M&A Deal Summary

Pretium Partners and Ares Private Equity Group Acquire Front Yard Residential

On November 23, 2020, asset manager Pretium Partners and private equity firm Ares Private Equity Group acquired real estate company Front Yard Residential

Acquisition Highlights
  • This is Pretium Partners’ 1st and Ares Private Equity Group’s 5th transaction in the Real Estate sector.
  • This is Pretium Partners’ 2nd and Ares Private Equity Group’s 72nd transaction in the United States.
  • This is Pretium Partners’ 1st and Ares Private Equity Group’s 2nd transaction in Virginia.

M&A Deal Summary

Date 2020-11-23
Target Front Yard Residential
Sector Real Estate
Buyer(s) Pretium Partners
Ares Private Equity Group
Deal Type Buyout (LBO, MBO, MBI)
Advisor(s) Deutsche Bank Corporate & Investment Banking (Financial)
Weil Gotshal & Manges (Legal)

Target

Front Yard Residential

Christiansted, Virginia, United States
Front Yard Residential is a provider of quality, affordable rental homes to America’s families. Front Yard homes offer exceptional value in a variety of suburban communities that have easy accessibility to metropolitan areas. Front Yard's tenants enjoy the space and comfort that is unique to single-family housing, at reasonable prices. Front Yard Residential is based in Christiansted, Virginia.

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Buyer(S) 2

Buyer

Pretium Partners

Investor Investor Investor Investor Investor


Category Asset Manager
Founded 2012
PE ASSETS 51.8B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

Pretium is a specialized alternative investment management firm focused on residential real estate, mortgage finance and corporate credit. Pretium was founded to capitalize on secular investment and lending opportunities arising as a result of structural changes, disruptions, and inefficiencies within the economy, the residential housing sector and mortgage finance markets. Pretium was formed in 2012 and is headquartered in New York City.


DEAL STATS #
Overall 2 of 4
Sector (Real Estate) 1 of 1
Type (Buyout (LBO, MBO, MBI)) 1 of 2
State (Virginia) 1 of 1
Country (United States) 2 of 4
Year (2020) 1 of 1
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2019-11-04 Selene Finance

Houston, Texas, United States

Selene Finance is a residential mortgage services company. Selene provides a full range of services that start at loan transfer and extend through the life of the loan to include technology integration, reporting, and goals setting. Selene Finance was founded in 2007 and is based in Houston, Texas.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2021-11-02 Anchor Loans

Thousand Oaks, California, United States

Anchor Loans is a provider of financing to residential real estate investors and entrepreneurs through its bridge and construction products. Anchor Loans was founded in 1998 and is based in Thousand Oaks, California.

Buy -
Buyer

Ares Private Equity Group

Los Angeles, California, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 2003
PE ASSETS 20.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

Ares Private Equity Group is the private equity arm of Ares Management, a global alternative asset manager. The Ares Private Equity Group specializes in opportunistic majority/shared control investments in under-capitalized middle-market companies. Ares looks for companies with strong franchises and attractive growth opportunities. The Group prefers to be the lead investor and will invest across the capital structure, including common equity, preferred equity, convertible equity/debt and senior debt. Areas of interest include business services, defense, healthcare, manufacturing, industrial, energy and consumer products and services. Ares Private Equity Group was formed in 2003 and is based in Los Angeles, California.


DEAL STATS #
Overall 85 of 98
Sector (Real Estate) 5 of 5
Type (Buyout (LBO, MBO, MBI)) 15 of 16
State (Virginia) 2 of 3
Country (United States) 72 of 82
Year (2020) 7 of 7
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2020-11-23 Valet Living

Tampa, Florida, United States

Valet Living is a provider of doorstep collection and recycling services, and also full-service amenities provider to the multifamily industry. Valet Living was founded in 1995 and is based in Tampa, Florida.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2021-01-06 TricorBraun

St. Louis, Missouri, United States

TricorBraun is a distributor of rigid packaging solutions including containers, closures and related components. TricorBraun was established in 1902 and is headquartered in St. Louis, Missouri.

Buy -