Oxford Square Capital Corp. (OXSQ): Marketing Mix Analysis [11-2024 Updated]
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Oxford Square Capital Corp. (OXSQ) Bundle
In the dynamic world of finance, understanding the marketing mix is essential for investors looking to navigate the strategies of companies like Oxford Square Capital Corp. (OXSQ). This blog post delves into the four P's of OXSQ's business—Product, Place, Promotion, and Price—to provide you with a comprehensive overview of how this company operates and engages with its investors. Discover how OXSQ's diversified investment strategies and transparent communications set it apart in the competitive financial services sector.
Oxford Square Capital Corp. (OXSQ) - Marketing Mix: Product
Offers investments primarily in structured finance, software, and business services.
Oxford Square Capital Corp. (OXSQ) focuses on providing investment opportunities in structured finance, software, and business services. The company is dedicated to maximizing returns for its shareholders through strategic investments in various financial instruments.
Portfolio includes senior secured notes and CLO equity investments.
The investment portfolio of OXSQ consists of a mix of senior secured notes and collateralized loan obligation (CLO) equity investments. As of September 30, 2024, the total fair value of the investment portfolio was approximately $262.9 million, with senior secured notes comprising 58.1% and CLO equity investments making up 39.3% of the total portfolio.
| Investment Type | Fair Value (in millions) | Percentage of Total Portfolio |
|---|---|---|
| Senior Secured Notes | $152.7 | 58.1% |
| CLO Equity | $103.5 | 39.3% |
| Equity and Other Investments | $6.8 | 2.6% |
| Total | $262.9 | 100.0% |
Focus on generating income through interest and capital appreciation.
OXSQ aims to generate income primarily through interest earned on its investments and capital appreciation. In the nine months ended September 30, 2024, the company reported total investment income of approximately $32.5 million, a decrease from $39.5 million during the same period in 2023.
Investments span various sectors including healthcare and telecommunications.
The company's investment strategy includes a diverse range of sectors, notably healthcare and telecommunications, which are critical for sustaining growth and mitigating risk. As of September 30, 2024, the diversified investment approach has positioned OXSQ to navigate market fluctuations effectively.
Maintains a diversified investment strategy to mitigate risk.
Oxford Square Capital Corp. employs a diversified investment strategy, reducing risk exposure across its portfolio. The total net assets as of September 30, 2024, were approximately $159.5 million, reflecting effective portfolio management amid market challenges. The company’s focus on a diversified portfolio ensures that it can manage potential downturns in specific sectors.
Oxford Square Capital Corp. (OXSQ) - Marketing Mix: Place
Operates in the financial services sector, primarily in the U.S. market.
Oxford Square Capital Corp. (OXSQ) is primarily engaged in the financial services sector, focusing on investment management and capital markets within the United States. As of September 30, 2024, the total assets managed by OXSQ were approximately $312.9 million.
Investments are made through public and private offerings.
The company conducts its investment activities through a combination of public and private offerings. For the nine months ended September 30, 2024, OXSQ raised approximately $24.3 million through its At-The-Market (ATM) offering. This capital was raised by selling shares of common stock to the public, contributing to its investment portfolio.
Securities are listed on NASDAQ, enhancing accessibility for investors.
OXSQ's securities are listed on the NASDAQ under the trading symbols 'OXSQ' for common stock, 'OXSQZ' for 6.25% Unsecured Notes, and 'OXSQG' for 5.50% Unsecured Notes. This listing enhances the company's visibility and accessibility to a broad range of investors, facilitating trading and investment opportunities.
Utilizes a network of financial intermediaries for investment opportunities.
Oxford Square Capital Corp. actively collaborates with a network of financial intermediaries, including brokers and financial advisors, to identify and pursue investment opportunities. This collaboration helps the company to efficiently source investments and manage its portfolio effectively. The utilization of intermediaries is crucial for reaching potential investors and executing transactions in a timely manner.
Engages with portfolio companies to provide managerial assistance.
The company maintains direct engagement with its portfolio companies, providing managerial assistance and strategic guidance. As of September 30, 2024, OXSQ had investments in various sectors, including senior secured notes and CLO equity, contributing significantly to its investment income, which amounted to $20.4 million for the nine months ended. This engagement not only enhances the performance of its investments but also fosters strong relationships with the companies in which it invests.
| Metric | Value as of September 30, 2024 |
|---|---|
| Total Assets | $312,923,273 |
| Total Liabilities | $153,452,439 |
| Net Assets | $159,470,834 |
| Shares Outstanding | 67,869,056 |
| Net Asset Value per Share | $2.35 |
| Investment Income | $20,446,617 |
| Capital Raised (ATM Offering) | $24,300,000 |
Oxford Square Capital Corp. (OXSQ) - Marketing Mix: Promotion
Communicates financial performance through quarterly earnings reports.
