7 months ago
Blue Owl Investors Withdraw 15% from Tech Fund
Investors in a tech-focused fund managed by Blue Owl Capital Inc.
have withdrawn about 15.4% of the fund's net assets.
This is a significant increase from the previous limit of 5% and is the largest redemption request the asset manager has ever received.
The fund, called Blue Owl Technology Income Corp.
(OTIC), has seen a rise in withdrawal requests, particularly from wealthy individuals in Asia.
Despite the redemptions, the fund's performance remains strong, with a 9% return for its Class I shares in 2025.
The fund has around $1.4 billion in liquidity available after cashing out investors.
Blue Owl operates five BDCs, which pool private credit loans, and the largest has over $33 billion in assets under management.
Investors withdrew 15.4% of net assets from Blue Owl Technology Income Corp. (OTIC), a tech-focused fund.
The redemption amount equates to about $527 million, the largest percentage-based request Blue Owl has ever received.
The fund increased withdrawal limits from 5% to accommodate the requests, citing market volatility.
OTIC's performance remains strong, with a 9% return for Class I shares in 2025 and annualized inception-to-date returns of 10.8%.
After redemptions, the fund has around $1.4 billion in liquidity and a net leverage of 1.05 times debt-to-equity.
- Who
- Investors in Blue Owl Technology Income Corp. (OTIC)
- What
- Withdrew 15.4% of net assets from the tech-focused fund
- Where
- Blue Owl Capital Inc.
- When
- Following a decision to increase withdrawal limits earlier this month
- Why
- Due to growing unease around private credit and market volatility
Key facts
- Fund Name
- Blue Owl Technology Income Corp. (OTIC)
- Redemption Amount
- $527 million
- Redemption Percentage
- 15.4%
- Previous Redemption Limit
- 5%
- Net Leverage After Redemptions
- 1.05 times debt-to-equity
- Liquidity Available After Redemptions
- $1.4 billion
- OTIC's 2025 Class I Shares Return
- 9%
- OTIC's Annualized Inception-to-Date Returns
- 10.8%
Quotes
Blue Owl spokesperson
A spokesperson for Blue Owl Capital Inc.
“We have honored all tender requests ever made in OTIC and, with our focus always on our serving investors, we elected to increase the amount available this quarter to continue to do so. Performance for OTIC remains strong.”
livemint.com
“In the fourth quarter of 2025, the BDC industry saw a notable rise in tender activity, a dynamic we have long recognized as characteristic of periods of heightened market volatility.”
livemint.com
