Crosspoint Capital has closed its debut fund, Crosspoint Capital Fund I LP, above its $1.0 billion target with $1.3 billion of capital.
Crosspoint is an investor in the cybersecurity, privacy and infrastructure software sectors. Typical transaction types include control buyouts, minority growth investments, and corporate carve-outs. In raising its debut fund, Cross Point highlighted its operating and financial approach to private equity investing.
Crosspoint was founded in September 2019 and is led by its managing partners Greg Clark, Ian Loring, Steve Luczo, Matt MacKenzie and Hugh Thompson. Many of Crosspoint’s managing partners share an operating history at cybersecurity firms Symantec, Blue Coat Systems (Symantec acquired Blue Coat in 2016), and Seagate Technology. Mr. Clark was the CEO of Symantec from 2016 to 2019, and the CEO of Blue Coat from 2011 to 2016.
“Private equity is an exceedingly competitive industry and simply having capital is no longer a source of differentiation,” said Mr. Clark. “We are pursuing a new and differentiated model for private equity investing that combines deep sector knowledge, operational capabilities and investment expertise to build better businesses. Our unique skillsets give us deep insights into what we are buying, help us identify opportunities to create value and partner with management teams to accelerate the innovation, growth and profitability of our investments.”
In August 2020, Crosspoint co-invested with Advent International to take private Forescout Technologies, a San Jose-based provider of cybersecurity services that are used to identify all devices connected on an internal network – wired or wireless – and applies security controls to reduce the cyber-risk those devices have on the network.
“We are thrilled with the support we received from the limited partner community, especially against the backdrop of the global COVID-19 pandemic, which has depressed fundraising for many first-time private equity funds,” said Mr. Loring. “Our Fund I limited partners include some of the most respected investors in the private equity industry, which speaks both to their conviction in our mission-driven focus to help build great businesses and to the incredible team we have assembled.”
PJT Park Hill was the placement agent on this fundraise and Ropes & Gray provided legal services.
“Crosspoint’s strategy of combining investors, operators and sector experts among the leadership of the firm and investing in a concentrated portfolio within a large and growing sector of the broader technology market has been well received by the investor community,” said Sean Keene, a partner at PJT Park Hill. “We are increasingly seeing investors seek differentiated returns through sector-focused private equity firms like Crosspoint.”
Crosspoint Capital has offices in Menlo Park and Boston.
© 2021 Private Equity Professional | April 16, 2021