Secondaries

The real estate secondaries market is poised for significant growth, driven by increased demand for capital, attractive discounts to net asset value and a broadening range of transaction types.

While Leonard Green’s transaction is giving cash-out LPs the benefit of both processes, the ‘quick flip’ issue remains controversial in continuation fund deals where assets are quickly exited.

ICG and Manulife closed on their respective debut LP-led and GP-led vehicles this week. Both firms believe the secondaries market will continue to specialise in this way – they’re just early adopters.

Manulife Investment Management has held the final close for its debut vehicle, private equity-focused Manulife Strategic Secondaries Fund.

AXA Investment Managers joins a growing list of players buying up secondaries shops as it plans to tap GP-led and direct secondaries opportunities in North America.

Kaiser came out atop of the secondaries category in affiliate title Buyouts’ Deals of the Year awards. The non-profit healthcare organisation deftly closed its portfolio sale last year despite market turbulence, price fluctuations and the banking crisis.

Including co-investment vehicles and SMAs, the firm’s LP secondaries strategy has received total commitments of $1.6bn.

The Singapore-based fundraising platform is seeking to co-launch a secondaries fund alongside experienced GPs that will target individual investors.

Hollyport closed its eighth flagship fund, along with its first-ever co-investment vehicle, at the end of 2022 on more than $2.2bn.

Secondaries firms should develop vehicles capable of providing liquidity for a wider variety of players within the infrastructure space, says HarbourVest’s Diego Jimenez at PEI Group’s Infrastructure Investor Network Global Summit.