Activity shows recovery at 3i Group

Despite high asset prices, investments in buyouts trebled in the first five months of August to 236m from 86m in 2009, 3i said in a

statement yesterday.

Overall investments were up more than 65 per cent to 257m, while revenues from investments sold fell to 129m from 448m in 2009.

High asset prices continued weigh to heavily on new deals, with chief executive Michael Queen saying the firm would keep its focused approach, targeting sectors such as healthcare, where the group still sees good value.

Competition for assets will help 3i to sell businesses at attractive prices. Mr Queen said there is strong demand for general industrial companies with a good product range, good manufacturing efficiencies and international prospects.

Mr Queen has led some changes at the firm in recent weeks, merging the buyouts team with the growth capital business.

The move led to the departure of 3i's leading dealmaker Jonathan Russell.