Company: PDCC
Filing Date: 2025-03-11
Form Type: N-CSR
Source: 0001398344-25-005419
Chunk: 2

Company: Pearl Diver Credit Co Inc.
Filing Date: 2025-03-11
Form: N-CSR
Chunk 2
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2

As of December 31, 2024, the Company’s NAV was
$19.89 per common share, down modestly from our IPO at $20.00, primarily due to unrealized losses in the portfolio.

The Company’s dividend reinvestment plan allows
common stockholders to have their distributions automatically reinvested into new shares of common stock. If the prevailing market price
of our common stock exceeds our NAV per share, such reinvestment is at a discount (up to five percent) to the prevailing market price.

Preferred Stock

In addition to common stock, on December 12, 2024,
the Company announced the pricing of its underwritten public offering of 8.00% Series A Preferred Stock Due 2029. The transaction closed
on December 19, 2024, with the Company selling 1,200,000 shares at a public offering price of $25.00 per share. The Company’s preferred
shares trade on the New York Stock Exchange under the symbol “PDPA”.

As of December 31, 2024, we had debt composed of the
preferred stock and reverse repurchase agreements of $35.6 million outstanding which totaled approximately 19.9% of our total assets.
Over time and under normal market conditions, the Company expects to employ leverage within a range of 25% to 35% of total assets, although
the actual amount of leverage will vary over time. As market conditions change, the Company may incur leverage outside of this range,
subject to applicable regulatory and contractual limits.

Portfolio Update

From commencement of operations through December 31, 2024, we deployed $70.33 million into CLO equity investments across 19 CLO investments, including new issue transactions, reset transactions and secondary market purchases.

| 1 | Distributions on common stock are generally paid from NII (regular interest and dividends) and may also include capital gains and/or 
 a return of capital. The specific tax characteristics of the distributions will be reported to the Company’s stockholders on Form    
 1099 after the end of the 2024 calendar year.                                                                                        |

| 2 | Weighted average common share is calculated based on the average daily number of shares of common stock outstanding during the 
 period.                                                                                                                        |

| 3 | Inclusive of unfunded commitments to purchase securities in CLOs which have priced but not yet closed. |

As of December 31, 2024, our portfolio was diversified
across 44