Description

Intermediate Capital Group plc (ICG) operates as a private equity entity, concentrating its efforts on both direct investments and fund-of-funds strategies. Its direct investment approach encompasses private debt, credit, and equity. ICG targets a broad spectrum of situations, including mid-market companies, mature businesses, growth capital initiatives, reinvestments, industry consolidations, bridge financing, shareholder base restructurings, acquisitions, public-to-private transactions (with or without private equity backing), leveraged and acquisition finance, leveraged credit, partnership equity, management buyouts (MBOs) and management buy-ins (MBIs), secondary investments, development capital, public company financing, off-balance-sheet structures, refinancing and recapitalizations, and pre-IPO funding. Notably, the firm avoids investments in property companies, early-stage funds, or start-ups. For its fund-of-funds activities, ICG primarily focuses on secondary investments. While open to all sectors, ICG shows a particular inclination towards insurance, healthcare, education, and childcare. In the real estate domain, it has a preference for commercial properties located within the United Kingdom. Geographically, ICG targets companies with primary operations across a wide range, including the DACH region, the broader European Union and Pan-Europe, Germany, Spain, the Nordics, the United States, the United Kingdom, France, Italy, Bulgaria, Romania, North America, and the Asia Pacific region (encompassing Hong Kong, South Korea, Singapore, Taiwan, Japan, Australia, Oceania, and New Zealand). Mezzanine financing facilities range from €15 million ($20.31 million) to €500 million ($676.1 million) for businesses with enterprise values between $40.62 million and €1 billion ($1353.94 million). Real estate debt investments typically fall between £5 million ($8.20 million) and £50 million ($82.1 million), collateralized by commercial property assets valued from £20 million ($32.84 million) to £200 million ($328.38 million). ICG is prepared to acquire both minority and majority equity stakes. Financing arrangements are commonly structured using subordinated loans with equity warrants, preference shares, preferred equity, mezzanine debt, convertible loans, leveraged loans, alongside senior, junior, and mezzanine loan types, and Collateralized Debt Obligations (CDOs). Loans typically have a maturity of 7 to 10 years, with principal repayment due as a single bullet payment at the end of the term. Mezzanine investments are structured to deliver a cash yield of 3% to 4% above the relevant interbank rate, supplemented by an additional return component accounting for inherent risk. The firm also engages in debt, fixed income, and alternative asset markets. ICG's alternative capital solutions division targets mid-market firms across Europe, the US, and Asia Pacific. This includes corporate investments via private debt, various forms of debt (senior, junior, subordinated, mezzanine), structured loans, and equity across Europe, Asia Pacific, and North America. Its Alternative Credit strategies encompass portfolio formats like CLOs (Collateralized Loan Obligations), RMBS (Residential Mortgage-Backed Securities), CMBS (Commercial Mortgage-Backed Securities), and correlation tranches, with a focus on structured credit and portfolios acquired from bank balance sheets. Within direct lending, ICG provides senior secured and subordinated debt to European companies, often acting as the lead arranger or sole lender. For strategic secondaries, the emphasis is on restructuring, particularly in North America, the US, and Europe, where it leads restructuring and recapitalization transactions for seasoned private equity funds. ICG's fixed income solutions span leveraged loans and high-yield bonds; segregated and multi-asset credit funds focused on corporate loans and bonds; multi-asset credit strategies involving European loans and high-yield bonds; CLOs in both Europe and the US; and Asset-Backed Securities and other securitized debt products across Europe and the US. Additionally, ICG manages third-party funds, including mezzanine, CDO, and institutional client funds. The firm engages in balance sheet investments and typically seeks board representation within its portfolio companies. Established in 1989, Intermediate Capital Group plc is headquartered in London, supported by a network of offices throughout Europe, North America, the Middle East, and Asia Pacific.