Oakley Capital invests in Horizons Optical

Oakley Capital, the leading pan-European, mid-market private equity investor, is pleased to announce that Oakley Capital Origin Fund I is investing in Horizons Optical, a provider of medical software used to make premium spectacle lenses.

Origin is acquiring a majority stake in the business alongside CEO Santiago Soler, who will retain a significant share in the business and will continue to lead Horizons. As part of the agreement, Oakley is acquiring the shares in Horizons owned by Sherpa Capital, a leading private equity firm in Iberia.

Founded in Barcelona in 2017, Horizons’ proprietary and patented software is used by independent laboratories around the world to manufacture bespoke, ‘progressive’ lenses that can correct a range of eye conditions including short, mid and far sightedness as well as astigmatism, all in one lens. Lenses manufactured using Horizons’ patented technology are positioned in the highest value-added segments of the optical industry, standing out for their distinctive qualities and outstanding optical performance. 10 million lenses were produced with Horizons’ technology in 2023.

Horizon Optical

Horizons also provides equipment for opticians with the capability to scan consumers’ faces and measure relevant facial parameters for the manufacturing of lenses and frames.

Horizons has a strong, historical track record generating double-digit revenue growth. The fast-growing business is internationally diversified with Europe and the US each accounting for approximately a third of revenues, followed by APAC and South America.

Horizons operates in a lens market with strong, long-term growth prospects, underpinned by a growing ageing population and the increased incidence of vision conditions caused by excessive screen time on mobile phones and desktop computers. At the same time, Horizons is growing the market by developing tools to help opticians sell to more customers, including its recently-launched Mimesys virtual reality headset which enables optometrists to accurately measure customers’ eyes in order to produce bespoke lenses.

 

Oakley’s Investment

Oakley’s investment in Horizons reflects its strategy of partnering with founder-led, entrepreneurial businesses to help them innovate and accelerate growth.  Oakley will leverage its strong track record of building market leaders to help Horizon accelerate its international growth plans, taking market share as a high-quality, innovative solution for lens manufacturers and opticians looking to offer bespoke eyecare solutions for consumers, while also leveraging its strong market reputation for exceptional customer service. Oakley will also support investment into R&D and Sales & Marketing to ensure Horizons continues to win as an innovator and disruptor in its core markets.

News

Oakley Capital invests in Spanish transport and logistics software business Alerce30.10.23

This will be Oakley’s sixth deal in Spain, following vLex, Seedtag, Alerce, Grupo Primavera (now part of Cegid), idealista, and several education assets, reinforcing its commitment to Iberia as a key investment destination. It will also be Origin I’s 9th investment after which the Fund will be c.75% invested.

Quote Peter Dubens

Horizons Optical has all the hallmarks of a typical Oakley deal: a disruptive market leader, with strong software IP and led by an exceptional management team. We look forward to working with Santiago to help the business realise its full potential, taking advantage of strong market growth drivers as well as leveraging our expertise helping to scale software businesses including Grupo Primavera in Iberia.

Peter Dubens

Founder and Managing Partner — Oakley Capital

Quote Santiago Soler

Our focus on quality, innovation and exceptional customer care have driven Horizons’ strong performance to date. Oakley clearly shares our values and so we are delighted to be partnering with the firm as we embark on the next stage of our expansion. We have travelled this path of growth alongside a strong partner in Sherpa Capital, to whom we are grateful not only for their investment in Horizons and belief in our potential but also for providing the company with a spirit of continuous improvement and excellence. We see enormous potential to further grow our international business, benefitting from Oakley’s expertise to expand our service offering and drive professional improvements across our business.

Santiago Soler

CEO — Horizons Optical

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KeyCorp and Blackstone Credit & Insurance Announce Forward Flow Origination Partnership

Blackstone

Partnership demonstrates commitment to providing relationship clients with capital and investing in high-return businesses

CLEVELAND, OH – Today, KeyCorp (NYSE: KEY, “Key”) announced a forward flow origination partnership with Blackstone Credit & Insurance (“Blackstone”) focused on Key’s Specialty Finance Lending (SFL) group. SFL is a leading asset-based lender serving clients nationally across middle market, growth capital, transportation, equipment, and other verticals. In connection with the partnership, Blackstone and Key closed a transaction on a seed portfolio of middle market fund finance facilities. Key will continue to originate, hold, and provide asset management services for new commitments across all sectors.

Randy Paine, Head of Key’s Institutional Bank said, “SFL is a highly successful business that has been organically built over the past 15 years to serve a dynamic and fast-growing client base with increasing financing needs. The partnership with Blackstone, a long-trusted participant in this sector, will accelerate the growth of the business and be mutually beneficial to all stakeholders, especially our clients.”

“Key’s SFL group is a strong franchise with deep relationships with originators,” said Rob Horn, Global Head of Infrastructure and Asset Based Credit at Blackstone. “We are pleased to have closed this initial transaction and look forward to growing the relationship with SFL.”

Advisors
Morgan Stanley & Co. LLC and KeyBanc Capital Markets served as advisors to KeyBank.

About KeyCorp
KeyCorp’s roots trace back nearly 200 years to Albany, New York. Headquartered in Cleveland, Ohio, Key is one of the nation’s largest bank-based financial services companies, with assets of approximately $188 billion at December 31, 2023. Key provides deposit, lending, cash management, and investment services to individuals and businesses in 15 states under the name KeyBank National Association through a network of approximately 1,000 branches and approximately 1,200 ATMs. Key also provides a broad range of sophisticated corporate and investment banking products, such as merger and acquisition advice, public and private debt and equity, syndications, and derivatives to middle market companies in selected industries throughout the United States under the KeyBanc Capital Markets trade name. For more information, visit https://www.key.com. KeyBank is Member FDIC.

About Blackstone
Blackstone is the world’s largest alternative asset manager. We seek to deliver compelling returns for institutional and individual investors by strengthening the companies in which we invest. Our more than $1 trillion in assets under management include global investment strategies focused on real estate, private equity, infrastructure, life sciences, growth equity, credit, real assets, secondaries, and hedge funds. Further information is available at www.blackstone.com. Follow @blackstone on LinkedIn, X (Twitter), and Instagram.

Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as “outlook,” “goal,” “objective,” “plan,” “expect,” “anticipate,” “intend,” “project,” “believe,” “estimate” and other words of similar meaning. Forward-looking statements represent management’s current expectations and forecasts regarding future events. If underlying assumptions prove to be inaccurate or unknown risks or uncertainties arise, actual results could vary materially from these projections or expectations. Factors that could cause Key’s actual results to differ from those described in the forward-looking statements can be found in KeyCorp’s Form 10-K for the year ended December 31, 2023, as well as in KeyCorp’s subsequent SEC filings, all of which have been filed with the Securities and Exchange Commission and are available on Key’s website (www.key.com/ir) and on the Securities and Exchange Commission’s website (www.sec.gov). Forward looking statements speak only as of the date they are made and Key does not undertake any obligation to update the forward-looking statements to reflect new information or future events.

