Fund closes successfully
Inverleith raises €60m from European investors
Ben Thomson: ‘opportunity to invest in smaller, disruptive consumer brand companies’ (pic: Terry Murden)
Inverleith, the private equity firm headed by investment banker Ben Thomson, has successfully closed its first institutional fund at €60 million following strong support from European investors.
The firm was founded in 2010 by the former chairman and chief executive of Noble Group together with former president and managing director of the Glenmorangie company Paul Skipworth.
Inverleith focuses on investing in businesses operating in the high growth consumer brand sectors of wellbeing, lifestyle and heritage.
The fund targets strategic minority or majority stakes in companies headquartered in the UK and Northern Europe, with enterprise values of up to €30 million. It looks to scale the brands, based on the products’ unique selling points and strong, defendable market position.
It is has completed two investments to date in the Scotch Malt Whisky Society and Good Hemp, a producer of hemp milk, a fast-growing alternative to dairy milk. A further, third transaction is due to complete.
Mr Skipworth, managing partner, said: “We look forward to helping to build market leading brands through our hybrid of hands-on operational expertise, investment experience and deep consumer focus.
“A number of macro trends are creating an attractive and sustainable investment environment within our target sector. We believe Inverleith’s differentiated skills will allow us to continue to capitalise on these trends to deliver attractive returns to our investors.”
Mr Thomson, Inverleith chairman & partner, added: “Whilst many asset classes seem to be pretty fully valued at present, we believe there is a real opportunity to invest in smaller, disruptive consumer brand companies that have great products in fast growing markets.
“By bringing managers from our networks, we can professionalise the team, particularly in marketing and sales, to build companies to a size where they become attractive acquisitions for trade players or mid cap private equity buyers.”
Aerius Associates acted as placement adviser and Dickson Minto provided legal advice.