Finance

Ares Closes In on Record €20 Billion Direct-Lending Fund

  • Fund targets €15 billion from investors, €5 billion leverage
  • Larger private lending firms are driving rapid market growth
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Ares Management Corp. is nearing the close of what would be the biggest ever direct-lending fund, with more than €20 billion ($21.9 billion) of firepower, according to people with knowledge of the matter.

Los Angeles-based Ares is looking to raise at least €15 billion from investors, said the people, who weren’t authorized to speak publicly. Leverage is expected to be about €5 billion on top of that. Co-heads of European credit Blair Jacobson and Michael Dennis jointly run the strategy.