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MGT and Ares Management Combine Forces to Create First Unicorn in SLED Services Industry

MGT announced a $350 million investment from Ares Management on Dec 3, 2025, valuing MGT at $1.25 billion.

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Rhea-AI Summary

MGT announced a $350 million investment from Ares Management on Dec 3, 2025, valuing MGT at $1.25 billion. Ares, with approximately $572 billion AUM, joins existing backers Vistria Group, J.P. Morgan and WhiteHorse Capital. MGT said the capital will expand its capacity for larger acquisitions and accelerate a four-year value-creation plan that began after Vistria's majority investment in April 2023. Since that investment, MGT reports it has tripled enterprise value, completed 13 strategic acquisitions, employs over 1,100 people, and serves more than 2,500 clients, including K-12 and government customers.

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Positive

  • Investment of $350 million from Ares
  • Implied valuation of $1.25 billion
  • Ares with $572 billion AUM joins investors
  • Enterprise value tripled since April 2023
  • 13 strategic acquisitions completed since 2016
  • 1,100+ employee-owners serving 2,500 clients
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.

Market Context

This announcement highlights Ares committing $350 million into MGT at a $1.25 billion valuation, ext...
Analysis

This announcement highlights Ares committing $350 million into MGT at a $1.25 billion valuation, extending its reach into the SLED-focused technology and advisory space. It follows other recent transactions and platform launches that expanded Ares’ credit and real estate footprint. Investors may track how this partnership translates into fee-bearing AUM, future co-investment opportunities, and exits. Monitoring subsequent disclosures, including earnings updates and any follow-on financings at MGT, could help clarify the financial impact over time.

Key Figures

Investment size: $350 million MGT valuation: $1.25 billion Ares AUM: $572 billion +5 more
Investment size
$350 million
Ares investment into MGT announced Dec 3, 2025
MGT valuation
$1.25 billion
Post-transaction valuation for MGT
Ares AUM
$572 billion
Assets under management cited for Ares Management
Employees
1,100+ employee-owners
MGT workforce size serving SLED clients
Client count
2,500+ clients
MGT client base across state, local, and education
People impacted
200 million people
Annual population impacted by MGT services
K-12 students
20 million students
K-12 students reached annually by MGT
Strategic acquisitions
13 acquisitions
MGT transactions completed under current leadership

Historical Context

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

    Strategic investment

    24h Move
    +1.3%

    Ares leads $350M investment in MGT at $1.25B valuation.

  2. Dec 03

    Correction notice

    24h Move
    +1.3%

    Clarifies details of the $350M MGT investment and AUM figure.

  3. Dec 02

    Securitization deal

    24h Move
    +0.3%

    Affiliate co-manages >$400M inaugural asset-backed securitization.

  4. Dec 01

    Credit facility

    24h Move
    +1.7%

    Ares credit funds lead $500M facility for Aledade, expandable to $650M.

  5. Dec 01

    Platform launch

    24h Move
    +1.7%

    Launch of Marq Logistics managing >600M sq ft with $110B AUM base.

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

Key Terms

aum
1 terms
aum financial
"Ares Management Corporation, one of the world's largest alternative investment managers with approximately $572 billion in assets under management (AUM)"
Assets under management (AUM) is the total market value of investments that a financial firm or fund manages on behalf of clients. Investors watch AUM like the size of a shop: larger AUM can mean more fee revenue, greater market influence and perceived stability, while rapid changes in AUM signal growing popularity or redemptions that may affect future earnings and investment strategy.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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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 

Cision View original content:https://www.prnewswire.com/news-releases/mgt-and-ares-management-combine-forces-to-create-first-unicorn-in-sled-services-industry-302631210.html

SOURCE MGT

FAQ

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

What did ARES announce about its investment in MGT on Dec 3, 2025?

Ares invested $350 million in MGT, valuing the company at $1.25 billion.

How does the Dec 3, 2025 ARES deal change MGT's valuation?

The transaction sets MGT's valuation at $1.25 billion, marking unicorn status.

What strategic plans did MGT cite after the ARES investment (Dec 3, 2025)?

MGT said the capital will enable larger acquisitions and accelerate its four-year value-creation plan.

Who are MGT's other investors alongside ARES as of Dec 3, 2025?

Existing backers listed are Vistria Group, J.P. Morgan, and WhiteHorse Capital.

How much has MGT grown since Vistria's April 2023 investment?

MGT reports its enterprise value tripled since the April 2023 majority investment.

What scale does MGT report after the ARES investment (employees and clients)?

MGT reports 1,100+ employees and service to more than 2,500 clients.

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