Contact
Elana Ferrari for KeyCorp
(412) 222-1476
elana_ferrari@keybank.com

Mariel Seidman-Gati for Blackstone
(646) 482-3712
mariel.seidmangati@blackstone.com

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CVC Credit provides debt facilities for the acquisition of Innovative Beauty Group by Fremman Capital

CVC Capital Partners

CVC Credit, the €40 billion global credit management business of CVC, is pleased to announce that it has agreed to provide the debt facilities to support Fremman Capital’s acquisition of Innovative Beauty Group (“IBG”), a beauty and personal care service provider, currently part of the Albéa group. CVC Credit will act as sole lender in this transaction.

IBG offers its clients a 360-degree product development service, with end-to-end product management capabilities addressing the more complex aspects of bringing a product to market, including the ideation of the product, formulation, filling, packaging solutions and marketing. The business leverages its extensive global network, with 10 offices across three different continents, to provide local expertise to its +200 customers. With creative and sourcing capabilities across North America, Europe, and Asia, IBG’s 300 employees offer unrivalled expertise across the entire Beauty and Personal Care value chain, acting as a true value-added partner to its customers.

Christine Weis, Managing Director at CVC Credit, said: “IBG is well-positioned in a dynamic and expanding market, with multiple opportunities to enhance its presence and capabilities across regions, products and customer groups.” Eva Boutillier, Managing Director at CVC Credit added: “We are excited to support IBG’s ambitions, as they begin the next stage of their growth story in partnership with Fremman Capital.”

Olivier de Vregille, Founding Partner of Fremman Capital, said: “We look forward to working with IBG CEO, Xavier Leclerc de Hauteclocque and his team, to accelerate the growth of the company. We have been following this industry for a long time and we strongly believe in the innovative IBG model which disrupts the traditional Beauty and Personal Care supply chain while driving excellence and best results for all stakeholders.”

John Empson, Managing Partner and Co-Head of Private Credit at CVC Credit, commented: “As part of the CVC Network we have the advantage of being able to tap in to the knowledge of CVC’s leading European private equity platform to assist in our diligence work and price discovery. In the case of IBG, CVC Credit’s ability to draw on the experience of CVC Germany and their sector knowledge gained through their investment in Douglas, Europe’s leading specialist cosmetics and beauty retailer, was crucial in winning this opportunity.”

The transaction is subject to customary regulatory approvals and consultation of the relevant employee representative bodies of the Albéa group and expected to complete in Q2 2024.

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Ardian completes acquisition of leading green data center platform Verne

Ardian

Ardian will support Verne with up to $1.2bn of commitment to fund an ambitious and sustainable expansion plan across Northern Europe
• Ardian is securing a newly green financing package underwritten by a group of tier 1 European and International banks
• Management will benefit from Ardian’s expertise in the region, its industrial approach and experience across the full digital infrastructure value chain

Ardian, a world-leading private investment house, has completed the acquisition of the entire share capital of Verne (formerly Verne Global), a leading data center platform headquartered in the UK and diversified across Northern Europe, from Digital 9 Infrastructure plc (D9), an investment company listed on the London Stock Exchange.

Investment rationale

Founded in 2012, Verne addresses a large and fast-growing market in Northern Europe, where it has consistently delivered access to cost-effective renewable energy and international connectivity spanning Europe and North America for its international clients.

Its highly competitive total cost of ownership to customers, green credentials and best-in-class availability makes Verne a market-leading choice for organizations running high-performance computing (HPC) workloads, notably AI, Machine Learning and Large Language Models (LLM).

Sustainability has also been at the heart of the company’s mission since its inception, helping customers to scale their digital infrastructure cost-effectively while reducing their carbon footprint. Verne currently operates with 100% renewable energy in Iceland and 100% decarbonized energy in Finland and the UK.

Its blue-chip customers include leading industrials, financial services, research and AI organizations.

Ambitious value creation plan

Based on these strong pillars, Ardian will support the expansion of Verne with up to $1.2bn committed investment through equity and debt to deliver an ambitious growth plan for Northern Europe supported by Verne’s strong and experienced management team.
As part of its value creation strategy, Ardian plans to multiply Verne’s existing sold capacity of 29 MW for 2023 by close to four times in the medium term.

Ardian will bring its investment experience to support Verne in the region, where the company benefits from construction and operating synergies across the geographies and a strong pipeline of opportunities. This includes existing sites and new locations, with a focus on Iceland, Finland, Sweden, and Norway, as well as potential opportunities more broadly in Northern Europe.

The Verne’s top tier management team, including highly experienced data center experts and seasoned professionals, will benefit from direct access to Ardian’s networks and multi-local approach, with various offices across Northern Europe. Verne will also work with Ardian’s Data Science team to apply new AI use cases in managing its data centers.

This acquisition builds on Ardian’s deep expertise in investing and managing assets across the digital infrastructure value chain and in its core markets, including the UK and Nordic countries.

Ardian currently has $31bn of assets under management (AUM) in direct infrastructure activities. It has $6bn deployed across different sub-sectors of digital infrastructure. Its investment portfolio of renewable energy in the Nordics currently aggregates to $3bn, notably wind parks totaling c. 500 MW and Nevel, the Finnish district heating company backed by Ardian in 2021.

This represents a Sustainable Investment in accordance with the EU Sustainable Finance Disclosure Regulation (SFDR), meeting the environmental objective of the Fund through 100% eligibility to the EU Taxonomy with a clearly defined roadmap to reach alignment under Ardian’s ownership.

“With this new investment, the Infrastructure team continues to demonstrate its capacity to seize unique and value accretive opportunities in the European market to deploy our new flagship infrastructure fund.” Juan Angoitia and Benoît Gaillochet, Co-Heads of Infrastructure Europe, Ardian

“Having identified the company through our systemic matrix sourcing approach, looking through both a digital infrastructure and country specific lens, we identified Verne as a truly green data center compared with its peers globally.
This investment is fully aligned with our approach at Ardian of investing into platforms and delivering strong returns through major industrial strategy backed by an accelerated capex plan.  Ardian will support Verne’s top tier management team to match the incredible and fascinating customer AI-driven demand. With this investment, Ardian Infrastructure is now exposed to the whole digital infrastructure value chain capitalizing on global digitalization trends.” Gonzague Boutry, Managing Director – Digital Infrastructure, Ardian

“This is an exciting day for Verne as we become part of the Ardian platform. We have ambitious plans to continue growing the company and delivering sustainable data center solutions. We want to enable organizations to cost-effectively scale their digital infrastructure while reducing their environmental impact. We are hugely excited to be working with Ardian to help power our future.” Dominic Ward, CEO, Verne

