Ares Raises $100M For Offshore Mezz

Firm: Ares Management LLC

Fund: Ares Mezzanine Offshore Partners Feeder Fund LP

Target: $300 million

Amount Raised: $100 million

Placement Agent: UBS Securities LLC

Ares Management LLC has raised $100 million from three investors for its Ares Mezzanine Offshore Partners Feeder Fund LP, according to a regulatory filing.

The fund, organized in the Cayman Islands, has a $300 million target, the filing showed. The Los Angeles firm had $39 billion under management as of Dec. 31, its Web site said. Ares operates through three main business units.

Its private debt group manages approximately $15 billion of committed capital, including Ares Capital Corp., a publicly traded, New York-based business development company. Ares Capital became one of the industry’s largest BDCs in April, when it acquired its struggling rival Allied Capital Corp. Ares also operates a debt business in Europe, offering senior, subordinated and unitranche loans.

Its capital markets business is its largest, managing $18 billion of committed capital invested through a variety of structured funds and separately managed accounts. This unit invests primarily as an asset manager in the publicly traded debt markets. Ares also has a small private equity unit, which manages $6 billion of committed capital, primarily for investing in growth, rescue and de-leveraging situations.

UBS Securities LLC is the placement agent for the offshore mezz fund. Ares declined to comment on its fundraising.