So collectively, they have a very broad suite of products going to mainly pipeline both in terms of field operations as well as in the manufacturing process, PAUSE and again, a very strong management team. And so we like the whole thing. It’s very strong. We put in a significant amount of money. It’s a big investment for us. We have significant ownership. And in our general structure, even though we might have a second lien, a lot of times, the first lien is going to be the lender, the bank who we bring in as a revolving line of credit. And so that’s not unusual, frankly, that we would have someone in a first lien position above our debt which looks — the language might look more like a mezzanine or what have you. But again, of course, we own a significant portion of the equity.
I don’t know if that helps or not.
Mickey Schleien: Just to make sure I understand the first lien then is a bank revolver probably with accounts receivable and inventory, as the collateral and you have claims on the rest of the company’s assets. Is that correct?
David Gladstone: Correct. Yes.
Mickey Schleien: Okay. That’s helpful. I appreciate it.
Dave Dullum: And again, that’s not unusual, right, for us — certain bigger companies.
Mickey Schleien: Sure. I understand. That’s all my questions. And again, congratulations on a very good quarter.
Dave Dullum: Great to see you recently, by the way. Thanks for coming.
Operator: Our next question comes from Bryce Rowe with B. Riley.
Bryce Rowe: And congratulations on the exit, David. I wanted to first ask about PAUSE the level of spillover. Rachael, you did hit on what spillover was as of the end of the last year. Can you give us an update as to where that sits now? And if you could give it to us pro forma for the dividends declared for the December quarter as well as this gain that you just realized.
Rachael Easton: Thank you for your question. So that is correct we — I mentioned in my prepared remarks, we started the year with that $32 million or about — share. In spillover, we do not provide updates during the quarter. But I think given that we plan to declare a regular monthly distribution of $0.08 per month, coupled with the dollar that we declared supplemental and an additional $0.24 in supplemental. We have well made our way through that spillover that we started the year with. I can tell you that is the amount we are comfortable with, rolling into next year but I cannot, unfortunately, give you update kind of mid-quarter and where we are.
Bryce Rowe: Understood. Let’s see. In terms of the fair value marks within the portfolio in the quarter here, Dave. I mean, obviously, they reflect the council press exit. But also, as you noted in your prepared remarks, good upside from several different investments in the quarter. You mentioned higher multiples as well as better comp performance. Could you maybe expand on that comment a bit?
Dave Dullum: I’ll take a shot and then certainly, Rachael, please feel free because you — I would say that of all of the portfolio companies there are, the majority of them were benefited by a little bit of up in multiple — as well as up in EBITDA. And then some of the others which are still fundamentally very strong companies just quarter-to-quarter, even though they were slightly off EBITDA-wise, slightly up with multiple. And so there were some changes in probably 6 or so of the portfolio companies where we had a slight, again, change downwards from the prior quarter but nothing where I am certainly concerned about from just a valuation perspective. Rachael, you got any you want to add to that?
