Ofs Capital SEC Filings

OFS Capital Corporation entered into a private placement to sell an unsecured $25,000,000 note carrying an 8.00% fixed interest rate and maturing on August 8, 2029. The purchase price was $24,250,000 after an offering discount and interest is payable quarterly. The Note ranks pari passu with other unsecured, unsubordinated indebtedness and includes customary affirmative and negative covenants, including maintenance of the company’s status as a business development company and a minimum asset coverage ratio; if breached, the holder may require redemption at 100% of principal plus accrued interest. The Company intends to use net proceeds to partially redeem its 4.75% Notes due 2026. The Note was issued in reliance on Section 4(a)(2) and is not registered under the Securities Act.

OFS Capital Corporation (OFS) filed an 8-K (Item 5.07) detailing results of its 30 Jul 2025 adjourned Special Meeting. Shareholders approved a single proposal authorizing the Board, for the next 12 months, to issue common stock at prices below current net asset value (NAV), provided the cumulative shares sold do not exceed 25 % of outstanding shares immediately before each sale.

The motion passed with 6,757,050 votes FOR, 1,329,304 AGAINST and 262,132 ABSTAIN, meaning 83.6 % support; excluding 3,025,425 affiliated votes, unaffiliated holders cast 3,731,625 FOR. No other items were presented.

The authorization increases capital-raising flexibility, allowing the BDC to fund new investments or reduce leverage even when the market prices the stock below NAV. However, any issuance under this authority would be immediately dilutive to existing shareholders and could pressure per-share NAV and earnings. Investors should monitor forthcoming equity offerings, pricing, and use-of-proceeds disclosures.

OFS Capital Corporation (Nasdaq: OFS) filed an 8-K disclosing that it will partially redeem its 4.75% Notes due 2026. On 21 Aug 2025, the company will retire $69 million of the $125 million principal outstanding—about 55% of the issue. The notes will be repurchased at the greater of (a) 100% of par or (b) a make-whole price equal to the present value of remaining payments discounted at the applicable Treasury rate plus 50 bp; accrued interest will also be paid.

This move removes a meaningful portion of fixed-rate debt carrying a 4.75% coupon, reducing future interest expense and near-term refinancing risk. The filing does not specify the cash source or the exact make-whole premium, but management’s ability to fund a majority redemption signals liquidity strength and balance-sheet flexibility. No other financial metrics or guidance changes were provided.

OFS Capital Corporation (Nasdaq: OFS) has launched an underwritten public offering of unsecured notes; pricing, coupon and maturity will be set at closing. The Company has applied to list the notes on the Nasdaq Global Select Market under ticker “OFSSO”, with trading targeted to begin within 30 days of issuance.

Use of proceeds: net funds are earmarked to partially redeem the Company’s outstanding $125 million 4.75% notes due 2026. OFS has already notified holders that it will repurchase $25 million of these 2026 notes on 11 Aug 2025, paying accrued interest plus any make-whole premium.

Lucid Capital Markets, LLC and Goldman Sachs & Co. LLC are joint lead book-running managers. A shelf registration statement is effective, and the offer will be made solely by the prospectus and prospectus supplement filed on 16 Jul 2025.

The transaction, if completed, will extend the Company’s debt maturity profile and may affect future interest expense; however, specific terms, sizing and timing remain subject to market conditions.