Warburg Pincus, a leader in global growth investing within the private equity sector, has announced the first closing of its inaugural multi-asset continuation fund, securing over $2.2 billion in commitments. This significant transaction was co-led and fully capitalized by HarbourVest Partners, Ardian, and the Canada Pension Plan Investment Board (CPP Investments).

The lead investors took on the entire capital raise without the need for syndication. The fund encompasses a diverse range of Warburg Pincus portfolio companies, spanning various geographies and industries.

This strategic move offers Limited Partners two options: they can either lock in strong returns and mitigate future market risks through a sale or roll their investments into the Continuation Fund to maintain exposure and potential for future gains. Additionally, the transaction grants portfolio companies more time and capital to pursue initiatives aimed at increasing their valuations, all while benefiting from Warburg Pincus's ongoing management support.

Kirkland & Ellis acted as legal counsel, while Evercore served as the financial advisor for Warburg Pincus during this transaction.

Jeffrey Perlman, CEO of Warburg Pincus, emphasized the firm's commitment to driving value and delivering attractive returns for investors through active portfolio management and innovative liquidity solutions. He noted that Warburg Pincus has successfully returned capital to investors in nine of the last ten years, highlighting the firm’s effective approach to investment management. Perlman expressed pride in the achievements of the portfolio companies and confidence that this transaction will provide them with the necessary resources and flexibility for future growth.

Eddie Huang, Managing Director and Global Head of Fundraising and Investor Relations at Warburg Pincus, remarked that the transaction offers investors the option for accelerated liquidity at a market-driven price. At the same time, it allows portfolio companies to continue pursuing their long-term growth strategies. Huang expressed enthusiasm for collaborating with HarbourVest Partners, Ardian, and CPP Investments on this new fund and supporting portfolio companies in their next growth phase.