INA Partners with Ares to Boost Hybrid Capital in Indonesia
Deal News | Mar 06, 2025 | Ares Private Equity Group
The Indonesia Investment Authority (INA) and Ares Management Corporation have established a strategic partnership through an Investment Framework Agreement to enhance investment opportunities in Indonesia using Hybrid Capital Solutions and securitization. Ares commits to exploring investment opportunities of up to USD 500 million annually, indicating a substantial commitment to fostering Indonesia’s economic development. Both organizations plan to leverage their respective expertise—Ares’ in structured finance and INA’s local insights—to optimize risk-adjusted returns and catalyze sustainable growth in Indonesia’s financial ecosystem. This partnership aligns with both INA's mission to attract foreign investment and Ares’ strategy to expand its presence in the Asia Pacific region, focusing on scalable, impact-driven financial solutions.
Sectors
- Financial Services
- Investment Management
Geography
- Indonesia – The primary focus is on fostering investments in Indonesia, targeting its financial ecosystem's growth.
- Asia Pacific – Ares Management aims to expand its presence in the Asia Pacific region, with Indonesia being a key market.
Industry
- Financial Services – The article discusses the collaboration to enhance investment opportunities through financial mechanisms such as Hybrid Capital Solutions and securitization, which are pivotal in financial services.
- Investment Management – Ares Management operates as a global alternative investment manager, which positions this article within the investment management sector.
Financials
- USD 500 million annually – The estimated amount Ares Asia Credit plans to explore in investment opportunities annually to foster economic development in Indonesia.
- USD 348.8 billion – Assets under management by the Ares Credit Group as of December 31, 2024.
- USD 11.5 billion – Assets overseen by the Ares Asia Credit platform.
- USD 525 billion – Ares Management Corporation's global assets under management as of December 31, 2024.
Participants
Name | Role | Type | Description |
---|---|---|---|
Indonesia Investment Authority (INA) | Target Company | Government | Indonesia's sovereign wealth fund responsible for increasing investment to support sustainable development in the country. |
Ares Management Corporation | Bidding Company | Company | A leading global alternative investment manager collaborating with INA to advance innovative financing practices in Indonesia. |
Ares Asia Credit | Other Company | Company | The subsidiary of Ares Management focusing on credit investments in the Asia Pacific region. |