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Here are 1-3 brief analogies for Chicago Atlantic BDC (LIEN):

• It's like a specialized Bank of America for the U.S. cannabis industry, lending money where traditional banks cannot.
• It's like Innovative Industrial Properties (IIPR), but funding cannabis businesses with loans instead of real estate.
• A publicly traded Apollo Global Management for the cannabis industry, specializing in private debt.

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• Senior Secured Loans: Chicago Atlantic BDC provides direct debt financing to middle-market companies, primarily through senior secured loans collateralized by the borrower's assets.
• Equity Investments: They also make opportunistic equity investments, typically alongside their debt financing, in their portfolio companies.

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Chicago Atlantic BDC (LIEN) is a Business Development Company (BDC) that primarily provides debt and equity financing to middle-market companies. As such, its "customers" are the companies to which it lends money or in which it makes strategic investments, rather than individuals.

LIEN specializes in lending to cash-flow-generating businesses, with a significant historical focus on the U.S. cannabis industry, though it is actively diversifying its portfolio. BDCs typically maintain a diversified portfolio of investments rather than relying heavily on a few "major customers" in the traditional sales sense. However, based on the fair value of its investments, the companies representing its largest exposures are its portfolio companies.

As of March 31, 2024, some of Chicago Atlantic BDC's largest portfolio companies (representing its most significant investments) included:

• Jushi Holdings Inc. (Symbol: JUSHF)
• Verano Holdings Corp. (Symbol: VRNOF)
• Curaleaf Holdings, Inc. (Symbol: CURLE)
• Parallel (Private Company)
• Revolution Global (Private Company)
• Red White & Bloom Brands Inc. (Symbol: RWBYF)
• Greenrose Holding Co Inc. (Symbol: GNRS)
• Chicago Atlantic Real Estate Finance, Inc. (Private Company - an investment in a specific real estate finance entity)
• Ascend Wellness Holdings, Inc. (Symbol: AAWH)
• The Cannabist Company Holdings Inc. (Symbol: CBSTF)

Many of these companies are Multi-State Operators (MSOs) within the regulated cannabis industry, and their symbols generally reflect trading on OTC markets.

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• KeyCorp (KEY)
• Citizens Financial Group, Inc. (CFG)
• UMB Financial Corporation (UMBF)

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Peter Sack, Chief Executive Officer

Peter Sack has served as Chief Executive Officer of Chicago Atlantic BDC, Inc. since March 2025. He also holds the position of Chief Executive Officer at Chicago Atlantic Real Estate Finance, Inc. Sack is an experienced credit investor and portfolio manager with expertise across the capital structure. Before joining Chicago Atlantic, he was a Principal at BC Partners Credit from July 2018 to June 2021, where his responsibilities included sourcing and underwriting for opportunistic and senior lending strategies across various industries, notably cannabis-related direct lending. Earlier in his career, from July 2012 to June 2016, Sack was an Associate at Atlas Holdings LLC, a private equity firm that supports distressed manufacturing and distribution companies globally.

Thomas Geoffroy, Interim Chief Financial Officer

Thomas Geoffroy was appointed Interim Chief Financial Officer of Chicago Atlantic BDC, Inc. on July 1, 2025. He possesses over 20 years of accounting and finance experience, with a focus on financial reporting, operations, and internal controls within the financial services industry, including extensive investment fund experience. Prior to his tenure at Chicago Atlantic, which began in 2022, Geoffroy served as Chief Financial Officer for a NASDAQ-listed mortgage REIT, a publicly traded credit-focused asset management firm, and a family office. His prior roles also include Finance and Operations Principal (CFO), General Securities Principal, and Chief Compliance Officer for United Capital Markets, a registered broker-dealer specializing in structured finance products, and Controller at Ares Management. He began his career as a CPA with Ernst & Young, where he was a Senior Manager in the Financial Services Organization's hedge fund audit practice for nine years.