ABOUT ARDIAN

Ardian is a world-leading private investment house, managing or advising $164bn of assets on behalf of more than 1,600 clients globally. Our broad expertise, spanning Private Equity, Real Assets and Credit, enables us to offer a wide range of investment opportunities and respond flexibly to our clients’ differing needs. Through Ardian Customized Solutions we create bespoke portfolios that allow institutional clients to specify the precise mix of assets they require and to gain access to funds managed by leading third-party sponsors. Private Wealth Solutions offers dedicated services and access solutions for private banks, family offices and private institutional investors worldwide. Ardian’s main shareholding group is its employees and we place great emphasis on developing its people and fostering a collaborative culture based on collective intelligence. Our 1,050+ employees, spread across 19 offices in Europe, the Americas, Asia and Middle East are strongly committed to the principles of Responsible Investment and are determined to make finance a force for good in society. Our goal is to deliver excellent investment performance combined with high ethical standards and social responsibility.
At Ardian we invest all of ourselves in building companies that last.

PRESS CONTACT

ARDIAN

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KKR To Support Ottobock With Capital Solution

KKR

London and Frankfurt, 15 March, 2024 – KKR, a leading global investment firm, announces today that a consortium of investors, co-led by KKR, has agreed to provide a €1.1 billion financing solution to support the future growth of Ottobock (the “Company”), a global market leader in prosthetics. The financing will also support existing majority shareholder Professor Hans Georg Näder and the Näder Family’s buy back of EQT’s shareholding in the business.

Headquartered in Duderstadt, Germany, with origins dating back more than 100 years, Ottobock is widely recognised for its innovative and market leading solutions in the fields of prosthetics and orthotics, dedicated to helping customers globally maintain or regain their freedom of movement. Ottobock, which has remained family-owned since inception in 1919, has more than 400 of its own patient care centres worldwide, providing a diverse range of high tech and customizable devices designed to help amputees’ mobility.

The Company has sat at the forefront of industry innovation, evidenced by the introduction of the first micro-processor enabled knee as early as 1997. It has maintained its global market leadership position through a continuous focus on innovation and R&D, delivering cutting edge products across EMEA, APAC, the Americas and Africa. The Company currently employs more than 9,000 employees worldwide.

Professor Hans Georg Näder, owner and Chairman of the Board of Directors of Ottobock, said: “To continue our successful strategy as a purely family-owned company, we needed to find the right strategic and solutions-orientated partner. KKR has a long history of helping German family businesses achieve their growth ambitions, as well as the agility and creativity to provide customised capital solutions. This strategic partnership will enable us to continue building on our strong market position under the leadership of our CEO Oliver Jakobi and his management team.”

Christian Ollig, Partner and Head of the DACH Region at KKR, added: “We have followed Ottobock for many years and are delighted to support the Näder family’s and management’s strategy for Ottobock in the future. KKR’s financing support of Ottobock follows KKR’s decade-long tradition to support families in the DACH region to realise their growth and innovation ambitions.”

KKR is making the investment in Ottobock primarily through its credit funds and accounts.

KKR’s diversified and multi-asset investment platform enables flexibility to support ambitious companies with a suite of comprehensive, bespoke capital solutions, further enhanced by the firm’s global experience and operational capabilities. In Germany, this model along with KKR’s partnership approach, strong local presence and large global platform, enables companies to grow and globalise.

Closing of the investment remains subject to the satisfaction of customary conditions.

— Ends —

About KKR
KKR is a leading global investment firm that offers alternative asset management as well as capital markets and insurance solutions. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach, employing world-class people, and supporting growth in its portfolio companies and communities. KKR sponsors investment funds that invest in private equity, credit and real assets and has strategic partners that manage hedge funds. KKR’s insurance subsidiaries offer retirement, life and reinsurance products under the management of Global Atlantic Financial Group. References to KKR’s investments may include the activities of its sponsored funds and insurance subsidiaries. For additional information about KKR & Co. Inc. (NYSE: KKR), please visit KKR’s website at www.kkr.com. For additional information about Global Atlantic Financial Group, please visit Global Atlantic Financial Group’s website at www.globalatlantic.com.

Media Contacts

FGS Global
Alastair Elwen
KKR-Lon@FGSGlobal.com
Tel: +44 (0) 20 7251 3801

 

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Nordic Capital to invest in leading digital insurance payments network One Inc to drive continued growth and product innovation

Nordic Capital

Strategic investment will support One Inc’s mission to digitalize and modernize the insurance industry

Nordic Capital, one of the most active and experienced investors in Technology & Payments globally, today announced that it will join Great Hill Partners, a private equity firm that invests in high-growth, disruptive companies, as an investor in One Inc (the “Company”), a digital payments platform specializing in modernizing the insurance industry in North America. Great Hill Partners invested in One Inc in 2020 and will retain an equal stake to Nordic Capital alongside a significant continuing investment from the Company’s current management team.

Founded in 2012, One Inc’s mission is to help insurance companies digitalize and modernize payments through cutting-edge technology that places customers at the center of every transaction. From premium payments to claims disbursement, One Inc strives to ensure a frictionless experience, merging all payment flows into one comprehensive platform. One Inc Digital Payments Platform is designed to integrate with modern and legacy insurance core systems, engaging policyholders through the channels they use most while securely processing payments through those same channels. Today, the Company has close to 500 employees, handles annual payments of USD 70 billion, and has one of the largest networks in the industry with over 700,000 vendors. One Inc proudly serves over 240 customers in the insurance industry, including Amica Insurance, MAPFRE, SageSure, Tower Hill Insurance, Wawanesa Insurance, and others.

The insurance industry faces a landscape defined by digital transformation, economic shifts, and environmental disruption, prompting it to innovate and optimize. One Inc’s payment network is well-positioned to accelerate and drive transformation, currently demonstrating over 65% year-over-year revenue growth.

Nordic Capital has over 30 years of experience accelerating the growth of innovative technology companies and is set to leverage its deep sub-sector and operational knowledge to create value and boost One Inc’s ambitious plans. Nordic Capital also has a long history of investing in partnerships with owners, founders, and management. It has made 30 technology investments in companies with an aggregate enterprise value of over EUR 24 billion. It made its first investment in Payments 20 years ago and has since partnered with several innovative payment companies, including Point International, Bambora, Trustly, and PayWithMyBank. In addition, Nordic Capital has invested in a variety of financial services businesses – including insurance carriers – for many years, bringing an extensive network of industrial advisors and an in-house operations team. This transaction represents Nordic Capital’s third investment in an innovative software company in North America in the last couple of months.

