Global private equity firm Advent International is exploring the creation of a dedicated investment vehicle to target mid-sized deals, as it looks to expand its footprint in the private equity market without venturing into unrelated sectors, according to a report by Bloomberg.
The firm, which raised a record $25bn for its flagship buyout fund in 2022, sees untapped potential in transactions involving companies valued below $1.5bn. These deals, typically involving equity investments between $200m and $350m, are often overlooked by Advent’s main fund, according to John Maldonado, a Boston-based Managing Partner and co-chair of Advent’s investment committee.
“Our deal teams might see 10 high-quality opportunities of this size that currently don’t fit within our existing fund structure,” Maldonado said. “With the right vehicle, we could pursue them.”
Unlike some competitors transitioning to multi-strategy models to offer a broader suite of investment products, Advent remains committed to its core strength—private equity. Maldonado emphasised that the firm’s growth strategy focuses on sector-specific and regional expansions rather than branching into unrelated asset classes like real estate or credit.
“The way we think of growth is: What more can we do within private equity?” Maldonado explained. “The direction for us is exploring funds of different sizes or focusing on specific sectors and regions.”
Advent, which has approximately $88.8bn in assets under management currently concentrates on five key sectors: business and financial services, consumer, healthcare, industrial, and technology. It also operates specialised funds for Latin America and technology investments.
