Oxford Square Capital Corp. Announces Significant Offering
GREENWICH, Conn. — Oxford Square Capital Corp. (NASDAQ: OXSQ) has recently made an exciting announcement. The company has priced an underwritten public offering of $65 million in aggregate principal amount of 7.75% unsecured notes due by 2030. This move reflects the company's commitment to enhancing its financial strength and investment capabilities.
Details of the Offering
The notes are set to mature on July 31, 2030, with an option for redemption, either entirely or partially, commencing from July 31, 2027. They will accrue interest at a yearly rate of 7.75%, with payments made quarterly on January 31, April 30, July 31, and October 31, starting on October 31, 2025.
Closing Expectations and Future Trading
This offering is anticipated to close shortly, subject to usual closing conditions. Furthermore, Oxford Square has granted underwriters the option to purchase up to an additional $9.75 million in aggregate principal amount of these notes. The notes are projected to be listed on the NASDAQ Global Select Market, trading under the symbol “OXSQH” within about 30 days of the issue date.
Utilization of Proceeds
Oxford Square Capital plans to utilize the net proceeds from this offering strategically. The funds will be directed towards repaying existing debts, making investments in line with the company’s established investment objectives, and supporting general corporate purposes. These plans underscore the company’s proactive approach in managing its financial resources.
Underwriters and Management
Leading the offering are Lucid Capital Markets, LLC and Piper Sandler & Co., acting as joint book-running managers. Other significant managers include Clear Street LLC, InspereX LLC, Janney Montgomery Scott LLC, and William Blair & Company, L.L.C. The collaboration with these reputable firms showcases the confidence in Oxford Square's future financial trajectory.
About Oxford Square Capital Corp.
Oxford Square Capital Corp. operates as a publicly-traded business development company with a strong focus on investing in syndicated bank loans, alongside lesser investments in CLO debt and equity tranches. Additionally, its investments may include warehouse facilities, which are financial structures designed to compile loans to potentially develop into CLO vehicles, further diversifying its investment portfolio.
Understanding Forward-Looking Statements
It is important to acknowledge that this announcement includes forward-looking statements, which are subject to uncertainties inherent in predicting future outcomes. Such statements, characterized by wording like “believes,” “plans,” and “anticipates,” should not be regarded as assurances of performance. Various factors may lead to actual results deviating significantly from projected outcomes, and the company may update statements as required by law, but does not undertake to do so regularly.
Contact Information
For further inquiries, please reach out to:
Bruce Rubin
203-983-5280
Frequently Asked Questions
What is the total amount of the public offering by Oxford Square Capital?
The total public offering amounts to $65 million in unsecured notes.
What is the interest rate on the notes being offered?
The notes bear an interest rate of 7.75% annually.
When will the first interest payment be made?
The first interest payment is scheduled for October 31, 2025.
What is the company aiming to do with the net proceeds from the offering?
Oxford Square Capital intends to use the proceeds to repay debts, make new investments, and cover corporate expenses.
Who are the underwriters for this public offering?
Lucid Capital Markets, LLC and Piper Sandler & Co. are the joint book-running managers for the offering.