Fredrik Näslund, Partner and Head of Technology & Payments, and Mohit Agnihotri, Partner, Nordic Capital Advisors, said: “Nordic Capital is a longtime admirer of One Inc, which has stood out for solving the unique and complex challenges of digital payments in the insurance industry. Through its innovative solutions, the Company is transforming and simplifying payments for the entire insurance ecosystem benefitting carriers, consumers, and vendors alike. The management team, together with Great Hill Partners, has achieved impressive results. Nordic Capital is thrilled to be joining them for the next leg of the Company’s growth journey and utilizing our combined deep sector experience, extensive network, and active owner approach to fuel One Inc’s ambitious growth plans even further.”

Matt Vettel and Nick Cayer, Managing Directors at Great Hill Partners, said: “One Inc has been at the forefront of helping to shape the future of the insurance industry through digitalization and transformative products that seek to make the payment process as seamless as possible. Led by a seasoned and talented management team, the Company has consistently demonstrated its ability to innovate for customers. Since our initial investment in One Inc, the business has rapidly grown volume processed by 13x and is still early in market adoption, so we continue to have strong conviction in its potential to further scale. We welcome Nordic Capital to the investor group and look forward to combining our expertise with their deep industry experience to support the Company’s continued growth.”

Ian Drysdale, CEO of One Inc, said: “We have built an amazing business in collaboration with our insurer clients by putting them at the center of everything we do. We continue to see exponential growth and excellent customer loyalty, underscoring the strength of our model and industry-leading payments network of more than 700,000 vendors. The sector experience and resources that Nordic Capital and Great Hill bring to this partnership will fuel additional product innovation and drive new opportunities for growth as we continue to provide solutions that improve efficiency and boost revenue for today’s insurers.”

In addition to One Inc, Great Hill’s current portfolio of financial technology and payment companies includes NMI, Paytronix, Vanco and VersaPay. Prior financial technology and payment investments include Accelerated Payment Technologies, AffiniPay, BillMatrix, Chrome River, Confirmation.com, Custom House, MineralTree and Vigo.

Terms of the transaction were not disclosed, and the investment is subject to customary regulatory approvals.

Raymond James, J.P. Morgan and TD Cowen are serving as financial advisors and Goodwin Procter LLP as legal advisor to One Inc. William Blair is serving as financial advisor and Kirkland & Ellis as legal advisor to Nordic Capital.

 

About One Inc

One Inc is modernizing the insurance industry through a unified and frictionless payment network. Focusing only on the insurance industry, One Inc helps carriers transform their operations by reducing costs, increasing security, and optimizing customer experience. The comprehensive end-to-end digital payments platform provides expanded payment options, multi-channel digital communications and rapid digital claim payments, even for more complex insurance use cases. As one of the fastest-growing digital payments platforms in the insurance industry, One Inc manages billions of dollars per year in premiums and claim payments. For more information, please visit www.oneinc.com.

 

About Nordic Capital

Nordic Capital is a leading sector-specialist private equity investor with a resolute commitment to creating stronger, sustainable businesses through operational improvement and transformative growth. Nordic Capital focuses on selected regions and sectors where it has deep experience and a long history. Focus sectors are Healthcare, Technology & Payments, Financial Services, and Industrial & Business Services. Key regions are Europe and globally for Healthcare and Technology & Payments investments. Since inception in 1989, Nordic Capital has invested over EUR 25 billion in more than 145 investments. The most recent entities are Nordic Capital XI with EUR 9.0 billion in committed capital and Nordic Capital Evolution with EUR 1.2 billion in committed capital, principally provided by international institutional investors such as pension funds. Nordic Capital Advisors have local offices in Sweden, the UK, the US, Germany, Denmark, Finland, Norway, and South Korea. For further information about Nordic Capital, please visit www.nordiccapital.com.

“Nordic Capital” refers to, depending on the context, any, or all, Nordic Capital branded entities, vehicles, structures, and associated entities. The general partners and/or delegated portfolio managers of Nordic Capital’s entities and vehicles are advised by several non-discretionary sub-advisory entities, any or all of which are referred to as “Nordic Capital Advisors.”

 

About Great Hill Partners

Founded in 1998, Great Hill Partners is a private equity firm targeting investments in high-growth companies across the software, digital commerce, financial technology, healthcare, and digital infrastructure sectors. With offices in Boston and London, Great Hill has raised over $12 billion of commitments and invested in more than 95 companies, establishing an extensive track record of building long-term partnerships with entrepreneurs and providing flexible resources to help middle-market companies scale. Great Hill has been recognized for its industry leadership, being ranked #4 in the 2023 HEC Paris-Dow Jones Mid-Market Buyout Performance Ranking on March 6, 2024, which evaluated fund performance of 632 leading private equity firms between 2010-2019[1]. For more information, including a list of all Great Hill investments, visit www.greathillpartners.com.

 

Media contacts:

Nordic Capital
Katarina Janerud
Communications Manager, Nordic Capital Advisors
+46 8 440 50 50
katarina.janerud@nordiccapital.com

US media contact – Brunswick Group
NordicCapital@brunswickgroup.com


Great Hill Partners
FGS Global
greathill@fgsglobal.com
+1 212 687-8080


One Inc
Ana Pallas
Stanton Public Relations & Marketing
apallas@stantonprm.com
+1 415 867-6262

 

 

[1] Great Hill Partners did not submit a nomination to be considered for this list nor did it pay to be selected to/included on the list.

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KKR To Invest In Encavis AG To Accelerate The Company’s Long-Term Growth

KKR
  • KKR announces the signing of an Investment Agreement with Encavis as part of a takeover offer. The Management Board and the Supervisory Board of Encavis are fully supportive of the strategic partnership and intend to recommend that all shareholders accept the offer.
  • ABACON and other shareholders have signed binding agreements to sell and roll-over Encavis shares to BidCo and are fully supportive of the takeover offer. Viessmann will invest as shareholder in the KKR-led consortium.
  • The voluntary public takeover offer for all outstanding free float shares of Encavis will be launched at the offer price of EUR 17.50 per share, representing a 33% premium to the undisturbed 3-month volume-weighted average share price as of 5 March 20241 and a 54% premium to the closing price of EUR 11.35 per share on 5 March 20241.
  • The takeover offer will be subject to a minimum acceptance threshold ensuring that after settlement of the offer, BidCo will hold at least 50% plus one share of the capital and voting rights in Encavis on a fully diluted basis considering the conversion of up to all of the convertible bonds. KKR and the Management Board intend to delist Encavis as soon as practically possible after closing.
  • Together with the Management Board of Encavis and certain existing shareholders, including ABACON, KKR and Viessmann will enable Encavis to expand its contribution to Europe’s green energy transition. The consortium is expected to bolster the Company’s project pipeline, amplify capacity and extend its reach in core markets.
  • KKR does not require a domination and profit and loss transfer agreement (“DPLTA”) to finance the takeover offer or to realise the strategic and economic objectives and hence has undertaken not to enter into a DPLTA with Encavis for at least two years.

