NEW YORK, Aug. 13, 2026 (GLOBE NEWSWIRE) -- Chicago Atlantic BDC, Inc. (“LIEN” or the “Company”) (NASDAQ: LIEN), a specialty finance company that has elected to be regulated as a business development company, today announced its financial results for the second quarter ended June 30, 2026.
Operating Highlights
For the Three Months Ended(Dollar amounts in millions, except per share data)*June 30, 2026March 31, 2026 Total AmountPer ShareTotal AmountPer ShareTotal investment income$14.0$0.61
$16.7
$0.73
Net investment income$7.7
$0.34
$10.0
$0.44
Net change in unrealized gains (losses)$(1.6)
$(0.07)
$(1.4)
$(0.06)
Net increase in net assets resulting from operations$6.1
$0.27
$8.5
$0.37
*totals may not foot due to rounding.
Peter Sack, Chief Executive Officer of the Company, commented, “The second quarter reflected the continued strength of our portfolio and disciplined underwriting approach. The decline in portfolio fair value was driven primarily by repayments and amortization activity rather than credit deterioration or valuation markdowns. With no investments on non-accrual status, steady portfolio risk ratings, and a 100% senior secured debt portfolio generating a weighted average yield on debt investments of 16.0%, we remain positioned to generate attractive risk-adjusted returns.”
Mr. Sack continued, “We ended the quarter with $73.9 million in available liquidity and a pipeline of approximately $1.1 billion. Several anticipated fundings shifted into the third quarter due to transaction timing, and we continue to see strong borrower demand and a healthy pipeline of opportunities, giving us confidence in our deployment outlook.”
Balance Sheet HighlightsAs of
(Dollar amounts in millions, except per share data)June 30, 2026
March 31, 2026
Total assets$344.0
$373.1
Total net assets$302.5
$304.2
Net asset value per share$13.26
$13.33
Outstanding borrowings$27.0
$54.5
Debt-to-equity ratio0.09x
0.18x
Portfolio Activity
$364.0
Number of portfolio companies37
40
Weighted average yield on debt investments16.0%
15.8%
Loans on non-accrual status (% of portfolio at fair value)0.0%
0.0%
As of June 30, 2026, the Company’s investment portfolio had an aggregate fair value of approximately $334.8 million across 37 portfolio companies. During the quarter ended June 30, 2026, the Company funded one new debt investment to an existing portfolio company with an aggregate value of $2.7 million. Three positions were repaid in full during the quarter ended June 30, 2026, representing $26.7 million. The Company also received scheduled and unscheduled amortization payments totaling $5.5 million.
Subsequent to quarter end, one position of $25.0 million was funded to a new portfolio company. As of June 30, 2026, there were no loans on non-accrual status.
Liquidity and Capital Resources
As of June 30, 2026, the Company had $73.9 million of liquidity, including $0.9 million of cash and $73.0 million of borrowings available to be drawn on its $100.0 million senior credit facility, which is subject to certain borrowing base requirements and other restrictions. As of August 12, 2026, the Company had $53.5 million outstanding on its senior credit facility and approximately $47.2 million of liquidity.
On May 11, 2026, the Company filed a shelf registration statement with the Securities and Exchange Commission (the “SEC”), which once declared effective, will allow the Company to issue up to $500 million of securities, including debt securities. The shelf registration is intended to provide the Company with enhanced financial flexibility to efficiently access the capital markets to grow the Company’s portfolio.
Dividend
On August 10, 2026, the Company's Board of Directors declared a third quarter 2026 dividend of $0.34 per share, payable on October 9, 2026, with a record date of September 25, 2026, for a total of approximately $7.8 million. The second quarter 2026 dividend of $0.34 per share was paid on July 10, 2026, to shareholders of record as of June 26, 2026, and was the seventh consecutive dividend at that rate.
Recent Developments
On June 17, 2026, the Company entered into an Agreement and Plan of Merger (the “Merger Agreement”) with Chicago Atlantic Real Estate Finance, Inc. ("REFI") (NASDAQ: REFI), an affiliated company that has elected to be taxed as a real estate investment trust and is externally managed by an affiliate of the Company's investment adviser, pursuant to which REFI will merge with and into the Company, with the Company continuing as the surviving company (the "Merger"). Prior to the Merger, REFI will elect to be regulated as a business development company under the Investment Company Act of 1940, as amended (the “1940 Act”). At closing, REFI’s stockholders will receive a number of shares of the Company's common stock determined based on the ratio (the “Exchange Ratio”) of REFI's net asset value ("NAV") per share, as adjusted in accordance with the Merger Agreement, to the Company's NAV per share, similarly adjusted, in each case as determined shortly prior to closing. Based on the respective NAVs of REFI and the Company as of March 31, 2026, and without giving effect to any other changes in the inputs to the Exchange Ratio occurring after March 31, 2026, former REFI stockholders would be expected to own approximately 50.5% of the Company immediately following the Merger. The actual pro forma ownership percentage will depend on the Exchange Ratio calculated shortly prior to closing and may differ from the March 31, 2026 estimate. Completion of the Merger is subject to the approval of stockholders of both the Company and REFI, including approval by REFI’s stockholders of REFI's election to be regulated as a business development company under the 1940 Act and approval by REFI’s stockholders of an investment advisory agreement, as well as regulatory approvals, third-party consents and other customary closing conditions. Assuming these conditions are satisfied, the Merger is expected to close in the fourth quarter of 2026. There can be no assurance that the Merger will be completed on the anticipated terms or timing, or at all. Additional information regarding the Merger is set forth below under “Additional Information and Where to Find It.”
