YIELCO launches its third Private Equity multi-manager fund for Special Situations
Munich, July 11, 2019 - YIELCO Investments AG, a specialized investor in alternative assets, announces the first closing of its second-generation Private Equity multi-manager fund for Special Situations in the United States with capital commitments of approximately USD 345 million.
YIELCO Investments AG, a financial services company specializing in investment solutions in Infrastructure, Private Debt and Private Equity, held the first closing of its multi-manager fund "YIELCO Special Situations II" with capital commitments of USD 345 million on June 30, 2019.
The US-focused second-generation program was already able to raise a significant volume of approx. USD 345 million in its first closing, well above the capitalization of its predecessor fund. Following the final closing of YIELCO Special Situations I in June 2018 (committed capital of USD 263 million) and YIELCO Special Situations Europe in June 2019 (EUR 225 million), YIELCO Special Situations II continues the success of its predecessor funds. The fund has a target size of USD 375 million with a hard cap of USD 450 million. YIELCO was able to attract a broad group of very experienced investors, particularly pension funds and insurance companies from Germany. Furthermore, it is the first YIELCO Investment AG fund to receive capital commitments from a group of Spanish investors.
YIELCO Special Situations II continues the attractive strategy of its predecessor. The plan is to build a diversified portfolio of approx. 14 investments in funds with a focus on complex buyouts, turnaround situations, and distressed debt for control up to 2021. The investment focus is on small to mid-market transactions in North America.
María Sanz, Partner at YIELCO, states: "Especially in times of high average market valuations for private equity transactions, it is important to select managers with proven operational skills. Even in today's highly competitive environment, these can generate attractive investment opportunities at entry-level prices well below the market average. Active operational development can help reposition companies and create real value added for investors. In addition, relatively low levels of debt generally limit the default risk."
Dr. Peter Laib, Chairman of the Supervisory Board of YIELCO Investments AG, comments: "We are very pleased that we were able to attract a number of very experienced institutional investors for the first closing of YIELCO Special Situations II and are already close to the target fund size of USD 375 million. For most of our investors, the role of the YIELCO Special Situations programs is to complement and diversify their traditional, growth-oriented buyout portfolios in the current peak phase of the industry cycle. In addition, by covering turnaround strategies, attractive opportunities can be actively utilized in the context of potential market distortions."
About YIELCO Investments AG
YIELCO is an independent, globally active, specialized investor in and service provider for alternative assets. The organization services over EUR 3.2 bn of capital commitments by institutional investors and family offices in the Infrastructure, Private Debt, and Private Equity segments. YIELCO already services approx. EUR 800 million of capital commitments for the US and European Special Situations strategies.
YIELCO Investments AG
Karlstrasse 66 │ 80335 Munich │ Germany
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