European Venture Capital Journal articles from June 2008

European Venture Capital Journal archives from June 2008

Big fish, little fish: firms forced to look at smaller deals as activity at the larger end dries up.(EDITOR'S NOTE)
June 1, 2008... [ILLUSTRATION OMITTED] In these tough times, all that money raised by the big fish in the private equity pond can look more like a burden than a blessing. According to data house Private Equity Intelligence, private equity firms raised...

Bidding war for Expro.(LONDON)
June 1, 2008... Halliburton is battling it out with Goldman Sachs Capital Partners and Candover for UK oil services company, Expro International Group, with the buyouts consortium so far leading the battle. Umbrellastream, the name of the consortium...

Ex-AA chief made deputy mayor of London.(LONDON)
June 1, 2008... London's new mayor Boris Johnson has appointed private equity executive Tim Parker as his deputy mayor and chairman of London's transport agency amidst protests from trade unions. The criticism is fuelled by Parker's history as chief...

Fundraising taking longer.(LONDON)(Brief article)
June 1, 2008... Fundraising is taking longer than ever after the first five months showed that although US$155bn was raised, it took those funds 14 months to reach a close, according to Private Equity Intelligence. Although the amount raised was high, the...

Hotel group in largest Norwegian LBO ever.(OSLO)
June 1, 2008... US LBO specialist Starwood Capital and Swedish property investor Niam have bid 1.4bn [euro] for Norwegian hotel group Norgani Hotels, making it the largest LBO in Norwegian history. Norgani only changed hands eight months ago when it was...

Nordic Capital bid for TietoEnator rejected.(HELSINKI)
June 1, 2008... Nordic Capital has failed in its hostile takeover of Finnish IT service business TietoEnator. The Swedish LBO firm had offered 1.08bn [euro] for all shares in the company, the bid of 15 [euro] per share was rejected by TietoEnator and...

Lion Capital takes over Russian Alcohol.(MOSCOW)
June 1, 2008... Lion Capital, the London-based private equity firm, is to acquire a majority stake in the Russian Alcohol Group, the largest producer of vodka and ready-to-drink alcoholic beverages in Russia, for US$156.5m. The company was sold by domestic...

Euromedic loses five bidders.(BUDAPEST)
June 1, 2008... The auction for Euromedic, the Hungarian healthcare group owned by Warburg Pincus, is through to the second round, with BC Partners, EQT, Merrill Lynch and Montagu Private Equity all through. Their bids are reported to be in the region of...

One year later: it's been a year since leading buyout bosses were grilled by the Treasury Select Committee about concerns over secrecy and tax. Twelve months on, what has private equity learnt?(NEWS ANALYSIS)
June 1, 2008... [ILLUSTRATION OMITTED] This time last year complaints about private equity from trade unions, the media and some politicians were at their height. The negative PR had been triggered by buyout houses' growing dominance in the economy and...

Minority report: taking small stakes in companies could be a way for buyout funds hampered by the debt drought to put money to work. But, as Patrick McCurry reports, the lack of control could spell disaster.(NEWS ANALYSIS)
June 1, 2008... In early May, environmental consultancy SLR Holdings announced that 3i would be investing 32.5m [pounds sterling] for a significant minority stake in the business, replacing ISIS Equity Partners. The investment is just one of a long line of...

CLO market shows signs of life: with the first two arbitrage plays launched since the credit crunch, the debt markets are making baby steps on the road to recovery. Tom Allchorne reports on the trials, troubles and opportunities for leveraged loan investors.(NEWS ANALYSIS)
June 1, 2008... [ILLUSTRATION OMITTED] The 'nice' decade is over says Mervyn King, the governor of the Bank of England. He's said this twice before over the past four years, but with housing prices falling across most of the UK and in some parts of...

