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Borrowings
 3 Months Ended
Mar. 31, 2026
Borrowings [Abstract]  
BORROWINGS

NOTE 6. BORROWINGS

In accordance with the 1940 Act, with certain limited exceptions, the Company is only allowed to borrow amounts such that its asset coverage, as defined in the 1940 Act, is at least 150%, immediately after such borrowing. As of March 31, 2026 and December 31, 2025, the Company’s asset coverage for borrowed amounts was 177% and 191%, respectively.

The following are the Company’s outstanding principal amounts, carrying values and fair values of the Company’s borrowings as of March 31, 2026 and December 31, 2025. The fair value of the 5.50% Unsecured Notes is based upon the closing price on the last day of the period. The 5.50% Unsecured Notes are listed on the NASDAQ Global Select Market (trading symbol “OXSQG”). The fair value of the 7.75% Unsecured Notes is based upon the closing price on the last day of the period. The 7.75% Unsecured Notes are listed on the NASDAQ Global Select Market (trading symbol “OXSQH”).

($ in millions)

  

As of

March 31, 2026

  

December 31, 2025

Principal
Amount

  

Carrying
Value(1)

  

Fair
Value

  

Principal
Amount

  

Carrying
Value(1)

  

Fair
Value

5.50% Unsecured Notes

  

$

80.5

  

$

79.6

  

$

76.5

  

$

80.5

  

$

79.5

  

$

77.8

7.75% Unsecured Notes

  

 

74.8

  

 

72.3

  

 

74.8

  

 

74.8

  

 

72.1

  

 

76.2

Total(2)

  

$

155.3

  

$

151.9

  

$

151.2

  

$

155.3

  

$

151.6

  

$

154.0

(1)      The Carrying Value represents the aggregate principal amount outstanding less the unamortized deferred issuance costs. As of March 31, 2026, the total unamortized deferred issuance costs for the 5.50% Unsecured Notes and 7.75% Unsecured Notes were approximately $0.9 million and $2.5 million, respectively. As of December 31, 2025, the total unamortized deferred issuance costs for the 5.50% Unsecured Notes and 7.75% Unsecured Notes were approximately $1.0 million, and $2.6 million, respectively.

(2)      Totals may not sum due to rounding.

For the three months ended March 31, 2026, the weighted average principal amount of debt outstanding and weighted average annualized effective interest rate was approximately $155.3 million and 7.29%, respectively. For the year ended December 31, 2025, the weighted average principal amount of debt outstanding and weighted average annualized effective interest rate was approximately $138.2 million and 6.69%, respectively.

The weighted average stated interest rate and weighted average maturity on the Company’s borrowings as of March 31, 2026 were 6.58% and 3.3 years, respectively, and as of December 31, 2025 were 6.58% and 3.5 years, respectively.

The tables below summarize the components of interest expense for the three months ended March 31, 2026 and March 31, 2025, respectively:

($ in thousands)

  

Three Months Ended March 31, 2026

Stated Interest
Expense

  

Amortization of
Deferred Debt
Issuance Costs

  

Total

5.50% Unsecured Notes

  

$

1,106.9

  

$

95.1

  

$

1,202.0

7.75% Unsecured Notes

  

 

1,448.3

  

 

141.0

  

 

1,589.3

Total

  

$

2,555.2

  

$

236.1

  

$

2,791.3

($ in thousands)

  

Three Months Ended March 31, 2025

Stated Interest
Expense

  

Amortization of
Deferred Debt
Issuance Costs

  

Total(1)

6.25% Unsecured Notes

  

$

699.9

  

$

57.5

  

$

757.4

5.50% Unsecured Notes

  

 

1,106.9

  

 

95.1

  

 

1,202.0

Total(1)

  

$

1,806.8

  

$

152.6

  

$

1,959.3

(1)      Totals may not sum due to rounding.

