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Digital Transformation Capital Partners holds first close of Growth Equity III Fund at $300m

Digital Transformation Capital Partners (DTCP) has successfully completed the first closing of its Growth Equity III Fund (GE III) at $300 million. The Fund was launched in March 2022 and has raised capital from new and existing investors including Deutsche Telekom and SoftBank Group International, alongside other institutional, pension fund, corporate, and family office investors. DTCP plans to continue to raise significant capital for the Fund and aims to close fundraising in 2023.

Following the proven proprietary data-driven investment strategy of DTCP, GE III invests in cloud-based enterprise software and business Software-as-a-Service (SaaS) companies in the fields of cybersecurity, web3, AI, fintech, vertical SaaS solutions as well as IT applications and cloud infrastructure software. The Fund is targeting about 25 equity investments in the range of $20 to $25 million for businesses in early growth or growth stage, typically as part of a Series B to D or late-stage funding round. The Fund focuses on category leaders in Europe, Israel, and the US with a defensible market position and technological advantage.
The predecessor growth equity funds GE I (launched in 2015) and GE II (launched in 2018) have invested c$410 million into 32 enterprise software companies across Europe, Israel, USA and Asia – 11 of which have been acquired or gone public, including: Auth0, Fastly, Signavio, and Guardicore, realizing high multiples and already having returned over 50% of the capital to its LPs. The funds maintain top quartile returns with low loss ratios.
The fund has closed its first deal with a $15 million investment into as part of its Series B funding round. Based in Dusseldorf Germany, is a conversational AI and automation platform that enables enterprises to communicate effectively and intelligently with customers and employees 24/7 across more than 20 languages on all conversational channels including chatbots, virtual assistants or voice-bots over the phone.

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