Diana Capital I, FCR is a Private Equity Fund created in accordance with the provisions of Act 1/1999 that rules Private Equity entities and their management companies and it is listed in the Official Registry for this kind of funds held by the C.N.M.V. (Spanish Securities and Exchange Commission).

Diana Capital l's core objective is to achieve higher-than-average rates of return that will redound for the benefit of its investors, shareholders and the management teams of its portfolio companies. To do so, Diana Capital I invests on a temporary basis in successful unlisted companies located in Spain and Portugal.

The term of the Fund will be 10 years (extendible to 12); the first 3 years, extendible to 5, will be the investment term. The remainder of the Fund's lifespan will be devoted to monitoring investment maturity and optimum divestments.

In line with Diana Capital l's commitment to excel, the Fund has appointed the leading Spanish law firm, Garrigues, as its legal counsel and PricewaterhouseCoopers as its auditing firm.


Investment Criteria

Diana Capital I targets companies that possess a high potential for growth and fulfil certain requirements. Some key factors of Diana Capital l's portfolio companies are:

1. Diana Capital I is focused on Spain and Portugal
Diana Capital I is focused on investments and divestments in companies whose decision bodies are located in Spain and Portugal.

2. Management teams with proven capabilities
A key element in the investment process of Diana Capital l is to support a good management team formed by outstanding executives, with a proven experience, global vision and with enough management skills to achieve the ambitious objectives included in the Business Plan.

Additionally, we require the managers to be personally and financially committed to the strategic goals included in the Business Plan.

3. Growth and expansion projects
Diana Capital I will focus its investments on companies with a high growth potential. Thus, national and international expansion projects will be highly valuable for us, in which we can provide strategic and financial advice and our extensive networking tools.

In general, the companies will usually be already established businesses, well positioned in their respective markets, and definitively hold a sustainable competitive advantage. An excellent financial and operational track record will be of paramount importance.

Diana Capital I contemplates a multisector diversification investment strategy except for the financial and real estate sectors.

4. Investment structure
Diana Capital I will channel its investments mainly through the acquisition of majority and minority equity stakes in selected companies. The average size of any particular investment will be circa €9M , with an upper €12M and a lower €4M limit.

The upper limit can be extended in those transactions of a higher volume through the existing coinvestment agreements signed with Fund Investors and / or third parties.

The investment term will be flexible, usually of between 3 and 5 years, depending on the best maturity date for maximising a company's value.

5. Companies where the exit mechanism is accepted by all other partners from the time the investment is made
Diana Capital I cannot establish in advance when and how it will exit a portfolio company. Nevertheless, in order to carry out a divestment in a timely and efficient fashion, prior to formalising any investment Diana Capital I will reach an agreement with the other partners on possible divestment scenarios (usually buy-back, trade sale or a stock market float) to be completed within a flexible term.