Ares Capital launches $1 billion commercial paper program

Ares Capital Corporation (NASDAQ: ARCC) established its first commercial paper program, allowing the company to issue up to $1 billion of short-term, unsecured commercial paper notes at any time.

The notes will be sold under standard terms in the United States commercial paper market and will rank equally with the company's other senior unsecured debt. Ares Capital stated it expects cost benefits from the commercial paper market compared to other funding sources.

The company plans to use available borrowing capacity from its $5.5 billion revolving credit facility as a liquidity backstop for repaying the notes. Net proceeds from any notes issued under the program will be used for general corporate purposes.

The notes will not be registered under the Securities Act of 1933 and may not be offered or sold in the United States without registration or an applicable exemption from registration requirements.

Founded in 2004, Ares Capital is a specialty finance company focused on providing direct loans and other investments in private middle market companies in the United States. The company is regulated as a business development company and was the largest publicly traded BDC by market capitalization as of March 31, 2026.

Ares Capital is externally managed by a subsidiary of Ares Management Corporation (NYSE: ARES).

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