Adams Street Partners has raised more than $5bn to pursue private equity secondary investments, surpassing its fundraising target as investor appetite for the fast-growing asset class continues to strengthen, according to a report by the Wall Street Journal.
The Chicago-based private markets manager closed its eighth Global Secondaries Fund on $2.7bn and secured a further $2.3bn through related separately managed accounts, taking total capital raised for the strategy above $5bn. The flagship fund exceeded its $2bn target and follows the firm’s previous secondaries fundraising, which closed on $3.2bn in 2023.
The latest raise comes as the secondary market continues to benefit from subdued private equity exits, prompting more investors to sell fund interests while an increasing number of general partners use continuation vehicles to extend ownership of portfolio companies.
Jeff Akers, partner and head of secondary investments at Adams Street, said current market dynamics have shifted the balance of power towards buyers, with motivated sellers creating an attractive investment environment.
According to Akers, the lower mid-market presents the strongest opportunities, where competition is less intense and pricing inefficiencies remain. Approximately half of the firm’s investments are made through single-asset and multi-asset continuation funds, an area that has expanded rapidly as sponsors seek alternative liquidity solutions.
Adams Street is targeting sectors including healthcare, software and consumer businesses, and has already deployed roughly one-third of the capital raised through the new strategy.
The firm, which manages approximately $73bn in assets, said its broad private markets platform provides a competitive advantage in sourcing transactions. Alongside secondaries, Adams Street invests across primary private equity, private credit, venture capital and co-investments, drawing on relationships with more than 1,000 active private market managers to identify investment opportunities.
