Lehman Spins Out Mezzanine Fund to Management Team

May 17, 2010

Lehman has completed the spin-out of its €800 million European mezzanine fund, Lehman Brothers European Mezzanine Partners, to the fund’s management team.

Lehman Brothers Holdings Inc. (“Lehman”) has completed the spin-out of its European mezzanine fund, Lehman Brothers European Mezzanine Partners, to the fund’s management team.  The managers took control of the fund through a new independent credit asset manager, Neovara LLP (“Neovara”).  Neovara will assume the management and control of the €800 million ($991.9 million) mezzanine fund.  Money did not exchange hands in the deal.  Lehman expects to benefit as the value of its €300 million investment in the fund increases.  Lehman is retaining its substantial interest in the fund alongside other investors.  The fund’s institutional investors have given unanimous support and the consent process for retail investors in ongoing.

Managing partners Julian Entwisle, Nathalie Romang and Joris Fletcher will lead Neovara and be joined by partners Richard Holden and Jason Howard – who founded Lehman’s European mezzanine fund.

To view the complete story, please click here.


Categories

Investment Manager M&A, Private Equity M&A, Transactions