LGT Capital Partners completes final close of Crown Secondaries Special Opportunities III at USD 3.0 billion

4 June 2024

LGT Capital Partners has completed the final close of Crown Secondaries Special Opportunities III (CSSO III) at USD 3.0 billion, exceeding the original target size of USD 2.5 billion. The firm’s third dedicated direct secondaries fund provides liquidity solutions for private equity-owned companies.

CSSO III acquires direct minority stakes in private equity-owned portfolio companies, finances M&A growth and participates in concentrated continuation vehicles. The program’s investor base includes pension funds, insurance companies, sovereign wealth funds, family offices and endowments in Europe, the US, Asia Pacific and the Middle East.

Andreas Hellmann, Partner at LGT Capital Partners, said: "Interest in direct secondary transactions has grown significantly in recent years. After a strong market focus on continuation vehicles, private equity sponsors are increasingly using a broader range of solutions to facilitate liquidity and longer holding periods for their best portfolio companies. Solutions that provide partial liquidity or follow-on capital directly at the company level are playing a growing role.”

Ivan Vercoutère, Managing Partner at LGT Capital Partners, added: “Following the success of our previous funds, we are pleased to see strong investor demand for CSSO III. As one of the largest pools of capital entirely focused on single-asset capital solutions, the program is ideally suited for private equity sponsors seeking innovative liquidity solutions.”

LGT Capital Partners was an early mover in direct secondaries and has completed 87 investments since 2015. The strategy leverages LGT Capital Partners’ broad network of over 700 private equity manager relationships and information from thousands of companies to identify attractive opportunities.