PAI partners collects third of €3bn fundraising target

Speaking to Les Echos, PAI chairman and CEO Lionel Zinsou stated that the fundraise was going according to plan, with more than €1bn in commitments already received at the start of the summer towards a €3bn target. Zinsou added that he had been surprised by the appetite displayed by insurers and banks.

The firm began fundraising in January this year after an intense pre-marketing effort. PAI had raised €5.4bn for the fund's predecessor in 2008, but internal controversy sparked by the arrival of Zinsou resulted in the departure of key partners Bertrand Meunier and Dominique Mégret. This triggered a key-man clause on the 2008 fund, which was ultimately halved to €2.7bn.

PAI has since then been on the mend and took advantage of improved conditions in 2011 to kickstart a hefty divestment effort, returning an impressive €4.8bn to investors over the past two years. These exits included the sale of Kwik-Fit to Japanese trade buyer Itochu for £637m, followed by the divestment of Yoplait, which generated a 10x money return. The buyout house then sold French mortgage insurance services company Compagnie Européenne de Prévoyance to JC Flowers for around €850m.

The 2008 fund is now fully invested and PAI will be able to start investing from the new vehicle in the coming weeks, Zinsou told Les Echos.

Zinsou is to step down in 2015 as the private equity house draws up its succession plans. Current chief investment officer Michel Paris will become chief executive, while Zinsou will join the firm's supervisory board before he retires in 2017.

• Tweet  
• Facebook  
• LinkedIn  
• Google plus  
• Send to  

• Topics
• Buyout
• Fundraising
• PAI Partners
• France