Legg Mason completes RARE acquisition

US firm Legg Mason has completed the acquisition of a majority equity interest in infrastructure manager RARE Infrastructure

The Maryland-based asset management firm has acquired 75% of the Sydney-based firm from the merged Treasury Group and Northern Lights Capital Group (the Pacific Current Group) for A$200m in upfront cash, earn-out and retained equity consideration.

Herbert Smith Freehills advised the Pacific Current Group, Legg Mason was advised by Allens, K&L Gates and Deloitte, and RARE was advised by UBS, King & Wood Mallesons and EY.

As previously reported, RARE senior management & investment staff will retain a 15% ownership with existing minority shareholder, Aurora/Treasury Group retaining a 10% equity interest.

RARE has offices in Melbourne, Chicago and London with global infrastructure funds domiciled in Dublin.