8-KOther EventsExhibits & Filings

Ares Management Corp 8-K Report, Corporate Update (Jan 13, 2022)

Filed January 13, 2022For Securities:ARESARES-PB

Summary

Ares Management Corporation (ARES) filed an 8-K on January 13, 2022, to report on a significant debt offering. The company's indirect subsidiary, Ares Finance Co. IV LLC, has successfully priced an offering of $500 million in senior notes due in 2052. These notes carry a 3.650% interest rate and are fully guaranteed by several Ares Holdings entities, indicating strong corporate support for the debt issuance. The proceeds from this offering are earmarked for general corporate purposes, including the repayment of existing debt and the funding of future growth initiatives. This strategic move suggests Ares is actively managing its capital structure to optimize its financial flexibility and support its ongoing business expansion. Investors should note this as a proactive step in strengthening the company's financial foundation.

Key Highlights

  • 1Ares Management Corporation announced the pricing of a $500 million offering of Senior Notes due 2052.
  • 2The notes will bear an interest rate of 3.650% per annum.
  • 3The offering is being conducted by an indirect subsidiary, Ares Finance Co. IV LLC.
  • 4The Senior Notes are fully and unconditionally guaranteed by several key Ares Holdings entities.
  • 5Proceeds are intended for general corporate purposes, including debt repayment and funding growth initiatives.
  • 6The filing was made on January 13, 2022, with an event date of January 12, 2022.
  • 7The offering is subject to customary closing conditions.

Frequently Asked Questions

The company intends to use the net proceeds from this offering for general corporate purposes, which include repaying existing debt and funding growth initiatives.

The senior notes are being issued by Ares Finance Co. IV LLC, an indirect subsidiary of Ares Management Corporation.

The senior notes have a maturity date of 2052 and carry a fixed interest rate of 3.650% per annum.

While not directly guaranteed by Ares Management Corporation itself, the notes are fully and unconditionally guaranteed by several significant entities within the Ares Holdings L.P. group, including Ares Holdings L.P., Ares Management LLC, Ares Investments Holdings LLC, Ares Finance Co. LLC, Ares Finance Co. II LLC, and Ares Finance Co. III LLC.