Investcorp Surpasses Fundraising Target, Secures $570 Million for Its Fifth Technology Partners Fund
Investcorp, a leading alternative investments firm, today announced that the subscription in its fifth “Investcorp Technology Partners” fund reached $570 million, surpassing the target amount of $500 million due to commitments from new and existing limited partners across Europe, North America, Asia, and the Gulf Cooperation Council countries.
Investcorp, which specializes in alternative investments, reported that the subscription in the fifth “Investcorp Technology Partners” fund reached $570 million, exceeding the target value of $500 million. The fund will seek to invest globally in companies in the fields of software, data/analytics, cybersecurity, and financial technology. The fund plans to acquire controlling stakes in companies with revenues of about $10 million or more.
This fund is the successor to the fourth “Investcorp Technology Partners” fund, valued at $400 million, which invested in companies such as softgarden, Avira, Ageras, and Impero. The fund represents a continuation of Investcorp’s strategy in the mid-lower technology market sector, established over 20 years ago to target growing technology companies specializing in business-to-business transactions and offering proven products and markets. The fund aims to invest globally in companies in the fields of software, data/analytics, cybersecurity, and financial technology, seeking to acquire controlling stakes in companies with revenues around $10 million or more and positive earnings before interest, taxes, depreciation, and amortization (EBITDA), requiring equity investments ranging from $30 to $75 million, often as the first institutional investor.
The fifth “Investcorp Technology Partners” fund has already made four investments in companies covering all specified areas of the fund. These companies include VEDA (human resources software, Germany), HWG Sababa (cybersecurity, Italy), Zift Solutions (partner relationship management software, the United States), and NetRom (software engineering, the Netherlands).
Hazem Ben-Gacem, co-CEO at Investcorp, said, “We appreciate the support provided by our existing and new investors in the fundraising campaign for the fifth technology fund. We look forward to continuing to implement our proven strategy for investing in mid-market technology, which has been successful throughout market cycles. Leveraging Investcorp’s global reach and spread, our team and this fund are uniquely positioned to invest in promising companies, partner with them, and help accelerate their growth.”
Gilbert Kamieniecky, President of Private Equity in Europe at Investcorp, commented, “We are pleased to announce the final closing of the fifth technology fund today. Over the past twenty years, we have developed a successful formula for investing in business-to-business technology companies in the mid-lower market, enabling us to consistently achieve attractive returns for our investors. We pride ourselves on maintaining discipline regarding entry valuations throughout the cycles and being practical partners for founders, focusing on a small subset of sectors with favorable long-term conditions. This fund represents a continuation of this successful strategy, and we are truly grateful for the trust our investors have placed in us once again.”
