General Atlantic Raises $7.8B for Sixth Fund

General Atlantic Closes Sixth Growth Equity Fund with $7.8 Billion

General Atlantic announced on Wednesday the final closing of its sixth growth equity fund, GA 2021, securing $7.8 billion in commitments.

This represents a significant increase from the firm’s initial target of $5 billion earlier in the year.

Investor Base

The new fund attracted a diverse group of investors. These included both new and existing capital partners, such as family offices, endowments, foundations, and various institutional investors.

Firm Assets and Investment Focus

Founded in 1980, General Atlantic currently manages $23.8 billion in committed capital.

As of June 30th, the firm’s assets under management exceeded $78 billion.

GA will continue its investment strategy across five key sectors: consumer, financial services, healthcare, life sciences, and technology.

To date, the firm has deployed $49 billion into over 430 growth companies globally.

Unique Capital Structure

General Atlantic has developed a distinctive capital structure.

This structure allows for continuous scaling of its capital base through a combination of closed-end funds, five-year managed accounts, evergreen accounts, and a substantial General Partner (GP) commitment.

The GP commitment represents the largest single investment in GA’s core investing program.

Investment Activity and Exits

GA’s investment activity has increased significantly this year.

According to Crunchbase data, the firm has completed 65 investments so far in 2021, compared to 42 in 2020.

October alone saw seven new investments, including a $225 million investment in Acko, an insurance policy provider based in India.

The firm has also facilitated 130 exits of its portfolio companies.

IPOs and Direct Listings

In 2021, General Atlantic has seen 21 portfolio companies complete Initial Public Offerings (IPOs) and direct listings.

These include companies such as EngageSmart, a payment software company that went public in August, and HireRight, an employee screening company that announced its IPO in October.

This figure surpasses the firm’s previous record of six IPOs in both 2020 and 2019.

Executive Statement

“Our global growth equity strategy positions us to capitalize on the profound acceleration of digital innovation and global entrepreneurship as we seek to deliver attractive risk-adjusted returns to our capital partners,” stated Bill Ford, Chairman and CEO of General Atlantic.

He further emphasized the firm’s ability to collaborate with management teams, foster the growth of technology-enabled companies on a global scale, and consistently deliver strong investment performance as key differentiators for both entrepreneurs and investors.