Vista closes first institutional fund on $1.3bn

The San Francisco-based firm, which targets mid-market software and tech companies, has already invested $757m in four portfolio companies.

Vista Equity Partners has closed its first institutional fund with $1.3 billion in commitments.

The San Francisco-based firm launched Vista Equity Partners Fund III in January of last year, holding a first close in July 2007. The firm had finished most fundraising by the first quarter of 2008, but the fund was left open largely because of the administrative needs of some limited partners, according to a spokeswoman.

The firm said in a statement that its investor base consists of pension funds, corporate investors, fund-of-funds and high net worth individuals, but declined to disclose any more specific details.

Vista raised one prior vehicle, Vista Equity Fund II, with an unnamed family charitable trust acting as a sole LP. The firm held the name Vista Equity Fund I but never used it for fundraising.

The firm was co-founded founded in 2000 by Robert Smith, previously co-head of investment banking for enterprise systems and storage sector at Goldman Sachs, and  Stephen Davis, formerly vice president of leveraged finance at Credit Suisse.

Vista has already completed four investments from the fund: the $111 million acquisition of Aderant, a provider of business management applications for law firms and other professional services; the $217 million acquisition of Petroleum Place, a software provider for the oil and gas industry; a $47 million investment in Accero, a provider of human resources and payroll software; and the $387 million buyout of Sunquest, which provides management systems for hospitals and commercial laboratories.


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