»International Private Equity«

The Fund

König & Cie. International Private Equity GmbH & Co. KG is a fund of funds making investments into 6 to 12 internationally renowned top quartile private equity target funds. Eight of the target funds were already completely subscribed, with a investment volume of 24 m euros. A placement guarantee has been given by König & Cie. The following investments has been made: Carlyle Europe Partners II, Oak Hill Capital Partners II, Francisco Partners II, Gilde BOF III CV Investors, Wellington Partners Ventures III, Mangrove-New Tech Venture Capital II, KKR 2006 Fund, Thomas H. Lee Parallel Funds VI and Terra Firma Capital Partners III, L.P. Normally it has to be count on a reflow in between 3 and 5 years. Actually the circle of investors completly participate in three successful Exits, one Part-Exit and one recapitalization. The return on investment is expected to be 10% p.a. and higher.

Private Equity

Private equity are investments in enterprises not quoted, or prior to public offering, on the stock exchange. This includes venture capital, early-stage finance, expansion finance, management buy-outs, and bridging finance or mezzanines. Investments are made in sound enterprises operating efficiently while demonstrating outstanding development potential. For decades, private equity has been a highly attractive type of investment, as the acquisition of these stakes is focussed on creditable enterprises with good products and forward-looking ideas that create innovative markets and are likely to generate high profits in the future. For many years, this type of investment was restricted to institutional investors such as banks, retirement funds and insurance companies. With the König & Cie. International Private Equity Fund now on the market, private investors, too, have an opportunity to invest in this high-yield segment.

The Fund Concept

The fund is conceived as a fund of funds investing in 5 to 12 target funds, each of which invests in 10 to 20 enterprises – which adds up to over 200 enterprises. This ensures optimal diversification of stakes. The enterprises are mainly medium-sized companies operating in different industries and not quoted on the stock exchange. The geographical focus of the target funds is Europe, North America, and some other markets such as Asia.

During the life of the fund the companies in which stakes are held generate revenues, dividends and interest payments. Exits, i.e. the sale of stakes, potentially constitute considerable additional return on investment. In the past, the capital tied up in private equity investments was usually paid back after 3 to 5 years.

Acquisition of the target funds is in cooperation with bmp AG, Berlin.

Partner

bmp AG was founded in 1997 and is specialised in start-up and expansion financing strong growing companies. Focus is on innovative corporations, primarily in Germany, Poland and Switzerland. With the experience of 80 own commitments, 7 initial public offers as well as over 20 trade sales bmp AG is one of the leading venture capital companies. bmp is listed at the German stock exchange, Frankfurt.

Advantages of the investment

• Expected annual rate of return 10% to 12% based on the individual investment volume.
• Ideal amendment for a balanced portfolio due to low correlation to shares.
• Dispersion of assets on 5 to 12 different Private Equity funds.
• Low risks due to indirect investments in various companies at different stages of maturity, branches and regions.
• Internationally experienced investment board with access to top quartile funds

General Survey of the Investment Offer

Investment Goal

INPEQ´s goal is to achieve an annual return, after deduction of costs and fees, of 10% to 12%. Besides the added value it is likely that the investor will receive dividends and interest income.

Declaration of accession

Accession is carried out as a trust maker via König & Cie. Treuhand GmbH. The minimum participation amounts EUR 10.000 plus 5% Agio.