Oxford Square NAV Falls 37% as Distributions Outpace Earnings

Oxford Square Capital Corp. is a publicly-traded business development company that invests primarily in syndicated bank loans and, to a lesser extent, debt and equity tranches of collateralized loan obligation vehicles. The Greenwich-based company trades on Nasdaq under the tickers OXSQ, OXSQG, and OXSQH, and carries approximately $151 million in market capitalization.

NAV per share has declined in each of the five quarters through June 30, 2026: $2.09 at the start of 2025, falling to $2.06, $1.95, $1.69, $1.32, and now $1.29. The company carries $80.5 million face value in 5.50% unsecured notes and $65.0 million face value in 7.75% notes due 2030 — the latter issued in August 2025 — leaving total debt at roughly $152 million against net assets of $135 million.

To fund its operations and maintain BDC regulatory requirements, Oxford Square has run a continuous at-the-market share offering. Share count has grown from approximately 69.8 million at December 31, 2024, to 105.1 million as of June 30, 2026, a 50% increase in 18 months. Each quarter of ATM issuance has added a few cents of per-share NAV uplift, partially cushioning — but not reversing — the erosion from realized losses and distribution overpayments.