Whitehorse Liquidity Partners Fund II final closes at $1B hardcap

Whitehorse Liquidity Partners Inc., a private equity firm focused on making preferred equity investments in private equity portfolios, has held a US $24.6 million final close for its second fund, Whitehorse Liquidity Partners Fund II, reaching US $1 billion in capital commitments at the hard cap. Whitehorse Liquidity Partners held closings previously in February, April and July, with approximately US $730 million in capital commitments at the initial close.

Sixty limited partner (LP) investors, including insurance companies, public and corporate pension plans, family offices, financial institutions and individual investors, committed the second fund.

In May 2017, Whitehorse Liquidity Partners closed its inaugural fund, Whitehorse Liquidity Partners Fund I, securing US $402.3 million, slightly over its US $400 million hard cap. Twenty LPs committed to the first fund.

Founded and led by Managing Partner Yann Robard, Whitehorse Liquidity Partners has invested or committed $1.0 billion in 18 closed or pending transactions since inception.

photo credit: Whitehorse Liquidity Partners

News Release

Whitehorse Liquidity Partners Closes Fund II at US$1.0 Billion Hard Cap

• Fund II closes at $1.0 billion hard cap
• Team grows to 20 individuals
• Over $1.0 billion invested and committed in 18 closed or pending transactions since inception
• Firm well placed to capture growing market opportunity

TORONTO, September 4, 2018 – Whitehorse Liquidity Partners (“Whitehorse”), a private equity firm focused on making preferred equity investments in private equity portfolios, today announced a successful final close for Whitehorse Liquidity Partners Fund II (“Fund II”) at its US$1.0 billion hard cap. This is in excess of its US$800 million target and more than double Whitehorse’s $400 million Fund I.

Whitehorse’s diversified investor base is comprised of leading insurance companies, public and corporate pension plans, family offices, financial institutions and individual investors.

Yann Robard, Managing Partner of Whitehorse, said, “The success of our Fund II fundraise was driven by strong continued support from our existing investors base combined with the addition of a number of new investors. We continue to be very grateful for the confidence and conviction our investors have placed in Whitehorse. The increase in the size of Fund II reflects the significant scale of the market opportunity we see ahead of us, and we are now well placed to continue to capture this white space opportunity.”

Speaking to the growth in the team, Michael Gubbels, Partner of Whitehorse, said, “We have expanded the Whitehorse team to enable us to effectively capture the growing market opportunity. The team now consists of 20 professionals and growing. In just over a year, we have nearly tripled the size of our team focusing on the investment, operations and investors relations functions. We are extremely proud of the quality and talent of the individuals joining our organization and thankful for the efforts and dedication of the team over the past couple of very productive years”

With regards to the market opportunity, Giorgio Riva, Partner of Whitehorse, said, “Our novel, partnership-focused approach has resulted in rapid market adoption and a significant pipeline of opportunities. Our focus on offering nimble, customized and aligned liquidity solutions has been well received by the market. This has resulted in Whitehorse executing on 18 pending or closed transactions valued at over $1.0 billion since 2016.”

Rob Gavin, Senior Principal adds, “Whitehorse has established itself as a credible counterparty in the growing preferred equity market. Our innovative and aligned approach has been additive to the secondary market, offering a differentiated means of accelerating liquidity to investors with private equity programs and, in some cases, unlocking transactions that may not have otherwise been completed.”

Sean Connor, Chief Financial Officer of Whitehorse, said, “Whitehorse has continued to focus on building an institutional quality operations department by hiring a team of talented professionals. Our commitment to providing our investors with best in class reporting, support and service is paramount to our approach. Without investors, there would be no Whitehorse”

Kirkland & Ellis served as legal counsel for Whitehorse and Fund II.

About Whitehorse Liquidity Partners

Whitehorse Liquidity Partners is a private equity firm focused on making preferred equity investments in private equity portfolios. Whitehorse has identified what it believes is a significant and untapped market opportunity in the utilization of a preferred equity structure to generate liquidity on private equity portfolios and/or finance the acquisition of private equity portfolios. Whitehorse was formed in 2015 and seeks to provide customized and flexible liquidity solutions for private equity investors looking for alternatives to an outright sale of assets or traditional debt financings. For more information, please visit www.whitehorseliquidity.com.

Ted Liu

Ted Liu, M.Sc. (Mining), MBA (Finance), is the Editor of Private Capital Journal and CanadaMetals.ca, and former Editor of Canadian Private Equity. Ted has been passionately tracking Canadian private capital industry since 1992, most recently served as Research Director for The Canadian Venture Capital and Private Equity Association (CVCA). Ted was the architect of CVCA infobase, and is the architect of CPE Media's Financings.ca, the most sophisticated and advanced all private capital and public market financing database.