#1STELLUS CAPITAL INVESTMENT CORPORATION Investor Presentation Year ended December 31, 2021#2Disclaimer THIS PRESENTATION IS FOR INFORMATIONAL PURPOSES ONLY. THE INFORMATION CONTAINED HEREIN IS NOT INTENDED TO PROVIDE, AND SHOULD NOT BE RELIED UPON FOR, ACCOUNTING, LEGAL OR TAX ADVICE OR INVESTMENT RECOMMENDATIONS. THIS PRESENTATION IS NEITHER AN OFFER TO SELL NOR A SOLICITATION OF AN OFFER TO BUY STELLUS CAPITAL INVESTMENT CORPORATION ("SCM") SECURITIES. AN OFFERING IS ONLY MADE BY AN APPLICABLE PROSPECTUS. THIS PRESENTATION MUST BE READ IN CONJUNCTION WITH A PROSPECTUS IN ORDER TO FULLY UNDERSTAND ALL OF THE IMPLICATIONS AND RISKS OF THE OFFERING OF SECURITIES TO WHICH THE PROSPECTUS RELATES INCLUDING THOSE LISTED IN THE "RISK FACTORS" SECTION OF OUR FILINGS WITH THE SECURITIES AND EXCHANGE COMMISSION ("SEC"), INCLUDING THE IMPACT OF THE COVID-19 PANDEMIC ON SCM, ITS PORTFOLIO COMPANIES, AND THE GLOBAL AND UNITED STATES ECONOMY. A COPY OF SUCH A PROSPECTUS MUST BE MADE AVAILABLE TO YOU IN CONNECTION WITH ANY OFFERING. BEFORE MAKING AN INVESTMENT DECISION WITH RESPECT TO SCM, INVESTORS ARE ADVISED TO CAREFULLY REVIEW AN APPLICABLE PROSPECTUS TO REVIEW THE RISK FACTORS DESCRIBED THEREIN, AND TO CONSULT WITH THEIR TAX, FINANCIAL, INVESTMENT AND LEGAL ADVISORS. THESE MATERIALS DO NOT PURPORT TO BE COMPLETE, AND ARE QUALIFIED IN THEIR ENTIRETY BY REFERENCE TO THE MORE DETAILED DISCLOSURES CONTAINED IN AN APPLICABLE PROSPECTUS AND SCM'S RELATED DOCUMENTATION INCLUDING SEC FILINGS. STATEMENTS INCLUDED HEREIN MAY CONTAIN "FORWARD-LOOKING STATEMENTS" WHICH RELATE TO FUTURE PERFORMANCE OR FINANCIAL CONDITION. STATEMENTS OTHER THAN STATEMENTS OF HISTORICAL FACTS INCLUDED IN THIS PRESENTATION MAY CONSTITUTE FORWARD-LOOKING STATEMENTS AND ARE NOT GUARANTEES OF FUTURE PERFORMANCE OR RESULTS AND INVOLVE A NUMBER OF ASSUMPTIONS, RISKS AND UNCERTAINTIES, INCLUDING RISKS AND UNCERTAINTIES ASSOCIATED WITH THE COVID-19 PANDEMIC ON SCM, ITS PORTFOLIO COMPANIES, AND THE GLOBAL AND UNITED STATES ECONOMY, WHICH CHANGE OVER TIME. ACTUAL RESULTS MAY DIFFER MATERIALLY FROM THOSE ANTICIPATED IN ANY FORWARD-LOOKING STATEMENTS AS A RESULT OF A NUMBER OF FACTORS, INCLUDING THOSE DESCRIBED FROM TIME TO TIME IN FILINGS BY SCM WITH THE SECURITIES AND EXCHANGE COMMISSION. SCM UNDERTAKES NO DUTY TO UPDATE ANY FORWARD-LOOKING STATEMENT MADE HEREIN. ALL OF THE INFORMATION IN THIS PRESENTATION, INCLUDING ANY FORWARD-LOOKING STATEMENTS, IS PRESENTED AS OF THE TIME PERIOD ON THE COVER OF THIS PRESENTATION (EXCEPT AS OTHERWISE SPECIFIED), IS SUBJECT TO CHANGE WITHOUT NOTICE, AND MAY HAVE CHANGED (POSSIBLY MATERIALLY) SINCE THE DATE ON THE COVER OF THIS PRESENTATION. SCM UNDERTAKES NO OBLIGATION TO UPDATE THE INFORMATION CONTAINED IN THIS PRESENTATION TO ACCOUNT FOR CHANGES SUBSEQUENT TO ANY DATE AS OF WHICH SUCH INFORMATION IS GIVEN, EXCEPT AS REQUIRED BY APPLICABLE SECURITIES LAWS AND REGULATIONS. NO REPRESENTATION OR WARRANTY, EXPRESS OR IMPLIED, IS MADE AS TO THE ACCURACY OR COMPLETENESS OF THE INFORMATION CONTAINED HEREIN, AND NOTHING SHALL BE RELIED UPON AS A PROMISE OR REPRESENTATION AS TO THE FUTURE PERFORMANCE OF SCM. • All daily trading information/multiples in this presentation as of April 4, 2022 unless otherwise noted All other financial information as of December 31, 2021 STELLUS CAPITAL INVESTMENT CORPORATION 2#3Contents Page 4 Stellus Capital Management's Competitive Advantage Page 5 Company Overview Page 