Debevoise & Plimpton LLP has advised a consortium of new investors led by Pantheon and Aberdeen Standard in a new single-asset fund raised by Capiton, following a single-asset secondary transaction involving KD Pharma Group.
KD Pharma Group is a worldwide leading omega-3 ingredients producer focused on highly purified omega-3 fatty acids for pharmaceutical and nutraceutical products.
Capiton is an independent, owner-managed private equity firm that manages a total fund volume of €1.0 billion.
Capiton initiated a GP-led single-asset secondary transaction to provide its portfolio company, KD Pharma, with the necessary duration and follow-on capital to finance significant expected future growth potential. Under the new fund structure, Capiton will continue to manage KD Pharma as general partner post-closing.
Through a competitive bidding process, the transaction gave existing limited partners of Capiton IV fund the option to (partially or fully) sell their stake in KD Pharma or to stay (partially or fully) invested in KD Pharma via a continuation fund vehicle, thus being able to participate in upside potential. The transaction also gave the new investors the opportunity to invest in a very attractive, strongly growing portfolio company.
Debevoise advised the new investors led by Pantheon and Aberdeen Standard. The Debevoise team was led by partner Katherine Ashton and international counsel Andrew C. Rearick, and included associates Tom Berry, Jake Grandison and Laurence Hanesworth. Tax advice was provided by partner Matthew D. Saronson and associate Veronika Polakova.