Richmond, Virginia-based alternative investment firm Private Advisors has raised $350 million for its sixth small company private equity fund, sweeping past its $250 million target. The limited partners of Private Advisors Small Company Private Equity Fund VI includes mostly return backers, such as foundations, endowments, family offices and pension funds. The fund focuses on North American companies with enterprise values below $150 million. New York Life serves as the parent company of Private Advisors.
RICHMOND, VA – July 8, 2015 – Private Advisors, LLC, a leading alternative investment firm in Richmond, Virginia, announced today the successful closing of its sixth dedicated small company private equity fund, Private Advisors Small Company Private Equity Fund VI, LP (“Fund VI”) on June 30, 2015. Fund VI closed on $350 million in total commitments, exceeding its target of $250 million. Private Advisors and its employees, along with parent organization New York Life, committed approximately $51 million, demonstrating alignment with investors and continued confidence in the strategy. Fund VI is comprised of a diverse client base with over 50% of the capital committed from existing investors in prior funds. The investor base includes foundations, endowments, family offices, and pension funds.
Since 1997, Private Advisors has maintained a specific focus on the small company market (North American companies with enterprise values below $150 million) due to a long held belief that, with proper manager selection, the small company market can offer investors a means of generating consistently attractive private equity returns through an emphasis on growing underlying businesses. Private Advisors believes that Fund VI will benefit from the Firm’s leading position and relationships in the small company private equity market. Fund VI has committed over 50% of capital to ten underlying fund managers across buyout, growth equity and turnaround strategies.
Chris Stringer, Partner and Head of Private Equity at Private Advisors commented, “We appreciate the continued support of our existing investors and are excited to welcome several new investors and strategic relationships outside the U.S. Although the small company market has attracted many new institutional investors recently, we believe that it is Private Advisors’ long-standing, disciplined focus on this market segment that has allowed us to attract a number of new limited partners, including several non-U.S. pension funds. In general, investors are recognizing the relative attractiveness of the small company market and the ability of private equity managers to create value through business building, in other words growing and improving underlying businesses, as opposed to other private equity strategies that are more dependent upon financial engineering or market timing.”
About Private Advisors
Private Advisors, LLC is a leading alternative investment boutique, managing over $6.0 billion in assets as of March 31, 2015. Private Advisors, an affiliate of New York Life Investments*, is focused exclusively on non-traditional investments, including hedge funds and private equity. The firm’s integrated private equity platform is focused on four distinct capabilities, including North American small company primary fund investments and co-investments, secondary investments and real assets. Private Advisors’ hedge fund capabilities provide investors with expertise in fundamental credit, equity and diversified hedge fund strategies. Private Advisors’ investment philosophy is focused on preserving capital and achieving strong risk adjusted returns relative to traditional and other alternative investments over time. www.privateadvisors.com