PAI realises 2.3x in sale of lingerie brand to Carlyle

PAI Partners originally bought Dutch lingerie company Hunkemöller in January 2011 for €265m out of its PAI Europe V fund. Carlyle’s investment will come from Carlyle Europe Partners IV.

PAI Partners is selling its controlling interest in Dutch lingerie brand Hunkemöller to Carlyle for an unspecified amount.

A source close to the matter told Private Equity International that the sale is generating 2.3x returns for PAI. The PE firm originally purchased the company in January 2011 for €265 million through its PAI Europe V, a 2007 vintage that closed on €2.67 billion.

PAI Europe V received commitments from LPs including Idinvest, British Columbia Investment Management Corporation, Canada Pension Plan Investment Board (CPPIB), Florida State Board of Administration, BlackRock, Absolute Private Equity and Dancap Bank, according to PEI’s Research & Analytics division.

Carlyle’s investment comes from Carlyle Europe Partners IV (CEP IV), a European-focused upper-middle market buyout fund, which closed on €3.75 billion.

Investors in CEP IV include the California Public Employees’ Retirement System, CPPIB, Northwestern Mutual, Northrop Grumman Corporation and AFA Försäkring, according to PEI Research.

“Hunkemöller has differentiated itself from its competitors by winning market share during a challenging economic period,” Carlyle Europe Partners managing director and co-head Marco de Benedetti said.

This acquisition will allow Carlyle to support the company to continue its omni-channel strategy and expand.

The deal is expected to close in Q1 2016.

Carlyle currently manages $188 billion in assets across 126 funds and 160 fund of funds as of 30 September.

PAI manages €7.6 billion in assets, according to PEI Research.