Europe’s largest funds seek €21bn ahead of bumper 2020

Carlyle Europe Partners V and KKR European Fund V are the biggest in market, seeking €5bn each.

The 10 largest Europe-focused funds in market are looking to raise another €21 billion, adding to the overall €26.8 billion of capital raised for the region in the first half of this year.

The amount being sought by funds that invest solely in Europe, is roughly 14 percent smaller than the collective target of the same cohort around this time last year, which was €24.4 billion, according to PEI data.

The second half of this year will be quieter in terms of fundraising activity because of the large fundraises in H1, the head of European private equity at a UK-based investment firm told Private Equity International.

He added that his firm is getting ready for what will be “a very busy 2020” with several large and high-profile fundraises launching in the first half of next year and some European buyout shops returning with their flagship offerings.

US buyout giants Carlyle Group and KKR are raising the largest Europe-focused funds, each targeting €5 billion for Carlyle Europe Partners V and KKR European Fund V. Both funds have raised more than €4 billion each, receiving commitments from LPs including Canada Pension Plan Investment Board and Minnesota State Board of Investment, PEI data show.

London-based IK Investment Partners is seeking €2.5 billion for IK IX Fund, while the European Investment Fund wants to raise €2 billion for its fund of funds vehicle Asset Management Umbrella Fund.

Half of the largest funds in market are UK-headquartered firms with a pan-European remit, including TDR Capital, CapVest and Stirling Square Capital Partners which are each looking to raise at least $1 billion each or equivalent for their latest offerings.