Live Conference Call and Webcast
The Company will host a conference call and live audio webcast, both open for the general public to hear, to discuss the Company's second quarter 2026 financial results at 9:00 a.m. ET on Thursday, August 13, 2026. The number to access the conference call is 833-630-1956 (international callers: 412-317-1837). The live audio webcast of the call will also be available at the following link https://edge.media-server.com/mmc/p/a3rmvk74.
A replay of the call will be available at investors.chicagoatlanticbdc.com by the end of day on August 13, 2026.
About Chicago Atlantic BDC, Inc.
The Company is a specialty finance company that has elected to be regulated as a business development company under the 1940 Act, as amended, and has elected to be treated as a regulated investment company for U.S. federal income tax purposes. The Company’s investment objective is to maximize risk-adjusted returns on equity for its stockholders by investing primarily in direct loans to privately held middle-market companies, with a primary focus on cannabis companies. The Company is managed by Chicago Atlantic BDC Advisers, LLC (the “Adviser”), an investment manager focused on the cannabis industry and other niche or underfollowed sectors. For more information, please visit chicagoatlanticbdc.com.
Forward-Looking Statements
This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that reflect the Company’s current views and projections with respect to, among other things, future events and financial performance, including statements regarding the proposed Merger with REFI and its expected timing and effects, the expected pro forma ownership of former REFI stockholders in LIEN following the Merger, the expected implementation and effects of federal rescheduling of medical cannabis, the Company’s dividend expectations, and the Company’s future operations and strategies. Words such as “believes,” “expects,” “will,” “intends,” “plans,” “guidance,” “estimates,” “projects,” “anticipates,” “future” and similar expressions are intended to identify forward-looking statements. These statements are not guarantees of future performance and are subject to numerous risks and uncertainties, including, without limitation: (i) the risk that the proposed Merger may not be completed on the anticipated terms or timing, or at all; (ii) the failure to obtain the required stockholder approvals of REFI or LIEN, including approval of REFI’s election to be regulated as a business development company and approval of REFI’s investment advisory agreement; (iii) the failure to satisfy other conditions to closing, including regulatory approvals and third-party consents; (iv) the effect of the announcement or pendency of the Merger on the Company’s business, operating results, and relationships with borrowers, employees and other counterparties; (v) risks that the Merger may divert management’s attention from the Company’s ongoing business; (vi) the outcome of any legal proceedings that may be instituted against REFI or LIEN related to the Merger; (vii) the amount of costs, fees and expenses related to the Merger; (viii) developments in the cannabis industry, including federal, state and local legal and regulatory changes and the implementation of federal rescheduling; (ix) changes in interest rates, credit spreads and macroeconomic conditions; and (x) the other risks identified in the Company’s filings with the SEC, including its Annual Report on Form 10-K for the year ended December 31, 2025 and subsequent Quarterly Reports on Form 10-Q, and in the registration statement on Form N-14 filed by LIEN with the SEC on July 31, 2026, including the joint proxy statement/prospectus contained therein. New risks and uncertainties arise over time, and it is not possible to predict those events or how they may affect us. We do not undertake any obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
No Offer or Solicitation
This press release is not intended to and shall not constitute an offer to sell or the solicitation of an offer to sell or the solicitation of an offer to buy any securities, or a solicitation of any vote or approval, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offer of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act of 1933, as amended (the “Securities Act”), or in a transaction exempt from the registration requirements of the Securities Act.
Additional Information and Where to Find It
This communication includes information relating to the Merger of REFI with and into the Company, along with related proposals for which stockholder approval will be sought, pursuant to the Merger Agreement. The Merger Agreement was unanimously approved by the Boards of Directors of both the Company and REFI, each acting on the unanimous recommendation of its special committee of independent directors (each, a “Special Committee”). In connection with the proposals, on July 31, 2026, the Company filed relevant materials with the SEC, including a registration statement on Form N-14, which has not yet been declared effective, which includes a joint proxy statement of the Company and REFI and a prospectus of the Company (the “Proxy Statement/Prospectus”). This communication does not constitute an offer to sell or the solicitation of an offer to buy any securities or a solicitation of any vote or approval. No offer of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act. STOCKHOLDERS OF THE COMPANY AND REFI ARE URGED TO READ THE PROXY STATEMENT/PROSPECTUS, AND OTHER DOCUMENTS THAT ARE FILED OR WILL BE FILED WITH THE SEC, AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THESE DOCUMENTS, CAREFULLY AND IN THEIR ENTIRETY WHEN THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT THE COMPANY, REFI, THE MERGER AND THE PROPOSALS. Investors and security holders will be able to obtain the documents filed with the SEC free of charge at the SEC’s website, www.sec.gov, or from each company’s investor relations website at www.investors.chicagoatlanticbdc.com (the Company) and www.investors.refi.reit (REFI), or by directing a request to [email protected] (the Company) or [email protected] (REFI).
