Investment presentation Private Equity

Private Equity

At 31 December 2017, FFP had invested €184 million (1) in private equity funds, representing 6.3% of the Gross Asset Value of Investments and 4.2% of FFP’s Gross Asset Value.

(1)   Excluding co-investments and real-estate funds.

Since 2002, FFP has invested in private equity funds. This asset class allows FFP to invest in a large number of companies and business sectors, taking a long-term approach. It also gives FFP exposure to sectors and geographical zones that would be hard for it to access directly.

FFP’s portfolio consists mostly of buyout (LBO), expansion capital and technology growth capital funds, which invest in Europe, the USA and emerging-market countries (India, China, Africa and the Middle East, along with markets in which IDI Emerging Markets invests).

The main private equity strategy is to support LBO and expansion capital teams in Europe, North America and emerging markets. FFP also invests in adjacent asset classes such as technology growth capital funds and impact investing/venture philanthropy/sustainable development funds. FFP seeks to make co-investments with certain funds.

2017 was another very busy year for FFP’s private equity activities. FFP committed over €105 million to several new funds, including €78 million to buyout (LBO) and expansion capital funds and around €27 million to technology growth capital and impact investing funds.

In the USA, FFP committed $10 million to the Veritas Capital VI fund, $15 million to the Valor Equity IV fund and $15 million to the Levine Leichtman VI fund. In Europe, FFP made commitments to three LBO funds: €10m to pan-European fund Chequers Capital XVII, €15 million to Spanish fund Portobello IV and €20 million to pan-European fund PAI VII. FFP also made commitments to two technology growth capital funds: €12 million to pan-European fund Summit Partners Europe II and $15 million to Insight Partners X. Finally, FFP made a €2 million commitment to French venture philanthropy fund Alpha Diamant  II.

In 2017, calls for funds amounted to €70 million. Funds carried out a number of disposals, leading to distributions of around €34 million in 2017.

Update at 2017 December 31st