OakNorth continues building its fund finance capabilities with subscription line to leading private equity firm, Palamon Capital Partners

  • Founded in 1999, Palamon Capital Partners (“Palamon”) is an independent private equity partnership, focused on investing in European mid-cap growth companies;
  • The firm has made 44 investments across 12 countries over the last 25 years, with a focus on four key sectors: financial services, business services, consumer and healthcare
  • Palamon has invested more than €2.5bn to date, with current investments including well-known brands such as Happy Socks and The Rug Company;
  • OakNorth offers the full spectrum of fund finance products – capital call, GP lines, liquidity lines, and NAV facilities – addressing the gap in the market for smaller facilities ranging from £3m up to £75m.

OakNorth, the digital bank for entrepreneurs, by entrepreneurs, has provided a subscription line to Palamon, a leading UK-based European mid-market private equity firm.

Palamon has deployed more than €2.5bn in mid-cap companies since its inception in 1999, with a focus on financial services, business services, consumer and healthcare. Pursuing equity investments of €30m to €100m, the business has made 44 investments across 12 countries over the last 25 years, with current investments including: MyDentist, Happy Socks, Redpin and The Rug Company.  Authorised and regulated by the Financial Conduct Authority, Palamon uses its thematic investment strategy to identify long-term growth trends and the most attractive market segments across Europe in which to capture.  It then looks for quality business owners and entrepreneurial managers interested in partnering with patient capital to capitalise on those trends, giving them unfettered professional support to accelerate their growth safely.

Gary Pritchard, CFO of Palamon Capital Partners, commented: “Since our inception, we have sought businesses from the primary market as we believe these companies present the most attractive opportunity to drive value creation through operational improvements and growth strategies. Over the last 25 years, we have demonstrated the effectiveness of our “top-down” thesis-led sourcing model, generating strong returns across dozens of investments. In a market dominated by financiers focused on £100m+ loans, it is refreshing to work with a lender that like us, has an appreciation and deep understanding of the lower mid-market. The team at OakNorth were pragmatic, entrepreneurial, and have in-depth knowledge of the fund finance space, which made the entire experience remarkably transparent and straightforward.”

Mohith Sondhi, Senior Director of Debt Finance at OakNorth, continued: “Over the last several years, OakNorth has carved itself a niche in the fund finance market, providing optionality for funds seeking lower debt quantum from £3m up to £75m. We’re not a volume player – we want to find the right deals and structure them accordingly, working in partnership with the fund. Palamon has an established track record spanning 25 years, an experienced management team, and incredibly strong underlying investors. The business has always been disciplined in targeting chosen investments with quality management capable of taking advantage of clear open water ahead with favourable winds at their backs.”

ENDS

Notes to editors

About OakNorth

Launched in September 2015, OakNorth is the digital bank for entrepreneurs, by entrepreneurs, empowering scale-up businesses (£1m-£100m turnover) to support growth, prosperity, and innovation for the benefit of all.

Since its launch, the bank has:

  • Lent over £10bn to these businesses, directly helping with the creation of 40,000 new jobs and 29,000 new homes across the UK. 
  • Raised deposits from c.175,000 savers.  
  • Supported several hundred businesses across the UK with the debt finance to pursue their growth ambitions.

It is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. 

Visit www.oaknorth.co.uk for more information.

Media contact

Valentina Kristensen, Director, Growth & Communications – [email protected] / [email protected] / 0757 234 9009

About Palamon Capital Partners

Palamon Capital Partners, LP is an independent private equity partnership founded in 1999, which is focused on providing equity for European growth services companies. Palamon originates, executes, and manages investments on a pan-European basis, with a particular focus on the UK, Germany, Benelux, Italy, Spain, Norway, Denmark and Sweden. The Firm targets investments in companies where it can be the lead private equity provider and where it can provide strategic direction and partner with management to help build equity value. The Firm manages funds with €1.5 billion of equity capital for investment.

Visit www.palamon.com for more information.

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