Report: Quadrant raises A$850m Australia fund

The Sydney-based firm closed its seventh vehicle oversubscribed after one month in the market.

Quadrant Private Equity has raised A$850 million ($759 million; €553 million) for its latest private equity offering, just one month after entering the market, according to media reports.

The fund, Quadrant’s seventh vehicle, was reportedly oversubscribed by both foreign and domestic investors, and was A$100 million larger than its predecessor.

Led by founding managing director Chris Hadley, Quadrant invests between A$70 million and A$150 million in profitable, growing businesses, according to the firm.

Its existing investors include Adams Street Partners, AustralianSuper, ING Private Capital, Partners Group, Quay Partners, Telstra Super and Tokio Marine.

The fundraise comes not long after Quadrant listed in-vitro fertilisation business Virtus Health on the Australian stock exchange in a $300 million June IPO that listed at a 7 percent premium to its offer price, media reported earlier.

The deal was widely acknowledged as an indication of investor interest in the country, with the Australian Private Equity and Venture Capital Association saying earlier, “[Virtus Health] has greatly contributed to opening up public markets to PE-backed exits during what has been a tough period for divestments.”

Quadrant won the Chairman’s Award in the AVCAL Awards 2013 in recognition of the Virtus investment.

Subsequently, the IPO market in Australia welcomed a number of private equity-backed IPOs, allowing a number of firms to exit investments.

Exits via IPO included Anchorage Capital Partners sale of electronics retailer Dick Smith and the long-awaited listing of Nine Entertainment by Oaktree Capital Management and Apollo Global Management, both in December, Private Equity International reported earlier.