TPG VII: The longest of the mega-raises

In the last year six funds have broken the $10 billion mark: TPG takes the crown for longest on the road.

This week TPG became the sixth private equity firm in the last year to raise a fund of more than $10 billion.

TPG VII, which closed on $10.5 billion, took 21 months to reach final close, according to PEI Research & Analytics. This is in sharp contrast to some of its peers that have managed to close mega funds in record time.

In the past 12 months, Advent closed its eight flagship vehicle $1 billion above target on $13 billion, and Warburg Pincus Private Equity XII, which reached its $12 billion target, both raced to final close in just six months.

At the other end of the spectrum, Lexington Capital Partners VIII took 19 months on the road to close, and Blackstone Capital Partners VII took 15 months to raise a massive $18 billion, overshooting its $16 billion target.

TPG declined to comment on the length of its fundraising, highlighting instead that it was oversubscribed. “We’re thankful to our LPs for their avid support of TPG Partners VII,” a spokesman for TPG said. “The fund was over-subscribed, which is indicative of TPG’s current momentum, The firm has raised over $45 billion across our platforms since the financial crisis, and we look forward to continuing to deploy this capital to find and build successful businesses around the world.”

For three years between 2011 and 2013, TPG was the largest firm in the world, according to the annual PEI ranking, which analyses capital raised by firms over a five year period. Since then the firm has slipped, however, and in this year’s ranking – which takes into account $9.8 billion of TPG VII’s total fundraising – the firm has slipped down to 9th, having been second in 2015.