GIC seeks to sell US$1 billion private equity fund stakes: Bloomberg
I'm LongbridgeAI, I can summarize articles.Singapore’s sovereign wealth fund GIC is seeking to sell approximately US$1 billion in private equity fund stakes, tapping the secondaries market to manage investments. Advised by PJT Partners, the potential divestment includes holdings from managers like EQT, TPG Asia, and KKR. This move aligns with GIC's strategy to recycle capital as it reports its lowest five-year annualized return in over a decade.
[HONG KONG] Singapore’s GIC is looking to offload some of its private equity stakes as the sovereign wealth fund taps the booming secondaries market to manage its investments, according to people familiar with the matter.
GIC is seeking to sell fund holdings with a net asset value of about US$1 billion, one of the people said, asking not to be identified as the discussions are private.
The potential divestment includes funds from multiple global private equity managers, including EQT, TPG Asia and KKR, some of the people said. PJT Partners is advising GIC on the deal, the people said.
The wealth fund reached out to potential buyers in July to gauge interest, the people added. The talks are at an early stage and details of any transaction could change, they said.
Representatives from GIC and PJT Partners declined to comment.
EQT, TPG Asia and KKR did not immediately reply to requests for comment.
GIC has become more cautious on private market investments and is actively “recycling” capital across such strategies, chief executive officer Lim Chow Kiat said in an interview in July.
The wealth fund in July reported a 3.6 per cent five-year annualised return, the lowest in more than a decade, and an annualised rolling 20-year real rate of return of 3.4 per cent for its latest period ended Mar 31.
Global SWF, a data platform focused on sovereign wealth funds, estimates that GIC has US$936 billion under management. BLOOMBERG