Key Takeaways
- • PPM America Capital Partners (PPMACP), the private equity arm of PPM America, Inc., announced the final close of PPM America Private Equity Fund VIII LP at $660 million, its largest fund to date, with a final closing date of December 31, 2023.
- • Fund VIII is a vintage 2021 co-investment fund that will target approximately 50 co-investments, typically allocating $10-$25 million per deal, diversified by vintage year, sponsor and sector.
- • The close surpasses PPMACP's previous fund, which closed in 2018, continuing a stated pattern of increasing fund size with each subsequent vehicle.
- • PPM's private equity program had $5.76 billion in assets under management as of September 30, 2023, with nearly $11 billion in total historical capital commitments across primary funds and co-investments.
- • Investments focus primarily on North American buyout and growth opportunities alongside top-tier sponsors.
Summary
PPM America Capital Partners (PPMACP), the private equity arm of Chicago-based institutional asset manager PPM America, Inc., announced the final closing of its eighth co-investment fund, PPM America Private Equity Fund VIII LP, according to a Business Wire release. The final close, dated December 31, 2023, totaled $660 million and is PPMACP's largest fund to date, exceeding its prior fund that closed in 2018. Fund VIII is a vintage 2021 vehicle, and it operates alongside a parallel fund.
Fund VIII will continue PPMACP's strategy of investing in a diversified pool of co-investments alongside top-tier buyout and growth equity sponsors. The fund targets approximately 50 co-investments and will typically allocate between $10 million and $25 million per transaction, diversified by vintage year, sponsor and sector/industry. Investments focus primarily on North American buyout and growth opportunities.
According to the release, PPMACP has raised eight funds totaling over $4 billion in historical commitments since 1996 and has closed more than 250 deals across 50+ sponsors. The four partners of the nine-person investment team average 25 years of investment experience and 22 years of average firm tenure. PPMACP deploys capital across a primary funds platform and co-investments alongside sponsors. As of September 30, 2023, the private equity program managed $5.76 billion in assets under management, with nearly $11 billion in total historical capital commitments across primary funds and co-investments.
Champ Raju, Managing Partner and Head of Private Equity, said PPMACP has the experience, relationships and agility to access deals from high-quality fund managers and build a well-diversified portfolio across industry, size and sponsor. He noted the closure continues the firm's track record of increasing fund size and thanked limited partners for their confidence in manager and asset selection "in these uncertain and volatile markets."
PPM reported $68.46 billion in firm-wide assets under management as of September 30, 2023, including committed but unfunded capital for its private equity and commercial real estate businesses. PPM's private equity capabilities were established in 1991, and PPMACP launched the firm's first co-investment fund in 2000.
Fund VIII will continue PPMACP's strategy of investing in a diversified pool of co-investments alongside top-tier buyout and growth equity sponsors. The fund targets approximately 50 co-investments and will typically allocate between $10 million and $25 million per transaction, diversified by vintage year, sponsor and sector/industry. Investments focus primarily on North American buyout and growth opportunities.
According to the release, PPMACP has raised eight funds totaling over $4 billion in historical commitments since 1996 and has closed more than 250 deals across 50+ sponsors. The four partners of the nine-person investment team average 25 years of investment experience and 22 years of average firm tenure. PPMACP deploys capital across a primary funds platform and co-investments alongside sponsors. As of September 30, 2023, the private equity program managed $5.76 billion in assets under management, with nearly $11 billion in total historical capital commitments across primary funds and co-investments.
Champ Raju, Managing Partner and Head of Private Equity, said PPMACP has the experience, relationships and agility to access deals from high-quality fund managers and build a well-diversified portfolio across industry, size and sponsor. He noted the closure continues the firm's track record of increasing fund size and thanked limited partners for their confidence in manager and asset selection "in these uncertain and volatile markets."
PPM reported $68.46 billion in firm-wide assets under management as of September 30, 2023, including committed but unfunded capital for its private equity and commercial real estate businesses. PPM's private equity capabilities were established in 1991, and PPMACP launched the firm's first co-investment fund in 2000.
Go deeper than the headline
Research every firm in this story, track the ones that matter and get the daily briefing — free for 7 days.