Stanford University Endowment Selling Fund Stakes

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Stanford University may be signaling a return to secondaries for university endowments.  Bloomberg reports " Stanford University is seeking to sell $1 billion in private investments, including stakes in venture capital funds run by Sequoia Capital and Kleiner Perkins Caufield & Byers.  Stanford, is also offering stakes in Accel Partners, and Abingworth LLP ; buyout investors Bain Capital LLC , Hellman & Friedman LLC  and Madison Dearborn Partners LLC; and  Moorfield Group, "  and "Stanford, with an endowment of $12.6 billion, fourth among U.S. schools, is gauging investor interest after its investments lost 26 percent in the year ended June 30."  "Secondary-market trades on some private-equity funds were as low as 10 cents to 40 cents on the dollar earlier this year, according to Laurence Allen, managing member of Nyppex, which advises endowments. Potential buyers were waiting to see yearend statements from private-equity managers that show the value of fund assets."

More from Bloomberg here, http://bit.ly/CYEPz

The Stanford Daily reports that the endowment will be taking bids from investors and secondaries firms until the end of the month. Stanford is not aiming to offload entire investments, but partial interests of ten to 20 per cent across its private equity portfolio.  More here, http://bit.ly/1Tstuu

 Harvard and other university endowments have made substantial efforts to unload portfolio holdings with little success since last year as mentioned in prior IvyPlus blog posts,  http://bit.ly/1MWqJ

 ********  Next  IvyPlus Nov 10th Event – Managing Limited Partner Funds:  Acquisitions and Secondaries.  http://bit.ly/3Ci1B2  *******

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