Key Developments For Ares Capital Corporation
Ares Capital Corporation (ARCC.O) (Nasdaq)
Ares Capital Corporation Declares Fourth Quarter Dividend of $0.35 Per Share
Ares Capital Corporation announced that its Board of Directors has declared a fourth quarter dividend of $0.35 per share, payable on December 31, 2009 to stockholders of record as of December 15, 2009.
Ares Capital Corporation Completes Acquisition Of Allied Capital`s Interests In Senior Secured Loan Fund LLC
Ares Capital Corporation announced the closing of its acquisition of Allied Capital`s interests in the Senior Secured Loan Fund LLC (formerly known as the Unitranche Fund) for $165 million in cash. As a result of this transaction, Ares Capital and GE Capital will be able to make new commitments of up to $270 million in a single transaction for borrowers across a wide range of industry sectors to fund new transactions with the remaining $2.7 billion of capital available. The Fund expects to continue to retain all or a majority of each loan.
Ares Capital Corporation To Acquire Allied Capital Corporation
Ares Capital Corporation and Allied Capital Corporation announced that they have entered into a definitive agreement under which Ares Capital will acquire Allied Capital in an all stock transaction currently valued at $648 million, or approximately $3.47 per Allied Capital share. The Boards of Directors of both companies have each unanimously approved the transaction. Under the terms of the transaction, Allied Capital stockholders will receive 0.325 Ares Capital shares for each Allied Capital share, resulting in approximately 58.3 million Ares Capital shares being issued in exchange for the approximately 179.4 million outstanding Allied Capital shares. Following the transaction, Ares Capital stockholders will own approximately 65% of the combined company and Allied Capital stockholders will own approximately 35%. The combined company will remain externally managed by Ares Capital Management LLC, an affiliate of Ares Management LLC and will remain headquartered in New York. Bennett Rosenthal, Michael Arougheti and Richard Davis will remain in their current roles as Ares Capital`s Chairman, President and Chief Financial Officer, respectively. It is expected that one member of Allied Capital`s Board will be nominated to serve on Ares Capital`s Board. The transaction is expected to close by the end of the first quarter of 2010.
Ares Capital Corporation Closes Public Offering Of Common Stock Including Overallotment Option
Ares Capital Corporation announced that it has closed an underwritten public offering of 12,439,908 shares of the Company's common stock (including 1,439,908 shares pursuant to the exercise by the underwriters of their overallotment option) at a price per share of $9.25 to the public, raising approximately $109.6 million in net proceeds after deducting underwriting discount and commissions and estimated offering expenses. No additional shares will be available for purchase by the underwriters pursuant to the overallotment option. J.P. Morgan Securities Inc., Citi, UBS Investment Bank and Wells Fargo Securities, LLC acted as joint bookrunners for the offering, and SunTrust Robinson Humphrey, Inc., BMO Capital Markets Corp. and Stifel, Nicolaus & Company, Incorporated acted as co-managers.
Ares Capital Corporation Prices Public Offering
Ares Capital Corporation announced that it has entered into an agreement to sell 11,000,000 shares of common stock at a public offering price of $9.25 per share, raising approximately $101,750,000 in gross proceeds. J.P. Morgan Securities Inc., Citi, UBS Investment Bank and Wells Fargo Securities, LLC are acting as joint bookrunners for the offering, and SunTrust Robinson Humphrey, Inc., BMO Capital Markets Corp. and Stifel, Nicolaus & Company, Incorporated are acting as co-managers. The closing of the transaction is expected to be delivered on August 19, 2009. The Company has also granted the underwriters an option to purchase up to an additional 1,650,000 shares of common stock to cover over-allotments, if any. The Company expects to use the net proceeds for general corporate purposes, including to repay outstanding indebtedness and to fund investments in accordance with its investment objective.
