Apax Partners closes $1 billion tech-focused growth fund, the Apax Digital Fund
6 December 2017
Launch of the Apax Digital Fund, a new global fund focused on minority and buyout investments in leading, growth-stage technology companies
Successful fundraise reflects Apax’s high-quality team, long-standing success in the technology sector, and its global platform
New York and London, 6 December 2017 – Apax Partners LLP (“Apax”), a leading global private equity advisory firm, today announced the successful final close of its Apax Digital Fund at its $1 billion hard cap, exceeding the initial $800 million target. The Apax Digital Fund also announced separately today that it has made its first investment in Moda Operandi, a leading ecommerce business offering luxury goods from the world’s top designer brands.
The Apax Digital Fund will make minority and buyout investments in high-growth enterprise technology and consumer internet companies globally. Investments will be concentrated in subsectors where Apax has ample proven expertise, including vertical software, data and analytics, tech-enabled services, marketplaces, digital media, and disruptive e-commerce. The Apax Digital Fund targets individual equity investments of $30 million-$150 million, with the ability to complete larger investments alongside its limited partners. The fundraise follows the successful close of Apax IX in December 2016 at its hard cap of $9 billion.
The Apax Digital Fund is advised by a dedicated 14-person team, based in New York and London. This team, which is comprised of experienced technology investment and operating specialists, is co-led by Marcelo Gigliani and Daniel O’Keefe. Marcelo joined Apax in 1999 and has been a Partner focused on investments in digital businesses, including Trader Corporation, Dealer.com, and Idealista. Dan re-joined Apax in 2016 from Technology Crossover Ventures, where he was a Partner focused on investments in digital businesses, including Spotify, VICE Media, and Rent the Runway. The Apax Digital team comprises longstanding Apax investors as well as new hires from leading technology investment firms, including Insight Venture Partners, Summit Partners, TA Associates and Technology Crossover Ventures. In addition, Mark Beith, an accomplished technology investor from Silver Lake, joins in January as a Managing Director to lead the London office.
Marcelo Gigliani, Managing Partner of Apax Digital, commented: “Apax Digital is a natural extension of Apax’s proven strength in driving robust growth in leading tech companies worldwide. By combining a best-in-class investment team with the resources of the global Apax platform, we can better identify and accelerate meaningful operating value creation in the companies with which we partner.”
Daniel O’Keefe, Managing Partner of Apax Digital, continued: “As the technology industry has become one of the most important contributors to global growth, we see an opportunity to back its market leaders in achieving their next phase of development. We’re excited to bring all of Apax Partners’ substantial global capabilities to the growth equity market, and to our partner companies.”
Mitch Truwit, Co-CEO of Apax Partners and Chairman of Apax Digital, commented: “We are delighted with the strong investor support and believe it is a recognition of the calibre of the digital team we have built, Apax’s successful track record in technology investing, and the ability to leverage the global Apax platform. The new fund complements the main buyout fund, Apax IX, allowing us to work with smaller growth businesses in sub-sectors Apax understands well and in geographies where Apax has a presence.”
Previous technology and digital investments by Apax Funds include: Auto Trader Group and Trader Corporation, the largest online automotive marketplace and software solutions providers in the UK and Canada, respectively; Duck Creek, a leading US-based provider of property and casualty insurance software; King, the leading global mobile games company; Evry AS, the leading Nordic IT services business; and Sophos, the leading UK-based IT security and data protection provider. Since 2003, Apax Funds has invested over $10 billion in 35 leading technology and digital companies across growth and buyout stages.
For further information, please see: http://digital.apax.com.
About Apax Partners
Apax Partners is a leading global private equity advisory firm. Over its more than 35-year history, Apax Partners has raised and advised funds with aggregate commitments of $51 billion*. Apax Partners’ Flagship Funds invest in companies across four global sectors of Tech and Telco, Services, Healthcare and Consumer. These funds provide long-term equity financing to build and strengthen world-class companies. For further information about Apax Partners, please visit http://apax.com.
About Apax Digital
The Apax Digital Fund is a $1 billion fund raised in 2017 focused on minority and buyout investments in high-growth enterprise technology and internet companies globally. Advised by Apax Partners, the Apax Digital Fund’s investments are focused on subsectors where Apax Partners has expertise, including vertical software, data & analytics, tech-enabled services, marketplaces, digital media, and disruptive e-commerce. For further information, please visit http://digital.apax.com.
* Funds raised since 1981, commitments converted from fund currency to USD at FX rates as at 30 September 2017.
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