Fundraising

Henderson Asia doubles money in six-month deal

As the private equity arm of Henderson Global Investors gears up for the launch of its second pan-Asian growth capital fund it has announced the doubling of its money in Singapore-based MagiNet.

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Henderson Private Capital has sold its stake in Singapore-based broadband provider MagiNet for $12 million (€10 million), less than six months after investing in the company.

Henderson doubled its money in that time, having invested $6 million for a 12 percent stake in MagiNet in December 2004.

Roger Greville, global head, Henderson Private Capital

Commenting on the deal, Sanjiv Kapur, head of private equity Asia said in a statement: “We target businesses that can deliver returns to our investors in a reasonable time period – at the end of the day, cash back is what is important.”

Kapur said that the firm had been working on a local listing of MagiNet when the trade sale opportunity emerged.

Kapur heads up the eight strong Asian team that will reportedly launch its second fund dedicated to India and Asia Pacific imminently.

The new fund, Henderson Asia Pacific Equity Partners (HAPEP II), will have a final target of $400 million, according to sources close to the firm. Henderson currently has offices in Hong Kong, New Delhi and Singapore.

The fund will be a successor to HAPEP I, a $210 million fund raised in 2001. Roger Greville, global head of Henderson Private Capital said in a statement:

At the end of the day, cash back is what is important.

Sanjiv Kapur, head of private equity Asia, Henderson Private Capital

“Our Asia Pacific private equity fund has now completed eight investments. Of these, five have already been exited, delivering a realised IRR of 25 percent, with significant embedded value remaining in the portfolio.”

Henderson provides expansion capital to financial services, healthcare and manufacturing companies across Asia. The firm completed a burst of activity in the Asian marketplace earlier this year, investing in publishing company HT Media, Indian chemical manufacturer Jubilant Organsys and Chinese home appliance manufacturer Airmate.

Henderson Private Capital is the private investment arm of Henderson Global Investors and manages funds across its European private equity, infrastructure and fund of funds divisions, as well as in Asia.