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/C O R R E C T I O N -- MGT/

MGT (ARES) said it closed a $350 million strategic investment from Ares Credit funds on Dec 3, 2025, valuing the company at $1.25 billion, creating what the company calls the first unicorn in the SLED services industry.

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Rhea-AI Summary

MGT (ARES) said it closed a $350 million strategic investment from Ares Credit funds on Dec 3, 2025, valuing the company at $1.25 billion, creating what the company calls the first unicorn in the SLED services industry. The transaction brings Ares Management (reported $595 billion AUM as of Sept 30, 2025) alongside existing backers Vistria, J.P. Morgan, and WhiteHorse Capital.

MGT said it has tripled enterprise value since Vistria's April 2023 majority investment, operates with 1,100+ employee-owners, serves over 2,500 clients, and is midway through a four-year value-creation plan focused on M&A and business transformation.

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Positive

  • $350M strategic investment from Ares Credit funds
  • Company valuation at $1.25B following the deal
  • Enterprise value tripled since April 2023 majority investment
  • 1,100+ employee-owners serving 2,500 clients

Negative

  • None.
Argus Dec 3 session
+1.33% close to close Open Argus
Details

News Market Reaction – ARES

On Dec 3, the day this news came out, ARES closed 1.33% above the previous close.

Data tracked by StockTitan Argus for the Dec 3 session.

Key Figures

Strategic investment size: $350 million MGT valuation: $1.25 billion Ares AUM: $595 billion +5 more
Strategic investment size
$350 million
Ares Credit funds investment into MGT
MGT valuation
$1.25 billion
Implied valuation from Ares investment
Ares AUM
$595 billion
Assets under management as of Sept 30, 2025
Employee-owners
1,100+
MGT workforce size
Clients served
2,500+
Number of MGT clients
People impacted
200 million+
Annual population impacted by MGT services
K12 students
20 million
K12 students impacted annually
Strategic acquisitions
13
Number of MGT acquisitions since 2016

Historical Context

5 past events · Latest: Dec 03
5 events
  1. Dec 03

    Strategic investment

    24h Move
    +1.3%

    Initial announcement of $350 million Ares investment into MGT.

  2. Dec 03

    Correction notice

    24h Move
    +1.3%

    Corrected details on MGT funding and unicorn valuation with Ares credit.

  3. Dec 02

    Securitization deal

    24h Move
    +0.3%

    Ansley Park Capital’s >$400 million ABS issuance involving an Ares affiliate.

  4. Dec 01

    Credit facility

    24h Move
    +1.7%

    Aledade’s up-to-$650 million facility led by Ares credit funds.

  5. Dec 01

    Platform expansion

    24h Move
    +1.7%

    Launch of Marq Logistics brand managing 600M+ square feet globally.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

sled, assets under management, m&a
3 terms
sled technical
"serving state, local, and education (SLED) government clients"
SLED stands for the State, Local, and Education segment of government customers — the collection of state agencies, city and county governments, school districts, and public colleges that buy goods and services. Investors care because winning contracts in this segment can provide steady, predictable revenue like a company having many neighborhood customers who pay on schedule, but sales cycles and rules can be slower and more formal than selling to private businesses.
assets under management financial
"a leading global alternative investment manager with over $595 billion in assets under management"
Assets under management (AUM) is the total value of all the investments that a financial company or fund is responsible for overseeing on behalf of its clients. It’s like a big bucket that shows how much money the firm is managing for people or organizations. A higher AUM often indicates a larger, more trusted company, and it can influence how much money they earn and the services they can offer.
m&a financial
"rapid growth driven by its programmatic M&A strategy, strong organic growth"
M&A, short for mergers and acquisitions, involves one company combining with or purchasing another company to grow, streamline operations, or gain competitive advantages. For investors, M&A activity can signal potential for increased value, new opportunities, or changes in market dynamics, making it an important factor to watch in the business landscape.
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TAMPA, Fla., Dec. 3, 2025 /PRNewswire/ -- MGT, a national technology and advisory solutions leader serving state, local, and education (SLED) and government clients, announced it has closed a $350 million investment from Ares Management Corporation, valuing the company at $1.25 billion. Ares Management Corporation, one of the world's largest alternative investment managers with approximately $572 billion in assets under management (AUM), joins existing MGT backers The Vistria Group, J.P. Morgan and WhiteHorse Capital.

"This investment validates both our strategy and our commitment to building the category-of-one social impact and performance leader in SLED," said Trey Traviesa, chief executive officer, MGT. "With Ares' support, we significantly expand our capacity to undertake larger acquisitions and accelerate the high-impact growth and transformation we set out to achieve in our ambitious value-creation plan."

MGT is midway through a four-year value-creation plan following Vistria's majority investment in April 2023. Since then, the company has tripled in enterprise value with rapid growth driven by its programmatic M&A strategy, strong organic growth and ambitious business transformation execution. Steeped in SLED domain expertise, MGT's 1,100-plus employee-owners now serve over 2,500 clients, impacting over 200 million people annually, including 20 million K-12 students. The company's broad portfolio of specialized technology and advisory solutions addresses mission-critical priorities – including technology modernization and AI, cyber and campus security, human capital, fiscal and facilities management, and K-12 school improvement – for state and local government agencies, K-12 districts, and higher education institutions across the U.S.

Founded in 1975, MGT has expanded rapidly under new leadership since 2016, through a combination of organic growth and 13 strategic acquisitions. In 2025, MGT ranked No. 830 on the Inc. 5000, recognizing the nation's fastest-growing private companies, and No. 6 on CRN's Fast Growth 150 list, honoring the fastest-growing technology companies in North America.

For more information on MGT, visit mgt.us or download the Annual Impact Report at mgt.us/2024_impact_report.

About The Vistria Group
The Vistria Group is building a new kind of private investment firm that seeks to deliver both financial returns and societal impact. It invests in essential industries like healthcare, knowledge and learning solutions, financial services, and housing, which deliver value for investors as well as communities, employees, and consumers. With $17 billion in assets under management, The Vistria Group works alongside management teams as true partners, drawing on its deep sector knowledge, operational expertise, unique network, diverse team, and impact orientation to achieve transformational growth.

About Ares Management Corporation 
Ares Management Corporation (NYSE: ARES) is a leading global alternative investment manager offering clients complementary primary and secondary investment solutions across the credit, real estate, private equity, and infrastructure asset classes. Ares seeks to provide flexible capital to support businesses and create value for its stakeholders and within its communities.

Media Contact:
Lawrence Cowan
COO, Revenue Operations, MGT
801‑556‑2164
lcowan@mgt.us 

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What did MGT (ARES) announce on December 3, 2025 regarding new investment?

MGT announced a $350 million strategic investment from Ares Credit funds valuing the company at $1.25 billion.

How does the Ares investment affect MGT's valuation and unicorn status?

The investment sets MGT's post-money valuation at $1.25 billion, which the company characterizes as creating the first SLED services unicorn.

Who joined MGT's investor group with the December 2025 transaction?

Ares Management joined existing investors Vistria, J.P. Morgan, and WhiteHorse Capital as a strategic backer.

What growth track record did MGT cite when announcing the Ares deal?

MGT said it has tripled enterprise value since Vistria's April 2023 majority investment and is mid-way through a four-year value-creation plan.

How large is MGT's workforce and client base after the Ares investment?

MGT reported 1,100+ employee-owners serving over 2,500 clients and impacting about 200 million people annually.

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