Neuberger’s Dyal Seeks $9 Billion for Fund to Buy Manager Stakes
Neuberger’s Dyal Seeks $9 Billion for Fund to Buy Manager Stakes
(Bloomberg) -- Neuberger Berman Group’s Dyal Capital Partners is seeking to raise at least $9 billion for its fifth fund dedicated to buying minority stakes in alternative-asset managers, according to people familiar with knowledge of the matter.
The firm has started talking to investors about the new fund, known as Dyal Capital Partners V, said one of the people, who asked not to be identified because the information is private. A spokesperson for Dyal, which managed about $21.7 billion in assets as of Dec. 31, declined to comment.
The fundraising comes as the business of taking passive, minority stakes in alternative-investment managers is booming. Blackstone Group Inc. and Goldman Sachs Group Inc.’s Petershill unit have each raised multibillion-dollar funds dedicated to the strategy. Asset managers have also increasingly turned to stake sales as they provide a solution for aging founders seeking to pare back their ownership. The transactions also give firms capital to invest in future funds or new strategies.
Dyal’s investments include recently acquired minority stakes in Quantum Energy Partners and TSG Consumer Partners, according to people familiar with the matter. Representatives for Quantum and TSG didn’t immediately respond to requests for comment.
New York-based Dyal raised $9 billion for its fourth fund, which closed in October, the firm said previously. That vehicle is already more than 80% invested, one person said. It has backed firms including Owl Rock Capital Partners, I Squared Capital, H.I.G. Capital and Clearlake Capital Group, among others.
Dyal, which was founded in 2011, has completed 50 equity and debt commitments as of Dec. 31, according to its website.
To contact the reporters on this story: Gillian Tan in New York at gtan129@bloomberg.net;Rachel Adams-Heard in Houston at radamsheard@bloomberg.net;Kiel Porter in Chicago at kporter17@bloomberg.net
To contact the editors responsible for this story: Alan Goldstein at agoldstein5@bloomberg.net, Melissa Karsh, Daniel Taub
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