Business Context and Reporting Period
Company: Ares Capital Corporation
Filing Type: Form 8-K (Current Report)
Date of Report: January 18, 2011
Event: Entry into a Material Definitive Agreement regarding a revolving funding facility.
Key Financial Metrics
This filing does not report specific financial performance metrics such as revenue, profit, cash flow, margins, or total debt levels. The document focuses exclusively on the terms of a financing agreement amendment.
Material Changes
On January 18, 2011, Ares Capital Corporation and its subsidiary, Ares Capital CP Funding LLC, amended their revolving funding facility with Wells Fargo Bank, National Association. Key changes include:
- Reinvestment Period: Extended to three years, ending January 18, 2014, with two one-year extension options subject to mutual consent.
- Maturity Date: Extended to January 18, 2016, with two one-year extension options subject to mutual consent.
- Covenants: Borrowings remain subject to various covenants, including leverage restrictions under the Investment Company Act of 1940.
Guidance, Outlook, and Risks
The filing contains no forward-looking guidance, management commentary on future performance, or specific risk factors beyond the standard covenants associated with the facility. The agreement is subject to mutual consent for extension options.
Investor Verification Checklist
- Review the full text of Exhibit 10.1 (Amendment No. 2 to Amended and Restated Sale and Servicing Agreement) for detailed terms.
- Verify the specific leverage restrictions imposed by the Investment Company Act of 1940 applicable to this facility.
- Confirm the conditions required for the "mutual consent" needed to exercise the one-year extension options.
- Check subsequent filings for any utilization of the extended facility or changes in the company's overall debt structure.