Ares Management has priced its common shares in the $21 to $23 range for its upcoming initial public offering, according to documents filed with the US Securities and Exchange Commission. Ares plans to list on the New York Stock Exchange under the symbol “ARES”.
Los Angeles-based Ares expects the net proceeds from the offering to be about $237 million. The maximum amount to be raised is about $481 million, according to the filing. JP Morgan and BofA Merrill Lynch are acting as lead underwriters for the offering.
Ares’ decision to pursue an IPO placed the firm alongside fellow asset managers The Carlyle Group, Oaktree Capital Management, The Blackstone Group and Kohlberg Kravis Roberts, all of which opted to go public in recent years.
Like each of those firms, Ares has expanded its product offerings since its launch in 1997. The firm initially pursued investments in the leveraged loan, high yield bond and private debt markets, eventually building out its investment platform to include robust holdings in real estate and private equity.
As of 31 December, the firm managed assets across four core investment platforms, which include a $28 billion tradable credit platform and a $27 billion direct lending business. Ares also manages $10 billion in assets through its five private equity funds and a $9 billion real estate platform.
The firm raised its first private debt fund in 2004, the same year it launched its business development company, Ares Capital Corporation. ARCC is already traded on the Nasdaq exchange and has $8.1 billion in total assets.