European Venture Capital Journal articles from November 2004

European Venture Capital Journal archives from November 2004

PFI and PPP: private equity's cousin coming of age.(News Analysis)(Private Finance Initiative)
November 1, 2004... The end of September marked an important step in the maturity of one of private equity's lesser-known cousins, infrastructure investment. Essential Public Infrastructure Capital Plc (Epic) issued 31.75m[pounds sterling] floating-rate...

French exits return.(News Analysis)
November 1, 2004... Figures recently published by AFIC, the French private equity association, reveal private equity exits in France for the first six months of 2004 Up by 89% compared to the same period last year, In March, at the annual AFIC conference in Paris,...

Care services: the next big thing?(News Analysis)
November 1, 2004... With West Private Equity making a three times return on its investment in Southern Cross Healthcare when it was sold in a secondary buyout to Blackstone, private equity firms are watching the care services space with interest. Consolidation is...

Mid-market funds: are the lines blurred?(News Analysis)
November 1, 2004... The definition of the mid-market has expanded in recent years, but many LPs consider the term too broad to be helpful. It is difficult to work out what is and isn't mid-market any more and it is important for LPs to have some form of...

Debevoise breaks into the magic circle.(News)
November 1, 2004... An aggressive European push by New York-based law firm Debevoise & Plimpton has paid dividends, with the recent announcement that it has structured debut funds for Exponent Private Equity and Park Square Capital. Ben Harding reports. The...

Active Capital reaches first close on debut fund.(Funds)(Brief Article)
November 1, 2004... Active Capital Partners, a Spanish venture fund, has held a first close on its debut fund Molins Capital Inversion (MCI) at 11m [euro]. The fund, which has a target size of 20m [euro], will invest in early stage companies in Spain, and may...

Quester reopens VCT 5.(Funds)(Brief Article)
November 1, 2004... UK venture house Quester is to reopen its fifth venture capital trust, VCT 5, in the autumn in order to raise an additional 20m [pounds sterling] on top of the existing 24m [pounds sterling]. The fund will continue mainly to invest in ICT,...

PE and property: best for the long-term.(News)
November 1, 2004... Private investors should look past the glitz surrounding hedge funds and compare their long-term performance to other alternative investment classes such as private equity and commercial property, according to research from private equity...

SVG raises 400m [euro] CFO.(Funds)(Brief Article)
November 1, 2004... SVG Advisers, the fund advisory business of SVG Capital has raised 400m [euro] through SVG Diamond in a collateralised fund obligation (CFO). This is the first CFO of private equity funds to incorporate drawable equity, reinvestment and...

Aberdeen Growth Opportunities VCT 2 launches.(Funds)(Brief Article)
November 1, 2004... Aberdeen Murray Johnstone Private Equity has launched the Aberdeen Growth Opportunities Venture Capital Trust 2. The fund will be a generalist VCT holding a mix of private equity and AIM stocks. It will hold a broad spread of companies,...

First close for GEF.(Funds)(Invest Equity)(Greater Europe Fund)(Brief Article)
November 1, 2004... Vienna-based Invest Equity has reached a first close at 44m [euro] on its Greater Europe Fund (GEF), which was launched in January this year. The majority of the commitments have come from leading Austrian financial institutions including...

Doumar unveils mezz fund.(Funds)(Park Square Capita Partners)(Brief Article)
November 1, 2004... Robin Doumar, formerly head of Goldman Sachs' European mezzanine business, has launched Park Square Capita Partners, an independent 1bn [euro] investment fund, with founding partners, David Cottam and Michael Small. The team has worked...

US attracts European investors.(News)(Brief Article)
November 1, 2004... A Weil, Gotshal & Manges report into trends in European and US private equity has found that 68% of respondents believe investors have better visibility and more precise expectations regarding private equity investment performance than in...

EI opens Romanian office.(News)(Enterprise Investors)(Brief Article)
November 1, 2004... Enterprise Investors (EI) has opened an office in Romania following a 9m [euro] investment in Credisson International SRL, a non-banking consumer finance company in Romania. Polish Enterprise Fund V, managed by Enterprise Investors, has...

