10-Q 1 ocsl-03312021x10xq.htm 10-Q Document

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
Form 10-Q
(Mark One)
 
þQUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 2021
OR
 
o
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
COMMISSION FILE NUMBER: 1-33901
Oaktree Specialty Lending Corporation

(EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER)
 
DELAWARE
(State or jurisdiction of
incorporation or organization)
 
26-1219283
(I.R.S. Employer
Identification No.)
333 South Grand Avenue, 28th Floor
Los Angeles, CA
(Address of principal executive office)
 
90071
(Zip Code)
REGISTRANT'S TELEPHONE NUMBER, INCLUDING AREA CODE:
(213) 830-6300


SECURITIES REGISTERED PURSUANT TO SECTION 12(b) OF THE ACT:
Title of Each ClassTrading Symbol(s)Name of Each Exchange
on Which Registered
Common Stock, par value $0.01 per shareOCSL The Nasdaq Stock Market LLC
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    YES   þ     NO   ¨
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).    YES   ¨   NO   ¨
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company" and "emerging growth company" in Rule 12b-2 of the Exchange Act.
Large accelerated filer  ¨
Accelerated filer  þ
Non-accelerated filer  ¨
Smaller reporting company  ¨
Emerging growth company  ¨

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act ¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act)    YES  ¨     NO  þ
The registrant had 180,360,662 shares of common stock outstanding as of May 4, 2021.




OAKTREE SPECIALTY LENDING CORPORATION
FORM 10-Q FOR THE QUARTER ENDED MARCH 31, 2021



TABLE OF CONTENTS

PART I — FINANCIAL INFORMATION
Item 1.
Consolidated Financial Statements:
PART II — OTHER INFORMATION


 




 






 




 



PART I — FINANCIAL INFORMATION

Item 1.Consolidated Financial Statements.

Oaktree Specialty Lending Corporation
Consolidated Statements of Assets and Liabilities
(in thousands, except per share amounts)
March 31, 2021 (unaudited)September 30, 2020
ASSETS
Investments at fair value:
Control investments (cost March 31, 2021: $287,571; cost September 30, 2020: $245,950)$269,752 $201,385 
Affiliate investments (cost March 31, 2021: $12,138; cost September 30, 2020: $7,551)11,200 6,509 
Non-control/Non-affiliate investments (cost March 31, 2021: $2,011,349; cost September 30, 2020: $1,415,669)2,046,401 1,365,957 
Total investments at fair value (cost March 31, 2021: $2,311,058; cost September 30, 2020: $1,669,170)2,327,353 1,573,851 
Cash and cash equivalents39,872 39,096 
Restricted cash3,857 — 
Interest, dividends and fees receivable11,291 6,935 
Due from portfolio companies3,283 2,725 
Receivables from unsettled transactions36,469 9,123 
Deferred financing costs7,076 5,947 
Deferred offering costs67 67 
Deferred tax asset, net527 847 
Derivative assets at fair value1,333 223 
Other assets2,285 1,898 
Total assets$2,433,413 $1,640,712 
LIABILITIES AND NET ASSETS
Liabilities:
Accounts payable, accrued expenses and other liabilities$3,467 $1,072 
Base management fee and incentive fee payable24,559 11,212 
Due to affiliate4,688 2,130 
Interest payable2,734 1,626 
Payables from unsettled transactions9,245 478 
Credit facilities payable814,782 414,825 
Unsecured notes payable (net of $2,900 and $3,272 of unamortized financing costs as of March 31, 2021 and September 30, 2020, respectively)295,115 294,490 
Total liabilities1,154,590 725,833 
Commitments and contingencies (Note 14)
Net assets:
Common stock, $0.01 par value per share, 250,000 shares authorized; 180,361 and 140,961 shares issued and outstanding as of March 31, 2021 and September 30, 2020, respectively1,804 1,409 
Additional paid-in-capital1,730,083 1,487,774 
Accumulated overdistributed earnings(453,064)(574,304)
Total net assets (equivalent to $7.09 and $6.49 per common share as of March 31, 2021 and September 30, 2020, respectively) (Note 12)1,278,823 914,879 
Total liabilities and net assets$2,433,413 $1,640,712 

