Ares Management to Acquire GCP International for $3.7 Billion, Targets $7 Billion Investment Following $147M Miami-Dade Purchase

Ares Management Corporation has announced a definitive agreement to acquire GCP International in a transaction valued at $3.7 billion. This acquisition is part of Ares' strategy to enhance its real estate business, which has recently seen a significant boost with a $5.2 billion takeover. Additionally, Ares has made a $147 million investment in a Miami-Dade industrial complex. Kipp deVeer, head of the credit group at Ares, noted that while the Federal Reserve's rate cuts may reduce returns in floating-rate credit, the easing cycle will serve as a catalyst for further deals. The firm is also targeting $7 billion to invest in complex and distressed situations, indicating a focus on opportunistic credit funds that benefit from high interest rates.