Five V Capital – Australian Private Equity

Transcript

What does holding private equity in the Five V Horizons Fund in a diversified portfolio give investors access to?

Five V Horizons Fund gives people access to a diversified pool of the best mid-market businesses across Australia and New Zealand. The mid-market businesses in Australia and New Zealand are engine rooms in the Australian economy, being that there are nine times more of them to exist than companies listed on the ASX.

What is an example of one of the key holdings within the Five V Horizons fund?

Five V owns a position in BioPak which is Australia’s leading sustainable packaging business.

BioPak manufactures everything from coffee cups to cutlery to takeaway containers. They operate on a global scale including from APAC and Europe and sell products in over 36 countries. BioPak’s mission is to eradicate the use of single-use plastics and transition consumers and businesses to use more sustainable packaging options. Five V sees it as an exciting opportunity for an Australian business to grow as the sustainability mega-trend expands on a global scale.

What is the outlook for investors in mid-market private equity going into 2025?

2025 offers a strong opportunity for global growth. The economy is thriving, and we anticipate significant opportunities for generational wealth transfer to continue. We completed one exit last year and are excited about the potential for more exits in 2025. As international investors enter the Australian market, we also see increasing opportunities for our businesses to expand and succeed in global markets.

Five V views 2025 as an excellent opportunity for continued growth in mid-market businesses. While domestic opportunities remain strong, we are increasingly seeing promising offshore prospects, with capital from both the US and Europe creating significant avenues for expansion. This allows us to leverage the unique strengths of Australian and New Zealand businesses in the global market.

What are some of the key trends in mid-market private equity today?

We continue to see significant opportunities arising from intergenerational wealth transfer. Founders, owners and entrepreneurs who have built and grown successful businesses over the years are now seeking to transition their wealth to the next generation. This creates an opportunity for us to invest in these businesses, supporting the transition while also driving growth both domestically and internationally. We see great value in the unique products and services these businesses offer and are excited to help them expand further.

This transcript has been edited for written clarity.