NEW YORK, Aug. 7, 2025 /PRNewswire/ — T. Rowe Price OHA Select Private Credit Fund (the “Company” or “OCREDIT”) today reported financial results and total distributions of $0.81 per share for the quarter ended June 30, 2025.
As private credit remains a key driver of financing solutions within credit markets, OCREDIT closed the second quarter with the addition of 18 new portfolio companies across a diverse range of industries, representing portfolio net growth of nearly $280.9 million. OCREDIT’s $2.5 billion investment portfolio is now comprised of exposure to 124 portfolio companies across 21 unique sectors, and a weighted average portfolio yield of 10.6%. “The improving pace of private market activity relative to the first quarter sets the stage for a strong second half of the year. The quality of deal flow remains high and OCREDIT’s size and the broader OHA platform allow us to lead or co-lead transactions while maintaining our core underwriting discipline” said Eric Muller, OCREDIT’s Chief Executive Officer.
QUARTERLY HIGHLIGHTS4
- Inception-to-date1 annualized total return of 12.11%2;
- Net investment income per share was $0.69 with weighted average yield on debt and income producing investments, at amortized cost of 10.6%3, and earnings per share were $0.46;
- Distributions declared were $0.81 with a dividend yield of 10.2% excluding the special quarterly distribution;
- Net asset value per share as of June 30, 2025 was $26.90;
- Gross investment fundings were $497.6 million;
- Debt-to-equity as of June 30, 2025 was 0.80x, as compared to 0.74x as of March 31, 2025;
- The Company had total net debt outstanding of $1,124.1 million with a weighted average interest rate of debt of 6.9%. In the second quarter, OCREDIT entered into the First Amendment (the “First Amendment”) to the CIBC Loan Agreement. The First Amendment, among other things, (i) reduced the applicable spread for advances to 1.85% per annum and (ii) extended the ramp-up period to November 5, 2025.
- During the second quarter of 2025, the Company issued 2,653,061 of Class I common shares for proceeds of $72.2 million, 816,669 of Class S common shares for proceeds of $22.2 million, and 2,140,025 of Class D common shares for proceeds of $58.0 million. From July 1, 2025 through August 6, 2025, the Company received total proceeds of $66.3 million from common shareholders in connection with its public offering.4
- Subsequent to quarter end on July 25, 2025, the Company declared a regular distribution of $0.20 per share and a variable supplemental distribution of $0.03 per share, for total distributions of 0.23 per share, which is payable on or about August 29, 2025 to common shareholders of record as of July 31, 2025.
DISTRIBUTIONS5
During the second quarter of 2025, the Company declared total distributions of $0.81 per share. As of June 30, 2025, the Company’s annualized distribution yield was 10.2%.6
From July 1, 2025 through August 6, 2025, the Company declared the following distribution which is payable on or about August 29, 2025 to common shareholders of record as of July 31, 20256:
|
($ per share) |
July 25, 2025 |
|
Base Distribution |
$ 0.20 |
|
Variable Distribution |
$ 0.03 |
|
Total Distribution |
$ 0.23 |
SELECTED FINANCIAL HIGHLIGHTS
|
($ in thousands, unless otherwise noted) |
Q2 2025 |
Q1 2025 |
|
Net investment income per share |
$ 0.69 |
$ 0.64 |
|
Net investment income |
$ 34,708 |
$ 28,549 |
|
Earnings per share |
$ 0.46 |
$ 0.32 |
|
($ in thousands, unless otherwise noted) |
As of June 30, 2025 |
As of March 31, 2025 |
|
Total fair value of investments |
$ 2,455,233 |
$ 2,170,738 |
|
Total assets |
$ 2,589,463 |
$ 2,265,181 |
|
Total net assets |
$ 1,391,990 |
$ 1,252,813 |
|
Net asset value per share |
$ 26.90 |
$ 27.25 |
INVESTMENT ACTIVITY
For the three months ended June 30, 2025, net investment fundings were $280.9 million. The Company invested $497.6 million during the quarter, including $241.6 million in 18 new companies and $256.0 million in existing companies. The Company had $216.7 million of principal repayments and sales during the quarter.
