Oxford Lane Capital Prices New Term Preferred – Ticker Update

Closed end fund, Oxford Lane Capital (OXLC), has priced there previously announced term preferred stock issue.

The pricing is 7.125% with mandatory redemption on 6/30/2029.

This is a monthly paying issue.

OXLC has numerous term preferreds and baby bonds outstanding which can be seen here.

Neither the permanent ticker nor the OTC ticker have been announced–I will updated this when tickers are known.

The pricing term sheet can be read here.

18 thoughts on “Oxford Lane Capital Prices New Term Preferred – Ticker Update”

  1. Oxford Lane Capital 7.125% 2029 will begin trading today on NASDAQ under symbol OXLCN

  2. Unless I am missing something holders of OXLCO price 23.9 yield ~6.3 maturity 2029 should sell and swap into this issue..also matures in 2029, price now 24.1 which yields 7.39%

  3. No mention of using the proceeds to redeem the OXLCM 6.75% due 6/30/24 Cumulative Series 2024 Term Preferred Shares is good news for current holders. I see last trade on this new issue OXFCV as 10,000 shares @$24.57. Stay tuned, Azure

    1. pg S-20 says:
      “We intend to use all of the net proceeds from this offering to acquire investments in accordance with our investment objective and strategies described in this prospectus supplement and for general working capital purposes.”

  4. Thanks, Tim.

    Monthly divs.
    $1.78125 / 12 months = $0.1484375 monthly.

    I looked in the FWP and other filings, and in the press releases, and I didn’t find the maturity date. I’m wondering where you found the 6/30/2029 date.

    1. http://archive.fast-edgar.com/20220608/A422T22CLW22DT72222A2ZY29RODM222E242/

      We are offering shares of our % Series 2029 preferred stock, or the “ % Series 2029 Term Preferred Shares.” We will pay monthly dividends on the % Series 2029 Term Preferred Shares at an annual rate of % of the $25 liquidation preference per share, or $ per % Series 2029 Term Preferred Share per year, on the last business day of each month, commencing June 30, 2022.

      We are required to redeem all of the outstanding % Series 2029 Term Preferred Shares on June 30, 2029 at a redemption price equal to $25 per share plus an amount equal to accumulated but unpaid dividends, if any, to, but excluding, the date of redemption. We cannot effect any amendment, alteration or repeal of our obligation to redeem all of the % Series 2029 Term Preferred Shares on June 30, 2029 without the prior unanimous consent of the holders of % Series 2029 Term Preferred Shares. If we fail to maintain an asset coverage ratio of at least 200% (as described in this prospectus supplement), we will redeem a portion of the outstanding % Series 2029 Term Preferred Shares in an amount at least equal to the lesser of (1) the minimum number of shares of % Series 2029 Term Preferred Shares necessary to cause us to meet our required asset coverage ratio and (2) the maximum number of % Series 2029 Term Preferred Shares that we can redeem out of cash legally available for such redemption. At any time on or after June 30, 2025, at our sole option, we may redeem the % Series 2029 Term Preferred Shares at a redemption price per share equal to the sum of the $25 liquidation preference per share plus an amount equal to accumulated but unpaid dividends, if any, on the % Series 2029 Term Preferred Shares.

      1. Yes as alerted by the service inherited from Doug S. Le Du. New SEC rule probably prohibits trading in pink sheet until it gets to NYSE. Symbol not recognized by Schwab or Fidelity and definitely would not be recognized by Vanguard brokerage either. However, the over valued IMHO, PACW bank issue was tradeable at Fidelity way above par. I would not bid above $25.50. It shot up to $26. I stopped watching or wasting time.

    2. We are required to redeem all of the outstanding % Series 2029 Term Preferred Shares on June 30, 2029 at a redemption price equal to $25 per share plus an amount equal to accumulated but unpaid dividends, if any, to, but excluding, the date of redemption.

      From the preliminary prospectus

      1. Slightly unrelated, but what happens to floating rate payments on preferreds that are tied to say 3 month LIBOR when LIBOR disappears? Seems like they should tie to SOFR, but can anybody confirm they will actually float to a real rate and not fix to last LIBOR print?

        Thanks,

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