OHA INVESTMENT CORPORATION (NASDAQ:OHAI) Files An 8-K Other Events

Item 8.01. Other Events.

The purpose of this Form 8-K is to provide shareholders with
updated information regarding two of the Registrants legacy
portfolio companies (acquired prior to September 30, 2014, when
Oak Hill Advisors, L.P. assumed management of the Registrant)
that will likely have a negative impact on the fair value of
those investments: (i) ATP Oil Gas Corporation/Bennu Oil Gas, LLC
and (ii) OCI Holdings, LLC (OCI).

ATP Oil Gas Corporation/Bennu Oil Gas, LLC

On December 1, 2016, Bennu Oil Gas, the successor to ATP Oil Gas
Corporation (Bennu), announced that it had filed for bankruptcy
under Chapter 7 of the U.S. Bankruptcy Code, indicating its
intention to liquidate. Bennu is the owner and operator of the
Titan Production Facility (Titan), a platform company in the Gulf
of Mexico utilized by Bennu for production with respect to the
Telemark field in which the Registrant has a limited term royalty
interest (ORRI). Titan went into involuntary Chapter 11
bankruptcy in August 2016. In November 2016, Bennu shut down
production on the Titan platform and shut-in all related wells in
anticipation of the Chapter 7 bankruptcy filing. The Registrants
ORRI is dependent on continued production from the Telemark
field. It is unclear whether a party will emerge from the Chapter
7 bankruptcy that will continue production. The last monthly
production payment the Registrant received was with respect to
September production. While production continued for the month of
October and a portion of November, it is likely that the
Registrant will not receive payments with respect to those
months.

The Bennu bankruptcy proceeding is expected to have a material
negative impact on the fair value of the Registrants limited term
royalty interest (ORRI) disclosed to shareholders in the
Registrants most recent Form 10-Q for the quarter ended September
30, 2016, which was $12.3 million, representing 9.4% of the total
fair value of the Registrants portfolio investments as of the
quarter end. Future information regarding the fair value of the
ORRI for the fiscal year ending December 31, 2016 will be
provided in the Registrants Form 10-K.

OCI Holdings, LLC

On November 30, 2016, the Registrant entered into a Fifth
Amendment to the Note Purchase and Security Agreement with OCI,
allowing OCI to make payment in-kind (PIK) interest solely with
respect to the November interest payment, in exchange for OCIs
agreement to pay default interest (in PIK) arising from prior
financial covenant defaults for the quarter ended September 30,
2016. On November 28, 2016, the Texas Health and Human Services
Commission (HHSC) announced that it would be implementing
Medicaid reimbursement rate reductions effective December 15,
2016. Such rate reductions, if implemented, would likely have a
negative impact on OCIs earnings and cash flow.

While advocacy groups continue to challenge the Medicare
reimbursement rate reductions and are asking the Texas
Legislature to restore funding in its upcoming legislative
session, there is no guarantee that the Texas Legislature will do
so, or that HHSC will decline to implement the announced
reductions. Therefore, the long-term impact to OCI remains
uncertain. These developments may have a negative impact on the
fair value of the Registrants subordinated note and Class A units
disclosed to shareholders in the Registrants most recent Form
10-Q for the quarter ended September 30, 2016, which totaled
$17.7 million, representing 13.5% of the total fair value of the
Registrants portfolio investments as of the quarter end. OCI also
represented 16.1% of the Registrants cash interest earned for the
nine months ended September 30, 2016. Future information
regarding the fair value of the subordinated note and Class A
units for the fiscal year ending December 31, 2016 will be
provided in the Registrants Form 10-K.

Further information regarding these two investments can be found
in the Registrants Form 10-Q for the quarter ended September 30,
2016.

Item 9.01. Financial Statements and Exhibits.

The information in this current report on Form 8-K, including
Exhibit 99.1 hereto, is being furnished and shall not be deemed
filed for purposes of Section 18 of the Securities Exchange Act
of 1934, as amended (the Exchange Act), or otherwise subject to
the liabilities of that section and shall not be deemed
incorporated by reference into any filing under the Securities
Act of 1933, as amended, or the Exchange Act except as expressly
set forth by specific reference in such filing.

About OHA INVESTMENT CORPORATION (NASDAQ:OHAI)

OHA Investment Corporation is a specialty finance company. The Company focuses primarily on providing direct lending solutions to middle market private companies across industry sectors. The Company’s investment portfolio includes debt securities and other investments in upstream exploration and production companies engaged in the acquisition, development and production of oil and natural gas properties in and along the Gulf Coast, in the state and federal waters of the Gulf of Mexico, and in the Permian Basin, Mid-Continent and Rocky Mountain areas. The Company is an externally managed, closed-end, non-diversified management investment company. The Company invests primarily in senior and junior secured, unsecured and subordinated loans, and to debt securities or preferred stock of the United States private and public middle market companies. The Company may also invest in equity, distressed debt and other assets. The Company’s investment advisor is Oak Hill Advisors, L.P.

OHA INVESTMENT CORPORATION (NASDAQ:OHAI) Recent Trading Information

OHA INVESTMENT CORPORATION (NASDAQ:OHAI) closed its last trading session down -0.05 at 2.63 with 86,991 shares trading hands.