Ares Capital Corp.'s Proposed Notes Due January 2026 Rated 'BBB-'

NEW YORK (S&P Global Ratings) July 8, 2020--S&P Global Ratings today assigned its 'BBB-' senior unsecured debt rating to Ares Capital Corp.'s (ARCC) proposed issuance of senior notes due January 2026. ARCC intends to use the net proceeds from this offering to repay a portion of its: Outstanding indebtedness under its revolving credit facility ($1.7 billion outstanding as of June 26, 2020), Revolving funding facility ($763 million outstanding as of June 26, 2020), SMBC funding facility ($450 million outstanding as of June 26, 2020), and/or BNP funding facility (no amount outstanding as of June 26, 2020). Pro forma, we anticipate the transaction to be leverage neutral. As of March 31, 2020, ARCC's leverage, measured as debt to adjusted total equity,

...July 8, 2020 NEW YORK (S&P Global Ratings) July 8, 2020--S&P Global Ratings today assigned its '###-' senior unsecured debt rating to Ares Capital Corp.'s (ARCC) proposed issuance of senior notes due January 2026. ARCC intends to use the net proceeds from this offering to repay a portion of its: - Outstanding indebtedness under its revolving credit facility ($1.7 billion outstanding as of June 26, 2020), - Revolving funding facility ($763 million outstanding as of June 26, 2020), - SMBC funding facility ($450 million outstanding as of June 26, 2020), and/or - BNP funding facility (no amount outstanding as of June 26, 2020). Pro forma, we anticipate the transaction to be leverage neutral. As of March 31, 2020, ARCC's leverage, measured as debt to adjusted total equity, was 1.24x. Our rating on ARCC reflects the company's financial leverage, successful track record, and good diversity of funding. The rating also reflects the business development company's good market position relative to...

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