Welcome to the SuRo Capital's Fourth Quarter and Fiscal Year 2025 Earnings Call. My name is Alan, and I will be your coordinator for today's event. Please note, this call is being recorded. [Operator Instructions] I will now hand you over to your host, Jackson Stone, to begin today's conference. Thank you.

Thank you for joining us on today's call. I'm joined today by the Chairman and Chief Executive Officer of SuRo Capital, Mark Klein; and Chief Financial Officer, Allison Green. Please note that a slide presentation corresponding to today's prepared remarks by management is available on our website at www.surocap.com under Investor Relations, Events and Presentations. Today's call is being recorded and broadcast live on our website, www.surocap.com. Replay information is included in our press release issued today. This call is the property of SuRo Capital and the unauthorized reproduction of this call in any form is strictly prohibited. I would also like to call your attention to customary disclosures in today's earnings press release regarding forward-looking information. Statements made in today's conference call and webcast may constitute forward-looking statements, which relate to future events or our future performance or financial condition. These statements are not guarantees of our future performance or future financial condition or results and involve a number of risks, estimates and uncertainties, including the impact of any market volatility that may be detrimental to our business, our portfolio companies, our industry and the global economy that could cause actual results to differ materially from the plans, intentions and expectations reflected in or suggested by the forward-looking statements. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including, but not limited to, those described from time to time in the company's filings with the SEC. In addition, the preliminary financial estimates regarding the company's estimated accretion to current net asset value provided herein have been prepared by and are the responsibility of the management of the company. This information is preliminary and is thus inherently uncertain and subject to change. Actual results relating to the company's net asset value for any period subsequent to December 31, 2025, including March 31, 2026, may differ materially. Management does not undertake to update such forward-looking statements unless required to do so by law. To obtain copies of SuRo Capital's latest SEC filings, please visit our website at www.surocap.com or the SEC's website at sec.gov. Now I would like to turn the call over to Mark Klein.

Thank you, Jackson. Good afternoon, everyone, and thank you for joining us. This is an important moment for SuRo Capital. We are entering 2026 with meaningful momentum across our portfolio a disciplined investment strategy, substantial embedded value, and what we believe is a highly differentiated position in one of the most consequential technology cycles of our time. Before I review our full year results, I want to begin with what has happened since year-end because those developments matter. They matter for our portfolio, they matter for how we see the opportunity ahead and most importantly, they matter for our shareholders. Since the beginning of 2026, public markets have been mixed, volatility has remained a feature of the environment. sentiment has moved back and forth. But beneath the day-to-day noise, 1 much more important trend has continued to strengthen, the global build-out of AI infrastructure is accelerating. We do not view this as a passing theme, we do not view this as a short cycle, we view it as a structural shift in how the modern economy will be built. Across the largest technology platforms in the world, capital commitments continue to rise. That tells us something important. AI is no longer being treated as an experimental initiative, it is becoming core infrastructure, it is becoming central to how businesses compete, how they invest, and how they grow. And when capital begins moving at that scale, the effects extend far beyond the largest public companies. It benefits foundational infrastructure; it benefits enabling software; it benefits private companies building essential tools, platforms and systems that support this transition. That is where SuRo is positioned. Against that backdrop, we continue to see strong execution across our portfolio. Since the end of the year, several of our portfolio companies have completed or are in…

Thank you, Mark. I would like to follow Mark's update with a review of our investment activity and portfolio company realizations during the fourth quarter and subsequent to year-end, a high-level review of our investment portfolio as of year-end, including the investment theme breakdown and a more detailed review of our fourth quarter financial results, including our current liquidity as of December 31. I'll also touch on notable items during the fourth quarter and year-end, including our cash dividend, debt repurchases, capital raised and shares issued via At The Market offering, or ATM program and recent Board approved updates to the note repurchase program and the share repurchase program. Throughout the fourth quarter, we received distributions from CW Opportunity 2 LP following the lifting of sales restrictions on the publicly traded CoreWeave stock held by the fund on August 15, 2025. CW Opportunity 2 LP is an SPV for which the Class A membership interest is solely invested in the Class A common shares of CoreWeave, Inc. SuRo Capital has invested in the Class A common shares of CoreWeave Inc. through its investment in the Class A membership interest of CW Opportunity 2 LP. We received 3 distributions during the fourth quarter totaling approximately $9 million and were categorized in aggregate as approximately $2.3 million return of capital and $6.7 million gain. The aggregate fourth quarter distributions represent approximately 15.3% of our $15 million investment in CW Opportunity 2 LP. As of year-end, we continue to have exposure to CoreWeave through the remaining 68.1% of our initial investment in CW Opportunity 2 LP. On November 6, we sold our remaining 70,530 public common shares of Forge Global, Inc. for net proceeds of approximately $3.1 million, resulting in a realized gain of approximately $1.1 million. The total realized gain on this…

[Operator Instructions] We will take our first question from Alex Paris, Barrington Research.

Congrats on a strong 2024 -- 2025, sorry.

Alex, you're kind of cutting in and out.

