Panoramic closes second fund on £65m

Kenny Wastell
16 May 2016

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Panoramic Growth Equity has held a final close for its second fund, Panoramic Growth Fund 2, on its hard-cap of ТЃ65m.

The sum is almost twice as much as that raised for the vehicle's predecessor, Panoramic Enterprise Capital Fund I (PECF I), which reached a final close on £34m in September 2010.

The latest fund was launched in 2015 with a £50m target and reached a first close on £42m in December last year.

The GP said the fundraising was 30% oversubscribed and revealed PECF I had generated an IRR of 70% across its first three divestments. Most recently, Panoramic sold its stake in tour operator Specialist Tours in May 2015 to Kings Park Capital for an undisclosed sum.

Panoramic did not use a placement agent for the latest fund.

Investors
Panoramic Growth Fund 2 received commitments from new institutional investors, in addition to all LPs that invested in the GP's maiden vehicle.

The firm said institutional investors account for 99% of commitments to the fund, with the majority consisting of UK pension funds. It also received a commitment from one investor from continental Europe.

Investments
The vehicle will make growth capital and buyout investments of £1-5m in UK companies across a variety of industries. Its predecessor also had a generalist remit, having invested in sectors including software, media agencies, travel and renewable energy equipment.

Panoramic Growth Fund 2 will target assets with a turnover of more than £1m and deploy capital in a range of situations, including development capital, replacement capital, management buyouts and management buy-ins.

The fund has already made its maiden investment, providing £2.2m for the buy-in management buyout of Precision Technologies International (PTI). Finance Birmingham and Santander Invoice Finance supported the deal for PTI, a manufacturer of components for the medical, oil and gas, aerospace and motor racing segments.

People
Panoramic Growth Equity – Stephen Campbell, David Wilson, Malcolm Kpedekpo (investment partners).