US Giant Ares to Acquire Crescent Point Capital
Posted on 07/19/2023
Ares Management Corporation (NYSE: ARES) entered into a definitive agreement to acquire 100% of Crescent Point Capital, an Asia-focused private equity firm with approximately US$ 3.8 billion of assets under management, as of March 31, 2023.
Founded in 2003, Crescent Point Capital has approximately 50 professionals. The team is headquartered in Singapore and has a presence in China, Indonesia, the Philippines and Vietnam. Crescent Point Capital pursues a private equity strategy focused on investing in industry-leading consumer companies across the larger Southeast Asia markets and China.
Ares has established direct sourcing and investment capabilities in the Asia Pacific region across the credit, private equity, real estate and infrastructure asset classes through Ares Asia, previously known as Ares SSG. Ares Asia operates with approximately 165 professionals across a local footprint of nine offices in key Asia Pacific markets, as of March 31, 2023.
The transaction is expected to be immediately accretive to Ares’ after-tax realized income per share of Class A and non-voting common stock. The transaction consideration will be primarily comprised of Ares Class A common shares subject to a multi-year lock-up. The transaction is expected to close in the third quarter of 2023 and is subject to customary closing conditions, including regulatory approvals.
Advisors
Latham & Watkins served as legal counsel to Ares and Kirkland & Ellis and Milbank LLP acted as legal counsel to CPC.