Capital Dynamics, the Swiss-based asset manager, has moved to strengthen its co-investment capability by hiring Andrew Beaton and David Smith, the founders and managing partners of specialist firm Glenalta Capital.
Both men join as managing directors in the firm’s London office, while Smith will also join the firm’s investment committee.
Beaton and Smith had only started Glenalta, a European co-investment business, early last year. It has completed three deals, including the acquisition of a 10 percent stake in German firm Tractebel Gas Engineering.
However, the founders have now decided to bring their offering under the umbrella of a bigger firm.
Beaton said the chance to develop a global offering was a key reason for their decision: “Joining Capital Dynamics gives us an opportunity to develop a global co-investment business within a world-class fund-of-funds manager,” he said.
Previously the two men had also set up the co-investment business of GE Equity Europe, where they completed more than 40 deals. Beaton was also a founding partner of Langholm Capital, the Unilever-backed mid-market buyout firm that specialises in consumer goods investments, while Smith worked for First Reserve, the energy specialist buyout fund.
Swiss firm Capital Dynamics manages over $20 billion of institutional capital and has committed to more than 350 private equity funds worldwide. It also has offices in New York, San Francisco, London and Birmingham, and is due to open in Hong Kong in the next few weeks.