Document

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
Form 10-Q
(Mark One)
 
þQUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 2020
OR
 
o
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
COMMISSION FILE NUMBER: 1-33901
Oaktree Specialty Lending Corporation

(EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER)
 
DELAWARE
(State or jurisdiction of
incorporation or organization)
 
26-1219283
(I.R.S. Employer
Identification No.)
333 South Grand Avenue, 28th Floor
Los Angeles, CA
(Address of principal executive office)
 
90071
(Zip Code)
REGISTRANT'S TELEPHONE NUMBER, INCLUDING AREA CODE:
(213) 830-6300


SECURITIES REGISTERED PURSUANT TO SECTION 12(b) OF THE ACT:
Title of Each ClassTrading Symbol(s)Name of Each Exchange
on Which Registered
Common Stock, par value $0.01 per shareOCSL The Nasdaq Stock Market LLC

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    YES   þ     NO   ¨
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).    YES   ¨   NO   ¨
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company" and "emerging growth company" in Rule 12b-2 of the Exchange Act.
Large accelerated filer  ¨
Accelerated filer  þ
Non-accelerated filer  ¨
Smaller reporting company  ¨
Emerging growth company  ¨

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act ¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act)    YES  ¨     NO  þ
The registrant had 140,960,651 shares of common stock outstanding as of August 6, 2020.




OAKTREE SPECIALTY LENDING CORPORATION
FORM 10-Q FOR THE QUARTER ENDED JUNE 30, 2020



TABLE OF CONTENTS

PART I — FINANCIAL INFORMATION
Consolidated Financial Statements:
PART II — OTHER INFORMATION

 




 






 




 



PART I — FINANCIAL INFORMATION

Item 1.Consolidated Financial Statements.

Oaktree Specialty Lending Corporation
Consolidated Statements of Assets and Liabilities
(in thousands, except per share amounts)
June 30, 2020 (unaudited)September 30, 2019
ASSETS
Investments at fair value:
Control investments (cost June 30, 2020: $255,481; cost September 30, 2019: $224,255)$200,799  $209,178  
Affiliate investments (cost June 30, 2020: $8,367; cost September 30, 2019: $8,449)7,249  9,170  
Non-control/Non-affiliate investments (cost June 30, 2020: $1,432,729; cost September 30, 2019: $1,280,310)1,353,105  1,219,694  
Total investments at fair value (cost June 30, 2020: $1,696,577; cost September 30, 2019: $1,513,014)1,561,153  1,438,042  
Cash and cash equivalents50,728  15,406  
Interest, dividends and fees receivable8,768  11,167  
Due from portfolio companies2,719  2,616  
Receivables from unsettled transactions14,106  4,586  
Deferred financing costs6,383  6,396  
Deferred offering costs67  —  
Deferred tax asset, net766  —  
Derivative assets at fair value870  490  
Other assets2,007  2,335  
Total assets$1,647,567  $1,481,038  
LIABILITIES AND NET ASSETS
Liabilities:
Accounts payable, accrued expenses and other liabilities$903  $1,589  
Base management fee and incentive fee payable12,989  10,167  
Due to affiliate2,213  2,689  
Interest payable4,225  2,296  
Payables from unsettled transactions7,172  59,596  
Deferred tax liability —  704  
Credit facility payable466,825  314,825  
Unsecured notes payable (net of $3,457 and $2,708 of unamortized financing costs as of June 30, 2020 and September 30, 2019, respectively)294,177  158,542  
Total liabilities788,504  550,408  
Commitments and contingencies (Note 14)
Net assets:
Common stock, $0.01 par value per share, 250,000 shares authorized; 140,961 shares issued and outstanding as of June 30, 2020 and September 30, 20191,409  1,409  
Additional paid-in-capital1,487,774  1,487,774  
Accumulated overdistributed earnings(630,120) (558,553) 
Total net assets (equivalent to $6.09 and $6.60 per common share as of June 30, 2020 and September 30, 2019, respectively) (Note 12)859,063  930,630  
Total liabilities and net assets$1,647,567  $1,481,038  

