Fundraising

Alpha closes fund of funds on €309m

Alpha Associates, the central and eastern European fund manager, has held the final close of its second fund, which is already 40 percent committed.

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Central and eastern European fund of funds Alpha Associates has held the final close of its second fund on €309 million ($441 million).

Alpha will invest in various funds in the region targeting the mid-market, expansion finance, the secondary market and direct co-investments. According to the firm, the fund is already 40 percent committed.

UK insurer Allianz Group has underwritten €100 million of the fund to provide partial protection of investors’ capital, in a transaction arranged by Swiss Alternative Asset Brokers.

The fund attracted various institutional investors from Europe and the US including the European Bank for Reconstruction and Development, a special purpose vehicle arranged by US bank Merrill Lynch, Swedish bank Hansabank as well as US insurance company Minnesota Life.

Last month, central and eastern European buyout firm Mid Europa Partners raised the region’s largest ever fund with a first close on more than €1 billion. The fund has a €1.5 billion target.