ING Private Equity Access (ING PEAL) has renewed its relationship with Quadrant Private Equity (Quadrant) after agreeing to commit $10 million to its new mid market buyout and development capital fund.
ING PEAL will commit $10 million to Quadrant Private Equity’s new $500 million mid market buyout and development capital fund, Quadrant Private Equity No. 2.
Commenting on the new agreement, ING PEAL managing director Jon Schahinger said: “This commitment once again reinforces ING PEAL’s strategy of providing access to key private equity opportunities often unavailable to retail investors.
“A lot of recent attention has been on large, high profile deals involving companies such as Qantas, Myer, Coles and PBL, raising some alarmist reaction to private equity. Investors should keep in mind that the private equity industry provides investors and companies with a way to access growth opportunities that would otherwise not be available,” Schahinger said.
The new commitment of funds follow ING PEAL’s commitment in November 2005 of $8 million to Quadrant Private Equity No. 1, which has subsequently gone on to invest in a diverse range of businesses, including reverse mortgages (Australian Seniors Finance), outdoor clothing (Kathmandu), orthopaedic surgery (Ortho Group) and temporary fencing hire (ATF Hire).
Prior to the raising of Quadrant Private Equity No. 2, Marcus Darville has joined the team led by Chris Hadley and George Penklis.
Meanwhile, Quadrant has now announced the new fund’s first investment, Quick Service Restaurants — better known as the Red Rooster and Chicken Treat retail chains — with more than 450 outlets in Australia and New Zealand.
“The board continues to be pleased with the way our investment strategy is maturing. The recent Archer 4 and Quadrant Private Equity No. 2 commitments have taken our total commitments to $97 million whilst maintaining our spread across 11 different private equity managers. The strategic plans put in place by our managers in a number of the earlier investments are starting to bear fruit and provide excellent prospects for attractive returns for our shareholders” Schahinger added.
