News & Events

Corporate Partner Jason Glover was quoted in Financial News discussing the increase in fundraising by European private equity firms since the global financial crisis. Many of Europe’s biggest firms have returned to market with new vehicles approximately three years after raising their previous funds, in comparison to an average of six years during the crisis. Jason noted that firms believe it is a good time to raise capital due to the current environment. Firms are also looking to become more flexible and gain a competitive advantage when they raise their next vehicles. In the past, fund documentation would not allow firms to raise capital before it had spent 75% of its existing fund, but as Jason commented, “[s]ome firms are changing their fund documentation so that there is no restriction on fundraising; they are only prevented from investing their new fund until their prior fund hits the 75% threshold. That means that sponsors can launch their next fundraising a bit earlier.”