Landmark to back PAI restructuring – exclusive

The process on PAI's 2005-vintage fund is the second single-asset deal that Landmark has been linked to in recent months.

Landmark Partners will provide capital for the restructuring of PAI Partners’ fourth fund, another demonstration of its penchant for single-asset deals.

The Connecticut-headquartered secondaries firm is backing a process which involves the remaining asset in the €2.69 billion, 2005-vintage fund, Swedish chemicals maker Perstorp, being moved into a new vehicle backed by secondaries capital, according to two sources with knowledge of the deal.

It is not clear if Landmark is the only buyer.  Secondaries Investor reported in July that Paris-headquartered PAI was seeking a syndicate of buyers to back the deal.

PAI is not using an advisor on the transaction, Secondaries Investor understands.

PAI acquired Malmo-headquartered Perstorp, which produces chemical additives for the resins and coatings industry, in December 2005, according to the firm’s website. Its value at acquisition was SKr9.2 billion ($1 billion; €873 million).

Limited partners in PAI IV include PantheonQuilvest Private EquityBlackstone Strategic Partners and Willowridge Partners, according to filings with the UK’s Companies House.

In July Secondaries Investor revealed that Landmark was among the backers of a single-asset process involving TDR Capital’s €2.1 billion, 2007-vintage buyout fund. The asset is Stonegate Pubs, a British firm that owns pub chains including Slug and Lettuce and Yates’s, according to TDR’s website.

Landmark Partners is currently in market seeking $4 billion for its sixteenth flagship secondaries fund. The fund has been in market since May 2016, according to PEI data, and had raised $2.42 billion by mid December, Secondaries Investor reported.

According to research by secondaries advisor Campbell Lutyens, the average secondaries buyer backed between three and four single-asset deals in 2017.

Landmark and PAI declined to comment.