Cerberus Capital Management Closes $2.3 Billion Continuation Vehicle For SubCom

Cerberus Capital Management has closed a $2.3 billion single-asset continuation vehicle for SubCom, the subsea fiber optic cable systems provider. This transaction allows Cerberus to maintain a controlling stake while attracting new capital to support the company's expansion efforts.

Summary of transaction details:

• Deal Type: Single-asset continuation vehicle
• Transaction Amount: $2,300,000,000
• Company: SubCom
• Founders: Steve Feinberg & William L. Richter
• Headquarters Location: New York City
• Key Investor: CVC Secondary Partners

The deal extends Cerberus's ownership of SubCom, an asset it previously acquired from TE Connectivity in 2018. Additionally, existing investors gain liquidity, and Cerberus and its affiliated funds are reinvesting, highlighting the trend of using continuation vehicles in private equity for holding high-performing assets beyond typical fund timelines.