Perennial has announced its new private growth ventures fund, the Perennial Private Ventures Fund, will be open to wholesale investors beginning next month.
According to the firm, the fund will offer investors access to high growth private businesses primarily located in Australia and target the high returns of early-stage venture capital but with a faster route to liquidity and lower overall portfolio risk.
Perennial said this would be achieved using a combination of layered portfolio management, deal structuring, value discipline and a proactive management style.
“The Perennial Private investment team is seeing a rapidly increasing pipeline of high-quality growth stage private companies,” said portfolio manager Ryan Sohn.
“These companies are staying private for longer, and this drives the need for patient institutional capital which this new fund will help supply. Perennial is uniquely positioned to partner with the very best founders and companies on their complete journey.”
Mr Sohn said the fund aimed to address the increasing gap in the domestic market at the private growth stage while leveraging the firm’s experience in private company investing via its existing funds.
“There has been increased activity in early stage investing in Australia, however this market has now evolved, and these companies are increasingly looking for institutional capital to help drive the next stage of their private growth strategy,” he said.
During the past five years, Perennial said it had invested in more than 80 private companies, of which a third had transitioned to IPO or private takeover.
The target raise for the new fund is $200 million with investments from wholesale private investors, family offices and super funds.
Jon Bragg
Jon Bragg is a journalist for Momentum Media's Investor Daily, nestegg and ifa. He enjoys writing about a wide variety of financial topics and issues and exploring the many implications they have on all aspects of life.
