Blue Owl buys real estate investment shop Oak Street, Thoma Bravo sets deadlines for ambitious fundraising program

Happy Tuesday!

What’s going on out in PE land today? We got a bit more info on Thoma Bravo’s fundraising program, which is targeting more than $28 billion across three funds.

Here’s the reality of considering backing a highly in-demand manager in today’s market — as an LP, you need to make your commitment decision in quick time.

Thoma is asking LPs to make their commitment decisions on the firm’s two smaller funds by Dec. 27, according to fundraising materials seen by Buyouts.

The firm’s two smaller funds, mid-market-focused Discover, and small-cap Explore, are targeting $5 billion and $1.5 billion to $1.75 billion, respectively. (Read our story here on Buyouts). Thoma also is targeting $22 billion for its fifteenth flagship fund, which is expected to have a first close on Nov. 10.

All three funds are expected to have interim fund closes in April 2022, and final closes across its fundraising program on June 30, 2022, the materials said.

Discover looks for investments that require between $300 million to $700 million of equity, while Explore seeks investments that require $200 million or less of equity, the materials said.

Meanwhile …

Thoma Bravo-backed risk management software provider Riskonnect last week acquired ICIX, which provides software that helps companies manage, monitor and verify ESG performance. ICIX was backed by Arrowroot Capital. Read it here.

Stakes: Blue Owl Capital agreed to acquire Oak Street Real Estate Capital for $950 million in a deal expected to close in the fourth quarter. The price tag will be funded through a combo of cash and Blue Owl common units issuable at closing.

Oak Street equity holders are entitled to earnouts up to a total of about $650 million, payable in cash at future dates or in Blue Owl common units (up to an aggregate of about 39 million Blue Owl common units subject to vesting).

Oak Street, formed in 2009 with $10.8 billion of AUM as of June 30, 2021, focuses on structuring sale-leasebacks, as well as providing seed and strategic capital. The seeding business focuses on early-stage real estate managers across various industry sectors. Read more here on PE Hub.

That’s it for me! Have a great rest of your day. Hit me up with feedback, tips n’ gossip or book recommendations at cwitkowsky@buyoutsinsider.com or find me on LinkedIn.