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Saba Boss Warns of Turmoil in Private Credit Following Blue Owl Strains

Boaz Weinstein, founder of Saba Capital, warned that the private credit market is entering a turbulent phase after Blue Owl Capital’s recent liquidity strain. Blue Owl has limited withdrawals and sold loans to satisfy redemptions, causing its shares to tumble roughly 50% despite revenue growth. In response, Saba and Cox Capital launched cash tender offers for three Blue Owl‑managed BDCs at 20‑35% discounts to net asset value, aiming to provide liquidity for stuck investors. Weinstein also signaled plans to launch a fund to exploit dislocations, echoing similar concerns voiced by JPMorgan’s Jamie Dimon.