NorthEdge Capital, the lower mid-market firm that spun out from the captive private equity arm of Lloyds Banking Group, has completed its first deal from its maiden fund, which advisers said could rank as the UK's biggest first-time buyout fund to close since the onset of the financial crisis.

The firm, which invests in businesses in the North of England through offices in Manchester and Leeds, said Tuesday that it has bought a "significant majority" stake in FPE Global - a specialist engineering company based in Stockport.