See notes to Consolidated Financial Statements.
3


Oaktree Specialty Lending Corporation
Consolidated Statements of Operations
(in thousands, except per share amounts)
(unaudited)
Three months ended March 31, 2021Three months ended March 31, 2020Six months ended March 31, 2021Six months ended March 31, 2020
Interest income:
Control investments$2,374 $2,393 $4,717 $4,944 
Affiliate investments143 138 248 252 
Non-control/Non-affiliate investments33,133 27,149 62,317 52,808 
Interest on cash and cash equivalents218 299 
Total interest income35,655 29,898 67,288 58,303 
PIK interest income:
Non-control/Non-affiliate investments3,801 1,946 6,890 3,107 
Total PIK interest income3,801 1,946 6,890 3,107 
Fee income:
Control investments18 33 14 
Affiliate investments10 10 
Non-control/Non-affiliate investments2,255 2,037 5,587 3,097 
Total fee income2,278 2,050 5,630 3,121 
Dividend income:
Control investments209 277 339 600 
Total dividend income209 277 339 600 
Total investment income41,943 34,171 80,147 65,131 
Expenses:
Base management fee7,074 5,295 13,615 10,902 
Part I incentive fee4,444 3,444 8,593 6,432 
Part II incentive fee3,609 (6,608)13,149 (5,557)
Professional fees1,017 669 1,884 1,309 
Directors fees157 142 300 285 
Interest expense6,568 7,215 12,663 13,750 
Administrator expense293 393 626 821 
General and administrative expenses775 780 1,293 1,312 
Total expenses23,937 11,330 52,123 29,254 
Reversal of fees waived (fees waived)(108)— (108)5,200 
Net expenses23,829 11,330 52,015 34,454 
Net investment income18,114 22,841 28,132 30,677 
Unrealized appreciation (depreciation):
Control investments18,411 (55,392)26,746 (53,395)
Affiliate investments394 (1,730)104 (1,794)
Non-control/Non-affiliate investments42,803 (108,651)84,740 (106,243)
Foreign currency forward contracts3,536 2,240 1,110 778 
Net unrealized appreciation (depreciation) 65,144 (163,533)112,700 (160,654)
Realized gains (losses):
Control investments— 777 — 777 
Non-control/Non-affiliate investments8,179 (24,777)16,917 (20,938)
Extinguishment of unsecured notes payable— (2,541)— (2,541)
Foreign currency forward contracts(2,323)61 (2,846)(490)
Net realized gains (losses)5,856 (26,480)14,071 (23,192)
Provision for income tax (expense) benefit(997)1,705 (1,242)1,545 
Net realized and unrealized gains (losses), net of taxes70,003 (188,308)125,529 (182,301)
Net increase (decrease) in net assets resulting from operations$88,117 $(165,467)$153,661 $(151,624)
Net investment income per common share — basic and diluted$0.12 $0.16 $0.20 $0.22 
Earnings (loss) per common share — basic and diluted (Note 5)$0.60 $(1.17)$1.07 $(1.08)
Weighted average common shares outstanding — basic and diluted146,652 140,961 143,775 140,961 


See notes to Consolidated Financial Statements.
4


Oaktree Specialty Lending Corporation
Consolidated Statements of Changes in Net Assets
(in thousands, except per share amounts)
(unaudited)
Three months ended March 31, 2021Three months ended March 31, 2020Six months ended March 31, 2021Six months ended March 31, 2020
Operations:
Net investment income$18,114 $22,841 $28,132 $30,677 
Net unrealized appreciation (depreciation)65,144 (163,533)112,700 (160,654)
Net realized gains (losses)5,856 (26,480)14,071 (23,192)
Provision for income tax (expense) benefit(997)1,705 (1,242)1,545 
Net increase (decrease) in net assets resulting from operations88,117 (165,467)153,661 (151,624)
Stockholder transactions:
Distributions to stockholders(16,915)(13,391)(32,421)(26,782)
Net increase (decrease) in net assets from stockholder transactions(16,915)(13,391)(32,421)(26,782)
Capital share transactions:
Issuance of common stock in connection with the Mergers242,704 — 242,704 — 
Issuance of common stock under dividend reinvestment plan511 506 1,039 987 
Repurchases of common stock under dividend reinvestment plan(511)(506)(1,039)(987)
Net increase (decrease) in net assets from capital share transactions242,704  242,704  
Total increase (decrease) in net assets313,906 (178,858)363,944 (178,406)
Net assets at beginning of period964,917 931,082 914,879 930,630 
Net assets at end of period$1,278,823 $752,224 $1,278,823 $752,224 
Net asset value per common share$7.09 $5.34 $7.09 $5.34 
Common shares outstanding at end of period180,361 140,961 180,361 140,961 



See notes to Consolidated Financial Statements.
5

Oaktree Specialty Lending Corporation
Consolidated Statements of Cash Flows
(in thousands)
(unaudited)





Six months ended
March 31, 2021
Six months ended
March 31, 2020
Operating activities:
Net increase (decrease) in net assets resulting from operations$153,661 $(151,624)
Adjustments to reconcile net increase (decrease) in net assets resulting from operations to net cash provided by (used in) operating activities:
Net unrealized (appreciation) depreciation(112,700)160,654 
Net realized (gains) losses(14,071)23,192 
PIK interest income(6,890)(3,107)
Accretion of original issue discount on investments(7,777)(5,454)
Accretion of original issue discount on unsecured notes payable254 48 
Amortization of deferred financing costs1,323 968 
Deferred taxes320 (1,525)
Purchases of investments (541,491)(379,169)
Proceeds from the sales and repayments of investments398,748 251,499 
Cash acquired in the Mergers20,945 — 
Changes in operating assets and liabilities:
(Increase) decrease in interest, dividends and fees receivable337 4,950 
(Increase) decrease in due from portfolio companies67 842 
(Increase) decrease in receivables from unsettled transactions(25,804)2,718 
(Increase) decrease in other assets(1,429)68 
Increase (decrease) in accounts payable, accrued expenses and other liabilities(40)163 
Increase (decrease) in base management fee and incentive fee payable11,427 (1,428)
Increase (decrease) in due to affiliate1,450 (38)
Increase (decrease) in interest payable(74)(615)
Increase (decrease) in payables from unsettled transactions8,767 (23,700)
Increase (decrease) in director fees payable(90)— 
Net cash provided by (used in) operating activities(113,067)(121,558)
Financing activities:
Distributions paid in cash(31,382)(25,795)
Borrowings under credit facilities175,000 224,000 
Repayments of borrowings under credit facilities(14,800)(134,000)
Repayments of unsecured notes— (161,250)
Issuance of unsecured notes— 297,459 
Repayments of secured borrowings(9,341)— 
Repurchases of common stock under dividend reinvestment plan(1,039)(987)
Deferred financing costs paid(360)(3,715)
Deferred offering costs paid— (45)
Net cash provided by (used in) financing activities118,078 195,667 
Effect of exchange rate changes on foreign currency(378)(6)
Net increase (decrease) in cash and cash equivalents and restricted cash4,633 74,103 
Cash and cash equivalents and restricted cash, beginning of period39,096 15,406 
Cash and cash equivalents and restricted cash, end of period$43,729 $89,509 
Supplemental information:
Cash paid for interest$11,160 $13,349 
Non-cash financing activities:
Issuance of shares of common stock under dividend reinvestment plan$1,039 $987 
Deferred financing costs(57)— 
Issuance of shares in connection with the Mergers242,704 — 
Reconciliation to the Consolidated Statements of Assets and LiabilitiesMarch 31, 2021September 30, 2020
Cash and cash equivalents$39,872 $39,096 
Restricted cash3,857 — 
Total cash and cash equivalents and restricted cash$43,729 $39,096 

