OFS Credit Company Provides June 2021 Net Asset Value Update

Rhea-AI Summary

OFS Credit Company (NASDAQ: OCCI) released its unaudited net asset value (NAV) estimate for common stock as of June 30, 2021, ranging from $13.74 to $13.84. This preliminary estimate is not exhaustive and may change by the next report on Form N-PORT. Additionally, the company expressed concerns regarding the ongoing impacts of the COVID-19 pandemic, which could materially affect its investment portfolio's value and future net income. The data has not been audited by KPMG LLP, and potential risks are highlighted related to market volatility.

Positive

• Unaudited NAV estimate of common stock between $13.74 and $13.84 as of June 30, 2021.

Negative

• Potential negative impact on NAV due to uncertainties from COVID-19 pandemic.
• KPMG LLP has not provided assurance on the preliminary financial data.

OFS Credit Company, Inc. (NASDAQ: OCCI) (“OFS Credit,” the “Company,” “we,” “us” or “our”), an investment company that primarily invests in collateralized loan obligation (“CLO”) equity and debt securities, today announced the following net asset value (“NAV”) estimate as of June 30, 2021.

• Management’s unaudited estimate of the range of our NAV per share of our common stock as of June 30, 2021 is between $13.74 and $13.84. This estimate is not a comprehensive statement of our financial condition or results for the month ended June 30, 2021. This estimate did not undergo the Company’s typical quarter-end financial closing procedures and was not approved by the Company’s board of directors. We advise you that our NAV per share as of July 31, 2021, which will be reported in our monthly report on Form N-PORT, may differ materially from this estimate.

We believe that the COVID-19 pandemic presents material uncertainty and risks with respect to the underlying value of the Company’s investments, financial condition, results of operations and cash flows. Further, the operational and financial performance of the Company has been, and may continue to be, significantly impacted by the COVID-19 pandemic, which in turn has, and may continue to have, an impact on the valuation of the Company’s investments. As a result, the fair value of the Company’s portfolio investments may be materially impacted after June 30, 2021 by circumstances and events that are not yet known. To the extent the Company’s portfolio investments are further adversely impacted by the effects of the COVID-19 pandemic, the Company may experience a material adverse impact on its future net investment income, the fair value of its portfolio investments, its financial condition and the financial condition of its portfolio investments.

The preliminary financial data included in this press release has been prepared by, and is the responsibility of, OFS Credit’s management. KPMG LLP has not audited, reviewed, compiled, or applied agreed-upon procedures with respect to the preliminary financial data. Accordingly, KPMG LLP does not express an opinion or any other form of assurance with respect thereto.

About OFS Credit Company, Inc.

OFS Credit is a non-diversified, externally managed closed-end management investment company. The Company’s investment objective is to generate current income, with a secondary objective to generate capital appreciation primarily through investment in CLO debt and subordinated securities. The Company's investment activities are managed by OFS Capital Management, LLC, an investment adviser registered under the Investment Advisers Act of 1940¹, as amended, and headquartered in Chicago, Illinois, with additional offices in New York and Los Angeles.

Forward-Looking Statements

Statements in this press release regarding management's future expectations, beliefs, intentions, goals, strategies, plans or prospects may constitute forward-looking statements. Forward-looking statements can be identified by terminology such as “anticipate,” “believe,” “could,” “could increase the likelihood,” “estimate,” “expect,” “intend,” “is planned,” “may,” “should,” “will,” “will enable,” “would be expected,” “look forward,” “may provide,” “would” or similar terms, variations of such terms or the negative of those terms. Such forward-looking statements involve known and unknown risks, uncertainties and other factors including those risks, uncertainties and factors referred to in documents that may be filed by OFS Credit from time to time with the Securities and Exchange Commission, as well as the impact of the global COVID-19 pandemic and significant market volatility on our business, our portfolio companies, our industry and the global economy. As a result of such risks, uncertainties and factors, actual results may differ materially from any future results, performance or achievements discussed in or implied by the forward-looking statements contained herein. OFS Credit is providing the information in this press release as of this date and assumes no obligations to update the information included in this press release or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

¹ Registration does not imply a certain level of skill or training

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FAQ

What is OFS Credit Company's NAV per share as of June 30, 2021?

OFS Credit Company estimates its NAV per share to be between $13.74 and $13.84 as of June 30, 2021.

How is COVID-19 affecting OFS Credit Company's investments?

OFS Credit Company indicates that COVID-19 presents material uncertainties and risks that could adversely impact its portfolio values and future net investment income.

Is the NAV estimate from OFS Credit Company audited?

No, the NAV estimate has not been audited by KPMG LLP and is a preliminary figure.

When will OFS Credit Company provide updated NAV information?

The next NAV report for OFS Credit Company will be included in their monthly report on Form N-PORT.

What are the investment objectives of OFS Credit Company?

OFS Credit Company's primary objective is to generate current income, with a secondary goal of capital appreciation through investing in CLO debt and subordinated securities.