News & Analysis

HarbourVest, Neuberger among backers of Alpine GP-led

Alpine Investors lifted employment services provider TEAM Services Group out of its 2013-vintage fund in a $362m deal.

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West Coast private equity firm Alpine Investors has completed a single-asset restructuring on its 2013-vintage fund.

The mid-market manager lifted TEAM Services Group out of Alpine Investors V and a related small business investment company into a separate vehicle, according to a statement. The vehicle is $362 million in size, $100 million of which is follow-on capital.

HarbourVest Partners, Neuberger Berman, Pantheon and Hamilton Lane were among the backers of the deal, which include some limited partners that rolled from Fund V.

Lazard advised on the deal, with Kirkland & Ellis providing legal counsel, the statement noted. Alongside the secondaries transaction, TEAM refinanced existing debts through a process managed by Credit Suisse.

TEAM is a San Diego-based employment services and home-care services company geared towards seniors and people with disabilities. It has grown organically at an average of 13 percent per year since its acquisition in 2015, according to the statement.

The continuation fund allows Alpine and TEAM to continue to support its partnerships, said Graham Weaver, founder of Alpine.

“TEAM continues to make an enduring impact in serving communities across the nation and we are thrilled to play a supporting role,” Weaver said.

SBICs are investment vehicles that offer debt- and equity- financing to small businesses. A portion of commitments to Fund V and the 2010-vintage Fund IV are invested through SBICs, according to Alpine’s ADV brochure.

Alpine Investors V raised $256 million by final close in 2013 from investors including The University of Texas/Texas A&M Investment Management Company (UTIMCO), Rockefeller Foundation and DePauw University, according to PEI data.

The fund and SBIC had gross asset value of $662.4 million as of 23 November, according to Alpine’s Form ADV filed with the US Securities and Exchange Commission.

Single-asset deals accounted for 30 percent of GP-led transactions in the first half of last year, up from 20 percent in 2019, according to a first-half 2020 secondaries volume report from advisor Evercore.