The Ares Capital acquisition of MidCap Financial is planned as a $2.6 billion cash-and-stock transaction, the middle-market lender announced on October 27, 2026.

Ares Capital acquisition terms

Ares Capital plans to pay for MidCap Financial with a combination of cash and stock. The available details do not specify how the $2.6 billion consideration will be divided between the two.

The transaction is a plan, not a completed acquisition. The available details do not specify a closing date or required approvals.

A larger middle-market lending platform

The deal is intended to expand Ares Capital’s presence in middle-market lending and diversify its asset base. Ares Capital is a US-based business development company that finances middle-market companies primarily through senior secured loans and equity investments.

The announcement comes amid a challenging transaction environment that has affected Ares Capital’s third-quarter earnings.

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