THE GP STAKES TRANSACTION

AN UNTAPPED MARKET

GP Stakes transactions consist of taking minority stakes in the capital of alternative management companies. Since this strategy was developed in 2010, it has grown rapidly in the United States and is emerging quickly in Europe.

GROWING NEEDS

Like all growing companies, and especially in a regulated and competitive universe, private equity players are confronted with generational transition issues. They also face brand and business model development issues and seek to improve client satisfaction while meeting regulatory constraints related to ever increasing transparency requirements. To achieve this, they need to organize themselves and invest in their human resources. Financing the acquisition of management companies positioned on complementary strategies or investing in new strategies for example, are reasons for a management company to open its capital on a minority basis.

TAILOR-MADE SUPPORT

In addition, beyond the capital provided, Armen will accompany the management companies on a strategic and operational level and will bring real added value on issues related to fundraising, ESG requirements, cyber security, legal, human resources, marketing, or communication.