Ekkio closes Ekkio Capital IV on €161m

Francesca Veronesi
04 June 2018

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Ekkio Capital has made a final close for Ekkio Capital IV on €161m, surpassing its €150m target.

Ekkio IV was launched in September 2017 and made a first close on €135m in December 2017. It is significantly larger than it's predecessor, Ekkio III, which closed on €104m in January 2015.

Although the GP traditionally backs French companies, this vehicle will support companies to ensure a build-up strategy abroad. In particular, Ekkio is looking into expanding its investment radius to include Germany. The GP is considering whether to open a German office in the near future, Unquote understands.

Investors
All but one of the backers of Ekkio Capital III have committed to the latest vehicle, according to a source familiar with the situation.

Family offices, insurance companies, pension funds and funds-of-funds have committed to the vehicle.

BPI France and the European Investment Fund are among the institutional investors backing the fund.

Luxempart, a financial holding company based in Luxembourg that has backed Ekkio Capital since its spin-out in 2013, has committed €40m, the source said.

Moreover, the LP base of the fund has become significantly more international than for Ekkio Capital III. The current fundraise attracted 59% of its commitments from Germany, Switzerland and Luxembourg-based LPs and the remaining 41% from France.

Comparing with the fundraising experience of Ekkio III, a spokesperson for the GP disclosed that the fundraising period was shorter and a bigger fund was raised, in part because Ekkio IV is already the second vehicle managed by the GP after its spin-out from Acto Capital in 2013, and it was therefore easier to attract LPs with its track-record.

Investments
The GP will target European small and medium-sized enterprises operating in healthcare and beauty, testing, inspection & certification (TIC), tourism, and leisure.

Ekkio typically invests between €5-25m in companies with an enterprise value between €15-75m, with the sweetspot being €15-30m.

FX solutions, the fund's first investment, is a French manufacturer of surgical implants for shoulder arthroplasty. Two additional investments should take place in Q3 2018, Unquote understands.

People
Ekkio Capital – Jean-Marc Scéo (president).