Business & Finance
Business and Finance
Business and Finance 
Fri, January 8, 2010
Thu, January 7, 2010
NEW YORK--([ BUSINESS WIRE ])--Ares Capital Corporation (NASDAQ: ARCC) announced today that it closed three new lead or co-lead financing transactions prior to the end of 2009. The financings totaled approximately $214 million and Ares Capital's investments totaled approximately $93 million.
"We are also pleased to close our first transactions with private equity sponsors, Excellere Partners and Arcapita, and our third transaction with Genstar Capital."
Below is a breakdown of each of the three financing transactions.
Ares Capital served as co-lead arranger and co-bookrunner in an $82.5 million senior secured debt financing for JTC Education Holdings, Inc., an Excellere Partners for-profit postsecondary education platform company. The financing was used to purchase MedTech College, LLC, an Indianapolis-based provider of allied health education, including registered and practical nursing. Ares Capital invested approximately $41 million in the senior secured debt facility and serves as administrative and collateral agent.
Ares Capital served as the lead agent for a $60 million senior subordinated second-lien mezzanine loan in a global refinancing for PODS, Inc., a leading provider of portable storage and moving solutions for residential and business customers sponsored by affiliates of Arcapita. Ares invested $25 million in the senior subordinated second-lien loan and purchased a $6.5 million senior subordinated unsecured mezzanine loan.
Ares Capital led a $71.5 million senior subordinated debt financing for Univita Health, Inc., a Genstar Capital senior care services platform company. The financing was used to fund an add-on acquisition of a home healthcare services company and refinance existing debt. Ares Capital invested $20.5 million in the senior subordinated loan and serves as administrative agent.
"Our increased new financing activity this past quarter demonstrates that we are capitalizing on the attractive market opportunities to make private debt investments in middle market companies," commented Michael Arougheti, President of Ares Capital Corporation. "We are also pleased to close our first transactions with private equity sponsors, Excellere Partners and Arcapita, and our third transaction with Genstar Capital."
About Ares Capital Corporation
Ares Capital Corporation is a specialty finance company that provides 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 Corporation also makes equity investments. Ares Capital Corporation is externally managed by Ares Capital Management LLC, an affiliate of Ares Management LLC, an SEC registered investment advisor and alternative asset investment management firm with approximately $30.0 billion of committed capital under management as of September 30, 2009. Ares Capital Corporation is a closed-end, non-diversified management investment company that 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 JTC Education Holdings, Inc.
JTC Education Holdings, Inc. ("JTC") was formed in March of 2009 by Excellere Partners to pursue a buy and build investment strategy within the for-profit postsecondary education industry. The platform is focused on creating a best-in-class provider of education and training in healthcare and wellness careers.
With the addition of MedTech College, LLC ("MedTech"), JTC maintains a strong footprint of ten campuses within six states in the Midwest and mid-Atlantic regions. Pro forma for the MedTech acquisition, JTC serves over 3,500 students, with ninety percent of its students enrolled in healthcare and wellness disciplines, including nursing. For more information, please visit [ www.MedTechCollege.edu ].
About Excellere Partners
Excellere Partners is a Denver-based private equity investment firm, specializing in partnering with middle-market entrepreneurs and management teams to build best-in-class industry leading companies. The focus of this strategy revolves around providing more products, services and/or capabilities to the company's customers; creating a better customer value proposition, while positioning the company for profitable long-term growth. For more information, please visit [ www.ExcellerePartners.com ].
About PODS, Inc.
PODS, Inc. is an innovative provider of moving and portable storage solutions to residential and commercial customers. Headquartered in Clearwater, Florida, PODS has a strong national presence as well as operations in Canada and Australia. PODS' network includes a large base of franchisee and company owned locations with the ability to service customers in 47 US states and 12 provinces in Canada. More information is available at [ www.pods.com ].
About Arcapita
Arcapita Inc. is a wholly owned subsidiary of Arcapita Bank B.S.C.(c), which is a leading international investment firm with offices in Atlanta, Bahrain, London and Singapore, through which it sources investments for its corporate (private equity), real estate, asset based and venture capital lines of business. Arcapita acts as a principal and arranger in the acquisition of controlling interests in established companies in the United States, Europe, the Middle East and India, focusing on growth-oriented corporate acquisitions with a total transaction value between $300 million and $1 billion. Arcapita's corporate investment line of business was founded in 1997 and operates out of Atlanta, London and Bahrain. Arcapita has completed transactions with a total value of over $28 billion. More information on Arcapita is available online at [ www.arcapita.com ].
About Univita Health
Univita Health is creating a unified environment to help people live and age with independence. By providing one place to find and manage resources which support independent aging, Univita makes it easier for individuals to live and age with dignity, in the setting they choose. Univita is accomplishing this by transforming home based care – integrating the complete range of in-home care needs from basic caregiving through complex home health care – and adding the support of the latest technologies. And Univita offers a unique suite of personalized assessments and decision support built around the key dimensions of independence. To learn more, visit [ www.univitahealth.com ].
About Genstar Capital, LLC
Genstar Capital ([ www.gencap.com ]) is a leading private equity firm that for over 20 years has been actively investing in high quality middle-market companies and building value in those businesses by utilizing the expertise of its operating executives. Based in San Francisco, Genstar works in partnership with its management teams and its network of operating talent and strategic advisors to transform its portfolio companies into industry-leading businesses. Genstar has more than $3 billion of committed capital under management and targets investments focused on selected sectors within the life sciences, healthcare services, financial & business services, software & software services and industrial technology industries.
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, condition or results and involve a number of risks and uncertainties. Actual results and condition 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.