ONEX Corporation

Thank you for standing by and welcome to the ONIX Corporation's second Quartet Earnings Results Conference call. At this time, all participants are in listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during this session, you'll need to press star 1-1 on your telephone. If your question has been answered and you'd like to remove yourself from the queue, simply press star 1-1 again. As a reminder, today's program is being recorded. And now I'd like to introduce your host for today's program, Jill Hominick, Shareholder Relations and Communications. Please go ahead.

Thank you. Good morning, everyone, and thanks for joining us. We're broadcasting this call on our website. Hosting the call today are Bobbi LeBlanc, ONIX's Chief Executive Officer, and Chris Govind, our Chief Financial Officer. Earlier this morning, we issued our second quarter 2025 press release, MDNA, and Consolidated Financial Statements, which are available in the shareholder section of our website and have also been filed on CDAR. Our supplemental information package is also available on our website. As a reminder, all references to dollar amounts on this call are in U.S., unless otherwise stated. I must also point everyone to our webcast presentation for our usual disclaimer and cautionary factors relating to any forward-looking statements contained in today's presentation and remarks. With that, I'll now turn the call over to Bobbi.

Good morning, everyone. ONIX delivered a solid quarter in Q2. The focus on our firm-wide priorities of compounding NAV and increasing fee-related earnings is evident in our first half performance. While creating near-term value is foremost for our teams, we also remain active on identifying appropriate capital allocation strategies to drive long-term enterprise and shareholder value. Investing capital per share returned 4% in Q2, driven by gains in private equity and credit. For the first half of the year, investing capital per share returned 7%. We continued to see growth in fee-generating AUM this quarter. So far in 2025, fee-generating AUM has increased by 16% for solid contributions from structured credit and our PE platforms. Turning now to private equity. After the completion of successful fundraisers in each of OP and ONCAP earlier this year, the teams are now focused on driving performance within their portfolios, identifying new opportunities for investment and securing realizations to return capital to ONIX and our investors. On the return of capital front, ONIX partners pending partial sale of WestJet to a consortium of three prominent global airlines has received positive feedback from our shareholders and LPs. The transaction, which is expected to close this year, will result in OP returning all of its original investment, while still owning 75% of its original stake. When announced, the sale price represented more than a 40% premium to our Q1 mark, reflecting both the strategic nature of the transaction and WestJet's performance potential. We are pleased with the outcome, which we view as an endorsement of OP's demonstrated to create value in its core verticals independent of macro events. In July, ONCAP completed the sale of 80% of our stake and precision concepts. The transaction returned more than three times ONCAP's initial investment over the seven and a half year hold period, demonstrating the team's ability to compound capital at its return and once again, validating ONCAP's differentiated subsector expertise. ONCAP continues to produce significant returns of capital for investors, which in both 2023 and 2024, averaged over 20% of net asset value. Investing performance at both OP and ONCAP was good this quarter, with a combined return of 4%. Although still early days, the performance of the ONIX Partners Opportunity Fund was a particular highlight. Overall the team's performances are contributing to meaningful gains in unrealized carried interest. Since the end of the year, unrealized carried interest across PE has increased by 22% for nearly $60 million. Within credit, the team had another impressive quarter, increasing both fee generating assets and fee related earnings. Since we reported our Q1 results, our structured credit team has executed another seven transactions, bringing the total for the year to 17, including seven new issues. In aggregate, the credit team has raised $4.5 billion of new fee generating assets and extended another $3.8 billion. Across the industry, CLO issuance has been strong amidst ongoing demand from global investors. Within this dynamic, ONIX is continuing to gain market share. Building on our strong performance in recent years, we expect to again be a top 10 global CLO issuer in 2025. ONIX credit is now approaching $30 billion in assets under management. The team has done a nice job of continuing to scale our platform by offering differentiated products, strengthening its relationships with leading institutional investors, and delivering strong risk adjusted returns for our clients. I am pleased with the results the ONIX team delivered in the first half of the year. Staying focused within our core streams will lead to increased shareholder value. We also know that we need to be strategic and proactive in how we deploy our capital to build for the future. I'll now turn it over to Chris. Thanks,