Ares Capital Corporation announced that its indirect, wholly owned subsidiary, Ares Capital CP Funding LLC, has increased the size of its revolving funding facility, led by Wells Fargo Securities, from $500 million to $580 million through the addition of two new lenders. As part of the transaction, the facility may be expanded in the future up to $865 million.

In addition to the funding commitment increase, the facility’s reinvestment period was extended by three months to April 2015, and its final maturity date was extended from January 2017 to April 2017. The stated interest rate on the facility will remain at LIBOR plus 2.5% with no LIBOR floor.

Including this newly expanded facility, Ares Capital has three revolving facilities (directly or through financing subsidiaries) with total commitments of $1.7 billion with a blended stated interest rate of LIBOR plus 2.3%.

According to the company’s 8-K filing, along with Wells Fargo Securities as agent, other lenders include Wells Fargo Bank (as successor by merger to Wachovia Bank) as swingline lender and note purchaser, U.S. Bank as collateral agent, trustee and bank,

“We are pleased to have further expanded our revolving funding facility through the addition of two new lenders,” said Michael Arougheti, president of Ares Capital Corporation. “This facility expansion is illustrative of the success we have had raising attractively priced, longer duration capital over the past year as we continue to grow our business. We appreciate the support of our new and existing lenders.”

Ares Capital is a specialty finance company that provides one-stop financing solutions to U.S. middle-market companies and private equity sponsors.

Previously on abfjournal.com:

Ares Capital Expands Revolving Credit Facility, Tuesday, May 08, 2012