Blue Owl Capital Inc. Expands Private Wealth Distribution Channel Through iCapital and Allfunds

Rhea-AI Summary

Blue Owl Capital (NYSE: OWL) has announced a partnership with iCapital and Allfunds to expand its private wealth distribution channel. This collaboration enables eligible clients of Allfunds to access Blue Owl's software direct lending strategy through a feeder fund solution powered by iCapital. The strategy aims to generate attractive current income and capital appreciation by investing in established software and technology businesses in the U.S. Blue Owl's direct lending division has deployed over $26 billion across investments and currently manages $132.1 billion in assets as of September 30, 2022.

Positive

• Partnership with iCapital and Allfunds expanding access to investment products.
• Direct lending strategy aims for attractive current income and capital appreciation.
• Significant assets under management of $132.1 billion as of September 30, 2022.
• Owl Rock's division reviewed approximately $500 billion in technology opportunities.

Negative

• Potential risks related to maintaining NYSE listing.
• Forward-looking statements involve uncertainties that could impact future performance.

Expanding access for qualified investors to Blue Owl's software direct lending strategy

NEW YORK, Jan. 18, 2023 /PRNewswire/ -- Blue Owl Capital Inc. ("Blue Owl") (NYSE: OWL) today announced an expansion of its private wealth distribution channel in partnership with iCapital and Allfunds. Allfunds is, one of the world's leading B2B WealthTech platforms. This means that Allfunds' eligible clients will gain access to Blue Owl's software direct lending strategy utilizing a feeder fund solution powered by iCapital¹, a leading global fintech platform driving access and efficiency in alternative investing for the asset and wealth management industries.

Blue Owl's software direct lending strategy seeks to provide investors attractive current income and the opportunity for capital appreciation by originating and making debt and equity investments in established and high-growth software and technology businesses in the United States. The strategy's objective is to focus on businesses that are generally privately held and capital efficient market leaders, offering mission critical solutions with strong profitability, customer retention and recurring revenue.

"We are excited to provide an access point for investors to Blue Owl's private market strategies via our partnership with Allfunds and iCapital," said Sean Connor, President of Global Private Wealth at Blue Owl Capital. "The private wealth channel remains a critical driver for Blue Owl's long-term growth strategy providing more investors around the world with access to innovative products that meet their investment needs and is an area where we continue to focus."

Blue Owl's technology investing team includes over 30 investment professionals. Since inception, Blue Owl's direct lending division Owl Rock has reviewed approximately $500 billion of technology opportunities and deployed over $26 billion of capital across the platform. Blue Owl aims to evaluate additional access points to the company's strategies via iCapital and Allfunds over the long-term.

About Blue Owl
Blue Owl is a global alternative asset manager with $132.1 billion of assets under management as of September 30, 2022. Anchored by a strong permanent capital base, the firm deploys private capital across Direct Lending, GP Capital Solutions and Real Estate strategies on behalf of Institutional and Private Wealth clients. Blue Owl's flexible, consultative approach helps position the firm as a partner of choice for businesses seeking capital solutions to support their sustained growth. The firm's management team is comprised of seasoned investment professionals with more than 30 years of experience building alternative investment businesses. Blue Owl employs over 520 people across 10 offices globally.

Forward Looking Statements
Certain statements made in this release are "forward looking statements" within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. When used in this press release, the words "estimates," "projected," "expects," "anticipates," "forecasts," "plans," "intends," "believes," "seeks," "may," "will," "would," "should," "future," "propose," "target," "goal," "objective," "outlook" and variations of these words or similar expressions (or the negative versions of such words or expressions) are intended to identify forward-looking statements. Any such forward-looking statements are made pursuant to the safe harbor provisions available under applicable securities laws and speak only as of the date made. Blue Owl assumes no obligation to update or revise any such forward-looking statements except as required by law.

These forward-looking statements are not guarantees of future performance, conditions, or results, and involve a number of known and unknown risks, uncertainties, assumptions, and other important factors, many of which are outside Blue Owl's control, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements.

Important factors, among others, that may affect actual results or outcomes include the inability to recognize the anticipated benefits of strategic acquisitions; costs related to acquisitions; the inability to maintain the listing of Blue Owl's shares on the New York Stock Exchange ("NYSE"); Blue Owl's ability to manage growth; Blue Owl's ability to execute its business plan and meet its projections; potential litigation involving Blue Owl; changes in applicable laws or regulations; the possibility that Blue Owl may be adversely affected by other economic, business, geo-political and competitive factors; and the impact of the continuing COVID-19 pandemic on Blue Owl's business.