See notes to Consolidated Financial Statements.
1


Oaktree Specialty Lending Corporation
Consolidated Statements of Operations
(in thousands, except per share amounts)
(unaudited)
Three months ended
June 30, 2020
Three months ended
June 30, 2019
Nine months ended
June 30, 2020
Nine months ended
June 30, 2019
Interest income:
Control investments$2,558  $2,859  $7,502  $9,050  
Affiliate investments127  70  379  105  
Non-control/Non-affiliate investments27,406  29,850  80,214  93,248  
Interest on cash and cash equivalents21  131  320  605  
Total interest income30,112  32,910  88,415  103,008  
PIK interest income:
Control investments—  —  —  67  
Non-control/Non-affiliate investments2,183  1,198  5,290  4,243  
Total PIK interest income2,183  1,198  5,290  4,310  
Fee income:
Control investments13   27  19  
Affiliate investments  15  14  
Non-control/Non-affiliate investments1,809  1,815  4,906  4,127  
Total fee income1,827  1,826  4,948  4,160  
Dividend income:
Control investments281  735  881  1,711  
Total dividend income281  735  881  1,711  
Total investment income34,403  36,669  99,534  113,189  
Expenses:
Base management fee5,988  5,548  16,890  16,847  
Part I incentive fee3,556  3,787  9,988  11,328  
Part II incentive fee—  607  (5,557) 10,597  
Professional fees545  721  1,854  2,186  
Directors fees143  143  428  428  
Interest expense6,406  7,592  20,156  25,466  
Administrator expense373  384  1,194  1,553  
General and administrative expenses622  645  1,934  1,981  
Total expenses17,633  19,427  46,887  70,386  
Reversal of fees waived / (fees waived)—  634  5,200  (8,831) 
Net expenses17,633  20,061  52,087  61,555  
Net investment income16,770  16,608  47,447  51,634  
Unrealized appreciation (depreciation):
Control investments13,790  3,419  (39,605) 1,467  
Affiliate investments(45) —  (1,839) (181) 
Non-control/Non-affiliate investments87,225  20,744  (19,018) 37,068  
Secured borrowings—  —  —  (95) 
Foreign currency forward contracts(398) (768) 380  (367) 
Net unrealized appreciation (depreciation) 100,572  23,395  (60,082) 37,892  
Realized gains (losses):
Control investments—  —  777  —  
Non-control/Non-affiliate investments2,821  (21,112) (18,117) 21,548  
Extinguishment of unsecured notes payable—  —  (2,541) —  
Foreign currency forward contracts—  1,268  (490) 1,783  
Net realized gains (losses)2,821  (19,844) (20,371) 23,331  
Provision for income tax (expense) benefit68  (173) 1,613  (668) 
Net realized and unrealized gains (losses), net of taxes103,461  3,378  (78,840) 60,555  
Net increase (decrease) in net assets resulting from operations$120,231  $19,986  $(31,393) $112,189  
Net investment income per common share — basic and diluted$0.12  $0.12  $0.34  $0.37  
Earnings (loss) per common share — basic and diluted (Note 5)$0.85  $0.14  $(0.22) $0.80  
Weighted average common shares outstanding — basic and diluted140,961  140,961  140,961  140,961  