Oh, I'm sorry. Let me switch, can you hear me?

Yes. All good, go ahead.

Okay. Good. So my question will be related to the $5 to $6.50 [ estimated NAV ] per share. expected as a result of financings, either completed or are being finalized. I know you said in your prepared comments, you can't talk which portfolio companies other than OpenAI, which is in the public realm. But I guess my question relates to time line. How many do you -- how much do you expect to be completed in Q1, and then how much do you expect to be completed between the end of Q1 and the end of 2026, just on the basis of $50 to $6.50 a share.

Yes. So unfortunately, because of certain of restrictions, we can't really discuss it. But we believe that they will all be completed certainly by the end of the quarter. That doesn't mean that they will be necessarily announced by the companies that are completing the financings.

We will take our next question from Brian McKenna from Citizens Bank.

This is Nate Saur on for Brian. So I kind of also want to look a little bit at that $5 to $6.50. And I guess speaking a little bit more broadly, what are some of the drivers you guys are seeing there? So I know you mentioned OpenAI and you mentioned a little bit around that. But I guess, more broadly, what are some things that kind of leading to appreciation, that extreme? And are there things you're seeing across your entire portfolio? Or is it a little bit more concentrated? And then I guess on the other side of that, are there any offsets that we should maybe be aware of given that we're now already in March?

No problem. So there's been multiple financings that have either occurred are occurring and have not necessarily been announced. Obviously, when drivers of that type of magnitude, there's significant portfolio positions that are driving that. As to what we're seeing around our other portfolio, I think it's, market conditions which drive market multiples will have some impact on other parts of our portfolio.

We will take our next question from Alex Fuhrman, Lucid Capital.

Great. Congratulations on a really strong year in 2025, can you help us just kind of level set some of the less exciting parts of the model for this year that's very exciting that there could be some pretty substantial near-term appreciation in the NAV. What are kind of some base case numbers we should be thinking about given the portfolio you have this year for things like investment income and just operating expenses on a quarterly basis given how much you've grown the portfolio.

Sure, thanks. So to start with -- and thank you for your kind words. 2024 was a really good year. 2025, as we've spoken about extensively now over the last 20 minutes is starting out to be extraordinary. As to the specific questions, we don't really generate income outside of realized capital gains. So we don't have a yield portfolio, as you know. And our operating expenses have been pretty static over the last 2 years, and we wouldn't expect them to be significantly different at all.

We will take our next question from Marvin Fong, BTIG.

Great. Let me add my congratulations as well on all the great progress here. My question is on the latest investment in TensorWave and not so much on TensorWave itself, but the $20 million commitment, I believe, is one of your largest ever more than OpenAI in fact. And I understand that rounds are getting larger. But could you just kind of comment on whether this was sort of a special case? Or do you feel like your regular investment size will be increasing? Or is it sort of that appetite focused primarily on AI. Just kind of help us understand the dynamics there.

Thanks, Marvin, and thanks for the kind words. And good question. What we saw in TensorWave is an opportunity to invest on the AMD side, of the chips as opposed to the NVIDIA side. But we saw it in a structure that allows us to invest a little bit and upon certain obligations being fulfilled that would be extremely value enhancing to TensorWave into the investment to have a springing effect in our investments. So we got very excited to be able to be in early with a company that is fully aligned with AMD, with AMD's full support and do it in a way that limits our initial exposure until things prove out in the way that we think and then make it a significant investment. I don't think it speaks necessarily to all of our investments would be $20 million, obviously, given the size of the portfolio. But it does speak to our feeling that this is an opportunity that we want to lean into more fully.

We will take our next question from Jon Hickman, Ladenburg.

So Mark, could you give us some comments about your thoughts on private market valuations versus what's going on in the public side...

Do you have an hour?

Well, not an hour but 2 minutes. I mean some of the public companies are building out AI stuff are not getting the kind of valuations that appear to be happening on the public -- on the private segment.

So Jon, I'll zoom out a little bit. And we spent an awful lot of time looking at this internally because what -- and I think we've probably talked about it on our last earnings call, the acceleration and both the acceleration in pricing and the acceleration in rounds that are occurring is pretty unprecedented. We went back and looked at sort of the 2019, 2021 period of time to see the acceleration of valuation and the rapid levels. The rapid different capital raises. And we look back at the effectively public venture market, which was the 1999 to 2001 to sort of see where we sit relative to what's gone on historically. And what is clear is that the rapid nature of the growth of value and the rapid amount of consistent raises is more akin to '99 to 2001 and you are seeing separation now from what the public valuations are versus the private valuations. Clearly, the acceleration in the private markets has exceeded what's going on in the public markets.

There are no further questions on the line. So I'll now hand you back to your speaker for closing remarks.

Well, thank you all for taking the time to visit with us today. I hope that you're excited about what's going on in SuRo as our team is. This has been -- was an exciting year last year. This year is -- started out to be even more excited than last year. There's a lot of things for us to be doing. I think we are taking advantage of it. And the whole team is looking forward to '26 and the years to come. Thank you all very much.

Thank you for joining today's call. You may now disconnect.