Blue Owl Capital Inc. · NYSE:OWL
Blue Owl Capital — Blue Owl Technology Income — Investor Presentation (May 2023)
28 slides from Blue Owl Capital's investor presentation, May 31, 2023
Slide 1: Blue Owl Technology Income Corp. (OTIC)
Blue Owl Technology Income Corp. (OTIC) Formerly known as: Owl Rock Technology Income Corp. (ORTIC) As of May 31, 2023 This is neither an offer to sell nor a solicitation of an offer to buy the securities described herein. An offering is made only by the Blue Owl Technology Income Corp. prospectus t
Slide 2: OTIC Risk Factors
OTIC Risk Factors An investment in Blue Owl Technology Income Corp. (“OTIC”) is speculative and involves a high degree of risk, including the risk of a substantial loss of investment, as well as substantial fees and costs, all of which can impact an investor’s return. The following are some of the r
Slide 3: Blue Owl Technology Income Corp. overview
Blue Owl Technology Income Corp. overview OTIC seeks to offer investors an efficient access point and risk-adjusted approach to technology investing Access Blue Owl Technology Offers individual investors access to: Income Corp. • Blue Owl’s award-winning institutional direct lending platform1 Seeks
Slide 4: Firm overview
Firm overview
Slide 5: About Blue Owl
About Blue Owl With over $144 billion of assets under management, Blue Owl is a leading provider of private capital solutions Blue Owl firm overview $144+ Billion AUM • Blue Owl is an alternative asset manager NYSE: OWL providing investors access to Credit, GP Credit $71.6B Strategic Capital and Rea
Slide 6: Credit platform overview
Credit platform overview Blue Owl’s leading Credit platform is focused on middle and upper-middle-market companies backed by private equity sponsors. • Robust proprietary deal flow driven by an extensive network of sponsors • Significant backing from highly sophisticated investors Scale $71.6B • Dee
Slide 7: Credit platform breakdown
Credit platform breakdown Complementary verticals that leverage existing origination and underwriting functions with a primary focus on private equity sponsored deals and other corporate solutions $71.6 Billion AUM Diversified First Lien Technology Opportunistic Liquid Lending Lending Investing Lend
Slide 8: A history of credit performance
A history of credit performance Since inception, Blue Owl’s annual loss rate of approximately 0.06% compares favorably against market averages. No defaults on technology investments since inception. Average annual loss rates1,2 Credit experience3 1.55% Over $65 Billion Capital Deployed 480+ Total De
Slide 9: Technology-focused sponsors with whom Blue Owl has transacted
Technology-focused sponsors with whom Blue Owl has transacted Deep sponsor relationships drive deal flow As of March 31, 2023. Includes select Sponsors with whom Blue Owl has transacted with in current or past investments. There is no assurance that OTIC will transact with these sponsors. 9
Slide 10: Deep origination capabilities and rigorous underwriting in technology
Deep origination capabilities and rigorous underwriting in technology Since inception, Blue Owl has reviewed approximately $500 billion1 of technology opportunities and has deployed over $31 billion of capital across the platform Robust pipeline of opportunities Highly selective in deploying capital
Slide 11: The opportunity in technology investing
The opportunity in technology investing
Slide 12: Overview of technology investing opportunity
Overview of technology investing opportunity We believe there is a significant opportunity in technology finance to offer investors attractive current income and the potential for capital appreciation Large Technology-related companies represent a large, diverse and growing portion of the economy. P
Slide 13: Technology touches highly diverse end markets
Technology touches highly diverse end markets Cyber security Big data Construction Nonprofit Education E-Commerce Transportation Healthcare Hardware Recruitment/HR Representative Real estate Insurance Software Mobile Industries and End Markets $ Legal Social media Managed Financial services services
Slide 14: Software is ubiquitous and diverse
Software is ubiquitous and diverse Software investing can span a wide range of products and end markets with uncorrelated business drivers Technology Healthcare Application Systems Internet and Financial services / information software software digital media technology Infrastructure technology • En
Slide 15: Historically technology debt has been resilient across multiple cycles
Historically technology debt has been resilient across multiple cycles Cumulative default allocation by industry1 (Since 1998) 5.1% 2.0% 1.1% All Industries Technology Software All investments involve risk including potential loss of principal. Source: Default rates comprise S&P LCD loan data from J
Slide 16: History of attractive risk adjusted returns
History of attractive risk adjusted returns While past performance is not a guarantee of future results, direct lending’s growth in popularity among institutional and high net worth investors can, in large part, be attributed to its history of delivering attractive risk-adjusted returns across vario
Slide 17: Senior secured debt has the highest payment priority
Senior secured debt has the highest payment priority In the event of a decline in a company’s market value, debt investors are “cushioned” by equity illustrative impact of declining market on company A Loan-to-Value = 30% Loan-to-Value = 40% Company A’s value declines by 25% $100 $100 $90 $90 $80 $8
Slide 18: Blue Owl Technology Income Corp.
