Click here for printer friendly page

Funds: June 2003

Schroder Ventures raises $402m for third life sciences fund, Altor raises E650m for debut fund, 3i reaches E2.1bn first close for latest fund, ComVentures launches new fund, Swander Pace launches consumer products fund, GTCR Golder Rauner holds first close, Arsenal Capital Partners exceed target, Thayer closes below target…

Europe

Swiss Capvis closes fund at E340m
Swiss mid-market buy-out firm, Capvis, has announced the final closing of Capvis Equity II at E340m. The fund exceeded its original target of E300m. Commitments were received from 19 institutional investors with approximately 72 per cent of the fund coming from European countries. Commitments were evenly distributed between public and corporate pension funds, financial institutions and funds of funds.
AltAssets 12.6.03

Halder launches E150m buy-out fund for Germany
Germany and Netherlands-based Halder has announced that it is in the process of launching a E150m buy-out fund for Germany. The new fund will focus on family owned small and medium-sized enterprises (SMEs). Despite the difficulties involved in penetrating the German Mittelstand, Halder has invested in SMEs since its inception in 1991. The firm has invested in more than 46 companies with its Halder III and IV funds, 26 of which were based in Benelux, 17 in Germany and three in France.
AltAssets 25.6.03

Innovacom reaches first close at E50m but France Télécom reduces commitments
Innovacom, the European early-stage telecom and information technology venture firm, has completed a first closing of over E50m on its new fund, Innovacom 5. The fund is targeting E100m. Innovaom 5 has received commitments from Access Capital Partners, AGF Private Equity, CIC Finance, the European Investment Fund and France Télécom.
AltAssets 16.6.03

SVIIT creates new investment vehicle to raise cash for Permira mega-fund
UK-based Permira, the private equity buy-out house currently raising Europe's largest ever private equity fund with a target of E4.95bn, may end up receiving commitments from investors with as little as a tenth of the minimum stake usually required. The new fund, called P123, offers a stake in Permira's last two funds as well as in the new pool, according to a report by Bloomberg. Credit Suisse First Boston is managing P123's fundraising. The fund aims to raise E215m from high-net-worth individuals and smaller institutions, which could not otherwise gain access to Permira's fund.
AltAssets 20.6.03

Harald Mix closes debut Altor fund on E650m
Former Industri Kapital executive Harald Mix has closed his debut fund comfortably ahead of target on E650m. Altor Equity Partners, which appears to have had a much easier time fundraising than IK, will invest in mid-market firms in the Nordic region. Altor raised its capital from 40 institutions, both Nordic and international. They included Adams Street Partners, Allianz Capital, Goldman Sachs Private Equity Group, NIB Capital Private Equity, Princeton University Investment Company, Skandia Life Insurance Company, and Standard Life Investments.
AltAssets 2.6.03

3i raises E2.1bn for Eurofund IV first close
Pan-European 3i has reached a first close for its mid-market buy-out fund, Eurofund IV. Of the total E2.1bn, E400m was raised from third party investors and E1.5bn from 3i. Investors have expressed intentions to commit an additional E200m over the lifetime of the fund. The firm plans to make between 15 and 20 mid-market buy-out investments across Europe per year.
Real Deals 5.6.03

Italian Cape to launch private equity fund
Italian Cape is planning to raise an E80m to E110m private equity fund. Cape Natexis Private Equity Fund will focus on small to mid-cap buy-outs in the North of Italy, particularly in the Milan-Padua-Bologna triangle. Natexis Private Equity International, part of the Paris-based private equity group, will be the fund's corner stone investor. Natexis has supported Cape since 2001 with a co-investment agreement to invest up to E40m.
AltAssets 17.6.03

EBRD and Greek Global Finance launch E20m private equity fund
The European Bank for Reconstruction and Development (EBRD) has joined forces with the largest private equity firm in South-East Europe, Greece-based Global Finance, to launch a private equity fund investing in small and medium-sized enterprises in Bulgaria and Romania. Other investors include Bulgarian Post Bank, Banc Post Romania and the European Commission. The EU/EBRD SME Finance Facility will contribute E6.5m. The fund has currently received E16.5m in commitments, but hopes to raise up to E20m.
AltAssets 12.6.03

