Idinvest beats target for fourth fund with €715m

The French alternatives manager has been actively investing this year and expects its fourth vehicle to be fully committed by year-end.

Idinvest Partners has raised €715 million for its latest direct lending fund, beating its €600 million target.

The Paris-headquartered investment manager began raising its fourth European direct lending fund in 2016 and has already invested 60 percent of total commitments across 17 companies. It said 40 percent of the money has been invested outside of France. It expects the fund to be fully invested by the end of 2018.

The fund focused on European lower mid-market companies with an enterprise value of between €35 million and €250 million, primarily through unitranche finance with tickets of between €10 million and €75 million.

The fund is targeting returns of between 9-10 percent with an eight-year lifespan and two one-year extentions.

François Lacoste and Eric Gallerne, partners in charge of Private Debt at Idinvest, said: “We are confident that the Private Debt market will continue to offer further opportunities for Idinvest moving forward. Our 10 years of experience in the European lower mid-market segment will be key to catch the best opportunities for our investors.”

Idinvest added that it has seen strong deal origination in the first quarter of 2018, investing €120 million across seven companies including Technicis, Zodiac Milpro and Gravotech in France or Halex Group and GS Star in Germany.

In 2017 Idinvest’s private debt team invested €900 million across 45 companies in Europe.

Idinvest’s previous direct lending fund raised €400 million at its final close in June 2015, beating its €350 million target. It was the firm’s first debt fund that raised the majority of its capital from investors outside of France.