News & Events

Partner Lauren King was quoted extensively in an article published by Private Equity Law Report titled, “Launching a Secondaries Platform: Why PE Sponsors Expand Into Secondaries and Key Pre‑Considerations to Weigh (Part One of Two).” The article, part one of a two-part series, looked at the types of managers who are exploring potential expansion into secondaries and the reasons why, as well as preliminary challenges those managers may need to consider. Lauren noted how historically PE-focused fund managers are beginning to explore ways to “take advantage of the incredible activity in the secondaries market,” and highlighted how the secondaries market is becoming more specialized in certain asset classes. She further explained that the skill set for a secondaries team differs from that of a buyout investment team because a secondaries team is monitoring the performance of a fund rather than a portfolio company. Lauren also flagged that certain language in existing fund documents should be reviewed for potential restrictions on the formation of a secondaries platform and described the use of a deferred purchase price as a niche area of financing in secondaries transactions.

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