– Quadran attracts German support

January saw a euros 111 million ($112 million) final closing for Quadran Capital Partners I, the maiden fund offering from Quadran Gestion, an independent French private equity house formed in 1998.

Quadran Capital Partners I is notable as the first French private equity fund to boast a German sponsor, Deutsche Beteiligungs AG (DBAG), which has contributed euros 34.5 million, or 30.9 per cent, of the closing total. Under the terms of a strategic agreement, Quadran Gestion and DBAG have a mutually exclusive agreement covering private equity investments in their respective domestic markets. Quadran Capital Partners I, which is targeting mid-market buyouts in the euros 20 million to euros 200 million transaction value range, is therefore ideally placed to structure cross-border deals for French and German companies.

Excluding DBAG’s commitment, Quadran Gestion raised the bulk of third-party capital from domestic sources. French investors contributed some 29 per cent of the fund, while Swiss groups committed a further 17 per cent. The balance was drawn from the UK (14 per cent), the US (4.5 per cent) and other German investors (4.6 per cent). Asset management groups dominate the investor line up, accounting for more than 35 per cent of committed capital, followed by insurance companies with 25 per cent and banks with 22 per cent. Quadran drew slightly more than euros 20 million, or 18 per cent of the fund, from private investors, including the management team itself.

Quadran’s founders, who combine well over 30 years’ experience in the French private equity market, are: Patrick Jemelen, formerly of Morgan Grenfell, Paris; Frederic Crot, previously with Electra’s Paris operation; and Antoine Roche de La Rigodiere, who moved from Walter Butler Finance.

The new fund, which has no industrial sector preferences, completed its first deal last November, investing alongside NatWest Equity Partners in the secondary LBO of pest control services group Eurogestion.

This April, Quadran will change its name to Quartus Gestion; accordingly, the new fund will become Quartus Capital Partners I.