March 14, 2024 – Today, Blitz 21-823 AG (in future: Elbe BidCo AG, “BidCo”), a holding company controlled by investment funds, vehicles and accounts advised and managed by Kohlberg Kravis Roberts & Co. L.P. and its affiliates (collectively, “KKR”) has signed an Investment Agreement with Encavis AG (“Encavis”), a leading and proven German renewable energy platform and independent power producer (“IPP”). As part of the transaction, BidCo will launch a voluntary public takeover offer for all outstanding free float shares of the Company. Viessmann Group GmbH & Co. KG (“Viessmann”) will invest as shareholder in a KKR-led consortium. ABACON CAPITAL (“ABACON”) and other shareholders have signed binding agreements to sell ca. 18% and roll-over ca. 13% of Encavis shares and are fully supportive of the takeover offer.

Encavis AG operates a portfolio of more than 190 solar photovoltaic (“PV”) and more than 40 onshore wind farms with a current operating capacity of around 2.2 GW across 10 European countries. Encavis has long-term power purchase agreements with various high-quality counterparties in place in addition to a multi-year project pipeline. The well-managed diversified asset base together with the ability to be a fully integrated local pan-European partner, positions Encavis as a strong independent player in key markets such as Germany, Spain, Denmark, Italy, and France. Furthermore, the Company demonstrates a proven capability across the entire value chain, construction, financing, operation and in-house maintenance. With KKR’s and Viessmann’s support, Encavis is poised for an accelerated growth across all these segments.

“Unlocking the full potential of renewable energy requires expertise as well as substantial long-term capital. We are pleased that KKR’s strategic investment will provide Encavis with the necessary long-term financial resources at a pivotal time for the Company and position it to seize emerging opportunities and solidify its strength in the clean energy landscape. Furthermore, it also contributes to fostering a more energy-independent Europe,” said Vincent Policard, Partner and Co-Head of European Infrastructure at KKR.

Max Viessmann, CEO of Viessmann: “The collaboration with KKR and our investment in Encavis are important steps in our commitment to expanding our entrepreneurial activities and our responsibility for the future of our planet. With a clear focus on our purpose, we are reinvesting the proceeds from the transatlantic partnership of our climate solutions business with Carrier Global into our family business in order to expand our ecosystem of co-creators who share the same responsibility: Maximizing the positive impact for generations to come.”

Dr Christoph Husmann, Spokesman of the Management Board and Chief Financial Officer (CFO) of Encavis said: “Over the past years, Encavis has grown into one of the leading independent power producers in Europe and has strong ambitions to further continue on this growth path. With KKR and Viessmann, we aim to bring partners on board who share the same long-term and entrepreneurial approach and extensive experience of investing behind the energy transition. We are convinced that with the additional financial and strategic support, we will be able to leverage our assets and competences and take our business to the next level to compete with the largest European players.”

“We are convinced that Encavis has great potential. We want to increase and accelerate its realization. This requires strong partners – and we have now found them. The group of investors led by ABACON therefore supports KKR’s offer and welcomes KKR and Viessmann’s entry. We remain invested in Encavis and look forward to working actively together in the future,” said Tobias Krauss, CEO ABACON CAPITAL.

The transaction strengthens Germany’s energy future and supports the broader renewable energy transition in Europe

The strategic partnership between KKR, Viessmann, ABACON and Encavis not only positions Encavis as a leading German player in the energy transition, but also supports the broader renewable energy transition across Europe. Encavis is well positioned to benefit from ambitious national and international plans for solar and wind expansion. Additional financial support from KKR and Viessmann will enable the Company to capitalise on promising growth opportunities in the sector. The strategic partnership will further enable Encavis to bolster its project development pipeline, increase capacity and facilitate expansion into new markets. In addition, KKR, Viessmann and ABACON fully support the current growth strategy of the management team.

KKR and Viessmann have a long track record in the energy and infrastructure sector

KKR and Viessmann provide significant expertise in global infrastructure, with a particular focus on the energy sector, and have a proven track record of investing in companies on a long-term basis.

Furthermore, KKR and Viessmann share a commitment to investing in the future of renewable energy and are convinced by Encavis’ strong potential with the right support and resources.

KKR is excited to build on its long tradition of successful partnerships with family businesses in Germany and to work with Viessmann. With USD 59 billion of infrastructure assets under management, including over USD 15 billion invested in the energy transition, KKR brings a global investment perspective, extensive experience in large-scale infrastructure projects and a proven track record in European high-profile transactions such as Vantage Towers, Viridor, Zenobe or Greenvolt.

Viessmann brings a rich heritage in energy solutions, technological innovation, and a strong commitment to sustainability.

The family company is enlarging its ecosystem with strategic acquisitions and entrepreneurial co-investments to strengthen the impact of its purpose of co-creating living spaces for generations to come. Viessmann has already been successfully active with targeted investments for many years. Following its value-driven approach of entrepreneurs for entrepreneurs, it has been accelerating the growth of more than 25 mid-sized companies and family businesses globally in the past years.

The long-standing shareholder ABACON supports the growth partnership between KKR, Viessmann and Encavis and will remain an indirect long-term investor in the Company. The support of existing shareholders, including ABACON, as well as the management of Encavis and Viessmann makes this transaction a true German partnership solution and ensures business continuity for all stakeholders.

Following its first investment in the DACH region in the late 1990s, KKR has expanded its local footprint and has had an office in Frankfurt since 2018. In total, KKR has already invested over EUR 15 billion in long-term equity in over 30 companies in the region across various alternative asset classes. Across the DACH region, KKR has an exceptional track record of developing global market leaders, primarily through strategic partnership deals such as in Vantage Towers, GfK, Körber Supply Chain Software, Scout24 Switzerland and Wella Company.

Voluntary public takeover offer

As part of the strategic partnership, BidCo will launch a voluntary public takeover offer to the shareholders of Encavis. Encavis shareholders will be offered EUR 17.50 per share in cash. Encavis shareholders will benefit from a 33% premium to the undisturbed 3-month volume-weighted average share price as of 5 March 2024 and a 54% premium to the closing price of EUR 11.35 per share on 5 March 2024, i.e. the last close prior to the ad hoc announcement from Encavis confirming talks on a potential transaction with KKR.

The voluntary public takeover offer will be subject to a minimum acceptance threshold of 54.2852% of all outstanding Encavis shares, including the ca. 18% of Encavis shares that ABACON and other shareholders will sell and the ca. 13% of Encavis shares that ABACON and other shareholders will roll-over to the BidCo under binding agreements.

