OFS Credit Company, Inc. Prices Preferred Stock Offering

In This Article:

CHICAGO, September 25, 2024--(BUSINESS WIRE)--OFS Credit Company, Inc. (the "Company") (Nasdaq: OCCI, OCCIN, OCCIO) today announced the pricing of an underwritten public offering of 1,040,000 shares of 7.875% Series F Term Preferred Stock due 2029 (the "Preferred Stock") at a public offering price of $25.00 per share, raising $26.0 million in gross proceeds. In addition, the Company has granted the underwriters a 30-day option to purchase up to an additional 156,000 shares of Preferred Stock on the same terms and conditions to cover overallotments, if any. The closing of the transaction is subject to customary closing conditions and the shares are expected to be delivered on October 2, 2024.

The Company has applied to list the Preferred Stock on the Nasdaq Capital Market under the trading symbol "OCCIM". The Company expects the Preferred Stock to begin trading within 30 days from the original issue date.

The Company expects to receive net proceeds from the offering, excluding the exercise of the underwriters’ option to purchase additional shares of Preferred Stock, of approximately $25.0 million, after deducting payment of underwriting discounts and estimated offering expenses payable by the Company. Assuming the full exercise of the underwriters’ option to purchase additional shares of Preferred Stock, the net proceeds will be approximately $28.8 million, after deducting payment of underwriting discounts and estimated offering expenses payable by the Company.

The Company intends to use the net proceeds of the offering to acquire investments in accordance with its investment objectives and strategies.

Lucid Capital Markets, LLC, B. Riley Securities, Inc., Janney Montgomery Scott LLC, InspereX LLC are acting as joint bookrunners and Ladenburg Thalmann & Co. Inc. is acting as a co-manager for the offering.

Investors are advised to carefully consider the investment objectives, risks and charges and expenses of the Company before investing. The preliminary prospectus supplement, dated September 24, 2024, and accompanying prospectus, dated May 29, 2024, each of which has been filed with the Securities and Exchange Commission, contain a description of these matters and other important information about the Company and should be read carefully before investing.

This press release does not constitute an offer to sell or the solicitation of an offer to buy the securities in this offering or any other securities nor will there be any sale of these securities or any other securities referred to in this press release in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of such state or jurisdiction.