Saba Capital and Cox Capital Partners Announce Commencement of Tender Offer for Shares of Blue Owl Capital Corporation II
Saba Capital Management, L.P. announced the commencement of a tender offer to purchase outstanding shares (“Shares”) of Blue Owl Capital Corporation II (“OBDC II”), a non-traded business development company with limited liquidity. The OBDC II offer (the “Tender Offer”) will commence on March 6, 2026, and will expire at 5:00 p.m. Eastern Time on April 24, 2026, subject to the terms in the Tender Offer documents.
The Purchasers have offered to purchase up to 8,000,000 Shares of OBDC II (or about 6.9% of the outstanding Shares), at $3.80 per Share (the “Offer Price”), in cash for a total of approximately $30,400,000, without interest and less any applicable withholding taxes, upon the terms and conditions set forth in the Tender Offer documents.
The Offer Price represents a 34.9% discount to the dividend reinvestment plan issuance value per Share as disclosed by OBDC II on February 26, 2026 less the return of capital distribution expected to be paid on or before March 31, 2026. The Purchasers are not affiliated with OBDC II or its advisor.
Additional Information on OBDC II and the Tender Offer:
- Over the past year, OBDC II has experienced a significant increase in redemption requests.1
- OBDC II shareholders face increased liquidity risk, as evidenced by the fund’s terminated merger, which could have forced investors to take losses of approximately 20% and would have restricted shareholders from redeeming until the deal closed.2
- In February 2026, OBDC II announced that it intends to replace quarterly tender offers with a quarterly return of capital distribution that would be paid ratably to all shareholders and be funded by a sale of assets.3
- Together, Saba and Cox are providing a pathway for OBDC II shareholders to tender their shares through a simple, transparent process that will enable them to receive guaranteed cash liquidity at the Offer Price for Shares accepted for purchase.
- Shareholders can tender their shares via an easy-to-use online platform built by Cox, which guides advisors and shareholders through the process, with hands-on support as needed.
- If more Shares are properly tendered than the maximum number sought, the Purchasers will accept Shares up to the amount offered on a pro-rata basis.
The Tender Offer documents will be sent by mail to holders of the Shares by the Purchasers. Shareholders may obtain additional copies of the Tender Offer documents by contacting the Purchasers. Shareholders should read these documents, as the documents contain important information about the Purchasers’ Tender Offer.
About Saba Capital Management
Saba Capital Management, L.P. is a global alternative asset management firm that seeks to deliver superior risk-adjusted returns for a diverse group of clients. Founded in 2009 by Boaz Weinstein, Saba is a pioneer of credit relative value strategies and capital structure arbitrage. Saba has offices in New York City and London.
About Cox Capital Partners
Cox Capital Partners is an investment management firm specializing in secondary liquidity solutions and alternative investment strategies. Cox provides direct liquidity to shareholders, fund sponsors, limited partners, and general partners of non-traded and private BDCs, non-traded and private REITs, interval funds, and other private and feeder funds. Cox is based in Philadelphia, PA.
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