January 09, 2024
Jason Howard Launches New Catalyst Strategic Partners
Jason Howard Launches New Catalyst Strategic Partners
Independent Investment Firm Focuses on Solutions for Next Generation Private Markets Managers
New Catalyst Launches with Founding Support from and in Strategic Partnership with Apollo
LOS ANGELES, CA January 9, 2024 – Jason Howard, an alternatives industry veteran known for investing in and advising General Partners (“GPs”), announced today the launch of New Catalyst Strategic Partners (“New Catalyst” or the “Firm”). New Catalyst is an independent alternative investment firm that provides seed and growth capital to emerging, developing and diverse firms (i.e., “Next Generation GPs”) led by experienced investors.
The New Catalyst platform offers Next Generation GPs with a range of solutions, including:
i. Seeding new private market firms;
ii. Acceleration capital for existing private market firms;
iii. Co-sponsoring company acquisitions; and,
iv. Providing catalytic growth capital for launching new investment strategies, scaling investment teams and other structured investments.
New Catalyst was founded with support from and in strategic partnership with Apollo (NYSE: APO), including a cornerstone capital commitment and operational support to help create value for the Firm and its investments.
Jason Howard, Founder and Managing Partner of New Catalyst Strategic Partners, said: “Even some of the most experienced investors face significant challenges when founding and growing new investment platforms, and these challenges can be even more pronounced for Next Generation GPs. I have spent my career helping great investors build high-performing firms, and I’ve seen firsthand that LP capital alone is often insufficient to help Next Generation GPs realize their potential. With the launch of New Catalyst, we will look to serve as the catalyst this industry needs. We have built our firm to provide much-needed resources, advice and bespoke solutions, which we believe can foster innovation and growth in the industry.”
Mr. Howard has extensive experience sourcing, investing in and advising Next Generation GPs to help them launch and scale their businesses. He previously spent nearly 14 years at GCM Grosvenor and Credit Suisse focused on investing in Next Generation firms, most recently as Managing Director and Co-Head of GCM Grosvenor’s multi-billion-dollar Private Equity Diverse Manager investment platform. He has served as one of the earliest investors in many successful Next Generation funds and provided such founder GPs with strategic advice and momentum-building investor validation that proved instrumental to their success. Mr. Howard has earned a reputation as a subject matter expert and “pre-consensus” investor for many institutional LPs.
In addition to Jason Howard, the New Catalyst founding team includes Managing Director Demetrius Sidberry, former Managing Director and Direct Equity Investment Committee Member at Hamilton Lane; and Senior Advisor and Operating Partner Scott Darby, who brings more than 20 years of business building experience, including senior operating roles with TPG and Vista Equity Partners. The team is purpose-built and has the breadth of experience, relationships and collaborative approach needed to successfully execute the Firm’s strategy.
New Catalyst intends to source investment opportunities across its vast manager network and provide its partner firms with day-one capital and support that is often difficult for Next Generation GPs to access. The Firm is committed to catalyzing growth throughout a GP’s development, including providing fundraising support, working capital, deal capital, portfolio management best practices and value creation resources. As a result, New Catalyst believes it can fuel innovation and provide differentiated strategies while helping more GPs succeed, not only for first-time funds but also for exceptional emerging managers raising subsequent funds.
Mr. Howard added, “I have been impressed by Apollo’s commitment to expanding opportunity in our industry. I want to thank the team at Apollo for believing in the New Catalyst strategy and for leveraging their resources to accelerate our launch. I look forward to continuing and growing our strategic partnership.”
Apollo is a founding supporter of New Catalyst and will continue to be a strategic partner to the Firm going forward. Apollo and its managed vehicles have committed significant capital to support New Catalyst’s growth, in addition to providing New Catalyst and its portfolio with strategic support and resources. New Catalyst is an independent firm with control over investment and operational decisions, and Apollo has alignment through a minority economic interest in the Firm.
Apollo Partner Bill Lewis said: “Next Generation managers are a large and important segment of the market for GP Solutions. Historical performance among these GPs, despite much more limited access to growth capital, suggests there is significant opportunity for attractive risk-reward, particularly for a platform that can address their unique needs. We believe the combination of New Catalyst’s capabilities with the resources that Apollo has built over 30+ years will provide a differentiated, value-add offering to Next Generation GPs.”
Apollo Co-President Jim Zelter commented: “Expanding opportunity is a core commitment of our business at Apollo. The strategic relationship with New Catalyst is a major step for our marketplace-focused Expanding Opportunity initiatives, under which we have committed approximately $1.6 billion to-date to invest in diverse asset managers, financial institutions and suppliers. We look forward to supporting the growth of New Catalyst and its future portfolio, leveraging the breadth of our platform to benefit talented managers.”
About New Catalyst Strategic Partners
New Catalyst Strategic Partners (“New Catalyst”) is a majority diverse-owned and independent alternative investment firm founded by industry veteran Jason Howard. New Catalyst seeks to acquire economic interests and minority ownership in Next Generation private markets firms, providing them with the flexible, strategic capital and value creation resources they need to grow and succeed. To learn more, please visit www.newcatalystsp.com.
Managing Director, Sloane & Company