News & Events

Corporate Partners Peter Gilman and Steven Klar were quoted in a Law360 article titled, “The Creative Ways PE Firms Are Holding Investments Longer.” The article addresses “long-term” fund structures and ways that private equity firms are holding investments for longer periods of time, including through GP-led structured secondary transactions. Discussing the growth in longer-term funds, Peter notes that Simpson Thacher has “helped our larger multistrategy clients raise tens of billions of dollars in recent years using this type of nontraditional, longer-term fund structure across private equity, infrastructure and real estate” and that “the sorts of secondary transactions we are helping clients execute today are larger and fundamentally different from the ones in the recent past.”

Steven Klar also notes the close long-term relationships between fund counsel and PE firms that raise long-term funds. “Given the length of fund terms, private fund lawyers must maintain very close relationships with sponsor clients,” Steven says. “The fundraising process, while important and very busy, is just the beginning of that relationship, which then continues through a fund’s investment and harvesting periods.”

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