Industri Kapital nearing E500m first close for lastest fund
Sweden-based Industri Kapital is said to be close to reaching a E500m first close for its latest European buy-out fund. The fund aims to raise a total of E2.5bn, however difficult market conditions may make that difficult. Industri Kapital raised E2.1bn for its last fund in 2000, with commitments coming equally from Nordic, European, and North American investors.
Real Deals 19.6.03

Schroder Ventures closes $400m life sciences fund
Schroder Ventures Life Sciences (SVLS) has closed its third life sciences private equity fund at $402m. ILSF III has attracted commitments from 18 new investors evenly distributed between the US, UK and continental Europe. ILSF III will follow its predecessors in providing start-up, early-stage and expansion capital to life sciences companies in the US and Europe. The fund will invest in a range of life sciences sectors including biotechnology and pharmaceuticals, medical devices and instruments, healthcare IT and healthcare services. The fund will typically invest between $5 and $20m.
AltAssets 4.6.03

Greek government raises fund of funds through bond market
The Greek government has turned to bond markets to raise E105m for investment in a new private equity fund of funds. The New Economy Development Fund (TANEO) was structured by Westport Private Equity, which will also manage the fund. The Greek government has put E45m of initial cash into the fund and has guaranteed an additional E105m of bonds. The fund will invest in venture capital funds in the Greek market.
AltAssets 18.6.03

Standard Life says European buy-out activity healthy, reports three per cent rise in NAV
Standard Life Private Equity Trust has announced a three per cent rise in the value of its European buy-out investments over the last six months. The company said investment activity had been healthy and that the pricing environment now looked historically attractive. The firm said the net asset value per ordinary share of its 31 private equity fund investments had risen 3.1 per cent to 93.1 pence in the six months to the end of March compared with the preceding period.
AltAssets 2.6.03

Deutsche Beteiligungs reports slight profit for first half of financial year
Germany's oldest private equity firm, Deutsche Beteiligungs, has reported slight profits for the first half of the financial year. The firm has also announced the second close of its latest private equity fund. The firm recorded a consolidated net income of just E100,000 for the first half of the year, compared with a net loss of E1.8m for the same period last year. The value of the Deutsche Beteiligungs' portfolio has remained relatively stable but exit opportunities remain scarce.
AltAssets 13.6.03

French AXA Private Equity foresees first close at E120m in July for fund of funds
AXA Private Equity, the private equity operation of French insurance group AXA, has predicted an E120m first close for its second fund-of-funds in July. The fund is targeting E250m and AXA anticipates that this will take place by the end of this year. The fund will invest in the US and Europe, principally in the early secondary market. The firm will take secondary positions in funds that are already 20 per cent to 50 per cent invested but will also make some primary fund commitments.
AltAssets 5.6.03

Deutsche Beteiligungs holds second close for DBAG Fund IV
Germany-based Deutsche Beteiligungs has reached a second closing on E180m for its DBAG Fund IV. This amount represents E59m in additional commitments raised since the fund's first close in October 2002. The firm also recently announced its third investment for the fund, an MBO of Casco Impregnated Papers.
AltAssets 18.6.03

German Triangle Venture Capital launches fourth fund
Triangle Venture Capital has launched its fourth early-stage venture capital fund. Triangle Fund IV is targeting E50m to E75m and is expecting to hold a first closing by the end of 2003. Triangle's portfolio companies are typically originated from German universities and research institutes, most of which are members of Triangle's advisory network.
AltAssets 26.6.03

ABN Amro forms new private equity subsidiary
ABN Amro has formed a new subsidiary to make non-strategic private equity investments in financial services companies. The new entity will be called FI Equity Partners. FI Equity Partners will focus primarily on investment opportunities in Europe and Asia and expects to take significant stakes in companies with an investment horizon of between three and five years.
AltAssets 9.6.03

