MGT and Ares Management Combine Forces to Create First Unicorn in SLED Services Industry
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.
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
Negative
- None.
News Market Reaction
On the day this news was published, ARES gained 1.33%, reflecting a mild positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
ARES gained 1.18% while peers were mixed: APO and AMP rose (0.84%, 0.4%) but BAM, BN, and RJF declined (down to -1.92%), suggesting a more company-specific bid than a broad sector move.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Dec 03 | Strategic investment | Positive | +1.3% | Ares leads <b>$350M</b> investment in MGT at <b>$1.25B</b> valuation. |
| Dec 03 | Correction notice | Positive | +1.3% | Clarifies details of the <b>$350M</b> MGT investment and AUM figure. |
| Dec 02 | Securitization deal | Positive | +0.3% | Affiliate co-manages ><b>$400M</b> inaugural asset-backed securitization. |
| Dec 01 | Credit facility | Positive | +1.7% | Ares credit funds lead <b>$500M</b> facility for Aledade, expandable to <b>$650M</b>. |
| Dec 01 | Platform launch | Positive | +1.7% | Launch of Marq Logistics managing ><b>600M</b> sq ft with <b>$110B</b> AUM base. |
Recent Ares news on new platforms, financing partnerships, and capital markets activity has generally been followed by modest positive price reactions, indicating that investors have tended to reward announcements that expand Ares’ credit and real asset footprint.
Over the last few days, Ares reported several capital deployment and platform-expansion milestones. On Dec 1-2, 2025, it backed Aledade with a $500 million facility and supported a >$400 million asset-backed securitization at Ansley Park, both with small positive price moves. It also launched Marq Logistics, overseeing more than 600 million square feet of logistics real estate. Today’s MGT investment, valuing that partner at $1.25 billion, fits the pattern of Ares using its credit and alternatives platform to scale operating partners.
Market Pulse Summary
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 Terms
aum financial
AI-generated analysis. Not financial advice.
"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
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
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
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
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
What did ARES announce about its investment in MGT on Dec 3, 2025?
How does the Dec 3, 2025 ARES deal change MGT's valuation?
What strategic plans did MGT cite after the ARES investment (Dec 3, 2025)?
Who are MGT's other investors alongside ARES as of Dec 3, 2025?
How much has MGT grown since Vistria's April 2023 investment?
What scale does MGT report after the ARES investment (employees and clients)?
