01 May 2002
STAR Capital beats targets for final close of first fund
STAR Capital Partners, the European private equity firm specialising in the acquisition and development of asset-based businesses, is pleased to announce that its STAR fund has beaten its fund-raising target. The fund's final close at €581 million is ahead of its initial target of €500 million, making it the largest independent fund to date to close in Europe this year.
Core investors in the fund include: the Royal Bank of Scotland Group, the UK's second largest bank and the number one European provider for leveraged, mezzanine and project finance; Santander Central Hispano, the global financial group that is one of the ten largest banks in Europe; and One Equity Partners, the private equity arm of Bank One, the sixth-largest US bank, with assets of more than $260 billion. These and other investors in STAR are keen to support large investments through their co-invest rights, which gives STAR significant firepower in the rapidly developing European private equity market.
STAR invests in capital assets and capital-intensive businesses in sectors including transportation, energy, oil & gas, industrial installations and telecommunications. Acquisitions to date include TotalFinaElf Connect ("Connect") and TotalFinaElf Pipelines ("TPL") from TotalFinaElf S.A. STAR's investment strategy taps into the increasing availability in Europe of capital asset investments as corporations seek to focus their capital on their core competency and release capital from assets they do not need to own.
Tony Mallin, Chief Executive Officer, commented, "We are very pleased to have successfully closed our first fund at €581 million, significantly beating our initial targets. We are particularly pleased with our success as a first time fund in a difficult market, with current fundraising levels down substantially on 2000 levels. STAR has an impressive group of core investors who can co-invest in large investment opportunities. We believe this fund to be a truly innovative development in the alternative asset class. With a strong team in place and some completed acquisitions, we look forward to the continued success of STAR."