Adelis sprints to SEK 3.6bn hard-cap

Adelis’ oversubscribed maiden fund has reached its SEK 3.6bn hard-cap after just eight months in market.

Adelis Equity Partners, a Nordic lower mid-market firm founded by former Triton executive Jan Åkesson and former 3i executive Gustav Bard, has hit its SEK 3.6 billion (€410 million, $550 million) hard-cap for its maiden fund, according to sources familiar with the matter. 

It is understood Adelis, which came to market in February, held a final close in late September, with the legal close expected to be finalised shortly. 

The fund held its first close in July, after collecting SEK 2billion. It is understood Park Hill acted as placement agent. Both Adelis and Park Hill declined to comment. 

Adelis attracted “strong investor support from high quality institutions in Europe and North America”, according to one source, including endowments and pension funds as well as fund of funds. 

It is understood that the first-time fund was “significantly oversubscribed”. The two managing partners are well known in the European buyout sector and are understood to have good track records. It is understood the two men have put a substantial amount of their own capital into the vehicle. 

Before co-founding Adelis, Åkesson was an executive at Triton Advisors in Stockholm for 11 years. He was also chief executive officer of Triton Advisors Nordic between February 2001 and October 2010. 

Prior to co-founding Adelis, Bard spent more than a decade at 3i Group. He was a managing director at 3i Nordic from April 2004 until November 2011, prior to which he was a managing director at 3i Sweden, according to his LinkedIn page. 

Adelis has hired a number of investment professionals in recent months, including Steffen Thomsen from 3i Nordic and head of investor relations Adalbjörn Stefansson. Adelis has also hired Rasmus Molander, a former investment executive at Permira’s Nordic team and Babak Etemad, a former senior investment manager at SEB Growth Capital and former investment professional at EQT Partners.

Adelis has also appointed Joel Russ, a former managing director in Audax Group’s private equity team and Johan Seger, a former operations director Northern Europe at 3i Nordic, according to Adelis’ website. The firm is understood to have a team of 10 professionals in total.   

Adelis’ fundraising was very fast relative to other European funds. The European funds that have closed so far this year have taken approximately 17 months on average to raise their vehicles, according to PEI’s Research and Analytics division. 

While investor appetite for the Nordic region has been strong in recent years, not all Scandinavian-focused fundraisings have been running smoothly. Proton Equity Partners, a Swedish private equity firm founded by a former CapMan team, abandoned its fundraising efforts in recent months after failing to attract sufficient investment for its debut fund, PEI exclusively revealed last month. 

“Investors are very selective when it comes to first-time funds,” one source with knowledge of the matter told Private Equity International at the time.

“There is demand for Scandinavia, but there’s not enough demand for every fund to get raised,” another source added.  

Additionally, competition to raise capital for the Nordic region is currently high. AAC Nordic is understood to be in market attempting to collect €150 million.  Meanwhile, Herkules Capital is also in market targeting NOK 6 billion (€760 million, $990 million) for its Private Equity Fund IV, while FSN Capital, another Nordic GP, has been out since the beginning of the year, attempting to raise between €400 million and €500 million for its fourth fund. 

IK investment Partners is trying to raise €1.7 billion for its IK2011 Fund, which held a €1bn close in March 2012, and Nordic Capital is still attempting to wrap up fundraising efforts for its eighth buyout fund. Nordic, which began marketing the fund in April 2012, held a €1.7 billion first close in February 2013 and is expected to close the fund in the autumn.  

Read more about the current investment and fundraising climate in Scandinavia in the Nordic roundtable, which will feature in PEI’s forthcoming November issue.