Blue Owl Capital Inc. · NYSE:OWL
Blue Owl Capital — Investor Presentation (March 2022)
33 slides from Blue Owl Capital's investor presentation, March 2022
Slide 1: Blue Owl Investor Presentation
Blue Owl Investor Presentation March 2022
Slide 2: Disclosures
Disclosures About Blue Owl Blue Owl is a global alternative asset manager with $94.5 billion of assets under management as of December 31, 2021. Anchored by a strong permanent capital base, the firm deploys private capital across Direct Lending, GP Capital Solutions and Real Estate strategies on beh
Slide 3: Disclosures
Disclosures Non-GAAP Financial Measures; Other Financial and Operational Data This presentation includes certain non-GAAP financial measures that are not prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and that may be different from non-GAAP financi
Slide 4: About Blue Owl
About Blue Owl Over $94 billion of assets under management, Blue Owl is a leading provider of private capital solutions Blue Owl Firm Overview A Solutions Provider Blue Owl’s complementary platforms allow for enhanced origination ▪ Blue Owl is an alternative asset manager opportunities and access to
Slide 5: Blue Owl Overview Investment Platforms
Blue Owl Overview The Owl Rock, Dyal Capital and Oak Street platforms provide investment strategies dedicated to private capital solutions Investment Platforms Direct Lending GP Capital Solutions Real Estate • A leading direct lending business with • A leading GP capital solutions • An industry-lead
Slide 6: Blue Owl Assets Under Management
Blue Owl Assets Under Management Blue Owl is an alternative asset manager that provides investors access to Direct Lending, GP Capital Solutions and Real Estate strategies through a variety of products $94.5 billion of Assets Under Management GP Capital Solutions $39.9 $38.7B GP Minority $1.0B GP De
Slide 7: Experienced Senior Leadership Team
Experienced Senior Leadership Team Doug Ostrover Marc Lipschultz Michael Rees Alan Kirshenbaum CEO Co-President Co-President CFO ▪ Co-Founder and Chief ▪ Co-Founder and Co- ▪ Co-Founder and Co- ▪ Chief Financial Officer of Executive Officer of Blue President of Blue Owl President of Blue Owl Blue Ow
Slide 8: Blue Owl is Providing Services to An Expanding Private Markets Ecosystem
Blue Owl is Providing Services to An Expanding Private Markets Ecosystem Private Capital AUM (dollars in trillions) $17.8 Private Equity Private Debt CAGR: 13% Real Estate Infrastructure $9.8 Natural Resources $8.5 CAGR: 3% R: 1 12% CAG $7.1 $6.0 $5.2 $11.1 $4.5 $3.9 $4.2 $3.7 $3.0 $3.3 $2.4 $2.7 $6
Slide 9: A Diversified and Global Client Base
A Diversified and Global Client Base Blue Owl’s client base is well diversified across institutional investors and retail / high net worth investors Investor Base by Type & Geography Rest of World 1% North America 77% EMEA 8% 30% APAC14% 23% 16% 11% 7% 5% 5% 2% 1% 1 Retail / HNW Public Pension Corpo
Slide 10: A Business Built for Predictable, FRE-Centric Growth
A Business Built for Predictable, FRE-Centric Growth Market leading Permanent Capital base with approximately $78.8 billion in Permanent Capital AUM (98% of Management Fees from Permanent Capital1) Best in class Fee-Related Earnings generation Highly attractive, robust margins Industry leading embed
Slide 11: Blue Owl has a Highly Differentiated Financial Profile
Blue Owl has a Highly Differentiated Financial Profile Compares Favorably to Public Alternative Asset Management Peers Higher-Growth, FRE-Centric Diversified Blue Owl Alt. Manager Firms 2021 YTD FRE FRE-Centric ~100% as % of DE 68% 52% Earnings1 Before Taxes '21A/E - '23E Earnings 37% Annualized 5%
Slide 12: Key Metrics
Key Metrics • Retail Fundraise of $1.6 billion increased $0.7 billion, or 71%, quarter-over-quarter • Retail Fundraise increased $1.1 billion, or 196%, when compared to 2Q'21 • Management Fees of $236.3 million increased 15% quarter-over-quarter • Permanent Capital generated 98% of fourth quarter ma
Slide 13: Blue Owl AUM and Management Fees
Blue Owl AUM and Management Fees The permanency and duration of the products that we manage are a differentiator in our industry and an indicator of the stability of our future revenue streams AUM by Duration Management Fees by Duration 2% $1.2 $14.5 Permanent Capital Permanent Capital 5 or More Yea
Slide 14: A Focused and Highly Visible Path For Meaningful Growth
A Focused and Highly Visible Path For Meaningful Growth 1 2 3 Deploy $11.0B of Dyal and Owl Rock AUM Not Yet Earning Fee Step-Up – Listing Fundraising Fees Private BDCs1 (Ongoing) (Already Raised) ~$140M of annualized management fees once deployed 4 5 6 Retail Expansion Raising Additional into Wireh
Slide 15: Business Overviews
Business Overviews
Slide 16: Blue Owl Direct Lending Platform | Key Highlights
Blue Owl Direct Lending Platform | Key Highlights One of the largest direct lending platforms with strong performance and experienced leadership and investment teams • Robust proprietary deal flow driven by an extensive network of Scale $39.2B sponsors Assets Under Management • Deep bench of 75+ exp
