AshGrove Capital Expands Specialty Lending Fund
Deal News | Nov 14, 2024 | Rede Partners
AshGrove Capital, an independent specialty lender focusing on European markets, announced the successful closing of its Specialty Lending Fund II with total commitments reaching €650 million, well above the initial target of €500 million. This accomplishment marks a doubling of fund size compared to its first fund, which closed at €300 million in 2021. A significant 107% re-up rate among previous investors and substantial new commitments totaling over €325 million highlight the strong market confidence in AshGrove's credit solutions for small and medium-sized enterprises. Moreover, the fund's diverse investor base, which includes pension funds, insurance companies, and family offices, reflects broad support both within Europe and from the U.S., with over 40% of capital sourced from American investors. Rede Partners served as the advisor for this fundraising effort, continuing its collaboration with AshGrove from its prior fundraise.
Sectors
- Private Credit
- Financial Services
- Software and IT Services
Geography
- Europe – AshGrove Capital focuses its lending efforts on small and medium-sized companies across Europe.
- United States – A significant portion of the investment for Fund II comes from U.S.-based investors.
Industry
- Private Credit – AshGrove Capital operates within the private credit industry, focusing on senior secured debt to small and medium-sized enterprises in Europe.
- Financial Services – The article revolves around a fundraise and investment strategies within the financial services sector.
- Software and IT Services – AshGrove provides credit solutions specifically targeting B2B software and services companies.
Financials
- €650 million – The amount of capital raised by AshGrove Capital for Fund II.
- €500 million – The initial target capital for AshGrove Capital's Fund II.
- €300 million – The size of AshGrove's first fund, closed in 2021.
- 107% – Re-up rate among existing limited partners for Fund II.
- €325 million – New capital commitments secured for AshGrove Capital's Fund II.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| AshGrove Capital | Target | Company | An independent pan-European specialty lender. |
| Rede Partners | Advisor | Company | Worked with AshGrove Capital on the fundraising efforts. |
| Jon Ferguson, Phil Fretwell, and Ilkka Rantanen | Founders | People | Founders of AshGrove Capital and seasoned credit professionals. |
| Preqin | Data Provider | Company | Provided data on the growth of private credit funds. |