Loan & DebtJul 22, 2026, 05:26 PM
Ares Capital Subsidiary Refinances $708.7M CLO Debt
AI Summary
Ares Direct Lending CLO 1 LLC, a wholly-owned subsidiary of Ares Capital Corporation, completed the refinancing of its approximately $708.7 million term debt securitization. The ADL CLO 1 Reset Transaction involved the issuance of new Class A-1-R, A-2-R, and B-R Senior Floating Rate Notes, as well as Class A-1-LR term loans, all maturing in July 2038. The proceeds were used to redeem existing Class A and B Senior Secured Floating Rate Notes due 2036, extending the maturity of the debt.
Key Highlights
- Ares Direct Lending CLO 1 LLC refinanced approximately $708.7 million in term debt securitization.
- Issued $267.0 million Class A-1-R Senior Floating Rate Notes at Term SOFR + 1.46%, due July 25, 2038.
- Issued $24.5 million Class A-2-R Senior Floating Rate Notes at Term SOFR + 1.70%, due July 25, 2038.
- Issued $45.5 million Class B-R Senior Floating Rate Notes at Term SOFR + 1.90%, due July 25, 2038.
- Incurred $139.0 million Class A-1-LR term loans at Term SOFR + 1.46%, due July 25, 2038.
- Issued $7.1 million additional Subordinated Notes, bringing total to $232.7 million, retained by ARCC.
- Redeemed $406.0 million Class A and $70.0 million Class B Senior Secured Floating Rate Notes due 2036.
Price Impact
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