French private equity specialist Capza has held a first close for Capza 5 Flex Equity on €450m.
With this new closing, Capza has reached €4bn in assets under management.
This fund raised capital from Capza's historical investors, which include family offices, insurers, funds-of-funds, public institutions and pension funds, as well as new French and international investors.
"We welcome our investors' renewed trust in this new fund. It confirms the relevance of our investment strategy, which emphasises diversification and focuses on resilient sectors across Europe," said Benoit Choppin, co-head of Flex Equity France at Capza.
The fund will provide flexible financing that combines majority or minority capital, convertible bonds and mezzanine. It will offer tailor-made equity packages adapted to the company's project.
The vehicle aims to support mid-cap companies in France, Spain, Germany and Italy with turnovers of up to €150m in their development and expansion projects.
Like its predecessor, the new fund plans to complete 20-25 investments over a five-year investment period. Around 70-75% of the capital should be deployed as mezzanine, with the remainder invested as equity.
"This hybrid model enables us to be especially agile and to invest in capital and mezzanine at a time when financing is likely to be more constrained and when entrepreneurs will need our support more than ever," said Maxence Radix, co-head of Flex Equity France at Capza.
The GP said it will pursue a buy-and-build strategy in the life science IT services sector
Dominic Schmidt is based in the UK, while Satish Jindal and Katrine Bosley join in the US
Five Arrows has owned a majority stake in the France-based low-cost pharmacy chain since 2016
Hg acquired the software platform for care providers in 2018 from ECM Equity Capital Management