Adveq collects €425m for two new funds

The asset manager’s specialised investments vehicle and its European co-investments fund closed in January.

Switzerland-headquartered asset manager Adveq has raised €425 million for two funds, according to a statement from the firm.

Adveq Specialized Investments and Adveq Europe Co-Investments closed on €323 million and €102 million respectively in January.

The funds attracted interest and support from investors across the globe, including pension funds, insurance companies and family offices, the firm said.

Adveq held a first close on its European co-investment vehicle – the manager’s first dedicated co-investment fund – on around €50 million in April 2014. The vehicle was targeting between €100 million and €150 million.

Adveq Europe Co-Investments aims to build a portfolio of co-investments predominantly with European small buyout opportunities alongside “highly active and specialised fund managers”, including transformational buyout groups, turnaround fund managers and industry/strategy specialists.

The fund can invest in the whole of Europe but will primarily target the German-speaking region, the UK, France, Benelux and the Nordics, which is where the majority of Adveq’s GPs are based, Private Equity International reported previously.

Having started as a pure fund of funds player, albeit with the capacity to make co-investments and secondaries transactions, since 2009 on average 40 percent of Adveq’s commitments have been “transactional investments” – secondaries, co-investments, stapled transactions, club funds and “late primaries”, PEI reported earlier.

“We have previously completed a number of co-investments as part of our mandates and other funds and we feel that it is now the right time to offer co-investment opportunities to a wider range of investors through a dedicated fund,” Adveq chief executive officer Sven Lidén said in the statement.

In January Adveq teamed up with fellow co-investors Edmond de Rothschild Investment Partners and Massena Partners to invest alongside Spanish growth equity firm Miura Private Equity in French truck and semi-trailer manufacturing company Chereau. Adveq made the investment from various funds, according to a spokesperson for the firm.

Adveq Specialized Investments is targeting global investments which benefit from “long-term fundamental trends” with a high level of robustness. The fund will focus on growing and transforming businesses through a mix of strategies, including specialised buyout, turnaround, growth capital and venture capital.

The fund will make a mixture of primary and secondary fund commitments and co-investments.

“The private equity industry continues to evolve and it is only by keeping pace with changing dynamics and responding to investors’ needs that we have been able to continue to grow,” Lidén said.

Adveq managing director and co-head of investment management Rainer Ender told PEI last year that the firm’s key philosophy is to be anti-cyclical, describing the firm as “a bit missionary”. With investors often heavily influenced by fashions and fears, the firm’s business development is driven by the opportunities it sees in the market rather than necessarily by investor demand.

“We are promoting what we believe in and what we see and what we want to pursue,” he told PEI.

Last year investor sources indicated that Adveq was also in market with its eighth dedicated technology vehicle and Adveq Europe VI, which will focus solely on specialised small and mid-market buyout firms.

Adveq declined to confirm the fundraisings.