A new quarterly private equity league rating guide to fundraisings is launched by Financial News’ sister publication Private Equity News today, assessing firms that will be raising billions over the next two years and rating their prospects for success with the new money.
The ratings - which have taken almost a year to compile - have been put together by HEC Paris professor Oliver Gottschalg with research from private equity data company Peracs and Dow Jones Private Equity, sister publication of Financial News. More than 200 firms were asked for information and enough data was obtained from 58 to begin compiling a ranking. Six of these have been given five-star billing and are expected to outperform the average fund return to be in the top quintile of performers. Those firms who have yet to respond with detailed information are encouraged to contribute for the next rating assessment in the coming months. Only the top-rated funds will be made public. Ten of Europe's largest buyout firms are expected to start raising funds worth a combined €50bn by the middle of next year. But distinguishing between these firms is not straightforward and investors complain that every firm refers to itself as top quartile. In October, Private Equity News revealed a confidential ranking put together by data provider Preqin, which showed top-quartile performers. Top of the ranking was UK buyout firm BC Partners. The other nine in descending order were Advent International, Excelsior Capital Asia, Imperial Capital, Inflexion Private Equity, Waterland Private Equity Investments, ABRY Partners, Archer Capital, Baird Capital Partners and Doughty Hanson. But there has been limited research on current funds and how they are likely to perform. Five-star ratings of the Dow Jones Private Equity rankings this quarter went to: Abenex Capital Formerly ABN Amro Capital France, Abenex Capital was bought out by its three founding partners in March 2008. The mid-market French firm manages a portfolio of about €500m. It is currently seeking to raise €400m, according to the research.
