BlackRock TCP Capital Corp. Investor Presentation September 30, 2019 - PowerPoint PPT Presentation

BlackRock TCP Capital Corp. Investor Presentation September 30, 2019

Forward Looking Statements Prospective investors considering an investment in BlackRock TCP Capital Corp. should consider the investment objectives, risks and expenses of the Company carefully before investing. This information and other information about the Company are available in the Company's filings with the Securities and Exchange Commission ("SEC"). Copies are available on the SEC's website at www.sec.gov and the Company's website at www.tcpcapital.com. Prospective investors should read these materials carefully before investing. This presentation may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are based on estimates, projections, beliefs and assumptions of management of the Company at the time of such statements and are not guarantees of future performance. Forward-looking statements involve risks and uncertainties in predicting future results and conditions. These forward-looking statements do not meet the safe harbor for forward-looking statements pursuant to Section 27A of the Securities Act or Section 21E of the Securities Exchange Act. Actual results could differ materially from those projected in these forward-looking statements due to a variety of factors, including, without limitation, changes in general economic conditions or changes in the conditions of the industries in which the Company makes investments, risks associated with the availability and terms of financing, changes in interest rates, availability of transactions, and regulatory changes. Certain factors that could cause actual results to differ materially from those contained in the forward- looking statements are included in the "Risks" section of the Company’s prospectus dated August 16, 2019 and its prospectus supplement dated August 16, 2019, the “Risk Factors” section of the Company’s Form 10 -K for the year ended December 31, 2018, and the Company's subsequent periodic filings with the SEC. Copies are available on the SEC's website at www.sec.gov and the Company's website at www.tcpcapital.com. Forward-looking statements are made as of the date of this presentation, or as of the prior date referenced in this presentation, and are subject to change without notice. The Company has no duty and does not undertake any obligation to update or revise any forward-looking statements based on the occurrence of future events, the receipt of new information, or otherwise. 2

BlackRock TCP Capital Corp – Key Highlights As of September 30, 2019 Who we are What we do How we do it $1.7 billion diversified portfolio Advised by Tennenbaum Capital Value-oriented investing primarily composed of directly Partners (“TCP”) with a 20-year focused on middle-market originated senior secured floating rate history of success direct lending loans with 10.6% weighted average effective yield on debt portfolio (1) Experienced team that sources Diversified low cost Full dividend coverage proprietary deal flow and applies a of financing with $1.3 billion leverage in all 30 quarters as a consistent and rigorous investment program at a 4.10% weighted average public company process interest rate BlackRock platform provides Strong governance and shareholder a broad origination network, Outperformed the Wells Fargo BDC alignment with an investor friendly information advantage, and access to a Index by 24% (2) since IPO driven by advisory fee and share purchases by demonstrated set of proprietary strong historical returns management and the board investment opportunities (1) Weighted average annual effective yield includes amortization of deferred debt origination and end-of-term fees and accretion of original issue discount, but excludes market discount, any prepayment and make-whole fee income, and any debt investments that are distressed or on non-accrual status. Weighted average effective yield on the total portfolio (including debt investments that are distressed or on non-accrual status and equity investments) was 10.0% as of 9/30/2019. (2) As of 10/31/2019. Past performance does not guarantee future returns. 3

Third Quarter 2019 Financial and Portfolio Highlights As of September 30, 2019 Dividend Coverage Net investment income of $0.43; dividend of $0.36 per share ▪ Disciplined Gross deployment of $176 million; net dispositions of $5 million ▪ Deployment Total portfolio reached a record 105 companies ▪ Effective yield on the debt portfolio of 10.6% (1) ▪ Well Positioned 93% of the total portfolio consists of senior secured debt ▪ and Diverse 92% of the debt portfolio is floating rate ▪ Portfolio Largest position just 3.8% of our portfolio; 5 largest investments 15.8% ▪ Issued $150 million of 3.9% notes due 2024 on August 23, 2019 Low Cost & Diverse ▪ Funding Sources Weighted average interest rate on debt outstanding of 4.1% ▪ (1) Weighted average annual effective yield includes amortization of deferred debt origination and end-of-term fees and accretion of original issue discount, but excludes market discount, any prepayment and make-whole fee income, and any debt investments that are distressed or on non-accrual status. Weighted average effective yield on the total portfolio (including debt investments that are distressed or on non-accrual status and equity investments) was 10.0% as of 9/30/2019. Past performance does not guarantee future returns. 4