11 Portfolio Overview Page 16 Performance and Dividends Page 20 Valuation Page 23 Corporate Information and Financial Supplements Stellus Capital Investment Corp. (NYSE: "SCM") HOUSTON, TX 4400 Post Oak Parkway, Suite 2200 Houston, TX 77027 713.292.5400 STELLUS CAPITAL INVESTMENT CORPORATION WASHINGTON D.C. AREA 4520 East West Highway, Suite 605 Bethesda, MD 20814 301.634.3000 CHARLOTTE, NC 5605 Carnegie Boulevard, Suite 410 Charlotte, NC 28209 704.409.3335 3#4• 2 There are 47 Publicly-Traded BDCS ~ What is our Competitive Advantage? Strong Historical Portfolio Performance and Consistent Returns to Shareholders Strong History of Underwriting Credit Fair Value of investment portfolio of $772.9 million as of December 31, 2021 ܀ Grown at a 3-year CAGR of 15% Achieving loan growth while practicing conservative lending Diversified portfolio by size of investment, industry and geography • Favorable Performance Over Time ROE since IPO of 9.93% In the top 10 of all publicly traded BDCs based on ROE since IPO Stable portfolio performance over 9 years Stable and Growing Dividend Increased the quarterly dividend from $0.27 to $0.28 Presently paying monthly dividend of $0.1133* • Annualized indicated dividend yield of 9.9%* ⚫ LTD dividends of $12.05 paid to an IPO investor through December 31, 2021** • We have covered dividends from earnings since inception STELLUS CAPITAL INVESTMENT CORPORATION * Includes regular and supplemental dividends for first quarter ended March 31, 2022 **Includes supplemental dividends for first quarter ended March 31, 2022 declared on October 29, 2021 • Performance and Stability / Trading at a Discount to NAV Net asset value per share was $14.61 at December 31, 2021, an increase from $14.03 at December 31, 2020 Trading at approximately 0.95x to December 31, 2021 per share NAV 4#5STELLUS CAPITAL INVESTMENT CORPORATION COMPANY OVERVIEW: Navigating Lower Middle Market Capital Solutions 5#6Stable Growth with Access to Low-Cost Capital Management team focused on maintaining asset quality, proper capital allocation, and operational excellence 2012 2014 Net $173.8 Million $173.9 Million Assets Stellus Capital Investment Corporation completes IPO in November 2012 Begins trading on NYSE STELLUS CAPITAL INVESTMENT CORPORATION 2017 $220.2 Million 2019 $270.6 Million 2020/21 $285.1 Million Receives approval for first SBIC License Issues $49 million of 5.75% Notes due 2022 Issues $25 million of 6.5% Notes due April 2019 Completes secondary equity offering of $43.6 million at NAV Completes secondary equity offering of $40.5 million at NAV Receives second SBIC License Amends and extends bank credit facility to September 2025 and increased to $250 million Issues $100 million of Institutional Notes at 4.875% due March 2026 9#7SCM Provides Flexible Financing for Middle Market Companies Investment Type & Size Investment Focus Origination Focus Investment size between $10 and $30 million per transaction. • Senior secured first lien, unitranche, split • • lien and second lien debt financings, often with corresponding equity investments. Underwriting capabilities up to $100 million. Private companies generating between $5 and $50 million of EBITDA. Diverse industry sectors Capital is often used for acquisitions, growth capital, leveraged buyouts, and recapitalizations. Substantially all investments are in portfolio companies backed by high quality PE sponsors. Focus on originated loans, as