ING PEAL commits another $10 million

ING Private Equity Access Limited (PEAL), a listed private equity fund of funds offering, has now invested 75 per cent of its original capital subscriptions having just committed $10 million to Archer Capital Fund 4.

The newest fund to receive a capital allocation from PEAL is raising monies to facilitate buy-outs of mid to large-sized companies in Australia and New Zealand.

It represents PEAL’s second commitment to Archer Capital, having previously invested $7.5 million in Archer Capital Fund 3.

“The team has proved to be a strong, disciplined performer in the past with successful deals such as Repco, John West and Emeco, and we are confident that they can continue to deliver for their investors,” ING PEAL managing director Jon Schahinger said.

ING PEAL has total commitments of $87 million as a result of the latest Archer Capital deal, which has been invested across 11 private equity managers.

“We now have a diversified base of some great private equity funds which will generate significant returns for our shareholders. Our challenge is to build on this good start and we are confident that the vibrancy and depth of the Australian private equity market will help us meet that challenge,” Schahinger said.

According to Schahinger, the diversity of managers in the portfolio has in turn allowed PEAL greater diversity in relation to the targeted companies to which it has exposure.

“Our portfolio currently consists of about 55 companies ranging in value from a little over $1 million to well over $1 billion,” he said.

“Many of the investments are relatively recent, but we have enjoyed a few early realisations which have been very profitable and assisted our dividend payout,” Schahinger added.