Partners Group listed fund in €104m portfolio deal

The Swiss alternative asset manager has completed the first deal for its publicly-listed fund Partners Group Global Opportunities through a €104m mezzanine portfolio transaction arranged by Merrill Lynch and Credit Suisse.

Partners Group Global Opportunities, a €400 million fund listed by Swiss fund manager Partners Group on the UK’s Alternative Investment Market (AIM) in late September, has completed its first transaction with the acquisition of a warehoused mezzanine portfolio.
A spokesperson for Partners Group said that the fund had acquired two direct equity investments, 11 mezzanine loans and two second lien loans at a total cost of €104 million ($130.5 million). Merrill Lynch and Credit Suisse advised on the acquisition for Partners Group.

The deal includes financing elements of buyout transactions led by Apax Partners, BC Partners, Candover, Cinven, CVC Capital Partners, EQT, Leonard Green & Partners, Montagu Private Equity, Permira, The Carlyle Group and Wendel Investissement.
“Our target was to have Partners Group Global Opportunities Limited invested as soon as possible,” said Cyril Wipfli, head of investor relations at Partners Group. “It wasn’t a secondary portfolio transaction – during the normal course of Partners Group investing, we put aside several investments for the public product so that we could ramp up the portfolio. When we went public, we transferred over that portfolio that we had accumulated.”
Wipfli added that Partners Group Global Opportunities is expected to complete another two direct buyout investments, a mezzanine investment and a secondary portfolio acquisition before the end of October, at which point the fund will be approximately 55 percent invested: “We want to be fully invested by early 2007 in order to avoid any cash dilution on returns for our investors”.
Partners Group Global Opportunities began trading on AIM at the end of September with a launch price of €10, the same price at which it was trading at 10.30am BST today.