Crestview Partners (a leading private equity firm founded in 2004) announced closing a continuation fund that includes two Crestview Partners III investments, VA Capital Company, and ATC Drivetrain Investors / ATC Drivetrain Group, with nearly $600 million of commitments. And Apollo’s Sponsor and Secondary Solutions business (Apollo S3) led the transaction with additional investments from funds managed by Hamilton Lane, the Crestview team, and others.
This continuation fund will support strategic investments and acquisition opportunities for Venerable and ATC, while also providing liquidity to Fund III limited partners, solidifying the returns of both investments thus far.
The investors agreed to contribute their pro-rata share of additional capital to support further growth and acquisition opportunities. As part of the deal, Crestview offered its Fund III limited partners the opportunity to exercise a full liquidity option, a status-quo rollover option, or an option to reinvest to participate in the continuation fund’s new capital commitments.
Lazard worked as exclusive financial advisor to Crestview and Davis Polk & Wardwell and Paul, Weiss, Rifkind, Wharton & Garrison worked as Crestview’s counsel. And Weil, Gotshal & Manges served as legal counsel to Apollo S3.
KEY QUOTES:
“We are pleased to offer our investors an option for liquidity or to continue to participate in the value creation and acquisition opportunities that we plan to pursue over the next few years. This transaction – our first continuation fund – follows several recent exits that generated meaningful distributions to investors across our funds.”
– Barry Volpert, Co-Founder and CEO of Crestview
“While we remain committed to pursuing exits in Fund III, Venerable and ATC are at exciting inflection points, and we believe this transaction provides the advantages of additional time and capital to support further growth opportunities.”
– Bob Delaney, a Partner at Crestview
“We are pleased to partner with the Crestview team and support the continued growth of Venerable and ATC, two differentiated businesses with new strategic initiatives underway. We believe this transaction offers strong alignment and demonstrates the types of bespoke capital solutions that S3 can provide to leading GPs.”
– Konnin Tam, Partner & Co-Head of Apollo S3
