U.S. Investment firm Argentem Creek Partners to expand into PE Secondaries through partnership with wealthtech solutions provider Emerge9
New York, New York, United States, 5th Mar 2024 – U.S. investment firm Argentem Creek Partners (“ACP”) an emerging markets specialist investment firm, partners with Emerge9 Inc. (“Emerge9”), a Miami, FL based alternative asset platform, to launch a strategic joint venture focused on connecting non-institutional investors to General Partner (GP)-led private equity (PE) investments.
The joint venture will combine Emerge9’s origination and custom fund solutions with ACP’s global relationships and presence across the Middle East, Latin America, and Asia.
GP-led secondary deals represent a growing segment of the PE secondary market. Given constrained M&A and IPO markets, a growing number of GP’s are providing liquidity to their respective LP’s by transferring prized assets into so-called continuation vehicles, funded by a new set of investors. In these transactions, where GP’s normally roll most (if not all) of their carried interest into the continuation vehicle, investors benefit from a strong alignment of interests and visibility into a given asset’s past performance under the GP’s stewardship.“Our research shows that the PE secondary market grew from $7bn in 2015 transaction volume to $51bn in 2023. Despite strong growth, the GP-led market remains severely undercapitalized, as reflected by a capital overhang ratio (deal volume vs dry powder) of 1.3x expected for 2024 versus 2.0x in 2022,” said John Abbott, CEO and co-founder of Emerge9.
“The combination of high-quality transactions and a supply/demand imbalance favoring investors makes the GP-led market particularly attractive. This joint venture complements our expertise and strategy to explore the market opportunity in PE secondaries. At the same time, our partnership with Emerge9 allows us to execute this strategy in a much more timely, efficient manner,” stated Daniel Chapman, ACP’s CEO and Founder.
As part of the joint venture, both firms will collaborate on a set of initiatives aimed at broadening non-institutional investor access to private equity. “As Emerge9 seeks to democratize private equity through innovative technology tools, including our new AI Assistant, we believe that this joint venture positions us to accelerate our growth, particularly as we develop our distribution network in the Middle East, Europe and Latin America,” said John Abbott.
About Argentem Creek Partners
Argentem Creek Partners LP is an emerging markets specialist investment firm. The Firm invests in private assets through special situations, private credit, high yield, and bespoke capital solutions across the capital structure. Argentem focuses on delivering value for investors, partners, and the local communities.
Argentem Creek Partners was founded in 2015 by Daniel Chapman and his team. Since inception, the team has invested $2.5bln across over 75 companies and 20 countries.
About Emerge9
Emerge9 Inc., a tech-enabled marketplace for private equity, provides wealth managers and other non-institutional investors access to both direct investment and custom fund solutions.
Since its launch in 2022, Emerge9 has offered $19.5bn in co-investments in GP-led transactions, featuring the top sponsors in the market.
Founded by a team with an extensive track record in financial and consumer tech startups, Emerge9 seeks to simplify investments in bespoke private equity transactions through innovative technology solutions, including its AI Assistant.
Media Contact
Organization: Argentem Creek Partners
Contact Person: Loredana Matei
Website: https://www.argentemcreek.com/
Email:
media@argentemcreek.com
Contact Number: +18772354500
Address:156 West 56th Street, 12th Floor
Address 2: New York, NY 10019
City: New York
State: New York
Country:United States
Release id:10207
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