NEW YORK (Reuters) – Goldman Sachs Asset Management said Tuesday it had closed a $5.2 billion direct private markets fund that invests in high-growth businesses.
The fund, one of the largest growth funds of its kind, seeks to buy minority stakes with an average investment size of about $50 million in businesses that are in the early or middle stages of their growth.
The West Street Global Growth Partners fund attracted $3.7 billion from institutional and high net worth investors, as well as commitments from Goldman Sachs Group Inc and its employees.
Goldman Sachs Asset Management oversees more than $2 trillion in assets.
Last year it closed a $9.7 billion private-equity fund, its largest since 2007, that seeks to invest in companies with an enterprise value of about $750 million to $2 billion.
The latest fund is managed by its growth equity business division led by Darren Cohen in New York, Nishi Somaiya in London and Stephanie Hui in Hong Kong.
“We believe the pace of innovation across enterprise technology, financial technology, healthcare, and consumer businesses shows no sign of abating,” Julian Salisbury, chief investment officer for Goldman’s asset and wealth management unit, said in a statement.
The fund has already invested in several companies including 4G Clinical, a U.S. firm which makes technology for the pharmaceutical and biotech industries, AlphaSense, a U.S. market intelligence platform and France’s Exotec, which makes warehouse robot systems.
(Reporting by Saeed Azhar; Editing by Lananh Nguyen and Edwina Gibbs)