Firms: Norton Rose Fulbright (Vantage Asset Management)
Deal: Vantage Private Equity Growth 3 (VPEG3), a recently launched fund by Vantage Asset Management (Vantage), has achieved its first closing.
Key players: The NRF team advising Vantage was led by partner Fadi Khoury.
Deal significance: The Vantage fund has been granted unconditional registration status by the Australian government's Department of Industry, Innovation and Science.
VPEG3 is the third fund established by the company that deploys a diversified growth private equity strategy. According to Vantage, the fund ultimately invests into a diversified portfolio of companies managed by top-tier private equity fund managers in Australia.
VPEG3 is open to international investors holding a Significant Investor Visa (SIV). NRF released a statement about the deal, explaining that of the $5 million total investment required to be made by a high net worth migrant, a mandatory investment of at least $500,000 must be made into a complying registered fund.
“The fund design takes advantage of government reforms aimed at attracting investor capital into this sector,” NRF partner Fadi Khoury said.
Michael Tobin, managing partner of Vantage, said that to date approximately 25 per cent of investor capital came from SIV investors in the first close. Those SIV investors are predominantly from China, he said.
“We are excited by the support from SIV investors, who are astute investors and entrepreneurs themselves. SIV investors have selected VPEG3 in order to invest in a diversified set of growth private equity funds, compared to earlier stage venture capital alternatives,” Mr Tobin said.
“The balance of investors are Australian high net worth individuals, self-managed super funds and family offices who have invested in Vantage’s previous funds, VPEG1 and VPEG2, as well as new investors seeking to gain access to the high performance, growth private equity, asset class in an otherwise low return environment,” he said.
Vantage has developed and managed a Fund of Funds investment strategy since 2004, focused exclusively on small-to-mid market, growth private equity.