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.
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.