STRATEGY
Since the establishment of CVC Secondary Partners (formerly Glendower Capital) in 2017, the team has been solely and entirely dedicated to secondaries. CVC Secondary Partners believes that specialization offers a distinctive advantage and reduces potential conflicts and distractions.
CVC Secondary Partners pursues a distinctive two-pronged strategy targeting LP fund portfolios and GP-led transactions to capitalize on the secondary market evolution.
CVC Secondary Partners has an operational scale with over 100 professionals, an in-house database of 1,500 funds, and over 450 fund managers. CVC Secondary Partners systematically underwrites $5 million to $1 billion funds’ portfolios and single fund positions, providing comprehensive solutions for mature portfolios, complex private feeder portfolios, and difficult-to-value assets.
CVC Secondary Partners has developed a reputation for being a reliable partner of choice for fund managers and investors due to its and its principals' long-standing experience in executing challenging transactions. CVC Secondary Partners underwrites GP-led transactions ranging from $100million to $500 million, including assets sales, fund recapitalizations, strip sales, and spinouts.
As a signatory to the United Nations Principles for Responsible Investment, CVC Secondary Partners’ investment philosophy is based on the belief that the underlying value of the investments is determined by their long-term fundamental prospects, including their forward-looking attitude towards environmental, social, and governance (“ESG”) aspects. At CVC Secondary Partners, factoring sustainability risks into its investment process helps play a part in managing risk, driving returns, and creating new investment opportunities. ESG risks, whether material or likely to be material, could substantially impact investment performance (to varying degrees across companies, sectors, regions, asset classes, and through time) and, ultimately, the risk-adjusted returns generated.
CVC Secondary Partners incorporates the consideration of ESG factors into its investment decision-making process and during the ongoing ownership of funds and portfolio companies. As part of its due diligence process, CVC Secondary Partners looks to understand whether a general partner or, in the case of a direct investment, the company’s management seeks to identify, monitor, and manage ESG risks and opportunities within their portfolio, or company, respectively.
CVC Secondary Partners’ investment team, supported by the ESG Working Group, is responsible for conducting the ESG due diligence as part of the investment process and documenting any ESG findings in each investment memorandum. Ultimate ESG scrutiny and decision-making are the responsibility of the relevant CVC Secondary Partners’ fund’s investment committee. Accordingly, CVC Secondary Partners’ ESG philosophy brings the entire platform together, with the deal team and the investment committee taking ultimate responsibility for the ESG analysis and ongoing monitoring.
CVC Secondary Partners is an active owner and, where possible, seeks opportunities to partner with the underlying managers to help drive improvements in its portfolio investments. Therefore, as a part of its regular investment monitoring process (which addresses both ESG matters and other performance metrics), the investment team will review and document each underlying investment’s ESG progress annually.
ESG considerations are integrated into CVC Secondary Partners’ investment decision-making process from when an investment is first considered, throughout the life of that investment, and until its disposal. For CVC Secondary Partners, ESG is one of a number of factors that it considers holistically when determining key drivers of financial performance.
For the avoidance of doubt, no fund or other investment vehicle managed or advised by CVC Secondary Partners seeks to promote environmental or social characteristics or has sustainable investment as its objective.