Buyout firm Portobello seals first exit
The sale of its stake in a Spanish explosives manufacturer is a bellwether deal for Portobello, whose management was dismissed by the backers of its former firm
Spanish buyout firm Portobello Capital has sold its stake in one of the country’s explosives manufacturers
in a bellwether deal the group, whose management was dismissed by the backers of its former firm.
Madrid-based Portobello Capital and peer Vista Capital have sold their almost 50% stake in Spanish
explosives manufacturer Maxam to buyout firm Advent International, according to a statement. The
remaining shares are controlled by Maxam’s management team. The deal’s value has not been
The sale represents Portobello’s first exit since it was founded in December, according to the firm, after
an unusual dispute with the sponsor of the senior management team’s previous firm, Ibersuizas.
Íñigo Sánchez Asiaín, partner at Portobello, declined to disclose the firm’s return on Maxam but said it
had returned a “substantial” proportion of its fund to investors following the deal.
He said: “[Maxam] is a very important divestment as it is the first one and it is the first piece of news we
put forward to our investors. We are in the process of contemplating several other divestments and we
expect good returns for all of them.”
A year ago, Portobello’s four founders were dismissed from Ibersuizas, a family office, they claimed to
Private Equity News in April. Ibersuizas said in April it had dismissed only one of them.
Ibersuizas is a family office, which manages money on behalf of wealthy individuals, set up by powerful
Spanish business families and institutions including the García Baquero family and Spanish bank Banco
The departure of Íñigo Sánchez Asiaín, Juan Luis Ramírez Belaustegui, Ramón Cerdeiras and Fernando
Chinchurreta had ramifications that ultimately led to the creation of Portobello, and the subsequent
transfer of the two most recent Ibersuizas funds to the new firm following an investor vote. The
management of about €500m of funds committed by Spanish and international investors were transferred
as part of the saga.
Jos van Gisbergen, a senior portfolio manager at Dutch investor Syntrus Achmea, said in April the
dispute was rare. He said: “When a firm normally goes its own way the office is often supportive. I have
never seen this situation, where the other [investors] are backing the team and the sponsor is opposed.”
Following a significant personnel shake-up, firms face pressure to ensure confidence in the team from
investors by delivering strong returns so that they can raise new funds.
PAI Partners has been one of the highest-profile examples of senior management changes in recent
years, with Lionel Zinsou replacing former heads Dominique Mégret and Bertrand Meunier in 2009. PAI
has since delivered billions of euros in returns to its investors from sales including a €2.1bn sale of
engineering company Spie to a consortium comprising buyout firms Axa Private Equity, Clayton Dubilier
& Rice and asset manager Caisse de dépôt et placement du Québec in May