LOS ANGELES--(BUSINESS WIRE)--
Ares Management, L.P. (NYSE:ARES) today announced the pricing of a $275
million offering of 11,000,000 of its 7.00% Series A Preferred Units
representing limited partner interests with a liquidation preference of
$25.00 per unit. In addition, Ares has granted the underwriters an
option to purchase up to an additional 1,650,000 Series A Preferred
Units solely to cover over-allotments.
Ares intends to use the net proceeds from the sale of the Series A
Preferred Units to fund all or a portion of its previously announced
transaction support for Ares Capital Corporation’s (NASDAQ:ARCC)
acquisition of American Capital, Ltd., with any remaining proceeds for
general corporate purposes, including for acquisitions and investments
and for temporary repayments of borrowings under the credit facility of
Ares’ indirect subsidiaries. Ares Capital Management LLC, a subsidiary
of Ares, serves as investment adviser to Ares Capital. If Ares Capital’s
acquisition of American Capital, Ltd. does not close, the proceeds will
be used for general corporate purposes.
Distributions on the Series A Preferred Units, when and if declared by
the board of directors of Ares’ general partner, will be paid quarterly
and are non-cumulative.
Ares intends to apply to list the Series A Preferred Units on the NYSE
under the ticker symbol “ARES PR A”.
Morgan Stanley, BofA Merrill Lynch and Wells Fargo Securities are acting
as joint book-running managers for the offering, and Citigroup and RBC
Capital Markets are acting as senior co-managers for the offering.
This press release does not constitute an offer to sell or the
solicitation of an offer to buy nor will there be any sale of any of
these securities in any state or jurisdiction in which such offer,
solicitation or sale would be unlawful prior to the registration and
qualification under the securities laws of such state or jurisdiction. A
shelf registration statement relating to these securities has been filed
with the U.S. Securities and Exchange Commission (SEC) and has become
effective.
The offering may be made only by means of a prospectus supplement and
accompanying prospectus. A preliminary prospectus supplement and
accompanying prospectus relating to the offering was filed with the SEC
and is available on the SEC’s website at http://www.sec.gov.
A copy of the final prospectus supplement and accompanying prospectus
relating to the offering may be obtained, when available, from (1)
Morgan Stanley & Co. LLC, 180 Varick Street, 2nd Floor, New York, New
York 10014, Attention: Prospectus Department, by phone at (866)
718-1649, or e-mailing: [email protected],
(2) Merrill Lynch, Pierce, Fenner & Smith Incorporated, NC1-004-03-43,
200 North College Street, 3rd floor, Charlotte, North Carolina
28255-0001, Attention: Prospectus Department, or e-mailing: [email protected]
and (3) Wells Fargo Securities, LLC, 608 2nd Avenue South, Suite 1000,
Minneapolis, Minnesota 55402, Attention: WFS Customer Service, by phone
at (800) 645-3751, or e-mailing: [email protected].
About Ares Management, L.P.
Ares Management, L.P. is a publicly traded, leading global alternative
asset manager with approximately $94 billion of assets under management
as of March 31, 2016 and more than 15 offices in the United States,
Europe and Asia. Since its inception in 1997, Ares has adhered to a
disciplined investment philosophy that focuses on delivering strong
risk-adjusted investment returns throughout market cycles. Ares believes
each of its three distinct but complementary investment groups in
Credit, Private Equity and Real Estate is a market leader based on
assets under management and investment performance. Ares was built upon
the fundamental principle that each group benefits from being part of
the greater whole.
Forward Looking Statements
Statements included herein may constitute “forward-looking statements”
within the meaning of the Private Securities Litigation Reform Act of
1995, which relate to future events or 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 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’ filings with the Securities and Exchange
Commission. Ares undertakes no duty to update any forward-looking
statements made herein.
View source version on businesswire.com: http://www.businesswire.com/news/home/20160602005417/en/
Media:
Mendel Communications
Bill Mendel, +1 212-397-1030
[email protected]
or
Investors:
Ares
Management, L.P.
Carl Drake, +1 800-340-6597
[email protected]
Source: Ares Management, L.P.
