ICG smashes target for $11bn GP-led secondaries fundraise
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ICG has closed its latest GP-led secondaries fund at $11bn, doubling its original target for the vehicle.
ICG Strategic Equity Fund V was launched in 2023 with an initial target of $6bn. The fund was oversubscribed at its increased hard cap, ICG said in an announcement of the final close.
The strong fundraise underlines the importance that secondaries funds are playing as the private equity industry continues to face significant liquidity challenges.
The ICG Strategic Equity strategy focuses on GP-led secondaries transactions in both Europe and the US. The primary focus is on single asset continuation fund vehicles and fund restructures.
It may also opportunistically target GP spinouts, single asset co-investments, and direct portfolios.
The strategy is led by London-based MD Ricardo Lombardi.
The fund picked up large tickets from institutional LPs including CalSTRS, NYCERS, and Fubon Life Insurance, according to With Intelligence data.
ICG Strategic Equity Fund V: Known LPs
| Investor | Type | Location | Lead Consultant | Commitment |
|---|---|---|---|---|
| California State Teachers' Retirement System (CalSTRS) | Public D.B. | United States | Meketa Investment Group | $100m |
| Fubon Life Insurance | Insurance | Taiwan | - | $80m |
| Los Angeles City Employees' Retirement System (LACERS) | Public D.B. | United States | NEPC | $30m |
| New York City Employees' Retirement System (NYCERS) | Public D.B. | United States | Callan | $89m |
| New York City Fire Retirement System | Public D.B. | United States | - | $29.5m |
| Oklahoma State Regents for Higher Education - Endowment Trust Fund (OSRHE) | Endowment | United States | Mercer | - |
| State Teachers Retirement System of Ohio (STRS) | Public D.B. | United States | Meketa Investment Group | $65m |
| University of Nevada, Reno Foundation (UNRF) | Foundation | United States | Cambridge Associates | - |
Fund V was over 100% larger than its predecessor, ICG Strategic Equity Fund IV, which pulled in $5.3bn.
ICG: Strategic Equity Fund series performance
| Fund | Vintage | Fund size ($bn) | Net IRR | DPI | TVPI | RVPI |
|---|---|---|---|---|---|---|
| ICG Strategic Equity Fund V | 2023 | 11 | N/A | N/A | N/A | N/A |
| ICG Strategic Equity Fund IV* | 2021 | 5.3 | 15.30% | 0.20x | 1.29x | 0.83x |
| ICG Strategic Equity Fund III** | 2018 | 2.4 | 28.10% | 0.69x | 2.06x | 0.63x |
| ICG Strategic Equity Fund II* | 2016 | 1.1 | - | 0.93x | 1.11x | 0.96x |
Source: With Intelligence
*Data from Q1 2024
**Data from Q2 2024
Amidst several tailwinds for the secondaries industry, ICG last-year held a final close for its debut LP-led secondaries fund. ICG LP Secondaries I pulled in $1.6bn including SMAs.
The firm is also ramping up fundraising for an evergreen vehicle, ICG Core Private Equity, which is seeking to open up its secondaries strategies to private wealth channels.