Norvestor closes Fund V at EUR236m

01 October 2008

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Fund

Norvestor Equity AS has closed a mid-market fund Norvestor V LP (Fund V) with total commitments of EUR236m, EUR11m above target. The GP committed NOK 30m. As with Norvestor's previous funds, the fee structure and terms remain standard with a lifespan of 10 years with the usual extensions.

Investors

The fund attracted fund-of-funds managers (24%); family offices/foundations (22%); insurance companies (21%); pension funds (12%); banking groups (12%) and investment managers (9%). Commitments came from more than 30 existing and new Nordic and international investors, including Dnb NOR, Argentum, Gjensidige, KLP and Storebrand, as well as JPMorgan and investors from Germany, UK, France and the US.

Investments

The fund succeeds Fund IV, a EUR157m fund raised in 2004. The new fund will continue the strategy of investing EUR10-45m in mid-market companies with enterprise values of typically EUR20-125m. Although the Norwegian market is the main focus, Norvestor does not exclude investments across and outside the Nordic region. Regardless of future market conditions, the preferred exit strategy is trade sales.

Norvestor has made three investments from Fund V to date, Nordic Vision clinics, a leading Nordic participant within refractive surgery, RenoNorden AS, a specialist provider of waste collection services, and Wema Group, a supplier of high-quality diesel and AdBlue level sensors to the heavy truck industry.

People

Jarle Gundersen is managing partner of Norvestor Equity AS. Campbell Lutyens & Co Ltd acted as placement agent while legal advice was provided by Kirkland & Ellis International and Bugge Arentz-Hansen & Rasmussen (BA-HR).

Name: Norvestor V LP

Closed on: EUR236m

Focus: Nordic mid-market

Contact: Jarle Gundersen

Address: Norvestor Equity AS, Roald Amundsensgt. 6, PO Box 1223, Vika, N-0110 Oslo, Norway

Tel: +47 23 00 07 00

Advisers: Campbell Lutyens & Co Ltd (Placement Agent); Kirkland & Ellis International (Legal); Bugge Arentz-Hansen & Rasmussen (BA-HR) (Legal).