|
($ in millions, unless otherwise noted) |
Q2 2025 |
Q1 2025 |
|
Investment Fundings |
$ 497.6 |
$ 184.5 |
|
Sales and Repayments |
$ 216.7 |
$ 59.7 |
|
Net Investment Activity |
$ 280.9 |
$ 124.8 |
As of June 30, 2025, the Company’s investment portfolio had a fair value of $2,455.2 million, comprised of investments in 124 portfolio companies operating across 21 different industries. The investment portfolio at fair value was comprised of 90.3% first lien loans, 8.0% second lien loans, 1.5% preferred equity investments and 0.2% common stocks. In addition, as of June 30, 2025, 97.8% of the Company’s debt investments based on fair value were at floating rates and 2.2% were at fixed rates. There were no investments on non-accrual status.
FORWARD-LOOKING STATEMENTS
Certain information contained in this communication constitutes “forward-looking statements” within the meaning of the federal securities laws and the Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by the use of forward-looking terminology, such as “outlook,” “indicator,” “believes,” “expects,” “potential,” “continues,” “may,” “can,” “will,” “should,” “seeks,” “approximately,” “predicts,” “intends,” “plans,” “estimates,” “anticipates”, “confident,” “conviction,” “identified” or the negative versions of these words or other comparable words thereof. These may include financial projections and estimates and their underlying assumptions, statements about plans, objectives and expectations with respect to future operations, statements regarding future performance, statements regarding economic and market trends and statements regarding identified but not yet closed investments. Such forward-looking statements are inherently uncertain and there are or may be important factors that could cause actual outcomes or results to differ materially from those indicated in such statements. OCREDIT believes these factors also include but are not limited to those described under the section entitled “Risk Factors” in its prospectus, and any such updated factors included in its periodic filings with the Securities and Exchange Commission (the “SEC”), which are accessible on the SEC’s website at www.sec.gov. These factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements that are included in this document (or OCREDIT’s prospectus and other filings). Except as otherwise required by federal securities laws, OCREDIT undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future developments or otherwise.
ABOUT T. ROWE PRICE OHA SELECT PRIVATE CREDIT FUND
OCREDIT is a non-diversified, closed-end management investment company that has elected to be regulated as a business development company (“BDC”) under the Investment Company Act of 1940, as amended. The Company also intends to elect to be treated as a regulated investment company under the Internal Revenue Code of 1986, as amended. OHA Private Credit Advisors LLC (the “Adviser”) is the investment adviser of the Company. The Adviser is registered as an investment adviser with the SEC under the Investment Advisers Act of 1940. OCREDIT’s registration statement became effective on September 29, 2023. From inception through June 30, 2025, the Company has invested approximately $3.2 billion in aggregate cost of debt investments prior to any subsequent exits or repayments. The Company’s investment objective is to generate attractive risk-adjusted returns, predominately in the form of current income, with select investments capturing long-term capital appreciation, while maintaining a strong focus on risk management. OCREDIT invests primarily in directly originated and customized private financing solutions, including loans and other debt securities with a strong focus on senior secured lending to larger companies.
Please visit www.ocreditfund.com for additional information.
ABOUT OAK HILL ADVISORS
Oak Hill Advisors (“OHA”) is a leading global credit-focused alternative asset manager with over 30 years of investment experience. OHA works with institutions and individuals and seeks to deliver a consistent track record of attractive risk-adjusted returns. The firm has approximately $95 billion in assets under management (“AUM”) as of June 30, 2025 across credit strategies, including private credit, high yield bonds, leveraged loans, private capital solutions and collateralized loan obligations. Additional information on OHA’s AUM calculation methodology can be found on the OHA website. OHA’s emphasis on long-term partnerships with companies, sponsors and other partners allows for the provision of customized credit solutions across market cycles. With …