Oaktree Specialty Lending Corporation Prices Public Offering of $300,000,000 6.340% Notes due 2030
Oaktree Specialty Lending (NASDAQ: OCSL) has announced the pricing of a $300 million public offering of 6.340% notes due 2030. The notes will mature on February 27, 2030, with an option for early redemption at par plus a 'make-whole' premium. The company plans to use the net proceeds to reduce outstanding debt under its revolving credit facilities and for general corporate purposes.
The offering, expected to close on February 27, 2025, is being managed by multiple financial institutions, with SMBC Nikko Securities America, BNP Paribas Securities, ING Financial Markets, and Wells Fargo Securities acting as joint book-running managers. Several other firms are participating as co-managers in this offering.
Oaktree Specialty Lending (NASDAQ: OCSL) ha annunciato il prezzo di un offerta pubblica di 300 milioni di dollari di note al 6,340% con scadenza nel 2030. Le note scadranno il 27 febbraio 2030, con un'opzione di riscatto anticipato al valore nominale più un premio 'make-whole'. L'azienda prevede di utilizzare il ricavato netto per ridurre il debito in essere sotto le sue linee di credito revolving e per scopi aziendali generali.
L'offerta, che si prevede si chiuderà il 27 febbraio 2025, è gestita da più istituzioni finanziarie, con SMBC Nikko Securities America, BNP Paribas Securities, ING Financial Markets e Wells Fargo Securities che agiscono come manager principali. Diverse altre aziende partecipano come co-manager in questa offerta.
Oaktree Specialty Lending (NASDAQ: OCSL) ha anunciado el precio de una oferta pública de 300 millones de dólares de notas al 6.340% con vencimiento en 2030. Las notas vencerán el 27 de febrero de 2030, con una opción de redención anticipada al valor nominal más una prima 'make-whole'. La compañía planea utilizar los ingresos netos para reducir la deuda pendiente bajo sus líneas de crédito rotativas y para fines corporativos generales.
Se espera que la oferta, que se cierre el 27 de febrero de 2025, sea gestionada por múltiples instituciones financieras, con SMBC Nikko Securities America, BNP Paribas Securities, ING Financial Markets y Wells Fargo Securities actuando como gerentes principales. Varias otras empresas participan como co-gerentes en esta oferta.
Oaktree Specialty Lending (NASDAQ: OCSL)는 2030년 만기 6.340% 노트에 대한 3억 달러 규모의 공모가를 발표했습니다. 이 노트는 2030년 2월 27일 만료되며, 원금과 '메이크 홀' 프리미엄을 포함한 조기 상환 옵션이 있습니다. 회사는 순수익을 사용하여 회전 신용 시설의 미지급 부채를 줄이고 일반 회사 목적에 사용할 계획입니다.
2025년 2월 27일에 마감될 것으로 예상되는 이 공모는 여러 금융 기관이 관리하고 있으며, SMBC Nikko Securities America, BNP Paribas Securities, ING Financial Markets 및 Wells Fargo Securities가 공동 주관 관리자로 활동하고 있습니다. 이 공모에는 여러 다른 회사도 공동 관리자로 참여하고 있습니다.
Oaktree Specialty Lending (NASDAQ: OCSL) a annoncé le prix d'une offre publique de 300 millions de dollars de billets à 6,340% échéant en 2030. Les billets arriveront à maturité le 27 février 2030, avec une option de remboursement anticipé à la valeur nominale plus une prime 'make-whole'. La société prévoit d'utiliser le produit net pour réduire la dette en cours dans le cadre de ses facilités de crédit revolving et pour des fins d'entreprise générales.
L'offre, qui devrait se clôturer le 27 février 2025, est gérée par plusieurs institutions financières, avec SMBC Nikko Securities America, BNP Paribas Securities, ING Financial Markets et Wells Fargo Securities agissant en tant que co-managers principaux. Plusieurs autres entreprises participent en tant que co-managers à cette offre.
Oaktree Specialty Lending (NASDAQ: OCSL) hat die Preisgestaltung einer öffentlichen Angebot von 300 Millionen Dollar für 6,340% Anleihen mit Fälligkeit 2030 bekannt gegeben. Die Anleihen laufen am 27. Februar 2030 aus, mit einer Option auf vorzeitige Rückzahlung zum Nennwert zuzüglich einer 'Make-Whole'-Prämie. Das Unternehmen plant, die Nettomittel zur Reduzierung der ausstehenden Schulden aus seinen revolvierenden Kreditfazilitäten und für allgemeine Unternehmenszwecke zu verwenden.
Das Angebot, das voraussichtlich am 27. Februar 2025 abgeschlossen wird, wird von mehreren Finanzinstituten verwaltet, wobei SMBC Nikko Securities America, BNP Paribas Securities, ING Financial Markets und Wells Fargo Securities als gemeinsame Buchführer fungieren. Mehrere andere Firmen nehmen als Co-Manager an diesem Angebot teil.
- Secured $300 million in debt financing through notes offering
- Will reduce revolving credit facilities debt, potentially improving debt structure
- Strong syndicate of investment banks supporting the offering
- Takes on new long-term debt at 6.340% interest rate
- Increases overall debt burden and interest expenses
Insights
This $300 million notes offering marks a strategic refinancing move by OCSL, effectively transforming variable-rate revolving credit facilities into fixed-rate, longer-term debt at
The impressive syndicate of 20 financial institutions, led by top-tier banks, indicates strong market confidence in OCSL's credit quality and business model. This broad distribution network typically results in better pricing and higher demand for the notes, potentially leading to improved trading performance in the secondary market.
