Growth manager FTV eyes more than $800m for Fund VI – exclusive

The firm closed FTV V in September 2016 on its $850m hard-cap.

San Francisco-headquartered FTV Capital is in discussions with existing LPs about returning to market with its sixth flagship growth equity fund this year, Private Equity International has learned.

The fund target will be slightly higher than its predecessor, the 2016-vintage FTV V, which gathered $850 million against a $700 million target, a source with knowledge of the fundraise told PEI.

Investors in FTV’s previous funds include Employees’ Retirement System of Georgia, Texas Municipal Retirement System and New York City Employees’ Retirement System, according to PEI data.

Fund V is already 75 percent deployed and committed across 13 investments, including in cybersecurity and compliance solutions provider A-LIGN and cloud-based business management platform Vagaro, the source noted.

FTV invested $500 million into nine new investments last year.

Capital raised for Fund VI will follow the same strategy as its predecessor vehicles, backing lower mid-market companies with between $10 million and $100 million in annualised revenue. The firm’s three focus areas are in enterprise and technology services, financial services and payments and transaction processing.

Although the firm invests predominantly in the US, the firm has also been an active investor in India, Brazil, China, the UK and Israel over the years. FTV has raised $2.7 billion since its inception in 1998.

The firm declined to comment on fundraising.