Secondaries

Eight slides that look at the amount of private equity capital raised between January and end-September and what the figures show.

While activity on the GP-led side has been slower, several large deals have gotten done with buyers choosing to work with high-quality assets managed by firms they know well.

Jonathan Gray’s contention, that discounts on LP portfolios could increase, runs contrary to the trend this year of strengthening pricing.

Pricing for secondaries has improved to a net-asset-value level of around 90% for buyout funds.

A mismatch between the supply of potential deals and the number of institutional buyers has given Schroders significant 'bargaining power', Jun Qian, the firm's head of China PE, tells PEI.

The single-asset deal is among a slew of mid-market transactions that are keeping secondaries buyers busy, despite a slowdown earlier in the year on the GP-led side.

With the acquisition of Abrdn’s Europe PE business, the Brazilian alts giant would have about $9bn of fee-earning AUM to be put to work in mid-market strategies.

The sovereign wealth giant has raised its allocation for the asset class to up to 15% of total assets and has a bullish outlook on secondaries and direct lending.

The rationale for the deal is to provide liquidity to investors in older funds while still holding the assets.

The sale is being run in steps, with the first round of about $500m recently closed.