News & Analysis

Hollyport back in market with Fund VI – exclusive

The tail-end specialist has begun pre-marketing the fund about a year after closing its previous vehicle, Secondaries Investor has learned.

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Hollyport Capital is returning to market with its sixth secondaries fund, about a year after the tail-end specialist held the final close on its previous vehicle, Secondaries Investor has learned.

The London-based firm has begun pre-marketing for Hollyport Secondary Opportunities VI, according to three sources familiar with the fundraising. One of the sources said the firm wants to raise as much as £400 million ($498 million; €474 million), although it is unclear whether this is the target or hard-cap.

Hollyport Secondary Opportunities VI was registered with the Jersey Financial Services Commission on 15 December.

Hollyport’s two previous funds have been more than double the size of their predecessor. The firm took five months to raise £187.5 million for its Hollyport Secondary Opportunities V which closed above its £150 million target in November 2015.

The firm’s 2013-vintage Hollyport Secondary Opportunities IV closed on £75 million, while its 2010-vintage Hollyport Secondary Opportunities III closed on £30 million, according to PEI data.

Limited partners in Hollyport V include ICG Enterprise Trust, which committed £7.5 million in July 2015, according to the London-listed company’s Annual Report and Accounts for 31 January 2016. ICG’s vehicle has invested in all five of Hollyport’s funds.

Hollyport V’s strategy was to invest in diverse portfolios of legacy private equity assets, acquired at substantial discounts in the secondaries market, according to the ICG report.

The firm tapped its Hollyport V fund to acquire a stake in Terra Firma Capital Partners’ second fund in January, and last year picked up tail-end Cinven and EQT interests from BlackRock.

Hollyport declined to comment.