Charme boosts team with three hires

The Milan-headquartered firm continues to raise capital for Charme III and prepares to open an office in Spain.

Milan-headquartered Charme Capital Partners has made three new hires to boost its London office, which opened last November.

Valero Domingo joins as a principal, and Martyn Evans and Hugo Tanner have been hired as investment managers.

Domingo spent four years at 3i Group and, most recently, three years at JP Morgan’s alternative investment fund Highbridge. He will work alongside partner Franscisco Churtichaga, who leads the firm’s investment activity in Spain, where Charme will shortly open an office.

Evans joins Charme from Terra Firma Capital Partners, where he spent more than four years working on acquisitions, financings and exits across various industries. Tanner joins from Barclays Capital, where he was an associate in the natural resources team.

The hires will work alongside Churtichaga, Julian Huxtable and Christopher Fielding, three former Doughty Hanson partners who joined Charme to launch its London office in November, as reported by Private Equity International.

The trio joined Charme founder and managing partner Matteo di Montezemolo and his colleagues, Luigi Sala, Tommaso Beolchini and Simone Cavalieri, all based in Milan, on the investment committee for Charme III.

In February Charme exited its remaining investment in Charme II, selling blood purification treatments business Bellco to medical technology company Medtronic. Following the sale Charme II, which was raised in 2009 with total commitment of €340 million, realised a 2.5x return and a gross internal rate of return of 33 percent, as reported by PEI.

The firm is now fully focused on amassing capital for Charme III, a pan-European vehicle which has already collected €450 million from a mixture of international institutional LPs, family offices and industrialists, as reported by PEI. It is understood that the vehicle does not have a hard-cap.

Charme III, which is yet to make its first investment, will invest across Europe, primarily in Italy, the UK and Spain, targeting mid-market companies with enterprise values between €100 million and €500 million. Charme is seeking to partner with shareholders and management teams across a range of business sectors in growth and internationalisation opportunities, both through acquisitions and organically.

Charme’s first fund, a 2003-vintage €186 million vehicle focused on investments in the consumer and luxury sector in Italy, generated returns of 2x, according to the firm.