Featured

Glendower backs acquisition of Bridgepoint directs portfolio

The secondaries firm has provided direct secondaries buyer Compass Partners with €100m to acquire a mix of minority and majority stakes in three assets.

-

Glendower Capital has backed the acquisition of a portfolio of mature direct stakes managed by Bridgepoint.

The secondaries buyer invested €100 million to allow Compass Partners, a UK-headquartered directs buyer, to acquire three assets held by Bridgepoint, according to a statement from Compass.

Glendower also offered “significant” follow-on capital to develop the assets, which are minority stakes in educational publisher Infinitas and opthalmic lens manufacturer Rodenstock, and 100 percent of educational staffing firm Protocol.

Compass acquired majority stakes in Infinitas and Rodenstock in 2016, the statement noted. That deal involved HarbourVest Partners backing a vehicle that acquired stakes in “more than four” portfolio companies owned by Bridgepoint and managing them in partnership with Compass, Secondaries Investor reported at the time.

The stakes in Infinitas and Rodenstock were originally acquired in 2007 by the 2005-vintage, €2.5 billion Bridgepoint Europe III. Protocol was bought in 2000 by Bridgepoint Europe I, a £1 billion ($1.3 billion; €1.1 billion) buyout fund, Secondaries Investor understands.

Bridgepoint is the majority shareholder of Secondaries Investor‘s publisher PEI Media Group.

Alister Wormsley, partner at Compass, said of the latest deal: “Our strong operational and strategic focus has underpinned improved performance [at Infinitas and Rodenstock] and the prospects and outlook for both businesses are good. Protocol represents a good addition to our portfolio and is well positioned for growth.”

Compass acquires control and minority equity positions, debt and other financial assets on a deal-by-deal basis, according to its website. It can invest in transactions up to €750 million in size.

Glendower is raising its first fund since spinning out of Deutsche Asset Management last year. It had collected $1.3 billion for Glendower Capital Secondary Opportunities Fund IV, around 70 percent of its target, as of May, Secondaries Investor reported.