KKR to sell Infinity Transportation to Ares for $2.9B

KKR (KKR) agreed to sell Infinity Transportation, a full-service railcar and intermodal equipment lessor, to Ares Management (ARES) for an enterprise value of ~$2.9B, the companies said Monday.

Ares (ARES) is acquiring the company through its Infrastructure Equity and Ares Insurance Solutions funds. The deal is expected to close in Q1 2027.

Infinity, founded in 2004, owns and manages ~50,000 railcars leased to more than 350 unique lessees across the U.S., Canada, and Mexico. KKR's (KKR) wholly owned subsidiary, Global Atlantic, has invested in Infinity since 2016.

After the acquisition closes, Ares (ARES) intends to use its broad infrastructure investing capabilities and scaled capital to support Infinity's management team, continued growth, and customer relationships across North America.

The infrastructure sector forms one of the main pillars of Ares' (ARES) investing strategies. "Transportation and logistics assets continue benefiting from the reshoring of manufacturing, increased investment in domestic industrial capacity, and growing need for more resilient supply chains," said Mike Roth, partner in Ares Infrastructure Equity, and Anup Agarwal, head and chief investment officer of Ares Insurance Solutions.

"Alongside this strong underlying demand, Infinity’s high-quality, long-lived assets are well suited for long-term investment," they added.