Alchemy Partners is a British private equity firm, which specialises in investing in distressed and undervalued or underperforming businesses and other special situations through debt and equity throughout Europe.[1]
Alchemy was founded in 1997 by Martin Bolland, Robert Barnes[2] and Jon Moulton.[3] Before launching dedicated distressed vehicles, it invested in other transactions. Notable transactions included Four Seasons Health Care,[4] Alcentra[5] and Phoenix IT.[6]
Alchemy came to public notice in 1999, when it was negotiating to buy Rover Group from BMW; its advisory board members included former Rover MD Kevin Morley. After public protests, the discussions were abandoned when the government imposed additional conditions to the transaction.[7]
Alchemy launched its first distressed debt fund, Alchemy Special Opportunities, in 2006 with a final close of £300m.
Moulton resigned from Alchemy in September 2009, saying that he disagreed with plans by other partners to turn Alchemy into a specialist financial services firm.[8]
Alchemy raised £500m for the second distressed debt fund in 2010 and £600m for Alchemy Special Opportunities Fund III in March 2014.[9][1] A fourth fund was announced in August 2017,[10] with a final close of $1.2bn in October 2018.[11]
The Funds invest in the debt and equity of public and private companies in the UK and continental Europe. Funding is provided by a large number of blue-chip investors including major banks, pension funds, fund-of-funds, university endowments and high-net-worth individuals. Today the firm manages over £1.5bn.[1]
Alchemy is structured as an advisory business based in London, Alchemy Partners LLP, which advises a fund manager based in Guernsey, Alchemy Partners (Guernsey) Ltd.[1][12]
In January 2015, Alchemy supported London-based Incisive Media in their debt-for-equity restructuring, acquiring a majority stake.[19][20][21] In November 2016, Alchemy invested an undisclosed amount in M2 Subsea, the Aberdeen and Houston based provider of remotely operated vehicles for the oil and gas industry.[22][23] In October 2017, Alchemy sold its stake in JOA Groupe to Blackstone Tactical Opportunities and Kings Park Capital.[24][25]
In June 2021, Alchemy invested £100m in London-based payment service provider DNA Payments.[26][27] In October 2021, Alchemy invested $90m in Apollo Group Holdings, an independent Lloyd's specialist insurance and reinsurance group, based in London.[28][29]