Scott Gordon, Executive Chairman of the Board and Co-Chief Investment Officer

Scott Gordon is a Partner at Chicago Atlantic and serves as the Executive Chairman of the Board and Co-Chief Investment Officer for Chicago Atlantic BDC Inc. With over 30 years of experience in investing and asset management in emerging markets, he began investing in the plant-based and health & wellness industry in 2013. He co-founded Egg Rock Holdings, the parent company of Papa & Barkley family of cannabis and CBD products, and is also a pioneering investor in the field of psychedelics for mental health. Before his current roles, Gordon led emerging market businesses at Marathon Asset Management, Caxton Associates, and Taconic Capital. He also served as President of Fintech Advisory, a multi-billion dollar Family Office fund, prior to launching Silver Spike. Gordon was a founding member of JP Morgan's emerging market business and later headed the emerging market and distressed investing efforts at ING Capital and the global special situations group at Bank of America.

Tony Cappell, Partner & Co-founder

Tony Cappell is a Partner and Co-founder at Chicago Atlantic. He is a debt investor with over 15 years of experience in specialty finance, having completed more than 150 deals totaling over $5 billion in credit. Before co-founding Chicago Atlantic, Cappell was a Managing Director and Head of Underwriting at Stonegate Capital, a private credit investment firm, where he oversaw credit, underwriting, and the growth strategy of the loan portfolio for lower middle market businesses and emerging brands.

Dino Colonna, President

Dino Colonna serves as the President of Chicago Atlantic BDC, Inc. He is also a Partner at Chicago Atlantic BDC Advisers, LLC, the company's investment adviser.

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The public company Chicago Atlantic BDC (LIEN) faces several key risks to its business operations and financial performance:

1. Concentration in the Cannabis Sector and Regulatory Risks: A significant portion of Chicago Atlantic BDC's investment portfolio, approximately 78%, is concentrated in the cannabis industry. This creates substantial exposure to the evolving and often uncertain regulatory landscape surrounding cannabis, including potential changes in federal law that could materially impact the business and its portfolio companies.
2. Limited Operating History: Chicago Atlantic BDC has a relatively short operating history. This limited track record makes it more challenging to accurately assess the long-term sensitivity of its portfolio to various market and economic changes, as well as its overall resilience through different economic cycles.
3. Rising PIK Income and Potential for Dividend Cuts: The company has experienced rising Payment-in-Kind (PIK) interest income and has exhibited tight dividend coverage. An increase in PIK income can signal potential stress among portfolio companies, as they are paying interest with additional debt rather than cash. This, combined with tight dividend coverage, introduces a risk of potential dividend cuts if the financial performance of its portfolio companies does not improve.

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The potential federal legalization or significant federal banking reform for cannabis in the United States. Chicago Atlantic BDC benefits from the current federal illegality of cannabis, which restricts traditional banks from lending to cannabis businesses. This allows LIEN to command higher interest rates for its debt financing in this underserved market. Should federal legislation (such as the SAFER Banking Act or full descheduling) open the door for traditional financial institutions to enter the cannabis lending market, LIEN would face substantial competition from lenders with significantly lower costs of capital, broader product offerings, and larger balance sheets. This influx of capital could drive down lending rates and margins in the cannabis sector, directly eroding LIEN's competitive advantage and profitability in its core market.

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Chicago Atlantic BDC (LIEN) operates as a Business Development Company (BDC) primarily focused on providing direct loans to privately held middle-market companies. The company's main products and services revolve around debt investments, with a significant concentration in the cannabis industry, as well as investments in other niche and underfollowed sectors.

Addressable Markets:

• U.S. Cannabis Lending Market: The addressable market for lending to the U.S. cannabis industry is substantial. Over the next decade (2025-2035), the U.S. cannabis industry is projected to require between $65.6 billion and $130.7 billion in sustainable growth capital to support new businesses and refinance existing ones. This market is also expected to generate approximately $1 billion to $2.4 billion in potential interest revenue for financial institutions engaged in cannabis lending during the same period. The legal U.S. cannabis market itself was valued at around $30 billion in 2024, with projections indicating it could reach $72 billion annually by 2030.
• U.S. Direct Lending Market (Broader Private Credit): Beyond its cannabis focus, Chicago Atlantic BDC participates in the broader direct lending and private credit markets. The global private credit market reached approximately $3.0 trillion by 2025, with direct lending accounting for about 50% of this, or roughly $1.5 trillion globally. The U.S. market represents a significant portion of the private credit market, estimated at around $1.1 trillion, with direct lending making up over half of this total. In 2025, U.S.-based direct lending funds deployed approximately $500 billion in new loans. The overall private credit market (which includes direct lending) was approximately $1.8 trillion at the end of 2024 and is forecasted to grow to $2.3 trillion by 2028. Direct lending is the largest private debt strategy, with $241 billion in assets under management at the end of 2023.

