Company: PDCC
Filing Date: 2025-09-19
Form Type: 424B2
Source: 0001214659-25-013974
Chunk: 239

Company: Pearl Diver Credit Co Inc.
Filing Date: 2025-09-19
Form: 424B2
Chunk 239
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 options on indexes
are similar to options on securities except that options on an index give the holder the right to receive, upon exercise of the option,
an amount of cash if the closing level of the underlying index is greater than (or less than, in the case of puts) the exercise price
of the option. This amount of cash is equal to the difference between the closing price of the index and the exercise price of the option,
expressed in dollars multiplied by a specified number. Thus, unlike options on individual securities, all settlements are in cash, and
gain or loss depends on price movements in the particular market represented by the index generally rather than the price movements in
individual securities. Options on indexes may, depending on circumstances, involve greater risk than options on securities. Because stock
index options are settled in cash, when the Company writes a call on an index it may not be able to provide in advance for its potential
settlement obligations by acquiring and holding the underlying securities.

The Company may trade put
and call options on securities, securities indexes and currencies, as the Adviser determines is appropriate in seeking to achieve the
Company’s investment objective, unless otherwise restricted by the Company’s investment limitations.

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The initial purchase (sale)
of an option contract is an “opening transaction.” In order to close out an option position, the Company may enter into a
“closing transaction,” which is simply the sale (purchase) of an option contract on the same security with the same exercise
price and expiration date as the option contract originally opened. If the Company is unable to effect a closing purchase transaction
with respect to an option it has written, it will not be able to sell the underlying security until the option expires or the Company
delivers the security upon exercise.

The Company may purchase
put and call options on securities for any lawful purpose, including to protect against a decline in the market value of the securities
in its portfolio or to anticipate an increase in the market value of securities that the Company may seek to purchase in the future. When
purchasing put and call options, the Company pays a premium for such options. If price movements in the underlying securities are such
that exercise of the options would not be profitable for the Company, loss of the premium paid may be offset by an increase in the value
of the Company’s securities or by a decrease in the cost of the acquisition of securities by the Company.

The Company may write (i.e.,
sell) “covered” call options on