Soroban Capital Partners Launches New Long-Only Fund

Soroban Capital Partners, the hedge fund firm founded by Eric Mandelblatt, has recently launched a new long-only fund, raising a substantial $3.1 billion for the Soroban Long Only Equity Fund and its offshore equivalent. The funds officially began trading on April 1, as reported in regulatory filings.

Mandelblatt, along with co-founders Gaurav Kapadia and Scott Friedman, established Soroban in 2010 after departing from TPG-Axon Capital Management. While Kapadia left the firm in 2018 to pursue a family office venture, Soroban has continued to thrive, managing $10.155 billion in assets by the end of 2023.

The firm’s investment focus lies in public and private companies within the industrial economy, technology, consumer, and payments & information services sectors, as outlined on its website. Soroban’s U.S.-listed portfolio consists of 29 different common stocks, with significant holdings in Union Pacific, CSX, and Microsoft.

Despite declining to comment on the specifics of the new fund, Soroban disclosed in its recent ADV filing that the long-only strategy will emphasize investments in the United States, with a potential for new issue participation. The fund aims for full investment and a typical long exposure between 100 and 125 percent, allowing for deviations due to market conditions or operational needs.

While the fund is categorized as long-only, Soroban clarified that it may utilize short-selling or other hedging techniques to manage risks at both portfolio and position levels. The firm emphasized that short positions would not be used to express investment theses beyond general hedging purposes.

With its latest fund launch, Soroban Capital Partners continues to demonstrate its commitment to strategic and concentrated investment approaches, positioning itself as a prominent player in the hedge fund industry.