North America

Abney & Holloway launch $100m fund
A new fund has been launched to help US companies meet recent legislation from the Financial Accounting Standards Board (FASB). Abney & Holloway will target both institutional investors and high-net-worth individuals to raise funds in what the newly formed company believes may be a rapidly evolving market. In the aftermath of the Enron scandal, the FASB introduced new rules substantially modifying the accounting treatment for off-balance sheet special purpose entities, such as those used in collateralised debt obligations.
AltAssets 23.6.03

Dover Venture Management launches $100m fund
Two former professionals form the Massachusetts Technology Development Corp have launched a $100m medical device fund. Dover Medical Ventures will invest exclusively in early-stage medical device companies and plans to build a portfolio of 12 to 15 companies.
The Private Equity Analyst June 2003

GTCR Golder Rauner holds first close
Chicago-based GTCR Golder Rauner has held a $1.75bn first closing of its eighth buy-out fund. GTCR Fund VIII is targeting $2bn. Limited partners so far include Alaska State Investment Board, Massachusetts Pension Reserves Investment Trust, New York State Teachers' Retirement System and Pennsylvania State Employees' Retirement System.
The Private Equity Analyst June 2003

Pantheon closes US fund of funds on $313m
Global fund of funds firm, Pantheon Ventures, has announced the close of its fifth US orientated fund on $313m. Pantheon USA V was substantially over-subscribed as the firm had originally targeted just $200m. PUSA V received commitments from public and corporate pension plans, endowments, foundations and family partnerships in the US, Europe and Australia.
AltAssets 20.6.03

Park Street Capital nears close of natural resources fund
Boston-based Park Street Capital is nearing a close of Park Street Capital Natural Resources Fund. The fundraising target is $50m. Park Street has also launched a fifth diversified fund of funds, Park Street Capital Fund V. The fund will invest in 12 to 18 buy-out, venture, mezzanine and distressed debt funds.
The Private Equity Analyst June 2003

Arsenal Capital Partners exceeds target
US Arsenal Capital Partners has announced the final closing of Arsenal Capital Partners LP and its affiliated funds with total capital commitments of $300m. The firm's debut fund has exceeded its original target of $250m. The fund has received commitments from a wide range of domestic and international institutional investors including Adams Street Partners, LGT Capital Partners, National City Equity Partners, Northeast Utilities Pension Fund, Oklahoma Police Pension and Retirement System, America Capital Partners and Wilshire Private Markets.
AltAssets 16.6.03

Icahn and Panda join forces to launch energy venture firm
US financier Carl Icahn and Panda Energy International have joined forces to launch a venture capital firm. The firm will focus on US energy assets and related infrastructure. Panda has been actively identifying desirable power plants and is already in advanced stages of negotiation for a number of opportunities in Texas, the Southeast and Northeast.
AltAssets 13.6.03

Delphi Ventures closes below original target
Menlo Park-based Delphi Ventures has closed Delphi Ventures VI at $150m, meeting its downwardly revised target. The firm has decided not to invest in healthcare services or healthcare information technology companies but to invest in medical device and biotechnology investments, areas in which it has had more success in the past.
The Private Equity Analyst June 2003

Yaletown Venture Partners holds first close
Canada-based Yaletown Venture Partners has met the $30m first close target for its debut fund. Yaletown Ventures I will invest in West Canadian early-stage energy technology and information technology companies. Subsequent closings will be completed by the end of the year. The fund has received commitments from a number of major Canadian backers including pension funds, funds of funds and corporations. The majority of investors are based outside of the region and are investing in a Western Canadian fund for the first time.
AltAssets 11.6.03

Commonfund Capital holds interim close
Connecticut-based Commonfund Capital has held a close at $50m for Commonfund Capital Natural Resources Fund V. The fund of funds plans to build a portfolio of ten to 15 energy and timber-related partnerships. The firm is hoping to benefit from the growing demand for natural resource investments among institutional investors.
The Private Equity Analyst June 2003

