Research

Market at a Glance – TPG finalizes $3.7 bln growth fund

January 8 2018

U.S.-based buyout and mezzanine fundraising marches toward its year-end charge. Since Buyouts last went to press, private equity firms added $13.9 billion on top of its yearly total. Thus far in 2017, $215.3 billion has been raised, leading this time a year ago by $32.2 billion, or 17.6 percent.

TPG Capital closed its fourth growth equity platform on an oversubscribed $3.7 billion in commitments. TPG Growth Equity IV had an original target of $3 billion.

Another growth equity vehicle reaching above its $3 billion aim was Olympus Growth Fund VII. Olympus Partners’ seventh institutional fund closed on $3.04 billion and will focus on financial and business services, logistics, manufacturing, healthcare, industrial and consumer sectors.

Warburg Pincus also beat the target on its latest fundraise. Warburg Pincus Financial Sector LP wrapped up at $2.3 billion, beating its initial target of $1.6 billion.

Dealmaking slowed, only closing on $3 billion in private equity-backed deals in the time frame. The yearly aggregate now sits at $194.5 billion, ahead of 2016’s total by $36.5 billion, or 23.1 percent.

An investor group of GSO Capital Partners (Blackstone Group’s credit arm) and Quantum Energy Partners bought a majority stake in FourPoint Energy LLC. The interest in the Denver-based crude oil and natural gas refiner went for $525 million.

In another group deal, Revetas Capital Advisors and Cerberus Capital Management acquired Bucuresti Turism Sa, a Romanian hotel operator, for $81 million.