Participants in the Solicitation
The Company, REFI, the Adviser, Chicago Atlantic REIT Manager, LLC, the external manager of REFI, and their respective directors, officers, members, managers, partners, employees and affiliates, and other persons may be deemed to be participants in the solicitation of proxies from the stockholders of the Company and REFI in connection with the Merger and the related proposals. Information regarding the persons who may, under the rules of the SEC, be deemed participants in the solicitation of the stockholders of the Company and REFI in connection with the Merger and the related proposals, including a description of their direct or indirect interests, by security holdings or otherwise, will be included in the Proxy Statement/Prospectus and other relevant materials to be filed with the SEC when they become available. Additional information regarding the ownership of securities of the Company and REFI by their respective directors and executive officers is included in their SEC filings on Forms 3, 4 and 5, which can be found through the SEC’s website at www.sec.gov. Information about the directors and executive officers of the Company is set forth in the Company’s proxy statement for its 2026 annual meeting of stockholders, filed with the SEC on April 30, 2026, and in LIEN’s Annual Report on Form 10-K for the fiscal year ended December 31, 2025, filed with the SEC on March 19, 2026. Information about the directors and executive officers of REFI is set forth in REFI’s proxy statement for its 2026 annual meeting of stockholders, filed with the SEC on April 23, 2026, and in REFI’s Annual Report on Form 10-K for the fiscal year ended December 31, 2025, filed with the SEC on March 12, 2026. Each of these documents is available free of charge at the SEC’s website, www.sec.gov, or from the Company’s or REFI’s investor relations website, as applicable.
Contact
Tripp Sullivan
Lisa Kampf
SCR Partners
[email protected]
Statements of Assets and Liabilities
June 30, 2026 March 31, 2026
(Unaudited) (Unaudited)
ASSETS Investments at fair value: Non-controlled/non-affiliate investments $334,833,992 $346,596,232 Non-controlled affiliate investments - 17,370,481 Total investments at fair value (amortized cost of $336,747,389 and $364,290,996, respectively) 334,833,992 363,966,713 Interest receivable 3,588,157 4,358,743 Prepaid expenses and other assets 2,605,281 1,305,750 Due from affiliates 2,008,432 152,958 Cash 925,534 3,346,316 Total assets $343,961,396 $373,130,480 LIABILITIES Revolving line of credit $27,000,000 $54,500,000 Distributions payable 7,759,001 7,759,001 Income-based incentive fees payable 1,920,905 2,457,290 Other payables 1,677,560 876,266 Management fee payable 1,555,022 1,529,360 Due to affiliates 1,441,236 1,359,256 Professional fees payable 118,133 464,846 Total liabilities $41,471,857 $68,946,019 NET ASSETS Common stock, $0.01 par value, 100,000,000 shares authorized, 22,820,590 and 22,820,590 shares issued and outstanding, respectively $228,206 $228,206 Additional paid-in-capital 303,079,082 303,079,082 Distributable earnings (817,749) 877,173 Total net assets $302,489,539 $304,184,461 NET ASSET VALUE PER SHARE $13.26 $13.33
Statements of Operations
For the Three Months Ended June 30, 2026 March 31, 2026INVESTMENT INCOME Non-controlled/non-affiliate investment income Interest income $12,333,209 $13,780,772 Fee income 659,411 2,096,857 Total investment income from non-controlled/non-affiliate investments 12,992,620 15,877,629 Non-controlled affiliate investment income Interest income 955,512 802,644 Fee income 22,500 22,500 Total investment income from non-controlled affiliate investments 978,012 825,144 Total investment income 13,970,632 16,702,773 EXPENSES Income-based incentive fees 1,920,903 2,457,289 Management fee 1,555,022 1,529,359 General and administrative expenses 1,142,752 1,212,784 Interest expense 1,000,939 1,024,542 Professional fees 210,244 198,238 Audit expense 153,750 153,750 Other expenses 145,109 146,106 Sub-administrator fees 115,766 133,410 Legal expenses 72,954 45,750 Excise tax expense - 2,730 Capital gains incentive fees - (163,473)Total expenses 6,317,439 6,740,485 NET INVESTMENT INCOME (LOSS) 7,653,193 9,962,288 NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION) ON INVESTMENTS Non-controlled non-affiliate investments (528,944) (2,487,070)Non-controlled affiliate investments (1,060,170) 1,060,170 Net change in unrealized appreciation (depreciation) on investments (1,589,114) (1,426,900)Net realized and unrealized gains (losses) (1,589,114) (1,426,900) NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS $6,064,079 $8,535,388 NET INVESTMENT INCOME (LOSS) PER SHARE - BASIC AND DILUTED $0.34 $0.44 NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS PER SHARE - BASIC AND DILUTED $0.27 $0.37 WEIGHTED AVERAGE SHARES OUTSTANDING - BASIC AND DILUTED 22,820,590 22,820,590