Ares Capital amended and extended its senior revolver with 20 banks, including 19 existing lenders and one new lender. Total commitments to the facility grew from $1.25 billion to $1.29 billion, and the final maturity of the facility was extended by one year to May 4, 2020.

Further, the stated interest rate on the facility was changed from LIBOR plus 2.00% to a formula-based calculation resulting in a stated interest rate of either LIBOR plus 1.75% or LIBOR plus 2.00%. As of today under this formula, the stated interest rate on the facility is LIBOR plus 1.75%.

In addition to this $1.29 billion credit facility, Ares Capital, through wholly owned financing subsidiaries, has two other revolving funding facilities with total commitments of $940 million, bringing total revolving credit capacity to approximately $2.2 billion (subject to borrowing base and leverage restrictions) with a blended stated interest rate on these commitments of LIBOR plus 1.92%.

“We are pleased that our banking relationships continue to show significant confidence in ARCC,” said Penni Roll, CFO of Ares Capital. “Reducing our cost of capital is a key area of focus for us, and we are grateful that our lenders have supported us by providing long-dated capital on attractive terms.”