US-based asset manager Ares Management has raised “nearly $500 million” for its second climate infrastructure fund, chief executive Michael Arougheti announced this week. The fund has a $3 billion target and was launched in February 2023, PEI Group’s database shows. It has now reached “a partial first close” just below the $500 million mark, Arougheti said in the firm’s second quarter results.
Ares Climate Infrastructure II – which was registered with the SEC last month – is a value-add equity strategy sitting within Ares’ special opportunities business. ACIP II will invest in renewables, electric vehicle infrastructure, energy efficiency and energy storage.
Its predecessor, ACIP I, raised $2.2 billion in 2021, including $1.4 billion in fund commitments and $800 million in related transaction vehicles. Raising ACIP I “took longer than I would have expected”, Arougheti said in February 2023, our Infrastructure Investor colleagues reported at the time (registration required).