Seeking to access top-tier venture and growth equity companies through funds, secondaries and direct investments
Our venture and growth equity strategy focuses on concentrating capital into what we believe to be best-in-class, high-growth companies. We do this through fund investments with venture and growth managers, direct investments and solution-oriented secondaries. We leverage our long-standing relationships to gain access to what we have determined to be the most attractive opportunities at ideal stages and through efficient structures. This strategy is designed to produce an asymmetric return profile that limits losses, while capturing the attractive upside that venture and growth equity investments can provide.
- Less correlation to other strategies due to greater sensitivity to innovation cycle as opposed to financial markets
- Seeks an attractive risk/return profile driven by limited use of leverage and potential for outsized returns
- Provides a counterbalance to the disruption of incumbents from high growth, tech-enabled businesses
- Potential for high multiple contribution from long-term, compounding growth
2Non-discretionary Assets Under Supervision ("AUS") comprise assets from clients for which Hamilton Lane does not have full discretion to make investments in the account. AUS includes all investments for which Hamilton Lane provides services including asset allocation, strategic planning, development of investment policies and guidelines, screening and recommending investments, legal negotiations, monitoring and reporting on investments and investment manager review and due diligence. AUS equals assets under supervision for active accounts. AUS is equal to market value plus unfunded. AUS calculation does not include authorized to invest amounts (ANI). ANI can only be attributed to commingled fund-of-funds and separate accounts and cannot be attributed to underlying investments.
3Number of Active GPs includes only active GP relationships for Hamilton Lane discretionary or advisory investments. This number excludes GPs with investments for which Hamilton Lane provides Monitoring & Reporting only services as well as Legacy accounts.
4Number of years investing is based on the closing date of the first discretionary venture capital/growth equity investment made.
Deal Spotlights
Databricks
Who they are
A leading enterprise software company specializing in data analytics and management by leveraging AI tools for structured and unstructured data. The open-source platform enables users to optimize data in one integrated environment.
Why it matters
The company is positioned to take advantage of the rapidly growing data analytics and management market. Databricks benefits from the tailwinds and early innings of AI adoption and enterprise data consolidation, currently outpacing other direct competitors in the space.
The HL advantage
We have a high familiarity with the company and were able to leverage our relationship with the GP to gain access and participate in this oversubscribed round. Our relationship advantage has given us multiple angles of diligence and allowed us to build conviction in the market position, growth trajectory and valuation of the company.The bottom line
Databricks has the potential to yield significant returns, driven by its expanding product roadmap (including AI), robust cross-sell strategy and high customer retention. The company demonstrates a best-in-class financial profile, and we have confidence in its ability to continue to grow at scale and attain liquidity in the near future.
Project Inspire
Description
A multi-asset strip-sale continuation vehicle involving a diversified portfolio of growth-stage, market-leading SaaS businesses.
Why it matters
The portfolio is characterized by market-leading businesses with impressive scale, growth and margin profiles. Nearly every company in the portfolio is a Rule of 40+ business and is in a strong liquidity position.
The HL advantage
We have a strong familiarity with the assets as a long-standing investor and LPAC member with the GP. This has allowed us to build conviction in the market position, growth trajectory and valuation of the portfolio, resulting in what we believe to be a transaction with meaningful upside potential.The bottom line
The portfolio has potential to deliver outsized returns, driven by double-digit revenue growth and attractive secondary entry valuations, with potential for early liquidity due to the maturity and strategic value of the underlying portfolio.
Project Charlemagne
Who they are
An LP-interest secondary deal comprised of a diversified portfolio of 50+ early-stage assets spanning the enterprise SaaS, healthcare and marketplace verticals.The HL advantage
Hamilton Lane gained access to this off-market opportunity through our existing relationship with the GP. The fund interest was purchased at a sizable entry discount and at an attractive inflection point with minimal blind pool risk and strong growth potential.The bottom line
We were able to engage in bilateral negotiations with the seller and perform deep diligence given our existing relationship with the GP and co-sponsor coverage across the portfolio of assets.
As a committed venture and growth equity investor, we have developed deep relationships that help drive what we believe to be enhanced access to highly compelling venture and growth equity opportunities.
Managing Director, Fund Investment & Managed Solutions
Technology platform and access to data provide competitive advantage
Our continued investment in private markets technology solutions provides unparalleled access to information, including a database with over 23,300 funds, 15,350 unique managers, and 16,890 companies. Further, each year the firm participates in over 1,300 meetings with general partners on average, and reviews 1,100+ PPMs. Together, these insights help enable us to be a more informed investor and a valuable strategic partner to managers, thereby providing access to unique opportunities.
As of 12/31/2024