We supported our companies in responding to the crisis,but we also maintained our investment tempo where we saw compelling opportunities. ByAlexandre Motte, Head of Ardian Co-Investment, and Patrick Kocsi, Head of US Co-Investments Our strategy of targeting quality optics company Zayo in early 2020, Elsan was companies that are leaders in their niches our first European deal above €100 million. This and investing alongside world-renowned enabled us to syndicate a portion of our investment GPs faced a severe stress test during the to our LPs, an important element of our plans for Covid-19 crisis. future fund generations. But our highly diversified portfolio – with Fund V was 65% committed by the end more than 30 holdings in Fund V and 50-plus of 2020 on 35 transactions and associated bolt- overall– withstood the test.Its robust recovery ons. We remain highly selective in assessing demonstrates the strengths of our approach. As a opportunities and continue to decline deals that value-added co-investor, we drew on Ardian’s we believe are aggressively leveraged. This stood insights and experience to provide strategic inputour portfolio in good stead during the worst of the as portfolio companies reviewed business plans market disruption last year. in response to the crisis. But we also looked beyond the immediate challenges and continued to invest Asia’s private equity markets are developing for the long term, committing about €280 million rapidly and interest among our LPs is increasing. The on new transactions and follow-on acquisitions. region will become increasingly important for us In three cases, we provided support to portfolio over the next few years although we will proceed companies that were facing difficulties. cautiously, given the high valuations we see. We have scope to deploy up to 10% of Fund V outside From mid-2020, our deal flow recovered Europe and North America, and are currently strongly.We subsequently agreed four new focused on opportunities in China, Japan, South transactions in North America and our largest dealKorea, Australia and New Zealand. We have to date in Europe, the acquisition of Elsan, France’scompleted our first deal in New Zealand in 2019, second-largest private hospital operator, which weand further Asian deals during 2020 included one underwrote jointly with KKR. Part of our strategy fornew investment in China and a follow-on financing Fund V is to invest larger sums in selected transactions.for one of our Chinese holdings that is performing Following our $125 million investment in the fibre-very strongly. 2020 ACTIVITY REPORT 85