The fixed interest rate structure offers several advantages in the current environment: it provides predictable debt servicing costs, shields against potential rate increases, and could improve net interest margin stability - a important metric for Business Development Companies (BDCs). The "make-whole" provision, while standard for investment-grade bonds, suggests confidence in OCSL's ability to maintain this debt through maturity.
From a balance sheet perspective, this refinancing should enhance OCSL's debt maturity profile and reduce its exposure to variable-rate debt. This could prove particularly valuable if market volatility increases or if interest rates remain elevated. The transaction also demonstrates OCSL's ability to access diverse funding sources, a key strength for specialty finance companies.
LOS ANGELES, CA, Feb. 20, 2025 (GLOBE NEWSWIRE) -- Oaktree Specialty Lending Corporation (NASDAQ: OCSL) (“OCSL” or the “Company”), a specialty finance company, today announced that it has priced an underwritten public offering of
OCSL expects to use the net proceeds of this offering to reduce its outstanding debt under its revolving credit facilities and for general corporate purposes.
SMBC Nikko Securities America, Inc., BNP Paribas Securities Corp., ING Financial Markets LLC, Wells Fargo Securities, LLC, BofA Securities, Inc., J.P. Morgan Securities LLC, RBC Capital Markets, LLC, CIBC World Markets Corp., Citigroup Global Markets Inc., Barclays Capital Inc., Deutsche Bank Securities Inc., Goldman Sachs & Co. LLC and Morgan Stanley & Co. LLC are acting as joint book-running managers for this offering. KeyBanc Capital Markets Inc., First Citizens Capital Securities, LLC, Keefe, Bruyette & Woods, Inc., A Stifel Company, R. Seelaus & Co., LLC, B. Riley Securities, Inc., Blaylock Van, LLC, Citizens JMP Securities, LLC, Jefferies LLC and Oppenheimer & Co. Inc. are acting as co-managers for this offering. The offering is expected to close on February 27, 2025, subject to customary closing conditions.
Investors are advised to carefully consider the investment objective, risks, charges and expenses of OCSL before investing. The pricing term sheet dated February 20, 2025, the preliminary prospectus supplement dated February 20, 2025 and the accompanying prospectus dated February 7, 2023, each of which have been filed with the Securities and Exchange Commission, contain this and other information about the Company and should be read carefully before investing.
The pricing term sheet, the preliminary prospectus supplement, the accompanying prospectus and this press release are not offers to sell any securities of OCSL and are not soliciting an offer to buy such securities in any jurisdiction where such offer and sale is not permitted.
The offering may be made only by means of a preliminary prospectus supplement and an accompanying prospectus. Copies of the preliminary prospectus supplement (and accompanying prospectus) may be obtained by calling SMBC Nikko Securities America, Inc. at 1-212-224-5135, BNP Paribas Securities Corp. at 1-800-854-5674, ING Financial Markets LLC at 1-877-446-4930 or Wells Fargo Securities, LLC at 1-800-645-3751.
About Oaktree Specialty Lending Corporation
Oaktree Specialty Lending Corporation (NASDAQ:OCSL) is a specialty finance company dedicated to providing customized one-stop credit solutions to companies with limited access to public or syndicated capital markets. The Company’s investment objective is to generate current income and capital appreciation by providing companies with flexible and innovative financing solutions including first and second lien loans, unsecured and mezzanine loans, and preferred equity. The Company is regulated as a business development company under the Investment Company Act of 1940, as amended, and is externally managed by Oaktree Fund Advisors, LLC, an affiliate of Oaktree Capital Management, L.P.
Forward-Looking Statements
Some of the statements in this press release constitute forward-looking statements because they relate to future events, future performance or financial condition. The forward-looking statements may include statements as to: future operating results of the Company and distribution projections; business prospects of the Company and the prospects of its portfolio companies; and the impact of the investments that the Company expects to make. In addition, words such as “anticipate,” “believe,” “expect,” “seek,” “plan,” “should,” “estimate,” “project” and “intend” indicate forward-looking statements, although not all forward-looking statements include these words. The forward-looking statements contained in this press release involve risks and uncertainties. Certain factors could cause actual results and conditions to differ materially from those projected, including the uncertainties associated with (i) changes in the economy, financial markets and political environment, including the impacts of inflation and elevated interest rates; (ii) risks associated with possible disruption in the operations of the Company or the economy generally due to terrorism, war or other geopolitical conflict (including the current conflicts in Ukraine and Israel), natural disasters, pandemics or cybersecurity incidents; (iii) future changes in laws or regulations (including the interpretation of these laws and regulations by regulatory authorities); (iv) conditions in the Company’s operating areas, particularly with respect to business development companies or regulated investment companies; and (v) other considerations that may be disclosed from time to time in the Company’s publicly disseminated documents and filings. The Company has based the forward-looking statements included in this press release on information available to it on the date of this press release, and the Company assumes no obligation to update any such forward-looking statements. The Company undertakes no obligation to revise or update any forward-looking statements, whether as a result of new information, future events or otherwise, you are advised to consult any additional disclosures that it may make directly to you or through reports that the Company in the future may file with the Securities and Exchange Commission, including annual reports on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K.
Contacts
Investor Relations:
Oaktree Specialty Lending Corporation
Dane Kleven
(213) 356-3260
ocsl-ir@oaktreecapital.com
FAQ
What is the interest rate and maturity date for OCSL's new notes offering?
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