RiverRock‘s Italian Hybrid Capital Fund announced it had reached 90 million euros in the first closing of its fundraising on a 150 million euros target.
The private debt fund had already gained commitements from Fondo Italiano d’Investimento (30 millions) and the European Investment Fund last July and more recentely dome insurance companies (with Eurovita among them) and pension funds joined as other invesdtors, managing partners Ugo Fiaccadori (ex Bain&Co) and Roberto Ippolito (ex GE Capital) said on February 23rd in a press conference in Milan.
The Italian Hybrid Capital Fund has an emphasis on debt/equity investments (preferred equity, convertibles, loans with equity warrants, etc.), which offer, via a higher position in the capital structure, increased certainty for returns. At the same time, the strategy of the fund is to maintain a significant premium over cash returns by securing upside potential by including, where appropriate, an equity within or alongside each of the debt investments.
The fund target Italian SMEs with revenues between 50-150 million euros and ebitda of 7-50 millions and will make 10-15 investments with an average ticket between 5-15 million euros.
The fund is an Italian veichle regulated by the italian law but will be managed by RiverRock European Capital Partners. Members of the Investment committee are, besides Mr. Fiaccadori and Mr. Ippolito, also Michel Péretié, RiverRock’s partner and ceo, and Jason Carley, cio portfolio manager of RiverRock’s European Opportunities Funds.
RiverRock is a global asset manager funded by Ronald Berger and Michel Péretié.
