L1 Group (ASX:L1G) announced the opening of the initial public offering for its new investment vehicle, L1 Gold Fund (ASX:LGF).
The offering has already secured commitments of approximately $900 million, a result driven by intense demand from L1G's existing network and the appointed distribution syndicate.
The strong investor appetite has led the group to close the broker firm offer period ahead of schedule.
LGF is designed to deliver positive absolute returns over a medium-to-long-term horizon, primarily through strategic investments in domestic and international gold sector securities, with secondary allocations in other precious metals.
The fund’s strategy is a direct evolution of the unlisted Wholesale L1 Capital Gold Fund launched in early 2025.
As part of a structured transition, LGF will acquire assets from the wholesale fund, which is currently being closed.
Demonstrating confidence in the fund's trajectory, L1 Capital founders Mark Landau and Raphael Lamm have committed a minimum personal investment of $120 million.
While some unitholders opted for cash redemptions on March 31, L1 Group has utilised its balance sheet to cover these positions, effectively becoming a shareholder in LGF.
Subject to final approvals, LGF is expected to commence trading on the ASX on April 24.
At the time of reporting, L1 Group's share price was $1.00.