Munich-based Advisum has launched its maiden fund, Turnaround Fund I for investments in small to medium-sized companies in German-speaking regions. The fund will target distressed companies in the TIME, capital goods, retail and professional services sectors.
Heading the team are investment professionals Peter Weidermann, former board member of Burda Media, Manfred Gabriel and Josef Kleebinder, both former managing partners of GCI, a publicly listed investment company, and Christian Frank, former associate partner of Roland Berger’s turnaround division.
Due diligence of the institutional investors is underway and a first close of €50 million is scheduled before the end of the year, with a final close and target of up to €150 million planned for March 2003.
Draw-downs will be on an as-needed basis, within five years from the final close. Minimum subscription is €0.5 million and terms and conditions include an annual management fee of 2.5 per cent on committed capital.
The fund will make between 8 and 15 investments varying in size between €5 million and €20 million. Advisum plans to exit its investments via trade and secondary sales and fund raising for a new fund will not be considered until at least 66 per cent of the first fund has been invested or earmarked for investment.