SuRo Capital Corp.

Welcome to the Suro Capital's first quarter 2026 earnings call. My name is Alan and I will be your coordinator for today's event. Please note this call is being recorded and for the duration your lines will be on listen only. However, you will have the opportunity to ask questions at the end. This can be done by pressing star 1 on your telephone keypad. If you require assistance at any time, please press star 0 and be connected to an operator. I will now hand you over to your host, Evan Sloshman, to begin today's conference queue.

Thank you for joining us on today's call. I am joined by the Chairman and Chief Executive Officer at Suro Capital, Mark Klein, and Chief Financial Officer, Alison Green. Please note that a slide presentation corresponding to today's prepared remarks by management is available at 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 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 risk 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 to the SEC. With respect to the externalization, these risks and uncertainties include but are not limited to the ability to obtain the required stockholder approval, the ability to retain key personnel, the ability to realize anticipated benefits of the externalization, and the impact of the externalization on the company's business, financial condition, and results of operations. Management does not undertake to update such forward-looking statements unless required to do so by law. To obtain copies of Soro Capital's latest SEC filings, please visit our website at www.sorocap.com or the SEC website at sec.gov. Now I would like to turn the call over to Mark Klein.

Thank you, Evan. Good afternoon, everyone, and thank you for joining us. This is a defining moment for Cerro Capital. Our strong performance in 2025 carried directly into the first quarter of 2026. For the quarter, our net asset value increased from $8.09 per share to $14.24 per share. That is a $6.15 cent per share increase, or approximately 76 percent quarter-over-quarter. This is the largest quarter-over-quarter NAV increase in our history. This increase reflects the strength of our portfolio and the quality of the companies we have invested in. It also reinforces the strategy we have followed for more than a decade, giving public market investors access to high-growth, venture-backed private companies that are otherwise difficult to access. We believe this access is especially valuable when it is paired with selectivity. Identifying important private companies before they're strategic is broadly reflected in public market awareness. At the same time, NAV is a point-in-time measurement. It does not by itself capture the full opportunity we believe remains ahead. The larger story is what is in front of us as our portfolio companies continue to mature scale their businesses and move toward potential liquidity events. Several recent financing illustrate the larger story. Whoop recently announced a $575 million Series G financing at a $10.1 billion valuation. The company reported that 2.5 million members globally, 103% year-over-year bookings growth in 2025, a $1.1 billion exit run rate, and positive operating cash flow in 2025. For us, WHOOP sits within a broader shift toward health, longevity, and actual self-knowledge. As the category evolves, we believe WHOOP can benefit from AI's ability to convert personal data into more useful, individualized guidance for users. OpenAI closed its latest financing round with $122 billion in committee capital at an $852 billion post-money valuation. This financing speaks to the scale of capital formation around artificial intelligence. AI is no longer a narrow software category. It is becoming a foundational technology layer across compute, data centers, enterprise software, developer tools, healthcare, education, and productivity. Vast Data was valued at $30 billion in its recent Series F financing, more than tripling its prior $9.1 billion valuation from 2023. The round included approximately $1 billion of primary and secondary capital and reflects continued demand for infrastructure supporting artificial intelligence, including data centers and high-performance computing. Canva wants an employee stock sale at a reported $42 billion valuation led by existing shareholder Fidelity with JP Morgan Asset Management joining as a new investor. The transaction came as Canva continued investing in AI tools for its more than 265 million monthly active users. Taken together, these are not isolated events. They tell a consistent story. Private market capital is concentrating around scaled private companies with durable growth, strategic relevance, and credible paths to liquidity. These financings are significant not only for their scale, but for what they signal. Private market capital continues to validate the companies and infrastructure layers that we believe are becoming increasingly important to the next phase of technology. Our objective is to build exposure to those opportunities with discipline before they are broadly available. We are not simply observing this market. We continue to participate in it. Recent hyperscale results continue to reinforce the scale of demand behind AI infrastructure. The next phase of AI growth depends not only on models and applications, but also on the compute capacity, power, data center infrastructure, and specialized systems required to support them. During the quarter, we funded $5 million to a Magnetar special-purpose vehicle invested in TensorFlow. This investment was part of a commitment of up to $20 million. The remaining commitment of up to $15 million is subject to the satisfaction of certain conditions, including company-level operational milestones. TensorFlow fits within our broader investment strategy and further expands our exposure to AI infrastructure. We view it as the type of opportunity we seek to identify before it becomes more broadly familiar to the broad investor base. The company is positioned around a significant technology shift with meaningful room to scale in part of the market where demand for performance, capacity, and specialized infrastructure remains structurally important. That approach is consistent with the discipline we applied in building our exposure to CoreWeave, where we sought exposure to an important infrastructure company before its role in the AI ecosystem was more broadly recognized. We also believe the stage structure gave us a measured way to increase exposure to TensorFlow within a framework tied to execution. More broadly, we intend to remain disciplined in how we deploy capital. while being decisive when we see opportunities in line with our strategy and with areas we believe long-term value is being created. This participation continued after year end. Following quarter's end, we made a new investment of approximately $10 million in ClickHouse, a company we believe is well positioned at the intersection of data infrastructure, artificial intelligence, and real-time analytics. ClickHouse helps enterprises query, analyze, and act on massive volumes of data quickly and efficiently, a capability that is becoming