The schedule lists Loparex Midco B.V. four times. The two second-lien senior secured loans, $112.0 million at SOFR plus 8.75 percent and $21.0 million at SOFR plus 8.50 percent, both maturing July 2027, carry amortized cost of $110.2 million and $20.5 million and fair values of $5.6 million and $1.05 million.¹ The first-lien loan at SOFR plus 4.50 percent, also due July 2027, has $4.1 million of principal and a fair value of $886,000. The first-lien loan at SOFR plus 6.00 percent, due February 2027, has $782,000 of principal and a fair value of $802,000, or 102.6 cents. Every cents figure here is computed from the schedule's values.¹

The comparative column for December 31, 2025 shows the same second liens at $97.7 million and $19.8 million, 87 and 94 cents, and both first liens at or above par, $122.4 million in total.¹ OBDC's first-quarter 10-Q supplies the waypoint: at March 31 the second liens stood at $68.3 million and $15.1 million, 61 and 72 cents, a blended 63, and the larger first lien had slipped to 79 cents.⁵ The non-traded affiliate, Blue Owl Capital Corporation II, carries the same marks on its $33.25 million of the second liens.⁶

OBDC's net asset value fell from $14.41 to $14.26 per share, "primarily reflecting markdowns on a small number of names," and investments on non-accrual rose to 2.8 percent of the portfolio at cost from 2.0 percent while falling to 0.8 percent at fair value from 1.0 percent.² On the call, president Logan Nicholson said non-accruals had "one name removed and one new addition, which was Loparex," and called the position "about a 90 basis point position at cost."⁷

The borrower's history is public even though the borrower is private. Pamplona Capital Management bought Loparex, a Cary, North Carolina maker of the silicone-coated release liners behind labels, tapes and medical dressings, from ICG in 2019 and financed it with a $370 million first-lien term loan due 2026 and a $140 million second lien due 2027.⁹ In March 2024 the company ran a non-pro-rata uptier exchange in which 75 percent of the first-lien lenders provided new money through a superpriority facility due February 2027; the second-lien lenders did not participate.^{8 9} Octus reported in June that a private-credit refinancing of roughly $700 million of first-lien term loans due February 2027 had stalled, with PJT Partners advising and leverage projected above 10 times EBITDA; Private Equity Wire put the amount sought at about $1.5 billion.^{8 10}

What changed in the second quarter, in OBDC's telling, was a deal. "The company had been pursuing a transformative M&A transaction which would have recapitalized the business with fresh equity, improving the balance sheet and liquidity," Nicholson said. "The transaction fell apart in the end, which led to the markdown of our position during the quarter."⁷ Bloomberg supplies the borrower's side: a skipped June coupon on the second lien, forbearance through September, and Moody's August 6 default determination with a warning that a Chapter 11 filing could follow.³

Two readings fit the same facts. Bloomberg's is that a loan carried at 88 cents in December, 63 in March and 5 in June renews doubts about how private credit funds mark their books.³ OBDC's is that the mark moved with the deal: the refinancing stalled, the recapitalization died inside the quarter, and the position was written down in that quarter rather than carried at par into a bankruptcy.⁷ The filing supports both. OBDC values $10.89 billion of its $10.94 billion first-lien book with unobservable inputs, through a process the adviser runs as valuation designee with independent valuation firms; a mark is a judgment about a transaction that has not happened yet.¹

Loparex's release says the investment comes "with participation from additional investors and lenders, as part of a comprehensive recapitalization agreement," that it will strengthen the balance sheet "by significantly reducing debt, improving liquidity, and providing greater financial flexibility," and that closing is expected in the fourth quarter of 2026.⁴

The release does not state the amount of new money, the amount of debt reduced, the treatment of the first-lien or second-lien loans, whether Pamplona keeps any ownership, or which existing lenders are the "additional investors and lenders." It does not mention the missed payment, the forbearance or the rating action.⁴ So the only public number that speaks to what a second-lien holder recovers is Blue Owl's own 5-cent mark, and that mark predates the agreement by more than two months.^{1 4} Whether OBDC's third-quarter 10-Q shows a realized loss, a recovery or an equity stub is the open question.

Because the lender is the reader's lender. Blue Owl bought Atalaya Capital Management in 2024 for $450 million to add, in its own words, "asset-based credit investments across consumer and commercial finance, corporate and real estate assets," with more than $10 billion of assets under management at the time.¹¹ Within weeks, Blue Owl's alternative credit team agreed to purchase up to $2 billion of Upstart consumer loans over 18 months, with a $290 million first closing, in a deal Atalaya structured.¹² That is consumer paper, not merchant cash advances. But the same manager, the same valuation designee and the same fundraising channels sit behind the forward-flow agreements and warehouse lines that fintech and specialty originators live on.

