Maj Invest launches new equity fund
Maj Invest, the Danish asset and private equity manager, has launched Maj Invest Equity 5, and claims to have attracted DKK1.6bn (€215m) from institutional investors by its first closing, or some 80% of the target total AUM of the fund.
Among the investors cited by Maj Invest include PKA, Tryghedsgruppen and Dansk Vækstkapital II – all Danish institutional investors. However, the manager is now seeking more international institutional investors ahead of a second closing towards the end of this year.
The Equity 5 fund will invest in small and medium sized Danish companies, focusing on those with a turnover of between DKK200m-DKK1bn (€26.8m-€134m). It is particularly interested in family-owned businesses, which are seen to have an edge in their respective industries. Maj Invest said it typically seeks to take a 40%-85% share in the businesses in which it invests.
According to figures from the Danish Investment Funds Association (Investerings Fonds Branchen) Danish equity funds gained an average of 2.8% in local currency terms through 15 September from the start of 2016.
Currently Maj Invest has some 14 people on its team responsible for investments through its five funds that are focused on smaller and medium sized Danish companies. It claims that the team has facilitiated significant gains in valuations, meaning that its previous Equity 4 fund is fully invested.
Maj Invest Equity is part of the Maj Invest group, which is split into two business areas: Private Equity and Asset Management. The group was established in 2005 and is owned by its management and staff. Offices outside Denmark are located in London, Ho Chi Minh City, Lima, Singapore and Jakarta.