opposed to broadly syndicated financings. Stellus is typically the sole lender in the tranches in which it invests. However, we are open to partnering with a small number of lenders in "club" deals. Companies headquartered (or with a majority of their operations) in the United States and Canada. STELLUS CAPITAL INVESTMENT CORPORATION 7#8Established Team and Institutional Platform Stellus Capital Management's* investment committee members have backgrounds in private credit, private equity, corporate finance, restructuring, management consulting, and accounting. TOTAL YEARS EXPERIENCE > Robert Ladd (65) | Chairman, President & CEO Dean D'Angelo (54) | Co-Head of Private Credit & Director Joshua Davis (49) | Co-Head of Private Credit Todd Overbergen (56) | Investment Committee Member Todd Huskinson (58) | Chief Financial Officer, Chief Compliance Officer & Secretary STELLUS CAPITAL INVESTMENT CORPORATION * SCM's external investment adviser 5 10 15 PAST 20 20 25 30 35 40 EXPERIENCE 22 27 30 22 32 42 42 34 The D. E. Shaw group, Duke Capital Partners, Duke Energy North America, Arthur Andersen, First City Bancorporation The D. E. Shaw group, Allied Capital, Duke Capital Partners, Banc of America Securities, Coopers & Lybrand The D. E. Shaw group, Duke Capital Partners, Milestone Merchant Partners, Arthur Andersen The D. E. Shaw group, Duke Capital Partners, Arthur Andersen The D. E. Shaw group, Bearing Point, Arthur Andersen 8#9Diverse Sponsor Relationships and Investment Experience Management team has been investing together for over 25 years All partners have significant experience in restructuring Relationship-driven team who has invested with over 165 * Stellus Capital Management Team Differentiators sponsors STELLUS CAPITAL INVESTMENT CORPORATION * Includes transactions closed by the management team prior to forming Stellus Capital Management Partners have invested in excess of $8.0 billion over the last 18 years * Have made over 300 investments in over 20 industries * 6#10Diverse Financial Sponsor Relationships* ALTAMONT CAPITAL PARTNERS CenterGate CAPITAL ACP Audax CIP CAPITAL Group CLARION CAPITAL FARTNERS, LLC a GRAHAM PARTNERS Highview CAPITAL LEE EQUITY C BLUE CAPSTREET WOLF F FALFURRIAS CAPITAL GOLDEN GATE CAPITAL LIBERTY HALL Capital Partners MILESTONE PARTNERS One Equity Partners PAMLICO CAPITAL PARTHENON CAPITAL PARTNERS PLATTE RIVER EQUITY Ridgemont QUITY PARTNERS incisi SILVER OAK Riverside Partners SERVICES PARTNERS SUMMIT PARK TAILWIND CAPITAL TENEX SPC SWANDER PACE CAPITAL Prophet Equity Seeing Future Value Today" THE STERLING GROUP TOWER ARCH WIND POINT PARTNERS - CAPITAL STELLUS CAPITAL INVESTMENT CORPORATION *Logos represent certain private equity firms that members of Stellus Capital have worked with in the past. Inclusion of a firm's logo in this list does not imply that such firm endorses Stellus Capital, its members or advisory services or SCM. Stellus Capital Management has no formal sourcing relationships with these firms and cannot guarantee that it will receive opportunities from these firms in the future. 