When the flagship BDC reports a 93 percent markdown on one name, a NAV decline it attributes to markdowns and non-accruals at 2.8 percent of cost, the questions its asset-based desks ask an originator next quarter change: advance rates, concentration limits, eligibility reps and the price of the next facility.^{1 2} No source quantifies that transmission, and this edition does not invent it. What the filings show is timing: the mark reached the public through a 10-Q on August 5, a month before the headline.^{1 3} This newsletter carried the other half of the cycle in April and July, when Blue Owl capped retail-fund redemptions; a manager with capped redemptions and non-accruals rising at cost is not adding risk to its asset-based book.^{16 17}

Two first-lien loans, one borrower, one valuation date, and a gap of 81 cents. The February 2027 loan at SOFR plus 6.00 percent is marked at 102.6 cents; the July 2027 loan at SOFR plus 4.50 percent is marked at 21.5 cents.¹ The February 2027 maturity matches the superpriority facility Octus describes from the 2024 exchange, in which participating lenders moved up the stack and the rest were left where they stood.^{8 9} OBDC's schedule does not label the tranche; this edition is matching maturities, not reading a credit agreement. The pattern is the one a merchant-finance operator sees every week: the party that exchanged first keeps its value, and the party behind it takes what is left after the senior claim. The second liens, which did not participate in 2024, sit at 5 cents.^{1 9}

Last edition covered a Texas rule that reserves recurring debits for the first-filed lien on a merchant's receivables. This schedule is the same principle at $137.9 million of principal: position is the price, and the recovery table is written before the default.¹

Two published rates measure different things. Fitch's trailing twelve-month private credit default rate reached a record 6.0 percent in the second quarter, up from 5.7 percent, with 32 default events, more than half of them maturity extensions rather than missed payments, and industrials and manufacturing carrying the highest rates among large sectors.¹³ Proskauer's Private Credit Default Index, a point-in-time count of senior secured and unitranche loans, read 2.51 percent for the quarter across 716 loans and $195.6 billion of principal, down from 2.73 percent; borrowers with less than $25 million of EBITDA defaulted at 1.9 percent.¹⁴ Neither is the number in a funder's own book. Loparex, a manufacturer with an extension in its history and a missed coupon in its present, sits in the population that drives Fitch's rate, and its sponsor found new money anyway; Blue Owl, for its part, closed a $398 million CLO on September 2.^{3 4 13 15}

Pull the 10-Q of every BDC, interval fund or private credit vehicle that finances you, or that owns the platform that does, and read three things: the schedule of investments, the non-accrual footnote and the share of the book valued with unobservable inputs.^{1 2} Read non-accruals at cost as well as at fair value; the fair-value figure falls as a position is written down, which is how OBDC's fell in a quarter that added Loparex.² Write the next facility's terms against a counterparty whose NAV is falling and whose redemption queue is capped. Price every second position or left-out tranche you hold in a merchant's stack against a 5-cent outcome, and keep the intercreditor language explicit on every participation you buy or sell.^{1 9} Then calendar three dates: the end of Loparex's forbearance this month, the fourth-quarter closing of its recapitalization, and OBDC's third-quarter 10-Q in November.^{1 3 4}

One limit matters: nothing published states what Loparex's second-lien holders receive in the recapitalization, and no source quantifies how a BDC's markdown changes an originator's forward-flow terms, so the counterparty argument above rests on the manager's stated mandate and its own marks, not on a disclosed repricing.^{1 4 11} Read the filings as signals and the terms as they arrive.

The video shows why a self-reported debt schedule can be wrong, outdated or incomplete, how another funder's UCC filing on the same receivables leaves a later funder last in line, and how the lien trail can be read before funding.

Cobalt Intelligence returns UCC filing data as a parameter on the Secretary of State search: the legal name is verified against the state record first, then filings are pulled for the supported states, currently 11, with the secured party, filing date, file number and collateral description for each lien. Unsupported states need a fallback, not a silent clear.

