Business Context and Reporting Period
This Form 8-K filing by Ares Commercial Real Estate Corporation (ACRC) reports a material definitive agreement entered into on December 12, 2014. The filing was signed and submitted on December 18, 2014.
Key Financial Metrics
The filing details a specific debt facility but does not provide comprehensive financial statements, revenue, profit, or cash flow data for the period.
- Debt Facility: $225.0 million Amended and Restated Master Repurchase and Securities Contract (Wells Fargo Facility).
- Guarantor: Ares Commercial Real Estate Corporation.
- Lenders: ACRC Lender W LLC and ACRC Lender W TRS LLC (subsidiaries of ACRC).
- Counterparty: Wells Fargo Bank, National Association.
Material Changes
The primary material change is the amendment of the Wells Fargo Facility to extend its initial maturity date.
- Previous Maturity: Not explicitly stated in the text, but the extension sets a new date.
- New Initial Maturity Date: December 14, 2015.
- Extension Terms: The facility includes two annual extensions at the option of ACRC Lender W, subject to certain conditions and the payment of an extension fee.
Outlook, Risks, and Management Commentary
The filing does not contain forward-looking guidance, management commentary on future performance, or a discussion of general risks beyond the conditions attached to the debt extension. The amendment is described as a routine extension of credit terms.
Investor Verification Checklist
- Verify the specific conditions required to exercise the two annual extension options on the Wells Fargo Facility.
- Confirm the amount and timing of the extension fee payable upon maturity extension.
- Review the full text of Amendment No. 2 (Exhibit 10.1) for any covenants or restrictions not summarized in this report.
- Check subsequent filings to confirm if the maturity was extended to December 2015 and beyond.