10#11STELLUS CAPITAL MANAGEMENT Stellus Capital Management has one of the most experienced lower middle market investment teams in the marketplace with over 300 combined years of principal investing experience 73 Current Active Investments 300+ Cumulative Completed Investments Select List of Investments Available Here $8.0+ Billion Invested Capital 11#12Portfolio Statistics as of December 31, 2021 Diverse Portfolio / Low Exposure to Retail and Energy No Geographic Concentration Over 20% Industry Concentration Energy: Automotive Oil & Gas Education 1% 1% 1% Utilities: Oil & Gas Finance Hotel, Gaming, 1% 1% Capital Equipment 1% & Leisure 0% Geographic Concentration District of Columbia 2% North Carolina 1% Missouri 1% Puerto Rico 0% Massachusetts 1% Virginia 0% Chemicals, Plastics, & Rubber 2% FIRE: Real Estate 2% Metals & Mining 2% Containers, Packaging, & Glass 2% Transportation & Logistics 3% Services: Consumer 3% Software 3% Environmental Industries 3% Construction & Building 4% Consumer Goods: Non-Durable 4% Beverage, Food, & Tobacco 4% Consumer Goods: Durable 5% Media: Broadcasting & Subscription 6% Media: Advertising, Printing & Publishing 7% STELLUS CAPITAL INVESTMENT CORPORATION Note: Percentages are based on market value Services: Business 23% Aerospace & Defense 8% Florida Canada 2% 2% South Carolina 2% Colorado 2% Minnesota 2% Maryland 2% Georgia 3% United Kingdom 3% New Jersey 3% Wisconsin 3% Healthcare & Pharmaceuticals 13% New York 4% Arizona 4% Ohio 5% Washington 5% Illinois 9% Pennsylvania 6% California 20% Texas 18% 12#13Stable Asset Quality: Portfolio is Performing in Accordance with Plan STELLUS CAPITAL INVESTMENT CORPORATION RG 4 1% Investment Category Definitions: 1 Exceeding expectations 2 Performing in accordance with plan 3 Requires closer monitoring (no loss of return or principal) 4 In workout (some loss of return; no loss of principal) 5 In workout (some loss of principal) RG 3 15% Note: Percentages are based on market value Investment Category at RG 5 0% 12/31/2021 RG 1 8% RG 2 76% Weighted Average Risk Grade: 2.09 13#14100% 90% 80% 70% 60% 50% 40% 30% 20% 10% Debt Portfolio is 91% 1st Lien 91% Debt Investment Portfolio as of December 31, 2021 8.0% 8% 7.3% 1% 90 0% 1st Lien Debt STELLUS CAPITAL INVESTMENT CORPORATION 2nd Lien debt 1% of Total Debt Portfolio Weighted Average Yield Note: Percentages are based on market value 14.3% Fixed vs. Floating Rate Debt Investments * Floating 96% Fixed 4% Unsecured debt Compared to 93% Floating / 7% Fixed at 12/31/2020 *Subject to LIBOR floors 14#15Numerous Sources of Long-Term / Cost-Efficient Capital FUNDING SOURCES FACILITY/ISSUANCE SIZE OUTSTANDING (2) INTEREST RATE (3) MATURITY Syndicated Credit Facility led by Amegy (1) SBICI Debentures SBIC II Debentures Unsecured Notes $250 million $177.3 million LIBOR + 2.5% September 18, 2025 $150 million $150 million 3.41% $100 million $100 million 1.80% $100 million $100 million (1) Amegy Bank credit facility closed on October 11, 2017 and was amended and extended in September 2020 and December 2021. (2) Outstanding balances are all as of December 31, 2021 (3) Does not include amortization of loan fees. (4) SBA debentures issued to SBIC I mature March 1, 2025 - March 1, 2029. (5) SBA debentures issued to SBIC II mature March 1, 2030 - September 1, 2031. STELLUS CAPITAL INVESTMENT CORPORATION (4) Varied Varied (5) 4.875% March 30, 2026 15#16STELLUS CAPITAL INVESTMENT CORPORATION Financial Performance and Distributions 16#17Investment Portfolio Growth Since IPO INVESTMENT CORPORATION CAPITAL STELLUS $ in 000s $800,000 $650,000 80 $750,000 70 $700,000 FV of Investment Portfolio at Quarter End # of Portfolio Companies 65 $600,000 $550,000 $500,000 $450,000 $400,000 $350,000 $300,000 $250,000 $200,000 $150,000 $100,000 Q4 