GP Focused Secondary Solutions
Tail End Capital Partners is focused on helping managers of mature PE and VC funds provide liquidity to their investors while offering the ability to maximize the tail end value of the fund.
Every situation is a bit different and we seek to provide a flexible solution that provides a win/win for the fund GP and their investors. We pride ourselves on being good listeners to deliver a solution that fits your situation.
Fund Recapitalizations / Lift-Outs
A critical mass of LPs is looking for liquidity but the GP wants to maximize the value of the tail end of their fund portfolio. Tail End Capital Partners can acquire the remaining assets of the fund in collaboration with the GP. The assets will be contributed to a new fund that the GP manages with a refreshed incentive structure.
Limited Partner Tender Offers
Existing LPs seek liquidity. Tail End Capital Partners will work with the GP to purchase the LP interests and establish a new incentive structure for the GP related to the interests purchased. Remaining LPs will generally need to approve an extension of the fund to give the GP enough time to maximize the value of the tail end of the portfolio.
Some investors in a company want liquidity but the lead investor is not ready to sell the company. Tail End Capital Partners can purchase the shares of investors looking for liquidity and establish an SPV to hold these investments. The lead investor will become the GP of the SPV and be incentivized within the SPV structure.
A GP wants to fully liquidate it's position in a portfolio company with no continued investment. Tail End Capital Partners can purchase the fund's interest.
Fund Level Loans
A GP needs dry powder to invest into it's portfolio to enhance the value creation of the fund. Tail End Capital Partners can provide a loan at the fund level.