Slide 17: Direct Lending Platform Breakdown
Direct Lending Platform Breakdown Complementary verticals that leverage existing origination and underwriting functions with a primary focus on private equity sponsored deals and other corporate solutions $39.2 Billion Assets Under Management Diversified Technology First Lien Opportunistic Lending L
Slide 18: Direct Lending Continues to Expand Faster Than the Larger Alternatives Industry
Direct Lending Continues to Expand Faster Than the Larger Alternatives Industry In the context of the broader private markets industry, Direct Lending constitutes a relatively small but growing market share Market Landscape Direct Lending Originations (dollars in billions) $2.3 trillion of $3+ trill
Slide 19: Blue Owl GP Capital Solutions | Key Highlights
Blue Owl GP Capital Solutions | Key Highlights Blue Owl is a market leader in the GP Capital Solutions space • Strong and extensive relationships with scaled players across the alternative asset management ecosystem Scale $39.9B • Proven experience with over 65 equity and debt transactions Assets Un
Slide 20: GP Capital Solutions Platform Breakdown
GP Capital Solutions Platform Breakdown Complementary strategies providing a range of solutions to capital-constrained ecosystems $39.9 Billion Assets Under Management GP Minority Equity Professional Sports GP Debt Financing Investments Minority Investments AUM1 $38.7 billion $1.0 billion $0.2 billi
Slide 21: Real Estate Platform | Key Highlights
Real Estate Platform | Key Highlights Oak Street was founded in 2009 as an opportunistic equity real estate firm based in Chicago, IL. • An industry-leading private equity real estate business with 15.4 billion in Scale $15.4B assets under management Assets Under Management • Focused on acquiring pr
Slide 22: Oak Street Real Estate Platform Breakdown
Oak Street Real Estate Platform Breakdown An industry-leading opportunistic equity real estate business with 15.4 billion in assets under management $15.4 Billion Assets Under Management Net Lease AUM1 $15.4 billion Strategy 2009 Commenced Focus • Oak Street focuses on acquiring high quality real es
Slide 23: Financial Information
Financial Information
Slide 24: Supplemental Liquidity Metrics
Supplemental Liquidity Metrics Subsequent to December 31, 2021, the Company: • Repaid borrowings under the Revolving Credit Facility • Increased the Revolving Credit Facility to provide total borrowing capacity of $715 million • Issued 10 year Unsecured Debt of $400 million, due 2032 Total Debt ($m)
Slide 25: Blue Owl's Non-GAAP Results (Unaudited)
Blue Owl’s Non-GAAP Results (Unaudited) (amounts in thousands, except per share data) 4Q'21 3Q'21 Adjusted 2Q'21 2Q'21 FRE Revenues Management Fees, Net (including Part I Fees of $41,724, $43,659, $ 236,267 $ 204,720 $ 180,402 $ 142,135 $36,073 and $36,073) Administrative, Transaction and Other Fees
Slide 26: Appendix
Appendix
Slide 27: Non-GAAP Measures
Non-GAAP Measures Fee-Related Earnings and Related Fee-Related Earnings is a supplemental non-GAAP measure of operating performance used to make operating decisions and assess operating Components performance. Fee-Related Earnings excludes certain items that are required for the presentation of resu
Slide 28: Non-GAAP Reconciliations
Non-GAAP Reconciliations Non-GAAP Reconciliations (amounts in thousands, except per share data) 4Q'21 3Q'21 Adjusted 2Q'21 2Q'21 Adjusted 1Q'21 GAAP Loss Before Income Taxes $ (35,222) $ (255,238) $ (1,616,539) $ (1,616,539) $ 39,522 Net (income) loss allocated to noncontrolling interests included i
Slide 29: Non-GAAP Reconciliations (cont'd)
Non-GAAP Reconciliations (cont’d) Non-GAAP (dollars in thousands) Reconciliations 4Q'21 3Q'21 Adjusted 2Q'21 2Q'21 GAAP Revenues $ 288,519 $ 247,875 $ 179,260 $ 179,260 Plus: Incremental revenues assuming the Business Combination closed on 4/1/21 — — 41,381 — Strategic Revenue-Share Purchase conside
Slide 30: Defined Terms
Defined Terms Assets Under Management or Refers to the assets that we manage, and are generally equal to the sum of (i) net asset value (“NAV”); (ii) drawn and AUM undrawn debt; (iii) uncalled capital commitments; and (iv) total managed assets for certain Real Estate products. our BDCs Refers to our
Slide 31: Defined Terms (cont'd)
Defined Terms (cont’d) Gross IRR Refers to an annualized since inception gross internal rate of return of cash flows to and from the product and the product’s residual value at the end of the measurement period. Gross IRRs are calculated before giving effect to management fees (including Part I Fees
Slide 32: Important Information
Important Information Unless otherwise indicated, the Report Date referenced herein is December 31, 2021. Past performance is not a guide to future results and is not indicative of expected realized returns. Assets Under Management (“AUM”) refers to the assets that we manage and are generally equal
Slide 33: Blue Owl
B BLUE OWL
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