Following months of discussions, AMP and Ares Management Corp. have entered into a nonbinding joint venture agreement regarding AMP’s private markets businesses.
Under the terms of the agreement, the companies will pursue the formation of a joint venture for AMP’s infrastructure equity, infrastructure debt, real estate and other minority investments. Ares will acquire 60 percent of the private markets businesses and assume management control for A$1.35 billion ($1 billion), with AMP retaining the remaining 40 percent for A$900 million ($715 million).
The joint venture is valued at a total of A$2.25 billion ($1.8 billion), excluding retained assets; however, the total implied value for AMP Capital’s existing private markets business is A$3.15 billion ($2.5 billion).
The companies said the partnership will facilitate an acceleration of the growth of private markets, w
