ForeVest Capital Partners (ForeVest), a private equity fund manager operating primarily in Central and Eastern Europe, has closed a general partner-led secondary transaction of a fund it advises, PineBridge New Europe Partners II (NEP II).
In the transaction, a new investment fund advised by ForeVest acquired portfolio companies from NEP II. The new fund also obtained commitments from new and existing LPs for new capital to support and develop the acquired portfolio. Park Hill advised NEP II on the transaction.
Intermediate Capital Group (ICG) Strategic Equity team led the transaction from the buyer’s side and became the largest investor in the new fund.
The transaction was the result of a competitive bidding process designed to provide existing NEP II LPs with an option to either receive liquidity or roll their investment into the new fund. This transaction gave ICG the opportunity to invest in a unique growth portfolio of Central and Eastern European (CEE) mid-market companies. It also provided the new fund with access to capital for follow on investments and continued growth of the portfolio, as well as an extended duration to realize the portfolio’s full potential. ForeVest will continue to manage the portfolio of the new fund on behalf of the investment manager and general partner.
Pierre Mellinger, Managing Partner of ForeVest, says: “We would like to thank those LPs who are exiting our fund for their support over the years and look forward to working closely with our new and continuing investors as we grow our businesses in the future.” Artur Haze, also a Managing Partner of ForeVest added: “I am excited about this new chapter for our highly experienced team and look forward to continue supporting the existing portfolio and to making new investments in CEE and particularly Poland.”
Ricardo Lombardi, Managing Director in ICG’s Strategic Equity team said: “We have known the ForeVest team for several years, and are excited to back them. Selling LPs took advantage of the opportunity for liquidity, while those LPs with longer investment horizons were allowed to rollover into the new structure and participate in the future potential value creation. The ForeVest team has increased their economic participation alongside ICG, and has been realigned to drive upside. The portfolio companies now have a clear, newly extended investment horizon, and capital available for strategic opportunities. We believe the combination of all of the above provide the right ingredients for a successful investment, and one that creates welcome optionality for investors in mature, illiquid private equity funds.”