Notes Payable — 5.50% Unsecured Notes Due 2028 (the “5.50% Unsecured Notes”)

On May 20, 2021, the Company completed an underwritten public offering of approximately $80.5 million in aggregate principal amount of 5.50% Unsecured Notes. The 5.50% Unsecured Notes will mature on July 31, 2028, and may be redeemed in whole or in part at any time or from time to time at the Company’s option on or after May 31, 2024. The 5.50% Unsecured Notes bear interest at a rate of 5.50% per year payable quarterly on January 31, April 30, July 31, and October 31, of each year. The 5.50% Unsecured Notes are listed on the NASDAQ Global Select Market under the trading symbol “OXSQG.”

The aggregate accrued interest payable on the 5.50% Unsecured Notes as of March 31, 2026 was approximately $0.7 million. As of March 31, 2026 and December 31, 2025 the Company had unamortized deferred debt issuance costs of approximately $0.9 million and $1.0 million, respectively, relating to the 5.50% Unsecured Notes. The deferred debt issuance costs are being amortized over the term of the 5.50% Unsecured Notes and are included in interest expense in the statements of operations. The cash paid and the effective annualized interest rate for the periods ended March 31, 2026 and March 31, 2025 were approximately $1.1 million and 6.06%, respectively.

Notes Payable — 7.75% Unsecured Notes Due 2030 (the “7.75% Unsecured Notes”)

On August 7, 2025, the Company completed an underwritten public offering of approximately $74.8 million in aggregate principal amount of 7.75% unsecured notes due 2030. The 7.75% Unsecured Notes will mature on July 31, 2030, and may be redeemed in whole or in part at any time or from time to time at the Company’s option on or after July 31, 2027. The 7.75% Unsecured Notes bear interest at a rate of 7.75% per year payable quarterly on January 31, April 30, July 31, and October 31, of each year. The 7.75% Unsecured Notes are listed on the NASDAQ Global Select Market under the trading symbol “OXSQH.”

The aggregate accrued interest payable on the 7.75% Unsecured Notes as of March 31, 2026 was approximately $1.0 million. As of March 31, 2026 and December 31, 2025 the Company had unamortized deferred debt issuance costs of approximately $2.5 million and $2.6 million, respectively, relating to the 7.75% Unsecured

Notes. The deferred debt issuance costs are being amortized over the term of the 7.75% Unsecured Notes and are included in interest expense in the statements of operations. The cash paid and the effective annualized interest rate for the period ended March 31, 2026 were approximately $1.4 million and 8.62%, respectively.

Notes Payable — 6.25% Unsecured Notes Due 2026 (the “6.25% Unsecured Notes”)

On April 3, 2019, the Company completed an underwritten public offering of approximately $44.8 million in aggregate principal amount of 6.25% Unsecured Notes. The 6.25% Unsecured Notes would have matured on April 30, 2026, and could have been redeemed in whole or in part at any time or from time to time at the Company’s option on or after April 30, 2022. The 6.25% Unsecured Notes bore interest at a rate of 6.25% per year payable quarterly on January 31, April 30, July 31, and October 31, of each year.

On June 13, 2025, the Company redeemed $10.0 million in aggregate principal amount of the 6.25% Unsecured Notes. On July 18, 2025, the Company redeemed $10.0 million in aggregate principal amount of the 6.25% Unsecured Notes. On September 19, 2025, the Company redeemed the remaining $24.8 million in aggregate principal amount of the 6.25% Unsecured Notes. In connection with the September 19, 2025 redemption, the 6.25% Unsecured Notes were delisted from the NASDAQ Global Select Market.

The aggregate accrued interest payable on the 6.25% Unsecured Notes as of March 31, 2025 was approximately $467,000. As of March 31, 2025, the Company had unamortized deferred debt issuance costs of approximately $252,000 relating to the 6.25% Unsecured Notes. The deferred debt issuance costs were being amortized over the term of the 6.25% Unsecured Notes and are included in interest expense in the statements of operations. The cash paid and the effective annualized interest rate for the three months ended March 31, 2025 were approximately $700,000 and 6.86%, respectively.