Pantheon launches large share placement

The London-based funds of funds manager is to raise up £116m for Pantheon International Participations, its quoted investment trust.

Pantheon Ventures, the global fund of funds manager and secondary investor owned by Russell Investment Group, has published details of a placement of new redeemable shares in Pantheon International Participations (PIP) aimed at raising up to £115.5 million (€167 million; $223 million).

PIP is an investment trust quoted on the London Stock Exchange which invests in private equity partnerships. Up to 20 million new shares will be sold to investors.


The fundraising is intended to enable Pantheon to pay off short-term debt and provide it with new capital for investment. Last year the group invested $172 million in two portfolios of secondary partnership interests, deals that were partially funded from a £80 million loan facility. Proceeds from the placement will be used to repay monies drawn from the facility. The balance will be invested in future transactions.


According to a press statement, Pantheon expects that the deal, which is not underwritten, will be completed by the end of the month so that dealings in the new shares can commence on March 30.


The new shares will be priced at 577.37 pence, representing the unaudited net asset value per share as at January 31. PIP’s net assets on that day stood at $£247.3 million.


According to a source familiar with Pantheon’s plans, the firm does not intend to raise as much as £115.5 million. A significantly lower amount was anticipated so as to maintain PIP’s currently well-balanced cash profile. Cash distributions to PIP from the trust's 300 underlying private equity funds were currently strong, the source said.