Gilde Buy Out Partners, a mid-market buyout firm with a focus on the Benelux and the French and German speaking regions, has held a final closing of Gilde Buy Out Fund III with total commitments at the original target of €600 million ($768.7 million). Jacobovits de Szeged: Gilde deliberately looked to widen investor base
Gilde’s success is in marked contrast to Taros Partners, a similar mid-market regional manager, that abandoned its fundraising after spinning out from AlpInvest, Europe’s biggest private equity investor.
Gilde received commitments from about 30 institutional investors in a year long fundraising. According to one investor it was a straight choice between Gilde and Taros.
Three quarters of commitments to Gilde were from existing investors including Access Capital Partners, the Kuwait Investment Office and Proventure.
Jacobovits de Szeged: Gilde deliberately looked to widen investor base
Rabobank, Gilde’s anchor investor and former legal parent, committed just under a third of the fund. Jacobovits de Szeged said Gilde has deliberately looked to widen its investor base. New investors include CAM Private Equity, Scottish Widows, Landesbank Hessen-Thüringen (Helaba) and F&C Asset Management.
Gilde plans to stay with its investment strategy of mid-market buyouts in the Benelux and neighbouring economies through its offices in the Netherlands, France and Switzerland.
Jacobovits de Szeged added: “On average our deals tend to range between €100 million and €300 million. We can underwrite up to 20 percent of the fund size in a single transaction and through co-investments with some of our investors we can occasionally consider larger buyouts.”
To date, Gilde Buy Out Partners has invested in 47 companies across a diverse range of sectors, of which it has realized 32 and generated an IRR in excess of 37% and a consistent average cash multiple of 2.5 times the original investment.
Gilde Buy Out Partners became fully independent from our former owner Rabobank in 2005.