Standard Life sets up new LP service.(News)(Strategic Solutions Unit)(Brief Article)
November 1, 2004... Standard Life Investments has launched a Strategic Solutions Unit (SSU) to develop liability-driven and capital efficient investment solutions for institutional investors, primarily European pension and insurance funds. The SSU will be led...

Vicky Mudford branches out.(News: Vicky Mudford Ltd)
November 1, 2004... Vicky Mudford, formerly responsible for Aberdeen Murray Johnstone Private Equity's investor relations, has set up her own business, Vicky Mudford Ltd, offering a range of investor relations services to general partners such as advice on how to...

Hedge funds into mezzanine?(News)(Brief Article)
November 1, 2004... Are hedge funds now getting into the mezzanine game? This might be considered a logical next step given that private equity funds have already encroached upon hedge fund territory with groups such as Bain Capital, Blackstone and Carlyle all...

Coalfields Enterprise Fund opens for business.(Funds)(Brief Article)
November 1, 2004... The Coalfields Enterprise Fund is ready to begin investing following its launch earlier this year by British deputy prime minister John Prescott. The Coalfields Enterprise Fund is a commercial venture capital fund set up to support the...

First close for Russia Partners II.(Funds)(Brief Article)
November 1, 2004... US private equity firm Siguler Guff & Company has reached a first closing on its Russian private equity fund, Russia Partners II at over US$200m. Russia Partners II will make direct equity and equity-related investments in companies operating...

Artemis launches VCT2.(Funds)(Artemis Investment Management)(Brief Article)
November 1, 2004... Another VCT launch hoping to attract investors on the back of the UK Governments incentives announced in April comes from Artemis Investment Management, which has launched a second AIM Venture Capital Trust. Artemis AIM VCT 2 is seeking to...

Electra launches Electra Kingsway VCT2.(Funds)(Electra Partners Europe)(Brief Article)
November 1, 2004... The VCT fund raising spree continues. Electra Partners has launched Electra Kingsway VCT2, a generalist fund investing in UK unquoted and AIM-listed companies. The VCT will be open to investors with a minimum of 5,000 [pounds sterling] to...

Fitch looks at PE impact on chemicals.(News: Private equity)
November 1, 2004... The sale of the printing arm of BASF to CVC is yet another example of how financial buyers are reshaping Europe's chemicals market, according to ratings agency Fitch. The deal follows others such as the Permira purchase of Cognis in 2001,...

AP1 allocates US$400m to PE.(News)(Forsta AP-fonden)(Private equity)(Brief Article)
November 1, 2004... The First Swedish National Pension Fund, Forsta AP-fonden (AP1), is looking to invest between US$300m and US$400m (245m [euro] to 325m [euro]) in private equity next year. It has issued a tender for private equity partners to provide...

VCT handbook launched.(News: Venture Capital Trusts )
November 1, 2004... Stockbroker and wealth manager Charles Stanley has published a guide to Venture Capital Trusts for investors and their advisers on the back of the recent budget changes and in light of the recent boom in fund raising. The guide recommends...

Further uncertainty for uni spin-outs.(News)
November 1, 2004... The UK Treasury, the Inland Revenue and the Department of Trade and Industry are still assessing the case for a legislative solution to the debate surrounding the tax liability of academic entrepreneurs--see EVCJ New Analysis September 2004,...

Warburg Pincus eyes mega fund.(Funds)(Brief Article)
November 1, 2004... Warburg Pincus is rumoured to be prepping the PPM for a new fund one that is expected to do away with the firm's two-fund structure and will combine its Europe and US investments into one global product. The firm is said to be aiming for a cap...

Tech appeal?(News: European technology companies)
November 1, 2004... Go4Venture, a London-based corporate finance boutique specialising in fund raising for European technology companies, reports an uncertain environment for European technology companies. After a healthy start in Q1 2004, Q2 2004 sees figures...

Partners Group targets Asia.(News)(Brief Article)
November 1, 2004... Switzerland-based Partners Group, an independent private equity and hedge fund asset manager, has opened a new office in Singapore in order to strengthen its strategic focus on the Asian-Pacific region. The office opening coincides with the...

