Deals

Large deals have helped drive volume since last year in what has continued to be a brisk secondaries market in the general economic recovery.

Investors in Hopu Masterfund II can roll into a continuation fund with real estate investor and operator GLP China or sell their stakes in a deal that could be worth as much as $2bn.

Ares Management’s agreement to buy Landmark Partners could be the latest in a chain of consolidation moves in the secondaries industry. We examine the ownership of firms that comprise our SI 30 ranking to see who might be next.

Buhuo is the latest Chinese GP using secondaries to raise capital from what is perceived to be a more stable LP base than those at home.

With assets live in the market, outside buyers occasionally swoop in and make better offers, upending months of work building consensus on the secondaries deal.

The deal is one of the high-profile secondaries in the market this year helping to push activity volumes that some expect to reach record highs by year-end.

Buyers are proposing fresh ways of ensuring sponsors stay aligned, according to a panel at PEI’s Investor Relations, Marketing & Communications Forum.

Assets slated for a secondaries deal periodically get snapped up by outside buyers before the deals can close, a risk that increases the longer such deals linger in the market without closing.

Activity is driven by secondaries and funds of funds aiming to lock in returns and liquidate old vehicles, according to managing partner Etienne Deshorme.

The secondaries firm has gained exposure to a portfolio of around 20 high-growth businesses in the fintech and insurtech sectors.