Cinven takes a slice of European debt boutique

The London-based private equity firm has diversified its buyout business with the purchase of 50 percent stake in Indicus Advisers.

Cinven has acquired a 50 percent stake in the London and New York debt investment boutique Indicus Advisers for an undisclosed sum. The investment was made from the private equity firm's balance sheet, as opposed to one of its funds.
Indicus is an alternative investment manager focusing on European leveraged finance and global structured credit. It was founded in 2006 by David Reilly and Ujjaval Desai.

“The team at Indicus will continue to manage the business independently of Cinven, but with the advantage of accessing Cinven's relationships,” said Andrew Joy, a partner at Cinven.

The current management of the debt investment boutique, which has around $1.75 billion (€1.2 billion) of assets under management, will retain the remaining 50 percent stake.
Cinven joins a growing group of buyout firms which have increased their exposure to debt investment, including TPG, Kohlberg Kravis Roberts and The Blackstone Group.
Earlier this week Apollo Global Management and GSO Capital Partners, a credit-focused hedge fund acquired by Blackstone in March 2007, agreed to acquire a total of approximately $13 billion (€8.7 billion) in leveraged loans across two separate transactions.