Latham & Watkins LLP represented middle-market private equity firm TJC LP in clinching a $2.1 billion continuation fund, announced on Tuesday. Led by Carlyle subsidiary AlpInvest, the fund offers extended investment opportunities for TJC’s portfolio companies, providing them with additional resources and flexibility for long-term growth.
Latham & Watkins $2.1B Clinch : Continuation Fund Overview
The new fund, aptly named the Continuation Fund, builds on TJC’s previous investments in The Resolute Fund III LP and The Resolute Fund IV LP. The Resolute Fund III, which launched in 2013 and closed in 2014 with $3.2 billion in commitments, and the Resolute Fund IV, which closed in 2018 with $3.6 billion, are both being extended through this new vehicle. The continuation fund has already acquired five portfolio companies, reflecting its strategic focus on expanding existing investments.
Options for Investors
TJC offered existing investors from the Resolute III and IV funds multiple options, including a full liquidity exit, a rollover opportunity, and the chance to make additional contributions to the continuation fund. This flexibility allows investors to choose between an early liquidity option at a market-driven price or continue investing in long-term growth initiatives.
