Baar-Zug, 10 December 2012
Partners Group closes oversubscribed private equity secondary fund at EUR 2 billion
Partners Group, the global private markets manager, announces the closing of Partners Group Secondary 2011, L.P. at its hard cap of EUR 2 billion. The fund was oversubscribed and closed before the expiration of its fundraising period. This program saw substantial interest both from prior investors in Partners Group’s secondary funds as well as from new clients, with the overall balance of clients showing a high level of geographic diversification.
With the market for private equity secondaries having continued to increase in size over the past few years, Partners Group expects this market to remain strong throughout the next couple of years. Deal flow year-to-date is in line with 2011, during which the firm screened USD 70 billion in secondary opportunities, its highest ever amount. The drivers of this growth are regulatory changes on the one hand, with various regulatory impediments restricting financial institutions’ potential for holding private markets assets, as well as record levels of primary fundraising in the past. As a result, a growing number of institutional investors are seeking to rebalance their private equity exposure and actively manage their portfolios through the secondary market.
Dr. Stephan Schäli, Partner and Head Private Equity, comments "Global private equity secondary markets continue to provide a wide range of attractive investment opportunities. We have already committed over 20% of the fund to a diversified cross-section of assets which are showing a strong performance overall. We further expect to invest a higher proportion of this fund’s capital in Asia than was the case in previous funds as a reflection of the increased maturity of the region’s private equity market. With a total of six offices in Asia-Pacific and emerging markets, we have one of the largest dedicated secondary investment teams in the region."