BCRED filled 49.9% of exit requests. OTIC, 12.8%.
# Same 5% cap, very different exits
Most non-traded BDCs, REITs and interval funds buy back about 5% of their shares a quarter. When holders ask for more, everyone gets the same fraction. Seven big private credit funds just filed their third-quarter results:
- Blue Owl Technology Income (OTIC): 12.8% of each request
- Blue Owl Credit Income (OCIC): 29.8%
- Apollo Debt Solutions (ADS): 33.9%
- HPS Corporate Lending (HLEND): 43.7%
- Blackstone Private Credit (BCRED): 49.9%
- Fidelity and Goldman Sachs: 100%
The rule for any fund with a cap: your fill is the cap divided by what everyone asked for. BCRED holders asked for about 10% of shares: 5 ÷ 10 is 50%, and they got 49.9%. OTIC's asked for 39%: 5 ÷ 39 is 12.8%. For all five that rationed, it matched within 0.2 points (our arithmetic).
And you can know it in days, not months. Each fund put the request size in a short letter 2 to 8 days after its deadline (BCRED: Sept 3). The final filing came 26 to 63 days after (BCRED: Nov 2).
Next deadlines
Nov 23: Greenbacker vote. Nov 30: BREIT monthly repurchase; Fidelity Private Credit and Monroe Capital tenders. Dec 1: BCRED tender. Dec 3: Hamilton Lane, Forum. Broker cut-offs can be earlier.
Watchlist
- KBS REIT III: its $317.4 million Accenture Tower loan now matures Dec 17, 2026; the 8-K says its plans "do not alleviate substantial doubt" about going concern (0001482430-26-000044).
- Ares Strategic Income: third-quarter net investment income covered 90.5% of distributions (our arithmetic) (0001628280-26-071717).
If you're still researching: before you buy any fund that offers to buy back "up to 5% a quarter," look up its last two results. On SEC EDGAR, search the fund's name and open the filings called SC TO-I/A (BDCs and tender funds) or its semiannual report (interval funds). This quarter, five of the seven funds above paid less than half of each request. The cap is a ceiling, not a promise.
If you hold one of these and a filing just landed, we can read it line by line against the one before it for you.
Reply: did a fund cut your exit request this year, and what were you told? I read every reply.
— Jorge