Form 4: Oaktree-Affiliated Entities Sell 1 Million Shares of Runway Growth Finance Corp. in Block Trade

OCM Growth Holdings LLC and related entities sold 1,000,000 shares of Runway Growth Finance Corp. common stock for $11.33 million in a block trade on March 18, 2024.

Summary

• On March 18, 2024, OCM Growth Holdings LLC and affiliated entities executed a block trade, selling 1,000,000 shares of Runway Growth Finance Corp. (RWAY) common stock.
• The sale price was $11.33 per share, resulting in aggregate proceeds of $11,330,000.
• Following the transaction, OCM Growth Holdings, LLC directly owns 15,492,168 shares of RWAY common stock.
• Oaktree Opportunities Fund Xb Holdings (Delaware), L.P. directly owns 0 shares of Common Stock of the Issuer, and therefore this filing constitutes an exit filing for Fund Xb Delaware.
• The reporting entities include OCM Growth Holdings LLC, Brookfield Oaktree Holdings, LLC, Oaktree Capital Group Holdings GP, LLC, Oaktree Opportunities Fund Xb Holdings (Delaware), L.P., Brookfield Corporation, and BAM Partners Trust.
• Each reporting person disclaims beneficial ownership of the reported equity securities except to the extent of their respective pecuniary interest.

Sentiment

Score: 5

Explanation: The document itself is neutral, simply reporting a transaction. The sale of shares by a major holder could be interpreted as slightly negative, but without further context, it's difficult to assign a strong sentiment.

Industry Context

This transaction reflects activity by a major shareholder, Oaktree, in Runway Growth Finance Corp., a business development company (BDC). Such transactions are common and are closely watched by investors for signals about the shareholder's view of the company's prospects.

Comparison to Industry Standards

• Block trades are a common mechanism for large shareholders to reduce their positions in a company.
• The size of this block trade (1,000,000 shares) is significant but not unusual for institutional investors like Oaktree.
• Comparable companies in the BDC space often see similar transactions from their major shareholders.

Stakeholder Impact

• The sale of a significant block of shares could create short-term price volatility for RWAY shareholders.
• The reduction in Oaktree's stake might be viewed by some investors as a change in their long-term commitment to the company.

Key Dates