Montefiore closes fourth fund at €420m hard cap

French firm Montefiore Investment has held a final closing of its fourth fund at the hard cap of €420m.

Montefiore Investment IV Fund, which had an initial target of €350m, was significantly oversubscribed and reached the hard cap in just three months.

Institutional investors accounted for 75 per cent of total commitments, and the share of international investors (including North American, Asian and Australian) increased to 60 per cent.

“We intend to keep pursuing our ‘focus and growth’ strategy, which remained unchanged since our inception and continues to prove relevant, as evidenced by the profitable growth of our portfolio companies,” said managing partner Daniel Elalouf.

“If the size of our core operations and our investment tickets remain substantially similar, the amounts raised for Montefiore Investment IV will enable us to support our investments to a larger extent and in the long term, depending on the agreed project and strategy. We also plan to back a larger number of companies and thus to progressively strengthen the team.”

Montefiore claims it generates a 20 per cent net investor IRR over a ten-year period, more than 70 per cent of which comes from portfolio company growth.

The firm made four investments last year and 15 bolt-ons, and has already made two more acquisitions – of MisterFly and Isabel Marant – since the beginning of 2016.

Montefiore has also exited three companies since the start of the year – B&B, Demos and ISPS.