LIEN · Chicago Atlantic BDC, Inc.

Chicago Atlantic BDC, Inc. delivered record Q1 2026 results, driven by aggressive portfolio expansion and strong income generation amid private credit market pressures. Total investment income rose to $16.7 million from $14.2 million in the prior quarter, fueled by funding $93.9 million across seven portfolio companies, including three new borrowers and a $38.3 million refinancing of its largest borrower, growing the portfolio to a peak $364.0 million across 40 companies at 15.8% weighted average yield. Net expenses increased to $6.7 million from $5.9 million, primarily due to higher income-based incentive fees ($2.5 million) and management fees ($1.5 million), alongside elevated interest expense on the revolving line of credit, yielding net investment income of $10.0 million or $0.44 per share. A net change in unrealized depreciation of $1.4 million reflected widening credit spreads, partially offset by gains in non-controlled affiliate investments, resulting in a $8.5 million net increase in net assets from operations. CEO Peter Sack highlighted the company's differentiated self-originating direct lending strategy to cannabis and lower middle-market firms, noting record funding levels and no non-accrual loans. NAV edged up to $13.33 per share, supported by $304.2 million in net assets. Liquidity stood at $48.8 million as of quarter-end, with $51.5 million available as of May 13, bolstered by a new $500 million shelf registration filed May 11 for future capital access. The board's $0.34 per share dividend declaration underscores confidence in coverage, with a conference call held May 14 to discuss results.