Ares Management Closes Third European Direct Lending Fund

Ares Capital Europe III Hits Hard Cap Of €2.5 Billion

LONDON & LOS ANGELES–(BUSINESS WIRE)–Ares Management, L.P. (NYSE:ARES) announced today the final closing of
its third European direct lending fund, Ares Capital Europe III (“ACE
III”). Approximately one year after its launch, ACE III was
oversubscribed and closed at its hard cap of €2.5 billion, above its
initial target of €2.0 billion. The fund attracted strong backing from a
diverse group of existing and new investors globally, including pension
funds, insurance companies, sovereign wealth funds, endowments, a
private banking platform and family offices.

Ares established its European direct lending platform in 2007, making it
one of the first to operate in the market. Since then, the team has
completed over 110 direct lending investments alongside more than 70
private equity sponsors. The Ares European direct lending platform is
part of the Credit Group at Ares, which manages approximately $60.0
billion in global assets under management as of March 31, 2016. The
platform has grown to become one of the region’s largest, managing in
excess of €8.0 billion of capital. ACE III’s predecessor fund, Ares
Capital Europe II, held its final close in August 2013 at €911 million.

ACE III will continue Ares’ strategy of providing flexible and scaled
capital solutions to mid-market companies across Europe. The fund
benefits from the team’s strong origination capabilities, with 33
dedicated investment professionals across four originating offices in
London, Paris, Frankfurt and Stockholm. ACE III has had strong
deployment to date, making more than 15 investments since its launch.

“Today’s announcement demonstrates that investors share our longstanding
view that European middle market companies and their owners will
continue to seek our flexible one-stop financing solutions in senior
debt, unitranche and mezzanine debt,” said Michael Dennis and Blair
Jacobson, Co-Heads of the Ares European direct lending platform and
Partners in Ares’ Credit Group. “With the growth of our platform, we
have the ability to lead increasingly large transactions to support the
growth, acquisitions and changing needs of European middle market
companies.”

“Our growth, ability to provide flexible capital, and the strong
performance of our direct lending strategies in Europe have been
significant in supporting our position as one of the region’s leading
alternative credit providers,” said Kipp deVeer and Greg Margolies,
Co-Heads of the Ares Credit Group. “Many of our credit strategies have
benefitted from Ares being an early participant and an innovator in our
markets.”

“The successful closing of ACE III is a testament to the confidence
investors have in our strong track record in the European middle market.
In addition, it is clear there is growing acceptance of direct lending
as an asset class in Europe,” said Michael Arougheti, President and
Co-Founder of Ares Management.

About Ares Management

Ares Management, L.P. (NYSE:ARES) is a publicly traded, leading global
alternative asset manager with approximately $94 billion of assets under
management as of March 31, 2016 and more than 15 offices in the United
States, Europe and Asia. Since its inception in 1997, Ares has adhered
to a disciplined investment philosophy that focuses on delivering strong
risk-adjusted investment returns throughout market cycles. Ares believes
each of its three distinct but complementary investment groups in
Credit, Private Equity and Real Estate is a market leader based on
assets under management and investment performance. Ares was built upon
the fundamental principle that each group benefits from being part of
the greater whole. For more information, please visit www.aresmgmt.com.

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 our 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 our filings with the Securities and
Exchange Commission. Ares Management, L.P. undertakes no duty to update
any forward-looking statements made herein.

Contacts

For Ares Management:
Media:
Mendel Communications
Bill
Mendel, 212-397-1030
bill@mendelcommunications.com
or
Investor
Relations:
Ares Management, L.P.
Carl G. Drake, CFA,
888-818-5298
cdrake@aresmgmt.com