Apax, a leading global private equity advisory firm, announced today the final closing of the Apax Global Impact Fund (“AGI”), a c.$900m fund committed to investing in mission-driven companies with core products and services that tackle environmental or social issues.

Apax has a strong heritage in impact and sustainability. The firm, co-founded by impact pioneer Sir Ronald Cohen over fifty years ago, was an early leader in implementing ESG data measurement in private markets, and has been committed to driving excellence in sustainability since inception. The Impact team, co-led by Managing Partners Alykhan Nathoo and David Su, builds on this track record, creating a unique and differentiated strategy that is optimised for both financial and impact returns.

Central to AGI’s investment strategy is its robust and proprietary impact measurement system, which evaluates and monitors impact across AGI’s portfolio. Formulated by internal and external experts, AGI’s rigorous measurement approach helps identify and track outcomes across truly impactful businesses within four key sector themes: health and wellness, environment and resources, social and economic mobility, and digital impact enablers. AGI has already utilised this approach to identify and invest in four businesses: GAN Integrity, a supply chain risk-management software platform; Swing Education, an online marketplace that connects schools and substitute teachers; Bonterra, a social good software company, and Eating Recovery Center (ERC), a leading provider of eating disorder and mood and anxiety treatment in the U.S.

Alykhan Nathoo and David Su, co-heads of the Apax Global Impact strategy, commented: “We are grateful for the confidence of AGI’s investors, all of whom share our commitment to supporting the visionary founders and management teams tackling society’s most pressing environmental and social challenges. We look forward to partnering with these sustainability leaders, leveraging the deep sub-sector expertise of the Apax sector teams, the strength and scale of the Apax platform globally, and the value creation potential of the Operational Excellence Practice to help the businesses of tomorrow, grow today.”

Jason Wright, Chair of Apax’s Global Impact strategy and a member of AGI’s investment committee, said: “We want to thank AGI’s limited partners for their support. We’re incredibly excited by the possibilities within the burgeoning impact space, and this successful fundraise is testament to our distinctive and differentiated proposition. The Apax Global Impact team have an impressive combination of private equity experience and impact expertise, making them ideally positioned to help visionary businesses accelerate growth and unlock value.”

Sir Ronald Cohen, Chair of the Apax Global Impact Advisory Board, said: “Apax, because of its history, its DNA, its values, and the authenticity of its intentions, is extremely well-positioned in the field of Impact. The world has historically operated on two parameters: risk and return. We now find ourselves shifting to three dimensions: risk, return and measurable impact. It is incredibly important that as businesses generate profits, they also deliver improvement in the lives of people and the state of the planet. The Apax Global Impact fund is committed to this mission.”

The dedicated Impact team consists of fourteen people and is supported by an Impact Advisory Board, comprising of five leading industry experts. This Advisory Board provides guidance on matters including impact measurement and the driving of additional impact across partner companies. In line with its commitment to generating measurable impact, a percentage of carried interest is linked to successful impact performance and AGI is classified as an Article 9 fund under the Sustainable Finance Disclosure Regulation (SFDR).

About Apax & Apax Global Impact

Apax Partners LLP (“Apax”) is a leading global private equity advisory firm. For 50 years, Apax has worked to inspire growth and ideas that transform businesses. The firm has raised and advised funds with aggregate commitments of more than $65 billion. The Apax Funds invest in companies across four global sectors of Internet/Consumer, Tech, Services, and Healthcare. These funds provide long-term equity financing to build and strengthen world-class companies.

Apax Global Impact seeks out opportunities to support companies which deliver tangible societal and/or environmental impact. The strategy revolves around themes including Health & Wellness, Environment & Resources, Social & Economic Mobility, and Digital Impact Enablers. Apax Global Impact leverages the deep expertise of the Apax sector teams, the strength and global scale of the Apax platform globally, and the value creation potential of Apax’s Operational Excellence Practice.

For more information see: www.apax.com.

Apax is authorised and regulated by the Financial Conduct Authority in the UK.

• The positive growth of our companies and value creation via exits lead to strong portfolio return of 13.3% in the first half of the year
• Sustained growth of portfolio to more than EUR 1.6 billion
• Net profit of more than EUR 150 million increases the equity value per share to EUR 51.3

CEO Koen Dejonckheere about these half-year results:

“The first half of the current financial year proves the success of our strategy of value creation through growth. After a cautious recovery in the second half of the previous year, our companies again realize a strong growth in the first half of 2023. They clearly are fulfilling their role as the leaders and innovators of our economy. Thanks to decreasing input prices, our companies have succeeded in recording double-digit growth in profitability. Moreover, Gimv has also achieved significant capital gains via exits in challenging market conditions. As a result, we are reaping the benefits of a successful execution of our growth strategy.

The strong portfolio result has produced a significant net profit, leading to an increase in Gimv’s equity to over EUR 51 per share.”

KKR buys minority stake in Catalio and invests in its funds

Investment is additive to KKR’s existing health care growth strategy

NEW YORK–(BUSINESS WIRE)– KKR, a leading global investment firm, today announced an agreement to invest in Catalio Capital Management, LP, a multi-strategy investment firm focused on breakthrough biomedical technology and innovative health care companies. The addition of new capital is expected to accelerate Catalio’s growth trajectory and talent acquisition, as well as anchor its investment strategies. Pursuant to the agreement, KKR is acquiring a minority economic stake in Catalio and will invest in Catalio’s funds.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20231017308280/en/

Henry Kravis, Co-Founder and Co-Executive Chairman of KKR, will be named as the Chairman of a new Board of Advisors for Catalio that will help guide the strategic growth of the business. Members of the Catalio Board of Advisors will include, among others, Alex Gorsky, the retired Chairman & CEO of Johnson & Johnson, Andrew Liveris, the retired Chairman & CEO of Dow Chemical Co., Dina Powell McCormick, the Vice Chairman & President of Global Client Services at BDT & MSD, and Tim J. O’Neill, a longtime Partner and retired Co-Head of Goldman Sachs Asset Management.

