Liberty Mutual Group Inc.’s asset management arm has agreed to back Ara Partners’ infrastructure and energy strategies, marking the latest collaboration between an insurer and an alternative investment manager.
The partnership includes an anchor commitment to Ara’s new energy fund, alongside additional capital for existing and future investments, according to Charley Poole, head of energy and infrastructure at Liberty Mutual Investments. The unit manages $117 billion globally on behalf of the insurer.
Poole declined to disclose the size of Liberty Mutual’s commitment to Houston-based Ara, which oversees approximately $6.6 billion in assets and focuses on decarbonizing the industrial economy through private equity, infrastructure and energy investments.
“We view investments through a perpetual lens and can support businesses over time,” Poole said.
As part of the collaboration, Liberty Mutual will also provide backing for specific portfolio companies, including ethanol production facilities, fuel retail network Jet and high-speed internet services firm Centric Fiber.
The deal reflects a broader trend of insurers deepening ties with alternative asset managers, either through ownership stakes or strategic partnerships. Such arrangements offer asset managers access to stable, long-term capital, while insurers gain exposure to potentially higher-yielding private market investments.
Liberty Mutual has been expanding its energy infrastructure exposure across equity and debt, including commitments to primary funds, co-investments and direct investments. Its infrastructure portfolio spans renewable power, transportation and digital infrastructure assets.
In January, the insurer took a minority stake in Mascarene Partners, a middle-market infrastructure investment firm, underscoring its push to broaden its private markets footprint.
Poole said infrastructure remains a dynamic asset class with evolving opportunities.
“We’re constantly looking for new opportunities,” he added.
