Rothschild raises €1.4bn

The Paris-based fund manager has held a final close for its European corporate debt fund.

Fund name: Five Arrows Debt Partners III

Amount raised: €1.4 billion

Stage of fundraising: Final close

Final/interim close date: October 2021

Amount of transactions to date: 11

Rothschild Merchant Banking has announced the final close of Five Arrows Debt Partners III at €1.4 billion, according to a press release by the firm. The fund will invest into mid-market companies across Europe in the healthcare, TMT, business and financial services sectors. Fund III will provide mezzanine and senior secured unitranche debt solutions, as well as preferred equity. Transactions from fund III will also include direct lending solutions to early-stage businesses founded by entrepreneurs.

The Five Arrow fund series has raised just over €1 billion to date, with Five Arrows Direct Lending raising €655 million and Five Arrows Credit Solutions raising €416 million. Debt Partners III exceeded its undisclosed target size and attracted investments from a variety of institutions including pensions, insurance companies and family offices.