Sovereign Capital closes oversubscribed fourth fund at £395m
Sovereign Capital, the UK private equity Buy & Build specialist, has successfully closed its fourth fund, Sovereign Capital IV Limited Partnership (“SCLP IV”), at the pre-set hard cap of £395 million following strong investor demand. The Fund’s target of £350 million was achieved in July, four months after its launch and was significantly oversubscribed.
As with previous funds, commitments to SCLP IV come from Sovereign’s strong network of existing and new investors in the US, Asia and Europe.
Earlier this year Sovereign fully realised its first fund, SCLP I, a £120m fund with a 2001 vintage, delivering a market-leading 3.5x money multiple to investors.
SCLP IV will invest up to £50 million of equity in services based companies, with the same investment strategy that has been deployed consistently across all of the Sovereign funds. Sovereign has established a strong track record in the Business Support Services, Healthcare and Education & Training sectors, backing high quality companies that are further developed through a combination of organic and focused buy-and-build growth strategies.
Sovereign’s well invested team is led by Managing Partner, Andrew Hayden alongside Partners Michael Needley, Dominic Dalli, David Myers, Matthew Owen and Kevin Whittle.
“It was quickly clear when we launched that the appetite for SCLP IV was strong. The pace of the fundraising and the level of interest it attracted is an endorsement of the success of our investment strategy – which has been strictly applied across all our funds – the energy and dedication of our team, and the quality of the management teams and businesses we have partnered. By final close the Fund remained significantly over-subscribed. “We would like to take this opportunity to thank our investors for their support and the advisory community and the advisors who continue to help us deliver successful transactions.”
Andrew Hayden - Managing Partner