Ares Capital Corporation Prices Public Offering of $1.00 Billion 5.875% Unsecured Notes Due 2029
17 January 2024 - 9:00AM
Business Wire
Ares Capital Corporation (Nasdaq: ARCC) announced that it has
priced an underwritten public offering of $1.00 billion in
aggregate principal amount of 5.875% notes due 2029. The notes will
mature on March 1, 2029, and may be redeemed in whole or in part at
Ares Capital’s option at any time at par plus a “make-whole”
premium, if applicable.
BofA Securities, Inc., J.P. Morgan Securities LLC, SMBC Nikko
Securities America, Inc., Wells Fargo Securities, LLC, Mizuho
Securities USA LLC, MUFG Securities Americas Inc., RBC Capital
Markets, LLC, Santander US Capital Markets LLC and Truist
Securities, Inc. are acting as joint book-running managers for this
offering. CIBC World Markets Corp., ICBC Standard Bank Plc, Morgan
Stanley & Co. LLC, Barclays Capital Inc., BNP Paribas
Securities Corp., BNY Mellon Capital Markets, LLC, Capital One
Securities, Inc., Goldman Sachs & Co. LLC, Natixis Securities
Americas LLC, Regions Securities LLC and SG Americas Securities,
LLC are acting as joint lead managers for this offering. ING
Financial Markets LLC, R. Seelaus & Co., LLC, Academy
Securities, Inc., Citigroup Global Markets Inc., Comerica
Securities, Inc., Deutsche Bank Securities Inc., Keefe, Bruyette
& Woods, Inc., Loop Capital Markets LLC, Samuel A. Ramirez
& Company, Inc. and Siebert Williams Shank & Co., LLC are
acting as co-managers for this offering. The offering is expected
to close on January 23, 2024, subject to customary closing
conditions.
Ares Capital expects to use the net proceeds of this offering to
repay certain outstanding indebtedness under its debt facilities.
Ares Capital may reborrow under its debt facilities for general
corporate purposes, which include investing in portfolio companies
in accordance with its investment objective.
Investors are advised to carefully consider the investment
objective, risks, charges and expenses of Ares Capital before
investing. The pricing term sheet dated January 16, 2024, the
preliminary prospectus supplement dated January 16, 2024, and the
accompanying prospectus dated June 3, 2021, each of which have been
filed with the Securities and Exchange Commission, contain this and
other information about Ares Capital and should be read carefully
before investing.
The information in the pricing term sheet, the preliminary
prospectus supplement, the accompanying prospectus and this press
release is not complete and may be changed. The pricing term sheet,
the preliminary prospectus supplement, the accompanying prospectus
and this press release are not offers to sell any securities of
Ares Capital and are not soliciting an offer to buy such securities
in any jurisdiction where such offer and sale is not
permitted.
The offering may be made only by means of a preliminary
prospectus supplement and an accompanying prospectus. Copies of the
preliminary prospectus supplement (and accompanying prospectus) may
be obtained from BofA Securities, Inc., NC1-022-02-25, 201 North
Tryon Street, Charlotte NC 28255-0001, Attn: Prospectus Department,
or by calling 1-800-294-1322, or email
dg.prospectus_requests@bofa.com; J.P. Morgan Securities LLC, 383
Madison Avenue, New York NY 10179, Attn: Investment Grade Syndicate
Desk, 1-212-834-4533; SMBC Nikko Securities America, Inc. at 277
Park Avenue, New York, New York 10172, Attn: Debt Capital Markets,
1-888-868-6856; or Wells Fargo Securities, LLC at
1-800-645-3751.
ABOUT ARES CAPITAL CORPORATION
Founded in 2004, Ares Capital is a leading specialty finance
company focused on providing direct loans and other investments in
private middle market companies in the United States. Ares
Capital’s objective is to source and invest in high-quality
borrowers that need capital to achieve their business goals, which
often times can lead to economic growth and employment. Ares
Capital believes its loans and other investments in these companies
can help generate attractive levels of current income and potential
capital appreciation for investors. Ares Capital, through its
investment manager, utilizes its extensive, direct origination
capabilities and incumbent borrower relationships to source and
underwrite predominantly senior secured loans but also subordinated
debt and equity investments. Ares Capital has elected to be
regulated as a business development company (“BDC”) and was the
largest publicly traded BDC by market capitalization as of December
31, 2023. Ares Capital is externally managed by a subsidiary of
Ares Management Corporation (NYSE: ARES), a publicly traded,
leading global alternative investment manager.
FORWARD-LOOKING STATEMENTS
Statements included herein may constitute “forward-looking
statements,” which relate to future events or Ares Capital’s future
performance or financial condition. These statements are not
guarantees of future performance, condition or results and involve
a number of risks and uncertainties. Actual results and conditions
may differ materially from those in the forward-looking statements
as a result of a number of factors, including those described from
time to time in Ares Capital’s filings with the Securities and
Exchange Commission. Ares Capital undertakes no duty to update any
forward-looking statements made herein.
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version on businesswire.com: https://www.businesswire.com/news/home/20240116189977/en/
INVESTOR RELATIONS CONTACTS Ares Capital Corporation Carl
Drake or John Stilmar 888-818-5298 irarcc@aresmgmt.com
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