+++ Press release +++
SGT German Private Equity – Closing of the first Private Equity transaction
and first close of the Private Equity Fund
Frankfurt/Main, 1 June 2022 – SGT German Private Equity GmbH & Co. KGaA (SGF), a listed Private Equity asset manager, announces the closing of the first Private Equity transaction of its wholly owned subsidiary SGT Capital Pte. Ltd. (SGTPTE), the acquisition of Utimaco. The approvals for this, which were previously outstanding, were granted by the United Kingdom Department for Business, Energy & Industrial Strategy in February, and by the German Federal Ministry for Economic Affairs and Climate Protection at the beginning of May, following the approval from the Committee of Foreign Investment in the United States (CFIUS) late last year. Among the investors are well-known names such as EQT, Bain Capital Credit and Tyrus Capital, as well as institutional investors including Capital Dynamics, Commonfund, Flandrin Capital, University of Wisconsin Foundation, UBS Global Wealth Management as well as SGT Capital Fund II. As planned, the first close of SGT Capital Fund II took place at the same time. SGTPTE thus manages its issued Private Equity Funds, and a joint venture with an Asian financial services provider, in a total volume of more than 800 million USD.
The newly acquired Utimaco Verwaltungs GmbH is a strongly growing, highly profitable global market leader for high-end cyber security software, co-headquartered in Aachen, Germany and Campbell, California, USA. Utimaco has more than 470 employees and generates a three-digit million revenue.
SGT German Private Equity has, in the course of the closing, fully received back loans in the amount of approximately 7 million EUR, which it had granted to its wholly owned subsidiary SGT Capital Pte. Ltd. (SGTPTE) to fund ramp-up costs.
The current operating cash flow of SGTPTE, founded in 2019, from the management of the Private Equity Funds is exceeding the running expenses since closing. The sustainable, recurring revenues are equally exceeding the running costs. The management aims to significantly increase the managed fund volumes going forward.
Carsten Geyer, Managing Director of SGT German Private Equity and Managing Partner of SGT Capital: “As a market-leading business that comprises highly talented employees around the world, Utimaco is poised for enduring success, as its technology helps make the digitization of business and society more secure. The Utimaco transaction demonstrates SGT Capital’s unique capability to identify and invest in market leading businesses and enhance their value through global growth initiatives.”
Christoph Gerlinger, Managing Director of SGT German Private Equity and Partner of SGT Capital, adds: “With the closing, the transformation of the former German Startups Group into a Germany-based Private Equity asset manager under the name SGT German Private Equity is completed and moves from the preparation stage into operations. SGT German Private Equity now operates as a fee generating investment advisory firm focused on private equity asset management and is well equipped for this. This business model is very successful on the capital markets internationally, yet there has not been a listed German player to date.”
Investor Relations Contact
+49 170 302 8833
About SGT German Private Equity
SGT German Private Equity is a Germany-based listed private equity asset manager with registered office in Frankfurt/Main. Its 100% subsidiary SGT Capital Pte. Ltd. is a global alternative investment and private equity asset manager headquartered in Singapore.
For its new, sector-agnostic private equity fund SGT Capital Fund II with a geographical focus on Europe and North America and a fund lifetime of ten years, SGT is aiming for a target fundraising volume of 1 to 3 billion USD. The management team has many years of senior experience at renowned addresses – global private equity houses, management consultancies and investment banks.
From its origin as a leading German venture capital provider under the German Startups Group brand SGT German Private Equity also holds a heritage portfolio of minority stakes in some promising German Startups.