Carlyle's AlpInvest Achieves Monumental $20 Billion Raise for Dominant Secondaries Strategy

Carlyle Group’s esteemed private equity secondaries unit, AlpInvest Partners, has made headlines with a truly colossal fundraising achievement, successfully closing its latest secondaries strategy with an astounding $20 billion in commitments. This monumental sum underscores not only the robust health of the secondaries market but also AlpInvest’s commanding position within it.

The impressive $20 billion haul is meticulously structured, comprising $15 billion allocated to commingled funds and an additional $5 billion earmarked for co-investment vehicles.

This substantial capital influx positions AlpInvest to execute its comprehensive investment strategy with unparalleled scope and flexibility, further solidifying its reputation as a preferred partner in complex private equity transactions.

This latest fundraising milestone represents a significant leap from its predecessor.

AlpInvest Secondaries Program VII, which closed in 2021, garnered a still-impressive $9 billion. The nearly 122% increase in capital raised highlights the escalating demand for liquidity solutions in the private equity landscape and the growing investor confidence in AlpInvest’s capabilities to navigate this specialized market.

For those new to the intricacies of private equity, the secondaries market involves the buying and selling of existing investor stakes in private equity funds.

This vital segment of the financial ecosystem offers crucial benefits: it provides much-needed liquidity to investors who wish to exit their commitments before a fund's natural lifecycle concludes, and it enables strategic portfolio adjustments for both buyers and sellers.

AlpInvest Partners has been a pioneering force in the secondaries space, actively engaging in this market since its inception in 2000.

With over two decades of experience, the unit has developed a sophisticated understanding of market dynamics, building an extensive network and a track record of successful deal execution across various economic cycles.

The broader private equity secondaries market has experienced explosive growth over the past decade, transforming from a niche area into a mainstream and indispensable component of global finance.

Industry forecasts consistently predict continued expansion, driven by factors such as the increasing maturity of private equity portfolios, a desire for enhanced liquidity from limited partners, and the tactical allocation shifts by institutional investors.

With this fresh injection of capital, AlpInvest is poised to continue its multifaceted investment approach, deploying funds strategically across primaries, secondaries, and co-investments.

This integrated strategy allows AlpInvest to capture value across the entire private equity spectrum, offering diverse avenues for capital deployment and robust returns for its investors. The successful closing of this fund reinforces Carlyle's commitment to its alternative asset management capabilities and signals a powerful vote of confidence from a global investor base.