See notes to Consolidated Financial Statements.
2


Oaktree Specialty Lending Corporation
Consolidated Statements of Changes in Net Assets
(in thousands, except per share amounts)
(unaudited)
Three months ended
June 30, 2020
Three months ended
June 30, 2019
Nine months ended
June 30, 2020
Nine months ended
June 30, 2019
Operations:
Net investment income$16,770  $16,608  $47,447  $51,634  
Net unrealized appreciation (depreciation)100,572  23,395  (60,082) 37,892  
Net realized gains (losses)2,821  (19,844) (20,371) 23,331  
Provision for income tax (expense) benefit
68  (173) 1,613  (668) 
Net increase (decrease) in net assets resulting from operations120,231  19,986  (31,393) 112,189  
Stockholder transactions:
Distributions to stockholders(13,392) (13,392) (40,174) (40,174) 
Net increase (decrease) in net assets from stockholder transactions(13,392) (13,392) (40,174) (40,174) 
Capital share transactions:
Issuance of common stock under dividend reinvestment plan390  332  1,377  1,028  
Repurchases of common stock under dividend reinvestment plan(390) (332) (1,377) (1,028) 
Net increase (decrease) in net assets from capital share transactions—  —  —  —  
Total increase (decrease) in net assets106,839  6,594  (71,567) 72,015  
Net assets at beginning of period752,224  923,456  930,630  858,035  
Net assets at end of period$859,063  $930,050  $859,063  $930,050  
Net asset value per common share$6.09  $6.60  $6.09  $6.60  
Common shares outstanding at end of period140,961  140,961  140,961  140,961  



See notes to Consolidated Financial Statements.
3

Oaktree Specialty Lending Corporation
Consolidated Statements of Cash Flows
(in thousands)
(unaudited)




Nine months ended
June 30, 2020
Nine months ended
June 30, 2019
Operating activities:
Net increase (decrease) in net assets resulting from operations$(31,393) $112,189  
Adjustments to reconcile net increase (decrease) in net assets resulting from operations to net cash provided by (used in) operating activities:
Net unrealized (appreciation) depreciation60,082  (37,892) 
Net realized (gains) losses20,371  (23,331) 
PIK interest income(5,290) (4,310) 
Accretion of original issue discount on investments(8,378) (15,942) 
Accretion of original issue discount on unsecured notes payable175  107  
Amortization of deferred financing costs1,565  2,008  
Deferred taxes(1,470) 297  
Purchases of investments (576,866) (351,666) 
Proceeds from the sales and repayments of investments388,338  467,307  
Changes in operating assets and liabilities:
(Increase) decrease in interest, dividends and fees receivable3,267  (622) 
(Increase) decrease in due from portfolio companies(103) (493) 
(Increase) decrease in receivables from unsettled transactions(9,520) 26,756  
(Increase) decrease in other assets328  429  
Increase (decrease) in accounts payable, accrued expenses and other liabilities(686) (2,503) 
Increase (decrease) in base management fee and incentive fee payable2,822  1,764  
Increase (decrease) in due to affiliate(476) 157  
Increase (decrease) in interest payable1,929  (1,098) 
Increase (decrease) in payables from unsettled transactions(52,424) (37,236) 
Increase (decrease) in amounts payable to syndication partners—  (109) 
Net cash provided by (used in) operating activities(207,729) 135,812  
Financing activities:
Distributions paid in cash(38,797) (39,146) 
Borrowings under credit facilities286,000  241,825  
Repayments of borrowings under credit facilities(134,000) (113,000) 
Repayments of unsecured notes (161,250) (228,825) 
Issuance of unsecured notes297,459  —  
Repayments of secured borrowings—  (812) 
Repurchases of common stock under dividend reinvestment plan(1,377) (1,028) 
Deferred financing costs paid(4,835) (2,883) 
Deferred offering costs paid(67) —  
Net cash provided by (used in) financing activities243,133  (143,869) 
Effect of exchange rate changes on foreign currency(82) 205  
Net increase (decrease) in cash and cash equivalents and restricted cash35,322  (7,852) 
Cash and cash equivalents and restricted cash, beginning of period15,406  13,489  
Cash and cash equivalents and restricted cash, end of period$50,728  $5,637  
Supplemental information:
Cash paid for interest$16,487  $24,557  
Non-cash financing activities:
Issuance of shares of common stock under dividend reinvestment plan$1,377  $1,028  

See notes to Consolidated Financial Statements.
4

Oaktree Specialty Lending Corporation
Consolidated Schedule of Investments
June 30, 2020
(dollar amounts in thousands)
(unaudited)

