, the markets in which the portfolio company does business, comparisons to publicly traded securities, and changes in the interest rate environment and the credit markets generally that may affect the price at which similar investments may be made and other relevant factors. The primary method for determining enterprise value uses a multiple analysis whereby appropriate multiples are applied to the portfolio company’s EBITDA. A portfolio company’s EBITDA may include pro-forma adjustments for items such as acquisitions, divestitures, or expense reductions. The enterprise value analysis is performed to determine the value of equity investments and to determine if debt investments are credit impaired. If debt investments are credit impaired, we will use the enterprise value analysis or a liquidation basis analysis to determine fair value. For debt investments that are not determined to be credit impaired, we use a market interest rate yield analysis to determine fair value.

In addition, for certain debt investments, we may base our valuation on indicative bid and ask prices provided by an independent third party pricing service. Bid prices reflect the highest price that we and others may be willing to pay. Ask prices represent the lowest price that we and others may be willing to accept. We generally use the midpoint of the bid/ask range as our best estimate of fair value of such investment.

Due to the inherent uncertainty of determining the fair value of Level 3 investments that do not have a readily available market value, the fair value of the investments may differ significantly from the values that would have been used had a market existed for such investments and may differ materially from the values that may ultimately be received or settled. Further, such investments are generally subject to legal and other restrictions or otherwise are less liquid than publicly traded instruments. If we were required to liquidate a portfolio investment in a forced or liquidation sale, we may realize significantly less than the value at which such investment had previously been recorded.

Our investments are subject to market risk. Market risk is the potential for changes in the value due to market changes. Market risk is directly impacted by the volatility and liquidity in the markets in which the investments are traded.

Valuation of Other Financial Assets and Liabilities

Fair value of our debt is estimated using Level 3 inputs by discounting remaining payments using comparable market rates or market quotes for similar instruments at the measurement date, if available.

Revenue Recognition:

Our revenue recognition policies are as follows:

Investments and Related Investment Income: Interest income is accrued based upon the outstanding principal amount and contractual interest terms of debt investments. Premiums, discounts, and origination fees are amortized or accreted into interest income over the life of the respective debt investment. For investments with contractual PIK interest, which represents contractual interest accrued and added to the principal balance that generally becomes due at maturity, we do not accrue PIK interest if the portfolio company valuation indicates that the PIK interest is not likely to be collectible. In addition, we may generate revenue in the form of amendment, structuring or due diligence fees, fees for providing managerial assistance, consulting fees and prepayment premiums on loans and record these fees as fee income when received. Loan origination fees, original issue discount and market discount or premium are capitalized, and we accrete or amortize such amounts as interest income. We record prepayment premiums on loans as fee income. Dividend income on preferred equity securities is recorded as dividend income 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. Distributions received from LLC and limited partnership, or LP, investments are evaluated to determine if the distribution should be recorded as dividend income or a return of capital. Generally, we will not record distributions from equity investments in LLCs and LPs as dividend income unless there are sufficient accumulated tax-basis earnings and profits in the LLC or LP prior to the distribution. Distributions that are classified as a return of capital are recorded as a reduction in the cost basis of the investment.

We account for investment transactions on a trade-date basis. Realized gains or losses on investments are measured by the difference between the net proceeds from the disposition and the cost basis of investment, without regard to unrealized gains or losses previously recognized. We report changes in fair value of investments from the prior period that is measured at fair value as a component of the net change in unrealized appreciation (depreciation) on investments in our consolidated statements of operations.

Non-accrual: Loans may be left on accrual status during the period we are pursuing repayment of the loan. Management reviews all loans that become past due 90 days or more on principal and interest or when there is reasonable doubt that principal or interest will be collected for possible placement on non-accrual status. We generally reverse accrued interest when a loan is placed on non-accrual. Additionally, any original issue discount and market discount are no longer accreted to interest income as of the date the loan is placed on non-accrual status. Interest payments received on non-accrual loans may be recognized as income or applied to principal depending upon management’s judgment. We restore non-accrual loans to accrual status when past due principal and interest is paid and, in our management’s judgment, are likely to remain current. The total fair value of our non-accrual loans was less than $0.1 million and $0.4 million as of December 31, 2017 and September 30, 2017, respectively.

Income taxes:

We have elected to be treated as a RIC under Subchapter M of the Code and operate in a manner so as to qualify for the tax treatment applicable to RICs. In order to be subject to tax as a RIC, we are required to meet certain source of income and asset diversification requirements, as well as timely distribute to our stockholders dividends for U.S. federal income tax purposes of an amount generally at least equal to 90% of investment company taxable income, as defined by the Code and determined without regard to any deduction for dividends paid, for each tax year. We have

made and intend to continue to make the requisite distributions to our stockholders, which will generally relieve us from U.S. federal income taxes.

Depending on the level of taxable income earned in a tax year, we may choose to retain taxable income in excess of current year distributions into the next tax year in an amount less than what would trigger payments of U.S. federal income tax under Subchapter M of the Code. We may then be required to incur a 4% excise tax on such income. To the extent that we determine that our estimated current year annual taxable income may exceed estimated current year distributions, we accrue excise tax, if any, on estimated excess taxable income as taxable income is earned.

