DBRS Morningstar Discontinues Its Rating on Class A-R Loans Issued by Brightwood Capital Offshore Fund IV SPV-4, LLC

On November 9, 2021, DBRS, Inc. (DBRS Morningstar) discontinued its rating on the Class A-R Loans issued by Brightwood Capital Offshore Fund IV SPV-4, LLC pursuant to the Credit Agreement dated as of November 19, 2018 (as amended by the First Amendment to the Credit Agreement dated as of April 17, 2019; Second Amendment to the Credit Agreement dated as of September 11, 2019; Third Amendment to the Credit Agreement dated as of November 22, 2019; and Fourth Amendment to the Credit Agreement dated as of December 20, 2019), among Brightwood Capital Offshore Fund IV SPV-4, LLC as Borrower; Capital One, National Association (rated “A” with a Stable trend by DBRS Morningstar) as Administrative Agent for the Lenders; U.S. Bank National Association (rated AA (high) with a Stable trend by DBRS Morningstar) as Collateral Agent and Custodian; and the Lenders referred to therein.

The discontinuation reflects the timely payment of interest (excluding any Excess Interest Amounts and interest attributable to the Increased Applicable Margin, each as defined in the amended Credit Agreement) and the ultimate payment of principal on or before the Stated Maturity (as defined in the amended Credit Agreement).

For more information regarding DBRS Morningstar’s additional adjustment for select industries related to the Coronavirus Disease (COVID-19), please see its May 18, 2020, commentary, “CLO Risk Exposure to the Coronavirus Disease (COVID-19)” at https://www.dbrsmorningstar.com/research/361112.

ESG CONSIDERATIONS
A description of how DBRS Morningstar considers ESG factors within the DBRS Morningstar analytical framework can be found in the DBRS Morningstar Criteria: Approach to Environmental, Social, and Governance Risk Factors in Credit Ratings at https://www.dbrsmorningstar.com/research/373262.

Notes:
All figures are in U.S. dollars unless otherwise noted.

The principal methodologies were Rating CLOs and CDOs of Large Corporate Credit (February 8, 2021) and Cash Flow Assumptions for Corporate Credit Securitizations (February 8, 2021), which can be found on dbrsmorningstar.com under Methodologies & Criteria.

The DBRS Morningstar Sovereigns group releases baseline macroeconomic scenarios for rated sovereigns. DBRS Morningstar analysis considered impacts with the baseline scenarios set forth in the following report:
https://www.dbrsmorningstar.com/research/384482/baseline-macroeconomic-scenarios-application-to-credit-ratings.

The rated entity or its related entities did participate in the rating process for this rating action. DBRS Morningstar had access to the accounts and other relevant internal documents of the rated entity or its related entities in connection with this rating action.

For more information on this credit or on this industry, visit www.dbrsmorningstar.com or contact us at info@dbrsmorningstar.com.

DBRS, Inc.
140 Broadway, 43rd Floor
New York, NY 10005 USA
Tel. +1 212 806-3277