Here are 1-3 brief analogies to describe MSC Income Fund (MSIF):

• A REIT for private businesses.
• Like Blackstone, but focused on private middle-market debt.

• Secured Debt Investments: MSC Income Fund provides capital to middle-market companies through secured loans, aiming to generate current income for its investors.
• Unsecured Debt Investments: The fund also invests in unsecured loans to middle-market companies, seeking income generation from a diversified debt portfolio.
• Equity-Related Investments: It acquires warrants or other equity securities, typically in conjunction with debt investments, to provide potential for capital appreciation.

MSC Income Fund (MSIF) is a Business Development Company (BDC). As a BDC, it primarily provides capital in the form of debt and equity investments to other companies, rather than selling goods or services in the traditional sense.

Therefore, MSC Income Fund's "customers" are the businesses it invests in. These are primarily:

• Private, U.S. middle-market companies across a diverse range of industries.

MSIF typically builds a diversified portfolio of these companies. It does not have a few "major customers" in the way a traditional product or service company might. The companies it lends to or invests in are generally private and not publicly traded.

• Main Street Capital Corporation (NYSE: MS)
• Main Street Advisors, LLC
• KPMG LLP

Dwayne L. Hyzak, Chief Executive Officer

Dwayne L. Hyzak has served as MSC Income's Chief Executive Officer and Senior Managing Director since October 2020. He is also the Chief Executive Officer and a Senior Managing Director of Main Street Capital Corporation and MSC Adviser, MSC Income's investment adviser and a wholly owned portfolio company of Main Street, and a member of Main Street's Board of Directors. Mr. Hyzak was one of the founding members of Main Street, joining in 2002. Prior to Main Street's initial public offering in 2007, he held various senior executive positions with Main Street's predecessor funds and entities. Mr. Hyzak previously served as President (2015-2018), Chief Operating Officer (2014-2018), and Chief Financial Officer (2011-2014) of Main Street. Before joining Main Street, he was a Director of Acquisitions and Integration with Quanta Services, Inc. (NYSE: PWR), focusing on mergers and acquisitions and corporate finance. Earlier in his career, he was a Manager at Arthur Andersen LLP in its Transaction Advisory Services group. MSC Income Fund, through its association with Main Street, has a strategy that includes investing in companies owned or being acquired by a private equity fund.

Cory E. Gilbert, Chief Financial Officer and Treasurer

Cory E. Gilbert has served as MSC Income's Chief Financial Officer and Treasurer since July 2024. He previously held the role of Vice President and Chief Accounting Officer from 2020 to 2024. Mr. Gilbert also serves as Chief Financial Officer – Asset Management Business and Assistant Treasurer of Main Street Capital Corporation and MSC Adviser. Before joining Main Street, Mr. Gilbert was a Manager at Deloitte & Touche LLP, where he provided assurance and advisory services to both public and private clients. His roles within MSC Income Fund and Main Street, which actively invests in private companies, demonstrate a pattern of managing entities involved with private equity-backed companies.

David L. Magdol, President and Chief Investment Officer

David L. Magdol has served as MSC Income's President, Chief Investment Officer, and Senior Managing Director since October 2020. He also holds these roles at Main Street Capital Corporation and MSC Adviser, and is a member of Main Street's management team's executive and investment committees. MSC Income Fund maintains a portfolio of lower middle market investments, which are combined debt and equity investments in smaller privately held companies, where the fund partners directly with existing business owners and management teams through co-investments with Main Street Capital Corporation.

Jesse E. Morris, Executive Vice President and Chief Operating Officer

Jesse E. Morris has served as MSC Income's Executive Vice President, Chief Operating Officer, and Senior Managing Director since October 2020. He previously served as MSC Income's Chief Financial Officer and Treasurer from 2021 to 2024. Mr. Morris also serves as Executive Vice President, Chief Operating Officer, and Senior Managing Director of Main Street Capital Corporation and MSC Adviser. Prior to joining Main Street, he held various roles at Quanta Services, Inc. (NYSE: PWR), including Executive Vice President – Finance and President – Infrastructure Solutions, where he oversaw accounting, treasury, tax, financial planning, and led public-private partnership (P3) concession and private infrastructure investment activities. He previously held financial and accounting positions at Sysco Corporation (NYSE: SYY).

Jason B. Beauvais, Executive Vice President, General Counsel and Secretary

Jason B. Beauvais has served as MSC Income's Executive Vice President since August 2021 and as General Counsel and Secretary since October 2020. He previously served as the company's Chief Compliance Officer from 2020 to 2023 and again from June 2024 to November 2024. Mr. Beauvais also serves as Executive Vice President, General Counsel, and Secretary of Main Street Capital Corporation and MSC Adviser.

The key risks to MSC Income Fund (MSIF) primarily stem from its nature as a Business Development Company (BDC) specializing in debt and equity investments in middle-market and lower middle-market companies. These risks are:

1. Credit Risk and Economic Downturns: As a BDC, MSIF's performance is highly sensitive to the credit quality of its portfolio companies and the overall economic environment. An uncertain economic environment, characterized by factors such as high interest rates, inflation, and geopolitical risks, can lead to deterioration in the financial health of its portfolio companies. This can result in "non-accruals," where portfolio companies underperform and struggle to meet their debt obligations, directly impacting MSIF's earnings and potentially threatening its ability to maintain consistent distributions to shareholders.
2. Competition for Investment Opportunities: MSC Income Fund faces significant competition when sourcing new investment opportunities. Increased competition for quality middle-market debt and equity deals can lead to less attractive terms, higher valuations, or a reduction in the availability of suitable investments. This can negatively impact MSIF's ability to achieve its investment objectives of generating current income and long-term capital appreciation.
3. Leverage Risk: Like many BDCs, MSIF utilizes borrowed money to finance its investments, which can magnify both potential gains and losses. This leverage exposes the fund to increased financial risk. Compliance with regulatory asset coverage ratios is crucial, and any breach could have significant adverse consequences for the company.

