Inflexion Private Equity today announces the successful final close of Inflexion Buyout Fund VI at the hard cap figure of £2.5 billion. This increase in size from Buyout Fund V reflects investors’ conviction in Inflexion’s ability to continue its successful track record of addressing the growing private equity market opportunity in the UK and Europe whilst consistently delivering superior returns.
The investor base comprises commitments from existing and new limited partners across the US, Asia, Europe and the Middle East and includes state and corporate pension plans, insurance companies and sovereign wealth funds. The fundraise was strongly supported by existing investors with 70% increasing their commitment and a re-up rate of 100% by capital.
The new Fund will follow Inflexion’s proven strategy of backing high growth, entrepreneurial businesses led by ambitious management teams to accelerate growth. The increased size of the Fund will allow it to acquire companies in the UK and Europe with an enterprise value of up to £1 billion across the core sectors of Business Services, Technology, Healthcare, Industrials, Consumer and Financial Services.
As part of Inflexion’s commitment to ESG, Buyout Fund VI has entered into a capital call facility which includes market-leading ESG metrics.
Buyout Fund VI will be complemented by Inflexion’s existing family of funds including Partnership Capital, its dedicated minority investment fund, and Enterprise Fund, its lower mid-market fund. All investee companies have access to Inflexion’s value acceleration strategies including M&A, international expansion, digital enhancement, commercial effectiveness, sustainability focus and talent management.
The close follows a record year for Inflexion in 2021 with eight realisations returning £1.6 billion to investors at an average IRR of 38%, 12 new investments and 97 portfolio acquisitions. The strong momentum has continued into 2022 with three new investments and one realisation announced to date.
We are exceptionally proud of the sustainable value we create within our portfolio for our stakeholders. The investor support is a testament to the returns we have delivered and their belief in our ongoing ability to continue to do so. The resilience shown by our portfolio over the last two years reflects the hands-on collaboration we foster with management teams, while our recent successful exits underline the strength of our value acceleration strategies. A number of our longstanding investors have backed our strategy for over two decades and we are incredibly grateful for their continued support.