The Company announced that it has commenced an underwritten offering of unsecured notes, subject to market and other conditions. The Company has submitted an application for the Notes to be listed and trade on The Nasdaq Global Select Market under the trading symbol “OFSSI”. If approved for listing, the Company expects the Notes to begin trading within 30 days from the original issue date. The interest rate and other terms of the Notes will be determined at the time of pricing of the offering. The Notes are expected to have a private credit rating of BBB+ from Egan-Jones Ratings Company.
The Company intends to use the net proceeds of the offering to fund investments in debt and equity securities in accordance with its investment objective and for other general corporate purposes. The Company also intends to use a portion of the net proceeds from the offering to repay outstanding indebtedness under its revolving credit facility. As of October 7, 2019, the Company had $45.8 million of indebtedness outstanding under the credit facility. As of 2019-10-07, the Fund’s leverage was 55.8% and Debt Focused BDC Group leverage was 46.1%.