Governance of Apax
Apax Partners LLP (together with its affiliates, “Apax”) is a leading global private equity advisory firm. Apax is committed to maintaining the highest standards of governance, compliance and transparency.
Apax is a private partnership, meaning our interests are completely aligned with the Apax Funds’ investors and the businesses with which we partner.
Apax Executive Committee
Apax’s Executive Committee, comprised of the firm’s co-CEOs Andrew Sillitoe and Mitch Truwit, is responsible for the strategy, management and governance of the firm.
Apax Investment Committees
Apax Investment Committees (“ICs”) provide guidance and support to deal teams on key areas of due diligence, deal expense budgets, the use of specialist advisors and consultants, assessment of risk and rewards, and general attractiveness and suitability of a deal.
The ICs make investment and exit recommendations to the General Partners (“GPs”) of Apax Funds, and provide ongoing guidance and regular updates to the GPs on various issues including portfolio management and oversight.
ICs have been established for the different strategies of the Investment Advisor, including Global Buyout, Digital Growth, Mid-Market Israel, Apax Credit, and Listed Private Equity. The ICs are comprised of senior Apax individuals with management and/or investment experience relevant to the respective strategy.
Allocation Committee
The Apax Allocation Committee is responsible for making recommendations to the ICs, which in turn will make recommendations to the GPs of the Apax Funds, regarding allocations of investment opportunities that may be appropriate for more than one Apax Fund in accordance with Apax’s allocation policy.
Investor Transparency
Apax communicates transparently with investors in the Apax Funds, providing detailed reporting and analysis. Apax has been a longstanding supporter of the Institutional Limited Partners Association and its attempts to codify and strengthen the alignment between investors and their fund managers.
Apax also endorses limited partner advisory committee (“LPAC”) governance. Each Apax Fund has an LPAC, comprising representatives of investors and chaired by an investor. LPACs are consulted by Apax on issues including potential conflicts of interest, investment valuations and other matters set out in the constitutional documentation of the Apax Funds.
Global Business Standards
Apax has a series of policies, principles and procedures that it applies globally, known as Global Business Standards (the “GBS”). The GBS serves as a general compliance manual for all staff globally, and includes Apax’s policies on Anti-Bribery and Anti-Corruption, Anti-Money Laundering and Economic Sanctions, Conflicts of Interest, Personal Account Dealing and other key compliance areas in relation to the firm’s business.
Regulatory Oversight
Apax Partners LLP is authorised and regulated in the UK by the Financial Conduct Authority and has filed with the US Securities and Exchange Commission (“SEC”) as an exempt reporting adviser. Various other Apax entities are also regulated in local jurisdictions to carry out their business activities.
Apax Partners Guernsey Limited, the administrator to Guernsey-based Apax Funds, is regulated by the Guernsey Financial Services Commission (the “GFSC”), licensed under the Protection of Investors Law and registered as a Guernsey Authorised Closed Ended Investment Scheme. In addition, the general partner of each Guernsey-based Apax Fund is also regulated by the GFSC.
Apax Management Luxembourg S.a.r.l, the alternative investment manager to the Luxembourg-based Apax Funds, is authorised and regulated by the Commission de Surveillance du Secteur Financier.
Apax is committed to conforming with the Walker Guidelines for Disclosure and Transparency in Private Equity published in 2007. Apax discloses relevant information through our website.
Governance of Apax Funds
The Apax Funds are structurally separate from Apax Partners LLP (“Apax”), their investment adviser, and are domiciled in Guernsey, where Apax has a longstanding presence and a large, experienced team and more recently in Luxembourg. The General Partners or Investment Managers of the Apax Funds are responsible for investment management and portfolio management, drawing on investment advice from Apax and taking decisions through their own independent boards, comprised of experienced executives and non-executive directors.
Guernsey General Partners
Each Guernsey-based Apax Fund is managed by its own General Partner (each, a “GP”) which is responsible for investment and divestment decisions, portfolio management and risk management for the relevant fund. Each fund typically comprises a series of Guernsey limited partnerships.
The GP of each fund receives investment advice from Apax, its Investment Adviser.
The Board of the GP of each fund is comprised of experienced executive and non-executive directors. Each GP board meets frequently and is regularly briefed by a senior Apax Investment Committee member about the pipeline of potential new transactions or exits, portfolio company developments, and other relevant topics. The GP board for each fund also reviews formal investment and exit recommendations made by Apax and, if in agreement with a recommendation, the GP will make the relevant investment or exit decision.
The GP of each Guernsey-based Apax Fund is regulated by the Guernsey Financial Services Commission (the “GFSC”).
Guernsey Administrator
Apax Partners Guernsey Limited (“APG”) is the primary administrator to Guernsey-based Apax Funds, and is regulated by the GFSC. The directors of APG are Simon Cresswell, Mark Despres, Stephen Kempen and Jeremy Latham. Its registered office address is Third Floor, Royal Bank Place, 1 Glategny Esplanade, St Peter Port, GY1 2HJ, Guernsey. T: +44 1481 810000.
Non-Guernsey Funds
For Apax X, a Luxembourg fund vehicle was established that invests in parallel with the Apax X Guernsey fund vehicles. This fund is an EU alternative investment fund with an EU alternative investment fund manager (a third-party Luxembourg domiciled fund manager).
Apax US VII L.P. is a Cayman domiciled fund vehicle which is advised directly by Apax Partners US, LLC, Apax’s SEC-registered investment advisor.