Widening the net: as the BVCA travels to Dubai to discuss disclosure with sovereign wealth funds, Anthony O'Connor looks at the future of the transparency debate.(NEWS ANALYSIS)
June 1, 2008... As private equity houses in the UK start to comply with the Walker Review and publish their annual reports for the first time, there is a growing expectation that a wider group of investors will be brought into this realm of corporate...

iVenture: the consumer is king for technology start-ups in 2008 as VCs look to the next generation of investment opportunities.(NEWS ANALYSIS)(Company overview)
June 1, 2008... At the turn of the century, venture capital investment in technology startups flowed mainly in one direction: enterprise software. Large companies provided fertile markets for this unglamorous but essential service in their drive to create...

Seraphim backs smart software: artificial intelligence company Aria raises 2m [pounds sterling].(VC DEAL OF THE MONTH)
June 1, 2008... [ILLUSTRATION OMITTED] Seraphim Capital, a 30m [pounds sterling] Enterprise Capital Fund, has led a 2m [pounds sterling] investment in a Chippenham, UK-based business that specializes in artificial-intelligence software for the telecoms...

Wireless investment pool targets emerging companies: investors allowed to swap shares in one investee for a more successful one.(EARLY STAGE)
June 1, 2008... WirelessMatch, a VC funding network aimed at the wireless, mobile internet and mobile telecoms markets, has launched a partnership with angel investment network Invensco aimed at young companies in the space. The WM Investment Pool has...

State aid limit could be raised.(EIS BOOST)
June 1, 2008... The limit to annual investment under the Enterprise Investment Scheme (EIS) and other tax-based venture capital schemes could be raised above 2m [pounds sterling] according to the UK government. At the EIS Association's spring seminar,...

Cleantech wilts as money dries up: investment in sector is halved despite positive figures for the VC industry as 1.4bn [euro] commited to leading UK companies.(DATA)
June 1, 2008... [ILLUSTRATION OMITTED] Venture capital investment in the European clean tech sector decreased by over half in the opening quarter of 2008 compared to the closing quarter of 2007. The volume of deals declined marginally from 46 to 41,...

Angels flock to Speedfunding: putting investors and entrepreneurs together.(ENTREPRENEURS)
June 1, 2008... In this busy world it can be tough to find that someone special, especially if you're a business angel sitting on a pile of cash itching to invest in some promising entrepreneur if only you can find one. Angels Den, a company that...

Eden launches challenge.(SOFTWARE)(Conference notes)
June 1, 2008... UK venture capital firm Eden Ventures has teamed up with enterprise software company salesforce.com to find the next generation of online software. Early-stage companies will compete for prize of up to 1m [pounds sterling], in the form of...

Infrastructure fundraising taken to the next level: Morgan Stanley and GIP add to the increasing pool of capital.(CLOSE)
June 1, 2008... [ILLUSTRATION OMITTED] The global infrastructure market was boosted by almost US$10bn this month when two private equity funds closed targeting the sector. The largest of the two was Global Infrastructure Partners (GIP), a New...

PAI V raises 5.4bn [euro] for fund five: French buyouts firm looks at the larger end of the market.(FRANCE)
June 1, 2008... Paris-headquartered PAI Partners has closed its fifth fund, PAI Europe V, on 5.4bn [euro], making it the largest private equity fund ever raised in Continental Europe. Over 130 investors are participating in the fund from 23 different...

Merlin Nexus to raise US$125m.(LIFE SCIENCES)(VC)(Brief article)
June 1, 2008... US life sciences VC has reached a first close on Merlin Nexus III, which will invest in late-stage private and public companies globally in the biotechnology, medical device, specialty pharmaceutical and molecular diagnostic field. The...

Oxford Capital launches EIS V.(TAX RELIEF)
June 1, 2008... UK venture capital house Oxford Capital has launched its fifth Oxford Gateway Enterprise Investment Scheme (EIS) Fund, and is looking to raise between 15m [pounds sterling] and 20m [pounds sterling] for investment in early and development stage...

ACP looking for 150m [euro].(MEZZANINE)(ACP Mezzanine)(Brief article)
June 1, 2008... ACP Mezzanine is planning to raise approximately 150m [euro] via a secondary equity issue in order to support its investment pipeline. Potential deals include a joint funding opportunity with Conpair, a German corporate consultant for SME...

