Christopher Witkowsky
The tender offer is among several options GPs have to deliver liquidity back to LPs at a time when distributions and fundraising are slowing.
The hiring comes as several mid-market investment banks are acquiring capabilities to advise on secondaries transactions, usually focused on GP-led deals like single-asset continuation funds.
Impacts from the broader economy, such as inflation, geopolitical turmoil and slower growth, have made it tougher to value assets in secondaries processes, with a wide gap between buyer and seller expectations.
The deal is among a handful of GP-led secondaries processes that have moved through the market, which has become more challenging because of pricing uncertainty.
Single-asset continuation fund deals have become so popular several mid-market investment banks have hired or are seeking talent to advise on such transactions.
While GP-led deals took the biggest slice of market activity in 2022, LP deals, especially in the second half, started flowing back into the market.
Strip sales have not been as pervasive as other forms of direct secondaries like GP-led continuation funds and single-asset deals.
The firm is among a handful of newer shops raising capital to target the smaller side of the secondaries market, which is busy and largely ignored by larger firms.
The deal is one of several run by established managers helping to drive secondaries volume to what several professionals believe will be record levels this year.
GP-led deals have taken a large slice of deal volume since the pandemic as buyers back away from diversified LP portfolios.