European growth investor Synova has held the first and final close of its fifth flagship fund on its hard cap of £875m, beating its initial £750m target in just three months.
The firm said existing investors have increased their commitments to Fund V by over 50% on average, following an average realized returns of 6.2x invested capital from prior funds.
Synova V will focus on investments in technology, business services, financial services and health & education sectors mainly in the UK and Ireland, but will also seek opportunities in continental Europe.
The firm said the fund is deliberately constructed to support companies throughout their growth trajectory and has therefore reserved £250m for investment in smaller companies.
Philip Shapiro and David Menton, co-founders at Synova, said, “We are humbled by the speed and success of this fundraise, which we believe reflects the strength of the Synova model, the talent within our team, and the strong partnerships we have built with investors over the years.
“We are committed to continuing to deliver outstanding returns through partnering with remarkable companies and great founders and supporting them to deliver exceptional growth across our core sectors.”
London-based Synova Capital hit its £365m hard cap for Fund IV in 2019 also after just three months of fundraising.
The oversubscribed fund has surpassed its predecessor fund, Synova Capital Fund III, which closed on a £250m hard cap in 2016.
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