In this article, we are trying to get you to understand how TPG has been functioning in its investments since its IPO (Initial Public Offering). We have also tried to explain the nature of the deals, and the portfolio companies it has dealt with in these months, and also covered the time when its shares fell post IPO. It’s already a well-known fact that a dip in share prices isn’t that uncommon an affair, especially in the finance and the private equity (PE) space. Something similar happened with TPG as well. We will see its performance in the paragraphs below.
TPG recently had its IPO this year in January and the organization has completed or announced 51 deals that are inclusive of buyouts and investment rounds since then. Last year in 2021, TPG had completed 54 deals like these, and we have tried to highlight some of these.
This explains that in the first six months of TPG going public, the firm has been trying to navigate a volatile investment climate as the global market has been greatly affected by inflation and the increasingly high-interest rates.
Talking about the 51 deals, TPG is now almost in the middle of the publicly traded Private Equity firms. Since the 13th of January this year when the IPO of the company was held, it has been seen that the Carlyle Group has been leading the publicly traded firms with 81 deals. This has been followed by KKR with 80 deals, TPG and Blackstone.
Blackstone currently has 51 deals, followed by Apollo Global Management which stands at 30, and Blue Owl Capital which has four deals.
The topmost deal of TPG emerged as a member of a consortium acting as a financial sponsor for Kaseya in its $6.2 billion acquisition of Datto. Datto operates in the security and cloud space. Recently in May, TPG and Clayton, Dubilier & Rice acquired animal-health technology and services organization Covertus for around $4 billion.
On January 13th, TPG had debuted on Nasdaq and sold 33.9 million shares at $29.50 a piece, where the fully diluted market value was for $9.5 billion. Of course, TPG shares prices had fallen too, and last week its stock closed at $24.29. TPG’s top 10 deals comprise around $13 billion in total.
After they filed for IPO, TPG had closed its Rise Climate fund which is a $73 billion vehicle, one that is dedicated to the climate investing strategy of TPG’s global impact investing platform which is called TPG Rise.
On June 28th, TPG Rise Climate’s most recent play came along. This was alongside existing investors like Climate Adaptive Infrastructure and Trilantic Energy Partners North America. All of this happened through a $750 million investment in Intersect Power which is a renewable energy company.
This investment was the second largest investment by TPG, the first one being $1 billion in an equity financing round partnering with Tata Motors last year in 2021.