Chris Witkowsky

The transaction is in the early stages and could reach $2bn in size, sources have told Secondaries Investor.

Inventory on the GP-led side of the business is high and the completion rate for such deals is said to hover around 50%.

More LPs are considering secondaries sales as pricing has strengthened since last year, with high-quality buyout funds capturing pricing at the 90% or higher net asset value range.

As secondaries activity accelerates, more traditional buyout shops are exploring adding these capabilities.

The deal is an example of the type of 'clean up' deals routinely run by fund of funds and secondary shops.

The deal would allow Rubenstein to sell partial stakes in several assets, which will support his investment in the Baltimore Orioles Major League Baseball franchise, sources said.

The deal is part of a wave of LP secondaries driven by fund investors' desire to get proceeds from older funds.

The new secondaries buyer founded by Mantra’s former head of secondaries Fabrice Moyne has an opportunistic and flexible approach across structures and strategies, its partners say.

While Leonard Green’s transaction is giving cash-out LPs the benefit of both processes, the 'quick flip' issue remains controversial in continuation fund deals where assets are quickly exited.

Kaiser came out atop of the secondaries category in affiliate title Buyouts' Deals of the Year awards. The non-profit healthcare organisation deftly closed its portfolio sale last year despite market turbulence, price fluctuations and the banking crisis.