Private equity investment manager Ares Management Corporation has partnered with Mubadala Investment Company, Abu Dhabi’s global sovereign investor, to form a joint venture that will invest around $1 billion in global credit secondaries opportunities.
Private equity investment manager Ares Management Corporation (Ares) has partnered with Mubadala Investment Company (Mubadala), Abu Dhabi’s global sovereign investor, to form a joint venture that will invest around $1 billion in global credit secondaries opportunities.
In a press statement, Ares said the joint venture, which will anchored by Mubadala, will seek to capitalise on the anticipated growth and substantial demand from General and Limited Partners for customised liquidity solutions for the credit secondaries asset class. The joint venture is anticipated to scale alongside the growing market opportunity.
Ares says the JV is a natural extension of its existing credit and secondaries platforms, which respectively had approximately $214 billion and $22 billion of assets under management as of 31 December, 2022. By leveraging Ares’ track record and Mubadala’s global footprint, the joint venture will benefit from access to a broader network, differentiated market intelligence, and new transaction opportunities, according to the statement.
Dave Schwartz will serve as partner and head of the credit secondaries strategy and a member of the Ares Secondaries Executive Committee. He most recently served as co-head of Ares’ US Direct Lending strategy, of which he was a founding member.
The senior leadership team also includes Sebastien Burdel and Luca Salvato, both partners in the Ares Secondaries Group and veterans of the secondaries industry, as well as Nate Walton, partner and head of the private equity secondaries strategy and a member of the Ares Secondaries Executive Committee.