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The company specializes in an instrument called venture debt -- or loans made at high interest rates. Generally speaking, during the early days of a start-up , founders will raise money from venturecapital or private equity firms in exchange for equity.
Unlike Hercules, Ares doesn't typically work with high-profile tech companies that have raised funds from venturecapital firms. Rather, many of the companies in Ares' portfolio are lower middle market businesses that go overlooked by investmentbanks or private equity investors.
Hercules Capital: Dividend yield 10.5% Hercules Capital (NYSE: HTGC) is a BDC that invests in technology, life sciences, and sustainable energy businesses. The company typically supports start-ups that have raised funding from venturecapital or private equity firms and are looking to augment the balance sheet with some debt.
The company does not generally work with technology start-ups or businesses backed by venturecapital. There are many companies in need of capital or advisory services, but they are not big enough or deemed suitable by investmentbanks. Data source: Ares Capital. This is where Ares comes into the equation.
And what was interesting was the first leveragedbuyout of a public company happened when I was in graduate school. KLINSKY: In 1979, it was the first leveragedbuyout of a public company. We had sold the family business, maybe buy another family business one day through a leveragedbuyout. KLINSKY: Yeah.
billion) funds approach to investing. After nearly 20 years in investmentbanking, at Deutsche Bank and then Credit Suisse, in 2013 he moved to Borealis, OMERS infrastructure arm, to run infrastructure globally and then head the capital markets team. And hes used that vast and varied experience to revamp the C$138.2
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