Fountain springs with 75m [euro].(IRELAND)
June 1, 2008... Dublin-headquartered Fountain Healthcare Partners has closed its maiden fund on 75m [euro]. The firm is a spin out from Elan's New York-based corporate venture capital group, and is looking to build a portfolio of 10 to 15 life science...

Apollo chasing US$1bn for real estate: property mezzanine fund the first its kind for the firm in Europe.(LAUNCH)
June 1, 2008... US private equity giant Apollo Management is to raise a US$1bn European real estate debt fund following the acquisition of Stoneleigh Capital. Apollo Real Estate Advisors bought the firm to run its new property business, headed up by David...

Advent sells Bolix to India's Berger: polish supplier of insulation systems acquired by leading paint maker.(CENTRAL & EASTERN EUROPE)
June 1, 2008... [ILLUSTRATION OMITTED] Buyouts group Advent International has sold Polish insulation business Bolix to Berger Paints, one of India's largest paint manufacturers, for US$38.6m. It is Advent's first Central & Eastern European exit since...

Nordic Capital buys CPS Color: Industri Kapital sells tinting business after eight years.(FINLAND)(Industri Kapital)(Brief article)
June 1, 2008... Mid-market buyouts house Industri Kapital (IK) is to sell CPS Color Group, a Finnish supplier of advanced tinting systems, to Nordic Capital. The transaction value has not been disclosed. IK acquired CPS Color, formerly known as Tikkurila...

Armor sold by Baird.(M&A)(Baird Capital Partners Europe mergers with G4S)(Brief article)
June 1, 2008... Baird Capital Partners Europe has completed the exit of ArmorGroup International by selling its remaining stake to G4S, a UK security business, for 80 pence per share in cash, a total consideration of 44m [pounds sterling] ArmorGroup, a...

HitecVision sells Knowledge.(TRADE SALE)
June 1, 2008... HitecVision, the Norwegian specialist private equity firm in the oil and gas sector, is to sell Knowledge Systems, a US provider of combined geopressure and geomechanical analysis software and services, to Halliburton. The company,...

VCs make solar sale.(TECHNOLOGY)
June 1, 2008... Tevet Process Control Technologies, a semiconductor company based in both the US and Israel, has been sold by its private equity backers to Nanometrics Incorporated, a NASDAQ-listed supplier of metrology technology. Tevet was backed by...

CapMan sells Staffpoint: listed Nordic house makes 4m [euro] from recruitment agency sale.(FINLAND)
June 1, 2008... Helsinki-headquartered private equity firm CapMan has sold its investment in Staff-point, Finland's market-leading recruitment agency, for an undisclosed sum. The company has been acquired by GW Sohlberg, an Espoo-based plastics...

Vodafone calls up ZYB: Danish mobile software business sold by Nordic Venture Partners.(TELECOMS)(Company overview)
June 1, 2008... UK telecoms giant Vodafone has paid 31.5m [euro] for a Danish software company that specialises in making software for mobile phone address books. The business, ZYB, is based in Copenhagen and was founded in 2005. In late 2006, Nordic...

Creditex auction delayed: TA Associates looking to sell derivatives broker.(FINANCIAL SERVICES)
June 1, 2008... US private equity firm TA Associates has stalled the sale of Creditex, a UK credit derivatives broker, following market concerns. TA hired corporate finance house Evercore last year to run the auction process which began in October and was...

Losing its sparkle: thanks to its technological innovation and entrepreneurial culture, Israel has one of the most dynamic VC markets outside the US. But the weakness of the dollar is bringing new pressure that could affect Israel's competitive advantage.(ISRAEL)(Company overview)
June 1, 2008... [ILLUSTRATION OMITTED] Last year Israeli venture capital funds raised a total of US$1.1bn, up by 21% from 2006. High-tech capital from local and foreign venture investors was the highest in six years, at nearly US$1.8bn, according to WC...

Fire and ice: as with everywhere else in the world, the field of cleantechnology is proving a popular destination of VC money in Israel as well, with the country taking a lead in solar and water power.(ISRAEL)
June 1, 2008... An emerging area of venture capital in Israel is the cleantech sector. Some of the more established funds are now investing in cleantech, while there have also been funds set up specifically targeting this market. Apart from Israel's tradition...