increasingly important across observability, security analytics, product telemetry, cloud data warehousing, and AI-driven applications. This matters because as AI moves from experimentation to deployed enterprise use cases, the infrastructure required to store, analyze, and act on data becomes increasingly critical. ClickHouse's relevance is already visible in demanding AI environments, including Anthropic, which ClickHouse has publicly described as using its technology to scale observability for all AI workloads. ClickHouse is another example of the kind of company we seek to invest in. It is already a scaled venture-backed technology leader, but we believe its strategic relevance is becoming greater as real-time data infrastructure becomes more important to enterprise AI deployment. For Suro, the opportunity is to build exposure while companies like this remain private. Because this investment was made after the quarter's end, it is not part of our March 31 net asset value. It is, however, an important example of how we intend to build a future portfolio. Now, I want to turn to what we believe is one of the most important strategic steps in CSIRO capital's history. Our board of directors approved a proposal to transition CSIRO from an internally managed BDC to an externally managed structure through Neostar Advisors LLC, and advisor jointly owned by members of our current team and Magnetar. The proposal remains subject to stockholder approval. This is not the sale of the company. The company will continue to be a publicly traded BDC, and our investment focus will remain centered on high-growth, venture-backed private companies. While the core strategy will remain the same, we believe the proposed structure will enhance the platform, supporting the strategy and better positioning us to pursue high-quality investment opportunities. Since 2019, our internally managed structure has served us well. Our team has built the portfolio, navigated volatile markets, returned significant capital to stockholders, and delivered meaningful value. The NAV increase this quarter is evidence of that work. At the same time, the market has evolved. Leading private companies have more choices today, and they increasingly look for investors who can bring more than capital, including scale, relationships, strategic support, capital markets experience, and a long-term partnership. We believe the proposed partnership with Magnetar positions us to compete more effectively in this environment. Magnetar brings significant scale with approximately $18 billion in asset under management, more than 20 years of investment experience, and a track record of investing in differentiated technology, venture-backed companies across artificial intelligence and technology-enabled sectors. The strategic logic is straightforward. We are preserving the investment strategy and leadership continuity that brought us to this point, while adding magnitude scale, sourcing reach, diligence capabilities, portfolio support, and institutional infrastructure. In addition, Magnetar's experience across the AI infrastructure ecosystem gives us additional depth in one of our core focus areas, and in a market we believe will be increasingly important to broader technology growth. As many of these businesses become more capital-intensive, Magnetar's experience with cost of capital, balance sheet management, and transaction structuring becomes even more relevant. We also expect the proposed structure to strengthen our origination and diligence capabilities while creating a broader platform to support portfolio companies. Put simply, we believe this gives us greater scale, broader capital solutions, and deeper institutional capabilities to support private companies as they grow. If approved by stockholders, we believe This combination would position us to be one of the largest platforms focused on publicly traded access to venture-backed private companies. Public venture capital has historically been a fragmented market, and we believe greater scale, stronger infrastructure, and deeper sourcing capability can matter in competing for high-quality private company investments. This would be a significant change and positive for us in our competitive position. For stockholders and portfolio companies, we believe the benefit would be a broader platform, deeper resources, and a stronger ability to support ambitious private companies building in large markets. I want to speak directly about shareholder alignment. Being shareholder-friendly is not just a slogan for us. It is how we evaluate major decisions. The value created in the existing portfolio belongs to our shareholders. Under the proposed advisory agreement, pre-existing investments are not included in the incentive fee calculation. In plain English, the value already created in this portfolio is preserved for stockholders and is not subject to a new incentive fee simply because we are changing the management structure. We believe this is an important and stockholder-friendly feature. Additionally, subject to the conditions described in the proxy materials, an affiliate of Magnetar is also expected to invest $20 million in our company. We believe this is a meaningful signal of commitment and alignment. Magnetar and the board think like owners because we are owners. Our goal is not simply to report a higher NAV. Our goal is to convert portfolio value into long-term stockholder value. This means disciplined investing, thoughtful liquidity management, expense discipline, transparency, and continued focus on returning value to our stockholders. Let me close with this. This is one of the most important moments in Suro Capital's history. We delivered the largest quarter-over-quarter NAV increase we have ever reported. Our NAV increased approximately 76 percent quarter over quarter. This is not a routine result. It reflects the strength of our portfolio, the quality of companies we have backed, and the power of our strategy, giving public stockholders access to high-growth venture-backed companies aligned with important technology change trends. We do not view the quarter as the finish line, but as the beginning of the new chapter. Our recent investment activity, including TensorFlow and ClickHouse, reflects the same discipline, identifying private companies where strategic relevance is emerging, building exposure selectively, and giving public stockholders access to opportunities that remain largely outside of the public markets. Our proposed partnership with Magnetar through neo-stellar advisors is designed to provide zero capital with greater scale, stronger infrastructure, broader sourcing reach, and deeper diligence capabilities as we seek to invest in and partner with the next generation of high-growth private companies. NAV captures the progress we have made. The opportunity is what comes next. Our focus now is straightforward. build on this momentum, maintain our discipline, and translate portfolio progress into lasting shareholder value. To our stockholders, thank you for your continued trust and support. With that, I will turn the call over to Alison Green to review our financial results.