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Chicago Atlantic BDC (LIEN) is expected to drive future revenue growth over the next 2-3 years through several key strategies:

1. Expanded Loan Portfolio and Diversification: The company's recent acquisition of a significant loan portfolio has substantially increased its asset base and diversified its investments beyond its historical focus on the cannabis sector. The portfolio is now five times larger and approximately 23% invested in non-cannabis sectors, with plans to grow this non-cannabis lending vertical. This expansion of investable assets directly contributes to increased interest income.
2. Robust Lending Pipeline: Chicago Atlantic BDC consistently reports a strong lending pipeline, indicating a healthy flow of potential new debt transactions. As of recent reports, the pipeline includes hundreds of millions in potential debt transactions across numerous unique companies in both cannabis and non-cannabis industries, suggesting continued investment activity and future revenue generation.
3. High Weighted Average Yield on Debt Investments: The company maintains a high weighted average yield on its debt investments, approximately 16.1% to 17.2%, which is significantly above the average for BDCs. Sustaining or growing this high yield on an expanding portfolio will be a direct contributor to elevated interest income and, consequently, revenue growth.
4. Strategic Positioning with Floating Rate Loans: A substantial portion of Chicago Atlantic BDC's portfolio (76-80%) consists of floating-rate loans, with many featuring interest rate floors. This structure allows the company to benefit from a higher interest rate environment, if it persists, by generating increased interest income. Should interest rates decline, analyst commentary suggests a more favorable borrowing environment could lead to an influx of new businesses seeking debt financing, which LIEN aims to capitalize on.
5. Continued Expansion into Non-Cannabis Markets: While the cannabis sector remains a core focus, Chicago Atlantic BDC is actively expanding its footprint into other niche, underfollowed non-cannabis sectors. This diversification strategy helps mitigate regulatory risks associated with the cannabis industry and opens new avenues for deploying capital into attractive lending opportunities, thereby fueling future revenue growth.

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Share Issuance

• Chicago Atlantic BDC, formerly Silver Spike Investment Corp., completed its Initial Public Offering (IPO) on February 8, 2022, raising approximately $83.3 million in net proceeds.
• On October 1, 2024, the company acquired a portfolio of loans from Chicago Atlantic Loan Portfolio, LLC (CALP) in exchange for newly issued shares of its common stock, which also led to the company being renamed Chicago Atlantic BDC, Inc. and its ticker changing to LIEN.
• As of March 28, 2025, Chicago Atlantic BDC had 22,820,386 shares of common stock outstanding.

Inbound Investments

• Chicago Atlantic BDC completed a Loan Portfolio Acquisition on October 1, 2024, acquiring a portfolio of loans from Chicago Atlantic Loan Portfolio, LLC. This acquisition increased the company's net assets to approximately $300 million and expanded its investment portfolio to 28 companies.
• On February 12, 2025, the company closed a new $100 million senior secured revolving credit facility, led by an FDIC-insured financial institution, providing significant liquidity for future portfolio growth.

Outbound Investments

• As a business development company, Chicago Atlantic BDC primarily invests in direct loans to privately held middle-market companies, with a significant focus on the cannabis ecosystem.
• As of December 31, 2024, the company's investment portfolio had an aggregate fair value of approximately $275.2 million across 28 portfolio companies.
• During the quarter ended June 30, 2025, the company funded nine portfolio companies with an aggregate par value of $39.1 million, including three new borrowers, and subsequently funded five additional investments totaling $17.2 million with three new borrowers.