Blue Owl Capital (OWL) to Accelerate Capital Returns, Here’s What You Need to Know

SelfRugger · 2026-02-23T17:07:35+00:00

Blue Owl Capital (NYSE:OWL) is accelerating capital returns to investors after a failed merger, generating $1.4 billion by selling loans and aiming to distribute cash at a 5% quarterly rate, potentially returning half of its fund's capital by year-end.

SelfRugger

2026-02-23 17:07:35

Abstract generation in progress

Blue Owl Capital (OWL) to Accelerate Capital Returns, Here’s What You Need to Know

Talha Qureshi

Mon, February 23, 2026 at 2:09 AM GMT+9 2 min read

In this article:

OWL

-4.80%

Blue Owl Capital Inc. (NYSE:OWL) is one of the Most Promising Stocks to Invest In Before They Take Off. On February 20, Pitchbook reported that Blue Owl Capital Inc. (NYSE:OWL) accelerated its capital return to investors to regain investor confidence after a failed merger attempt.

Earlier in November 2025, the company had announced its plans to merge one of its early funds, OBDC II, with its main public fund. However, the merger was halted as it might have hurt OBDC II investors, as the stock was trading below its true asset value. Therefore, Blue Owl Capital Inc. (NYSE:OWL) sold loans from OBDC II, including $600 million of assets and bits from two other funds to big institutional buyers, at full book value, generating $1.4 billion in cash.

Co-president of the company, Craig Packer, stressed they are not halting redemptions and have offered 5% quarterly buybacks for years. He added that the company is accelerating by distributing cash directly to all OBDC II investors at a similar 5% quarterly pace and plans to potentially return half the fund’s capital by year-end.

Blue Owl Capital (OWL) to Accelerate Capital Returns, Here’s What You Need to Know

Source: PEXELS

New York-based company, Blue Owl Technology Finance Corp. (NYSE:OTF), is a business development company focused on providing direct lending and equity investments to upper middle-market technology and software firms. The company was founded in 2018.

While we acknowledge the potential of OWL as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.

Terms and Privacy Policy

Privacy Dashboard

More Info

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.