We build trust among our investors through a transparent approach.
|CapMan Growth II Fund||2020||€74m||Actively investing|
|CapMan Growth Equity Fund 2017||2017||€86m||Value creation & exit|
|BVK-CapMan Nordic Residential Mandate||2016||€456m||Actively investing|
|CapMan Hotels II||2019||€368m||Actively investing|
|CapMan Nordic Real Estate II||2017||€425m||Actively investing|
|CapMan Nordic Property Income Fund||2017||€87m (non-UCITS)||Actively investing|
|Kokoelmakeskus||2016||€47m||Value creation & exit|
|CapMan Nordic Real Estate I||2013||€273m||Value creation & exit|
|CapMan RE II||2006||€485m||Value creation & exit|
|CapMan Hotels RE||2008||€875m||Terminated|
|CapMan Buyout XI Fund||2019||€175m||Actively investing|
|CapMan Buyout X Fund||2013||€244m||Value creation & exit|
|CapMan Buyout IX Fund||2009||€295m||Value creation & exit|
|CapMan Buyout VIII Fund||2006||€440m||Value creation & exit|
|CapMan Russia II Fund||2013||€99m||Value creation & exit|
|CapMan Russia I Fund||2007||€118m||Value creation & exit|
|Nest Capital 2015 Fund||2016||€100m||Actively investing|
|CapMan Mezzanine V Fund||2010||€95m||Generating carried interest|
|CapMan Nordic Infrastructure I Fund||2018||€174m||Actively investing|
We have raised more than €5 billion since 1989
CapMan has put an increasing emphasis on building long-term relationships with its institutional investors. Relationships with our fund investors are best built by providing superior returns and investor services.
Through our transparent approach we build trust among the investors. CapMan's own fund investments are important in aligning its interests with those of the institutional investors.
We are determined to further broaden and extend the reach of our international investor community. Our funds are domiciled in Finland, Luxembourg or Guernsey.
Valuation of CapMan funds’ investment targets is based on international valuation guidelines that are widely used and accepted within the industry and investors. CapMan always aims at valuing funds’ investments at their actual value. Fair value is the best estimate for the amount for which an investment could be exchanged on a reporting date in an arm’s length transaction between knowledgeable and willing parties.
CapMan continuously monitors the fair value development of its investments. Portfolio companies are valued four times a year in conjunction with CapMan Plc’s interim financial reporting.
In the first phase of the valuation process investment professionals responsible for portfolio companies, together with the Performance Monitoring team, make proposals on the valuations of investment targets and compile material to support the valuation levels. In the following phase the Group’s Performance Monitoring team, which is independent of the investment teams, checks the correctness of the principles applied in the proposals and the continuity of the principles used between different investment targets and different points of time. The Performance Monitoring team also drafts proposals to the Valuation Committees.
Each fund has its own Valuation Committee. The task of Valuation Committees is to assess valuations and ensure that the same valuation principles are consistently applied in all portfolio companies, and that the principles comply with IPEV guidelines. The committees comprise of CFO, Head of the Performance Monitoring team, and either Risk Manager of the fund or Head of Investment team.
In the last phase of the valuation process the fund auditors, representing the fund investors, audit the material supporting the calculations and ensure that the valuation methods are in line with fund agreements and IPEVG guidelines. In addition the CapMan Plc auditors audit that valuations for CapMan Plc’s own fund investments are made according to IFRS standards.
Reporting to fund investors
CapMan reports to its fund investors on the status of its funds in compliance with fund agreements, InvestEurope guidelines, applicable legislation, accounting regulations, and other statutory requirements. The funds’ investments in portfolio companies are valued in accordance with IPEV-guidelines, while the valuation of real estate investments is based on assessments provided by independent external experts. The reporting typically takes place quarterly, but the frequency may vary in line with the fund agreements.
Capital under management
Capital under management refers to funds’ remaining investment capacity and capital already invested at acquisition cost. The figure excludes capital from which the funds have already exited. Capital under CapMan’s management is allocated in private equity funds that invest in portfolio companies and real estate funds.The capital in funds making investments in portfolio companies is further divided into equity funds, and mezzanine and infrastructure funds.
The capital under management increases with new funds raised and declines through exits. Return expectations are directed to the capital under management both in the form of management fees and any possible carried interest.
The terms funds under management or original capital of a fund are used to refer to the original size of a fund, including capital from which the fund has already exited.