HarbourVest Partners has held the final close of its fourth co-investment fund at its hard cap of USD1.75 billion. HarbourVest Partners Co-Investment IV, which had an original target of USD1.0 billion and hard cap of USD1.5 billion, was oversubscribed.
The fund’s hard cap was raised from USD1.5 billion to USD1.75 billion during fundraising, with the support of limited partners.
“We’re excited by the confidence our clients have placed in us that resulted in such a successful fundraise,” says Peter Wilson, Managing Director and member of the Executive Management Committee, HarbourVest. “HarbourVest has been investing directly in companies since 1983 and our co-investment funds capitalise on the general partner relationships we have built since then. These relationships allow us to provide clients with access to a strong and diverse pipeline of global investment opportunities in an ever-evolving private equity market.”
The fund has invested approximately 30 per cent of its capital to 11 co-investments alongside lead sponsors diversified across the Americas, Europe, and Asia.
“The larger fund size, combined with our ability to invest across the capital structure – growth equity, buyout and mezzanine – positions us as a strategic partner to leading private equity firms who are attempting to win and close transactions,” says Ian Lane, Managing Director, HarbourVest. “We are utilising an experienced and dedicated team with local presence in key geographies to ensure a consistent flow of proprietary investment opportunities. The strong response to this latest fundraise is a clear indication of the value our clients achieve through our differentiated co-investment strategy.”
The fund’s initial investments include the acquisition by EQT Partners of Press Ganey, a healthcare database company, and a co-investment alongside ABRY Partners in Acrisure, a national retail insurance broker.
HarbourVest Partners Co-Investment IV has more than 100 investors from across a range of geographies including Australia, China, Colombia, Korea, Israel, Peru, Switzerland, the United Kingdom and the United States. It includes institutional clients such as private and public pensions, corporations, foundations, and family offices, as well as clients through private distribution partners.
