Close of Hawkesbridge Private Equity Fund 3 Finalised

4 December 2007

Hawkesbridge Private Equity, Australia's largest fund investing in companies with an enterprise value of up to $50 million, is pleased to announce it is finalizing the close of Hawkesbridge Private Equity Fund 3, with $83 million in commitments.

Fund 3 expects to have a first close before 25 December which is timed to simultaneously complete Fund 3's first investment.

Mr Joshua Rowe and Mr David Plumridge, co-managing directors at Hawkesbridge Private Equity, said Fund 3 had received strong sup0port from existing investors as well as new investors. A second close of Fund 3 is expected by March 2008.

"Fund 3 will seek to invest in between six and eight expansion and management buy-out or buy-in opportunities, chiefly focusing on Australian owner-operator businesses with enterprise values of greater than $10 million but less than $50 million," said Mr Rowe.

"Hawkesbridge is well placed to assist business owners with their succession plans as well as work with incumbent or external management teams to facilitate management buy out/buy-ins. Given our previous experience, we hope to deliver sale outcomes that suit small-medium sized business vendors." said Mr Rowe.

Mr Plumridge said the private equity landscape was becoming increasingly crowded at the top end of the market, with lots of money chasing a limited number of deals. "Given the lack of private equity firms in our space we believe there is a significant opportunity to find exceptional businesses in a less competitive environment."

Potential exits for investments made by Hawkesbridge Private Equity may include secondary sales to larger private equity firms. "One of the investment objectives of Fund 3 will be to invest in and consolidate fragmented industries with an aim to achieve an arbitrage on exit," said Mr Plumridge.

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For more information please contact:

Joshua Rowe or David Plumridge at Hawkesbridge Private Equity on (02) 9233 7200

For media enquiries:
Michael Mullane
Savage & Partners on (02) 8281 3232 or 0414 590 296