Capital Z Investments, the private equity sponsorship division of Capital Z Partners, last month chose its latest project. The fund sponsor committed 100 million to a new fund, which will focus on the Nordic region of the world.
The fund, as yet unnamed, was formed by Christer Gardell and Lars Forberg, former chief executive officer and former chief investment officer of AB Custos, respectively.
Each left his position at the Swedish investment firm on the first of the month to concentrate on their new endeavor.
Shona Prendergast, a spokeswoman for Capital Z in London, said the commitment from Capital Z is the fund’s only one to date, but that the fund is just now kicking into gear. “[Gardell’s and Froberg’s] fiduciary abilities were limited by their responsibilities at Custos, but now that they have resigned, they can get the wheels in motion,” she said.
The fund is targeting 500 million for its final close. It will seek to invest in undervalued public companies in the Nordic region, then work with management to maximize value.
Gardell and Froberg were interested in launching the Nordic Fund with Custos, but found an independent fund to be a better solution. “We had explored approaches to form a fund under the Custos structure, but it ultimately proved too complicated,” said Gardell in a statement.
Officials at Capital Z said commenting on its role in the Gardell/Frberg fund is premature at this time.
It’s a Small World
Capital Z Investments has identified a number of unique funds located throughout the world for its sponsorship. In addition to the Gardell/Frberg fund, Capital Z sponsors AtriA, which invests exclusively in French buyouts and middle-market companies prior to initial public offering; Capital Z Asia Advisors Ltd., a Hong Kong-based fund that invests throughout Asia, excluding Japan, with a focus on Indonesia, South Korea, Thailand, Australia and Greater China; and Finansa Capital Ltd., a Thai fund seeking invetments in public and private companies. CZI also sponsors five hedge funds and a structured financial vehicle.
Capital Z Partners, which has offices in London and New York, also manages a direct investment fund, Capital Z Financial Services Fund II LP. CZF II is a $1.85 billion fund that focuses on investments in the financial services, health-care, and insurance sectors. The fund is global, seeking investments in the U.S., Eastern and Western Europe, Asia and Latin America.