Brookfield Asset Management has closed its latest flagship global private equity fund, Brookfield Capital Partners V (BCP V) with total equity commitments of USD9 billion.
Based on strong investor demand, BCP V attracted total capital commitments exceeding the original USD7 billion fundraising target. BCP V’s predecessor fund closed in 2016 with USD4 billion of total capital commitments.
Investors in the Fund are a diverse group of institutional investors, including public and private pension plans, sovereign wealth funds, financial institutions, endowments and foundations, family offices, and private wealth investors. Brookfield Business Partners LP (NYSE: BBU, TSX: BBU.UN) has committed USD3 billion to the Fund, underscoring the alignment of interests with other investors.
Cyrus Madon, head of Brookfield’s private equity business, says: “We are pleased to have reached this milestone based on the ongoing strong support we have received from our investors. We have already deployed capital into a number of high-quality businesses and look forward to continuing to prudently invest where we can bring our operating capabilities, global scale, and expertise as part of the broader Brookfield platform to create value for our investors and our businesses.”
To date, the Fund has committed approximately USD2.5 billion to acquire businesses with high barriers to entry, low production costs, and the potential for enhanced cash flow generation, including a leading global automotive battery business and one of the largest private hospital operators in Australia.
