Jan. 7 at 6:40 PM
Blue Owl Capital significantly raised the redemption limit for investors in one of its private credit funds amid a surge in withdrawal requests. The alternative asset manager now allows investors in Blue Owl Technology Income Corp., a non-traded BDC, to redeem up to 17% of net assets, or about
$685 million, up from the prior quarterly limit of 5%, according to Bloomberg.
The firm also extended the redemption deadline from December 31 to January 8. Co-founder Craig Packer said the decision was driven by the firm’s liquidity position, noting that Blue Owl has about
$2.4 billion in available liquidity and chose to prioritize investor access rather than prorating redemptions.
The move underscores growing stress in the private credit sector, which has faced investment losses, softer return expectations, and increased regulatory scrutiny.
$OWL