The Western European economy has seen the worst of its bad days, but this year’s fundraising levels would suggest that there is an increasing amount of distressed opportunities within Western Europe for private equity managers.
Distressed fundraising in Western Europe has been increasing since 2012. There was a fourfold increase in the capital raised from such funds from 2013 to Q3 2014.
Alchemy Special Opportunities Fund III is the largest distressed fund to close so far this year that is targeting the region. The fund Alaska Permanent Fund and California State Teachers' Retirement System are some of the LPs that have committed to the fund.