Blue Owl Capital (OWL) Scraps OBDC–OBDC II Merger as Redemption Freeze Roils the $3 Trillion Private Credit Market
Blue Owl Capital has canceled the planned merger of its two private-credit funds, OBDC and OBDC II, after investor backlash and market volatility. The decision follows a freeze on redemptions at OBDC II and reports that some investors faced potential 20% paper losses if the deal proceeded. Blue Owl shares have dropped over 40% this year. OBDC II aims to reinstate its liquidity program in 2026.
