Montagu Private Equity has closed its first fund since spinning out of HSBC. Montagu III closed on E2.26bn, with the firm’s former parent committing 25% as a cornerstone investor.
Other investors in the fund, of which there are around 40, were not revealed, but a number did return from Montagu II, a E2bn fund that closed in 2001 and is 80% invested. In terms of geographical spread, 29% of the LPs came from the UK, 27% from North America, Continental Europe 21%, Asia 15% and 8% came from the Middle East.
The fund, which was launched at the beginning of 2005, will invest in European LBOs with a value of between E100m and E700m. Guggenheim acted as placement agent in the US and Deloitte performed the role in the rest of the world. HSBC Trinkaus placed a feeder fund in Germany.
Part of HSBC’s commitment is coming from its European Private Equity Syndicate II, a E245m that closed in June. The fund is open to high net worth individuals and most of the money will be put into Montagu III.