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AR
Private Equity Firm

Ares Management

AUM$428 billion
Founded1997
HQLos Angeles, CA

Global alternative investment manager with focus on credit, private equity, and real estate.

Track Record

Total Acquisitions23
Bankruptcy Rate22%
Avg Hold Period2.0yrs
High-Risk Track Record

22% of companies owned by this firm have filed for bankruptcy. This is significantly above the industry average.

Known Tactics

Debt Loading

COMMON

Adding significant debt to acquired company balance sheets, often to fund dividends to PE owners.

Cost Cutting

COMMON

Aggressive reduction in labor costs, supplier payments, and operational expenses.

Asset Stripping

COMMON

Selling off valuable assets like real estate while leasing them back at high rates.

Price Increases

COMMON

Raising prices to improve margins and fund debt payments.

Staff Reductions

COMMON

staff reductions is a common PE tactic.

Portfolio Companies

Current and former holdings

Notable Outcomes