Quartilium launches mezzanine fund of funds

The fund of funds arm of Finama Private Equity has held a first close of its debut specialised mezzanine vehicle on €50m.

Quartilium has announced the launch and first close of its first dedicated mezzanine fund of funds vehicle on €50 million ($66 million).

Established in 1988, Quartilium is the fund of funds division of Finama Private Equity, the management company affiliated to French insurance group Groupama.

Quartilium Mezzanine is one of the first mezzanine fund of funds vehicles to launch in Europe. Closed in December 2004, the fund received commitments from a number of institutional investors including Groupama and will open to new investors in 2005.

Commenting on the close, Pierre Michel Deleglise, chairman of Finama, said in a statement: “This launch first meets the demand of institutional investors that are drawn to the attractive risk-adjusted returns of mezzanine.”

The fund’s stated strategy will be to build up a portfolio of 15 funds in Europe and the US.

Quartilium currently manages assets in excess of €400 million invested across a range of private equity funds of funds investment programmes in Europe and the US.

Finama Private Equity is a management company affiliated to Groupama, the second largest French generalist insurance group with €57 billion of assets under management.

In September 2004, Quartilium I, the €130 million private equity fund of funds launched by Finama in 2000, completed its investment programme.

The Finama team is investing successor fund Quartilium II, which was launched in June 2003 and has held a €125 million intermediary closing, as well as Quartilium Secondary II, which was also launched in June 2003 to target secondary opportunities and which has held a €33 million intermediary closing.