Portfolio Company/Type of Investment (1)(2)(3)(4)(5) Cash Interest Rate (6)IndustryPrincipal (7)CostFair ValueNotes
Control Investments
(8)(9)
C5 Technology Holdings, LLCData Processing & Outsourced Services
829 Common Units$—  $—  (20)
34,984,460.37 Preferred Units34,984  27,638  (20)
34,984  27,638  
Dominion Diagnostics, LLCHealth Care Services
First Lien Term Loan, LIBOR+5.00% cash due 2/28/20246.00 %$27,730  27,730  27,730  (6)(20)
First Lien Revolver, LIBOR+5.00% cash due 2/28/20246.00 %5,260  5,260  5,260  (6)(19)(20)
30,030.8 Common Units in DD Healthcare Services Holdings, LLC18,626  7,667  (20)
51,616  40,657  
First Star Speir Aviation LimitedAirlines(10)
First Lien Term Loan, 9.00% cash due 12/15/202011,510  2,059  11,510  (11)(20)
100% equity interest8,500  3,165  (11)(12)(20)
10,559  14,675  
New IPT, Inc.Oil & Gas Equipment & Services
First Lien Term Loan, LIBOR+5.00% cash due 3/17/20216.00 %2,454  2,454  2,454   (6)(20)
First Lien Revolver, LIBOR+5.00% cash due 3/17/20216.00 %1,009  1,009  1,009   (6)(19)(20)
50.087 Class A Common Units in New IPT Holdings, LLC—  1,173  (20)
3,463  4,636  
Senior Loan Fund JV I, LLCMulti-Sector Holdings(14)
Subordinated Debt, LIBOR+7.00% cash due 12/29/20288.02 %96,250  96,250  96,250  (6)(11)(20)
87.5% LLC equity interest49,322  13,796  (11)(16)(19)
145,572  110,046  
Thruline Marketing, Inc.Advertising
9,073 Class A Units in FS AVI Holdco, LLC9,287  3,147  (20)
9,287  3,147  
 Total Control Investments (23.4% of net assets)
$255,481  $200,799  
 Affiliate Investments (17)
Assembled Brands Capital LLCSpecialized Finance
First Lien Delayed Draw Term Loan, LIBOR+6.00% cash due 10/17/20237.00 %$5,504  $5,504  $4,344  (6)(19)(20)
1,609,201 Class A Units764  1,094  (20)
1,019,168.80 Preferred Units, 6%1,019  1,070  (20)
70,424.5641 Class A Warrants (exercise price $3.3778) expiration date 9/9/2029—  —  (20)
7,287  6,508  
Caregiver Services, Inc.Health Care Services
1,080,399 shares of Series A Preferred Stock, 10%1,080  741  (20)
1,080  741  
 Total Affiliate Investments (0.8% of net assets)
$8,367  $7,249  
 Non-Control/Non-Affiliate Investments
(18)
4 Over International, LLCCommercial Printing
First Lien Term Loan, LIBOR+6.00% cash due 6/7/20227.00 %$5,707  $5,682  $5,387  (6)(20)
First Lien Revolver, LIBOR+6.00% cash due 6/7/20217.00 %2,232  2,214  2,107  (6)(20)
7,896  7,494  
99 Cents Only Stores LLCGeneral Merchandise Stores
First Lien Term Loan, LIBOR+5.00% cash 1.50% PIK due 1/13/20225.30 %19,332  19,079  16,408  (6)
19,079  16,408  
5

Oaktree Specialty Lending Corporation
Consolidated Schedule of Investments
June 30, 2020
(dollar amounts in thousands)
(unaudited)

