Key Takeaways
- • Carrick Capital Partners closed its first continuation vehicle at $600 million for Saviynt, a single-asset structure offering Fund II LPs an exit option with an 11x gross multiple (10x net MOIC) on invested capital.
- • Approximately 20% of Fund II limited partners elected to roll their equity into the continuation vehicle rather than realize their gains, indicating strong conviction in Saviynt's future value creation potential.
- • The continuation vehicle structure provided LPs with optionality: cash out at a 10x net return or maintain exposure to the identity security company through the new vehicle, with Carrick committing an additional $255 million as part of Saviynt's $700 million Series B financing.
- • The oversubscribed close demonstrates institutional appetite for high-conviction continuation vehicles in the secondary and growth equity market, particularly for companies with proven exit multiples.
Summary
Carrick Capital Partners has closed its inaugural continuation vehicle at $600 million, structured around a single investment in Saviynt, an identity security company. According to co-CEO Jim Madden, the vehicle offered Fund II limited partners a dual-path liquidity event: either realize an 11x gross return (10x net multiple of invested capital) or roll equity into the new continuation vehicle for continued exposure to the asset.
The continuation vehicle structure achieved meaningful LP participation, with approximately 20% of Fund II's investor base electing to roll proceeds forward rather than exit. This allocation choice reflects a bifurcated investor base—some taking liquidity at an exceptional multiple while others doubled down on concentrated exposure to Saviynt's growth trajectory. The decision to retain a minority of capital in the continuation vehicle signals LP confidence in the company's near-term value creation opportunities under Carrick's management.
Carrick's commitment to the investment extended beyond the continuation vehicle mechanics. The firm deployed an additional $255 million alongside the CV as part of Saviynt's broader $700 million Series B financing round. This deployment demonstrates Carrick's conviction in the company's market positioning and growth potential, while signaling to remaining LPs that management capital was aligned with the continuation vehicle thesis.
The $600 million close on an oversubscribed basis underscores institutional investor appetite for well-structured continuation vehicles, particularly those offering differentiated optionality and built around assets with demonstrated return profiles. For the alternative investment market, the transaction reinforces the continuation vehicle as a flexible tool for managing portfolio concentration, extending hold periods on high-performing assets, and providing liquidity optionality to divergent investor cohorts within a fund base.
The continuation vehicle structure achieved meaningful LP participation, with approximately 20% of Fund II's investor base electing to roll proceeds forward rather than exit. This allocation choice reflects a bifurcated investor base—some taking liquidity at an exceptional multiple while others doubled down on concentrated exposure to Saviynt's growth trajectory. The decision to retain a minority of capital in the continuation vehicle signals LP confidence in the company's near-term value creation opportunities under Carrick's management.
Carrick's commitment to the investment extended beyond the continuation vehicle mechanics. The firm deployed an additional $255 million alongside the CV as part of Saviynt's broader $700 million Series B financing round. This deployment demonstrates Carrick's conviction in the company's market positioning and growth potential, while signaling to remaining LPs that management capital was aligned with the continuation vehicle thesis.
The $600 million close on an oversubscribed basis underscores institutional investor appetite for well-structured continuation vehicles, particularly those offering differentiated optionality and built around assets with demonstrated return profiles. For the alternative investment market, the transaction reinforces the continuation vehicle as a flexible tool for managing portfolio concentration, extending hold periods on high-performing assets, and providing liquidity optionality to divergent investor cohorts within a fund base.
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