Blue Owl Technology Income Corp.
Slide 19: Blue Owl technology strategy overview
Blue Owl technology strategy overview • Seeks to provide investors attractive current income and the potential for capital appreciation by making investments in established and high-growth technology companies Investment • Construct a diversified portfolio with differentiated exposure to private tec
Slide 20: Large technology-focused team with significant domain expertise
Large technology-focused team with significant domain expertise Technology investment committee Doug Ostrover Marc Lipschultz Craig Packer Co-CEO, CO-CIO Co-CEO, CO-CIO Co-President, Co-CIO 30+ Years of Experience 30+ Years of Experience 30+ Years of Experience Previously at Blackstone GSO Previousl
Slide 21: OTIC portfolio snapshot
OTIC portfolio snapshot End market diversification Breakdown by asset type Application Software 19% 20% Systems Software 10% Health Care Technology 3% Food & Staples Retailing Senior secured first lien 4% Insurance 11% Senior secured second lien 5% Commercial Services & Supplies 19% Equity Electrica
Slide 22: OTIC performance
OTIC performance Annualized distribution Distribution rates1 rates1 8.04% 8.63% 8.88% Class S Class D Class I LTM distribution rates2 8.73% 9.34% 9.60% Class S Class D Class I Total Returns3 1-Month 3-Month YTD 1-Year ITD Class S (with upfront placement fee) -3.12% -1.82% 1.52% 6.58% 6.05% Class S (
Slide 23: Select case studies
Select case studies Coupa • Coupa Software is a leading provider of business spend management (“BSM”) software, providing customers with greater visibility and • $2,590mm ($150mm Revolver, control over corporate spend, vendor optimization, and accounts $2,240mm Recurring Revenue payable. Term Loan,
Slide 24: OTIC Summary of key terms
OTIC Summary of key terms Perpetually non-traded business development company; OTIC does not intend to seek a Structure liquidity event Management fee 1.25% of net assets (no management fee on leverage) • 12.5% of net investment income subject to 5% hurdle Incentive fee • 12.5% of realized capital g
Slide 25: Index definitions / Glossary of terms
Index definitions 10-Year Treasury: The 10-year Treasury note is a debt obligation issued by the United States government with a maturity of 10 years upon initial issuance. A 10-year Treasury note pays interest at a fixed rate once every six months and pays the face value to the holder at maturity.
Slide 26: Important Information Continued
Important Information Continued Notice to Prospective Investors in Colombia This document does not constitute a public offer in the Republic of Colombia. The offer of the fund is addressed to less than one hundred specifically identified investors. The fund may not be promoted or marketed in Colombi
Slide 27: Important information
Important information Unless otherwise indicated, the Report Date referenced herein is May 31, 2023. Past performance is not a guide to future results and is not indicative of expected realized returns. Assets Under Management (“AUM”) refers to the assets that we manage and are generally equal to th
Slide 28: OTIC-DECK-5-23
ff eve OWL OTIC-DECK-5-23 #4367212
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