Iberia Fundraising Pipeline - Q4 2020

Deals Pipeline — Despite the challenges of the pandemic, 11 funds reached a first close this year

Alessia Argentieri
14 December 2020

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Unquote compiles a roundup of the most notable fundraises ongoing across the Iberian market in the buyout, venture and debt segments, with the latest available intel for each vehicle.

The Iberian fundraising market has been facing complex challenges this year, due to uncertainty and volatility spread by the pandemic. Many GPs have experienced severe difficulties in strengthening and expanding their network of investors and noticed a decrease in LPs' interest, and a drop in their confidence in the stability of the local economy.

The region has recorded six final closes in 2020, collecting €1bn in aggregate capital. This represents less than half the amount raised in 2019, when local GPs collected €2.2bn across nine final closes.

Among the funds that were able to close this year were GPF Capital III and Nexxus Iberia Private Equity Fund I, which held their final closings on €300m and €170m, respectively, just before the outbreak erupted.

Despite the challenges of the pandemic, 11 funds reached a first close this year, including MCH Iberian Capital Fund V, and in the venture capital space Kibo Ventures III and Nauta Tech Invest V, among others.

The below is a selection of funds currently on the road, drawing on intelligence from Unquote Data and Unquote.com.

Buyout & generalist vehicles

Fund name	Fund manager	Vintage	Strategy	Target (€m)	Launch date	Latest update
Magnum Capital III	Magnum Capital Industrial Partners	2020	Mid-market buyouts	400	Dec 2019	Magnum Capital III acquires majority stakes in Iberian companies operating primarily in the industrial and services sectors. The fund held two interim closings this year and expects to reach a final close in the first quarter of 2021, the GP told Unquote.
MCH Iberian Capital V	MCH Private Equity	2020	Mid-market buyouts	400	Apr 2019	MCH Iberian Capital V invests in medium-sized companies headquartered in the Iberian peninsula, generating EBITDA of €5-15m. The fund held a €200m first close in April 2020 and expects to reach its final close in the coming months, the GP told Unquote.
Abac Sustainable Value II	Abac Capital	n/d	Mid-market buyouts	350	Jan 2020	Abac Sustainable Value II acquires majority stakes in Spanish medium-sized companies operating in the consumer, energy, industrials, technology, media and telecommunications sectors. The GP told Unquote that it plans to hold a first close in the coming weeks.
Portobello Structured Partnership I	Portobello Capital	2020	Minority stakes	250	Jan 2020	Portobello Structured Partnership I has a €300m hard-cap and acquires minority stakes in mid-market companies based primarily across Spain, but also in the rest of Europe. Target companies generate EBITDA in the €10-50m range. The GP told Unquote it expects to hold a close in the coming months.
GED VI España	GED Capital	2019	Mid-market buyouts	175	Jan 2019	GED VI España held a €100m first close in March 2019. It deploys equity tickets of €15-20m to acquire primarily majority but also minority stakes via buyouts and growth capital deals. The GP told Unquote that the fund is expected to reach a final close next year.
Talde Capital Crecimiento II	Talde Private Equity	2020	Mid-market growth deals	150	Sep 2020	Talde Capital Crecimiento II has raised around €55m so far. The GP plans to hold a first close between December 2020 and January 2021, and a final close in around one year, it told Unquote.
Suma Capital Growth II	Suma Capital	2019	Mid-market growth deals	125	Nov 2019	Suma Capital Growth II held a €65m first close in December 2019. The vehicle targets businesses with high-growth potential that are ESG-focused, operating in the niche manufacturing, specialised retail, business process outsourcing and e-commerce sectors. The fund is expected to hold a final close in Q1 2021, the GP told Unquote.

Venture capital funds

Fund name	Fund manager	Vintage	Strategy	Target (€m)	Launch date	Latest update
Ysios BioFund III	Ysios Capital	2020	Venture capital	200	Jan 2020	Ysios BioFund III held a €155m first close in June 2020. The fund provides financing to early- and mid-stage life sciences companies that develop disruptive therapeutic products and technologies.
Nauta Tech Invest V	Nauta Capital	2020	Venture capital	160	Dec 2019	Nauta Tech Invest V held a €120m first close in July 2020. The fund deploys tickets of €1-5m in seed and series-A rounds, with the ability to follow-on with additional capital of up to €7m over the life of an investment.
Seaya Ventures III	Seaya Ventures	2020	Venture capital	125	Sep 2020	Seaya Ventures III held an €85m first close in October 2020. The fund invests in technology companies based across southern Europe, with the aim of supporting their growth and boosting their international expansion.
Kibo Ventures III	Kibo Ventures	2020	Venture capital	120	Jul 2019	Kibo Ventures III held a first close in October 2020. It leads or co-leads pre-series-A and series-A rounds in European technology companies, primarily based in Spain and Portugal.
K Fund II	K Fund	2020	Venture capital	70	Jun 2020	K Fund II was launched in June 2020 with a €70m target. The vehicle invests in early-stage Iberian startups.
Faber Tech II	Faber Ventures	2020	Venture capital	30	Jun 2020	Faber Tech II held a first close on €20.5m in November 2020. The fund invests in early-stage rounds, targeting data-driven startups based across southern Europe – primarily Iberia – with the aim of supporting their international expansion.

Debt vehicles

Fund name	Fund manager	Vintage	Strategy	Target (€m)	Launch date	Latest update
Oquendo IV	Oquendo Capital	2020	Direct lending	250	Jun 2020	Oquendo Capital launched Oquendo IV in partnership with Banca March in June 2020. The fund invests in Spanish mid-market companies, deploying tickets of €5-25m.
Gaea Inversion	Inveready	2020	Hybrid instruments	110	Sep 2019	Gaea Inversion held a €55m first close in January 2020. The fund deploys equity as well as hybrid instruments and debt facilities of €2-20m.
Talde Deuda Alternativa	Talde Private Equity	2019	Direct lending	100	Jan 2019	Talde Deuda Alternativa has raised €65m so far. The fund invests tickets of €5-15m in mid-market companies.