US-based investment firm Portfolio Advisors LLC, which has been present in India for over a decade, has closed the latest secondary fund at $1.5 billion (Rs 9,535 crore) in limited partner commitments.
The third fund, Portfolio Advisors Secondary Fund III, which had an original target of $1 billion, was oversubscribed and reached its hard cap with support from new and existing limited partners from around the globe, the firm said in a statement.
A significant portion of the capital for the third fund was committed by limited partners who had previously invested in one or more of Portfolio Advisors’ existing funds. PASF III is the largest fund closed to date for the investment firm.
Hugh Perloff, managing director and head of secondary investments at Portfolio Advisors, said the third fund seeks to acquire partnership interests in individual funds and/or portfolios of funds, managed by high-quality general partners. "We expect the fund to benefit directly from the strength and breadth of the Portfolio Advisors’ platform," Perloff said.
Portfolio Advisors has been purchasing secondaries since 2003. Its secondary funds capitalise on the general partner relationships established by the firm since its founding in 1994 and have been a natural extension and complement to Portfolio Advisors’ fund-of-funds and advisory businesses.
PASF III has institutional limited partners including institutional clients such as public and corporate pensions, labour union plans, endowments, foundations and family offices as well as high-net-worth investors from the US and other regions, including Canada, South America and Europe.
The private markets investment firm has more than $20 billion in assets under management. It provides tailored private equity, private real estate and private credit investment solutions through commingled funds and custom advisory solutions via primary partnerships, secondary purchases, co-investments and direct mezzanine investments.
Among its India exposure, Portfolio Advisors has backed private equity firm Kedaara Capital, which made the final close at $795 million (Rs 5,100 crore) against its target of $750 million.