Independent fund manager Aston Ventures is primed to make its first acquisition for the recently launched KHG Private Equity Fund. Following a successful period of initial fundraising, a significant level of capital is now available to invest in a portfolio of profitable private companies.
The open-ended fund, regulated by the Isle of Man’s Financial Supervision Commission, will continue to fundraise and is forecast to have GBP20 million of capital by the end of 2011. Whilst the vast majority of private equity funds are closed-ended structures, the open-ended nature of the KHG Private Equity Fund will enable investors to take advantage of quarterly dealing dates.
In addition, the fund has a minimum investment level of GBP10,000, offering investors access to an alternative asset class which has traditionally been the domain of institutions.
Established in the late 1990s, Aston Ventures has a successful track record of acquiring and managing industrial businesses across a variety of sectors, including telecommunications, infrastructure, nuclear, food and confectionary.
Tim Eve (pictured), partner at Aston Ventures – investment adviser to the KHG Private Equity Fund – says: “The launch of the Fund marks the beginning of a new and exciting era for Aston Ventures. We have been working over the past year to develop the Fund and create a strong pipeline of acquisition opportunities. We are concentrating our focus on high-quality businesses with strong profitability and cash generation.
“Our acquisition structures will be equity-led, ensuring that there is no undue leverage placed upon portfolio companies. Post-acquisition, we will take an active management role within our portfolio of businesses, working alongside the incumbent management teams to achieve on-going success.”
The private equity fund is part of the KHG Fund range, which is managed by Creechurch Capital – the Isle of Man-based boutique investment company.
Mark Lyons, partner at Aston Ventures, says: “We are delighted to be working with Creechurch Capital in this unique fund. With our combined expertise, the new fund is well-positioned to provide investors with attractive returns.”
