Danske closes second FoF on E527m

Danske Private Equity has closed its second fund of funds on E527m, short of its original E600m target.

Danish private equity firm Danske Private Equity has held a final close of its second fund of funds, Danske Private Equity Partners II, on E527m. The fund had an original target of E600m.


The London-headquartered firm now manages in excess of E1bn of institutional capital. Danske PEP II is expected to make around 15 fund investments in buyout and venture funds throughout Western Europe and North America.


According to a Danske spokesperson, the fund received strong support from existing and new investors. “All of the investors are European, with the bulk coming from Northern Europe,” he said. Parent company Danske Bank and Danske Bank Life Insurance invested E50m each.


Danske PEP II has completed four fund investments to date: it is a limited partner in Leonard Green Partners’ $1.85bn buyout fund; Italian firm B&S Private Equity’s E550m IPEF IV; MPM BioVentures III, a $900m life sciences fund which closed in December 2002; and Nordic Capital V, which closed on E1.5bn.


The final close comes almost 18 months after the firm held a second close on E427m, but according to a company spokesperson, the delay was due to administrative factors. “There was no drama. The fundraising has taken so long because of a number of housekeeping issues among our prospective LPs. There has been no significant fundraising campaign since the second close,” he said.


Danske Private Equity Partners is part of Danske Private Equity. The group also includes Danske Venture Partners, which focuses on investments in the IT in the Nordic region. Danske Private Equity’s life science investment arm was closed earlier this year.