OCSL (Oaktree Specialty Lending Corporation) Prices $300 Million of 7.000% Notes Due 2031
Oaktree Specialty Lending Corporation (NASDAQ: OCSL) said on September 9, 2026, that it priced an underwritten public offering of ﹩300 million of 7.000% unsecured notes due 2031.
The notes mature on September 16, 2031. They were priced at 99.950% of principal for a 7.012% yield to maturity. The offering is expected to close on September 16, 2026, subject to customary conditions.
OCSL expects to use the net proceeds to reduce outstanding debt under its revolving credit facility and for general corporate purposes. At the stated coupon, the notes create approximately ﹩21 million of annual cash interest before issuance costs.
The transaction is material because it replaces some revolving borrowings with five-year, fixed-rate unsecured debt. Repaying the revolver can restore secured borrowing capacity and extend funding duration. The trade-off is a fixed 7.000% funding cost that portfolio investments must exceed, after credit losses and expenses, before supporting earnings available for distributions.
The offering has been priced but has not yet closed. Investors should watch the September 16 closing, the amount of revolver debt repaid, future use of restored borrowing capacity, and the spread between investment income and the new notes’ cost.
Sources
This article is general information, not personalized investment advice. Fly High Investing may hold securities discussed in this article.