This material is provided for informational purposes only and is not intended as and may not be relied on in any manner as legal, tax or investment advice, a recommendation, or as an offer to sell, a solicitation of an offer to purchase or a recommendation of any interest in any fund or security offered by Institutional Capital Network, Inc., or its affiliates (together "iCapital"). Alternative investments are complex, speculative investment vehicles and are not suitable for all investors. This material does not intend to address the financial objectives, situation, or specific needs of any individual investor. The information contained herein is subject to change and is also incomplete. This industry information and its importance is an opinion only and should not be relied upon as the only important information available. Information contained herein has been obtained from sources believed to be reliable, but not guaranteed, and iCapital assumes no liability for the information provided.

This material is confidential, is the property of iCapital and may not be shared without the written permission of iCapital. No part of this material may be reproduced in any form, or referred to in any other publication, without express written permission of iCapital.

Products offered by iCapital are typically private placements that are sold only to qualified clients of iCapital through transactions that are exempt from registration under the Securities Act of 1933 pursuant to Rule 506(b) of Regulation D promulgated there under ("Private Placements"). An investment in any product issued pursuant to a Private Placement, such as the fund described, entails a high degree of risk and no assurance can be given that any alternative investment fund's investment objectives will be achieved or that investors will receive a return of their capital. Further, such investments are not subject to the same levels of regulatory scrutiny as publicly listed investments, and as a result, investors may have access to significantly less information than they can access with respect to publicly listed investments. Prospective investors should also note that investments in the products described involve long lock-ups and do not provide investors with liquidity.

Relationship Between iCapital and Underlying Fund GPs (defined as Underlying Fund GPs of products offered on the iCapital platform where iCapital is acting in an investment advisor capacity). iCapital is not a current client of, or investor in a private fund advised by, the Underlying Manager; however, iCapital sponsors and manages the Access Fund, which is or is expected to be an investor in the Underlying Fund, a private fund managed by the Underlying Manager. Prospective investors in the Access Fund should be aware that, as a result of the relationship between iCapital and Underlying Fund GPs and its affiliates created by the access fund arrangement discussed herein (1) iCapital is financially compensated for the arrangement by payment of certain management fees (which are calculated as described in "SUMMARY OF PRINCIPAL TERMS OF THE ACCESS FUND – Management Fee" or corollary section of the Access Fund Offering Memorandum) and, if applicable, certain fees for placement of investors in the Access Fund or the Underlying Fund (which are typically calculated as a percentage of an investor's aggregate commitment to the relevant fund), and (2) the existence of such compensation may create conflicts of interest whereby, for example, iCapital may be more inclined (a) to establish access funds (including the Access Fund) (i) for investment in underlying funds (including the Underlying Fund) sponsored or managed by the Underlying Fund GPs and its affiliates, than for  investment in investment funds sponsored or managed by other fund managers, and (ii) upon terms and conditions more favorable to the Underlying Fund GPs and its affiliates than iCapital would otherwise agree to in the absence of such compensation; (b) to make positive statements about the Underlying Fund GPs and its affiliates in order to encourage investors to make a larger commitment to the Access Fund, thereby increasing the fees paid to iCapital, or (c) to vote or exercise consent rights in respect of interests in underlying funds (including the Underlying Fund) held by access funds (including the Access Fund) in a manner more favorable to the Underlying Fund GPs and its affiliates than iCapital would otherwise vote or exercise in the absence of such compensation.

Securities and services may be offered through iCapital Securities, LLC, Axio Financial LLC, and/or SIMON Markets LLC, each of which is a registered broker/dealer, member FINRA and SIPC, and subsidiary of Institutional Capital Network, Inc. ("iCapital"). iCapital Advisors, LLC, a subsidiary of iCapital, is an investment adviser registered with the U.S. Securities and Exchange Commission ("SEC"). These registrations and memberships in no way imply that the SEC, FINRA or SIPC have endorsed the entities, products or services discussed herein. iCapital and iCapital Network are registered trademarks of Institutional Capital Network, Inc. Additional information is available upon request.

Investor Contact
Ann Dai
Head of Investor Relations
blueowlir@blueowl.com

Media Contact
Prosek Partners
Nick Theccanat
Pro-blueowl@prosek.com

1 Institutional Capital Network, Inc., and its affiliates (together, "iCapital")

 

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SOURCE Blue Owl Capital

FAQ

What is the recent announcement from Blue Owl Capital on January 18, 2023?

Blue Owl Capital announced the expansion of its private wealth distribution channel through partnerships with iCapital and Allfunds.

How does Blue Owl's partnership with iCapital and Allfunds affect investors?

The partnership allows eligible Allfunds clients access to Blue Owl's software direct lending strategy, enhancing investment opportunities.

What is Blue Owl Capital's strategy for investors in technology businesses?

Blue Owl's strategy focuses on generating current income and capital appreciation through investments in established software and technology companies.

What are Blue Owl's assets under management as of September 30, 2022?

As of September 30, 2022, Blue Owl Capital manages $132.1 billion in assets.