Investindustrial close to hard-cap

Despite the economic woes in Southern Europe, 90% of the firm’s existing LPs have re-upped.

Investindustrial, a Southern European focused firm, has nearly reached the hard-cap of €1.25 billion for its fifth fund, according to a source familiar with the matter. 

Investindustrial declined to comment on fundraising.

In March 2012, Investindustrial V held a first close on €1 billion, followed by a second close on €1.15 billion in September 2012.  

Around 90 percent of existing limited partners chose to re-invest in the fund, the source said, with roughly half of the investors coming from Europe and half from North America. Investindustrial V, which is larger than its €1 billion predecessor, made its first investment in December when it acquired a 37.5 percent stake in UK luxury car maker Aston Martin.

Whilst on the fundraising trail, Investindustrial exited motorbike group Ducati. In April, it sold the business to car maker Audi for $1.1 billion, which made a 3x return, Private Equity International reported at the time. In August 2011, the firm also exited Permasteelisa, an engineering business for approximately €600 million. The return multiple was unknown but the firm called it a “highly satisfactory exit” at the time. The overall performance of Investindustrial IV was “very good”, according to the source.  

As well exiting, Investindustrial has made a few acquisitions in the last year. In November 2012, it increased its stake to get full control of PortAventura, a Spanish theme park. A month before that, Investindustrial teamed up with Trilantic Capital Partners to acquire a 48 percent stake in Euskaltel, a telecommunications provider in the Basque region.