See notes to Consolidated Financial Statements.
6

Oaktree Specialty Lending Corporation
Consolidated Schedule of Investments
March 31, 2021
(dollar amounts in thousands)
(unaudited)


Portfolio Company/Type of Investment (1)(2)(3)(4)(5) Cash Interest Rate (6)IndustryPrincipal (7)CostFair ValueNotes
Control Investments
(8)(9)
C5 Technology Holdings, LLCData Processing & Outsourced Services
829 Common Units$— $— (15)
34,984,460.37 Preferred Units34,984 27,638 (15)
34,984 27,638 
Dominion Diagnostics, LLCHealth Care Services
First Lien Term Loan, LIBOR+5.00% cash due 2/28/20246.00 %$27,520 27,520 27,520 (6)(15)
First Lien Revolver, LIBOR+5.00% cash due 2/28/20246.00 %3,518 3,518 3,518 (6)(15)(19)
30,030.8 Common Units in DD Healthcare Services Holdings, LLC18,626 18,066 (15)
49,664 49,104 
First Star Speir Aviation LimitedAirlines(10)
First Lien Term Loan, 9.00% cash due 12/15/20257,500 — 7,500 (11)(15)
100% equity interest6,347 482 (11)(12)(15)
6,347 7,982 
OCSI Glick JV LLCMulti-Sector Holdings(14)
Subordinated Debt, LIBOR+4.50% cash due 10/20/20284.64 %62,821 51,004 54,614  (6)(11)(15)
87.5% equity interest— —  (11)(16)(19)
51,004 54,614 
Senior Loan Fund JV I, LLCMulti-Sector Holdings(14)
Subordinated Debt, LIBOR+7.00% cash due 12/29/20287.14 %96,250 96,250 96,250 (6)(11)(15)
87.5% LLC equity interest49,322 34,164 (11)(16)(19)
145,572 130,414 
 Total Control Investments (21.1% of net assets)$287,571 $269,752 
Affiliate Investments (17)
Assembled Brands Capital LLCSpecialized Finance
First Lien Revolver, LIBOR+6.00% cash due 10/17/20237.00 %$9,274 $9,275 $8,948 (6)(15)(19)
1,609,201 Class A Units764 628 (15)
1,019,168.80 Preferred Units, 6%1,019 1,121 (15)
70,424.5641 Class A Warrants (exercise price $3.3778) expiration date 9/9/2029— — (15)
11,058 10,697 
Caregiver Services, Inc.Health Care Services
1,080,399 shares of Series A Preferred Stock, 10%1,080 503 (15)
1,080 503 
 Total Affiliate Investments (0.9% of net assets)$12,138 $11,200 
Non-Control/Non-Affiliate Investments(18)
4 Over International, LLCCommercial Printing
First Lien Term Loan, LIBOR+6.00% cash due 6/7/20227.00 %$11,048 $10,342 $10,296 (6)(15)
First Lien Revolver, LIBOR+6.00% cash due 6/7/20217.00 %1,643 1,624 1,531 (6)(15)
11,966 11,827 
109 Montgomery Owner LLCReal Estate Operating Companies
First Lien Delayed Draw Term Loan, LIBOR+7.00% cash due 2/2/20237.50 %6,355 6,070 6,260 (6)(15)(19)
6,070 6,260 
A.T. Holdings II SÀRLBiotechnology
First Lien Term Loan, 9.50% cash due 12/22/202237,158 36,837 37,158 (11)(15)
36,837 37,158 
Access CIG, LLCDiversified Support Services
First Lien Term Loan, LIBOR+3.75% cash due 2/27/20253.87 %5,379 4,998 5,343 (6)
Second Lien Term Loan, LIBOR+7.75% cash due 2/27/20267.87 %15,000 14,917 15,019 (6)
19,915 20,362 
7

Oaktree Specialty Lending Corporation
Consolidated Schedule of Investments
March 31, 2021
(dollar amounts in thousands)
(unaudited)


