Company: OXLCZ
Filing Date: 2025-05-20
Form Type: N-CSR
Source: 0001213900-25-045605
Chunk: 105

Company: Oxford Lane Capital Corp.
Filing Date: 2025-05-20
Form: N-CSR
Chunk 105
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 to corporate -levelU.S. federal income tax. If a CLO vehicle in which we invest fails to comply with certain U.S. tax disclosure requirements, such CLO may be subject to withholding requirements that could materially and adversely affect our operating results and cash flows. Legislation commonly referred to as the “Foreign Account Tax Compliance Act,” or “FATCA,” imposes a withholding tax of 30% on payments of U.S. source interest and dividends, to certain non -U.S. entities, including certain non -U.S. financial institutions and investment funds, unless such non -U.S. entity complies with certain reporting requirements regarding its United States account holders and its United States owners. While existing U.S. Treasury regulations would also require withholding on payments of the gross proceeds from the sale of any property that could produce U.S. source interest or dividends, the U.S. Treasury Department has indicated in subsequent proposed regulations its intent to eliminate this requirement. Most CLO vehicles in which we invest 88 will be treated as non -U.S. financial entities for this purpose, and therefore will be required to comply with these reporting requirements to avoid the 30% withholding. If a CLO vehicle in which we invest fails to properly comply with these reporting requirements, it could reduce the amounts available to distribute to equity and junior debt holders in such CLO vehicle, which could materially and adversely affect its operating results and cash flows. Risks Relating to an Investment in our Securities The common stock of closed-end management investment companies, including the Fund, have in the past frequently traded at discounts to their NAV, and we cannot assure you that the market price of shares of our common stock will not decline below our NAV per share. The common stock of closed -endmanagement investment companies have in the past frequently traded at discounts to their NAV and our stock may also be discounted in the market. This characteristic of closed -endmanagement investment companies is separate and distinct from the risk that our net asset value per share may decline. We cannot predict whether shares of our common stock will trade above, at or below our NAV. The risk of loss associated with this characteristic of closed -endmanagement investment companies may be greater for investors expecting to sell shares of common stock purchased in the offering soon after the offering. In addition, if our common stock trades below our NAV, we will generally not be able to sell additional shares of our common stock to the public at our market price. Our common stock price may be volatile and may decrease substantially. The trading price of our