SLI closes in on £760m

Standard Life Investments (SLI), the global fund manager, announced that €900m euros have been raised by European Strategic Partners 2006 (ESP2006), its latest private equity fund of funds, which had its final closing today (11/06/07). $300m dollars have also been raised by North American Strategic Partners (NASP 2006), SLI’s first US private equity fund of funds product, which had its final close earlier this year.

David Currie, Chief Executive, Standard Life Investments (Private Equity) Limited, said: “I am delighted to announce the successful final close of both of these private equity funds of funds which represents a total of over £760m sterling.

“ESP 2006, the fourth fund in the European ESP series of private equity fund of funds, held its first close in March 2006. It has attracted strong interest from all over the world. Commitments were received from North American, European, Middle Eastern, Asian, and UK clients. Standard Life Investments (Private Equity) Limited now has clients in 24 countries across the world.

“ESP 2006 started to make commitments to European buyout firms soon after its first close and now has twelve funds in its portfolio. The co-investment portfolio is also progressing well with four investments. We anticipate making further commitments, both in terms of fund investment and co-investment opportunities, during 2007.

“The fact that we have successfully closed and exceeded our target for both funds shows that an ever increasing number of clients are attracted by our experienced team of private equity professionals who have generated a strong track record underpinned by a focused investment approach.”

ESP 2006

A total of €660m euros will be invested in private equity funds and €240m euros is available for co-investments.

Over €320m euros has already been committed to private equity funds on behalf of the fund.

On the co-investments side, ESP 2006 has invested a total of €28m euros.

NASP 2006

NASP 2006 targets mid market private equity fund investments in North America focusing on buyouts and special situations.

The fund raising for SLI’s first US fund of funds product was completed nine months ahead of schedule with significant excess client demand. Its success follows SLI’s decision in 2003 to expand into the US private equity market. SLI were confident then that the North American market offered real potential and exciting opportunities for private equity and their experience to date vindicates that view.

NASP 2006 was capped at $300m with commitments received from North American, UK and Middle East investors who included pension plans and financial institutions. Half came from existing clients and half from new investors which further broadens SLI’s ever growing client base. The money raised will be managed from SLI’s Boston office which has five private equity investment executives, led by Dan Cahill, dedicated to investing in the North American market.