TPG Sixth Street Partners said Oct. 22 that its first Capital Solutions fund closed on about $2.2 billion of total third-party commitments. Capital Solutions makes non-control investments in growth-oriented companies. The fund can invest from $25 million to over $500 million in companies.
TPG Sixth Street Partners Hits Cap on First TSSP Capital Solutions Fund with $2.2 Billion Close
New platform provides market-leading growth companies with custom, flexible capital solutions
San Francisco and New York – October 22, 2019 – TPG Sixth Street Partners (“Sixth Street”), a global finance and investment business with over $32 billion in assets under management, and its TSSP Capital Solutions (“Capital Solutions”) platform today announced the final close of its first Capital Solutions fund. In addition to commitments from the Sixth Street team, the fund raised approximately $2.2 billion of total third-party commitments, reaching its hard cap. Capital Solutions is actively investing out of the fund and has already deployed over $500 million.
Capital Solutions makes non-control investments in growth-oriented companies. The team partners with companies to provide bespoke, accretive financing solutions that often differ from traditional growth equity. Capital Solutions has flexibility to invest in a range of opportunities from $25 million to over $500 million.
The creation of a dedicated Capital Solutions platform formalizes a strategy Sixth Street incubated through its flagship investment vehicles investing over $3 billion across more than 30 growth-oriented portfolio companies since its inception in 2009.
“We are thankful for the support of our limited partners, many of whom have been with our firm over the past decade, as we continue to grow our proven private growth capital solutions strategy in its own dedicated platform,” said Robert (Bo) Stanley, Co-Head of Capital Solutions and Partner at Sixth Street. “Private companies are looking for more options and greater flexibility when funding their next phase of development, and we look forward to creating those solutions.”
“We are excited to work with great management teams seeking to grow their businesses and are proud to be their partner in helping them achieve their strategic goals,” said Michael McGinn, Co-Head of Capital Solutions and Partner at Sixth Street. “Our team’s deep sector expertise combined with our ability to provide flexible and customized financing is the key to our partnership-driven investment philosophy.”
Select current and past investments representative of the Capital Solutions platform include AirTrunk, AvidXchange, Clinicient, Kyriba, Lucidworks, Paycor, PayScale, PaySimple and Spotify.
About TSSP Capital Solutions
TSSP Capital Solutions is the growth capital solutions platform of TPG Sixth Street Partners. Capital Solutions makes customized, non-control private investments in growth-oriented companies. The team partners with companies to provide bespoke, accretive financing solutions that often fall between commercial debt and traditional growth equity. For more information, visit www.tssp.com/tcs
About TPG Sixth Street Partners
TPG Sixth Street Partners (“Sixth Street”) is a global finance and investment business with over $32 billion in assets under management. Co-founded in 2009 by Managing Partner Alan Waxman and Sixth Street’s management team, the firm’s long-term oriented, highly flexible capital base allows it to invest across industries, geographies, capital structures and asset classes. TPG Sixth Street Partners is in a strategic partnership with TPG, the global alternative asset firm. For more information, visit www.tssp.com.