Portfolio Company/Type of Investment (1)(2)(3)(4)(5) Cash Interest Rate (6)IndustryPrincipal (7)CostFair ValueNotes
A.T. Holdings II SÀRLBiotechnology
First Lien Term Loan, 12.00% cash due 4/27/2023$22,619  $22,619  $24,881  (11)(20)
First Lien Delayed Draw Term Loan, 12.00% cash due 4/27/2023—  —  1,131  (11)(19)(20)
22,619  26,012  
Access CIG, LLCDiversified Support Services
Second Lien Term Loan, LIBOR+7.75% cash due 2/27/20267.92 %15,000  14,904  13,075  (6)
14,904  13,075  
Accupac, Inc.Personal Products
First Lien Term Loan, LIBOR+6.00% cash due 1/17/20267.00 %12,518  12,316  12,312  (6)(20)
First Lien Delayed Draw Term Loan, LIBOR+6.00% cash due 1/17/2026—  (38) (39) (6)(19)(20)
First Lien Revolver, LIBOR+6.00% cash due 1/17/20267.00 %1,564  1,539  1,538  (6)(20)
13,817  13,811  
Acquia Inc.Application Software
First Lien Term Loan, LIBOR+7.00% cash due 10/31/20258.00 %20,950  20,577  20,216  (6)(20)
First Lien Revolver, LIBOR+7.00% cash due 10/31/2025—  (41) (78) (6)(19)(20)
20,536  20,138  
Aden & Anais Merger Sub, Inc.Apparel, Accessories & Luxury Goods
51,645 Common Units in Aden & Anais Holdings, Inc.5,165  —  (20)
5,165  —  
AdVenture Interactive, Corp.Advertising
9,073 shares of common stock13,611  13,245  (20)
13,611  13,245  
AI Ladder (Luxembourg) Subco S.a.r.l.Electrical Components & Equipment
First Lien Term Loan, LIBOR+4.50% cash due 7/9/20254.68 %21,468  21,003  19,590  (6)(11)
21,003  19,590  
AI Sirona (Luxembourg) Acquisition S.a.r.l.Pharmaceuticals
Second Lien Term Loan, EURIBOR+7.25% cash due 9/28/20267.25 %24,838  27,654  26,223  (6)(11)(20)
27,654  26,223  
Airbnb, Inc.Hotels, Resorts & Cruise Lines
First Lien Term Loan, LIBOR+7.50% cash due 4/17/20258.50 %$15,782  15,396  16,492  (6)
15,396  16,492  
AirStrip Technologies, Inc.Application Software
5,715 Common Stock Warrants (exercise price $139.99) expiration date 5/11/202590  —  (20)
90  —  
Aldevron, L.L.C.Biotechnology
First Lien Term Loan, LIBOR+4.25% cash due 10/12/20265.25 %7,980  7,900  7,890  (6)
7,900  7,890  
Algeco Scotsman Global Finance PlcConstruction & Engineering
Fixed Rate Bond, 8.00% cash due 2/15/202313,524  13,254  13,025  (11)
13,254  13,025  
Alvotech Holdings S.A.Biotechnology(13)
Fixed Rate Bond 15% PIK Note A due 12/13/202314,800  18,191  19,368  (11)(20)
Fixed Rate Bond 15% PIK Note B due 12/13/202314,800  18,191  18,425  (11)(20)
36,382  37,793  
Amplify Finco Pty Ltd.Movies & Entertainment
First Lien Term Loan, LIBOR+4.00% cash due 11/26/20264.75 %998  907  873  (6)(11)(20)
Second Lien Term Loan, LIBOR+8.00% cash due 11/26/20278.75 %12,500  12,188  10,188  (6)(11)(20)
13,095  11,061  
6

Oaktree Specialty Lending Corporation
Consolidated Schedule of Investments
June 30, 2020
(dollar amounts in thousands)
(unaudited)

