(Bloomberg) -- Hunter Point Capital is raising a new investment vehicle backed by an existing fund and will use the proceeds to return cash to investors.
The firm aims to raise $425 million through a special-purpose vehicle that will issue notes and receive cash flows from its Hunter Point Capital Fund I, which holds stakes in private equity firms including L Catterton, Coller Capital and Pretium Partners, according to people with knowledge of the matter, who asked not to be identified discussing confidential information.
Hunter Point raised $3.3 billion for that fund in March. Goldman Sachs Group Inc. and Wells Fargo & Co. are marketing the new vehicle to investors, the people said.
A spokesperson for New York-based Hunter Point declined to comment. Representatives for Goldman, Wells Fargo, L Catterton, Coller and Pretium declined to comment.
Private equity firms are increasingly turning to alternative sources of capital to fund payouts to their investors as dealmaking has remained slow and distributions have dried up. The transaction would help Hunter Point accelerate payouts to investors.
Hunter Point was founded in 2020 by Bennett Goodman and Avi Kalichstein to provide capital solutions to alternative asset managers. The firm takes stakes in private equity firms and provides financing backed by investment funds.
More private equity firms are selling off stakes in their management company to third-party investors to fund growth and pay senior leaders.
(Updates with additional information on GP stakes market in last paragraph)
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