The voluntary public takeover offer will be subject to various customary offer conditions, including the receipt of regulatory, antitrust and FDI approvals, with closing expected in Q4 2024.

As part of the transaction, BidCo and Encavis have entered into an Investment Agreement in which Encavis agreed to support the takeover offer. Subject to their review of the offer document, the Management Board and Supervisory Board of Encavis support the offer and intend to recommend that Encavis shareholders accept the offer. The current Management Board members of Encavis will continue to lead the Company.

KKR does not require a domination and profit and loss transfer agreement (“DPLTA”) to finance the takeover offer or to realise the strategic and economic objectives and hence has undertaken not to enter into a DPLTA with Encavis for at least two years. In the Investment Agreement, BidCo has agreed with Encavis not to pursue a DPLTA for at least a two-year-period.

Post-settlement, BidCo intends to delist Encavis from the stock exchange as soon as practically possible after closing. Under private ownership, Encavis would be able to benefit from financial flexibility and a long-term commitment of KKR and Viessmann, allowing it to capitalise on attractive growth opportunities even better.

Offer document and further information

The voluntary public takeover offer will be made pursuant to an offer document to be approved by the German Federal Financial Supervisory Authority (BaFin). This offer document will be published following receipt of permission from BaFin, at which point the initial acceptance period of the takeover offer will commence. The offer document (in German and a non-binding English translation) and other information pertaining to the voluntary public takeover offer will be published on the following website: www.elbe-offer.com.

KKR will be investing through its Core Infrastructure strategy.

PJT Partners is acting as financial advisor and Latham & Watkins and Hengeler Mueller are acting as legal advisors on the takeover offer.


1 The last close prior to the ad hoc announcement from Encavis confirming talks on a potential transaction with KKR.

This accounts for potential dilution of existing shareholders from conversion of the hybrid convertible bonds; equivalent to 50% plus one share in case of a conversion of all of the hybrid convertible bonds.

###

About KKR
KKR is a leading global investment firm that offers alternative asset management as well as capital markets and insurance solutions. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach, employing world-class people, and supporting growth in its portfolio companies and communities. KKR sponsors investment funds that invest in private equity, credit and real assets and has strategic partners that manage hedge funds. KKR’s insurance subsidiaries offer retirement, life and reinsurance products under the management of Global Atlantic Financial Group. References to KKR’s investments may include the activities of its sponsored funds and insurance subsidiaries.

KKR established its Global Infrastructure business in 2008 and has since grown to one of the largest infrastructure investors globally with a team of more than 115 dedicated investment professionals. The firm currently oversees approximately USD 59 billion in infrastructure assets globally as of 31 December 2023, and has made over 80 infrastructure investments across a range of sub-sectors and geographies. KKR’s infrastructure platform is devised specifically for long-term, capital intensive structural investments.

For additional information about KKR & Co. Inc. (NYSE: KKR), please visit KKR’s website at www.kkr.com. For additional information about Global Atlantic Financial Group, please visit Global Atlantic Financial Group’s website at www.globalatlantic.com.

About Viessmann
Founded in 1917, the independent family company Viessmann is today a global, broadly diversified Group. All activities are based on the company’s purpose “We co-create living spaces for generations to come”. This is the passion and responsibility that the large worldwide Viessmann family brings to life every day. Following this purpose, Viessmann forms an ecosystem of entrepreneurs and co-creators with a clear focus on CO2 avoidance, CO2 reduction and CO2 capturing.

About ABACON
ABACON CAPITAL, a family-owned investment firm, champions the sustainable energy transition, pioneering mobility solutions, and groundbreaking deep tech. Our mission centers on uplifting communities, fostering purposeful endeavors, and ensuring profitability, all while advancing societal and environmental well-being.

Founded by Albert Büll, a visionary entrepreneur and investor with a legacy in nurturing sustainable enterprises – such as B&L Group in real estate development, Encavis AG in renewable energy production, and noventic in smart metering and energy management – ABACON is built on a foundation of innovation and responsibility.

About Encavis
The Encavis AG (Prime Standard; ISIN: DE0006095003; ticker symbol: ECV) is a producer of electricity from Renewable Energies listed on the MDAX of Deutsche Börse AG. As one of the leading independent power producers (IPP), Encavis acquires and operates (onshore) wind farms and solar parks in twelve European countries. The plants for sustainable energy production generate stable yields through guaranteed feed-in tariffs (FIT) or long-term power purchase agreements (PPA). The Encavis Group’s total generation capacity currently adds up to around 3.6 gigawatts (GW), of which around 2.2 GW belong to the Encavis AG, which corresponds to a total saving of around 0.8 million tonnes of CO2 per year stand-alone for the Encavis AG. In addition, the Group currently has around 1.2 GW of capacity under construction, of which around 830 MW are own assets.

Within the Encavis Group, Encavis Asset Management AG offers fund services to institutional investors. Another Group member company is XYZ S.p.A., based in Parma, Italy, a specialised provider of technical services for the installation, operation, maintenance, revamping and repowering of photovoltaic systems across Europe.

Encavis is a signatory of the UN Global Compact as well as of the UN PRI network. Encavis AG’s environmental, social and governance performance has been awarded by two of the world’s leading ESG rating agencies. MSCI ESG Ratings awarded the corporate ESG performance with their “AA” level and ISS ESG with their “Prime” label (A-).

Additional information can be found on www.encavis.com

Media Contacts

KKR
Thea Bichmann
Mobile: +49 (0) 172 13 99 761
Email: kkr_germany@fgsglobal.com

Emily Lagemann
Mobile: +49 (0) 160 99 27 13 35
Email: kkr_germany@fgsglobal.com

Viessmann
Byung-Hun Park
Vice President Corporate Communications
E: huni@viessmann.com
M: +49151-64911317

Disclaimer and forward-looking statements
This press release is neither an offer to purchase nor a solicitation of an offer to sell Encavis Shares. The final terms of the Takeover Offer as well as other provisions relating to the Takeover Offer will be communicated in the offer document after the German Federal Financial Supervisory Authority (Bundesanstalt für Finanzdienstleistungsaufsicht) has permitted the publication of the offer document. Investors and holders of Encavis Shares are strongly advised to read the offer document and all other documents relating to the Takeover Offer as soon as they have been made public, as they will contain important information. The offer document for the Takeover Offer (in German and a non-binding English translation) with the detailed terms and conditions and other information on the Takeover Offer will be published after approval by the German Federal Financial Supervisory Authority (Bundesanstalt für Finanzdienstleistungsaufsicht) amongst other information on the internet at www.elbe-offer.com.

