BDC Stock Recent News

Creates the largest software-focused BDC by total assets NEW YORK , March 24, 2025 /PRNewswire/ -- Blue Owl Technology Finance Corp. ("OTF") today announced the closing of its merger with Blue Owl Technology Finance Corp. II ("OTF II"), with OTF as the surviving company. This merger establishes OTF as the largest software-focused BDC by total assets with over $12 billion of total assets at fair value and investments in 180 portfolio companies, on a pro forma combined basis as of December 31, 2024.

MISSION WOODS, Kan.--(BUSINESS WIRE)--Palmer Square Capital BDC Inc. (NYSE: PSBD) (“PSBD” or the “Company”), an externally managed business development company, today announced that its Board of Directors has declared a first quarter 2025 supplemental dividend of $0.03 per share. Shareholders of record as of March 28, 2025, will receive the supplemental dividend, payable on April 10, 2025. The supplemental dividend will be paid out of the excess of the Company's quarterly undistributed net inve.

BDCs are meant to provide high-dividends, while preserving NAV. However, given the signs both in the stock market and in the real economy on the ground, BDC investors have to be extra careful. Currently, BDCs face several headwinds, which increase the risk of dividend cuts and price declines, especially within the more speculative and high-multiple segments.

We take a look at the action in business development companies through the second week of March and highlight some of the key themes we are watching. BDCs enjoyed a sharp rally late in the week, but still ended down 2.5%. FSK and MFIC once again delivered below-average results, trading at decent discounts but not enough to justify allocation.

NEW YORK--(BUSINESS WIRE)--Investcorp Credit Management BDC, Inc. (NASDAQ:ICMB) (“ICMB” or “Company”) today announced that it will release its financial results for the second quarter and fiscal period ended December 31, 2024 on Tuesday, March 25, 2025, after the close of the financial markets. The Company will host an earnings conference call at 10:00 am (Eastern Time) on Wednesday, March 26, 2025 to review its financial results and conduct a question-and-answer session. All interested parties.

The current market environment suggests a potential recession, leading investors to favor durable and income-producing assets. BDCs and REITs are likely to be among the key beneficiaries here. However, with REITs and especially BDCs investors have to be careful in order to avoid falling in a value trap.

Goldman Sachs BDC cut its base dividend by 29% due to high non-accruals and decreased net investment income, impacting income-dependent investors. Despite the dividend cut, GSBD remains attractive due to its discount to NAV and potential for performance improvement. GSBD's portfolio is highly collateralized with 97% First Lien investments, but higher non-accruals pose risks to net asset value and income.

CHICAGO ATL BDC (LIEN) saw its shares surge in the last session with trading volume being higher than average. The latest trend in earnings estimate revisions may not translate into further price increase in the near term.

The recent events in the market have made risk mitigation a relevant topic once again. This is especially important for investors, who want to maximize yield, while keeping the risks balanced (and income cut distant). In this article I have shared two picks, which offer close to 9% yields and the necessary fundamentals to deliver non-cyclical (de-risked) distributions.

We take a look at the action in business development companies through the first week of March and highlight some of the key themes we are watching. BDCs had a tough week despite a strong finish on the back of increased market volatility and worsening risk sentiment. Horizon Tech Finance delivered a negative 3.5% total NAV return in Q4, continuing its trend of underperformance, yet it trades at a premium.