Ares Management is the latest fund manager to enact M&A in the alternatives space, completing the acquisition of the international business of logistics and real estate asset manager GLP Capital.
With the addition, which excludes the firm’s Greater China operations, this brings Ares’ assets under management at the firm to over US$525 billion ($828 billion) that includes US$115 billion in real assets.
GLP was founded in 2009 as a developer and operator in logistics and real estate, and has US$80 billion in assets under management across real assets and private equity.
The existing CEO of GLP, Ming Mei, will transition to a partner and senior adviser at Ares, while president Michael Steele will be a partner in its real assets group. Staff in the GCP International global team have joined Ares Real Estate which will be led by co-heads Bill Benjamin and Julie Solomon.
Ares said GLP will add important geographic exposure in Asia and Japan, exposure to emerging economies in Brazil and Vietnam, and an expanded presence in Europe and the US.
It is also targeting “significant scale” across digital infrastructure, in addition to its existing capabilities in infrastructure and real estate.
“Ares’ strong presence in logistics, digital infrastructure and traditional real estate sectors positions the platform as a leader in fast-growing new economy sectors. Ares believes the opportunities in these sectors will continue to be fuelled by rising demand for new technologies, significant changes in global supply chains, and evolving demographic trends that are transforming how communities live and work,” the firm said.
Michael Arougheti, chief executive of Ares, said: “We are proud to welcome our new team members as we establish a powerhouse in the critical real asset sectors driving the new economy. Together, we have the scale, relationships and experience to benefit from the long-term secular tailwinds that are facilitating unprecedented growth in logistics, digital infrastructure and clean energy assets.
“We look forward to accelerating execution against our strategic objectives, including growing our global footprint and expanding across asset classes and institutional and retail investor offerings, to deliver an enhanced value proposition for our investors, stockholders and other market participants.”
