United Capital Partners

Location:

Russia

Project number:

42989

Business sector:

Equity funds

Notice type:

Private

Environmental category:

FI

Approval date:

08 Nov 2011

Status:

Cancelled

PSD disclosed:

14 Sep 2011

Translated version of this PSD: Russian

Project Description

The Fund will make equity and equity-related investments primarily in small and medium sized enterprises in Russia and the CIS, with the objective of achieving long term capital growth. The Bank’s participation will help mobilise additional private sector investment in the Fund.

The Fund will target Russian companies with sustainable business models, brand recognition and potential to achieve a leading market share, driven by strong management teams as well as already being at a growth stage of development. The Fund will generally target companies that provide a clear potential path to exit via

(i) ability to achieve the size and transparency required for an IPO on a recognized international or domestic stock exchange in 3-5 years or

(ii) ability to secure a unique market position to become an attractive target for a strategic buyer.

Where attractive, the Fund will also consider recapitalization and/or partial sale to financial or strategic buyers to maximize the Fund’s investment returns.

Transition Impact

The transition impact of the proposed project would come from the following areas: market expansion and development of innovative financing tools in Russia and the CIS, as well as from the demonstration effects from successful restructuring of investee companies and improving transparency and corporate governance standards in the investee companies.

The Client

United Capital Partners Private Equity Fund II L.P., a Cayman Islands exempted limited partnership.

EBRD Finance

Commitment to invest up to USD 50 million. Other investors are expected to include European and US private and institutional investors.

Project Cost

The target size of the Fund is USD 250 million.

Environmental Impact

The Fund will be required to implement environmental procedures based on EBRD’s Environmental Procedures for Private Equity Funds which includes adherence to the FI Environmental Exclusion and Referral List, compliance by Investee companies with the applicable national environmental, health and safety and labour legislation, appointment of a member of senior management with overall responsibility for the implementation of environmental procedures, and submission of annual environmental reports to EBRD.

Technical Cooperation

None.

Company Contact

Victoria Lazareva, Managing Partner
E-mail: vlazareva@ucpfund.com
Tel: + 7 495 643 1100; Fax: +7 495 643 1300

Business opportunities

For business opportunities or procurement, contact the client company.

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Email: procurement@ebrd.com

General enquiries

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Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

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