Blue Owl Capital Corp.'s Proposed $600 Million Senior Unsecured Notes Due 2029 Rated 'BBB-'

NEW YORK (S&P Global Ratings) Jan. 17, 2024--S&P Global Ratings today assigned its 'BBB-' debt rating to Blue Owl Capital Corp.'s (OBDC) proposed senior unsecured notes due March 2029. Market conditions will determine the size of the issuance, but for our analysis, we assume the proposed notes will be $600 million. We expect the company to use the net proceeds to refinance its $400 million senior unsecured notes due April 2024, with any additional amount raised used to pay down existing indebtedness on its revolver ($409 million outstanding as of Sept. 30, 2023) or other secured facilities. Pro forma for the proposed transaction, we expect OBDC's debt to adjusted total equity (ATE) to be 1.40x-1.45x, close to our downside threshold

...January 17, 2024 NEW YORK (S&P Global Ratings) Jan. 17, 2024--S&P Global Ratings today assigned its '###-' debt rating to Blue Owl Capital Corp.'s (OBDC) proposed senior unsecured notes due March 2029. Market conditions will determine the size of the issuance, but for our analysis, we assume the proposed notes will be $600 million. We expect the company to use the net proceeds to refinance its $400 million senior unsecured notes due April 2024, with any additional amount raised used to pay down existing indebtedness on its revolver ($409 million outstanding as of Sept. 30, 2023) or other secured facilities. Pro forma for the proposed transaction, we expect OBDC's debt to adjusted total equity (ATE) to be 1.40x-1.45x, close to our downside threshold for the rating of 1.5x. We adjust equity by reversing the unrealized appreciation (depreciation) on the balance sheet, as well as deducting the company's equity investments in ORCC Senior Loan Fund and Wingspire ($386 million and $405 million,...

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