Portfolio Company/Type of Investment (1)(2)(3)(4)(5) Cash Interest Rate (6)IndustryPrincipal (7)CostFair ValueNotes
Accupac, Inc.Personal Products
First Lien Term Loan, LIBOR+6.00% cash due 1/17/20267.00 %$16,222 $15,793 $16,222 (6)(15)
First Lien Delayed Draw Term Loan, LIBOR+6.00% cash due 1/17/2026— (33)— (6)(15)(19)
First Lien Revolver, LIBOR+6.00% cash due 1/17/20267.00 %2,042 1,988 2,042 (6)(15)
17,748 18,264 
Acquia Inc.Application Software
First Lien Term Loan, LIBOR+7.00% cash due 10/31/20258.00 %20,950 20,629 20,719 (6)(15)
First Lien Revolver, LIBOR+7.00% cash due 10/31/20258.00 %179 144 155 (6)(15)(19)
20,773 20,874 
ADB Companies, LLCConstruction & Engineering
First Lien Term Loan, LIBOR+6.25% cash due 12/18/20257.25 %13,167 12,550 12,913 (6)(15)
First Lien Delayed Draw Term Loan, LIBOR+6.25% cash due 12/18/20257.25 %2,667 2,542 2,615 (6)(15)
15,092 15,528 
Aden & Anais Merger Sub, Inc.Apparel, Accessories & Luxury Goods
51,645 Common Units in Aden & Anais Holdings, Inc.5,165 — (15)
5,165  
AI Ladder (Luxembourg) Subco S.a.r.l.Electrical Components & Equipment
First Lien Term Loan, LIBOR+4.50% cash due 7/9/20254.61 %14,620 14,159 14,656 (6)(11)
14,159 14,656 
AI Sirona (Luxembourg) Acquisition S.a.r.l.Pharmaceuticals
Second Lien Term Loan, EURIBOR+7.25% cash due 9/28/20267.25 %24,838 27,694 29,143 (6)(11)(15)
27,694 29,143 
AirStrip Technologies, Inc.Application Software
5,715 Common Stock Warrants (exercise price $139.99) expiration date 5/11/202590 — (15)
90  
All Web Leads, Inc.Advertising
First Lien Term Loan, LIBOR+6.50% cash due 12/29/20237.50 %24,416 21,432 22,944 (6)(15)
21,432 22,944 
Alvotech Holdings S.A.Biotechnology(13)
Fixed Rate Bond 15% PIK Note A due 12/13/202314,800 20,286 21,394 (11)(15)
Fixed Rate Bond 15% PIK Note B due 12/13/202314,800 20,286 20,802 (11)(15)
40,572 42,196 
Amplify Finco Pty Ltd.Movies & Entertainment
First Lien Term Loan, LIBOR+4.25% cash due 11/26/20265.00 %15,454 13,731 15,222 (6)(11)(15)
Second Lien Term Loan, LIBOR+8.00% cash due 11/26/20278.75 %12,500 12,188 10,562 (6)(11)(15)
25,919 25,784 
Ancile Solutions, Inc.Application Software
First Lien Term Loan, LIBOR+7.00% cash due 6/30/20218.00 %15,279 14,824 15,241 (6)(15)
14,824 15,241 
Ankura Consulting Group LLCResearch & Consulting Services
Second Lien Term Loan, LIBOR+8.00% cash due 3/17/20298.75 %7,466 7,354 7,503 (6)(15)
7,354 7,503 
Apptio, Inc.Application Software
First Lien Term Loan, LIBOR+7.25% cash due 1/10/20258.25 %34,458 33,262 33,842 (6)(15)
First Lien Revolver, LIBOR+7.25% cash due 1/10/20258.25 %892 843 852 (6)(15)(19)
34,105 34,694 
8

Oaktree Specialty Lending Corporation
Consolidated Schedule of Investments
March 31, 2021
(dollar amounts in thousands)
(unaudited)


Portfolio Company/Type of Investment (1)(2)(3)(4)(5) Cash Interest Rate (6)IndustryPrincipal (7)CostFair ValueNotes
Ardonagh Midco 3 PLCInsurance Brokers
First Lien Term Loan, EURIBOR+5.4375% cash 2.26875% PIK due 7/14/20266.44 %1,942 $2,155 $2,267 (6)(11)(15)
First Lien Term Loan, UK LIBOR+5.4375% cash 2.26875% PIK due 7/14/20266.19 %£15,243 18,918 20,988 (6)(11)(15)
First Lien Delayed Draw Term Loan, UK LIBOR+5.4375% cash 2.26875% PIK due 7/14/20266.19 %£2,133 2,802 2,934 (6)(11)(15)(19)
Fixed Rate Bond, 11.50% cash due 1/15/2027$1,182 1,171 1,271 (11)
25,046 27,460 
Associated Asphalt Partners, LLCConstruction Materials
First Lien Term Loan, LIBOR+5.25% cash due 4/5/20246.25 %2,539 2,194 2,377 (6)
2,194 2,377 
Athenex, Inc.Pharmaceuticals
First Lien Term Loan, 11.00% cash due 6/19/202642,145 40,297 41,723 (11)(15)
First Lien Delayed Draw Term Loan, 11.00% cash due 6/19/2026— (274)(211)(11)(15)(19)
328,149 Common Stock Warrants (exercise price $12.63) expiration date 6/19/2027973 302 (11)(15)
40,996 41,814 
Aurora Lux Finco S.À.R.L.Airport Services
First Lien Term Loan, LIBOR+6.00% cash due 12/24/20267.00 %22,770 22,304 21,510 (6)(11)(15)
22,304 21,510 
The AveryReal Estate Operating Companies
First Lien Delayed Draw Term Loan in T8 Urban Condo Owner, LLC, LIBOR+7.30% cash due 2/17/20237.55 %24,393 23,784 24,053 (6)(15)(19)
Subordinated Delayed Draw Debt in T8 Senior Mezz LLC, LIBOR+12.50% cash due 2/17/202312.75 %5,472 5,337 5,404 (6)(15)(19)
29,121 29,457 
Blackhawk Network Holdings, Inc.Data Processing & Outsourced Services
Second Lien Term Loan, LIBOR+7.00% cash due 6/15/20267.13 %30,625 30,134 30,523 (6)
30,134 30,523 
Blumenthal Temecula, LLCAutomotive Retail
First Lien Term Loan, 9.00% cash due 9/24/20233,979 3,979 3,979 (15)
298,460 Preferred Units in Unstoppable Automotive VMV, LLC298 298 (15)
1,293,324 Preferred Units in Unstoppable Automotive AMV, LLC1,293 1,293 (15)
298,460 Common Units in Unstoppable Automotive AMV, LLC298 298 (15)
99,486 Common Units in Unstoppable Automotive VMV, LLC99 99 (15)
5,967 5,967 
BX Commercial Mortgage Trust 2020-VIVADiversified Real Estate Activities
Class E Variable Notes due 3/9/20443.67 %1,785 1,384 1,686 (6)(11)(15)
1,384 1,686 
Cadence Aerospace, LLCAerospace & Defense
First Lien Term Loan, LIBOR+3.25% cash 5.25% PIK due 11/14/20234.25 %13,954 11,976 12,815 (6)(15)
11,976 12,815 
Carrols Restaurant Group, Inc.Restaurants
First Lien Term Loan, LIBOR+6.25% cash due 4/30/20267.25 %3,559 3,324 3,564 (6)
3,324 3,564 
Chief Power Finance II, LLCIndependent Power Producers & Energy Traders
First Lien Term Loan, LIBOR+6.50% cash due 12/31/20227.50 %24,513 23,948 24,050 (6)(15)
23,948 24,050 
9

