Ardian has raised 4 billion euros (about $4.49 billion) at a hard cap for its sixth mid-cap buyout fund. Ardian LBO Fund VI will focus on established European companies that have an enterprise value of up to 1.5 billion euros.
Paris, September 14 2016: Ardian, the independent private investment company, today announces that it has raised €4 billion (the hard cap) in four months for its sixth generation Mid Cap Buyout fund, Ardian LBO Fund VI, with an additional €500 million raised for co-investment opportunities. The fund, coupled with Ardian Expansion Fund IV which closed at €1 billion in June, means that Ardian has a €5.5 billion platform, one of the largest in Europe, to invest in small to mid-cap companies.
Ardian Mid Cap Buyout, which has grown from 25 to 36 people (50% outside France) over the last three years, will invest Ardian LBO Fund VI in established European companies with an enterprise value of up to 1.5bn. 85% of the fund will be invested in the core markets of France, Italy, Germany but alsoBenelux, Austria and Switzerland. In addition, following the expansion of the Ardian Mid Cap Buyout in the UK and Spain, the team will also look at opportunities in those markets. Having local Mid Cap Buyout teams in Ardian’s offices in France, Germany, Italy, UK and Spain, is key to its success in sourcing investments and helping portfolio companies fulfil their growth ambitions through the use of transformational strategies.
Philippe Poletti, Member of the Executive Committee and Head of Ardian Mid Cap Buyout, added: “This fundraising success demonstrates the value our investors have seen in our approach of using transformational strategies to help ambitious companies accelerate their international growth. Together with our multi local network, this gives us a unique proposition with both potential investee companies, as well with our investors across the globe who are able to access different European markets through a single partner.”
Two investments have already been made through the new fund: Hypred, a European leader in the production and commercialization of professional hygiene solutions for the food and agriculture sectors based in France, and Dedalus, the highly regarded global clinical health software provider based in Italy.
The fund has once again attracted a diversified base of investors from all over the world, with a significant proportion of re-ups from existing investors. In total over two thirds of LBO Fund V investors reinvested in the latest fund, committing 112% of the amount raised in the previous generation. Institutional investors and pension funds sit beside sovereign wealth funds, demonstrating the increasing presence of private equity in investment allocation as institutions look beyond traditional asset classes to generate growth.
In addition to the fundraising, 2016 has seen the mid-cap team execute 5 acquisitions, 11 build-ups and four exits in previous fund generations.
Ardian, founded in 1996 and led by Dominique Senequier, is an independent private investment company with assets of US$55bn managed or advised in Europe, North America and Asia. The company, which is majority-owned by its employees, keeps entrepreneurship at its heart and delivers investment performance to its global investors while fueling growth in economies across the world. Ardian’s investment process embodies three values: excellence, loyalty and entrepreneurship.
Ardian maintains a truly global network, with more than 430 employees working through twelve offices in Paris, London, Frankfurt, Milan, Madrid, Zurich, New York, San Francisco, Beijing, Singapore, Jersey and Luxembourg. The company offers its 490 investors a diversified choice of funds covering the full range of asset classes through Ardian Funds of Funds (comprising primary, early secondary and secondary activities), Ardian Private Debt, Ardian Direct Funds (comprising Ardian Mid Cap Buyout, Ardian Expansion, Ardian Growth and Ardian Co-Investment), Ardian Infrastructure, Ardian Real Estate and customized mandate solutions with Ardian Mandates.