2012 Q1 2013 Q2 2013 Q3 2013 Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014 Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 5 60 55 50 45 40 35 30 25 20 15 10 75 17#18Annual 2021 Overview $1.22 Core NII per share* $387.3 million New investment activity during the year $23.7 million Realized gains during the year ($1.22 per share) 8.11% Weighted average yield on new investments $772.9 Million Investments at fair value at December 31, 2021 $14.61 NAV at December 31, 2021 STELLUS CAPITAL INVESTMENT CORPORATION * Core NII excludes any capital gains incentive fee accrual and income taxes, the majority of which are excise taxes Twenty-Seven New Initial Investment Fundings & Thirty-Six Follow On Investments New loan fundings were 90% 1st lien, 4% Unsecured, and 6% Equity with a weighted average yield of 8.11% Distributions $1.08 per share in the aggregate paid to stockholders in distributions throughout the year Increased Regular and Declared Additional Dividend Subsequent to Quarter End Declared a regular monthly dividend for each of October, November, and December, for an aggregate of $0.28 per share, which is an increase of $0.01 for the quarter as compared to the prior quarter Declared additional aggregate dividend of $0.06 per share payable $0.02 per share in each of February, March and April 2022. 18#19Cumulative Distributions Declared per share Since IPO $14.00 $12.05 per share in cumulative distributions $12.00 since Stellus IPO in 2012 (as of December 30, 2021)* $10.00 Monthly dividends of $8.00 $0.1133 declared for January, February, and March 2022** $6.00 $12.05 $10.91 $9.76 $8.40 $7.04 $5.68 $4.32 $4.00 $2.96 Current monthly dividend represents $0.34 per share $2.00 $1.54 for the quarter in the aggregate** $0.18 $0.00 AT IPO 2013 2014 2015 2016 2017 2018 2019 2020 2021 STELLUS CAPITAL INVESTMENT CORPORATION *Includes supplemental dividends for first quarter ended March 31, 2022 declared on October 29, 2021 ** Includes regular and supplemental dividends for first quarter ended March 31, 2022 19#20Comparative Total Return LTM 130% 120% 110% 100% 90% Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb RJ BDC Index (Equal Weight) (22.11%) S&P/LSTA U.S. Leveraged Loan 100 (2.63%) RJ BDC Index (Mkt Cap Weight) (20.16%)— SCM (17.74%) - Mar S&P 500 (14.00%) STELLUS CAPITAL INVESTMENT CORPORATION 04/04/2021 to 04/04/2022 FactSet's total return calculation begins with the closing stock price one day after each respective BDC's IPO Total return assumes dividends are reinvested on the ex-dividend dates RJ BDC Index consists of: AINV, ARCC, BCSF, BBDC, BKCC, BXSL, CCAP, CGBD, CION, CSWC, FCRD, FDUS, FSK, GAIN, GBDC, GECC, GLAD, GSBD, HRZN, HTGC, ICMB, LRFC, MAIN, MRCC, NEWT, NMFC, OCSL, OFS, ORCC, OXSQ, PFLT, PFX, PNNT, PTMN, PSEC, RWAY, SAR, SCM, SLRC, TCPC, TPVG, TRIN, TSLX and WHF 22.11% 20.16% 17.74% 14.00% 2.63% 20#21Favorable Performance Not Reflected in Comparative Price to Book (based on a ROE since IPO) • Stellus has delivered an average return on equity* (ROE) since IPO of 9.93% - In the top 10 of all publicly traded BDCs • BDCs performing at this level trade at an implied price to NAV of approximately 1.20x • Stellus trades at a discount price to NAV per share of 0.95x STELLUS CAPITAL INVESTMENT CORPORATION Source: Oppenheimer Equity Research Quarterly Update * ROES include all publicly-traded BDCs with Positive ROE since IPO 21#22Corporate Information Executive