Company: PDCC
Filing Date: 2025-07-18
Form Type: N-2
Source: 0001214659-25-010613
Chunk: 101

Company: Pearl Diver Credit Co Inc.
Filing Date: 2025-07-18
Form: N-2
Chunk 101
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 to time and, as such, may constitute a material
part of our portfolio on any given date, based on the Adviser’s assessment of prevailing market conditions.

The Adviser’s Investment Team utilizes a
variety of methods to proactively source and analyze investments, including leveraging its Investment Team’s industry experience
and extensive network of contacts, performing due diligence on, and engaging in bilateral discussions with CLO collateral managers. The
Adviser’s proprietary quantitative techniques and investment opportunity scraping allows Adviser’s Investment Team to benchmark
CLO collateral manager performance and relative value of each investment opportunity on an ongoing basis while having fully integrated
in-house fundamental credit analysis for each underlying loan. We believe that our highly agile and quantitative approach allows us to
quickly react and adapt to emerging market opportunities and effectively seek relative value in CLO equity investing.

The Company has adopted a non-fundamental investment
policy in accordance with Rule 35d-1 under the 1940 Act to invest, under normal circumstances, at least 80% of its net assets, plus the
amount of any borrowings for investment purposes, in credit instruments. The Company defines “credit instruments” as financial
instruments the performance of which is derived from the performance of senior secured loans or pools thereof. Instruments that the company
considers to be “credit instruments” include, but is not limited to, senior, mezzanine, and junior debt tranches of CLOs,
equity tranches of CLOs, and CLO Warehouses.

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The Company may acquire (i) CLO equity positions
via primary market transactions, (ii) CLO equity positions via secondary market transactions, and (iii) positions of CLO junior debt in
primary and secondary market. In acquiring these investments, the Company may employ leverage. When the Company makes a significant investment
in a particular CLO equity tranche, we expect to be generally able to influence the CLO’s key terms and conditions (if acquired
in the primary market). Additionally, the Adviser believes that the protective rights associated with holding a substantial position in
a CLO equity tranche (such as the ability to call the CLO after the non-call period, to refinance/reprice certain CLO debt tranches after
a period of time and to influence potential amendments to the governing documents that may arise) may reduce the risk and enhance returns
in these investments. The Company may acquire a substantial position in a CLO tranche directly or