Portfolio Company/Type of Investment (1)(2)(3)(4)(5) Cash Interest Rate (6)IndustryPrincipal (7)CostFair ValueNotes
Ancile Solutions, Inc.Application Software
First Lien Term Loan, LIBOR+7.00% cash due 6/30/20218.00 %$8,305  $8,261  $8,197   (6)(20)
8,261  8,197  
Apptio, Inc.Application Software
First Lien Term Loan, LIBOR+7.25% cash due 1/10/20258.25 %23,764  23,400  23,229  (6)(20)
First Lien Revolver, LIBOR+7.25% cash due 1/10/2025—  (23) (35) (6)(19)(20)
23,377  23,194  
Ardonagh Midco 3 PLCInsurance Brokers
Fixed Rate Bond, 11.50% cash due 1/15/20272,222  2,200  2,244  (11)
2,200  2,244  
Associated Asphalt Partners, LLCConstruction Materials
First Lien Term Loan, LIBOR+5.25% cash due 4/5/20246.25 %2,561  2,127  1,883  (6)
2,127  1,883  
Asurion, LLCProperty & Casualty Insurance
Second Lien Term Loan, LIBOR+6.50% cash due 8/4/20256.68 %21,274  21,235  21,221  (6)
21,235  21,221  
Athenex, Inc.Pharmaceuticals
First Lien Term Loan, 11.00% cash due 6/19/202629,288  28,007  28,003  (11)(20)
First Lien Delayed Draw Term Loan, 11.00% cash due 6/19/2026—  (508) (508) (11)(19)(20)
266,052 Common Stock Warrants (exercise price $12.63) expiration date 6/19/2027915  915  (11)(20)
28,414  28,410  
Aurora Lux Finco S.À.R.L.Airport Services
First Lien Term Loan, LIBOR+6.00% cash due 12/24/20267.00 %22,943  22,412  21,359  (6)(11)(20)
22,412  21,359  
Blackhawk Network Holdings, Inc.Data Processing & Outsourced Services
Second Lien Term Loan, LIBOR+7.00% cash due 6/15/20267.25 %26,250  26,040  24,117  (6)
26,040  24,117  
Boxer Parent Company Inc.Systems Software
First Lien Term Loan, LIBOR+4.25% cash due 10/2/20254.43 %13,810  13,699  13,119  (6)
13,699  13,119  
BX Commercial Mortgage Trust 2020-VIVADiversified Real Estate Activities
Class D Variable Notes due 3/9/20443.67 %12,556  10,471  11,239  (6)(11)(20)
Class E Variable Notes due 3/9/20443.67 %6,221  4,798  5,299  (6)(11)(20)
15,269  16,538  
California Pizza Kitchen, Inc.Restaurants
First Lien Term Loan, LIBOR+6.00% cash due 8/23/20223,106  3,081  910  (6)(21)
3,081  910  
Chief Power Finance II, LLCIndependent Power Producers & Energy Traders
First Lien Term Loan, LIBOR+6.50% cash due 12/31/20227.50 %22,138  21,700  20,880  (6)(20)
21,700  20,880  
CITGO Holding, Inc.Oil & Gas Refining & Marketing
Fixed Rate Bond, 9.25% cash due 8/1/202410,672  10,672  10,645  
First Lien Term Loan, LIBOR+7.00% cash due 8/1/20238.00 %9,925  9,810  9,501  (6)
20,482  20,146  
7

Oaktree Specialty Lending Corporation
Consolidated Schedule of Investments
June 30, 2020
(dollar amounts in thousands)
(unaudited)

