Ts & Cs

Buyers are proposing fresh ways of ensuring sponsors stay aligned, according to a panel at PEI's Investor Relations, Marketing & Communications Forum.

The buyout shop is making a €300m investment from its latest fund in the process, which values Springer Nature at about $7bn.

The $31bn manager is targeting secondaries investments through its 2019-vintage Fund XI and an in-market follow-on vehicle.

Ropes & Gray advised on more than 150 deals worth $17.5bn in 2019, according to the Secondaries Investor Law Firm Survey 2020. 

Buyers are requesting a bigger GP stake in continuation vehicles and cross-fund investments are on the rise, according to the advisor.

This so-called 'status quo' option has gone a long way in helping get LPs comfortable with GP-led liquidity processes.

The number of funds coming to market openly offering discounts for early-bird commitments or big ticket sizes is dropping, according to research seen by sister title Private Equity International.

The rise of GP-led deals has highlighted the importance of liability protection, bringing warranty & indemnity insurance into the secondary market, say insurance broker Lockton and law firm Akin Gump.

The secondaries market is more seller-friendly than ever, allowing sponsors to push terms that surprise even seasoned pros. This is unlikely to last.

Strong buyer demand is allowing some GPs to drive better terms for themselves on manager-led deals, according to panellists at PEI's Women in Private Equity Forum.