- Goldman running cleanup sale of older funds
- Greenhill Cogent adviser on the sale
- Eclectic mix of strategies in the portfolio
Goldman Sachs is shopping a portfolio of stakes in older funds valued at around $450 million, two sources told Buyouts.
Greenhill Cogent is adviser on the offering, which has been in the market for some time, sources said.
The portfolio contains interests in a variety of fund strategies including mezzanine and debt, distressed, real estate and special opportunities, one of the sources said. The second source described it as a “fund-of-funds cleanup deal.”
“They’re trying to get liquidity to its private clients in some of [its] 10-plus-year funds,” the first source said.
Goldman Sachs’s PE funds-of-funds business is housed within the Alternative Investments and Manager Selection group.
Fund-of-fund cleanup sales have become an important part of the secondary market. They’re a way for fund-of-fund managers to deliver liquidity to LPs in older funds with the hope that those clients will recommit the money back to new funds.
Funds-of-funds made up about 18 percent of the seller universe in secondaries last year, Greenhill Cogent’s full-year 2017 secondaries report says. Cogent found that funds-of-funds “nearing the end of their fund life are increasingly exploring sales via the secondary market,” the report said.
Andrew Williams, a spokesman with Goldman, did not respond to a request for comment.
Action Item: Read more about Goldman Sachs AIMS group here: https://bit.ly/2HmLsct
The Goldman Sachs logo is displayed on a post above the floor of the New York Stock Exchange on Sept. 11, 2013. Photo courtesy Reuters/Lucas Jackson