Keensight Capital, a European growth investor, is raising €200 million for its first independent fund, PEI has learnt.
The team, which spun out from R Capital, a subsidiary of the Rothschild Group, last November, hopes to wrap up fundraising this year, according to a source familiar with the matter.
The firm will be targeting international investors including pension funds, insurance companies and banks, the source added. It is understood the Rothschild Group will be investing in the fund.
Keensight declined to comment on fundraising.
Keensight’s fourth fund aims to collect more than the €100 million was raised for R Capital Fund III, which is the vehicle the Keensight team acquired when it spun out of R Capital. However, by co-investing with LPs, the team deployed approximately €150 million in Fund III, the source said. Fund III is almost fully invested, the source added.
The fund launch comes after Keensight promoted Philippe Crochet to partner last month. He became the fourth partner at Keensight alongside Jean-Michel Beghin, Jérôme Pujol and Pierre Rémy.
The firm has completed two investments since the spinout, and ten investments from Fund III. In April, Keensight invested an undisclosed amount in Menix, a French producer of orthopedic prostheses and dental implants, alongside the company’s management and fellow private equity groups LBO Partners and Turenne Investissement. Keensight also took a majority stake in French open-source software business Smile in January.
In February, Keensight sold Octo Telematics, a provider of telematics services and systems for the insurance and automotive markets, to Russian group Renova. It is understood the average IRR on Keensight’s realised investments is 40 percent.
Keensight typically invests in companies with high-growth potential and revenues in the €10 million to €150 million range. The firm deploys between €5 million and €30 million per deal and usually invests in the information technology, healthcare and energy sector.