Overview
We seek to invest in middle market companies that need flexible capital solutions, primarily in the form of debt and preferred equity and to a lesser extent, common equity. We partner with healthy, stressed and distressed companies across North America and Europe, operating in the void between traditional senior private debt and private equity. We seek to consistently invest in private market opportunities and, when deemed attractive, flex into stressed public markets, often seeking to leverage a public investment into a private follow-on opportunity. The team is industry agnostic and pursues investments where it believes it can identify attractive risk-adjusted returns.
We seek to leverage the resources and relationships of the Ares platform in order to provide sponsor-owned and non-sponsored-owned companies with partnership-oriented, flexible-capital solutions. We believe our solutions can offer the flexibility and capital for (i) healthy companies to play offense (e.g., M&A, capex) and (ii) stressed or distressed companies to play defense (e.g., improving cash flows, reducing leverage).
Targeted Private Investments
We seek to provide healthy, stressed and distressed companies with flexible capital.
We primarily seek to partner with companies that need capital as a result of one or more of the following:
- The business is in need of capital to accelerate its growth initiatives (e.g., organic growth projects, M&A);
- The industry in which the business operates is going through cyclical or transformational change; and/or
- The balance sheet has become overly cumbersome, complex or unsustainable.
Ares Opportunistic Credit
Primary Role
Flexible capital solutions provided to healthy, stressed and distressed businesses in private and public markets.
Offices
Los Angeles, New York, London
Financing Instruments Offered:
Secured Debt, Unsecured Debt, Delayed-Draw Facilities, Preferred Equity (Straight or Convertible), Common Equity, Warrants"
Investment Approach and Value Proposition to Companies
We believe private market investment opportunities require a collaborative approach, especially in situations where companies require a flexible capital solution. As such, we seek to partner with management teams, sponsors / owners, and/or boards of directors as they evaluate capital structure initiatives. Our team can better understand a company's specific financing needs by performing deep, private due diligence, when available, on the company and subsector ecosystem, and through our partnership approach can craft a bespoke capital solution that can provide the company the flexibility and capital needed to play offense or defense.