Company: OXLCZ
Filing Date: 2025-02-19
Form Type: 424B2
Source: 0001213900-25-015045
Chunk: 105

Company: Oxford Lane Capital Corp.
Filing Date: 2025-02-19
Form: 424B2
Chunk 105
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 share issuances or repurchases during the current calendar quarter. Base management fees for any partial month or quarter will be appropriately pro -rated. The incentive fee is calculated and payable quarterly in arrears based on our pre -incentivefee net investment income for the immediately preceding calendar quarter. For this purpose, pre -incentivefee net investment income means interest income, dividend income and any other income (including any other fees, such as commitment, origination, structuring, diligence and consulting fees or other fees that we receive from an investment) accrued during the calendar quarter, minus our operating expenses for the quarter (including the base management fee, expenses payable under the Administration Agreement to Oxford Funds, and any interest expense and dividends paid on any issued and outstanding preferred stock, but excluding the incentive fee). Pre -incentivefee net investment income includes accrued income that we have not yet received in cash, such as the amount of any market discount we may accrue on debt instruments we purchase below par value. Pre -incentivefee net investment income does not include any realized capital gains. Pre -incentivefee net investment income, expressed as a rate of return on the value of our net assets at the end of the immediately preceding calendar quarter, is compared to a hurdle of 1.75% per quarter (7.00% annualized). For such purposes, our quarterly rate of return is determined by dividing our pre -incentivenet investment income by our reported net assets as of the prior period end. Our net investment income used to calculate this part of the incentive fee is also included in the amount of our gross assets used to calculate the 2.00% base management fee. We pay Oxford Lane Management an incentive fee with respect to our pre -incentivefee net investment income in each calendar quarter as follows: •no incentive fee in any calendar quarter in which our pre -incentivefee net investment income does not exceed the hurdle of 1.75%; •100% of our pre -incentivefee net investment income with respect to that portion of such pre -incentivefee net investment income, if any, that exceeds the hurdle but is less than 2.1875% in any calendar quarter (8.75% annualized). We refer to this portion of our pre -incentivefee net investment income (which exceeds 32 the hurdle but is less than 2.1875%) as the “catch -up.” The “catch -up” is