Italian firm taps institutions for first close

Xenon Private Equity has garnered €113m from LPs such as RWB and Capvent for the Italian mid-market.

Xenon Private Equity, a Milan-based private equity firm, has corralled €113 million for the first close of Xenon V. The firm came to market in November 2008 with a target size of €130 million

This is the first time the team has sought institutional money, having raised the fund’s four predecessors from high net worth individuals and family offices. The team of six partners has been making private equity investments in Italy since 1990, chief executive officer Danilo Mangano told PEO.

LPs that have participated in the first close include European asset management group LCF Rothschild and European fund of funds investors RWB and Capvent.

From its base in Milan, the fund will make investments in Italian businesses with an enterprise value of between €20 million and €50 million, writing equity tickets of between €7 million to €10 million per deal.

Elsewhere in the Italian mid-market, growth investor Abacus is plotting its second fund. It will go to market in September to raise up to €100 million.