ACP Investment Group LLC, co-led by the chief executive of Nyppex Holdings LLC, plans to gather capital for a pair of secondary and distressed debt offerings, according to fund marketing presentations, copies of which were obtained by Bloomberg News. ACP Special Opportunities Fund LP expects to seek $150 million for a secondary fund that will purchase stakes in funds and companies held by private clients facing special situations, according to the presentation.
The Rye Brook, NY-based firm is also gathering capital for ACP Income Opportunities Fund LP, which will make distressed debt investments and target average annual income of 10 percent net, the presentation shows. Laurence Allen, co-head of the firm, declined to comment. The team, which is led by Allen, chief executive of Nyppex, and Dexter Blake III, has invested in 290 private equity funds and 30 companies through special situations vehicles from 2004 to Dec. 31, according to the presentation. Those funds have produced a 1.48 times net multiple and a 19.1 percent net IRR, the presentation shows.
Limited partners must invest at least $2.5 million in the offerings, according to the presentation. Investors are able to increase how much they invest, and can withdraw capital under certain guidelines. The vehicles won’t call capital, but will require capital contributions at closings. The firm will charge a 1.75 percent annual management fee and 20 percent carried interest on the offerings, the presentation shows. The funds are able to access investment and exit opportunities through its affiliation with Nyppex, a secondary agent, according to the presentation.
— Sabrina Willmer
This article was taken from the Bloomberg Brief Private Equity Newsletter. To take a complimentary 30 day trial, click here.