Harvest

Anyone have any thoughts on Harvest Partners or other MM firms? Read that they’re raising a $5bn firm now and they seem to be growing quickly. Also, feel free to provide any thoughts on any of the firms (all very different) below:

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Alright, you've listed 9 generally pretty solid funds that are kind of all over the place (as you mentioned). Here's what I can provide:

  • Harvest: In market for $5.3B. Based out of NYC. Fly under the radar a bit. Seem willing to pay up for assets they want to own. Very lean team for their fund size.
  • Audax: Raised $3.5B in 2018. Based out of Boston but have a West Coast office. Has a formal analyst program. MM fund that does a ton of M&A with its portcos. Very good performance but also very brutal culture and lifestyle. Can learn a lot there but doesn't seem like a fun spot to be.
  • THL: Raised $5.6B last year. Boston based. Raised an automation growth fund recently. Old fund. Good HBS placement although not as elite as places like Bain and Berkshire. Seem to have picked up some momentum recently after not raising a fund for a while after their really big one pre-financial crisis. 
  • Parthenon: Smallest fund here but still $2B+ or so. Based out of Boston. Has a formal analyst program. Employ buy and build strategy quite a bit. Have heard it's pretty sweaty but that's only based off one data point so take it with a grain of salt. Have heard they have been crushing it.
  • Kohlberg: Mount Kisco-based MM fund that raised $3.4B last year. Solid name. Been around for quite some time. They pay big prices for assets they like. Big on industrials / business services and healthcare.
  • Summit: Different from the other names here. Growth equity focus. Raised $8B+ last year. LOT of cold calling for juniors. Have done pretty well with their strategy. Avoid processes, as employees are bringing in most deals. Comp will be lower vs. buyout of similar size but you can make a lot of money if you source some big deals so there's upside. Primarily based out of Boston. 
  • Apax: Trying to raise $13B fund. London based but sizable NYC footprint. European roots / "satellite" NYC office location may impact culture / vibe. Seem to be growing out tech presence with Apax Digital. Traditionally bigger in consumer and services. Had a pretty intensive modeling test for their associate interviews. Apparently has better culture vs. other large European players but comp seems low.
  • EQT: Trying to raise EUR 20B fund. HQ in Sweden but have a decent sized NYC office. Similar to Apax, the European roots here likely makes culture there a bit different than traditional US-based funds. In addition to buyout, they are in infra, real estate, VC, etc. Have performed quite well.
  • Silver Lake: $20B latest fund. If you want to do large cap tech buyouts, it's hard to get better than this. HQ is in Menlo but they have other offices, and have some presence in NYC. Have heard it's pretty sweaty and they pay well. Have an analyst program. Pretty good HF exits. Have been promoting directly within the firm for some time, unlike a lot of other larger funds.
 

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