Otro will make operationally oriented control and significant minority investments in sports-related businesses and assets, sources said, targeting dealflow mostly in North America and Western Europe.
The single-asset continuation fund process is part of a wave of such deals GPs are attempting as a way to deliver proceeds to limited partners in older funds at a time of slow exit activity.
New faces that are attracting capital in very lean times.
While much of the market is struggling to return capital back to LPs, newer, smaller PE managers have multiple paths to exit. With strong performance, the future looks bright for the newbies.
For LPs, one of the main concerns is, when did the GP know about a potential exit of a CV asset? And was that knowledge communicated to LPs who have to make the sell/roll decision?
In a tough capital-raising market, GPs are offering more incentives to LPs. This seems to be the approach taken by Constitution, which is offering a 50% fee discount to early investors in Ironsides VII.
A quick exit out of a continuation fund can also raise questions about whether a GP knew about a potential exit even while pursuing the continuation fund, or if the offer came out of the blue.
Truelink appears to have hired another Platinum Equity executive, Peter Schultz, who left the firm this month, according to his LinkedIn profile.
A key to the global push is KKR’s newly formed Human Capital Center of Excellence, which will co-ordinate the 'whole effort,' Pete Stavros, co-head of global private equity, told Buyouts.
The transaction is in the early stages and could reach $2bn in size, sources familiar with the matter said.