Ares Strategic Income Fund Completes Tender Offer with Notable Participation

The recent repurchase initiative showcases strong shareholder engagement and strategic management.

September 27, 2024

Ares Strategic Income Fund's Tender Offer Overview:

A recent tender offer by Ares Strategic Income Fund has successfully concluded, reflecting significant engagement from shareholders. This initiative aimed to repurchase up to 7,104,411 shares of various classes of beneficial interest in the fund, marking an important financial maneuver for the firm.

The tender offer was launched on August 22, 2024, and expired at 11:59 p.m. Eastern Time on September 20, 2024. During this period, shareholders were invited to participate by tendering their shares at the net asset value determined as of August 31, 2024. This approach allowed investors to evaluate their options and take advantage of the market conditions.

In total, 133,747.754 shares were tendered and accepted for purchase, showcasing strong interest from the fund's shareholders. The total net asset value of these shares was calculated at approximately $3.67 million. Following the expiration of the offer, the fund proceeded with the repurchase of all validly tendered shares. The accepted shares were bought back at a price of $27.41 each, after deducting any early repurchase fees.

Strategic Implications of the Repurchase

The financial commitment made by Ares Strategic Income Fund to repurchase these shares underlines its ongoing strategy to manage capital effectively and provide liquidity to its investors. By completing this transaction, the fund not only reflects its confidence in its investment strategy but also offers shareholders a viable option for exiting their positions in the fund.

The payment for the shares was processed in cash, and the fund paid approximately $3.62 million to the participating shareholders by September 27, 2024. This transaction serves to strengthen the fund’s overall portfolio management and potentially enhance the value for remaining shareholders by reducing the overall share count.

Looking Ahead

As the fund moves forward, it is poised to continue adapting to market conditions while focusing on its investment objectives. The successful completion of this tender offer highlights the fund’s proactive approach in navigating the current financial landscape and maintaining shareholder value.

In summary, Ares Strategic Income Fund’s recent tender offer represents a strategic decision aimed at optimizing shareholder engagement and managing its capital resources effectively. The strong participation underscores a healthy investor sentiment and reflects the fund's commitment to maintaining an adaptable and investor-friendly approach.