Warburg Pincus has closed its fourteenth fund, Warburg Pincus Global Growth 14 LP (Fund 14) with $17.3 billion of capital.
Warburg began fundraising in 2021 with a target of $16 billion. Fund 14 is the largest-ever fundraise in the firm’s 57-year history, exceeding its previous global flagship fund which closed with $15 billion of capital in 2018.
Limited partners in Fund 14 include both new and existing investors such as public and private pension funds, sovereign investors, insurance companies, endowments, foundations, fund of funds, family offices, and high-net-worth individuals.
“The overwhelming success of this fundraise was driven by strong support from both existing and new investors who recognize and support our growth investment model and our ability to manage risk across market cycles. We are grateful for their ongoing support, especially amidst an uncertain macro landscape and one of the toughest ever fundraising environments,” said Chip Kaye, the CEO of Warburg Pincus. “Given that back-drop, we remain disciplined about investment pacing and prioritizing high conviction themes. Additionally, geographic and sector diversification coupled with over five decades of investment experience fundamentally drives our consistency – especially in uncertain moments.”
Warburg Pincus was founded in 1966 and has raised 21 private equity and 2 real estate funds, which have invested more than $112 billion in over 1,000 companies in more than 40 countries. The firm is headquartered in New York with offices in Amsterdam, Beijing, Berlin, Hong Kong, Houston, London, Luxembourg, Mumbai, Mauritius, San Francisco, São Paulo, Shanghai, and Singapore.
Earlier this month, Warburg Pincus agreed to invest in iNRCORE, a Pennsylvania-based manufacturer of catalog and custom magnetic components used to transmit high-speed and mission critical data and power under extreme conditions. The company’s products are used in military, commercial aerospace, manned and unmanned space, industrial, medical, transportation, and power grid infrastructure applications.
iNRCORE has been a portfolio company of TJC since February 2020 and will continue as an investor in the company in partnership with Warburg Pincus.
Other Fund 14 portfolio companies include Simtra BioPharma Solutions (formerly Baxter’s BioPharma Solutions business), Ensemble Health, EverBank, Internet Brands, Norstella, Oona Insurance, ParetoHealth, and Watertec India.
“This is a challenging period for investors, with rising rates and geopolitical tension, but also new promise from this wave of innovation. This puts a premium on diversification, a careful and disciplined approach to investing, and deep expertise on the shifting frontiers of technology, across sectors and economies. We look forward to continuing to navigate the ever-shifting mix of opportunities and challenges, partnering with excellent management teams to build great companies,” said Timothy Geithner, the chairman of Warburg Pincus.
“We are well positioned to take advantage of the current market environment and will continue to build a globally diverse, sustainable portfolio for our investors. One of our distinguishing characteristics is our team’s ability to work collaboratively across distinct industry groups with deep domain expertise to identify new and emerging trends around the world. We are excited about the current investment landscape and are looking forward to putting this capital to work as a partner of choice with innovative management teams across the globe,” said Jeff Perlman, the president of Warburg Pincus.
Kirkland & Ellis provided legals services to Warburg Pincus on this fundraise.
© 2023 Private Equity Professional | October 13, 2023