Officers Robert T. Ladd Chairman, President & Chief Executive Officer W. Todd Huskinson Chief Financial Officer, Chief Compliance Officer, Treasurer and Secretary Investment Committee Robert T. Ladd Chairman, President & Chief Executive Officer Dean D'Angelo Co-Head of Private Credit * Joshua T. Davis Co-Head of Private Credit * W. Todd Huskinson Chief Financial Officer, Chief Compliance Officer, Treasurer and Secretary J. Tim Arnoult 1 Bruce R. Bilger 1 Dean D'Angelo Directors Robert T. Ladd, Chairman William C. Repko 1 1 Independent Directors Service Providers Stock Transfer Agent- Broadridge Corporate Issuer Solutions, Inc. Bond Trustee- US Bank National Association Auditors- Grant Thornton, LLP Counsel- Eversheds Sutherland, LLP Investor Relations- The Equity Group Inc. Research Coverage Hovde Group Bryce Rowe, 804-318-0969 Keefe, Bruyette & Woods Ryan Lynch, 314-342-2194 Ladenburg Thalmann Financial Services Christopher Nolan, 212-667-7136 Oppenheimer Equity Research Mitchel Penn, 212-667-6699 Raymond James Robert Dodd, 901-579-4560 Securities Listing Common Stock NYSE: SCM Corporate Headquarters 4400 Post Oak Parkway, Suite 2200 Houston, TX, 77027 Phone: 713-292-5400 Share Information Share Price Shares Outstanding Market Capitalization Total Assets $13.82 19,532,519 $269.9M $821.3 Million Total Stockholders' Equity NAV per share Ratio of Price to NAV per share Dividends Dividend Frequency $285.1 Million $14.61 0.95x Monthly Last Monthly Dividend** $0.1133 Annualized Indicated Yield 9.9% Debt Regulatory Leverage Total Leverage 1.85x (incl. SBIC debentures) 0.97x Todd A. Overbergen Investment Committee Member* STELLUS CAPITAL INVESTMENT CORPORATION *Stellus Capital Management, LLC **Includes regular and supplemental dividends for first quarter ended March 31, 2022 22#23STELLUS CAPITAL INVESTMENT CORPORATION Appendix and Financial Supplements HOUSTON, TX WASHINGTON D.C. CHARLOTTE, NC#24Financial Highlights ($ in millions, except data relating to per share amounts and shares outstanding) 2021 Amount Per Share 2020 Amount Per Share Net investment income Core net investment income (¹) $19.78 $1.01 $21.99 $1.13 23.75 1.22 22.40 1.15 Net realized gain (loss) on investments 23.71 1.22 (10.13) (0.52) Loss on debt extinguishment (0.54) (0.03) Provision for taxes on realized gain on investments in taxable subsidiaries Total realized income(2) Distributions(3) (2.96) (0.15) $40.53 $2.08 $11.86 $0.61 (22.22) (1.14) (22.40) (1.15) Net unrealized appreciation (depreciation) on investments (6.93) (0.36) 8.56 0.44 Benefit (provision) for taxes on unrealized depreciation (appreciation) on investments 0.51 0.03 (0.22) (0.01) Net increase in net assets resulting from operations Weighted average shares outstanding $33.57 $1.72 $20.20 $1.04 19,489,750 19,471,500 1. Core net investment income, as presented, excludes the impact of capital gains incentive fees and income taxes, the majority of which are excise taxes. The company believes presenting core net investment income and the related per share amount is a useful supplemental disclosure for analyzing its financial performance. However, core net investment income is a non-U.S GAAP measure and should not be considered as a replacement for net investment income and other earnings measures presented in accordance with U.S GAAP. A reconciliation of net investment income in accordance with U.S GAAP to core net investment income is presented in the company's March 1, 2022, press release available under Press Releases - Stellus Capital Management, LLC 2. Total realized income is the sum of net investment income and net realized gains on investments, both U.S GAAP measures. 