Investment giant Apollo Global Management is acquiring Argo Infrastructure Partners.
Announced this week, the deal will add approximately $6 billion of assets to the Apollo infrastructure platform. Terms were not shared, but the deal is set to close in Q2 2025.
Founded in 2013, Argo is a mid-market asset manager targeting essential infrastructure assets in North America. Its portfolio includes power generation assets, utilities, electric transmission systems, and an energy storage network.
Argo is the majority owner of US data center firm TierPoint, which operates around 40 facilities across 18 US markets. Argo first invested in TierPoint alongside Wafra and Macquarie Capital Principal Finance in a 2020 $320 million raise. The company then invested another $500 million in TierPoint in 2022, becoming the company’s largest shareholder, and took a majority stake in the firm last year.
“We are excited to announce this agreement with Argo which will add capabilities that are highly complementary to our existing value-add investment strategy. The Argo team has curated a high-quality portfolio, managing assets on behalf of a top-tier group of institutional investors,” said Harry Seekings and Olivia Wassenaar, partners and co-heads of infrastructure at Apollo. “Argo has an experienced team with deep origination and asset management expertise, and we look forward to integrating this successful strategy into our franchise, continuing the team’s strong track record of providing investors with thoughtful, differentiated access to mid-market core and core plus infrastructure.”
Upon closing, Argo will join Apollo’s Sustainability & Infrastructure group, which includes strategies across the risk-return spectrum from private credit and value add infrastructure equity to infrastructure private equity.
“Since its founding in 2013, Argo has had a mission to focus relentlessly on delivering on our innovative investment strategy, bringing creativity to a mature, but vital, sector. With this mindset, Argo has built a leading infrastructure platform, managing 18 portfolio companies across the U.S. and Canada. Apollo’s global reach, extensive resources, and shared commitment to long-term value creation make them the ideal partner to carry forward Argo’s mission,” said Jason Zibarras, founding partner of Argo.
NYSE-listed Apollo Global Management is a major US asset management firm with some $650 billion of assets under management. As well as investing in data center developer Yondr, Apollo previously acquired and floated service provider Rackspace, acquired Yahoo! in 2021 from Verizon, and recently sold tower firm Parallel Infrastructure to Harmoni Towers. It also owns US ISP Brightspeed.
This deal continues a 2024 trend of investment firms buying up other investment firms, especially those focused on infrastructure. Last year saw Blue Owl acquire Stack owner IPI; General Atlantic acquired Actis; Blackrock acquired CyrusOne joint-investor GIP; Ares Management acquire GLP Capital Partners' international business, which included its data center unit Ada Infrastructure; and APAC real estate giant ESR looks set to be taken private a consortium including Starwood Capital Group, Sixth Street, and Warburg Pincus.