Press release
Ares Management Corporation and Vinci Partners Announce Strategic Partnership and Investment
Ares and Vinci Partners to Collaborate on Strategy to Accelerate Growth of Private Markets Offerings in Latin America Ares to Invest US$100 Million in New
About this update from Vinci Compass Investments Ltd.
[{"type":"text","content":"\nAres and Vinci Partners to Collaborate on Strategy to Accelerate Growth of Private Markets Offerings in Latin America\n\n\nAres to Invest US$100 Million in New Convertible Preferred Shares to Be Issued by Vinci Partners\n\n\n NEW YORK & RIO DE JANEIRO--(BUSINESS WIRE)--\nAres Management Corporation (“Ares”) (NYSE: ARES) and Vinci Partners Investments Ltd. (“Vinci Partners” or “Vinci”) (NASDAQ: VINP) announced today that they have reached an agreement to form a strategic partnership to accelerate the growth of Vinci's platform in Latin America and to collaborate on distribution, product development and other business opportunities (the “Strategic Partnership”). In connection with the formation of the Strategic Partnership, an affiliate of Ares will concurrently make a US$100 million investment in new convertible preferred shares to be issued by Vinci (the “Investment”), subject to customary closing conditions.\n\n\nTogether, Ares and Vinci plan to primarily collaborate across three strategically accretive areas:\n\n\nStrategic Distribution: Ares and Vinci will collaborate on fundraising to seek to broaden each of the respective company’s limited partner relationship networks within Brazil and globally.\n\n\nNew Product Development and Investment Collaboration: Ares and Vinci will explore launching co-branded products and investment strategies that leverage each platform’s unique capabilities. Additionally, Ares and Vinci will collaborate on new investment opportunities in Latin America that could be suitable for the companies’ respective investment strategies.\n\n\nImplementation of Operational and Strategy Best Practices: Ares will provide Vinci with strategic guidance on investment strategy, investor relations, business operations, pursuit of strategic initiatives and other related functions with the goal of driving continued growth of the platform.\n\n\nIn connection with the Investment and in order to drive success of the Strategic Partnership and connectivity between the platforms, a representative from Ares will be appointed to the Vinci Board of Directors.\n\n\nVinci intends to use the proceeds from the Investment for strategic initiatives, including ongoing organic growth efforts as well as potential complementary inorganic opportunities within Brazil and broader Latin America.\n\n\n“We are pleased to announce this stra...