The Takeover Offer will be implemented exclusively on the basis of the applicable provisions of German law, in particular the German Securities Acquisition and Takeover Act (Wertpapiererwerbs- und Übernahmegesetz – WpÜG), and certain securities law provisions of the United States of America relating to cross-border takeover offers. The Takeover Offer will not be conducted in accordance with the legal requirements of jurisdictions other than the Federal Republic of Germany or the United States of America (as applicable). Accordingly, no notices, filings, approvals or authorizations for the Takeover Offer have been filed, caused to be filed or granted outside the Federal Republic of Germany or the United States of America (as applicable). Investors and holders of Encavis Shares cannot rely on being protected by the investor protection laws of any jurisdiction other than the Federal Republic of Germany or the United States of America (as applicable). Subject to the exceptions described in the offer document and, where applicable, any exemptions to be granted by the respective regulatory authorities, no takeover offer will be made, directly or indirectly, in those jurisdictions in which this would constitute a violation of applicable law. This press release may not be released or otherwise distributed in whole or in part, in any jurisdiction in which the Takeover Offer would be prohibited by applicable law.

The Bidder reserves the right, to the extent permitted by law, to directly or indirectly acquire additional Encavis Shares outside the Takeover Offer on or off the stock exchange, provided that such acquisitions or arrangements to acquire are not made in the United States, will comply with the applicable German statutory provisions, in particular the WpÜG, and the Offer Price is increased in accordance with the WpÜG, to match any consideration paid outside of the Offer if higher than the Offer Price. If such acquisitions take place, information on such acquisitions, including the number of Encavis Shares acquired or to be acquired and the consideration paid or agreed, will be published without undue delay if and to the extent required under the laws of the Federal Republic of Germany, the United States or any other relevant jurisdiction. The Takeover Offer will relate to shares in a German company admitted to trading on the Frankfurt Stock Exchange and Hamburg Stock Exchange and will be subject to the disclosure requirements, rules and practices applicable to companies listed in the Federal Republic of Germany, which differ from those of the United States and other jurisdictions in certain material respects. The financial information relating to the Bidder and Encavis included elsewhere, including in the offer document, will be prepared in accordance with provisions applicable in the Federal Republic of Germany and will not be prepared in accordance with generally accepted accounting principles in the United States; therefore, it may not be comparable to financial information relating to United States companies or companies from other jurisdictions outside the Federal Republic of Germany. The Takeover Offer will be made in the United States pursuant to Section 14(e) of, and Regulation 14E under, the Exchange Act, and on the basis of the so-called Tier II exemption from certain requirements of the Exchange Act, which exemption allows a bidder to comply with certain substantive and procedural rules of the Exchange Act for takeover bids by complying with the law or practice of the domestic legal system and exempts the bidder from complying with certain other rules of the Exchange Act, and otherwise in accordance with the requirements of the laws of the Federal Republic of Germany. Shareholders from the United States should note that Encavis is not listed on a United States securities exchange, is not subject to the periodic requirements of the Exchange Act and is not required to, and does not, file any reports with the United States Securities and Exchange Commission.

Any contract entered into with the Bidder as a result of the acceptance of the planned Takeover Offer will be governed exclusively by and construed in accordance with the laws of the Federal Republic of Germany. It may be difficult for shareholders from the United States (or from elsewhere outside of Germany) to enforce certain rights and claims arising in connection with the Takeover Offer under United States federal securities laws (or other laws they are acquainted with) since the Bidder and Encavis are located outside the United States (or the jurisdiction where the shareholder resides), and their respective officers and directors reside outside the United States (or the jurisdiction where the shareholder resides). It may not be possible to sue a non-United States company or its officers or directors in a non-United States court for violations of United States securities laws. It also may not be possible to compel a non-United States company or its subsidiaries to submit themselves to a United States court’s judgment.

 

 

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Leo Puri joins Apax to support growth in India

Apax

Apax Partners LLP (“Apax) is pleased to announce the appointment of Leo Puri as an Advisor to Apax and Chairman of Apax India.

In this newly created role, Leo Puri will advise Apax on the long-term growth strategy of the firm in the region.  Leveraging his extensive experience and local network, Puri will partner with Anurag Sud, Head of Apax India and the ten-strong India investment team, providing mentorship, strategic advice, operational input, and advice in assessing new investment opportunities, where relevant. Anurag Sud will continue to lead and manage day-to-day operations in India, with support from London-based Partner Rohan Haldea.

Commenting on Leo Puri’s appointment, Andrew Sillitoe, Co-CEO of Apax, said: “We are delighted that Leo is joining Apax as an advisor to work closely with our India team. He brings a wealth of experience and local knowledge, and we look forward to working closely with him.”

Rohan Haldea, Partner at Apax, added: “Leo has a truly impressive track-record of building and growing global, people-led organisations, and we’re incredibly pleased to welcome him to the firm. We know he will be an asset to our team as we look to continue strengthening our presence in what is, and continues to be, an incredibly exciting market for us.”

Puri has extensive experience in private capital and the broader financial services industry, having held senior roles at UTI Asset Management, McKinsey & Company, and Warburg Pincus in India. Puri also previously served as the Chairman of JP Morgan Chase for South and Southeast Asia, and currently sits on the Boards of Tata Sons, Hindustan Unilever, and Dr. Reddy’s. He has worked extensively in the UK, USA and Asia over a career spanning across three decades.

On joining Apax India, Leo Puri said: “I’m proud to be working with the talented Apax team in India and supporting the growth of the franchise in the region. Apax India has an impressive heritage and track-record, and I look forward to building on this success, working closely with the team in Mumbai, as well as the wider global Apax team”

The Apax India office was established in 2006 and has since facilitated several successful investments for the Apax Funds, including Azentio Software, Infogain, Global Logic, Zensar, IBS Software, and Fractal Analytics, Healthium, and Apollo Hospitals.  In total, the Apax Funds have invested $2.3bn across 9 deals in India.

 

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Linden Invests in Alcresta Therapeutics

Linden Capital Partners

Chicago, IL (March 12, 2024) – Linden Capital Partners (“Linden”), a Chicago-based healthcare private equity firm, announced today the completion of its acquisition of Alcresta Therapeutics, Inc. (“Alcresta” or “the Company”), a leader in commercializing novel enzyme-based products designed to address challenges faced by patients living with gastrointestinal disorders and rare diseases.

Alcresta recently announced 510(k) clearance of its next-generation RELiZORB® (iMMOBILIZED LIPASE) cartridge by the Center for Devices and Radiological Health of the U.S. Food and Drug Administration. The next-generation RELiZORB device was developed to address the enteral nutrition needs of a wider population of patients living with rare diseases and is expected to launch in Q2 2024.

Linden Operating Partner Ron Labrum, who is joining Alcresta as Chairman of the Board of Directors, said, “I am very excited to join the Alcresta team to support the continuing growth of the company. Alcresta’s rapid progress has made a meaningful difference for patients living with rare diseases that struggle with fat malabsorption. Linden feels very fortunate to partner with Alcresta as it prepares for new levels of momentum and success in the years ahead.”

