(Source: Business Wire)

Ares Capital Corporation (NASDAQ: ARCC) announced last Friday 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.
The Fund was formed in December 2007, with approximately $3.6 billion of
committed capital to invest in senior secured debt (including unitranche
loans) of middle-market companies through a partnership with GE Capital
Americas. Currently, the Fund holds loans to middle market borrowers
totaling approximately $900 million.
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.
Borrowers benefit from the Senior Secured Loan Fund structure by virtue
of its simplified documentation through a single credit agreement,
greater certainty of execution and reduced decision-making complexity
throughout the life of the loan.
"We are excited to be partnering with GE Capital's Sponsor Finance
business, a leading middle-market senior debt provider who consistently
and reliably delivers for private equity sponsors and borrowers," said
Michael Arougheti, President of Ares Capital Corporation. "We expect
that the partnership will provide a significant amount of flexible
capital for new investments to our sponsor relationships and middle
market clients."
"We are pleased to re-open the Fund for new investments in partnership
with Ares Capital, an experienced investor with an outstanding track
record of providing senior loans, second lien loans, and subordinated
debt in the middle market," said Stuart Aronson, President of GE Capital
- Sponsor Finance.
About Ares Capital Corporation
Ares Capital Corporation is a specialty finance company that provides
integrated debt and equity financing solutions to U.S. middle-market
companies. Ares Capital Corporation invests primarily in first- and
second-lien loans and mezzanine debt, which in some cases includes an
equity component. To a lesser extent, Ares Capital Corporation also
makes equity investments. Ares Capital Corporation is externally managed
by Ares Capital Management LLC, an affiliate of Ares Management LLC, an
SEC registered investment advisor and alternative asset investment
management firm with approximately $30.0 billion of committed capital
under management as of September 30, 2009. Ares Capital Corporation is a
closed-end, non-diversified management investment company that has
elected to be regulated as a Business Development Company under the
Investment Company Act of 1940. For additional information, please visit
our website at www.arescapitalcorp.com.
About GE Capital - Sponsor Finance
GE Capital -- Sponsor Finance is a unit of GE Capital Americas and offers
a "one-stop" source for the comprehensive range of GE's lending and
other financial services to private equity sponsors and middle market
borrowers. For more information, visit the Sponsor Finance website at www.gelending.com/Gsf.
GE Capital offers consumers and businesses around the globe an array of
financial products and services. GE (NYSE: GE) is Imagination at Work -
a diversified technology, media and financial services company focused
on solving some of the world's toughest problems. For more information,
visit the company's website at www.GE.com.
FORWARD-LOOKING STATEMENTS
Statements included herein may constitute "forward-looking statements,"
which relate to future events or our future performance or financial
condition. These statements are not guarantees of future performance 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 Capital Corporation's filings with the Securities and
Exchange Commission. Ares Capital Corporation undertakes no duty to
update any forward-looking statements made herein.
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