TPG co-founder James Coulter has relinquished his role as co-chief executive of the investment manager, leaving Jon Winkelried, the former Goldman Sachs banker who has shared the top job since 2015, in sole charge of the $91bn group.
In the reshuffle, the latest transfer of power in the private capital industry, 61-year-old Coulter will become TPG’s executive chair. His fellow billionaire co-founder, David Bonderman, is staying on as chair.
Winkelried, also 61, assumes the top operating job after helping steer the firm through a period of rebuilding, following a series of setbacks during the financial crisis.
He joined six years after having quit Goldman in 2009 at the apex of a banking career in which he rose to co-chief operating officer and co-president.
“I joined TPG because I fully believed in the TPG team’s ambitions to grow the firm into a diversified alternative investment platform,” Winkelried said on Monday.
TPG’s buyout division was humiliated by the failure of Washington Mutual, which was seized by banking regulators in 2008, only months after TPG invested $1.35bn.
Other failed bets included large investments in energy company TXU and casino group Caesars Entertainment, both of which later entered bankruptcy.
But TPG has since built a reputation as a savvy investor in fast-growing technology companies, profiting from large stakes in companies such as Uber and Airbnb ahead of their debuts on the public markets, and built out other parts of its business.
In addition to his oversight role, Coulter will assume responsibility for TPG’s climate-focused investment fund, alongside Hank Paulson, former US Treasury secretary.
The initiative is the latest in a series of TPG funds that measure their success in terms of social impact as well as financial returns. That initiative also faced an early setback when Bill McGlashan, the senior dealmaker who created it in partnership with rock star Bono, was forced out of the group after being accused of criminal misconduct in the US college bribery scandal.
Billionaire founders of leading private equity groups are wrestling with ways to groom new leaders without giving up their presence inside groups that in many cases still account for a large chunk of their wealth.
The transitions have not always gone smoothly.
Marc Rowan, the co-founder of Apollo Global Management, abruptly took over the top job at that group earlier this year after revelations about the financial ties between his predecessor Leon Black and the late sex offender Jeffrey Epstein.
Glenn Youngkin, who was appointed co-chief executive of The Carlyle Group in 2018, stepped down from the position late last year.