Flossbach von Storch has launched its fourth private equity fund of funds, a regulated, closed-end fund Tectum Private Equity in Luxembourg together in conjunction with Universal-Investment, which manages the fund as an AIFM.
The Flossbach von Storch Private Equity Team aims to build on the success of its predecessor funds with a target capitalisation of EUR200 million.
Flossbach von Storch AG is one of the leading independent asset managers in Germany and currently manages assets of more than EUR42 billion. The company has been active in the private equity asset class since its foundation and since 2008, it has offered its clients the opportunity to participate in the performance of non-listed companies via private equity funds of funds. “We are convinced of the quality of our investment concept and we would like to further expand this segment with our fourth fund,” says Kurt von Storch, Co-Founder and Board Member of Flossbach von Storch AG.
Tectum Private Equity IV will continue the successful strategy of its predecessor funds. The fund of funds invests in a diversified target fund portfolio with an investment focus on management buyouts and expansion financing in the small- and mid-cap segment. In order to optimise the risk-return profile, target funds investing in special strategies and venture capital will be added.
The Flossbach von Storch Private Equity Team under the responsibility of Dennis Kaiser and Oliver Hollender has many years of experience and a broad network in this asset class. “We are convinced that the successful implementation of a small- and mid-cap investment strategy only allows a limited fund volume,” says Dennis Kaiser. This is the only way to ensure maximum selectivity and access to first-class small- and medium-sized target funds.
The investment focus of Tectum Private Equity IV is also on private equity target funds that generate sustainable added value through active strategic and operational support of the companies in the portfolio. “This includes, for example, support in the implementation of internationalisation strategies, the professionalisation of corporate governance, as well as the supervision of M&A activities,” says Oliver Hollender.
The investment structure of Tectum Private Equity IV is aimed at high net-worth individuals and institutional investors whose requirements have especially been taken into account when structuring the fund vehicle.
