Azini Capital, the UK based private equity direct-secondary firm, has raised a new USD100m fund.
The fund, Azini 3, will acquire shareholdings – individually or as portfolios – in growth and development stage technology companies, providing historical investors and shareholders with an option for early liquidity.
Lexington Partners, an independent manager of secondary private equity funds, has worked with Azini since 2005 and has agreed to provide the majority of the investment for the new fund.
The Azini 3 fund builds on the success of the firm’s first two funds: Azini 1, which was raised in 2007, and Azini 2 which was established in 2010 to acquire a portfolio of investments from Apax Partners. Lexington was a major participant in both funds.
Nick Habgood of Azini Capital says: “Over the past 3 years Azini Capital has sold portfolio companies with more than USD1.25bn of enterprise value. Both Azini 1 and Azini 2 are fully returned and both funds continue to hold investments with significant potential.”
The investment criteria for Azini 3 is similar to that for Azini’s previous funds – to acquire greater than 10 per cent holdings in businesses which have more than USD10m of revenue and have a clear plan for the future.
Michael Bennett of Azini Capital says: “Once we have acquired an initial shareholding we are then able to invest fresh capital into the company to accelerate its performance and maximise the potential for a successful exit. Access to additional capital from a new investor can be very attractive to management and the remaining shareholders.”
