- Largest fund ever raised dedicated to European buyouts
- Raised from diverse investor base and over-subscribed
- Significantly exceeds euro 5 billion target
- Investors attracted by investment track record, pan-European focus and
sector expertise
LONDON, June 30 /PRNewswire/ -- European private equity firm Cinven
today announces the completion of fundraising for the fourth Cinven fund
["the fund"] with total commitments of euro 6.5 billion; the largest fund
ever raised dedicated to large, European buyouts.
(Photo: http://www.newscom.com/cgi-bin/prnh/20060630/NYF018 )
The fund -- which was raised in six months and was heavily
oversubscribed at the cap of euro 6.5 billion -- received commitments from
more than 100 international institutions. More than ninety per cent of
investors in the euro 4.4 billion third Cinven fund -- raised in 2002 --
re-invested in the latest fund, with a number of significant new long-term
investors joining the list.
The consistency of Cinven's investment track record since 1988 has made
a major contribution to the success of the fundraising as have the
excellent returns on the three fully realised investments (NCP, Unique Pubs
and Fitness First) of the third Cinven fund. Despite having only realised
three investments (out of 18), as at 31 December 2005 the third Cinven fund
had returned almost 100% of invested capital to investors.
Cinven's ability to identify and acquire high quality businesses is
based on its truly pan-European, sector-focussed approach (see:
http://www.cinven.com) leveraging its team of 19 partners -- who on average have
worked together at Cinven for more than 12 years -- and more than 45
investment professionals representing ten nationalities. This expertise has
been, and will continue to be, used to invest in leading European
businesses with an enterprise value of more than euro 500 million, where
Cinven can use its sector focus and proven value creating strategies to
drive EBITDA growth.
Since 1988, Cinven has made investments with a total enterprise value
of euro 55 billion in 88 buyout transactions across Europe, 19 of which
have been in excess of euro 1 billion.
This fundraising completes a process started ten years ago to diversify
Cinven's funding base from three leading pension funds (those of British
Coal, the Railway Industry and Barclays Bank who were Cinven's sole initial
funders and remain as important limited partners in the fourth Cinven fund)
to a fully diversified internationally diverse group of institutions (see:
"notes to editors - Cinven timeline").
Andrew Joy, partner of Cinven with responsibility for fund-raising,
said:
"We are extremely pleased with the support we have had from our
existing investors which is a strong vindication of our clear and proven
strategy and, most importantly, the strong returns we have generated both
from the third Cinven fund and more generally since 1988. It has been
particularly satisfying to attract a significant number of important new
LPs.
We believe that the combination of our experienced team, sector focus
and strong European footprint will continue to deliver exceptional returns
for our investors throughout the life of the fourth Cinven fund."
Robin Hall, managing partner of Cinven, said:
"The third Cinven fund has been the most successful execution of the
Cinven investment model to date, and the most geographically diverse. This
is no coincidence. We have ensured over the years that the strength and
experience of our team has been replicated in key European financial
centres.
We are continuing to see a strong pipeline of investment opportunities
throughout Europe. With a strong, committed and highly experienced team of
more than 45 investment professionals across Europe and a euro 6.5 billion
fund, we are well positioned to remain at the forefront of the European
buyout industry."
Notes to Editors
Cinven
Cinven is one of the most prominent and successful investors in the
European buy-out market. It has led transactions with a value in excess of
euro 55 billion.
From its offices in Frankfurt, London, Milan and Paris, Cinven focuses
exclusively on creating value in companies headquartered in Europe, which
have a minimum enterprise value of euro 500 million and are market leaders
or have the potential to become such.
Established in 1977, the firm has been a totally independent business
since 1995. The fourth Cinven fund, which closed at euro 6.5 billion in
June 2006, is the largest source of private equity dedicated solely to
European buy-outs.
Cinven's recent investments include Ahlsell (euro 1.2 billion), Altice
One (euro 525 million), Numericable (euro 528 million), Frans Bonhomme
(euro 893 million), Amadeus (euro 4.4 billion), Partnerships in Care (euro
800 million), Eutelsat (euro 4.4 billion) and World Directories (euro 2.1
billion). Cinven Limited is authorised and regulated by the Financial
Services Authority.
http://www.cinven.com
SOURCE Cinven
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Related links:
http://www.cinven.com
Photo Notes:
NewsCom: http://www.newscom.com/cgi-bin/prnh/20060630/NYF018
AP Archive: http://photoarchive.ap.org
PRN Photo Desk, photodesk@prnewswire.com
CONTACT:
Andrew Joy, partner +44-0-20-7661-3306 of
Cinven; or Fergus Wheeler or Edward Bridges, both of Financial
Dynamics for Cinven +44-0-20-7831-3113
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