Amundi has launched a disruptive trends private equity strategy targeting European small and medium-sized enterprises (SMEs) using environmental, social and governance (ESG) criteria.
The strategy, set up by the French firm’s subsidiary Amundi Private Equity Funds (Amundi PEF), offers investors exposure to SMEs operating in western Europe whilst focusing on five global trends: technology, demographics, environment, globalisation and social changes.
Portfolio firms will be selected using the firm’s ESG and socially responsible investment criteria.
It is the second generation of its investment programme targeting European SMEs that benefit from disruptive global trends. The first was launched in 2016 and closed early this year having raised €320 million - €70 million more than its original target size.
Similar to its predecessor, it seeks to take a minimum active minority stakes in growth capital and buyout transactions of private SMEs in France, and the rest of Europe. Target companies generate revenues of between €20 million and €1.5 billion. A minimum of 50% of the stakes will be in France.
Stanislas Cuny, head of direct private equity at Amundi PEF, said: “Being an active minority shareholder gives us access to a diversified and performing investment universe of entrepreneurial and family-owned SMEs who are reluctant to give up the control on their businesses.”
The portfolio will include around 15 to 25 companies in total.
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