Well-Covered and Consistent Dividend Net investment income of $0.43 per share Declared Q4 2019 dividend of $0.36 in Q3 2019 per share Out-earned quarterly dividend of $0.36 per share paid Payable on December 31, 2019 to holders of record on September 30, 2019 as of December 17, 2019 Dividend covered in all 30 quarters since inception 2019 2012 (1,2) 2013 2014 2015 2016 2017 2018 Q1 Q2 Q3 Per Share Regular dividend $1.04 $1.43 $1.44 $1.44 $1.44 $1.44 1.44 $0.36 $0.36 $0.36 Net investment income $1.42 $1.65 $1.55 $1.64 $1.51 $1.59 1.59 $0.40 $0.41 $0.43 Regular dividend 137% 115% 108% 114% 105% 110% 110% 111% 114% 119% coverage Special dividend $0.05 $0.10 $0.10 (1) Incentive compensation was waived from the date of the IPO to January 1, 2013. (2) Dividends and net investment income in 2012 reflect the 3 quarters post-IPO (Q2, Q3 and Q4). There is no guarantee that quarterly distributions will continue to be made at historical levels. 5

Conservatively Positioned and Diversified Portfolio Majority of our portfolio 10.6% weighted $1.7 billion 93% of portfolio companies contribute average effective yield portfolio fair value is senior secured debt <1% to recurring income on debt portfolio (1) Diversified Income Contribution Industry Diversification (3) 57 Construction Materials 1.1% Road and Rail 1.1% Other 8.6% Diversified Financial Services 12.3% Aerospace and Defense 1.3% Capital Markets 1.4% Consumer Finance 1.4% # of portfolio companies Thrifts and Mortgage Finance 1.7% Software 8.8% Healthcare Providers and Services 1.8% contributing (2) Tobacco Related 2.0% 27 Energy Equipment and Services 2.1% Health Care Technology 2.1% Internet Software and Services 7.7% Building Products 2.2% Airlines 2.7% Hotels, Restaurants and Leisure 2.8% Professional Services 7.0% 7 Insurance 2.9% 3 Diversified Consumer Services 4.0% Textiles, Apparel and Luxury Goods 6.9% Automobiles 4.2% Media 4.9% Diversified Telecommunication Services 4.3% <1% 1% - 2% 2% - 3% 3% IT Services 4.7% % contribution to recurring income (1) Weighted average annual effective yield includes amortization of deferred debt origination and end-of-term fees and accretion of original issue discount, but excludes market discount, any prepayment and make-whole fee income, and any debt investments that are distressed or on non-accrual status. Weighted average effective yield on the total portfolio (including debt investments that are distressed or on non-accrual status and equity investments) was 10.0% as of 9/30/2019. (2) Excludes non-income producing equity investments (3) As of September 30, 2019, we transitioned our industry classification system for financial reporting purposes to more closely align with the system generally used by the Adviser for portfolio management purposes. As part of this transition, we are generally classifying the industries of our portfolio companies based on the primary end market served rather than the product or service directed to those end markets. Past performance does not guarantee future returns. 6

Strategically Positioned Balance Sheet Predominantly Floating Rate Asset Portfolio Liabilities Primarily Fixed Rate 8% 29% Fixed Rate Fixed Rate Floating Rate Floating Rate 71% 92% Annual impact on net income of changes in interest rates (1) Basis Point Change Net Investment Income Net Investment Income Per Share Up 300 basis points +$38,644,937 +$0.66 Up 200 basis points +$25,763,292 +$0.44 Up 100 basis points +$12,881,646 +$0.22 Down 100 basis points ($12,144,097) ($0.21) Down 200 basis points ($17,073,407) ($0.29) (1) Considers interest rate floors for variable rate instruments and assumes concurrent contractual rate resets for assets and liabilities, and excludes the related incentive compensation impact. Actual results may differ. Please refer to page 74 of the Company’s 10 -Q as of September 30, 2019. 7