The primary emerging threat for MSC Income Fund (MSIF) stems from the intensifying competition within the private credit market. A significant influx of capital from large institutional investors, such as pension funds, sovereign wealth funds, and global asset managers, into direct lending strategies is creating a highly crowded market. This proliferation of new and existing private debt funds directly competes with BDCs like MSIF for investment opportunities in middle-market companies. This heightened competition can lead to several negative impacts, including:

• Yield Compression: Increased competition for deals can drive down the interest rates and fees that MSIF can charge on its loans, thereby reducing its potential returns.
• Erosion of Underwriting Standards: To win deals in a competitive environment, there's a risk that lenders may loosen credit terms or accept higher-risk investments, potentially increasing MSIF's exposure to defaults in future economic downturns.
• Scarcity of Attractive Deals: A larger number of participants chasing a finite pool of quality borrowers can make it more challenging for MSIF to deploy its capital into investments that meet its risk-adjusted return targets.

This trend represents a fundamental shift in the competitive landscape for private credit providers, potentially eroding the advantages that BDCs like MSIF once held in this segment.

The main products and services offered by MSC Income Fund (MSIF) are providing private debt capital, primarily secured debt, to private U.S. middle-market companies, and debt and equity investments in lower middle-market U.S. companies.

The addressable market for these services is primarily the U.S. private credit and direct lending market. The U.S. private credit market is estimated to be approximately $1.3 trillion to $2.1 trillion. More specifically, the U.S. direct lending market, which is a significant component of private credit and where MSIF primarily operates, is estimated to be around $940 billion to $1 trillion. This market is projected for continued growth.

Here are 3-5 expected drivers of future revenue growth for MSC Income Fund (MSIF) over the next 2-3 years:

1. Expansion of the Private Loan Investment Portfolio: MSC Income Fund is strategically transitioning its focus towards a private loan-only investment strategy for new investments. The company has identified an "above average" private loan pipeline and aims to achieve a fully invested portfolio within its current leverage limits by January 2026. This ongoing expansion and commitment to the private loan segment are expected to drive revenue growth.
2. Utilization of Expanded Regulatory Leverage Capacity: Effective January 29, 2026, MSC Income Fund's expanded regulatory leverage capacity provides significant flexibility and additional debt capacity for new investments. This increased ability to leverage its capital will enable the fund to deploy more funds into its investment portfolio, thereby growing its income-generating assets.
3. Strategic Capital Reallocation towards Higher-Yielding Private Loans: Management is focused on rotating capital from legacy equity and lower middle market (LMM) investments into higher-yielding private loans. This strategic reallocation is intended to increase recurring Net Investment Income (NII) and contribute to consistent dividend growth, which in turn supports overall revenue generation.
4. Continued Strong Private Equity Activity and Deal Origination: The company has observed increasing private equity activity, which is generating robust new origination levels and replenishing its private loan pipeline. A sustained strong market for private equity deals is expected to provide MSC Income Fund with ample opportunities to originate new private loan investments, directly contributing to revenue growth.

Share Repurchases

• In September 2024, MSC Income Fund announced a quarterly share repurchase offer as part of its program, aiming to repurchase shares equivalent to the lesser of 90% of proceeds from its dividend reinvestment plan for the November 2024 dividend, or 2.5% of the weighted average shares outstanding in the prior four calendar quarters.
• In January 2025, the Board of Directors authorized an open-market share repurchase program of up to $65.0 million.

Share Issuance

• In early 2025, MSC Income Fund completed two equity offerings. The first, on January 30, 2025, sold 5,500,000 shares for approximately $85.4 million in gross proceeds, followed by an expansion on February 4, 2025, issuing a total of 6,325,000 shares and generating roughly $91 million in net proceeds.
• The Fund maintains a dividend reinvestment plan (DRIP), allowing registered stockholders to reinvest dividends into additional shares of the Fund's common stock.

Inbound Investments

• On March 13, 2026, MSC Income Fund completed a private offering of $150.0 million in unsecured investment grade notes, bearing a fixed interest rate of 6.34% and maturing on May 31, 2029.
• The net proceeds from this notes offering were intended to initially repay a portion of outstanding debt under its floating rate multi-year revolving credit facility and then be re-borrowed to fund investments, pay operating expenses, and for general corporate purposes.

Outbound Investments

• MSC Income Fund primarily provides debt capital to private companies, particularly those owned by or being acquired by private equity funds.
• These investments typically support leveraged buyouts, recapitalizations, growth financings, refinancings, and acquisitions across various industry sectors.
• On January 6, 2026, the Fund provided $12.7 million in financing to UBM ParentCo, LLC (United Business Mail) to support its merger with Mystic Logistics Holdings, while simultaneously exiting its prior debt and equity in Mystic for a $6.0 million gain and $5.5 million in cumulative dividends received.

Capital Expenditures

• Information regarding significant capital expenditures for MSC Income Fund is not available. As a Business Development Company (BDC), the Fund primarily invests in debt and equity of other companies rather than in its own physical assets.