Investment Portfolio and Strategy - As of September 30, 2024, Blue Owl Capital Corporation III had originated $128.73 billion in aggregate principal amount of investments, with $124.90 billion retained by the company or its affiliates [250]. - The average debt investment size in portfolio companies was approximately $22.6 million based on fair value, with portfolio companies representing 92.3% of the total debt portfolio [252]. - Portfolio companies had a weighted average annual revenue of $959 million and a weighted average annual EBITDA of $217 million, with an average interest coverage of 1.7x and a net loan-to-value of 38.9% [252]. - The investment strategy focuses on generating current income primarily through direct origination of loans to U.S. middle-market companies, targeting those with EBITDA between $10 million and $250 million [250]. - The company expects to maintain a majority of its portfolio in debt or income-producing securities, with a lesser allocation to equity investments [250]. - Investments are primarily in senior secured loans, subordinated loans, and mezzanine loans, with a focus on high-quality private equity and venture capital firms [250]. - The company believes that the lack of traditional financing options for middle-market companies presents an attractive investment opportunity [261]. - The company continues to focus on recession-resistant industries, particularly in service-oriented sectors like software and healthcare [265]. Financial Performance - Investment income for the three months ended September 30, 2024, increased by $21.8 million to $129.0 million, primarily due to a rise in interest income from the debt investment portfolio, which grew from $3.28 billion to $3.95 billion [290]. - Investment income increased by $54.4 million to $365.7 million for the nine months ended September 30, 2024, from $311.3 million for the same period in the prior year, primarily due to an increase in interest income from the debt investment portfolio, which grew from $3.28 billion to $3.95 billion [291]. - The net investment income after taxes for the nine months ended September 30, 2024, was $149.1 million, compared to $200.3 million for the same period in 2023, reflecting a decrease of approximately 25.5% [287]. - Total expenses increased by $107.2 million to $216.6 million for the nine months ended September 30, 2024, from $109.4 million for the same period in the prior year, driven by increases in management fees, incentive fees, interest expense, and other expenses [295]. - Interest expense rose to $127.0 million for the nine months ended September 30, 2024, compared to $89.4 million for the same period in the prior year, attributed to an increase in average daily borrowings to $2.26 billion from $1.71 billion [295]. Market Conditions and Opportunities - Approximately 200,000 U.S. middle-market companies, employing around 48 million people, represent a significant market opportunity for the company [261]. - The U.S. middle-market accounts for one-third of private sector GDP, indicating a substantial demand for debt capital among these companies [261]. - The estimated amount of uninvested capital held by private equity firms is $2.7 trillion as of December 31, 2023, which is expected to drive deal activity [263]. - The company expects to benefit from a prolonged higher interest rate environment due to its portfolio primarily consisting of floating rate loans [255]. - Historical middle-market default rates have been lower, and recovery rates have been higher compared to larger market capitalizations, leading to lower cumulative losses [263]. - The company anticipates that its earnings will benefit from the favorable pricing dynamics created by the imbalance between supply and demand for middle-market debt capital [263]. Debt and Leverage - The current target leverage ratio is 0.90x-1.25x debt-to-equity, with net leverage reported at 1.21x debt-to-equity as of September 30, 2024 [260]. - As of September 30, 2024, total debt amounted to $2,444.2 million, with outstanding principal at $2,467.6 million [322]. - The company has a revolving credit facility with an aggregate principal committed of $600 million, with outstanding principal of $295.58 million as of September 30, 2024 [322]. - The average interest rate for the nine months ended September 30, 2024, was 7.1%, with total interest expense of $126.975 million [326]. Mergers and Acquisitions - The company is in the process of merging with Blue Owl Capital Corporation, with the Initial Merger expected to result in the company becoming a wholly-owned subsidiary of OBDC [249]. - The company entered into a merger agreement on August 7, 2024, with Blue Owl Capital Corporation, indicating a strategic move for expansion [371]. Shareholder Returns and Dividends - The company declared a distribution of $0.35 per share on August 6, 2024, and a special dividend of $0.06 per share on January 12, 2024, with additional special dividends planned for future dates [313]. - The company declared a regular dividend of $0.35 per share for Q3 2024, payable on or before January 15, 2025, to shareholders of record as of December 31, 2024 [385]. - The company has adopted an "opt out" dividend reinvestment plan, allowing shareholders to automatically reinvest dividends in additional shares unless they choose to opt out [315]. Risk Management - The company is subject to financial market risks, including interest rate risk, with potential impacts on net investment income due to changes in interest rates [386]. - The company may utilize hedging techniques to minimize currency risk associated with foreign investments and borrowings [391]. - The company does not currently use derivatives and qualifies as a limited derivatives user, adhering to the requirements of Rule 18f-4 [378]. Compliance and Regulatory - The company is regulated as a Business Development Company (BDC) and must comply with various statutory and regulatory requirements, including investing at least 70% of assets in qualifying assets [247]. - To qualify as a RIC, the company must distribute at least 90% of its investment company taxable income annually [383]. - The company may incur a nondeductible 4% U.S. federal excise tax if it does not distribute at least 98% of its net ordinary income for the calendar year [383]. Valuation and Financial Position - The valuation process for investments includes input from independent third-party valuation firms, ensuring compliance with ASC 820 [375]. - The company has adequate financial resources to satisfy unfunded portfolio company commitments within the 150% asset coverage limitation as of September 30, 2024 [366]. - As of September 30, 2024, the asset coverage ratio was 176%, indicating a strong position relative to total indebtedness [309].

