Viking Plans First Fund to Bet Solely on Private Companies

Viking Global Investors is planning its first fund focused solely on private investments, joining a wave of rivals seeking to capitalize on such companies.

The new drawdown vehicle from Andreas Halvorsen’s $44 billion hedge fund firm will seek early- and growth-stage investments in “industries with significant disruption,” according to an investor letter seen by Bloomberg. It will also buy into mature businesses with the potential for greater growth and profitability. The fund is expected to close on Oct. 1.

Given the illiquidity of such investments, Viking will “insist that our private investments offer a substantial return premium over those ...