FTV Capital has held a final closing of its fourth fund, FTV IV, LP, with $700 million of limited partner commitments. The new fund had an initial target of $500 million and was significantly oversubscribed.
“Given the highly competitive fundraising environment, we were thrilled by the significant demand for FTV IV,” said Karen Derr Gilbert, FTV Capital partner and head of business development who spearheaded FTV’s fundraising efforts. “We are appreciative of the confidence our existing investors continue to entrust us with, and we look forward to building long-term, productive relationships with our new investors.”
Investors in FTV IV include banks, insurance companies, public and corporate pension plans, college and university endowments, foundations, investment advisors, family offices, high net worth individuals and strategic investors.
“We are extremely grateful for the support of our existing investors who value our distinct approach to growth equity investing and the strong results we have generated,” said Richard Garman, FTV Capital managing partner. “Our long-tenured team, deep sector knowledge, theme-based sourcing approach and unique Global Partner Network were also appealing to high quality, new investors who have chosen to partner with FTV. We are very excited to welcome our new investors to the fund.”
FTV IV will continue the strategy of earlier funds by investing in companies that have $10 million to $100 million in revenue and are growing 20 percent plus annually, are typically profitable, and are validated by blue chip enterprise customers and distribution partners. Sectors of particular interest include business services and technology, financial services and payments/transaction processing.
“Our team has already invested $170 million in five exciting new FTV IV portfolio companies which achieved aggregate revenue growth of 49% in 2013,” said Brad Bernstein, FTV Capital partner and head of the firm’s New York office. “The new capital will enable us to continue to partner with proven, motivated management teams in highly attractive businesses, where our contributions can help accelerate revenue growth, profitability and compelling returns for our investors.”
Founded in 1998, FTV Capital has invested in 81 portfolio companies and has raised over $1.8 billion across four funds since its inception. FTV Capital leverages its industry sector expertise and Global Partner Network, a group of leading enterprises and executives, to help its portfolio companies drive growth. The firm has offices in San Francisco and New York (www.ftvcapital.com).
© 2014 PEPD • Private Equity’s Leading News Magazine • 3-26-14