Charterhouse X hits first close on €1.5bn – exclusive

Charterhouse Capital Partners has reached the first close on its tenth fund on €1.5 billion, according to a market source.

Charterhouse Capital Partners X, which officially began marketing in January, is targeting €3 billion.

The firm reached an initial close on €1 billion in May, as reported by Private Equity International.

Investors in Fund X include the Massachusetts Pension Reserves Investment Management Board, the Virginia Retirement System, the Maine Public Employees Retirement System, and the Public Employees Retirement Association of New Mexico, according to PEI Research & Analytics.

The firm’s previous fund, a €4 billion, 2008-vintage vehicle, has returned all committed capital to investors and is valued at 1.9x money with an internal rate of return (IRR) of 30 percent, as of June 2015, it is understood.

Fund IX has a number of unrealised investments, including call centre company Webhelp, which is rumoured to be up for sale.

Its first five exits have generated an average realised return of more than 3x, it is understood.

These include the sale in June of environmental consultancy Environmental Resource Management to OMERS Private Equity and The Alberta Investment Management Corporation, which generated a 2.4x return and a 29 percent IRR; the exit of skincare company Deb Group with a 2.6x return and 21 percent IRR; greeting card retailer Card Factory with a 5.25 return and IRR of 47 percent; energy research group Wood Mackenzie generating 3.4 x multiple and an IRR of 40 percent; and the exit of data group Bureau Van Dijk at 2.1x money with an IRR of 29 percent.

Charterhouse declined to comment.