IK launches minority stake fund – exclusive

Minority Partnerships I Fund will take non-majority positions in companies with an enterprise value above €200m.

IK Investment Partners is raising its first private equity fund solely targeting minority positions, Private Equity International has learned.

IK Minority Partnerships I Fund will take non-majority positions in companies with an enterprise value above €200 million, according to a source with knowledge of the firm. The vehicle was registered in Luxembourg on 8 August, public filings show.

It is unclear how much the firm is aiming to raise and IK declined to comment.

The minority strategy follows IK’s expansion into the small-cap market in 2015. The London-headquartered firm held the final close on its 2018-vintage IK Small Cap II Fund, which takes majority positions in in companies with an enterprise value of up to €100 million and minority positions in companies with an EV below €200 million, on its €550 million hard-cap in February.

It is also investing its flagship mid-cap vehicle, the €1.85 billion, 2016-vintage IK VIII Fund, according to PEI data. The firm is active in the Nordics, DACH region, France and Benelux.

IK joins the likes of London-based Inflexion Private Equity in launching a dedicated minority stake vehicle. The latter raised £400 million ($511 million; €448 million) for the 2014-vintage Inflexion Partnership Capital Fund I and closed Fund II on £1 billion in May.