BVCA to standardize investment documents?(News)(British Venture Capital Association )(Brief Article)
November 1, 2004... The British Venture Capital Association (BVCA) is gauging investor enthusiasm regarding the preparation of a set of standardised investment documents (subscription and shareholders' agreement and articles of association), which would be used...

GSC sets up investor relations board.(News)(GSC Partners)(Brief Article)
November 1, 2004... GSC Partners, the mezzanine and distressed debt specialist, has established an investment placement group to help with fund raising and investor relations. It is made up of four managing directors. Carl Crosetto and Jeremy Soames are already...

Legal action against firms to increase?(News)
November 1, 2004... Almost 40% of GPs believe legal action against their firms and executives will increase, according to research published by Marsh, the insurance firm. The majority of professionals surveyed 60% admit they have no formal processes in place...

Europe's Silicon Valley remains top.(News)
November 1, 2004... Library House, the independent research house for the technology investment community, in association with business and financial advisers, Grant Thornton, has found that Cambridge-based technology companies as a cluster have attracted more...

AIM's international ambition.(Exits)(Brief Article)
November 1, 2004... From October 12, 2004, AIM will operate as an exchange-regulated market, relinquishing its EU-regulated market status, which it has held since its launch in June 1995. This move will ensure AIM's current regulatory regime and market structure...

Active Hotels sold for 90m [pounds sterling].(Exits)(Brief Article)
November 1, 2004... Active Hotels has been sold to PriceLine.com, a NASDAQ-listed provider of Internet-based travel services for 90m [pounds sterling]. The sale represents a successful exit for investors Close Technology & General VCT, managed by Close Venture...

Swiss Life sells portfolio to Pantheon.(Exits)(Brief Article)
November 1, 2004... Pantheon Ventures has bought a 258m [euro] private equity portfolio from insurance and savings group Swiss Life, as well as over 190m [euro] of outstanding commitments. Swiss Life will sell interests in over 40 funds and a number of direct...

Enterprise Investors makes 7.3x return on IPO.(Exits)(Brief Article)
November 1, 2004... Polish private equity firm Enterprise Investors has made a 7.3x return on the flotation of its investment in bank software company Comp Rzeszow on the Warsaw Stock Exchange. El sold its 50% stake and made net proceeds of US$37.7m. The...

Difficult times ahead for European IPO market.(Exits)(Initial public offerings)(Illustration)
November 1, 2004... The European IPO market is facing an uncertain future according to a survey published by PricewaterhouseCoopers. The latest edition of the IPO Watch Europe report, which tracks the volume and value of IPOs on Europe's main stock exchanges,...

Permira sells M&W to PPM.(Exits)(Brief Article)
November 1, 2004... Permira has sold its share in German dental distributor Muller & Weygandt to PPM Ventures for 110m [euro], almost three months after its sale to US company Henry Schein Inc fell through. PPM has acquired 100% of the company and plans to...

Apax sells Symphonie On Line.(Exits)(Brief Article)
November 1, 2004... APax Partners has sold Symphonie On Line, a specialist in the fast growing market of Hospital Information System and Electronic Patient Record, to Agfa-Gevaert. The transaction is valued at 42m [euro] and is paid in cash. Symphonie On Line...

Opera exits Item.(Exits)(Brief Article)
November 1, 2004... Italian yacht and motorboat group Ferretti is acquiring boatmaker Itama from Italian private equity fund Opera, the fund set up by luxury goods group Bulgari. The price of the sale has not been disclosed, but reports suggest Opera's 78% equity...

3i exits Trigenix.(Exits)(Brief Article)
November 1, 2004... 3i has sold its stake in Trigenix, a UK supplier of graphical use interface software for mobile phones, to Qualcomm, a US developer of wireless communication products, for US$36m (30m [euro]). The sale means 3i achieves an IRR of 22% on its...

