Goldman Sachs to Provide Duke Street With Funds for DealsKiel Porter
Goldman Sachs Group Inc. pledged to provide Duke Street Capital Ltd., owner of Britain’s Wagamama restaurant chain, with funds for further leveraged buyouts, three people with knowledge of the talks said.
Goldman Sachs Asset Management will invest as much as 100 million euros ($133 million) in Duke Street’s planned fund as part of a wider agreement to buy out investors in the private equity firm’s previous pool, said the people who asked not to be identified because the talks are confidential.
Duke Street had been trying to raise money to finance takeovers since abandoning plans for an 850 million-euro fund in February 2012 amid a lack of investor demand. In June, the company sold 35 percent of itself to Paris-based asset manager Tikehau Group for 30 million euros and planned to use the money to start a new investment fund.
Goldman Sachs’s GS Vintage Fund VI, a pool dedicated to buying commitments in funds rather than purchasing companies directly, will buy stakes with a face value of about 400 million euros from existing investors in Duke Street’s sixth fund, the people said. The London-based firm raised 963 million euros for that fund in 2007.
Officials at Duke Street and a spokeswoman for Goldman Sachs declined to comment.