Firms & Funds

AlpInvest leads secondary process for ex-Clinton adviser’s investment firm

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Stagwell Group, Carlyle Group, AlpInvest Partners, Mark Penn, Steve Ballmer, private equity, merger, M&A
President Bill Clinton (L) speaks with adviser Mark Penn (C) and journalist David Talbot on Dec. 31, 1997. Photo by Joe Talbot, White House photographer, sourced from Wikimedia Commons.
  • Stagwell wants to cash out early investors and raise fresh capital for investments
  • Unclear if AlpInvest is leading deal on its own or part of consortium
  • Stagwell is led by ex-Clinton adviser Mark Penn

AlpInvest Partners is lead investor in a liquidity process by Stagwell Group, the investment firm formed by ex-Bill Clinton adviser Mark Penn, sources told Buyouts.

It’s not clear if AlpInvest is leading a consortium or working alone. Chris Ullman, spokesman for Carlyle Group, which owns AlpInvest, declined to comment.

Stagwell is looking to cash out seed investors and raise fresh capital for investments, Buyouts reported last month. The firm raised an initial $250 million with the ability to use leverage to make up to $750 million in acquisitions.

As of Dec. 31, 2017, Stagwell managed about $591.5 million in discretionary assets, according to the firm’s Form ADV dated June 19, 2018.

Mercury Capital Advisors is working as intermediary on the secondary process.

Among Stagwell’s numerous investments are consulting firm SKDKnickerbocker; marketing firm PMX Agency; public relations shop Wyecomm; creative agency Code and Theory; healthcare and consumer marketing firm Scout; marketing agency Forward3D Group; marketing research firm Harris Poll; movie marketing research firm National Research Group; and online reputation management company ReputationDefender.

AlpInvest closed its latest secondary fund on $6.5 billion, with $3.2 billion of the total raised in separately managed accounts. It had targeted $6 billion for Fund VI. Managing Directors on the secondaries team include Neal Costello, Michael Hacker, Wouter Moerel, Christophe Nicolas, Chris Perriello and Julian Rampelmann.

The Stagwell process is one of several secondaries transactions involving independent sponsors, also known as fundless sponsors. The independent sponsor community is becoming a more frequent source of deal flow for secondaries investors.

Action Item: Stagwell can be reached at (917) 765-8196 or info@stagwellgroup.com.