Auda targets $500m for secondary fund

A year-and-a-half after the spin-out of its secondary investment team, now Newbury Partners, New York-based Auda is raising a mid-market secondary fund targeting a first close on 30 June.

Alternative investment firm Auda International is targeting $500 million (€322 million) for its first secondaries fund since the departure of its entire secondaries team in late 2006, according to a document obtained by PEO.

An Auda spokesperson declined to disclose the identities of the secondaries investment team. However, Auda appointed Tim Brody as managing director and head of the private equity secondary program in January 2008. Brody was previously a senior member of the secondary investments group at AlpInvest Partners.

Auda managing director Andrew Levy aided in the management of Auda Secondary Fund I (ASF I) following the departure of the previous investment team, according to a source familiar with the situation. However, it is unclear whether he will be involved in the management of ASF II.

ASF I closed on $410 million in 2004 and was invested by the team which spun out to form Stamford, Connecticut-based Newbury Partners in 2006. The entire team, led by Richard Lichter, departed Auda with the exception of a single investment committee member.

Newbury Partners’ debut fund closed on $702 million in April, at which time the fund was approximately 25 percent committed via 14 transactions that occurred since summer 2007.

ASF II will target mid-size deals of $10 million to $50 million and expects to hold a first close on 30 June. It will acquire interests in buyout, growth, venture and other private equity funds and may purchase direct portfolios.

The fund will seek to take advantage of a gap for middle market secondary funds created by ballooning secondary fund sizes, according to the document.

New York-based Auda’s private equity platform has $3.6 billion under management across its primary, secondary and co-investment programs. The firm has additional offices in Germany, Sweden, the UK and Hong Kong.