3. In 2021, fourth quarter dividends were declared in the third quarter. STELLUS 3 CAPITAL INVESTMENT CORPORATION 24#25Portfolio Characteristics ($ in millions, except data relating to per share amounts and number of portfolio companies) As of December 31, 2021 As of December 31, 2020 As of December 31, As of December 31, 2021 2020 Number of portfolio company investments Investments at fair value $772.9 $653.4 Number of portfolio company debt investments 35 73 66 55 51 Total assets $821.3 $674.9 Net assets $285.1 $273.4 Shares outstanding 19,517,595 19,486,003 Weighted average yield of debt and other income producing investments (1) Cash 7.4% 7.8% Net asset value per share $14.61 $14.03 Payment-in-kind ("PIK') 0.2% 0.0% Fee amortization Total 0.4% 0.5% 8.0% 8.3% New investments Repayments of investments Net activity Year Ended December 31, Year Ended December 31, 2021 2020 Weighted average yield on total investments (2) Cash $387.3 $152.0 Payment-in-kind ("PIK') (287.6) $99.7 (128.8) $23.2 Fee amortization Total 6.9% 7.4% 0.2% 0.0% 0.4% 0.5% 7.5% 7.9% (1) (2) The dollar-weighted average annualized effective yield is computed using the effective interest rate for our debt and other income producing investments, including cash, PIK interest, and the accretion of deferred fees. The individual investment yields are then weighted by the respective cost of the investments (as of the date presented) in calculating the weighted average effective yield of the portfolio. The dollar-weighted average annualized yield on the Company's investments for a given period will generally be higher than what investors of our common stock would realize in a return over the same period because the dollar-weighted average annualized yield does not reflect the Company's expense or any sales load that may be paid by investors. The dollar weighted average yield on total investments takes the same yields as calculated in the footnote above, but weights them to determine the weighted average effective yield as a percentage of the Company's total investments, including non-income producing loans and equity. STELLUS CAPITAL INVESTMENT CORPORATION 25#26Recent Dividends Declared* • Q1 2022 Dividend: On January 13, 2022, the board declared a dividend of $0.0933 per share in each of January, February and March 2022, or an aggregate of $0.28 per share. Regular Ex-Dividend Declared Record Date Payment Date Amount Date per Share 1/13/22 1/27/22 1/28/22 2/15/22 $0.0933 1/13/22 2/24/22 2/25/22 3/15/22 $0.0933 1/13/22 3/30/22 3/31/22 4/15/22 $0.0933 Previously Declared Q1 2022 Dividend: On October 29, 2021, the board declared an additional dividend of $0.02 per share in each of January, February and March 2022, or an aggregate of $0.06 per share. STELLUS CAPITAL INVESTMENT CORPORATION Ex-Dividend Declared Record Date Regular Payment Date Amount Date per Share 10/29/21 1/27/22 1/28/22 2/15/22 $0.02 10/29/21 2/24/22 2/25/22 3/15/22 $0.02 10/29/21 3/30/22 3/31/22 4/15/22 $0.02 * Please refer to the website regarding the U.S. federal income tax characteristics of our 2021 dividends. The information is posted under "Tax Information" (https://www.stelluscapital.com/public-investors/tax-information). 26