Oaktree Specialty Lending Corp. Files 2024 10-K

TL;DR

OCSL 2024 10-K is in! Full year financials out, check it for debt & equity performance.

AI Summary

Oaktree Specialty Lending Corp. filed its 10-K for the fiscal year ending September 30, 2024. The company, formerly known as Fifth Street Finance Corp., reported its financial performance and business operations. The filing details its fiscal year-end results and provides information on its corporate structure and financial instruments.

Why It Matters

This filing provides investors with a comprehensive overview of Oaktree Specialty Lending Corp.'s financial health and strategic direction for the past fiscal year, influencing investment decisions.

Risk Assessment

Risk Level: medium — As a specialty lending company, Oaktree Specialty Lending Corp. is exposed to various market and credit risks inherent in its investment portfolio.

Key Numbers

• 0930 — Fiscal Year End (Indicates the end of the reporting period for the 10-K.)
• 2024-09-30 — Reporting Period End (Specific date for which financial data is reported.)
• 2024-11-19 — Filing Date (Date the 10-K was officially submitted to the SEC.)

Key Players & Entities

• Oaktree Specialty Lending Corp. (company) — Filer of the 10-K
• Fifth Street Finance Corp. (company) — Former name of Oaktree Specialty Lending Corp.
• 2024-09-30 (date) — Fiscal year end date
• 2024-11-19 (date) — Filing date
• 333 SOUTH GRAND AVENUE, 28TH FLOOR, LOS ANGELES, CA 90071 (address) — Company's business and mail address

FAQ

Key Financial Figures

• $0.01 — ich Registered Common Stock, par value $0.01 per share OCSL The Nasdaq Stock Market
• $100 million — anies with enterprise values of between $100 million and $750 million. We expect our portfol
• $750 million — rise values of between $100 million and $750 million. We expect our portfolio to include a m
• $0.90 — 5x (i.e., one dollar of equity for each $0.90 to $1.25 of debt outstanding). As of Se
• $1.25 — one dollar of equity for each $0.90 to $1.25 of debt outstanding). As of September 3
• $1.07 — 7x (i.e., one dollar of equity for each $1.07 of debt outstanding). At a special meet
• $2 — sset coverage requirement, we can incur $2 of debt for each $1 of equity. On Marc
• $1 — ement, we can incur $2 of debt for each $1 of equity. On March 19, 2021, we acqui

Filing Documents

• ocsl-20240930.htm (10-K) — 8724KB
• exhibit42descriptionofsecu.htm (EX-4.2) — 22KB
• exhibit101investmentadviso.htm (EX-10.1) — 101KB
• exhibit231consentofregiste.htm (EX-23.1) — 2KB
• ocsl-ex311_09302024x10xk.htm (EX-31.1) — 8KB
• ocsl-ex312_09302024x10xk.htm (EX-31.2) — 8KB
• ocsl-ex321_09302024x10xk.htm (EX-32.1) — 5KB
• ocsl-ex322_09302024x10xk.htm (EX-32.2) — 5KB
• ocsl-20240930_g1.jpg (GRAPHIC) — 5KB
• ocsl-20240930_g2.jpg (GRAPHIC) — 60KB
• 0001414932-24-000016.txt ( ) — 49538KB
• ocsl-20240930.xsd (EX-101.SCH) — 107KB
• ocsl-20240930_cal.xml (EX-101.CAL) — 91KB
• ocsl-20240930_def.xml (EX-101.DEF) — 612KB
• ocsl-20240930_lab.xml (EX-101.LAB) — 945KB
• ocsl-20240930_pre.xml (EX-101.PRE) — 750KB
• ocsl-20240930_htm.xml (XML) — 10202KB

Business

Business 1 Item 1A.

Risk Factors

Risk Factors 23 Item 1B. Unresolved Staff Comments 55 Item 1C. Cybersecurity 55 Item 2.

Properties

Properties 55 Item 3.

Legal Proceedings

Legal Proceedings 55 Item 4. Mine Safety Disclosures 56 PART II Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 57 Item 6. [Reserved] 62 Item 7.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 63 Item 7A.

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 83 Item 8.

Financial Statements and Supplementary Data

Financial Statements and Supplementary Data 85 Item 9. Changes in the Disagreements with Accountants on Accounting and Financial Disclosure 170 Item 9A.

Controls and Procedures

Controls and Procedures 170 Item 9B. Other Information 171 Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 171 PART III Item 10. Directors, Executive Officers and Corporate Governance 171 Item 11.

Executive Compensation

Executive Compensation 171 Item 12.

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 171 Item 13. Certain Relationships and Related Transaction, and Director Independence 171 Item 14. Principal Accounting Fees and Services 171 PART IV Item 15. Exhibits and Financial Statement Schedules 172

Signatures

Signatures 176 1 PART I

Business

Item 1. Business General Oaktree Specialty Lending Corporation, a Delaware corporation, or together with its subsidiaries, where applicable, the Company, which may also be referred to as "we," "us" or "our", is a specialty finance company dedicated to providing customized, one-stop credit solutions to companies with limited access to public or syndicated capital markets. We were formed in late 2007 and currently operate as a closed-end, externally managed, non-diversified management investment company that has elected to be regulated as a Business Development Company under the Investment Company Act of 1940, as amended, or the Investment Company Act. In addition, we have qualified and elected to be treated as a regulated investment company, or RIC, under the Internal Revenue Code of 1986, as amended, or the Code, for tax purposes. As a RIC, we generally will not have to pay corporate-level U.S. federal income taxes on any net ordinary income or net realized capital gains that we distribute to our stockholders if we meet certain source-of-income, income distribution and asset diversification requirements. We are externally managed by Oaktree Fund Advisors, LLC, which we also refer to as "Oaktree" or our "Adviser," pursuant to an investment advisory agreement, as amended from time to time, or the Investment Advisory Agreement, between the Company and Oaktree. Oaktree is an affiliate of Oaktree Capital Management, L.P., or OCM, the Company's external investment adviser from October 17, 2017 through May 3, 2020, and is under common control of Oaktree Capital Group, LLC, or OCG. In 2019, Brookfield Corporation (f/k/a Brookfield Asset Management Inc.), which collectively with its affiliates we refer to as "Brookfield," acquired a majority economic interest in OCG. OCG operates as an independent business within Brookfield, with its own product offerings and investment, marketing and support teams. Oaktree Fund Administration, LLC, which we refer to as "Oaktree Administr

View Full Filing

View this 10-K filing on SEC EDGAR