Winning hand: with LBO firms fretting over the state of the economy and the fate of their portfolio companies, secondaries specialists are hoping to clean up.(SECONDARIES)
June 1, 2008... [ILLUSTRATION OMITTED] A few years ago, GPs and LPs tended to sup with a long spoon when dealing with specialist players in the secondaries market. The lack of players in the market segment meant they feared they would end up being fleeced...

Liquid venture: the emerging venture secondaries market is gaining traction as VCs look to offload decade old dot.com investments lingering in their portfolios and free up capital.(SECONDARIES)
June 1, 2008... Many of the technology investments made in haste by venture capitalists at the peak of the dot.com bubble are now being repented at leisure. Those investee companies that have not gone bust or been sold off in IPOs--roughly one-third of the...

Surviving the downturn: Dominique Senequier, CEO, of AXA Private Equity, one of France's leading private equity investors, talks about the importance of diversification in making it through the credit crunch.(PROFILE)
June 1, 2008... [ILLUSTRATION OMITTED] AXA Private Equity is one of the most diverse private equity fund managers in the business, with venture capital offerings, LBO investments, fund of funds and mezzanine vehicles all included under the AXA umbrella....

Life after the LBO: when the global economy last took a tumble, private equity in Europe was still finding its feet, and fund-of-funds were barely out of nappies. Now, with a plethora of such managers out there, Anthony O'Connor reports on what they plan to do now the buyouts golden egg has cracked.(LP ANALYSIS)
June 1, 2008... Even the worst of times can lead to the best of opportunities, and fund-of-fund managers are no less oblivious to such an ethos than the rest the private equity world. Just because the world of the mega LBO has come to a halt, fund of funds...

See you in court: the shadow of litigation hangs over the industry as many portfolio companies face the threat of redundancies and closures. Rob Stokes reports on the what the future holds for failing investments.(LEGAL AND REGULATORY)
June 1, 2008... [ILLUSTRATION OMITTED] Private equity was served a sharp of the slings and arrows of fortune when news broke in April that the Blackstone Group was facing a class action suit in the USA for allegedly hiding poor portfolio company...

Doughty Hanson looks to sustain returns.(GOVERNANCE)
June 1, 2008... UK buyouts firm Doughty Hanson appointed Adam Black as a sustainability expert to advise not only on sustainability matters within the firm but a so portfolio companies on environmental, social and governance (ESG) issues to enhance the value...

NautaDutilh builds Luxembourg team.(GOVERNANCE)(appointment of Pierre Reuter )(Brief article)
June 1, 2008... [ILLUSTRATION OMITTED] Benelux law firm NautaDutilh has appointed Pierre Reuter as a partner in the firm's Luxembourg office. He will head and further develop the recently established investment funds practice in Luxembourg. He joins...

Abingworth adds partner to US team.(GOVERNANCE)(VC Abingworth appoints David Mayer )(Brief article)
June 1, 2008... Anglo-American life sciences VC Abingworth has appointed David Mayer as a partner. He will be based at the company's offices in Waltham, MA, USA and his prime responsibility will be to support Abingworth's efforts in growth equity, which will...

SCM opens in Hong Kong.(GOVERNANCE)(Strategic Capital Management)(Brief article)
June 1, 2008... Swiss gatekeeper Strategic Capital Management (SCM), has opened an office in Hong Kong office following the establishment of SCM Strategic Capital Management Asia Limited earlier this year. In a statement, the firm said: "The Hong Kong office...

PPM becomes Silverfleet.(GOVERNANCE)(PPM Capital)(Brief article)
June 1, 2008... London-based buyouts house PPM Capital has unveiled a new name: Silverfleet Capital. The rebranding follows the firm's buyout from Prudential in November last year. The firm still has close ties to its former parent, managing approximately...

Brown Rudnick takes Nabarro PE head.(GOVERNANCE)(Brown Rudnick Berlack Israels appoints Roger Gregory )(Brief article)
June 1, 2008... [ILLUSTRATION OMITTED] US law firm Brown Rudnick has installed Roger Gregory to its corporate group in London. Gregory joins from Nabarro, where he was head of the private equity team. In his new role he joins Kieran O'Connor, Matthew...