Because federal income tax regulations differ from GAAP, distributions in accordance with tax regulations may differ from net investment income and realized gains recognized for financial reporting purposes. Differences may be permanent or temporary. Permanent differences are reclassified within capital accounts in the financial statements to reflect their tax character. For example, permanent differences in classification may result from the treatment of distributions paid from short-term gains as ordinary income dividends for tax purposes. Temporary differences arise when certain items of income, expense, gain or loss are recognized at some time in the future.

Item 3. Quantitative and Qualitative Disclosures about Market Risk

We are subject to financial market risks, including changes in interest rates. Many of the loans in our portfolio have floating interest rates, and we expect that our loans in the future may also have floating interest rates. These loans are usually based on a floating LIBOR and typically have interest rate reset provisions that adjust applicable interest rates under such loans to current market rates on a quarterly basis. The loans that are subject to floating LIBOR are also subject to a minimum base rate, or floor, that we charge on our loans if the current market rates are below the respective floors. As of December 31, 2017 and September 30, 2017, the weighted average LIBOR floor on the loans subject to floating interest rates was 1.00% and 1.00%, respectively. In addition, the Credit Facility has a floating interest rate provision based on one-month LIBOR that resets daily, the SMBC Revolver has a floating interest rate provision based on one-month LIBOR that resets monthly, and the Class A and B GCIC 2016 Notes issued as part of the GCIC 2016 Debt Securitization have floating interest rate provisions based on three-month LIBOR that reset quarterly. We expect that other credit facilities into which we enter in the future may have floating interest rate provisions.

Assuming that the Consolidated Statement of Financial Condition as of December 31, 2017 were to remain constant and that we took no actions to alter our interest rate sensitivity as of such date, the following table shows the annualized impact of hypothetical base rate changes in interest rates.



Change in interest rates	Increase (decrease) in interest income			Increase (decrease) in interest expense			Net increase (decrease) in investment income
	(In thousands)
Down 25 basis points	$	(3,569	)	$	(1,811	)	$	(1,758	)
Up 50 basis points	7,141			3,623			3,518
Up 100 basis points	14,283			7,246			7,037
Up 150 basis points	21,424			10,868			10,556
Up 200 basis points	28,565			14,491			14,074

Although we believe that this analysis is indicative of our sensitivity to interest rate changes as of December 31, 2017, it does not adjust for changes in the credit market, credit quality, the size and composition of the assets in our portfolio and other business developments, including borrowings under the GCIC 2016 Debt Securitization, the Credit Facility, the Revolver, the SMBC Revolver or other borrowings, that could affect net increase in net assets resulting from operations, or net income. Accordingly, we can offer no assurances that actual results would not differ materially from the analysis above.

We may in the future hedge against interest rate fluctuations by using standard hedging instruments such as interest rate swaps, futures, options and forward contracts to the limited extent permitted under the 1940 Act and applicable commodities laws. While hedging activities may insulate us against adverse changes in interest rates, they may also limit our ability to participate in the benefits of lower interest rates with respect to the investments in our portfolio with fixed interest rates.

Item 4: Controls and Procedures.

As of December 31, 2017 (the end of the period covered by this report), management, with the participation of our chief executive officer and chief financial officer, evaluated the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Rule 13a-15(e) and 15d-15(e) of the Securities Exchange Act of 1934, as amended, or the Exchange Act). Based on that evaluation, our management, including the chief executive officer and chief financial officer, concluded that, at the end of such period, our disclosure controls and procedures were effective and provided reasonable assurance that information required to be disclosed in our periodic SEC filings is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms, and that such information is accumulated and communicated to our management, including our chief executive officer and chief financial officer, as appropriate, to allow timely decisions regarding required disclosure. Notwithstanding the foregoing, a control system, no matter how well designed and operated, can provide only reasonable, not absolute, assurance that it will detect or uncover failures within the Company to disclose material information otherwise required to be set forth in the Company’s periodic reports. There has not been any change in our internal controls over financial reporting (as defined in Rule 13a-15(f) under the Exchange Act) that occurred during the period covered by this report that has materially affected, or is reasonably likely to materially affect, our internal controls over financial reporting.

Part II - Other Information

Item 1: Legal Proceedings.

Golub Capital Investment Corporation, GC Advisors and Golub Capital LLC are not currently subject to any material legal proceedings.

Item 1A: Risk Factors.

None.

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

None.

Item 3: Defaults Upon Senior Securities.

None.

Item 4: Mine Safety Disclosures.

None.

Item 5: Other Information.

None.

Item 6: Exhibits.

EXHIBIT INDEX




Number		Description

31.1		Certification of Chief Executive Officer pursuant to Rule 13a-14 of the Securities Exchange Act of 1934, as amended.*
31.2		Certification of Chief Financial Officer pursuant to Rule 13a-14 of the Securities Exchange Act of 1934, as amended.*
32.1		Certification pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.*

_________________

* Filed herewith

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.



	Golub Capital Investment Corporation

Dated: February 9, 2018	By	/s/ David B. Golub
		David B. Golub
		President and Chief Executive Officer
		(Principal Executive Officer)

Dated: February 9, 2018	By	/s/ Ross A. Teune
		Ross A. Teune
		Chief Financial Officer
		(Principal Accounting and Financial Officer)

100

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