Company: PDCC
Filing Date: 2025-03-11
Form Type: N-CSR
Source: 0001398344-25-005419
Chunk: 4

Company: Pearl Diver Credit Co Inc.
Filing Date: 2025-03-11
Form: N-CSR
Chunk 4
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 quarter to $28 billion in the fourth quarter, near levels in the first half of the year.

Excluding distressed exchanges loan default activity
has remained muted throughout 2024 with the trailing twelve-month default rate at 0.91% as of December 30, 2024, remaining well below
the historical average of 2.63%.

Subsequent Developments

On January 6, 2025, the underwriters of the Series
A Preferred Stock Due 2029 offering fully exercised their overallotment option, purchasing an additional 180,000 preferred shares from
the Company at a public offering price of $25.00 per share. In total, 1,380,000 preferred shares were sold in the offering, resulting
in net proceeds of approximately $33.2 million, which will be used to acquire investments in accordance with the Company’s investment
objectives and strategies and for general working capital purposes. We believe this successful offering reflects our strong financial
standing and marks a significant milestone for PDCC, reinforcing our commitment to distribution growth and value creation for our shareholders.

As of January 31, 2025, our estimated NAV per common
share was $20.17, a 1.4% increase from December 31, 2024, mainly driven by unrealized gains in the portfolio that resulted from refinancing
and reset activity, as well as tightening of CLO equity market yields.

On January 3, 2025, we announced monthly dividends
on our preferred shares of $0.2389 per share for January 2025, and $0.1667 per share for February, March, and April 2025.

On February 3, 2025, we announced monthly dividends
on our common stock of $0.22 per share, for February, March, and April 2025. We believe our dividend rate is sustainable and aligns with
our strategy of prudent portfolio management and our primary investment objective to maximize our portfolio’s total return.

We thank our stockholders for their confidence and support.

Indranil Basu

Chief Executive Officer

| 2 | www.pearldivercreditcompany.com |

This letter is intended to assist stockholders in
understanding the Company’s performance for the period beginning on July 9, 2024 (date of reorganization), and ending on December
31, 2024. The views and opinions in this letter were current as of February 28, 2025. Statements other than