Oaktree Specialty Lending Corporation
Consolidated Schedule of Investments
March 31, 2021
(dollar amounts in thousands)
(unaudited)


Portfolio Company/Type of Investment (1)(2)(3)(4)(5) Cash Interest Rate (6)IndustryPrincipal (7)CostFair ValueNotes
CircusTrix Holdings, LLCLeisure Facilities
First Lien Term Loan, LIBOR+5.50% cash 2.50% PIK due 7/16/20236.50 %$10,316 $7,295 $7,634 (6)(15)
7,295 7,634 
CITGO Holding, Inc.Oil & Gas Refining & Marketing
First Lien Term Loan, LIBOR+7.00% cash due 8/1/20238.00 %11,694 11,544 11,279 (6)
Fixed Rate Bond, 9.25% cash due 8/1/202410,672 10,672 10,612 
22,216 21,891 
CITGO Petroleum Corp.Oil & Gas Refining & Marketing
First Lien Term Loan, LIBOR+6.25% cash due 3/28/20247.25 %14,294 13,870 14,342 (6)
13,870 14,342 
Continental Intermodal Group LPOil & Gas Storage & Transportation
First Lien Term Loan, LIBOR+9.50% PIK due 1/28/202536,864 34,324 30,044 (6)(15)
Common Stock Warrants expiration date 7/28/2025648 1,917 (15)
34,972 31,961 
Convergeone Holdings, Inc.IT Consulting & Other Services
First Lien Term Loan, LIBOR+5.00% cash due 1/4/20265.11 %9,560 9,292 9,260 (6)
9,292 9,260 
Conviva Inc.Application Software
517,851 Shares of Series D Preferred Stock605 894 (15)
605 894 
Corrona, LLCHealth Care Services
First Lien Term Loan, LIBOR+5.50% cash due 12/13/20256.50 %10,248 10,107 10,153 (6)(15)
First Lien Delayed Draw Term Loan, LIBOR+5.50% cash due 12/13/20256.50 %1,218 1,175 1,184 (6)(15)(19)
First Lien Revolver, PRIME+4.50% cash due 12/13/20257.75 %305 280 288 (6)(15)(19)
1,099 Class A2 Common Units in Corrona Group Holdings, L.P.1,038 1,177 (15)
12,600 12,802 
Coty Inc.Personal Products
First Lien Revolver, LIBOR+1.75% cash due 4/5/2023— (712)(939)(6)(11)(15)(19)
(712)(939)
Coyote Buyer, LLCSpecialty Chemicals
First Lien Term Loan, LIBOR+6.00% cash due 2/6/20267.00 %18,480 17,935 18,295 (6)(15)
First Lien Revolver, LIBOR+6.00% cash due 2/6/2025— (13)(13)(6)(15)(19)
17,922 18,282 
CTOS, LLCTrading Companies & Distributors
First Lien Term Loan, LIBOR+4.25% cash due 4/18/20254.36 %8,101 7,561 8,101 (6)
7,561 8,101 
Curium Bidco S.à.r.l.Biotechnology
Second Lien Term Loan, LIBOR+7.75% cash due 10/27/20288.50 %16,787 16,535 17,165 (6)(11)(15)
16,535 17,165 
Dealer Tire, LLCDistributors
First Lien Term Loan, LIBOR+4.25% cash due 12/12/20254.36 %8,807 8,242 8,833 (6)
8,242 8,833 
10

Oaktree Specialty Lending Corporation
Consolidated Schedule of Investments
March 31, 2021
(dollar amounts in thousands)
(unaudited)


