Recent Updates — OFSSH
OFS Capital declared a fourth quarter 2026 distribution of $0.17 per common share, payable January 7, 2027 to stockholders of record as of December 18, 2026. For the quarter ended September 30, 2026, the company reported a net loss of $0.91 per share, driven by a net loss on investments of $0.89 per share and net investment income of only $0.05 per share. Net asset value declined to $7.38 from $8.41 at June 30, 2026. The company also disclosed that its wholly owned subsidiary SBIC I LP admitted a third-party investor for $52.3 million and is facing litigation from Pfanstiehl Holdings challenging the transaction. OFS Capital operates as a business development company investing in middle-market companies.
On October 5, 2026, OFS Capital Corporation's wholly owned subsidiary, OFS SBIC I LP, admitted a third-party investor as a limited partner, selling a 56.62% interest in the partnership for $52,279,500. The proceeds were distributed to OFS Capital and will be used to fund investments in debt and equity securities for general corporate purposes. OFS SBIC I GP remains the general partner with full control of the subsidiary. The transaction involves SBIC I LP's holdings, which include 400 Class A shares of Pfanstiehl Holdings, Inc., representing approximately 84% of net assets as of June 30, 2026. OFS Capital Corporation is a business development company that invests in middle-market companies.
OFS Capital Corporation announced on August 28, 2026, that it will redeem $20 million of its outstanding $69 million in aggregate principal amount of 7.50% Notes due 2028. The redemption is scheduled for September 29, 2026, at a price equal to 100% of the principal amount plus accrued and unpaid interest up to but excluding the redemption date. This partial redemption reduces the company's debt obligations under its indenture with U.S. Bank Trust Company. OFS Capital Corporation operates as a business development company that provides financing solutions primarily to middle-market companies.
OFS Capital Corporation's Board of Directors approved the adjournment of its Special Meeting of Stockholders without setting a date for reconvening, effectively terminating the meeting. The proposal to authorize the issuance of common stock below net asset value per share was not voted on due to repeated failures to obtain a quorum at meetings held on June 10, July 1, and July 22, 2026. Consequently, no business was conducted and proxy solicitation ceased. OFS Capital Corporation operates as a business development company that provides debt financing and equity investments to middle-market companies.
OFS Capital Corporation reported second quarter 2026 financial results and declared a third quarter distribution of $0.17 per common share, payable October 5, 2026 to stockholders of record as of September 18, 2026. Net investment income decreased to $0.08 per share from $0.18 in the prior quarter, while net gain on investments was $0.34 per share. Net asset value increased to $8.41 from $8.16 as of March 31, 2026. Total outstanding debt decreased to $185.8 million from $202.5 million due to net paydowns on revolving credit facilities. The company operates in the business development and private equity investment industry.
OFS Capital Corporation held its 2026 Annual Meeting of Stockholders on June 10, 2026, where stockholders' votes elected Romita Shetty and Bilal Rashid to Class II Directors until the 2029 annual meeting. The meeting also ratified the appointment of KPMG LLP as the company's independent registered public accounting firm for the fiscal year ending December 31, 2026. OFS Capital Corporation is a business development company that provides debt and equity financing to middle-market companies.