ComVentures launches new fund
Early-stage communications venture firm, ComVentures, is to target $350m with the launch of its sixth fund. ComVentures' fifth fund closed in July 2000 at $550m. ComVentures invests in network infrastructure, communications and IP services, and internet applications and services. The firm has $1.2bn under management.
AltAssets 10.6.03

Huron Capital forms speciality chemical investment vehicle
Huron Capital Partners has joined forces with veteran chemical executive Frederick Quinn and chemical sector investment specialist Carol Bramson. The partnership will form a new holding company, Quest Chemical, to acquire companies in the speciality chemical sector. Quest will focus on investments in companies that have developed solutions for surface protection, such as coatings, adhesives, polymers and thermoplastic films. Terms of the agreement have not been disclosed.
AltAssets 17.6.03

Swander Pace Capital launches consumer products fund
San Francisco-based Swander Pace Capital is targeting at least $300m for SPC Partners III. The firm invests in consumer products companies, exploiting its relationship with Swander, Pace & Co, a San Francisco-based consumer products consultant that has a minority stake in the partnership.
The Private Equity Analyst June 2003

Inverness Capital closes debut fund
Philadelphia and Boston-based Inverness Capital Partners has held an interim close at $100m for its debut fund. The original target of $90m has been revised up to $125m. The fund will invest in small to mid-sized companies with revenues between $5m and $25m and has so far received commitments from its parent company, the Graham Group, Wilmington Trust, Mercantile Bankshares and Air Products.
Private Equity Central 5.6.03

Thayer closes below target
Washington DC-based Thayer Capital Partners has closed its fifth fund at just $300m, short of its $1bn target. The fund may have missed its target as a result of the investments made through its last fund, Thayer Equity Investors IV. This $800m fund closed in 1999 and invested in technology and telecom firms. The firm will invest the new fund in sectors in which it has succeeded in the past, including recreation and travel.
The Private Equity Analyst June 2003

Wellspring Capital Management holds final close
New York-based Wellspring Capital Management has held a final close at $665m for Wellspring Capital Partners III, ahead of the $500m target. Limited partners include State of Connecticut Retirement & Trust Funds, Dartmouth College, Dow Chemicals and Oregon State Treasury. Wellspring typically invests $30m to $100m to acquire companies with strong brands in manufacturing, distribution and services.
The Private Equity Analyst June 2003

Wind Point Partners holds final close
Chicago-based Wind Point Partners has closed Wind Point Partners V at $476m, short of its $500m target. The fund was in the market for two years. Limited partners include DaimlerChrysler, Illinois State Board of Investment, Massachusetts Mutual Life Insurance Co. The firm will invest in communications, healthcare, manufacturing, consumer products and business services companies.
The Private Equity Analyst June 2003

MDS Capital closes ninth life sciences fund
Life sciences private equity firm MDS Capital has closed its ninth fund at $211m. The firm has exceeded its original target of $200m making MDS Life Science Technology Fund II its largest fund to date. The latest MDS fund will continue with its predecessor's investment strategy and will invest in cutting-edge medical sectors including target drug discovery and development and the rationalisation of healthcare information management.
AltAssets 5.6.03

Australasia

Australian DB Capital Partners exceeds target with debut fund
DB Capital Partners, the Australian private equity arm of Deutsche Asset Management, has launched its second private equity fund. Deutsche Private Equity Fund II (DPEFII) is seeking to raise A$175m from both local and international investors. The firm's investment strategy places a primary emphasis on expansion capital opportunities involving a broad spread of industries in Australia.
AltAssets 17.6.03

I-CAP creates opportunity for Middle East investors to access Australasian deals
Australian and UK based I-CAP launched a U$200m fund to allow investors in the Middle East to participate in Australian and New Zealand private equity investing. The fund is co-sponsored by a partner based in the Middle East that has underwritten U$100m for the fund. The structure is Shari'ah compliant, thereby allowing the region's investors access to such deals, and features a coupon. The fund will be registered in the Kingdom of Bahrain.
I-CAP June 2003