Portfolio Company/Type of Investment (1)(2)(3)(4)(5) Cash Interest Rate (6)IndustryPrincipal (7)CostFair ValueNotes
Delta Topco, Inc.Systems Software
Second Lien Term Loan, LIBOR+7.25% cash due 12/1/20288.00 %$6,680 $6,647 $6,847 (6)
6,647 6,847 
Digital.AI Software Holdings, Inc.Application Software
First Lien Term Loan, LIBOR+7.00% cash due 2/10/20278.00 %10,053 9,640 9,751 (6)(15)
First Lien Revolver, LIBOR+7.00% cash due 2/10/2027(31)(32)(6)(15)(19)
9,609 9,719 
Eagleview Technology CorporationApplication Software
Second Lien Term Loan, LIBOR+7.50% cash due 8/14/20268.50 %8,974 8,884 8,884 (6)(15)
8,884 8,884 
EHR Canada, LLCFood Retail
First Lien Term Loan, LIBOR+8.00% cash due 4/30/20219.00 %6,861 6,857 6,841 (6)(15)
6,857 6,841 
EOS Fitness Opco Holdings, LLCLeisure Facilities
487.5 Class A Preferred Units, 12%488 274 (15)
12,500 Class B Common Units— — (15)
488 274 
FFI Holdings I CorpIndustrial Machinery
First Lien Term Loan, PRIME+5.25% cash due 1/24/20258.50 %5,050 4,603 5,050 (6)(15)
First Lien Delayed Draw Term Loan, LIBOR+6.25% cash due 1/24/20257.25 %3,030 2,993 3,030 (6)(15)(19)
7,596 8,080 
Firstlight Holdco, Inc.Alternative Carriers
First Lien Term Loan, LIBOR+3.50% cash due 7/23/20253.61 %7,048 6,554 7,011 (6)
6,554 7,011 
Fortress Biotech, Inc.Biotechnology
First Lien Term Loan, 11.00% cash due 8/27/202511,359 10,640 11,075 (11)(15)
331,200 Common Stock Warrants (exercise price $3.20) expiration date 8/27/2030405 434 (11)(15)
11,045 11,509 
GI Chill Acquisition LLCManaged Health Care
First Lien Term Loan, LIBOR+4.00% cash due 8/6/20254.20 %16,764 16,511 16,775 (6)(15)
Second Lien Term Loan, LIBOR+7.50% cash due 8/6/20267.70 %6,250 6,208 6,109 (6)(15)
22,719 22,884 
GKD Index Partners, LLCSpecialized Finance
First Lien Term Loan, LIBOR+7.00% cash due 6/29/20238.00 %26,976 26,286 26,574 (6)(15)
First Lien Revolver, LIBOR+7.00% cash due 6/29/20238.00 %1,280 1,243 1,255 (6)(15)(19)
27,529 27,829 
Global Medical ResponseHealth Care Services
First Lien Term Loan, LIBOR+4.25% cash due 3/14/20255.25 %8,675 8,409 8,635 (6)
8,409 8,635 
Gulf Operating, LLCOil & Gas Storage & Transportation
First Lien Term Loan, LIBOR+5.25% cash due 8/25/20236.25 %2,846 1,926 2,369 (6)
First Lien Revolver, LIBOR+4.00% cash due 12/27/2021— (704)(503)(6)(15)(19)
1,222 1,866 
Houghton Mifflin Harcourt Publishers Inc.Education Services
First Lien Term Loan, LIBOR+6.25% cash due 11/22/20247.25 %6,563 6,366 6,560 (6)(11)
6,366 6,560 
I Drive Safely, LLCEducation Services
125,079 Class A Common Units of IDS Investments, LLC1,000 225 (15)
1,000 225 
IBG Borrower LLCApparel, Accessories & Luxury Goods
First Lien Term Loan, LIBOR+7.00% cash due 8/2/20227.25 %6,471 6,218 5,630 (6)(15)
6,218 5,630 
11

Oaktree Specialty Lending Corporation
Consolidated Schedule of Investments
March 31, 2021
(dollar amounts in thousands)
(unaudited)


Portfolio Company/Type of Investment (1)(2)(3)(4)(5) Cash Interest Rate (6)IndustryPrincipal (7)CostFair ValueNotes
iCIMs, Inc.Application Software
First Lien Term Loan, LIBOR+6.50% cash due 9/12/20247.50 %$25,635 $24,920 $25,458 (6)(15)
First Lien Revolver, LIBOR+6.50% cash due 9/12/20247.50 %1,176 1,142 1,168 (6)(15)
26,062 26,626 
Immucor, Inc.Health Care Supplies
First Lien Term Loan, LIBOR+5.75% cash due 7/2/20256.75 %8,701 8,436 8,688 (6)(15)
First Lien Revolver, LIBOR+5.75% cash due 7/2/2025— (9)(1)(6)(15)(19)
Second Lien Term Loan, LIBOR+8.00% cash 3.50% PIK due 10/2/20259.00 %21,450 20,765 21,241 (6)(15)
29,192 29,928 
Integral Development CorporationOther Diversified Financial Services
1,078,284 Common Stock Warrants (exercise price $0.9274) expiration date 7/10/2024113 — (15)
113  
Inventus Power, Inc.Electrical Components & Equipment
First Lien Term Loan, LIBOR+5.00% cash due 3/29/20246.00 %18,944 18,756 18,755 (6)(15)
Second Lien Term Loan, LIBOR+8.50% cash due 9/29/20249.50 %11,366 11,139 11,139 (6)(15)
29,895 29,894 
Ivanti Software, Inc.Application Software
Second Lien Term Loan, LIBOR+8.50% cash due 12/1/20289.50 %17,346 16,830 17,476 (6)(15)
16,830 17,476 
Jazz Acquisition, Inc.Aerospace & Defense
First Lien Term Loan, LIBOR+7.50% cash due 1/29/20278.50 %22,928 21,688 22,034 (6)(15)
First Lien Delayed Draw Term Loan, LIBOR+7.50% cash due 1/29/2027— — — (6)(15)(19)
21,688 22,034 
Keypath Education Holdings, LLCAdvertising
9,073 shares of Common Stock in AdVenture Interactive, Corp.13,611 17,198 (15)
3,042.55 Preferred Units in AVI Holdings, LP— 1,000 (15)
13,611 18,198 
Lanai Holdings III, Inc.Health Care Distributors
First Lien Term Loan, LIBOR+4.75% cash due 8/29/20225.75 %12,880 12,778 12,829 (6)
12,778 12,829 
Latam Airlines Group S.A.Airlines
First Lien Delayed Draw Term Loan, LIBOR+11.00% PIK due 3/29/202211,455 11,157 11,580 (6)(11)(15)(19)
11,157 11,580 
Lift Brands Holdings, Inc.Leisure Facilities
2,000,000 Class A Common Units in Snap Investments, LLC1,399 — (15)
1,399  
Lightbox Intermediate, L.P.Real Estate Services
First Lien Term Loan, LIBOR+5.00% cash due 5/9/20265.20 %41,644 40,543 41,228 (6)(15)
40,543 41,228 
LogMeIn, Inc.Application Software
First Lien Term Loan, LIBOR+4.75% cash due 8/31/20274.85 %3,990 3,718 3,984 (6)
3,718 3,984 
LTI Holdings, Inc.Electronic Components
Second Lien Term Loan, LIBOR+6.75% cash due 9/6/20266.86 %10,140 10,074 10,102 (6)
10,074 10,102 
Maravai Intermediate Holdings, LLCBiotechnology
First Lien Term Loan, LIBOR+4.25% cash due 10/19/20275.25 %2,743 2,567 2,760 (6)
2,567 2,760 
12

