Re-Up via Odyssey
The Re-Up program via Odyssey thanks to a consistent annual commitment and a disciplined multi-vintage approach, the holding company is gradually building up its exposure to private equity.
Once a certain level of maturity has been reached (often around year 7), the first distributions generated by the initial vintages can help finance new capital calls. The holding company can thus maintain its exposure while gradually reducing the need for additional cash injections.
Strategic architecture
Multi-vintage construction
The holding company makes regular commitments over several vintages in order to smooth out cycles and avoid concentration on a single entry point.
Overlaying flows
Thanks to the natural time lag between commitments and capital calls, the cash flow effort is spread out over the first few years. The trajectory becomes predictable, without immediately tying up the entire amount committed.
Institutional distribution logic
As older vintages enter distribution, the cash flows generated can gradually contribute to financing future calls. This overlap between the investment and distribution phases helps stabilize cash flow dynamics at maturity.
Steering via simulation
The trajectory can be constructed from:
• Available capital
• Target capital at a given time horizon
• Target income
Projections can be expressed as gross, net of income tax, or net distributable to partners. The model distinguishes between company-level performance and the impact of a distribution.
Taxation: gains realized are included in taxable income. Any distribution may result in additional taxation at the personal level.
The advantages for investors
A structured “flow” approach: trajectory based on a standard of living objective.
Enhanced clarity of scenarios: projections can be made in gross terms, net of income tax, or net distributable to partners, depending on the assumptions used.
An institutional discipline: temporal diversification and gradual construction of a mature portfolio.
This document is for informational purposes only and does not constitute investment advice or personalized recommendations. Private equity involves a risk of capital loss and long-term illiquidity.
