Investcorp, a global provider and manager of alternative investment products, signed a secondary transaction in relation to a number of assets from its European private equity portfolio, under a new fund arrangement.
The fund, subject to receipt of relevant regulatory approval and other customary closing conditions, will be capitalized with approximately US$ 1 billion of aggregate commitments.
Coller Capital‘s current fund, Coller International Partners VII, will underwrite the new fund, with Investcorp retaining a continued interest in the portfolio through a meaningful GP commitment to the fund. The transaction also includes new capital for any follow-on investments, future investments and co-investments. Investcorp’s European Private Equity team will manage both the assets acquired through the secondary transaction and the fund’s new capital, as it continues to invest in mid-market buyout transactions across Europe.
The transaction, when closed, will provide relevant existing investors with immediate liquidity for some of their exposures as well as an opportunity for Investcorp to seek to further create value through active management and additional capital that is being made available under the transaction.
The transaction is a further milestone in Investcorp’s growth strategy to reach US$ 50 billion of AUM over the medium term and follows its acquisition in 2017 of a US$ 11 billion AUM credit management business, Investcorp Credit Management, and in 2018, a strategic minority investment in Banque Paris Bertrand, an independent Swiss-regulated private bank based in Geneva.
Founded in 1990, Coller Capital provides liquidity solutions to private equity investors worldwide, acquiring interests in private equity funds, portfolios of private companies, and other private equity-related assets. In Coller, which has headquarters in London, and offices in New York and Hong Kong, closed Coller International Partners VII in December 2015, with capital commitments of US$ 7.15 billion and backing from approximately 170 of the world’s leading institutional investors.