NEW YORK, Oct. 2, 2024 /PRNewswire/ -- Blue Owl Capital Corporation III (NYSE: OBDE) ("OBDE") today announced it will release its financial results for the third quarter ended September 30, 2024 on Wednesday, November 6, 2024 after market close. OBDE invites all interested persons to its webcast / conference call on Thursday, November 7, 2024 at 11:00 a.m. Eastern Time to discuss its third quarter ended September 30, 2024 financial results. Conference Call Information: The conference call will be broadcast ...

Core Insights - Blue Owl Capital Corporation III (OBDE) reported strong financial results for Q2 2024, with net investment income (NII) per share of $0.41, exceeding the regular dividend of $0.35 per share by over 15% [2] - The company declared a third quarter 2024 dividend of $0.35 per share and a series of five special dividends of $0.06 per share, with the second special dividend payable on or before September 13, 2024 [2][3] - OBDE entered into a definitive merger agreement with Blue Owl Capital Corporation (OBDC), with OBDC as the surviving entity, pending shareholder approvals [2][3] Financial Performance - Investment income increased to $123.2 million for Q2 2024, up from $106.2 million in the same period last year, primarily due to higher interest income from an expanded debt investment portfolio [5][13] - Total expenses rose to $72.5 million in Q2 2024 from $36.3 million in the prior year, driven by increased management fees, incentive fees, and interest expenses [6][13] - The company reported a net investment income of $50.4 million for Q2 2024, compared to $69.7 million in Q2 2023 [13] Investment Activity - New investment commitments totaled $1.0 billion across 31 new portfolio companies and 24 existing portfolio companies in Q2 2024, compared to $736.4 million in Q1 2024 [3][14] - The principal amount of new investments funded was $765.7 million, with $338.3 million in sales and repayments during the same period [3][14] - As of June 30, 2024, the company had investments in 207 portfolio companies with an aggregate fair value of $4.3 billion [10][11] Portfolio Composition - The portfolio consisted of 85.0% first lien senior secured debt investments, 5.4% second lien senior secured debt investments, 1.5% unsecured debt investments, 3.6% preferred equity investments, and 4.5% common equity investments as of June 30, 2024 [3][10] - Approximately 90.4% of the portfolio was invested in secured debt, with 97.5% of debt investments at floating rates [3][10] Capital Structure - As of June 30, 2024, the company had $120.3 million in cash, $2.5 billion in total principal value of debt outstanding, and a net debt-to-equity ratio of 1.22x [6][11] - The weighted average interest rate on debt outstanding was 7.1% for Q2 2024 [6][11]

Exhibit 99.1 Blue Owl Capital Corporation III Reports Second Quarter Net Investment Income Per Share of $0.41 and Net Asset Value Per Share of $15.56 NEW YORK — August 7, 2024 — Blue Owl Capital Corporation III (NYSE: OBDE, or the "Company") today announced financial results for its second quarter ended June 30, 2024. SECOND QUARTER 2024 HIGHLIGHTS • Second quarter net investment income ("NII") per share of $0.41, which exceeds the second quarter regular dividend of $0.35 per share by over 15% • As previous ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ______________________________________________ FORM 10-Q x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarter ended June 30, 2024 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number 000-56173 ______________________________________________ BLUE OWL CAPITAL CORPORATION III (Exact name of Registrant as specified in its Char ...

| --- | --- | |-----------------------------------------------------|-------| | March 31, 2024 | | | Blue Owl | | | Capital Corporation Quarterly Earnings Presentation | | Review of Q1 2024 • Net asset value per share of $15.47, up from $15.45 as of 12/31/2023 and our third consecutive quarter of record NAV • Net investment income per share of $0.47, down from $0.51 as of 12/31/2023 • Net income per share of $0.47, down from $0.48 as of 12/31/2023 • Annualized ROE on both net investment income and net incom ...

Exhibit 99.1 Blue Owl Capital Corporation III Reports First Quarter Net Investment Income Per Share of $0.39 and NAV Per Share of $15.65 NEW YORK — May 8, 2024 — Blue Owl Capital Corporation III (NYSE: OBDE, or the "Company") today announced financial results for its first quarter ended March 31, 2024. FIRST QUARTER 2024 HIGHLIGHTS "OBDE delivered strong performance in the first quarter, achieving record net asset value per share for the fifth consecutive quarter," commented Craig W. Packer, Chief Executive ...

Washington, D.C. 20549 ______________________________________________ UNITED STATES SECURITIES AND EXCHANGE COMMISSION FORM 10-Q x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarter ended March 31, 2024 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number 000-56173 ______________________________________________ BLUE OWL CAPITAL CORPORATION III (Exact name of Registrant as specified in its Cha ...

For the fiscal year ended December 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number 000-56173 ______________________________________________ FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ______________________________________________ BLUE OWL CAPITAL CORPORATION III (Exact name of Registrant as specified in its ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ______________________________________________ FORM 10-Q x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarter ended September 30, 2023 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number 000-56173 ______________________________________________ BLUE OWL CAPITAL CORPORATION III (Exact name of Registrant as specified in its ...