Oaktree Specialty Lending Corporation
Consolidated Schedule of Investments
March 31, 2021
(dollar amounts in thousands)
(unaudited)


Portfolio Company/Type of Investment (1)(2)(3)(4)(5) Cash Interest Rate (6)IndustryPrincipal (7)CostFair ValueNotes
Mayfield Agency Borrower Inc.Property & Casualty Insurance
First Lien Term Loan, LIBOR+4.50% cash due 2/28/20254.61 %$28,675 $27,989 $28,359 (6)
27,989 28,359 
MedAssets Software Intermediate Holdings, Inc.Health Care Technology
Second Lien Term Loan, LIBOR+7.75% cash due 1/29/20298.50 %14,137 13,859 13,854 (6)(15)
13,859 13,854 
MHE Intermediate Holdings, LLCDiversified Support Services
First Lien Term Loan, LIBOR+5.00% cash due 3/8/20246.00 %16,569 15,308 16,140 (6)(15)
First Lien Revolver, LIBOR+5.00% cash due 3/10/2023— (126)(136)(6)(15)(19)
15,182 16,004 
Mindbody, Inc.Internet Services & Infrastructure
First Lien Term Loan, LIBOR+7.00% cash 1.50% PIK due 2/14/20258.00 %38,479 37,030 36,478 (6)(15)
First Lien Revolver, LIBOR+8.00% cash due 2/14/2025— (88)(208)(6)(15)(19)
36,942 36,270 
Ministry Brands, LLCApplication Software
First Lien Revolver, LIBOR+5.00% cash due 12/2/2022— (8)(9)(6)(15)(19)
Second Lien Term Loan, LIBOR+9.25% cash due 6/2/202310.25 %11,000 10,798 10,906 (6)(15)
10,790 10,897 
MRI Software LLCApplication Software
First Lien Term Loan, LIBOR+5.50% cash due 2/10/20266.50 %23,685 23,097 23,685 (6)(15)
First Lien Delayed Draw Term Loan, LIBOR+5.50% cash due 2/10/2026— (50)— (6)(15)(19)
First Lien Revolver, LIBOR+5.50% cash due 2/10/20266.50 %90 77 90 (6)(15)(19)
23,124 23,775 
Navisite, LLCData Processing & Outsourced Services
Second Lien Term Loan, LIBOR+8.50% cash due 12/30/20269.50 %22,560 22,128 22,176 (6)(15)
22,128 22,176 
NeuAG, LLCFertilizers & Agricultural Chemicals
First Lien Term Loan, LIBOR+5.50% cash 7.00% PIK due 9/11/20247.00 %45,401 43,351 43,948 (6)(15)
First Lien Delayed Draw Term Loan, LIBOR+5.50% cash 7.00% PIK due 9/11/2024— (206)(174)(6)(15)(19)
43,145 43,774 
NN, Inc.Industrial Machinery
First Lien Term Loan, LIBOR+6.88% cash due 9/19/20267.88 %59,607 58,126 58,117 (6)(11)(15)
58,126 58,117 
OEConnection LLCApplication Software
First Lien Term Loan, LIBOR+4.00% cash due 9/25/20264.11 %8,351 7,790 8,335 (6)
First Lien Delayed Draw Term Loan, LIBOR+4.00% cash due 9/25/2026— — — (6)(19)
7,790 8,335 
Olaplex, Inc.Personal Products
First Lien Term Loan, LIBOR+6.50% cash due 1/8/20267.50 %52,799 51,431 52,799 (6)(15)
First Lien Revolver, LIBOR+6.50% cash due 1/8/2025— (65)(39)(6)(15)(19)
51,366 52,760 
OmniSYS Acquisition CorporationDiversified Support Services
100,000 Common Units in OSYS Holdings, LLC1,000 607 (15)
1,000 607 
13

Oaktree Specialty Lending Corporation
Consolidated Schedule of Investments
March 31, 2021
(dollar amounts in thousands)
(unaudited)


