Summary
On October 8, 2014, Ares Management, L.P. (the "Partnership") announced the issuance of $250,000,000 aggregate principal amount of its 4.000% Senior Notes due 2024 through its indirect subsidiary, Ares Finance Co. LLC. These notes are unsecured and unsubordinated obligations of the Issuer and are fully and unconditionally guaranteed by various indirect subsidiaries of the Partnership, serving as Guarantors. This move indicates the company's proactive approach to managing its capital structure and potentially funding its ongoing operations and growth strategies. Investors should note the key terms of the notes, including the 4.000% annual interest rate payable semiannually, and the maturity date of October 8, 2024. The indenture governing these notes includes standard covenants that restrict the Issuer and Guarantors from certain actions such as incurring additional secured debt or engaging in significant asset sales, while also outlining provisions for redemption, repurchase upon a change of control, and events of default. This issuance represents a significant financing event for Ares Management during this period.
Key Highlights
- 1Ares Management, L.P. issued $250,000,000 in 4.000% Senior Notes due 2024.
- 2The notes are issued by subsidiary Ares Finance Co. LLC and are unsecured and unsubordinated.
- 3The notes are fully and unconditionally guaranteed by several indirect subsidiaries of Ares Management, L.P.
- 4Interest payments are semi-annual, occurring on April 8 and October 8, commencing April 8, 2015.
- 5The notes mature on October 8, 2024, unless redeemed or repurchased earlier.
- 6The indenture includes covenants limiting the incurrence of secured indebtedness and restricting mergers or asset sales.
- 7A change of control repurchase event would trigger a repurchase of the notes at 101% of principal amount.