Mediolanum State Street SGRpA has unveiled the first Italian private equity fund-of-funds. Fondamenta has raised euro160 million at its first close. With a duration of ten years, the fund is registered in Italy and is authorised by the Banca d’Italia with Banca Commerciale Italiana acting as custodian.
Fondamenta has a fund structure that invests 60% to 70% in Italian private equity funds and 30% to 40% in Italian co-investments, mainly in small-medium sized companies. The fund has already made commitments of around euro34 million to Italian funds Arca Impresa and Emerald, which are generalist funds with a focus on expansion capital; Convergenza, that specialises in the media sector; and Opera, an Italian lifestyle fund targeting the luxury goods and fashion industries.
In addition to State Street Global Advisors and Mediolanum Vita, institutional investors that have committed to the fund to date include Fondazione Cariplo; Fondazione Cariverona and Cassa Forense.
Erich Stock of State Street Global Advisors said that it had taken over a year to authorise the investment vehicle.
Alan Brown, chairman of Mediolanum State Street, said: “Fondamenta’s launch is extremely timely: the impact of generational change on the Italian corporate sector has led to an increase in IPOs. The development of equity markets in Europe over the last ten years and the opportunities these changes have provided, has resulted in the arrival locally of a number of international private equity firms.”