* More than 20 funds, all pre-2008 vintages
* Evercore Partners is handling sale
* Secondary market remains strong
By Chris Witkowsky
NEW YORK, Aug 11 (Reuters-peHUB) - Bregal Investments is
shopping a portfolio of interests in more than 20 private equity
funds with a net asset value of about $400 million, according to
three people with knowledge of the process. The deal is the
latest sign of a strong and growing secondary market for such
The funds, originally backed by fund-of-funds group Bregal
Private Equity Partners, are all pre-2008 vintages, according to
one of the people. Evercore Partners is running the sales
process, a different person said. Executives at Bregal
Investments did not respond to a request for comment, while
those at Evercore Partners declined to comment.
Private equity, which includes leveraged buyouts and venture
capital, is viewed as an illiquid asset class. Investors such as
public pensions and endowments typically lock up their money in
limited partnerships for 10 years or more.
However, investors looking to get out early can avail
themselves of a secondary market for fund interests that has
developed over the years. Thanks in part to high offering
prices, about $16 billion in deal volume has moved this year on
the secondary market, putting it on pace to eclipse last year's
$27.5 billion, according to secondaries advisor Cogent Partners.
Other notable sellers on the secondary market this year
include GE Capital, which sold a portfolio of fund interests for
about $1.3 billion to Ardian; the Abu Dhabi Investment
Authority, which has reportedly been in talks with Ardian to
sell more than $2 billion of fund stakes, according to
Bloomberg; and the Massachusetts Mutual Life Insurance Co.,
which sold an estimated $250 million portfolio of fund stakes.
It is not clear why Bregal Investments is selling the fund
interests. The funds-of-funds group is one of several businesses
at Bregal Investments, the private equity arm of COFRA Holdings,
a European holding company that is controlled by the wealthy
Brenninkmeijer family. Bregal Private Equity Partners is led by
managing directors Chuck Flynn in New York and Jan Faber in
The other Bregal Investments businesses, which invest
directly into companies, include European middle-market group
Bregal Capital, North American middle-market group Bregal
Partners, Bregal Energy and growth investor Bregal Sagemount.
Overall, Bregal Investments has invested or committed about $9
billion, according to its website.
(peHUB is a Thomson Reuters publication. Editor: