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Ares Capital Corporation Leads New Mezzanine Facility for Connors Bros. Income Fund

^{Published on 2008-11-24 14:33:54 - Market Wire}
 

NEW YORK--([ BUSINESS WIRE ])--Ares Capital Corporation (NASDAQ: ARCC) announced that it structured and arranged a $135 million senior subordinated debt financing for the operating businesses of Connors Bros. Income Fund. The proceeds were used in connection with the purchase of Connors by Centre Partners Management LLC. ARCC's investment in the senior subordinated debt totaled $40 million.

Commenting on the transaction, Michael Arougheti, President of Ares Capital Corporation, stated, "We are delighted to be working with the high quality management team of Connors. We look forward to supporting its stable and growing businesses, which we believe are particularly well suited for the current economic environment. We are also pleased to close our second transaction with our valued private equity sponsor client, Centre Partners."

Chris Lischewski, Chief Executive Officer of Connors, said, "I am very pleased to be partnering with Ares Capital. Its financial support should enable us to accelerate our growth plans for the business while allowing us to maintain our focus on quality and low cost operations."

Centre Partners' Senior Partner Scott Perekslis added, "Ares Capital demonstrated why it is a leader in the M&A financing market. In the midst of historic market volatility and credit illiquidity, Ares brought to us the fortitude, flexibility, and acumen required to effect a deal."

About Connors Bros. Income Fund

Connors Bros. Income Fund indirectly owns, through its subsidiaries, a 100% interest in Clover Leaf Seafoods, L.P. and Bumble Bee Foods, LLC. Together, these two operating companies comprise North America's largest branded seafood company, offering a full line of canned tuna, salmon, sardine and specialty seafood products, marketed under leading brands including Clover Leaf(R), Bumble Bee(R), Brunswick(R), Snow's(R) and Beach Cliff(R), as well as a full-line of canned chicken products in the U.S. under the Sweet Sue(R) brand names. For further information, please visit the Fund's website at [ www.connors.ca ].

About Ares Capital Corporation

Ares Capital Corporation is a leading provider of 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 also makes equity investments. The company is externally managed by Ares Capital Management LLC, an affiliate of Ares Management LLC, an SEC registered investment advisory management firm with over $25 billion of committed capital under management as of 9/30/08. Ares Capital Corporation is a closed-end, non-diversified management investment company which 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 ].

About Centre Partners Management LLC

Centre Partners, founded in 1986, is a leading private equity firm with a middle market focus. Centre Partners' Managing Directors have invested over $3 billion in more than 90 companies. With offices in New York City and Los Angeles, the firm is currently investing through its fifth fund, which has approximately $880 million of committed capital. Centre Partners has deep investment expertise covering consumer, healthcare, industrial products and services, financial services, energy, media, restaurants, retail, and aviation services. Additional information is available at [ www.centrepartners.com ].

FORWARD-LOOKING STATEMENTS

Statements included herein may constitute "forward-looking statements," which relate to future events or our future performance or financial condition. These statements are not guarantees of future performance or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in Ares Capital Corporation's filings with the Securities and Exchange Commission. Ares Capital Corporation undertakes no duty to update any forward-looking statements made herein.