Risk factors

Portfolio investments are recorded at fair value, introducing valuation uncertainty.

Operating with no revenue and relying on cash into the third quarter of 2025. Licensing and relying exclusively on Dong-A for DA-1241 and DA-1726 development and manufacturing. Facing intense competition and public scrutiny in obesity and T2DM treatments.

NexMetals is an early-stage exploration company focused on redeveloping the previously producing Selebi and Selkirk mines in Botswana. The company faces significant financial, operational, and regulatory risks, including negative cash flow, lack of established mineral reserves, and reliance on foreign jurisdictions. Operations depend heavily on commodity price volatility, milestone payments, and complex multi-country regulatory frameworks.

Neuraxis faces significant operating losses since 2011 while trying to commercialize neuromodulation therapies for children like the IB-Stim device. The business heavily relies on third-party manufacturers, single-source component suppliers, and adequate insurance reimbursement codes. Extensive FDA and international regulations govern clinical trials, quality systems, marketing, and ongoing product compliance.

OptimizeRx relies heavily on pharmaceutical manufacturer customers and electronic prescription channel partners, exposing its revenues to healthcare industry concentration and regulatory shifts.

Processa Pharmaceuticals relies on ongoing equity financing and faces substantial doubt about its ability to continue as a going concern with $1.2 million in cash at year-end 2024. Clinical development of cancer therapy drug candidates NGC-Cap, NGC-Gem, and NGC-Iri requires substantial capital and remains unproven. The company faces a potential Nasdaq delisting due to its common stock failing to maintain the $1.00 minimum bid price.

The company faces going concern doubts with an accumulated deficit of $200.5 million and recurring net losses. Growth depends on scaling unproven quantum computing hardware and manufacturing capabilities. Operations rely heavily on third-party cloud providers like Amazon Web Services.

Rubrik faces substantial net losses, reaching $(1,154.8) million for fiscal 2025.

Rockwell Medical faces severe customer concentration with its largest customer leaving by mid-2025. The company has limited capital resources with a cumulative deficit of $397.7 million. Operations depend heavily on manual production processes and government healthcare funding.

Private high-growth portfolio companies may default, become impaired, or be difficult to value.

Shimmick Corp faces heavy exposure to public infrastructure spending, fixed-price contract cost overruns, and California's regional economic conditions. Operations rely heavily on government contracting qualifications, surety bond availability, and third-party joint ventures and subcontractors. The company carries specific legacy entanglement risks tied to its former parent, AECOM.

Sionna Therapeutics faces heavy developmental risks focusing on its novel NBD1 domain cystic fibrosis product candidates, including SION-719 and SION-451. The company relies entirely on early preclinical data and Phase 1 trials conducted in Australia, with no prior clinical trials in cystic fibrosis patients. Operations depend heavily on third-party manufacturers, licensed intellectual property, and competing against established standard-of-care therapy Trikafta.