Ares Capital agrees to acquire Midcap Financial Investment Corporation
ARCC•Ares Capital agreed to acquire Midcap Financial Investment Corporation for $2.60 billion in enterprise value. Midcap shareholders will receive $10.88 per share, comprising $1.21 in cash and $9.67 in Ares Capital stock.
1. Deal terms
Ares Capital may issue up to 41 million shares to Midcap shareholders, subject to adjustment. Ares shareholders are expected to own 95% of the combined company and Midcap shareholders 5% after the deal, which is expected to close in the first half of 2027, subject to approvals. Wells Fargo agreed to provide $750 million in additional secured financing for the transaction. Ares Capital said it expects the transaction to be accretive to its core earnings and support future dividends.
