Ares Commercial Real Estate Corporation (NYSE: ACRE) (the “Company”)
announced that it has priced a public offering of 18,000,000 shares of
its common stock at a public offering price of $13.50 per share, raising
gross proceeds of approximately $243,000,000. The closing of the
transaction is subject to customary closing conditions and the shares
are expected to be delivered on June 26, 2013. In connection with the
offering, the Company has also granted the underwriters an option to
purchase up to an additional 2,700,000 shares of common stock. The
offering of the shares is being made under the Company’s shelf
registration statement, which was filed with, and declared effective by,
the Securities and Exchange Commission.
The Company intends to use the net proceeds from this offering to invest
in target investments as described in the Company’s prospectus
supplement, repay indebtedness, fund future funding commitments on
existing loans and for other general corporate purposes. Depending upon
the timing of the closing of the proposed loans in the Company’s
pipeline, the closing of the acquisition of Alliant Capital and the
receipt of funds from other financings, the Company may utilize a
portion of the net proceeds of this offering to fund a portion of the
purchase price of Alliant Capital.
Credit Suisse, Citigroup, Wells Fargo Securities, BofA Merrill Lynch and
J.P. Morgan are acting as joint book-running managers for this offering.
JMP Securities, Keefe, Bruyette & Woods, a Stifel Company, and RBC
Capital Markets are acting as co-managers in the offering.
This press release shall not constitute an offer to sell or a
solicitation of an offer to buy nor shall there be any sale of these
securities in any state in which such offer, solicitation or sale would
be unlawful prior to registration or qualification under the securities
laws of any state.
The offering may be made only by means of a preliminary prospectus
supplement and an accompanying prospectus, copies of which may be
obtained from Credit Suisse Securities (USA) LLC, Attention: Credit
Suisse Prospectus Department, One Madison Avenue, New York, NY 10010
(Tel: 800-221-1037) or email: newyork.prospectus@credit-suisse.com;
Citigroup, c/o Broadridge Financial Solutions, 1155 Long Island Avenue,
Edgewood, NY 11717 (Tel: 800-831-9146); and Wells Fargo
Securities, LLC, Attn: Equity Syndicate Department, 375 Park Avenue, New
York, NY 10152 (Tel: 800-326-5897) or email: cmclientsupport@wellsfargo.com.
About Ares Commercial Real Estate Corporation
Ares Commercial Real Estate Corporation is a specialty finance company
that originates, invests in and manages middle-market commercial real
estate loans and other commercial real estate investments. Through its
national direct origination platform, Ares Commercial Real Estate
Corporation provides flexible financing solutions for middle-market
borrowers. Ares Commercial Real Estate Corporation intends to elect to
be taxed as a real estate investment trust and is externally managed by
an affiliate of Ares Management LLC, a global alternative asset manager
with approximately $59 billion in committed capital under management as
of March 31, 2013.
FORWARD-LOOKING STATEMENTS
Statements included herein may constitute “forward-looking statements”
within the meaning of the Private Securities Litigation Reform Act of
1995, which relate to future events or the Company’s 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 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 the Company’s filings with the
Securities and Exchange Commission. Ares Commercial Real Estate
Corporation undertakes no duty to update any forward-looking statements
made herein.
<div class="copyright">
Copyright Business Wire 2013
</div>