Private Equity Portfolio

VPEG5 will only make investments into or alongside, later expansion and buyout funds that target the consistently strong performing, lower to mid-market segment of Private Equity in Australia, where businesses typically have an enterprise value of between $25m – $250m at initial investment. This segment of Private Equity is attractive due to the following reasons:

  • There is less competition for deals, businesses can be purchased at lower purchase multiples and lower levels of debt are utilised in this segment than the highly competitive, large or mega market private equity fund space, that is dominated by global private equity firms.
  • The majority of growth in value of private equity backed businesses in this segment is generated by sustainable earnings enhancement rather than the financial engineering or cost cutting approach that is typical of the larger market space.
  • Private Equity executives work more actively in partnership with the management of portfolio companies in this segment and bring deep financial and business skills as well as the broad networks and experience that are essential for transformational business growth.
  • This segment also benefits from the ability for Private Equity funds to exit (or sell) portfolio companies by several different methods, including;
    • an Initial Public Offer (or listing on a public market),
    • a Trade Sale to a larger industry player or
    • as a “Secondary Sale” to a larger, often global, private equity fund.

As VPEG5 develops its Private Equity portfolio over time, a summary of each underlying fund commitment and investment is provided below.

February 2022

VPEG5’s Investment Committee approves a $20 million investment commitment to Advent Partners 3 Fund

February 2022

VPEG5’s Investment Committee approves a $20 million investment commitment to Allegro Fund IV

February 2022

VPEG5’s Investment Committee approves a $20 million investment commitment to Anchorage Capital Partners Fund IV

February 2022

VPEG5’s Investment Committee approve a $1 million co-investment alongside Allegro Fund IV into Gull New Zealand, a leading independent fuel distributor and retailer in New Zealand with a prominent challenger brand through its network of 112 fuel sites across the country, regional New South Wales.

February 2022

VPEG5’s Investment Committee approve a $1 million co-investment alongside Riverside Australia Fund III into EventsAir, a leading provider of events management software for in-person, virtual and hybrid events

February 2022

VPEG5’s Investment Committee approves a $20 million investment Commitment to CPE Capital 9

June 2022

VPEG5’s Investment Committee approves a $15 million investment commitment to Mercury Capital Fund twenty2

September 2022

VPEG5’s Investment Committee approves a $1 million co-investment alongside Next Capital Fund IV into Compare Club, a leading personal finance comparison site operating across Australia, providing a comparison opportunity for customers across various types of insurance and loan products, as well as providing brokerage services.

September 2022

VPEG5’s Investment Committee approves a $20 million investment commitment to Riverside Australia Fund IV.

October 2022

VPEG5’s Investment Committee approves a $20 million investment commitment to Adamantem Environmental Opportunities Fund.

November 2022

VPEG5’s Investment Committee completes a $20 million investment commitment to Next Capital Fund V.

June 2023

VPEG5’s Investment Committee approved a $1 million co-investment alongside Adamantem Environmental Opportunities Fund into Pac Trading, an Australian-based company providing innovative and sustainable packaging solutions to the food services industry.

Details of VPEG5′s Current Private Equity Commitments:

PRIVATE EQUITY FUND NAME FUND / DEAL SIZE ($M) VINTAGE INVESTMENT FOCUS VPEG5 COMMITMENT ($M) CAPITAL DRAWN ($M) PORTFOLIO COMPANIES EXITS
CPE CAPITAL 9 $729 2020 BUYOUT $20.00 $5.34 5        -   
ADVENT PARTNERS 3 FUND $410 2020 EXPANSION / BUYOUT $20.00 $9.92 4        -   
ALLEGRO FUND IV $623 2020 TURNAROUND $25.00 $12.42 4        -   
ANCHORAGE CAPITAL PARTNERS FUND IV $505 2021 TURNAROUND $25.00 $6.38 4        -   
MERCURY CAPITAL FUND 22 $1,000 2022 EXPANSION / BUYOUT $15.00 $5.33 3        -   
RIVERSIDE AUSTRALIA FUND IV $450 2022 EXPANSION / BUYOUT $20.00 $0.00 1        -   
ADAMANTEM ENVIRONMENTAL OPPORTUNITIES FUND $350* 2022 EXPANSION  $20.00 $2.79 3        -   
NEXT CAPITAL FUND V $375 2022 EXPANSION / BUYOUT $20.00 $4.54 4        -   
CO-INVEST NO.1 – EVENTS AIR $187 2022 EXPANSION / BUYOUT $1.00 $1.00 1        -   
CO-INVEST NO.2 -  GULL NZ   NZ$495 2022 BUYOUT $1.00 $1.00 1        -   
CO-INVEST NO.3 -  COMPARE CLUB $160 2022 EXPANSION  $2.00 $2.00 1        -   
CO-INVEST NO.4 – PAC TRADING $68 2023 EXPANSION / BUYOUT $1.02 $1.02 1        -   
      TOTAL  $170.02 $51.73 30**        -   

* target fund size
** Excluding Duplicates