Blue Owl Stock Rises After Saba Capital And Cox Capital’s Tender Offers For BDC Shares

• Both the firms sent the notice to Blue Owl Capital Corporation II on February 17, 2026 of their intention to commence a tender offer to purchase a portion of outstanding shares of OBDC II in cash.
• The tender offers would provide a liquidity solution to retail investors in the wake of a significant industry-wide increase in BDC redemption requests.
• Blue Owl said on Thursday that it will permanently stop allowing redemptions from Blue Owl Capital Corp. II, a semi-liquid private credit fund marketed to U.S. retail investors.

Blue Owl Capital got a reprieve on Friday after Saba Capital and Cox Capital Partners announced cash tender offers for shares in business development companies (BDC) that are owned by Blue Owl. 

The two companies subsequently notified Blue Owl Technology Income Corp and Blue Owl Credit Income Corp of their intention to commence similar tender offers.

At the time of writing OWL stock was up 2.2% in extended hours of trading. 

Offer Details

The offer price is expected to be at a 20-35% discount to the most recent estimated net asset value and dividend reinvestment price. That will be determined when tender offers start after a 10-business day notice period for each BDC, Cox and Saba said.

Both the firms sent the notice to Blue Owl Capital Corporation II on February 17, 2026 of their intention to commence a tender offer to purchase a portion of outstanding shares of OBDC II in cash.

The tender offers would provide a liquidity solution to retail investors in the wake of a significant industry-wide increase in BDC redemption requests, multiple quarters of net outflows and a rise in redemption gate provisions.

Blue Owl’s Redemption Halt

Blue Owl said on Thursday that it will permanently stop allowing redemptions from Blue Owl Capital Corp. II, a semi-liquid private credit fund marketed to U.S. retail investors.

The announcement showed Blue Owl abandoning an earlier plan to reopen withdrawals later this quarter. Instead, the firm said it would begin returning investor capital.

Blue Owl said it was “not halting redemptions” but instead “changing the method” by which investors receive their cash. The firm said it remains well capitalized, with about $4 billion in total cash and borrowing capacity, and described its balance sheet as “well positioned” to support portfolio performance into 2026.

How Did Stocktwits’ Users React?

Retail sentiment around OWL trended in ‘extremely bullish’ territory amid ‘extremely high’ message volume. 

Shares in the company have fallen 54.5% over the past year. 

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