Bowark promotes Salter.(GOVERNANCE)(Bowmark Capital promotes Mark Salter )(Brief article)
June 1, 2008... [ILLUSTRATION OMITTED] UK mid-market firm Bowmark Capital has promoted Mark Salter to senior partner after seven years at the firm, and has recruited Paraag Dave as an investment manager. Salter has over 14 years experience and joined...

Morgan Stanley builds PE London team.(GOVERNANCE)
June 1, 2008... Banking giant Morgan Stanley has made a double appointment in the private equity team at its London office with the additions of Jean-Philippe Barade and Alasdair Thomson joining as executive directors. Barade joins from Permira where he...

GE adds to regional teams.(GOVERNANCE)
June 1, 2008... [ILLUSTRATIONS OMITTED] GE Commercial Finance Business Finance has recruited Lorrae Hayes and Jo Forde as it seeks to build its presence in the South West and South Coast regions of England. Hayes, who will be based in Southampton, is...

MVM adds Advent veteran to Boston office.(GOVERNANCE)
June 1, 2008... [ILLUSTRATION OMITTED] UK VC MVM Life Science Partners has hired Dr Eric Bednarski as a partner in its Boston office as the firm prepares to launch its third life science fund, MVM Fund III. Previously, Bednarski was a partner at...

LGV names new chief.(GOVERNANCE)(LGV Capital appoints Ivan Heywood)(Brief article)
June 1, 2008... Ivan Heywood, the managing director at LGV Capital, has been unveiled as the successor to Adrian Johnson as chief executive officer. Johnson stepped down from the role he has occupied for almost seven years in April. He is reported to be...

Nordic names German head.(GOVERNANCE)
June 1, 2008... Stockholm-headquartered Nordic Capital has hired Sonke Bastlein as a partner with responsibility for the German speaking countries, and will be based in the firm's soon to be opened Frankfurt office. Bastlein started his career with...

GMT hires telecoms expert.(GOVERNANCE)
June 1, 2008... GMT Communications Partners, the London-based private equity firm specializing in investments in the communications sector, has announced a double appointment to the investment team. Ian McKenzie joins as a senior adviser. He is a telecoms...

Permira calls in telecoms guru as adviser.(TMT)
June 1, 2008... [ILLUSTRATION OMITTED] Leveraged buyouts giant Permira has appointed the former CEO of Telecom Italia, Riccardo Ruggiero, as a senior adviser. He will assist the investment team with sourcing opportunities within the technology, media and...

Sanderson handed Travers Smith PE reins.(GOVERNANCE)(Travers Smith Braithwaite)(Brief article)
June 1, 2008... Philip Sanderson has been promoted to the head of private equity at law firm Travers Smith, taking over from Charles Barter who co-founded the PE group in 1996. Barter will continue to focus on private equity and his wider management and...

Graphite team hires four new faces.(GOVERNANCE)
June 1, 2008... [ILLUSTRATIONS OMITTED] Graphite Capital, the UK mid-market private equity specialist, has expanded its team by four with the appointment of Kane Bayliss (left), Mark Hall (right) and Omar Kayat to the deal team and Mudassir Khan as a...

E&Y add PwC veteran to restructuring division.(GOVERNANCE)
June 1, 2008... [ILLUSTRATION OMITTED] Business advisory outfit Ernst & Young is preparing for the difficult economic conditions with the hire of David Hargrave as a partner in it restructuring team. He joins after a 21 year stretch at PwC. He will...

Aberdeen builds Birmingham office.(GOVERNANCE)
June 1, 2008... [ILLUSTRATION OMITTED] Aberdeen Asset Managers Growth Capital has recruited Robert Griffiths as an investment manager to the Midlands and South West team, which is lead by Andrew Ferguson in Birmingham. Griffiths will focus on new...

Bryan Garnier names MD of corporate finance.(GOVERNANCE)(appointment of Virginie Lazes )(Brief article)
June 1, 2008... [ILLUSTRATION OMITTED] Bryan, Garnier & Co, the Anglo-Franco investment bank, has appointed Virginie Lazes as partner and managing director of corporate finance. She will lead the bank's investment banking initiatives working closely with...