Hicks Muse divests Grupo Media Capital.(Exits)(Brief Article)
November 1, 2004... Hicks, Muse, Tate & Furst has sold its remaining 11.55% interest in Grupo Media Capital, the Portuguese broadcasting and advertising business. The stake has been sold to TRL Group, part of the German media group Berlesmann AG. Financial...

Blackstone buys Cine-UK.(Exits)(Brief Article)
November 1, 2004... Blackstone has acquired Cine-UK Ltd, the fifth largest operator of cinemas in the UK, from a consortium led by JP Morgan Partners, RIT Capital Partners plc and Botts & Company. Financial details were not disclosed but the value of the deal...

3i sells Canvas Holidays.(Exits)(Brief Article)
November 1, 2004... 3i has sold its 51% interest in Canvas Holidays, the UK's third largest camping tour operator, to the Cendant Corporation in a 27m [pounds sterling] transaction. The deal sees 3i make a gain of 5m [pounds sterling] on the 7m [pounds...

Recap provides return for Sovereign.(Exits)(SENAD)(C.H.O.I.C.E)(Brief Article)
November 1, 2004... Sovereign Capital has refinanced two of its investee companies, SENAD and C.H.O.I.C.E, returning to the Sovereign Capital Limited Partnership I Fund, 40% of money invested to date on a portfolio that is on average only 12 months old. This...

Prelude Trust exit.(Exits)(Brief Article)
November 1, 2004... Broadcom has acquired fabless semiconductor company, Alphamosaic. Alphamosaic was an early stage investment by Prelude Trust in April 2001, when it backed a team, led by Steve Barlow and Robert Swann in a spin-out from Cambridge Consultants....

Partial exit for VCP.(Exits)(Vienna Capital Partners)(Brief Article)
November 1, 2004... The secondary placement of 67.9% of plastics manufacturer Borsodchem closed last week, The Ft88bn issue is the second largest straight equity deal for a Hungarian company. The sale sees private equity firm Vienna Capital Partners, which...

Private equity-backed IPOs October.(Exits)(Initial public offerings)(Illustration)
November 1, 2004... Private equity-backed IPOs October Date of Listing investment(s) Issuer Investor(s) location 1998 Comp Rzeszow, Enterprise Investors ...

Debt funding post-transaction: as European LBO activity continues to show an increasing volume across Europe, the reliance on traditional debt funding post-transaction can be financially crippling for some companies, especially if they fall below investment grade status.(Buyouts)
November 1, 2004... Depending on the nature of the business, some highly leveraged companies are piling up debt obligations that could actually hamper the development of an exit strategy for their private equity sponsors. However, using other sources of finance...

Secondary buyouts: implications for LPs?(Buyouts: Leveraged buyouts)
November 1, 2004... With a surge in secondary buyouts in the UK in Q3, the question undoubtedly arises how to add value to these transactions, Half of the top 35 deals in the UK this year have been secondary buyouts, according to data from the Centre for...

VNU Directories LBO: taking on too much risk?(Buyouts)(leveraged buyout )
November 1, 2004... Fitch Ratings has issued a warning to excessively leveraged buyouts following the LBO package reportedly being offered to the market for VNU World Directories. In a report entitled "VNU World Directories LBO, A Step Too Far?", Fitch argues the...

LBO syndications arranged October.(Buyouts)(leveraged buyout )(Illustration)
November 1, 2004... AA Target nation: UK Date announced: July 2004 Deal type: LBO Acquirer: CVO and Permira Total value: 1.75bn [pounds sterling] Mandated arranger: Barclays Financing: 1.3bn [pounds sterling] The 1.3bn [pounds...

Belron.(Refinancings)(Brief Article)
November 1, 2004... Belron, the world's largest vehicle glass replacement company, is in the market with a 440m [euro] refinancing of its LBO debt, via mandated lead arrangers BNP Paribas, Citigroup (bookrunner), Fortis Bank, Lloyds TSB and RBS. Although...

Bertelsmann.(Refinancings)(Brief Article)
November 1, 2004... German media company Bertelsmann's 1.2bn [euro] refinancing has attracted a 100% hit rate in syndication, through mandated lead arrangers and bookrunners Barclays, BNP Paribas, Citigroup and Commerzbank. The borrower will not be increasing the...