Portfolio Company/Type of Investment (1)(2)(3)(4)(5) Cash Interest Rate (6)IndustryPrincipal (7)CostFair ValueNotes
CITGO Petroleum Corp.Oil & Gas Refining & Marketing
First Lien Term Loan, LIBOR+5.00% cash due 3/28/20246.00 %$9,002  $8,912  $8,665  (6)
8,912  8,665  
Connect U.S. Finco LLCAlternative Carriers
First Lien Term Loan, LIBOR+4.50% cash due 12/11/20265.50 %27,961  27,277  26,406  (6)(11)
27,277  26,406  
Continental Intermodal Group LPOil & Gas Storage & Transportation
First Lien Term Loan, LIBOR+8.50% PIK due 1/28/202531,599  31,599  27,687  (6)(20)
31,599  27,687  
Convergeone Holdings, Inc.IT Consulting & Other Services
First Lien Term Loan, LIBOR+5.00% cash due 1/4/20265.18 %14,658  14,183  12,470  (6)
14,183  12,470  
Conviva Inc.Application Software
417,851 Series D Preferred Stock Warrants (exercise price $1.1966) expiration date 2/28/2021105  395  (20)
105  395  
Corrona, LLCHealth Care Services
First Lien Term Loan, LIBOR+5.50% cash due 12/13/20256.50 %10,326  10,161  10,145  (6)(20)
First Lien Delayed Draw Term Loan, LIBOR+5.50% cash due 12/13/2025—  (32) (64) (6)(19)(20)
First Lien Revolver, PRIME+4.50% cash due 12/13/20257.75 %305  276  273  (6)(19)(20)
1,099 Class A2 Common Units in Corrona Group Holdings, L.P.1,038  1,038  (20)
11,443  11,392  
Coyote Buyer, LLCSpecialty Chemicals
First Lien Term Loan, LIBOR+6.00% cash due 2/6/20267.00 %13,156  13,024  13,024  (6)(20)
First Lien Revolver, LIBOR+6.00% cash due 2/6/20257.35 %565  556  556  (6)(19)(20)
13,580  13,580  
Crown Point CLO 7 Ltd.Multi-Sector Holdings
Class E Notes, LIBOR+6.30% cash due 10/20/20317.44 %2,745  1,977  2,127  (6)(11)
1,977  2,127  
CTOS, LLCTrading Companies & Distributors
First Lien Term Loan, LIBOR+4.25% cash due 4/18/20254.44 %10,164  10,259  10,012  (6)
10,259  10,012  
Dealer Tire, LLCDistributors
First Lien Term Loan, LIBOR+4.25% cash due 12/12/20254.43 %4,276  3,732  4,097  (6)
3,732  4,097  
The Dun & Bradstreet CorporationResearch & Consulting Services
First Lien Term Loan, LIBOR+4.00% cash due 2/6/20264.18 %6,286  6,184  6,140  (6)
6,184  6,140  
Eagleview Technology CorporationApplication Software
Second Lien Term Loan, LIBOR+7.50% cash due 8/14/20268.57 %12,000  11,880  10,440  (6)(20)
11,880  10,440  
EHR Canada, LLCFood Retail
First Lien Term Loan, LIBOR+8.00% cash due 9/28/20209.00 %6,861  6,845  6,930  (6)(20)
6,845  6,930  
Elevation CLO 2017-6, Ltd.Multi-Sector Holdings
Class E Notes, LIBOR+6.60% cash due 7/15/20297.82 %500  394  402  (6)(11)
394  402  
8

Oaktree Specialty Lending Corporation
Consolidated Schedule of Investments
June 30, 2020
(dollar amounts in thousands)
(unaudited)

Portfolio Company/Type of Investment (1)(2)(3)(4)(5) Cash Interest Rate (6)IndustryPrincipal (7)CostFair ValueNotes
Elevation CLO 2018-9, Ltd.Multi-Sector Holdings
Class E Notes, LIBOR+6.30% cash due 7/15/20317.52 %$1,275  $797  $990  (6)(11)
797  990  
EOS Fitness Opco Holdings, LLCLeisure Facilities
487.5 Class A Preferred Units, 12%488  49  (20)
12,500 Class B Common Units—  —  (20)
488  49  
ExamSoft Worldwide, Inc.Application Software
180,707 Class C Units in ExamSoft Investor LLC181  —  (20)
181  —  
Galaxy XXI CLO, Ltd.Multi-Sector Holdings
Class ER Notes, LIBOR+5.25% cash due 4/20/20316.39 %862615  730  (6)(11)
615  730  
GI Chill Acquisition LLCManaged Health Care
First Lien Term Loan, LIBOR+4.00% cash due 8/6/20254.31 %17,685  17,597  16,535  (6)(20)
Second Lien Term Loan, LIBOR+7.50% cash due 8/6/20267.81 %10,000  9,924  9,100  (6)(20)
27,521  25,635  
GKD Index Partners, LLCSpecialized Finance
First Lien Term Loan, LIBOR+7.00% cash due 6/29/20238.00 %21,227  21,100  20,697  (6)(20)
First Lien Revolver, LIBOR+7.00% cash due 6/29/20238.00 %924  915  893  (6)(19)(20)
22,015  21,590  
Global Medical ResponseHealth Care Services
First Lien Term Loan, LIBOR+4.25% cash due 3/14/20255.25 %6,272  6,162  6,018  (6)
6,162  6,018