As of September 30, 2024, Oxford Square Capital Corp. reported a net investment income of $6,187,155 for the three months ended, compared to $6,438,818 for the same period in 2023. The company experienced a net (decrease)/increase in net assets resulting from operations of ($874,541) for the latest quarter, contrasting with $6,692,836 in the previous year.
Engages investors through regular updates and shareholder meetings.
The number of shares outstanding as of September 30, 2024, was 67,869,056, reflecting ongoing engagement with shareholders through regular communication and updates.
Leverages digital marketing channels for investor relations.
Oxford Square Capital utilizes digital marketing strategies to enhance investor relations, including an amended equity distribution agreement effective August 16, 2024, enabling the company to offer up to $150 million of common stock through an ATM offering.
Highlights investment strategies and portfolio diversification in communications.
The company reported a total net assets value of $159,470,834 as of September 30, 2024, with a net asset value per common share of $2.35. This reflects its strategic focus on diversifying its investment portfolio to optimize returns.
Focuses on transparency to build investor trust and confidence.
Oxford Square Capital emphasizes transparency in its operations, reporting a total distribution to stockholders of $6,797,479 for the three months ended September 30, 2024.
| Metric | Q3 2024 | Q3 2023 |
|---|---|---|
| Net Investment Income | $6,187,155 | $6,438,818 |
| Net (Decrease)/Increase in Net Assets from Operations | ($874,541) | $6,692,836 |
| Shares Outstanding | 67,869,056 | 57,958,446 |
| Total Net Assets | $159,470,834 | $160,895,061 |
| Net Asset Value per Common Share | $2.35 | $2.55 |
| Total Distributions to Stockholders | $6,797,479 | $12,897,151 |
Oxford Square Capital Corp. (OXSQ) - Marketing Mix: Price
Current Market Price
The current market price per share of Oxford Square Capital Corp. (OXSQ) is approximately $2.83 as of November 2024.
Unsecured Notes
Oxford Square Capital Corp. offers a 6.25% unsecured note, which has a total principal amount of approximately $44.8 million, maturing on April 30, 2026. Additionally, it provides a 5.50% unsecured note with a principal amount of approximately $80.5 million, maturing on July 31, 2028.
Distributions
Distributions from net investment income are regularly paid to shareholders. For the three months ended September 30, 2024, the distributions per share were $0.105, compared to $0.225 for the same period in 2023. The total distributions to stockholders for the nine months ended September 30, 2024, were approximately $19.4 million.
Pricing Strategy
The pricing strategy of OXSQ reflects the performance of its underlying investments. The weighted average stated interest rate for all of the Company’s debt outstanding as of September 30, 2024, was 5.77%.
Competitive Pricing
Oxford Square Capital Corp. employs competitive pricing to attract both institutional and retail investors. The effective annualized interest rate for the 6.25% unsecured notes for the three months ended September 30, 2024, was approximately 6.74%, while for the 5.50% unsecured notes, it was approximately 5.95%.
| Type of Note | Principal Amount | Interest Rate | Maturity Date | Effective Annualized Interest Rate (as of Sept 30, 2024) |
|---|---|---|---|---|
| 6.25% Unsecured Notes | $44.8 million | 6.25% | April 30, 2026 | 6.74% |
| 5.50% Unsecured Notes | $80.5 million | 5.50% | July 31, 2028 | 5.95% |
In summary, Oxford Square Capital Corp. (OXSQ) effectively utilizes its marketing mix to navigate the competitive landscape of the financial services sector. By focusing on diverse investment offerings and maintaining a strong presence on NASDAQ, OXSQ enhances accessibility for investors. Their commitment to transparency through regular communications and performance updates fosters trust among shareholders. With a current share price of approximately $2.83 and attractive unsecured notes, OXSQ positions itself to appeal to both institutional and retail investors, ensuring a robust strategy for income generation and capital appreciation.
Updated on 16 Nov 2024
Resources:
- Oxford Square Capital Corp. (OXSQ) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Oxford Square Capital Corp. (OXSQ)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Oxford Square Capital Corp. (OXSQ)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.