Daniel Orlando, CEO of Alcresta, said, “We have been very impressed with Linden’s thoughtful investment approach as we finalize launch plans for the next generation RELiZORB and accelerate R&D efforts for an iteration to treat enterally fed patients in the NICU. We anticipate considerable growth in the years to come and appreciate the added strategic planning and investment experience that Linden brings to Alcresta.”

Piyush Shukla, Partner at Linden and incoming Board member at Alcresta, added, “Linden’s investment in Alcresta is a direct result of our dedicated and longstanding medical devices and specialty pharma sector effort. We have been impressed with the organization and team that Daniel has built and are excited to partner with Alcresta on this next phase of growth.” Linden’s Ernest Waaser and Prab Chawla have also joined the Board of Directors, alongside Alcresta CEO Daniel Orlando.

Kirkland & Ellis LLP and Cain Brothers, a division of KeyBanc Capital Markets, served as legal advisor and financial advisor to Linden, respectively. Wilmer Cutler Pickering Hale and Dorr LLP and Rothschild & Co served as legal advisor and financial advisor to Alcresta, respectively. Twin Brook Capital Partners and MidCap Financial provided debt financing for the transaction.

About Alcresta Therapeutics, Inc.
Alcresta Therapeutics, Inc. is dedicated to developing and commercializing novel, enzyme-based products designed to address challenges faced by patients living with gastrointestinal disorders and rare diseases.  Alcresta currently markets RELiZORB for enterally fed patients with pancreatic insufficiency, which occurs in cystic fibrosis, pancreatic cancer, and pancreatitis, and is developing platform applications for patients with short bowel syndrome (SBS) and prematurely born infants treated in the NICU.  More information can be found at www.alcresta.com.

About Linden Capital Partners
Linden Capital Partners is a Chicago-based private equity firm focused exclusively on the healthcare industry. Founded in 2004, Linden is the country’s largest dedicated healthcare private equity firm by total buyout capital raised. Linden’s strategy is based upon three elements: (i) healthcare specialization, (ii) integrated private equity and operating expertise, and (iii) its differentiated human capital program. Linden invests in middle market platforms in the medical products, specialty distribution, pharmaceutical, and services segments of healthcare. Since its founding, Linden has invested in over 40 healthcare companies encompassing over 325 total transactions. The firm has approximately $8 billion in regulatory assets under management. For more information, please visit www.lindenllc.com.

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HarbourView Equity Partners Secures Close To $500 Million In Debt Financing From KKR And Other Investors To Expand Music Investment Opportunities

KKR

NEWARK, N.J.–(BUSINESS WIRE)–HarbourView Equity Partners (HarbourView), an industry-leading alternative asset management company focused on investment opportunities in the sports, media and entertainment space, has secured approximately $500 million in debt financing through a private securitization backed by its diversified catalog of music royalties. Insurance vehicles and accounts managed by KKR, a leading global investment firm, led the financing and investment accounts advised by Kuvare Asset Management also participated in the transaction.

“We are grateful to KKR for working with us to deliver a flexible and innovative financing structure that will support HarbourView in expanding its reach,” said HarbourView Founder and CEO Sherrese Clarke Soares. “This capital will allow us to further our mission of investing in assets and companies driven by premier intellectual property while striving to ensure that creators are appropriately valued for their contributions to the world.”

“This transaction is a testament to the scale and versatility of our High-Grade Asset-Based Finance strategy, which is a fast-growing segment of our private credit business,” said Avi Korn and Chris Mellia, Co-Heads of U.S. Asset-Based Finance at KKR. “Music IP is one of many areas where we see opportunity and we are pleased to finance a scaled and high-quality portfolio in this space.”

KKR’s Asset-Based Finance (ABF) strategy focuses on privately originated and negotiated credit investments that are backed by large and diversified pools of financial and hard assets, offering diversification to traditional corporate credit and attractive risk-adjusted returns. KKR’s ABF platform began investing in 2016 and now has approximately $48 billion in ABF assets under management globally across its High-Grade ABF and Opportunistic ABF strategies.

Established in 2021, HarbourView Equity Partners has quickly solidified its position in the industry, amassing roughly $1.6 billion* in regulatory managed assets and establishing a distinctly diverse portfolio featuring thousands of titles spanning numerous genres, eras, and artists. The asset manager has acquired 50+ catalogs including Pat Benatar and Neil Giraldo, Fleetwood Mac’s Christine McVie, Wiz Khalifa, Brad Paisley, Jeremih, Nelly, Luis Fonsi, Eslabon Armado and more. Their diversified catalog features ~28,100+ songs across both master recordings and publishing income streams.

The financing further emphasizes HarbourView’s commitment to delivering the best execution for its growing LP base and comes on the heels of numerous major deals, including its $300 million credit facility expansion announced in December 2023.

Guggenheim Securities, LLC served as sole structuring advisor, and Guggenheim Securities, LLC and Barclays acted as co-placement agents on this transaction.

About HarbourView Equity Partners
HarbourView Equity Partners is an investment firm, founded by Sherrese Clarke Soares, focused on the entertainment and media markets. The firm seeks businesses or assets powered by IP and investment opportunities that aim to build enduring value and returns. HarbourView has been extremely active since launching in 2021, acquiring over 50 music catalogs to date. The firm’s distinctly diverse portfolio features thousands of titles spanning numerous genres, eras, and artists, amounting to a diversified catalog of ~28,100+ songs across both master recordings and publishing income streams. In addition to music, HarbourView is focused on opportunities to support premium content across the entertainment, sports, and media sectors. The company is headquartered in Newark, NJ.

About KKR
KKR is a leading global investment firm that offers alternative asset management as well as capital markets and insurance solutions. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach, employing world-class people, and supporting growth in its portfolio companies and communities. KKR sponsors investment funds that invest in private equity, credit and real assets and has strategic partners that manage hedge funds. KKR’s insurance subsidiaries offer retirement, life and reinsurance products under the management of Global Atlantic Financial Group. References to KKR’s investments may include the activities of its sponsored funds and insurance subsidiaries. For additional information about KKR & Co. Inc. (NYSE: KKR), please visit KKR’s website at www.kkr.com. For additional information about Global Atlantic Financial Group, please visit Global Atlantic Financial Group’s website at www.globalatlantic.com.

*Regulatory AUM for private funds are calculated regardless of the nature of the gross assets under management. This includes any uncalled committed capital pursuant to an obligation to make a capital contribution to the fund.

Contacts

Media:

For HarbourView: The Lede Company | harbourview@ledecompany.com

For KKR: Julia Kosygina | +1 212-750-8300 | Media@kkr.com

 

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