HarbourVest acquired 8.5% of the ordinary shares of SVG Capital, and plans to purchase another 42.7%, the private equity firm announced in a statement Monday.
Earlier Monday, HarbourVest made an unsolicited offer for all of SVG Capital shares at 650 pence per share, valuing the London-based private equity firm at £1 billion ($1.3 billion).
The unsolicited offer was made by HarbourVest Bidco, “an exempted limited partnership established for the purposes of the offer,” said the statement. Dover Street IX, the sole limited partner of HarbourVest Bidco, and HarbourVest Bidco GP — the general partner — are directly or indirectly managed by HarbourVest, said the statement.
“We believe that our final cash offer provides full, compelling and immediate cash value to the shareholders of SVG Capital at a fair and significantly lower discount to both SVG Capital’s last published (net asset value) and the average discount of NAV of its peers,” said David Atterbury, managing director of HarbourVest, in the statement. “While our offer does not currently have the recommendation of the board of SVG Capital, we look forward to a constructive dialogue with them in order to crystallize the certainty of value, today and in cash, to its shareholders.”
Jefferies International is acting as exclusive financial adviser to HarbourVest.
Further information could not be learned by press time.