Gardena.(Refinancings)(Brief Article)
November 1, 2004... Garden tools manufacturer Gardena's 350m [euro] recapitalisation has closed heavily oversubscribed, via mandated lead arrangers and bookrunners CIBC World Markets and Dresdner KW. The Facility comprises a 125 m [euro] seven-year term loan A...

Global Solutions.(Refinancings)(Brief Article)
November 1, 2004... Global Solutions" 170m [pounds sterling] senior recapitalisation debt has launched via mandated lead arranger, Bank of Scotland. Some 110m [euro] of the facility will be used to refinance the debt that backed Electra Partners' and...

Rodenstock.(Refinancings)(Brief Article)
November 1, 2004... The Royal Bank of Scotland's (RBS) leveraged finance team in Germany has, as joint mandated lead arranger and joint bookrunner with Barclays, structured the debt package for the recapitalisation of lens manufacturer Rodenstock. Senior debt...

Tetra.(Refinancings)(Brief Article)
November 1, 2004... The Royal Bank of Scotland's (RBS) leveraged finance tealn in Germany has supported the recapitalisation of Tetra, following the sizeable deleveraging of the business. Tetra is owned by funds advised by international private equity sponsor,...

Buyouts with European targets 22/09/04 to 19/10/04.(Refinancings)(Illustration)
November 1, 2004... Buyouts with European targets 22/09/04 to 19/10/04 Announced Target name Target industry sector 22/09/04 Boe International Fund Manager Investment & commodity ...

Private equity-backed takeovers subject to EU Competition law.(Buyouts)
November 1, 2004... ANI Printing INKS/ BASF Printing Private equity backer: CVC Capital Partners Business description: Printing inks and printing plates operations Deal value: Undisclosed Notified: 01/10/04 Provisional deadline: 09/11/04 ...

WP Carey moves.(People)(Brief Article)
November 1, 2004... The London office of WP Carey, real estate investors, has moved from Saville Row to 52 Jermyn Street. The telephone number is +44 (0)20 7290 3460.

Interregnum appts.(People)(Brief Article)
November 1, 2004... Interregnum, the technology merchant bank, has appointed Dr. John Forrest as a non-executive director and four managing directors: Niall Doran, James Gambrell, Timothy Gocher, and Alexander MacPherson. Forrest was appointed chairman of...

WJB Chiltern renames.(People)(Brief Article)
November 1, 2004... WJB Chiltern plc has changed its name to Chiltern plc. For more information visit www.chiltemple.com.

Acanthus moves.(People)(Brief Article)
November 1, 2004... Placement agent Acanthus Advisers has moved offices. It will now be located at 7 Cavendish Square, London, W1G 0PE, UK. Tel: +44 (0)20 7612 9570. Fax: +44 (0)20 7612 9571. Email: [firstname]@acanthus.eu.com. Website: www.acanthus.eu.com

Sovereign appoints.(People)(Brief Article)
November 1, 2004... Philip Conboy has joined UK lower mid-market private equity firm Sovereign Capital as director from Kleinwort Capital.

Latham new partners.(People)(Brief Article)
November 1, 2004... Latham & Watkins has appointed Thomas Forschbach, Nathalie Alibert and Gaetan Gianasso to the firm's Paris office as partners.

Actis recruits.(People)(Brief Article)
November 1, 2004... Emerging markets private equity investor, Actis, has appointed Sir Tim Lankester and Paul Collins as non-executive directors. The firm has also announced that Peter Smitham will succeed Lord Cairns as chairman at the year-end. Lankester is...

AllStars awards.(People)(Brief Article)
November 1, 2004... The winners of the Investor Allstars Awards ceremony organised by GP Capital and Business XL were announced on October 13th at the Intercontinental Hotel, Park Lane in London. The winners were Venture Capital Fund of the Year: 3i: Exit of the...

New Mourant office.(People)(Brief Article)
November 1, 2004... Mourant du Feu & Jeune, the offshore law firm, has opened a new legal practice in Grand Cayman and has appointed three new partners: Patrick Schmid, Owen Jones and Stacey Overholt. The new practice will operate from premises in Grand Cayman and...

