The two countries forgotten by the private equity industry could once again be a land of conquest by European and American companies. The two nations in question are Spain and Italy and, according to the Wall Street Journal, at least 15 industry groups are reportedly raising funds for these areas for a combined value of over 4 billion euros. High numbers, if compared with the one billion euro collected from the beginning of 2010 to today.
The honeymoon between the Spanish and Italian markets and private equity firms lasted from 2005 to 2008. Then came the financial crisis. From January 2010 to November 13 this year, there were 294 acquisitions totaling $34,9 billion in Italy and Spain. Almost 50% less than in the 2005-2008 boom.
According to the Wall Street Journal, Clessidra Sgr of Milan, the largest company in southern Europe for funds raised in the last 10 years, intends to return to the market next year by raising around 1 billion for a fund in Italy.
In addition to the Milanese company, the American publication reports ongoing activities in the Spanish N+1 Mercapital SL, Portobello Capital Gestión SGECR SA, Qualitas Equity Partners SGECR SA, Corpfin Capital Asesores SGECR SA and in the Italian Ambienta SGR and Consilium SGR.
And then there would be Magnum Capital LP and ProA Capital de Inversiones SGECR SA, both Madrid, which are expected to launch new funds next year, while Xenon Private Equity Ltd., an Italian company registered in the UK, is reportedly marketing a new fund.
While there are still few deals closed, fundraising in Spain and Italy is attracting large European investors, including AlpInvest Partners BV, Unigestion SA and Adveq Management AG.
