IDEA CAPITAL FUNDS launches the IDEA ENERGY EFFICIENCY AND SUSTAINABLE DEVELOPMENT fund

The first private equity theme fund promoted by the asset management company will invest in emerging companies operating in the cleantech sector

Milan, 4 November 2010 – IDEA CAPITAL FUNDS, Italy's leading independent asset management company specialising in direct funds and funds of funds, which operates in the Italian and international private equity arena, launches its fourth private equity fund, IDEA ENERGY EFFICIENCYAND SUSTAINABLE DEVELOPMENT. It is the first theme fund promoted by the company and will invest in the capital of companies operating in the cleantech sector.IDEA CAPITAL FUNDS believes that the cleantech sector has high growth potential in line with the developing trend in renewable energies, but is less correlated with possible changes to the incentivisation system.The IDEA ENERGY EFFICIENCYAND SUSTAINABLE DEVELOPMENT fund will mainly focus on companies specialising in technological products with direct or indirect application to energy efficiency or the reduction of CO2 emissions (such as thermal-insulation materials, low-energy lighting, cogeneration, components for energy generation from renewable sources, electric vehicles, water purification technology and waste treatment and management technology), and on specialist operators involved in the energy efficiency and renewable sources sectors by providing high value-added services such as design, implementation support, financing, and plant management or maintenance.The fund will principally promote and undertake growth capital transactions, with a preference for investing in companies that are developing rapidly and have obtained a position of technological or market leadership. The injection of risk capital from the fund will enable the companies to grow further and/or embark on a course of internationalisation.Up to 10% of the fund’s proceeds will be able to be invested in early-stage companies with products that have already completed the initial testing phase.The IDEA ENERGY EFFICIENCYAND SUSTAINABLE DEVELOPMENT fund will also invest in infrastructure for the generation of energy from renewable sources should appropriate opportunities arise, to which it will allocate a maximum of 20% of its resources.The fund’s geographical focus will be Italy, but it will also be able to take advantage of investment opportunities abroad (mainly Switzerland, Germany and Israel) by investing jointly with solid local partners.

IDEA ENERGY EFFICIENCYAND SUSTAINABLE DEVELOPMENTwill be managed by a dedicated team with proven experience in the energy and private equity sectors, led by SergioBuonanno (who has ten years’ experience at ENEL and was previously head of the regional venture capital fund managed by Friulia SGR), assisted by Chicco Testa.Once authorisation has been obtained from the Bank of Italy, the company will commence fundraising among Italian and foreign investors. Its objective is to reach EUR 100 million, with the first closing – fixed at EUR 50 million - envisaged by the end of 2011. Investment activity (starting with a number of opportunities that have already been identified) is expected to begin at the same time.

Mario Barozzi, CEO of IDEA CAPITAL FUNDS commented, “This fund, promoted by IDEA CAPITAL FUNDS, will focus mainly on Italy. We believe that the conditions in this country are ripe for this type of product and service, which is of paramount importance for the future, to become established quickly.The wealth of renewable sources and high energy costs will fuel the popularity of solutions offering greater energy efficiency and lay the foundations for Italy to achieve economic sustainability in clean energy generation earlier than other countries, despite the absence of incentives and grants that are driving the current strong growth in this sector.Many Italian companies are gearing up to tackle the challenges of this new market and we are ready to support them by providing investors and development partners”.

IDEA CAPITAL FUNDS is Italy’s leading independent asset management company specialising in direct funds and funds of funds, which operates in the Italian and international private equity arena.

IDEA CAPITAL FUNDS manages three closed-end private equity funds, of which two are funds of funds (IDEA I FUND OF FUNDS and ICF II) and one a co-investment fund (IDEA CO-INVESTMENT FUND I). It will now add to this its first theme fund, IDEA ENERGY EFFICIENCYAND SUSTAINABLE DEVELOPMENT.At 31 August 2010, IDEA CAPITAL FUNDS had assets under management of around EUR 1.2 billion.IDEA CAPITAL FUNDS is wholly owned by Idea Alternative Investment, a subsidiary of DeA Capital, which is a De Agostini Group company active in private equity and alternative asset management.

IDEA CAPITAL FUNDS has Roberto Saviane as its Chairman, with Mario Barozzi as its CEO.