Neostellar Capital's Net Asset Value Drops From June High
Preliminary net asset value is estimated at $12.25 to $12.75 a share as of September 30, 2026, after $13.44 a share at June 30.
Neostellar Capital Corp. (NSLR), a publicly traded investment company focused on private, venture-backed businesses, said preliminary net asset value was estimated at $12.25 to $12.75 a share as of September 30, 2026, down from $13.44 a share at June 30.
Net assets totaled approximately $355.9 million, or $13.44 a share, at June 30, 2026, compared with about $231.8 million, or $9.23 a share, a year earlier. The company held positions in 34 portfolio companies at September 30 — 30 privately held and 4 publicly held — after 37 holdings, 34 private and 3 public, at June 30.
Chairman and Chief Executive Officer Mark Klein said the firm remained encouraged by growth prospects in its core portfolio, citing expanding AI adoption, rising demand for compute and continued innovation in digital health. He said the IPO market showed early signs of reopening in the third quarter, though the recovery had been slower than anticipated amid macroeconomic and geopolitical uncertainty. The company remains confident in portfolio companies’ ability to pursue liquidity, including IPOs, when timing supports long-term value creation.
During the three months ended September 30, Neostellar invested less than $0.1 million in Shogun Enterprises, Inc. (d/b/a Hearth) common shares, exercising 86,076 warrants on July 10.
The company exited or received proceeds from several positions in the quarter. It sold GrabAGun Digital Holdings common shares for $0.4 million of net proceeds and a $0.3 million realized gain, leaving 308,964 shares at quarter-end. On July 8 it sold Aventine Property Group shares for less than $0.1 million, recording a $2.5 million realized loss. On August 21 it received $2.0 million from CW Opportunity 2 LP, a special-purpose vehicle whose Class A interest is invested in CoreWeave, Inc. common shares, with a $1.4 million realized gain that the company said may change with performance fees. On September 21 it sold Learneo, Inc. (f/k/a Course Hero, Inc.) shares for $9.4 million, a $5.6 million realized loss. On September 25 it abandoned its investment in CTN Holdings, Inc. (d/b/a Catona Climate, f/k/a Aspiration Partners, Inc.), booking a $1.3 million realized loss.
Liquid assets were approximately $42.2 million as of September 30, consisting of cash and securities of publicly traded portfolio companies not subject to certain restrictions. Common shares outstanding were 26,473,222.
On July 17, 2026, the company received $20.0 million of gross proceeds from a 6.50% redeemable promissory note due July 16, 2029, issued to a Magnetar-affiliated entity. Interest is payable semiannually in cash. The note matures earlier if the company completes transactions generating at least $230.0 million of gross proceeds, in which case principal and accrued interest would be satisfied through issuance of common stock at the price per share sold in the latest qualifying transaction raising at least $5.0 million in aggregate net proceeds from non-affiliate purchasers. The financing enhances liquidity and financial flexibility.
During the quarter ended September 30, Neostellar repurchased an additional 1,984 of its 6.00% Notes due 2026 under a discretionary program. Cumulative repurchases stood at 1,568,791 notes, with about $35.8 million of principal still eligible. The board had extended the program in October 2025 to allow repurchase of up to an additional $40.0 million or the remaining principal.
Klein said the shelf registration filing preserves flexibility to raise capital when accretive, and that the company will exercise that flexibility with discipline. Preliminary estimates are unaudited. The company expects to announce third-quarter results in November 2026.