Why does anyone go public? Cash out for the founders, allow further expansion, etc. The comps are public and the handful of international PE IPOs late last year went very well.
Thank you for clarifying. I didn’t realize that the incentive still existed for an already established PE giant especially with the favorable dry powder situation at the moment
The dynamic at play is that allows them to raise permanent capital (i.e., IPO primary proceeds go direct to the balance sheet to be used for whatever - funding new investment strategies, etc.) rather than LP capital you can get by raising a fund from investors
Disclaimer: I did not review anything for the TPG IPO so I’m not sure what the primary / secondary split was for the offering, comments above are in general
Dignissimos eligendi enim dolore porro nisi. Veniam ut incidunt consectetur ut. Et dolore non non illo dolor expedita velit animi. Quia dignissimos ut porro. Consequatur autem officiis earum occaecati voluptatem. Debitis in harum similique dicta dolor impedit beatae. Velit harum sunt fuga.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
Sorry, you need to login or sign up in order to vote. As a new user, you get over 200 WSO Credits free,
so you can reward or punish any content you deem worthy right away. See you on the other side!
$$$
Why does anyone go public? Cash out for the founders, allow further expansion, etc. The comps are public and the handful of international PE IPOs late last year went very well.
Thank you for clarifying. I didn’t realize that the incentive still existed for an already established PE giant especially with the favorable dry powder situation at the moment
The dynamic at play is that allows them to raise permanent capital (i.e., IPO primary proceeds go direct to the balance sheet to be used for whatever - funding new investment strategies, etc.) rather than LP capital you can get by raising a fund from investors
Disclaimer: I did not review anything for the TPG IPO so I’m not sure what the primary / secondary split was for the offering, comments above are in general
Gotcha makes more sense if the capital is versatile. Thanks a bunch
Dignissimos eligendi enim dolore porro nisi. Veniam ut incidunt consectetur ut. Et dolore non non illo dolor expedita velit animi. Quia dignissimos ut porro. Consequatur autem officiis earum occaecati voluptatem. Debitis in harum similique dicta dolor impedit beatae. Velit harum sunt fuga.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...