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Thoma Bravo completes USD22.8bn fundraise

Thoma Bravo, a private equity firm focused on the software and technology-enabled services sectors, has completed fundraising for three funds totalling more than USD22.8 billion in capital commitments – Thoma Bravo Fund XIV (USD17.8 billion), Thoma Bravo Discover Fund III (USD3.9 billion), and Thoma Bravo Explore Fund (USD1.1 billion).

Each fund reached its hard-cap and was significantly oversubscribed. 

These closings bring Thoma Bravo’s assets under management to more than USD70 billion, and the new funds significantly enhance the firm’s capacity to invest in high quality software and technology companies around the world.

“We are grateful to our investors for their tremendous support and their continued confidence in our investment strategy,” says Orlando Bravo, a founder and managing partner at Thoma Bravo. “Over the last 20 years, and over the course of more than 260 transactions, we’ve seen firsthand how well software can perform with the right investment and operational guidance. These three new funds position us to continue executing on our investment approach of buying high quality software companies with experienced management teams, loyal customers and strong product offerings, to accelerate their growth and innovation.”

Thoma Bravo Fund XIV is expected to target large equity investments and is the largest flagship fund in the firm’s history; Thoma Bravo Discover Fund III is expected to make middle-market equity investments; and Thoma Bravo Explore Fund is expected to make lower middle-market equity investments. The Funds received strong support from Thoma Bravo’s network of investors including sovereign wealth funds, public pension funds, multinational corporations, insurance companies, fund-of-funds, endowments, foundations and family offices.

The Funds follow an active year for Thoma Bravo on both the buy and sell side, with investments and realisations representing over $20 billion in combined enterprise value, including the $11 billion sale of Ellie Mae to Intercontinental Exchange.

Thoma Bravo has a more than 20-year track record of partnering with management teams of software and technology companies to implement best practices, invest in growth initiatives and make accretive acquisitions intended to accelerate revenue and earnings with the goal of creating the company’s value. The firm has acquired more than 260 software companies across a range of industries, including healthcare IT, security, financial technology, infrastructure and applications. Today, the firm’s private equity software portfolio includes over 40 companies that generate approximately USD15 billion of annual revenue and employ over 45,000 staff around the world.

“The accelerated digital transformation across all industries has underscored how essential software is for commerce and business continuity as well as its continued resilience,” says Jennifer James, managing director, head of investor relations and marketing at Thoma Bravo. “Our investors recognise that our deep experience and track record in enterprise software have positioned us to take advantage of these industry dynamics and the opportunities in the market. As stewards of their capital, we greatly appreciate their support and look forward to applying our software expertise with a goal of continuing to drive successful outcomes for our investors.”

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