Pollen Street eyes £350m final close on Fund III – Exclusive

The mid-market firm, which this month hired fundraising veteran Magnus Christensson from TPG, is understood to be plotting a final close at the end of Q1 2017.

UK-based Pollen Street Capital is gearing up to hold a final close on its third fund, PSC Fund III, towards the end of first quarter of 2017, according to market sources. The fund is understood to have a target size of £350 million [$425 million; €389 million] and to have made three investments already.

Pollen Street Capital declined to comment.

In a statement in March this year the firm said it reached a first close having raised more than £120 million. “PSC Fund III will target lower mid-market investments in European Financial Services businesses where there is opportunity to deliver transformational growth,” the firm said at the time.

Pollen Street recently hired Magnus Christensson, former European fundraising head at TPG Capital, as partner and head of fundraising and investor relations.

Christensson will take over fundraising from Pollen Street Capital founder Lindsey McMurray, who has been spearheading fundraising until now. Christensson has worked in fundraising and investor relations for 19 years, during which he has been involved in raising over $4 billion, Pollen Street said in a statement.

Christensson’s move was first reported by Private Equity News.

Pollen Street Capital, previously known as SOF Investments, spun out from Royal Bank of Scotland in November 2013. The firm typically invests in businesses with an operational value of between £200 million and £500 million, writing equity tickets of between £20 million and £70 million, as reported by PEI.