Pinsent Masons merger.(People)(Brief Article)
November 1, 2004... Partners at British law firms Pinsents and Masons have voted to merge, creating a firm known as Pinsent Masons. The merger is expected to be effective from early December.

White & Case appts.(People)(Brief Article)
November 1, 2004... Alberto Morano has joined White & Case in Italy along with a 20-strong team of Italian lawyers from the boutique firm he founded in 1990, Studio Legale Morano e Associati. Prior to that Morano was in-house counsel at Citibank.

Nordea reshuffle.(People)(Brief Article)
November 1, 2004... Peter Schutze, currently head of group staffs, has been appointed new head of retail banking in Nordea, succeeding Karl Jordan, who is leaving Nordea to become CEO of Metsaliitto Group. Frans Lindelow, currently head of equities, and Lena...

Linklaters promotes.(People)(Brief Article)
November 1, 2004... Linklaters has appointed Jorgen Durban to become its next Swedish managing partner, replacing Rolf Johansson with effect from May 1, 2005. Johansson is returning to full-time client work and will continue to head Linklaters Swedish real estate...

Kleinwort recruits.(People)(Brief Article)
November 1, 2004... Martin Home has been appointed as portfolio manager Kleinwort Capital. He joins from UBS, where he was head of financial control for the Phildrew Ventures Funds advised by IRRFC.

Pirie to Manchester.(People)(Brief Article)
November 1, 2004... Granville Baird Capital Partners, the European mid-market private equity firm, has appointed Kane Pirie as director and head of its Manchester office. He has been based at Granville's German operation since 2001 where he was responsible...

Finama appoints.(People)(Brief Article)
November 1, 2004... Finama Private Equity--Quartilium, the private equity fund-of-funds arm of Groupama in France, has appointed Yonel Genin as investment manager dedicated to secondaries. He joins from ABN AMRO Capital France.

DSCDM name change.(People)(Brief Article)
November 1, 2004... Duke Street Capital Debt Management Limited, which was bought by Babson Capital Management in May, has changed its name to Babson Capital Europe Limited with immediate effect.

Innova Capital appts.(People)(Brief Article)
November 1, 2004... Innova Capital has appointed Andrzej Bartos from Dresdner Kleinowort Capital where he was a director responsible for the Polish operation of the firm for the last three years. Prior to Dresdner, he was an executive vice-president at BRE Bank...

Haines Watts recruits.(People)(Brief Article)
November 1, 2004... Charles Whelan has been appointed corporate finance partner at UK accountants Haines Watts where he will head up the firm's business in the South of England. He joins from Deloitte in Southampton, where he worked on several high profile deals...

3i reshuffle.(People)(Brief Article)
November 1, 2004... Michael Queen, head of finance at 3i, has been appointed head of growth capital, replacing Chris Rowlands, who has been appointed to the newly-created role of head of group markets.

Duke Street appts.(People)(Brief Article)
November 1, 2004... Duke Street Capital has appointed Eric Priestley as chairman of its operating partners. Priestley has been an operating partner at Duke Street since 1998 and replaces John Rogers, who was chairman for three years and now reverts to being a...

Prelude appoints.(People)(Brief Article)
November 1, 2004... Tech investor Prelude Trust has appointed David Quysner to the Prelude Board as a non-executive director with immediate effect. Quysner is a former chairman of the British Venture Capital Association and has more than 30 years' experience in...

New CEO at ECI.(People)(World Class International)(Chief Executive Officers)(ECI Partners)(Brief Article)
November 1, 2004... Allan Wood, formerly managing director of business process outsourcing at IT company Xansa, has been appointed the new CEO at management and technology consultancy World Class International (WCI), a company backed by ECI Partners.

El in Romania.(People)(Brief Article)
November 1, 2004... Enterprise Investors (EI), has opened an office in Romania following a 9m [euro] investment in Credisson International SRL, a non-banking consumer finance company in Romania. Polish Enterprise Fund V, managed by Enterprise Investors has...