Parabellum Capital Closes $754 Million Litigation Fund
As the litigation finance market continues to become more competitive, funders who consistently raise capital at a large scale are solidifying their position atop the industry. New York-based Parabellum Capital has made a definitive statement about the firm’s strength, with the close of its largest litigation fund yet. Reporting from Bloomberg Law covers the news that Parabellum Capital has closed on a $754 million litigation finance fund, with at least two-thirds of that capital reportedly already committed to 50 investments. Speaking with Bloomberg Law, Parabellum’s CEO and co-founder, Howard Shams said that litigation finance “is moving out of infancy and moving into a state of maturity,” and explained that serious investors “can recognize this as a way to make money over and over again with excellent results.” Commenting on the strength of Parabellum’s position in the market, Rebecca Berrebi, litigation finance broker and consultant, stated that “the proof of their success is in their ability to fund-raise large amounts.” This impressive fundraise is one of the largest ever reported in the litigation finance market, and marks the third such fund that Parabellum has closed, following its first two litigation funds that closed for $166 million $465 million, respectively. According to Bloomberg Law’s reporting, Parabellum’s first fund financed 55 investments, with the firm later selling about half of the original investments in a secondary market deal. The value of that transaction reportedly reached nine figures, with Shams stating that “nobody’s done a secondary trade of that size.”