Company: PDCC
Filing Date: 2025-09-19
Form Type: 424B2
Source: 0001214659-25-013974
Chunk: 130

Company: Pearl Diver Credit Co Inc.
Filing Date: 2025-09-19
Form: 424B2
Chunk 130
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 of a wide range of investment opportunities in CLOs and other securitized products. These investment opportunities are notified to the        
 Adviser either in the course of particular auction processes or as part of private bilateral negotiations with investors or financial         
 institutions that may hold, or wish to offer or exit, structured credit investments. The Adviser employs a proprietary NLP based Investment   
 Origination Engine that automates origination and selection of investments from the secondary markets via auctions and over-the-counter       
 direct trades. The Investment Origination Engine incorporates a memory of relevant trades and pricing information related to the trades       
 of CLO tranches over time, allowing the Adviser to approach the market in a highly informed manner.                                           |

| • | Efficient vehicle for gaining exposure to CLO securities. We believe our closed-end fund                                                       
 structure allows the Adviser to take a long-term view from a portfolio management perspective and allows investors to access liquidity         
 through the exchange. As such, the Adviser can focus principally on maximizing long-term risk-adjusted returns for the benefit of stockholders 
 without the need to liquidate fund assets to meet redemptions.                                                                                 |

The Adviser has historically focused considerable
time and attention seeking to maximize value within their CLO equity tranche portfolios through CLO refinancings and resets. In a CLO
refinancing, typically only the interest rate spread on a CLO’s debt tranches are reduced, and most other terms of the CLO remain
unchanged. The reduction of a CLO’s cost of debt accrues to the benefit of the CLO’s equity investors, such as the Company.

In a CLO reset, the CLO’s indenture,
which sets forth the terms governing the CLO, is “re-opened” (e.g., the terms of the indenture and the various tranches
of the CLO can be re-negotiated). Among other potential benefits, resetting a CLO renews the reinvestment period on the CLO, typically
by up to five years. We believe that the ability to lengthen the term of our investments in CLO equity tranches is a key benefit of our
permanent structure and we believe many limited-life investment vehicles are not fully able to capture the value of this benefit.

In both resets and refinancings,
there are one-time transaction costs (e.g., dealer fees, attorney fees, and related costs) which typically reduce the next
scheduled distribution to the CLO’s equity tranche. The Adviser