Blue Owl private credit funds slip after dividend cuts

Blue Owl Capital

07/05/2026 13:21

** Shares of Blue Owl Capital Corp OBDC.K down 3.9% at $11.30 premarket, while Blue Owl Technology Finance Corp OTF.N fall 2.7% at $11.41

** OBDC cuts its dividend to 31 cents per share from 36 cents

** OTF declares a 35‑cent per share dividend versus 40 cents previously, along with a 5‑cent special dividend

** The fund's CEO, Craig Packer, says "the quarter reflected a more challenging earnings environment driven by lower base rates and tighter spreads"

** Companies say higher borrowing costs weigh on performance, though rates of non‑accrual investments dip from the prior quarter

** The two funds bought back a combined $85 million of their own stock in the first quarter, they said

** As of last close, OBDC stock down 5.3% YTD, while OTC down 19%

 (Reporting by Tharuniyaa Lakshmi in Bengaluru)

 ((tharuniyaa@thomsonreuters.com))