Deutsche picks up tail-ends from LGT and EIF

DB Private Equity has continued its tail-end buying spree by acquiring interests in European mid-market European buyout funds from LGT Capital Partners and European Investment Fund, UK regulatory filings show.

The private equity unit of Deutsche Bank purchased a stake in TDR Capital II Associates from Crown Global Secondaries II, LGT’s 2009-vintage secondaries fund. The deal closed on 12 April.

The 2007-vintage TDR Capital II raised €2.2 billion to invest in medium-sized European businesses. Investors in the fund include University of Texas Investment Management, which committed $69 million, HarbourVest Partners and Enterprise Trust, according to PEI data.

TDR Capital, which has more than €5 billion in assets under management, confirmed the contents of the public filing but declined to comment further.

EIF, an EU agency that provides funding for small and medium-sized enterprises via private banks and funds, sold its stakes in Gresham 4A and Dunedin Buyout Fund II, according to the filings.

Gresham 4A was managed by the now defunct private equity firm Gresham Private Equity, which wound down in 2014 following the departure of a number of senior directors.

Dunedin Buyout Fund II closed in 2006 on £250 million ($323 million; €296 million). EIF committed €23.7 million to the fund, according to PEI data. The vehicle specialises in buyouts, buy-ins and mid-market investments. Other investors in the fund include Alliance Trust Equity Partners, which committed £12 million, and Scottish Widows Investment Partnership, which committed £12.4 million.

In April DB Private Equity emerged as one of the buyers in the restructuring of GMT Communications Partners’ 2006-vintage fund, as Secondaries Investor reported. It acquired the stake in GMT Communications Partners III, which invested in European communications and technology companies, from EIF.

DB Private Equity, LGT, TDR, Dunedin and EIF declined to comment.