Ares Management evaluates purchase of Leonard Green & Partners

Ares Management is in preliminary talks to acquire buyout firm Leonard Green & Partners, a deal that would dramatically expand Ares' private‑equity platform. Ares currently oversees about $644 billion in assets, with roughly $25 billion allocated to private‑equity strategies. Leonard Green manages about $85 billion, meaning the combined entity would more than quadruple Ares' buyout assets and strengthen its position in traditional private equity, a sector where rivals such as Blackstone, Apollo and KKR have larger footprints.

The proposed transaction reflects a broader trend of consolidation in the private‑markets industry, as managers seek scale to navigate slower fundraising cycles and a backlog of ageing portfolio companies. Leonard Green is known for investments in resilient‑cash‑flow businesses, including distributors, consumer brands and health‑care services, and has recently exited an $18 billion building‑products distribution deal. If completed, the acquisition would give Ares greater scale and diversification across private credit, real assets and infrastructure, positioning it for continued growth in a competitive market.