APFC has been an active co-investor, having completed over 50 different investments over the last decade. This tool enables APFC to tactically deploy capital in a more attractive investment environment to drive stronger returns and asset growth. Unlike other groups that may have a formalized program or targeted deployment rate, APFC employs an opportunistic approach where we seek out interesting and attractively priced opportunities.
While co-investment activity declined in the last several years as private markets valuations reached record levels, recent activity has increased, with four deals completed from March through August 2023 accounting for almost one-third of the capital deployed during the same period. “We saw the opportunity to invest in some very high-quality businesses at attractive prices and were able to capitalize on those opportunities,” remarked Allen Waldrop, Director of Private Equity. These recent co-investments also bring significant potential fee savings to APFC, which further contributes to growing the asset base.
“If we see compelling opportunities in the spaces we like, then we will do them, but if the market isn’t cooperating or we are not seeing interesting deals, we are fine sitting on the sidelines.” – Allen Waldrop