Invesco closes third FoF below target

Invesco Private Capital has raised $300m, $70m of which will be invested in venture capital and buyout funds outside the US.

Invesco Private Capital, the private equity arm of asset manager Invesco, has closed its third fund of funds at $300m, $200m short of the target set a year ago.

Around $70m of the Invesco Partnership Fund III will be allocated to non-US investments and 70 per cent of have been earmarked exclusively for Europe, said Ray Maxwell, a managing director based in London.

“It has taken a year to raise this fund but we timed out. Considering the fierce competition and volatility of the market, we are very pleased to have got what we got though,” he said.

The non-US portion of the fund will be invested partly in venture capital funds investing in mainly early stage technology companies operating in Europe and Israel, partly in private equity funds targeting mid-market to large buyouts across Europe.

A number of commitments have already been made. The fund has invested in four technology and life science funds as well as in private equity partnerships in Asia and Europe. Another four deals are about to close, said Maxwell.

Invesco Private Capital closed its second fund of funds in 1999 at $515m. The unit was formed in 1982 as part of Citicorp Investment Management. It was bought by AMVESCAP in 1988, which under the Invesco and AIM brand names manages around £261bn.