Park Square Capital Partners, a new €1 billion ($1.2 billion) London-based mezzanine fund, has been launched by former Goldman Sachs mezzanine specialist Robin Doumar.
In a statement, Park Square claims the fund is the largest independent mezzanine fund in Europe. The sponsoring investors are Ontario Teachers Pension Plan and Caisse de Depot et Placement du Quebec, which have committed a “substantial majority” of the funds raised to date.
Ontario Teachers and Casisse de depot separately announced that the two pension managers had invested C$1.2 billion (US$953 million; €776 million) to launch the fund.
Partners Group, the Swiss alternative asset manager, is also an investor in the fund.
Park Square was founded by Doumar; David Cottram, former head of international equity capital markets at BNP Paribas; and Michael Small, former director of Dresdner Kleinwort Wasserstein’s debt principal finance and securitisation group. While at Goldman, Doumar assisted in the raising of a $2.7 billion global mezzanine fund.
Park Square said its strategy would be to invest in a full spectrum of subordinated capital tranches of European leveraged transactions for selected clients, including private equity firms, corporations and underwriting banks. It is understood that the firm will be in a position to invest up to €200 million in a single transaction, though this has not been confirmed.
The London office of Debevoise & Plimpton advised on the fundraising, with partner Marwan al-Turki and international counsel Geoffrey Kittredge leading the firm’s effort. The firm also advised on the recent £400 million fundraising achieved by London-based Exponent Private Equity, a new mid-market private equity firm launched by former 3i executives.