Apogem Capital Closes its Third and Largest Private Real Assets Fund
Apogem Capital (“Apogem”) held a final close for PA Real Assets Fund III (the “Fund” or “PARAF III”) on September 28, 2022, with approximately $265 million in total commitments. The Fund exceeded its target fund size of $200 million and increased third party capital commitments by over 80% from the predecessor fund.
“We are grateful to our limited partners who remain committed to Apogem’s private real assets total return-focused investment strategy,” said Chris Stringer, Interim CEO of Apogem Capital.
Zac McCarroll, Apogem’s Head of Real Assets, added, “The commitment of our partners has enabled Apogem to exceed our target fund size in a very challenging fundraising environment – we can now take advantage of the investment opportunity in front of us.”
Apogem’s dedicated Real Assets Team is focused on building a diversified portfolio across natural resources sectors, with an emphasis on identifying asymmetric return opportunities and generating cash yield. The Fund is expected to primarily consist of direct equity co-investments and secondaries.
Relative to other segments of capital markets, which have seen a rapid build-up in dry powder, capital has fled the real assets space, limiting investment in capex and exploration and constraining future supply. “We believe this capital constraint, coupled with the durable, growing demand for natural resources necessary to fuel economic advancement and the energy transition, has created a compelling opportunity to invest in profitable companies with long tailwinds at attractive valuations,” said Zac McCarroll.
The Fund’s limited partner base includes endowments, single and multi-family offices, and pension funds. PARAF III experienced a strong re-up rate of LPs from prior Apogem Real Assets funds, as well as several new investors, signifying growing interest in the space. Apogem employees also made meaningful commitments.
Please reach out to ApogemIR@apogemcapital.com with any questions or to learn more.
About Apogem Capital
Apogem Capital was formed in April 2022 through the combination of PA Capital, Madison Capital Funding and GoldPoint Partners to create a singular and unified, world class private markets’ investment firm. With approximately $39 billion in assets under management as of June 30, 2022, we believe Apogem has the deep relationships, data, and history in the middle market to deliver innovative solutions to both clients and sponsors. Apogem Capital offers investors access to the middle market’s growth engine through investments in leading private companies and funds. The Firm manages a streamlined suite of capital solutions, including direct lending, junior debt, primary fund investments, secondary investments, equity-co-investments, GP stakes, and private real assets. Apogem Capital is a wholly owned subsidiary of New York Life Insurance Company (“NYLIC”), through New York Life Investment Management Holdings, LLC (“NYLIM”).