Ares Dynamic Credit Allocation Fund Announces $100 Million Private Placement of Preferred Stock
Ares Dynamic Credit Allocation Fund, Inc. (NYSE:ARDC) (the "Fund") announced today that it completed an initial $20 million closing in the first of two closings for a total of $100 million in privately placed mandatory redeemable preferred stock ("MRPS"). The second closing for the remaining $80 million of MRPS is expected to be completed in the third quarter of 2021. Net proceeds from the MRPS will be used to repay existing debt and for investment and general corporate purposes.
The table below summarizes key terms of the MRPS.
Series
Size
Dividend
Rate
Mandatory
Redemption Date
Series A
$20 million
2.58%
July 15, 2026
Series B
$30 million
2.58%
