Tuesday, October 15, 2013

Redbrick Capital Partners and Emisys Capital SGR: two new funds in the italian private equity space

In the complex financial and economic situation which is affecting, without distinction, all sectors and typologies of firms, italian SMEs can now rely on two new sources of capital sources. The first born from two teams of operators specialized in mezzanine financing, AF Mezzanine and Mezzanove Capital, which came together to give life to Emisys Capital SGR, and launch the new closed-end investment fund Emisys Development, to support the development plans of italian small and medium enterprises, by leveraging in hybrid products including mezzanine financing, convertible loans, participation preferred stocks and minority stakes in form of ordinary stocks. It is a very innovative investment strategy for the italian market, able to give an effective answer at the raising need of development capital. Emisys Development will invest in established companies - that have a solid economic-financial profile - in different industrial sectors with an horizon of medium-long term and commitment ranging between €5m up to €12m on each transaction. Backing of startup companies as well as turnaround operations are strictly excluded. 

Emisys Capital sgr, previously AF Mezzanine counts among its shareholders: 

  • with a stake of 30% the management team, formed by Andrea Cappuccio, Philippe Minard (Mezzanove Capital) and Edoardo Professione (AF Mezzanine); 
  • 35% of the capital is owned by Imi Investimenti, (which held a stake in Mezzanove) and the remaining 
  • 35% is in the hands of the private financial group Fineurop. (controlling AF Mezzanine SGR). 
The fund which has a target of €150m, held the first closing at €131m with investors including Fondo Italiano d'Investimento (Fii), the European Investment Fund (EIF) which subscribed each a commitment of €30m in Emisys Development as well as the shareholders in Emysis Capital. Apart form Fii and EIF, talso Fineurop, Imi Investimenti and other family offices, took part to the first closing of the new fund.

On the other side, Redbrick Capital Partners is the new investment vehicle dedicated to SMEs, founded by Roberto Italia, senior advisor of Cinven, a giant of the private equity which last August exited Avio to General Electric. The operation has been revealed by MF-Milano Finanza, pointing out that Italia has financed the start up with 26.67% along with Domenico Cefaly (26.67%) and Nicola De Martino (26.67%). These last two are real estate agents specialized in development operations, and famous for having founded Redbrick Real Estate Srl (which recently changed name in Project Plus srl).

The management of this new vehicle, which will invest between €5 and 20 million per transaction, by also organizing club deals with other investors, will be headed by Marco Di Miceli and Andrea Traverso, ex managers of the team of Aksia SGR, specialized in the management of private equity funds dedicated to SMEs. Miceli and Traverso hold a stake of 10% each in Redbrick.