Ares Capital and Veronis Suhler Stevenson announced a partnership “to source and provide flexible senior debt financing to companies in select industries with $5 million to $35 million of EBITDA.” Those industries are: Information, education, media and marketing services.
Ares Capital Corporation, (NASDAQ: ARCC), a leading middle market capital provider, and Veronis Suhler Stevenson (VSS), a global private equity and mezzanine investor, today announced that they have entered into an agreement to collaborate in bringing flexible debt capital to small and middle-market companies in the information, education, media and marketing services industries.
Through this relationship, VSS and Ares Capital will team up to source and provide flexible senior debt financing to companies in select industries with $5 million to $35 million of EBITDA, a market underserved by financial institutions. VSS has brought on Bill Archer former Chief Credit Officer of Bankers Trust and Chief Debt Underwriter for Goldman Sachs, as Partner-VSS Debt Capital to head up its senior lending activities.
“We view this strategic relationship with Ares Capital as a significant benefit to our industry because of the current lack of capital available to lower middle market companies,” said Archer. “Ares Capital’s efficient access to capital, scale and demonstrated credit expertise is a perfect complement for our strong, proprietary deal flow and demonstrated industry knowledge within our market segments.”
“We look forward to a very productive strategic relationship with the well-established and highly regarded industry experts at VSS,” said Michael Arougheti, President of Ares Capital. “This relationship is expected to provide additional proprietary deal flow to us in several key sectors and strengthen our relationship with a valued private equity sponsor client. We believe this collaboration is a creative and efficient way to expand our origination capabilities and to reach attractive companies in the information, education, media and marketing services industries.”
About Veronis Suhler Stevenson
Veronis Suhler Stevenson is a private equity and mezzanine capital fund management company dedicated to investing in the information, education, media and marketing services industries in North America and Europe. VSS provides capital for buyouts, recapitalizations, growth financings and strategic acquisitions to companies and management teams with a goal to build companies both organically and through a focused add-on acquisition program. To date, VSS equity and mezzanine funds have invested in 65 platform companies, which have in turn completed approximately 300 add-on acquisitions resulting in a portfolio with realized and unrealized enterprise values totaling over $14 billion. The company’s website is www.vss.com.
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 adviser and alternative asset investment management firm with estimated pro forma committed capital under management of approximately $37 billion as of March 31, 2010. 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.