Legg Mason has closed the acquisition of a majority equity interest in RARE Infrastructure, Ltd., an investment firm headquartered in Sydney, Australia.

The firm, with offices in Sydney, Melbourne, London and Chicago, specializes in global listed infrastructure investments. As of October 20, 2015, estimated assets under management (AUM) for RARE Infrastructure was $6.8 billion.

The acquisition expands Legg Mason's offerings in equity liquid alternative investments, adding an experienced manager in a high-growth asset class.

Under the terms of the transaction, Legg Mason acquires a 75% ownership stake, the firm's management team retains a 15% equity stake and The Treasury Group, a previous minority owner, retains 10%. RARE will operate as a core independent investment affiliate along with Brandywine Global, ClearBridge Investments, Martin Currie, the Permal Group, QS Investors, Royce and Associates, and Western Asset Management.

Established in 2006, RARE's investment approach is centered on risk adjusted returns on equity (RARE) and its investment process focuses on detailed analysis of cash flows of infrastructure assets that provide stable, predictable returns combined with the underlying macro and economic valuation drivers.

RARE Infrastructure, Ltd. was advised by UBS Investment Bank.