For Secondary Sellers

The same qualities that  RCP Advisors believes make it a leader in primary lower middle market buyout fund investments make the Firm a buyer of choice in the secondary market as well.

RCP does not claim to be all things to all people in the secondary market. However, for potential sellers of interests in North American lower middle market buyout funds, RCP has a number of advantages which we believe differentiate us from the mainstream secondary community:

  • RCP is a thought and knowledge leader in the smaller buyout market. As such, we have extensive research capabilities on funds in the lower middle market that may surpass those of secondary players which specialize on larger, “flow” names. RCP also specializes in purchasing interests that may be too small to appeal to the larger buyers. RCP generally enjoys significant underwriting and pricing assistance from the GPs which result in a well informed valuation.

  • RCP’s secondary underwritings are well integrated with the resources, knowledge base, and execution capabilities resident in its primary funds-of-funds activities. Therefore, the deep knowledge of funds and portfolio companies derived through the core primary investments accrue to the benefit of pricing decisions on secondary purchases.  RCP believes it has a reputation of discretion with both GPs and selling investors.

  • RCP is an investor in over 200 middle market buyout funds and enjoys excellent relationships with GPs throughout this community.* Because of this, RCP is generally a readily approved substitute partner when an existing partner wishes to sell.  

  • RCP is a highly reliable secondary buyer. RCP’s underwriting process is fast, professional, and highly transparent. With an investment committee which is tightly tied to the day-to-day business and which can meet on demand, our process is devoid of bureaucratic inefficiencies and our execution and closing is reliable. RCP sources secondary fund opportunities from a variety of different players including buyout fund general partners (who may be assisting a selling investor), secondary intermediaries, other secondary funds (who require specialized assistance on lower middle market funds), or the selling investors themselves.

If you are a general partner or a potential seller of a fund interest, please contact Jon Madorsky, Managing Partner and Portfolio Manager, at jmadorsky@rcpadvisors.com.

 

*As of January 1, 2017.