INVESCO combines fundraising efforts

Two fund-of-funds capital-raising efforts overseen by INVESCO Private Capital are being combined to form a partnership with a target of $500m.

(PrivateEquityCentral.net) Two fund-of-funds capital-raising efforts overseen by INVESCO Private Capital are being combined to form a partnership with a target of $500m, according to sources close to the firm.

 

INVESCO Partnership Fund IV will absorb the current and future capital commitments of Sovereign New Millennium Fund III, which previously had a target of $150m.

 

In May 2002, INVESCO Private Capital, a division of publicly traded financial company AMVESCAP, merged its private equity fund-of-funds division with Denver based fund-of-funds manager Sovereign Financial Services. The combined team is headed by president Parag Saxena, based in New York.

 

At the time of the merger, the firms announced that their two respective vehicles would be managed separately. Since then, a source said the firms decided “it didn’t make sense to have two products in the market.” The source added that the two teams had “very little overlap” in terms of general partner relationships.

 

INVESCO Partnership Fund IV will invest globally in private equity funds. The combined investment team includes five professionals devoted to limited partnership investing.

 

INVESCO Private Capital, with offices in New York, London and Palo Alto, also operates a direct investment arm, also under the management of Saxena.

 

AMVESCAP acquired Sovereign Financial in 2001 when it bought the firm’s parent company, Atlantic Trust Pell Rudman.