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Current Global Late Stage Venture Capital Fundraising

by Kamarl Simpson

  • 17 Jan 2011
  • PE

Preqin’s research reveals that there are 16 late stage venture capital vehicles fundraising at present targeting an aggregate USD 3.7 billion. 44% of these funds have already had at least one interim close having raised USD 0.8 billion.

In terms of the number of vehicles currently on the road, 6% are seeking investments in the European market, 25% focus on investments in the Asia and Rest of World region, while the majority (69%) of the funds target investment opportunities in the North American market.

The average fund size targeted by late stage venture capital funds on the road is USD 264 million. The biggest late stage fund currently in market is India Advantage Fund Series III managed by ICICI Venture Funds Management, a vehicle seeking USD 500 million. It is followed by Psilos Capital IV, targeting USD 450 million, managed by Psilos Group.

Preqin data shows that from 2007 to present USD 11.2 billion in capital has been raised by late stage venture capital fund managers. Of the 50 funds that have reached a final close since 2007, 15 primarily focus on investing in Asia and Rest of World. These 15 funds accounted for 30% of the aggregate capital raised worldwide. Funds focusing on late stage venture investment in North America accounted for 56% of aggregate capital raised globally, while the seven Europe-focused funds raised in this time accounted for 14%.

Data from Preqin’s Funds in Market product shows the largest late stage fund ever to reach a final close is Technology Crossover Ventures VI managed by Technology Crossover Ventures. The fund closed in November 2005 on USD 1.4 billion, exceeding the funds original target of USD 1.25 billion. The fund focuses on late stage investment in industries such as communications, consumer services, infrastructure, semiconductors and software.

For more information on private equity fundraising please see Preqin's Funds in Market product.

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