Portfolio Company/Type of Investment (1)(2)(3)(4)(5) Cash Interest Rate (6)IndustryPrincipal (7)CostFair ValueNotes
Onvoy, LLCIntegrated Telecommunication Services
First Lien Term Loan, LIBOR+4.50% cash due 2/10/20245.50 %$3,801 $3,556 $3,804 (6)
Second Lien Term Loan, LIBOR+10.50% cash due 2/10/202511.50 %16,750 16,750 16,721 (6)(15)
19,666.67 Class A Units in GTCR Onvoy Holdings, LLC1,967 1,606 (15)
13,664.73 Series 3 Class B Units in GTCR Onvoy Holdings, LLC— — (15)
22,273 22,131 
P & L Development, LLCPharmaceuticals
Fixed Rate Bond, 7.75% cash due 11/15/20259,123 9,123 9,784 
9,123 9,784 
Park Place Technologies, LLCInternet Services & Infrastructure
First Lien Term Loan, LIBOR+5.00% cash due 11/10/20276.00 %10,000 9,488 10,000 (6)
9,488 10,000 
PaySimple, Inc.Data Processing & Outsourced Services
First Lien Term Loan, LIBOR+5.50% cash due 8/23/20255.61 %51,661 50,351 51,532 (6)(15)
50,351 51,532 
Pingora MSR Opportunity Fund I-A, LPThrifts & Mortgage Finance
1.86% limited partnership interest752 121 (11)(16)(19)
752 121 
Planview Parent, Inc.Application Software
Second Lien Term Loan, LIBOR+7.25% cash due 12/18/20288.00 %28,627 28,198 28,663 (6)(15)
28,198 28,663 
PLNTF Holdings, LLCLeisure Facilities
First Lien Term Loan, LIBOR+8.00% cash due 3/12/20269.00 %13,798 13,522 13,729 (6)(15)
13,522 13,729 
PRGX Global, Inc.Data Processing & Outsourced Services
First Lien Term Loan, LIBOR+6.75% cash due 3/3/20267.75 %34,289 33,056 33,604 (6)(15)
First Lien Revolver, LIBOR+6.75% cash due 3/3/2026— (48)(50)(6)(15)(19)
80,515 Class B Common Units79 81 (15)
33,087 33,635 
ProFrac Services, LLCIndustrial Machinery
First Lien Term Loan, LIBOR+8.50% cash due 9/15/20239.75 %22,615 20,462 17,847 (6)(15)
20,462 17,847 
Project Boost Purchaser, LLCApplication Software
Second Lien Term Loan, LIBOR+8.00% cash due 5/31/20278.11 %5,250 5,142 5,224 (6)(15)
5,142 5,224 
Pug LLCInternet & Direct Marketing Retail
First Lien Term Loan, LIBOR+8.00% cash due 2/12/20278.75 %21,337 20,226 22,030 (6)
20,226 22,030 
Quantum Bidco LimitedFood Distributors
First Lien Term Loan, UK LIBOR+6.00% cash due 1/29/20286.04 %£3,501 4,613 4,728 (6)(11)
4,613 4,728 
QuorumLabs, Inc.Application Software
64,887,669 Junior-2 Preferred Stock375 — (15)
375  
14

Oaktree Specialty Lending Corporation
Consolidated Schedule of Investments
March 31, 2021
(dollar amounts in thousands)
(unaudited)


Portfolio Company/Type of Investment (1)(2)(3)(4)(5) Cash Interest Rate (6)IndustryPrincipal (7)CostFair ValueNotes
Refac Optical GroupSpecialty Stores
1,550.9435 Shares of Common Stock in Refac Holdings, Inc.$$— (15)
550.9435 Series A-2 Preferred Stock in Refac Holdings, Inc., 10%305 — (15)
1,000 Series A-1 Preferred Stock in Refac Holdings, Inc., 10%999 — (15)
1,305  
Renaissance Holding Corp.Diversified Banks
Second Lien Term Loan, LIBOR+7.00% cash due 5/29/20267.11 %$3,542 3,515 3,543 (6)
3,515 3,543 
RevSpring, Inc.Commercial Printing
First Lien Term Loan, LIBOR+4.25% cash due 10/11/20254.36 %9,775 9,165 9,755 (6)(15)
9,165 9,755 
RS Ivy Holdco, Inc.Oil & Gas Exploration & Production
First Lien Term Loan, LIBOR+5.50% cash due 12/23/20276.50 %2,494 2,335 2,503 (6)(15)
2,335 2,503 
Sabert CorporationMetal & Glass Containers
First Lien Term Loan, LIBOR+4.50% cash due 12/10/20265.50 %1,828 1,709 1,833 (6)
1,709 1,833 
Salient CRGT, Inc.Aerospace & Defense
First Lien Term Loan, LIBOR+6.50% cash due 2/28/20227.50 %8,318 7,892 8,211 (6)(15)
7,892 8,211 
Scilex Pharmaceuticals Inc.Pharmaceuticals
Fixed Rate Zero Coupon Bond due 8/15/20269,329 7,560 8,014 (15)
7,560 8,014 
ShareThis, Inc.Application Software
345,452 Series C Preferred Stock Warrants (exercise price $3.0395) expiration date 3/4/2024367 — (15)
367  
Signify Health, LLCHealth Care Services
First Lien Term Loan, LIBOR+4.50% cash due 12/23/20245.50 %10,670 9,994 10,711 (6)
9,994 10,711 
Sirva Worldwide, Inc.Diversified Support Services
First Lien Term Loan, LIBOR+5.50% cash due 8/4/20255.61 %7,550 6,642 6,984 (6)
6,642 6,984 
Sorrento Therapeutics, Inc.Biotechnology
125,000 Common Stock Units315 662 (11)
315 662 
Star US Bidco LLCIndustrial Machinery
First Lien Term Loan, LIBOR+4.25% cash due 3/17/20275.25 %5,798 5,370 5,759 (6)
5,370 5,759 
SumUp Holdings Luxembourg S.À.R.L.Other Diversified Financial Services
First Lien Delayed Draw Term Loan, EURIBOR+8.50% cash due 3/10/202610.00 %12,401 14,121 14,228 (6)(11)(15)(19)
14,121 14,228 
Sunland Asphalt & Construction, LLCConstruction & Engineering
First Lien Term Loan, LIBOR+6.00% cash due 1/13/20267.00 %$32,381 31,314 31,766 (6)(15)
First Lien Delayed Draw Term Loan, LIBOR+6.00% cash due 1/13/20267.00 %10,888 10,529 10,681 (6)(15)
First Lien Revolver, LIBOR+6.00% cash due 1/13/20227.00 %2,962 2,815 2,842 (6)(15)(19)
44,658 45,289 
15

Oaktree Specialty Lending Corporation
Consolidated Schedule of Investments
March 31, 2021
(dollar amounts in thousands)
(unaudited)