Buyout firm Activa Capital has closed a €315 million ($428 million) fund for investment in the French mid-market.
Activa Capital Fund II was twice over-subscribed at its upper limit, and was raised in under three months without the use of a placement agent.
80 percent of the committed capital came from investors in the company’s previous fund, with every single one of its previous investors returning and increasing their commitment relative to the previous fund.
Investors include Hermes Investment Management, the manager of the British Telecom pension fund.
Activa said the high interest was due to the success of its previous €162 million fund, which closed in 2003. A company spokesman cited as an example the fund’s exit from French dessert company, Mont Blanc, which achieved a 4.6 times return on investment with a 60 percent IRR.
Activa Capital specialises in the acquisition of spin-outs and other private equity deals of up to €200 million. It is focused on food and consumer goods, healthcare, business and support services.