Pomona Capital, a global private equity firm specializing in secondaries investing, announced that it raised a combined total of $4 billion across its platform in the past two years. The Firm recently held a final close on its tenth secondaries flagship fund, Pomona Capital X, L.P. (the “Fund” or “PC X”) with commitments of $2.6 billion. PC X was oversubscribed and capped, surpassing its target of $2 billion by 30% and is approximately 50% larger than its predecessor fund Pomona Capital IX, which collected nearly $1.8 billion. The Fund combined with primaries, co-investment interests and its retail product offering have contributed to the Firm’s growth momentum and 23% CAGR in the past five years.
Pomona Capital X, like its nine predecessor secondary funds, seeks to deliver on the fundamental premise of secondaries investing; solving for both growth and value with enhanced liquidity and a lower risk profile. Pomona is one of the earliest pioneers in the secondary private equity investing space, with over 28 years of experience providing efficient liquidity solutions for investors. With offices around the world, Pomona works closely with investors and assets on a global scale.
The Pomona Investment Fund, the firm’s retail product offering, increased by $400 million in assets under management in 24 months or 85% CAGR as the demand by retail investors for private equity continues.
Of Pomona’s recent achievements, Pomona CEO Michael Granoff said, “Over the years, Pomona has executed a differentiated, value-oriented strategy to secondaries investing. Our approach resonates with investors who recognize the long-term attractiveness of private equity but are concerned about risk.” Mr. Granoff added, “Our modest fund size enables us to be nimble, flexible and creative to source what we believe to be higher than market quality assets at a lower than market price.”
Limited partners in the Fund include pension funds, sovereign wealth funds, insurance companies, financial institutions, endowments, foundations, and family offices from nearly 20 countries. Strong support from existing investors was complemented by a significant number of new investors from across the globe.
Today’s macroeconomic and private equity environments create interesting, and also challenging opportunities in the secondaries market. “What differentiates Pomona in today’s market is our targeted approach and ability to be selective. We are not buying a slice of the generic secondaries market and our focus on purchasing high quality, diverse assets with identifiable near-term liquidity at a measured investment pace is well-suited to the current environment,“ noted Mr. Granoff.
About Pomona Capital
Pomona is an international private equity firm with over $16 billion in aggregate capital commitments across its sponsored-funds and separate accounts on behalf of a global group of over 350 sophisticated investors from more than 25 countries. Pomona was founded in 1994 and was one of the earliest secondary market investors, establishing itself as a pioneer in the marketplace. Pomona also manages a $5.8 billion business making primary investments in private equity funds as a strategic complement to the secondaries business. Pomona has collectively invested in partnership interests in approximately 750 private equity funds, diversified across the spectrum of private equity, with underlying investments in over 10,000 companies since inception.
Pomona Capital’s team is based in New York, London and Hong Kong. Pomona’s capital capacity and global reach are enhanced by a strategic partnership with Voya Investment Management.
About Voya Investment Management
Voya Investment Management manages approximately $330 billion* in assets across public and private fixed income, equities, multi-asset solutions and alternative strategies for institutions, financial intermediaries and individual investors, drawing on a 50-year legacy of active investing and the expertise of 300+ investment professionals. Named a Best Place to Work in Money Management by Pensions & Investments for seven consecutive years, Voya IM has cultivated a culture grounded in a commitment to understanding and anticipating clients’ needs, producing strong investment performance, and embedding diversity, equity and inclusion in its business. (*AUM as of 6/30/22, reflecting pro forma assets of Voya IM and select strategies of Allianz Global Investors U.S., integrated as of 7/25/22.)