Cipio scores 20x return from €60m TA deal

The direct secondaries firm in 2004 acquired a large stake in email marketer eCircle - now owned by TA Associates - as part of a portfolio purchased from Deutsche Telekom.

Cipio Partners has reaped a 20x return on the sale of email marketing company eCircle to TA Associates, which bought a majority stake in the business for more than €60 million.

Other investors in eCircle include Wellington Partners, a Munich, London and Palo Alto-based venture firm, and Steadfast Capital, a mid-market buyout firm.

Cipio acquired a large stake in eCircle in 2004 for an undisclosed amount through a direct secondaries purchase of 15 companies from German telecommunications giant Deutsche Telekom. Cipio has exited multiple companies acquired in the transaction, according to Tom Anthofer, a managing partner with Cipio.

The firm has been raising Cipio Partners Fund VI, targeting €200 million. Last summer the firm closed on €61 million.

In the first half of 2009, Cipio acquired two portfolios of international investments, including a number of European venture capital assets from 3i, said to be worth between €17 million and €19 million. The firm has exited three of the businesses from the acquisition for a more than 7x return on investment.

Cipio was founded in 2003 and manages late stage venture and growth capital and mid-market investments. The firm purchased the portfolio of DaimlerChrysler Venture in 2005 and acquired venture assets from Seimens in 2007.

The firm operates from Munich, London, Luxembourg and San Jose, California, and manages more than 50 companies worldwide in software, semiconductor, communications and new media industries.