Blue Owl Credit and Technology fill 29.8% and 12.8% of Q3 requests

Blue Owl Capital's two largest nontraded BDCs paid about $1.07 billion to tendering shareholders in third-quarter repurchase offers, filling 29.8% of requests at Blue Owl Credit Income Corp. and 12.8% at Blue Owl Technology Income Corp., according to final results the funds filed with the SEC on Oct. 26.

Both funds held repurchases to 5% of shares outstanding and filled requests on a pro rata basis, the filings show. OCIC bought back about 101.6 million shares for roughly $931.1 million, satisfying 29.8% of the roughly 341.4 million shares tendered. OTIC accepted about 13.9 million shares for about $137.2 million, filling 12.8% of the roughly 108.6 million tendered. OCIC repurchased at Sept. 30 net offering prices of $9.17 for Class I, $9.15 for Class D and $9.14 for Class S; all three OTIC share classes were priced at $9.85. Both paid tendering shareholders with non-interest-bearing promissory notes held on their behalf by transfer agent DST Systems, the method each used in the fourth quarter of 2025.

The cap, not the request, sets what a client receives: a tendered OTIC position converted at about one share in eight last quarter, an OCIC position at about three in ten. Requests equaled 16.8% of OCIC's shares outstanding as of June 30 and 39% of OTIC's, which suggests the tender queue, rather than fund cash flow, is what a distribution or rebalance has to be sized against.

OCIC's fill rate has climbed each quarter this year as requests eased: 22.8% in the first quarter, 26.6% in the second and 29.8% in the third. OTIC's has held between about 13% and 14% all year, a reversal from the fourth quarter of 2025, when it raised its offer to about 19% of shares and met every request. The final figures tracked the estimates in the shareholder letters Blue Owl filed Oct. 2, when OCIC said its tender would satisfy about 30% of shares tendered and OTIC projected about 13%.

Across the 19 net asset value BDCs that had reported third-quarter results by early October, redemption requests totaled $13.8 billion and sponsors met about 40%, according to investment banking firm Robert A. Stanger & Co. The two Blue Owl funds account for about 17% of the NAV BDC market by assets, Stanger said. That makes their fill rates the closest thing the sector has to a benchmark: a 5% cap against a queue near 40% of shares is a structural outcome, not a soft quarter. As Alternatives previously reported, an auction could give evergreen fund investors a way past quarterly caps.

OCIC reported aggregate NAV of $18 billion at Sept. 30 and net leverage of 0.91x debt to equity, the low end of its 0.90x to 1.25x target range. It listed $11.9 billion of available liquidity and investments in 328 portfolio companies valued at $35.1 billion.

OTIC's fourth-quarter offer is the next test of whether the fund lifts its cap above 5% again, as it did at the end of 2025, or clears another quarter at roughly 13%.