PAI lands a professor for exec committee.(GOVERNANCE)(PAI Partners appoints Lionel Zinsou )(Brief article)
June 1, 2008... French buyouts house PAI Partners has added Lionel Zinsou to its executive committee. Joining on July 1st, Zinsou will leave his current role at Rothschild & Cie, where he has been a general partner since 1997, head of the consumer products...

Collins Stewart ramps up SWF strategy.(GOVERNANCE)
June 1, 2008... UK investment bank Collins Stewart Group has taken a step forward in its plans to launch a sovereign wealth funds (SWFs) business by hiring Robert Stein of West LB as a senior adviser. He will report to CEO Joel Plasco and will advise the...

Good Energies hires European VC veteran.(GOVERNANCE)
June 1, 2008... Good Energies, a renewable energy investor, has appointed George Coelho as a managing director and head of venture capital, and will also take responsibility for European solar team. Coelho joins Good Energies from Balderton Capital,...

LPs flock to emerging markets: falling economic and political risk leads to record fundraising.(DATA ROOM)
June 1, 2008... Institutional investors in emerging markets private equity are ignoring the credit crunch and showing their confidence by continuing to commit money according to a survey conducted by the Emerging Markets Private Equity Association (EMPEA). ...

Venture capital funding for biotech falls: industry raises 5.5bn [euro] in total, but VC financing down by 21%.(DATA ROOM)
June 1, 2008... European biotechnology companies raised 5.5bn [euro] in 2007, up 18% from the previous year's total of 4.6bn [euro], making it the largest amount raised by the industry since 2000. Beyond Borders, Ernst & Young's annual biotech report,...

Crisis? What crisis? Fund managers unaffected by economic slowdown.(DATA ROOM)
June 1, 2008... CAM Private Equity, the French fund of funds manager, has published findings which reveal that an overwhelming number of GPs and other investment professionals are unconcerned by the fallout of the sub-prime crisis. With two-thirds of...

LBO syndications arranged.(BUYOUTS)
June 1, 2008... Abbot Group TARGET NATION: UK DATE ANNOUNCED: 07/12/07 DEAL TYPE: LBO ACQUIRER: FIRST RESERVE TOTAL VALUE: 906M [pounds sterling] ARRANGER: GOLDMAN SACHS FINANCING: US$2.16BN Global coordinator and...

Refinancings.(BUYOUTS)
June 1, 2008... Panrico TARGET NATION: SPAIN DATE ANNOUNCED: 03/05/08 SPONSOR: APAX ARRANGER: CAJA MADRID AND ING FINANCING: UNKNOWN Apax Partners-backed Panrico mandated ING and Caja Madrid to arrange new debt financing a bolt-on...

EU competition law.(BUYOUTS)(AlpInvest Partners)(European Union)(briefs)
June 1, 2008... CPS Color BACKER: NORDIC CAPITAL BUSINESS DESCRIPTION: TINTING SYSTEMS DEAL VALUE: UNDISCLOSED NOTIFIED: 08/05/08 PROVISIONAL DEADLINE: 16/06/08 Nordic Capital Fund VI has signed an agreement with Industri Kapital...

Seeking buyers.
June 1, 2008... Seeking buyers includes listings of all European companies that have announced plans since April 14, 2008 to May 20, 2008 to sell divisions, stakes or their entire company. It also includes purported sales efforts that have appeared in the...

Announced deals.(Table)
June 1, 2008... Announced deals includes listings of private equity and venture capital transactions involving European targets announced between April 24, 2008 and May 20, 2008. The listings are ordered by target nation, and alphabetically and have been...

Play your cards right: private equity investors need to focus on transformative value creation in times of macro-economic uncertainty, says Martin Calderbank, partner at Stifling Square Capital Partners.(COMMENT)
June 1, 2008... There's an old saying in poker. "If you can't spot the sucker in your first half hour at the table--it's you." In private equity terms, there is often a temptation to see the deal environment as a gladiatorial forum which necessarily throws up...