| View this email online The Wire July 29, 2021 In behavioral health crisis, Lee Equity, FFL explore sale of Summit BHC, Challenges of replacing a GP Happy Thursday! The pandemic has driven demand for behavioral health services, including alcohol and drug addiction treatment. Long-term distress has become a reality for millions amid unemployment and widespread loss of life. Into this landscape, Lee Equity and FFL Partners are exploring a sale of Summit BHC, a substance abuse treatment and psychiatric services platform, writes Sarah Pringle on PE Hub. Moelis and Jefferies are providing financial advice on the sale process, Sarah writes. Read it here on PE Hub. Booted: By now you’ve likely read that the LP base of first-time fund Novalpina, formed by three ex-TPG executives, voted to replace the GP. The reasons for the Drama can all be read here in my piece from yesterday. Booting the GP was the easy part (lol). The hard part comes in working on whether LPs want to replace the GP, which comes with all kinds of challenges. For example, enough LPs have to go through the process of convincing their investment committees that they should bring in another manager to run the assets (there are three portfolio companies) after they had such a pleasant experience with the original manager. Read it here on Buyouts. Hit me up with thoughts, feedback, tips n’ gossip or whatever at cwitkowsky@buyoutsinsider.com on find me on LinkedIn. Read the full wire commentary on PE Hub... Also of note (may require subscriptions) Newbie: Grafine Partners, led by former Riverstone Holdings executive Elizabeth Weymouth, is targeting $500 million for its debut fund. Grafine seeks to invest in GPs, as well as facilitating direct deals for limited partners. Read more here on Buyouts. Funds: North American fundraising continued to break records in the first half, driven by post-pandemic enthusiasm by LPs and GPs amid frenetic deal activity. GPs raised almost $297 billion across 401 buyout, growth equity and other PE funds by the end of June. Read it here on Buyouts. Big ‘un: Blackstone Group expects its next flagship secondaries fund to be far larger than the $11 billion Fund VIII, firm president Jonathan Gray said during the second quarter earnings call. Blackstone is targeting a first close for September and will activate the fund prior to year-end. Read it here on Secondaries Investor. PE Deals They said it “First time fund risk is unavoidable when backing emerging managers, but very few emerging managers are led by a founding team as experienced and accomplished as Novalpina’s.” 2017 Investment memo from Oregon Investment Council about Novalpina Capital, to which the system eventually committed 200 million euros. Today's letter was prepared by Chris Witkowsky Subscribe now to get full, unlimited access to all PE Hub content, including every PE Hub Wire article. FIND OUT MORE Please visit Buyouts for the latest insight into LP activity and Venture Capital Journal for comprehensive coverage and analysis of what’s happening in VC. London | New York | Hong Kong PEI Media Group Ltd is registered in England no.6135779 Registered office: 7th Floor, 100 Wood Street, EC2V 7AN To update your PE Hub email preferences, or to unsubscribe, click here. | 