Institutional Investors Comfortable with Stevie Cohen Again, Raises $600 Million for First PE Fund
Posted on 11/16/2021
Hedge fund Point72 Asset Management closed a US$ 600 million funding round for Point72 Hyperscale, its inaugural private equity fund. Point72 today announced it has closed on a $600 million funding round for Point72 Hyperscale plans to acquire companies and seeks to use applied artificial intelligence to modernize them into market leaders.
Steven A. Cohen is the founder and CEO of Point72. Earlier in 2021, Point72 established Point72 Private Investments as the new business unit for its growing institutional private investing activities, which include Point72 Ventures, its global venture capital strategy, and Point72 Hyperscale. This new structure will support the continued evolution of Point72’s private investing businesses. In conjunction with establishing Point72 Private Investments, Dan Gwak and Sri Chandrasekar, who previously co-led Point72 Ventures’ investment activities in deep tech, were appointed to senior leadership roles within the Point72 Private Investments business. Dan Gwak serves as Managing Partner of Point72 Private Investments and Sri Chandrasekar is Managing Partner of Point72 Ventures. Mr. Gwak and Mr. Chandrasekar are also Managing Partners of Point72 Hyperscale. The Point72 Hyperscale strategy launched in 2019 and is focused on applying artificial intelligence to transform established businesses and industries by using data and AI to drive meaningful increases in productivity and margins.
Cohen, a billionaire hedge fund investor, escaped mostly unscathed from nearly a decade of investigations by U.S. federal prosecutors and securities regulators into accusations of insider trading back in January 2016. In 2016, Cohen reached a deal with the SEC that barred from managing money for outside investors for the next two years. The SEC wanted a lifetime ban at the time. Mathew Martoma who was a Portfolio Manager at S.A.C. Capital Advisors was accused of generating possibly the largest single insider trading transaction profit in history at a value of US$ 276 million. Martoma was released early on July 19, 2021.