TPG Sells Stake To Sovereign Wealth Funds

Apr 4 2011 | 1:23pm ET

Private equity giant TPG Holdings has sold a stake in itself to a pair of major sovereign wealth funds, raising several hundred million dollars.

The firm, which has some $48 billion in assets under management, told investors last week that it had sold a roughly 4.5% stake to the Government of Singapore Investment Corp. and Kuwait Investment Authority. Both sovereign funds are longtime investors in TPG.

"Yesterday we completed a private sale of a small, passive minority economic stake in the consolidated general partner of TPG," firm founder David Bonderman wrote to TPG investors without identifying the buyers. "We have chosen a private transaction as a path to provide capital to our firm," he added, indicating that TPG will not follow rivals Apollo Global Management, the Blackstone Group and Kohlberg Kravis Roberts with an initial public offering of its own, as the Carlyle Group hopes to do next year.

The proceeds of the sale will be used to increase hiring and expand its investment activities into emerging markets and real estate, The Wall Street Journal reports. The deal values TPG at about $11 billion, almost as much as KKR.


In Depth

Q&A: Schroders’ Forest Discusses Multi-Asset Investments On Eve Of U.S. Launch

Jul 17 2014 | 8:05am ET

Global investment manager Schroders has $446 billion in assets under management, $...

Lifestyle

Einhorns Busts At WSOP, Finishes In 173rd

Jul 15 2014 | 10:48am ET

Greenlight Capital founder David Einhorn’s World Series of Poker won’t end at...

Guest Contributor

Common Risk Parity Misperceptions

Jul 16 2014 | 11:02am ET

Over the past few years, risk parity has become a component of most investors’...

 

Sponsored Content

    Northern Trust Helps Hedge Funds Navigate Derivatives Regulations

    Jul 8 2014 | 10:48am ET

    The surge in derivatives regulation is among the most complex challenges facing the financial services industry today. Northern Trust’s Joshua Satten recently spoke with FINalternatives to share insights into the challenges presented by new regulation and explore how the industry is responding. Read more…

Publisher's Note