News highlights
Private equity news
Capital Z acquires Hutton Collins interest
Vision Capital acquires CS portfolio
Private Equity Holding appoints new manager
LMA issues standard documentation
Nova Capital expands team
Accelerated IPO to threaten UK buyout prices?
Government review to encourage PE investment
AFIC promotes LBOs
Chemical sector attracts PE backing
SEP appointed to manage LDC portfolio
IPE Expansion Fund seeks French opportunities
Invest Equity targets accession countries
Basle II risks weightings for PE under scrutiny
Lazard hires to build London PE team
Confidence boost for the UK
NIB Capital resurrects Alpinvest name
Mezzanine: losing popularity?
Media sector attracts funds
New name for Digital Networks
Positive outlook for European private equity
Private equity lawyers’ forum first conference
US venture capital looking up
Finnish market static
Funds
PEF V reaches first close
NEIF 3 launched
Nobles venture finance debut
Standard Life breaks €1bn barrier
Capricorn VP to raise seed fund
Cape exceeds target
Interregnum boosts funds
Exits
Partial Interfloor exit for Rutland
Delta Fluid refi exits CBGC
Invex partial exit from Crystal Home
CVC may float Halfords
3i sells Jaycare in secondary buyout
Bourne Leisure returns to owner’s hands
Exits remain a challenge
Electra sells Vendcrown
Candover sells Clondalkin to WP
Charterhouse Coral Eurobet refi
EAC to float Leapfrog
BS Private Equity sells STC
PPM Ventures gains on Oxoid
Espotting deal sealed
CD&R sells Kinko’s to FedEx
Apax & JPMorgan sell Merlin
IK completes Nobia sale
MGPE Italy sells Konig
Barclays realises LJ Group
People
New Kennet FD
Interregnum non-exec
Digital Networks name change
ICG into Spain
Abingworth recruits
Parayre joins CSFB
Lazard hires
Unigestion appts
Promotions at Quester
DVC boosts team
Wingfield to Morgan Stanley
GMT industry council
Greenpark Capital moves
Nova grows
SEP expands
Hermes appts
Feddersen resigns
Razzano to Investindustrial
CapMan Oslo appts
CDC moves
New DB loans head
ViaNova recruits
Earlybird builds team
New GIMV board member
Features
LP Corner: grappling with the fund management problem
The majority of European institutional investors arrived on the private equity scene alongside an explosion of fund raising activity globally. In Europe alone EVCA figures show a jump from just over €20bn funds raised in 1998 to €48bn in 2000. This happened at a time when the only way for returns appeared to be up, but it also coincided with European private equity firms jumping in number from around 300 in 1998 to around 1,000 in 2000. Finding firms to invest capital with was not a problem for institutional investors, and while the returns won’t be all that was promised, in part because some of the new entrants never made the grade, for many institutions what they are now grappling with is how to effectively manage these programmes that they jumped into with such gusto. Lisa Bushrod reports.
The Netherlands
Although The Netherlands is one of the smallest countries in the EU, it has some of the largest pension funds in the region, in terms of total assets under management. It is home to well known global companies like Shell and Philips and other household Dutch names with pension funds that have been building up a tradition in investing in private equity, some since the mid 1980s. Anthony O’Connor finds out what Dutch LPs are up to.
Checking out transaction support
Joanna Gant talks to advisers involved in unearthing the truth surrounding a potential PE investment and finds the arsenal of transaction support tools is growing, as are the number of providers.
Recruitment: a good time to look for a job in private equity
But, as Paola Subacchi discovers, the competition remains tough. Today private equity and venture capital, seen as the grubby end of corporate finance five or ten years ago, attract the brightest and the best who previously were only interested in working for the best banking and consulting firms. Consequently the entry bar for private equity and venture capital is today incredibly high, despite this the supply of good candidates far exceeds demand.
Buyouts: Buying at auction
The first six weeks of 2004 saw a jump in M&A activity, which to some will justify the growing optimism surrounding deal flow prospects for 2004. A good proportion of these deals, over the €100m enterprise value, include either private equity buyers or sellers and even private equity firms meeting up as buyer and seller. Francesca Murra reports on what this might mean for the auction process, which has taken something of a battering over the last couple of years as fewer and fewer companies have come to market and where often the only buyers in town have been private equity firms.
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