Hg launches Fusion to enable investors access to Hg's investment strategies through a single investment

• Fusion is an open-ended and long-term capital investment opportunity.
• With one single commitment, Fusion provides access to funds managed by Hg, one of the largest PE firms in Europe with a 30+ year heritage and track record of consistently delivering over 3x returns for investors.
• Fusion is managed by Hg Wealth, a dedicated team formed in 2022 to provide investment opportunities exclusively to private banks, family offices, individuals in Hg's immediate network and their advisors.
• Today Hg supports a resilient portfolio of over 50 software and services businesses, worth over $135 billion aggregate enterprise value - an equivalent size to the second largest software company in Europe - consistently growing revenues and profits at more than 20% annually.
• Since the start of 2022, Hg's investment performance has remained robust, with the firm realising capital across 22 liquidity events, held by several Hg institutional funds, at an aggregate return to clients of 3.5x multiple of money and a net IRR of over 30 per cent.

LONDON, Oct. 24, 2023 /PRNewswire/ -- Hg, a leading investor in European and transatlantic software and services businesses, today announces the launch of Fusion, an open-ended and long-term capital investment opportunity that provides non-US individuals with the opportunity to access Hg's funds, as well as co-investments in companies alongside Hg's funds.

Individual investors hold roughly half of global assets under management, yet only 16% of total global assets are invested in alternative investment funds[1].  Fusion represents one of the first 'private wealth' offerings from a specialised and sector-focused private equity firm, paired with bespoke service and client support.

Martina Sanow, Partner and Head of Hg Wealth, said: "More private investors are looking to diversify their investment portfolio into high performing and resilient sectors. Meanwhile, the growth of private capital means that high quality software and services businesses are staying private for longer, making it hard for investors to access them through public markets. Fusion provides a solution to this, offering private investors a way to invest in a growing portfolio with very low volatility that has significantly outperformed public markets."

Fusion will be managed by Hg Wealth, a dedicated team formed in 2022 to provide investment opportunities exclusively to private banks, family offices, individuals in Hg's immediate network and their advisors, and other eligible non-US-investors looking to diversify their portfolios in private equity.

Hg is one of the top three largest private equity firms in Europe[2] with a 30-year heritage and a track record of delivering consistent, top quartile net returns to investors. This enduring performance is achieved through a focus on a high quality and resilient businesses, providing critical software applications or workflow services for many thousands of businesses globally. Hg supports these businesses and entrepreneurial leaders with deep knowledge and operational expertise within this sector, as well as local transatlantic presence.

Justin von Simson, Managing Partner, Senior Leadership Team, at Hg, said: "Our strategy is centred around backing sectors characterised by long term digitisation trends, that are in early stages of adoption and set to transform the workplace for professionals for the next few decades.  Embracing a long-term perspective, we strive to build a lasting and thriving franchise. This thinking shapes how we invest in our firm, back our portfolio companies and build relationships with clients and partners, with a strategy centred around consistency and continuous improvement."

Steven Batchelor, Partner, Senior Leadership Team, at Hg, said: "We are delighted to create yet another innovative and exciting access point for potential Hg investors, in addition to our well-established institutional funds and HgCapital Trust plc[3], which has, relative to the FTSE All-Share Index, performed very strongly on the London stock exchange for over 20 years and is a member of the FTSE 250.  The feedback we are getting from many of our own HNW clients and family offices is that Fusion helps further complement and enhance the versatility of their investment options with Hg."

Hg Fusion has been established in partnership with S64, integrating its private markets technology platform to deliver scalable access and end-to-end lifecycle management for wealth clients across Europe and Asia.

To find out more about how private investors could gain access to Hg's investment opportunities, visit www.hgwealth.com

About Hg

We support the building of sector-leading enterprises that supply businesses with critical software applications or workflow services, delivering a more automated workplace for their customers.

This industry is characterised by digitization trends that are in early stages of adoption and are set to transform the workplace for professionals over decades to come. Our support combines deep end-market knowledge with world class operational resources, together providing compelling support to entrepreneurial leaders looking to scale their business – businesses that are well invested, enduring and serve their customers well.

With a vast European network and strong presence across North America, our 400 employees and $65bn in funds under management support a portfolio of more than 50 businesses, worth over $135 billion aggregate enterprise value, with over 100,000 employees, consistently growing revenues at more than 20% annually.   If you'd like to see more, check us out at www.hgcapital.com.

[1] Bain and Company Global Private Equity report 2023: https://www.bain.com/insights/topics/global-private-equity-report/

[2] PEI300: https://www.privateequityinternational.com/pei-300/

[3] https://www.hgcapitaltrust.com/about-us/performance

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