Schedule a FREE demo call

Tether and London-based Fasanara Capital said on September 9 that StableFund, a "jointly sponsored evergreen private credit vehicle," is anchored by $400 million of co-investment and targets up to $3 billion more; Fasanara is investment manager, deploying through its 141 fintech originators into "short-duration, asset-backed credit strategies," while Tether sources USDT-linked financing and provides settlement rails in more than 60 countries.^{18 19 20} The history belongs in the file: the CFTC fined Tether $41 million in October 2021 for misstatements about USDT's reserves, and New York's attorney general took $18.5 million and a trading ban that February; Tether says KPMG issued an unqualified opinion on its 2025 statements in August.^{21 22 23} No US platform, pricing or advance rate is disclosed.¹⁸

Chime Financial's September 8 8-K records a merger agreement with Central Service Corporation, parent of Stride Bank, N.A., at $590 million subject to adjustments; CSC's shareholders have already approved, and closing needs the Federal Reserve and the OCC.²⁴ Chime says the price is about 1.5 times tangible book, that it expects "more than $100 million in net synergies," that Stride becomes Chime Bank, N.A. under its chairman and CEO Brud Baker, and that it will keep assets below $10 billion "for the foreseeable future."²⁵ Banking Dive puts Stride's assets at about $5.4 billion, names Affirm among its other fintech partners, and quotes Truist's Brian Finneran that staying under $10 billion with 10.4 million members "looks tough."²⁶ It is the second fintech to buy its sponsor bank in a week, after the TabaPay and Transact Bank deal this newsletter led with on September 5.^{25 29}

Visa said on September 8 that it is pairing VisaNet settlement data with onchain lending infrastructure so lenders can advance working capital to a stablecoin-linked card program against its settlement receivables, with the program's authorization; stablecoin settlement on Visa's network has passed a $20 billion annualized run rate across more than 160 card programs.²⁷ Credit Coop, the named lender, says it has financed more than $2.5 billion of settlement volume since 2023 with zero defaults, a claim that is the companies' own; Decrypt reports the program runs across nine blockchains.^{27 28} Strip out the token and it is a receivables advance repaid from incoming settlements, underwritten on the processor's data.

_{Sources
1 SEC EDGAR | Blue Owl Capital Corporation Form 10-Q, Quarter Ended June 30, 2026
2 SEC EDGAR | Blue Owl Capital Corporation Announces June 30, 2026 Financial Results (Exhibit 99.1)
3 Bloomberg | Blue Owl Slashes Private Loan to Near-Zero Amid Bankruptcy Risk
4 Loparex | Loparex Announces Comprehensive Recapitalization and Strategic Capital Support
5 SEC EDGAR | Blue Owl Capital Corporation Form 10-Q, Quarter Ended March 31, 2026
6 SEC EDGAR | Blue Owl Capital Corporation II Form 10-Q, Quarter Ended June 30, 2026
7 Investing.com | Blue Owl Capital Corporation Q2 2026 Earnings Call Transcript (August 6, 2026)
8 Octus | Loparex's Bid to Refi via Private Credit Falters
9 Pari Passu | Loparex: Peeling Under Pressure
10 Private Equity Wire | Blue Owl Slashes Loparex Loan Valuation as Bankruptcy Risk Mounts
11 Blue Owl Capital | Blue Owl Expands Alternative Credit and Asset-Based Finance Capabilities with Acquisition of Atalaya
12 ABF Journal | Atalaya Structures $2B Agreement Between Blue Owl and Upstart
13 Investment Executive | U.S. Private Credit Defaults Rise: Fitch
14 Proskauer | Private Credit Default Index Reveals Rate of 2.51% for Q2 2026
15 SEC EDGAR | Blue Owl Capital Corporation Form 8-K, $398 Million CLO Transaction (September 2, 2026)
16 Beyond Banks | July 4, 2026 Edition (Blackstone and Blue Owl Cap Payouts)
17 Beyond Banks | April 11, 2026 Edition (Blue Owl Caps Two Retail Funds)
18 Tether | Tether and Fasanara Capital Launch $400 Million Private Credit Fund
19 The Block | Tether, Fasanara Launch $400 Million Fund for Stablecoin-Enabled Private Credit
20 Fasanara Capital | Lending
21 CFTC | CFTC Orders Tether and Bitfinex to Pay Fines Totaling $42.5 Million (Release 8450-21)
22 New York Attorney General | Attorney General James Ends Bitfinex's Illegal Activities in New York
23 Tether | Tether Completes the Largest Inaugural Financial Audit in History
24 SEC EDGAR | Chime Financial Form 8-K, Merger Agreement with Central Service Corporation (September 8, 2026)
25 Chime via Yahoo Finance | Chime Announces Agreement to Acquire Stride Bank
26 Banking Dive | Chime to Buy Stride Bank for $590M
27 Visa | Visa Brings Onchain Lending into Everyday Payments
28 Decrypt via Yahoo Finance | Visa Taps Onchain Lending to Finance Stablecoin Card Programs
29 Beyond Banks | September 5, 2026 Edition (TabaPay Funds $155M Bank-Charter Deal)}