AlpInvest, Coller among backers of Action restructuring

Details have emerged on the investors behind one of the largest ever single-asset restructurings.

Coller Capital, AlpInvest Partners, GIC, HarbourVest Partners, JPMorgan Asset Management and Pantheon are among the rolling- or new limited partners in the continuation funds that house discount retailer Action, according to a quarterly earnings update from general partner 3i.

Funds managed by Aberdeen Standard Investment, Goldman Sachs Asset Management and Neuberger Berman also committed to the new vehicles. The deal closed on 17 January, the update noted.

Secondaries Investor reported in November that Action, the sole remaining asset in 2006-vintage buyout fund Eurofund V, had been rolled into a series of vehicles managed by 3i. The firm owns the majority of the 3i 2020 Co-investment vehicles, with rolling- and new institutional investors making up the balance.

The restructuring ran without an advisor and priced at a 12 percent premium to June net asset value, we reported.

The deal gives the Netherlands-headquartered retailer a post discount enterprise value of €10.25 billion, equivalent to 18.2x the 30 September run-rate EBITDA. It has increased 3i’s net investment in Action to just under 50 percent from 44.3 percent.

Exiting investors have realised a gross money multiple of 31.3x and gross internal rate of return of 75 percent since the original investment in 2011.

Secondaries Investor first reported in September that 3i would run a single-asset restructuring on the €5 billion Eurofund V to hold on to what it described as an “exceptional business”.

According to research by secondaries advisor Campbell Lutyens, 54 percent of secondaries buyers participated in a single-asset process last year.