“The life sciences sector represents a growing market opportunity and has been an important area of focus for our health care growth strategy, which will be further accelerated through our partnership with Catalio. We are impressed not only by Catalio’s entrepreneurial leadership team but also by its vast network of leading scientists who serve as venture partners,” said Ali Satvat, Partner, Co-Head of Americas Health Care and Global Head of Health Care Strategic Growth at KKR. “We look forward to supporting Catalio in taking the platform to the next level and unlocking the next generation of biomedical technology.”

“We are grateful to KKR for its support, which we believe affirms the success of Catalio’s strategy and recognizes the value of our experienced life sciences investment team,” said George Petrocheilos and R. Jacob Vogelstein, Co-Founders and Managing Partners of Catalio. “KKR’s investment comes at an exciting time in Catalio’s development. We believe that we will now be even better positioned to empower the world’s most innovative clinical scientists to turn next-generation biomedical discoveries into valuable treatments and cures and create profitable, well-run companies that advance the boundaries of care.”

Following the completion of the transaction, Mr. Petrocheilos and Dr. Vogelstein will continue to own a controlling stake in Catalio, and the day-to-day management and operation of the Catalio business will remain the same.

KKR has a long track record of supporting health care companies globally, having committed over $20 billion to the sector since 2004. In the life sciences sector specifically, KKR has already committed well over $1 billion in capital from its health care growth strategy, including investments in BridgeBio Pharma, Dawn Bio and Treeline Biosciences, and will be funding this investment from its balance sheet. KKR’s health care growth strategy is focused on investing in high-growth health care-related companies to which KKR can be a unique strategic partner in helping reach scale.

Kirkland & Ellis LLP served as legal advisor to KKR. Paul, Weiss, Rifkind, Wharton & Garrison LLP served as legal advisor to Catalio.

About KKR

KKR is a leading global investment firm that offers alternative asset management as well as capital markets and insurance solutions. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach, employing world-class people, and supporting growth in its portfolio companies and communities. KKR sponsors investment funds that invest in private equity, credit and real assets and has strategic partners that manage hedge funds. KKR’s insurance subsidiaries offer retirement, life and reinsurance products under the management of Global Atlantic Financial Group. References to KKR’s investments may include the activities of its sponsored funds and insurance subsidiaries. For additional information about KKR & Co. Inc. (NYSE: KKR), please visit KKR’s website at www.kkr.com. For additional information about Global Atlantic Financial Group, please visit Global Atlantic Financial Group’s website at www.globalatlantic.com.

About Catalio

Catalio Capital Management, LP, is a multi-strategy life sciences investment firm focusing on breakthrough biomedical technology companies developing the next generation of drugs, devices, diagnostics, and data-driven insights. Catalio has partnered with over 44 world-renowned scientists with extensive academic and scientific achievements who have each also started well-established companies based on their research. Catalio has offices in New York and London. Learn more about Catalio Capital Management by visiting www.cataliocapital.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20231017308280/en/

Media:
Liidia Liuksila
212-750-8300
media@kkr.com

Charles V. Zehren
212-843-8590
czehren@rubenstein.com

Source: KKR

Eurazeo will leverage iCapital’s cutting-edge technology and iCapital Marketplace to distribute Eurazeo’s suite of alternative offerings to Wealth Managers globally

Eurazeo, a leading global investment company with a diversified portfolio of €35 billion in assets under management, and iCapital¹, the global fintech platform driving access to alternative investments for the wealth management industry, have today announced a partnership to increase Wealth Managers’ access to Eurazeo’s broad range of private markets opportunities.

Through this partnership, Eurazeo will leverage iCapital’s cutting-edge technology and iCapital Marketplace to support Eurazeo in distributing its suite of alternative offerings to Wealth Managers globally. The first launch available will be a feeder fund into Eurazeo’s new impact fund focused on Transition Infrastructure.

Eurazeo has a long-standing, 20-year track record of providing Wealth Managers and their high-net-worth clients with innovative investment solutions. Leveraging the technology and distribution of iCapital Marketplace, the partnership will support Eurazeo’s continued commitment to bring its broad suite of capabilities to Wealth Managers globally enabling them to build diversified portfolios for their clients.

Eurazeo has significant expertise across private equity, private debt, real estate and infrastructure strategies and is invested in around 600 companies. It launched a number of new products for private clients in 2023, highlighting its deep sector knowledge and its focus on delivering the best possible opportunities for its clients.

Luc Maruenda, Head of Wealth Solutions at Eurazeo, said:

“Addressing private individual investors and helping them broaden access to the private markets is part of our DNA and strategy. Based on our 20-year successful track record in France, we believe iCapital will be instrumental in replicating this strategy in Europe and beyond. With its leading technology and global positioning, iCapital was a natural choice to enhance the range of investment solutions for our Wealth Managers globally.”

Marco Bizzozero, Head of International at iCapital, said:

“We are delighted to welcome Eurazeo, a leading global investment company with considerable private markets experience, to iCapital Marketplace to support Eurazeo in distributing its investment offering to Wealth Managers and their clients around the world. This partnership demonstrates that iCapital is the partner of choice for Asset Managers accessing the growing pool of private wealth as Wealth Managers increasingly seek to benefit from including private markets investments in a diversified portfolio for their private clients.”