Sponsor Capital closes its fifth fund at EUR 202 million

Sponsor Capital’s fifth fund, Sponsor Fund V Ky, held its first and final close at EUR 202 million.

Together with the Sponsor Capital’s partners’ co-investment, the collective investment capacity of the fund and the partners is 216 million euros. The fundraising process was completed in a very challenging market situation, but exceeded its target size and was successfully executed within the original schedule. Only selected investors were included in the fundraising and it was implemented during the spring and early summer. The fund had a very strong demand especially from existing investors of Sponsor Capital’s prior funds. Over 80% of the fund’s commitments come from existing Sponsor Capital fund investors, and nearly 50% from investors who have invested in all of Sponsor Capital’s funds since 1997.  The fund’s investor base consists of both Finnish and international institutional investors. The investment activities of the fund will start by Q1/2021.

The new fund will continue to follow the successful strategy of Sponsor Capital’s prior funds and will focus on building significant growth in successful small and medium-sized Finnish companies. Generally, we are investing in companies with a committed management, an established market position, positive and foreseeable cash flows, and a strong potential for growth and development. Typically, the turnover of target companies at the time of investment is 15 to 150 million euros. We also invest in smaller companies if they are planning significant growth projects such as business restructuring or industry consolidation. Typical investment situations are the boosting of company growth and internationalisation, business restructurings, corporate spin-off situations, and generation shifts in family businesses.

“We are extremely thankful for the trust that the fund investors showed towards our new fund. I believe that it proves how our persistent and systematic work with the portfolio companies and our investment strategy are still effective and essential cornerstones of our operations. As a result of the investors’ trust, we were able to complete the fundraising during the spring and early summer in exceptional market conditions, and we could reach our goals for the size of the fund, investor composition, as well as the closing timing,” says Juhani Kalliovaara, the CEO of Sponsor Capital.

Sponsor Capital is a Finnish private equity company founded in 1997, investing in small and medium-sized companies. Our investment targets are Finnish companies which operate in Finland or have already expanded to international marketsSince its establishment, nearly 800 million euros have been invested into Sponsor Capital’s funds. Today, Sponsor Capital is managing private equity funds worth of a total of 428 million euros. During its lifetime, Sponsor Capital has invested in 31 Finnish companies such as Teleste, Exel, MedOne, Realia, Saunatec, Pouttu, Barona, Lindorff, Indoor Group, Lehtipiste, Plastiroll, Tikomet, and Espotel.

Sponsor Capital’s current portfolio includes Haltija, Finland’s leading assistive devices distributor; Accountor Group, one of the leading Nordic service providers developing financial and HR-software; Orthex, the leading Nordic manufacturer of household utility products; StaffPoint, one of Finland’s leading personnel service companies; Myllyn Paras, one of Finland’s leading food companies; Duell, the leading Nordic motor vehicle product wholesaler; Nordic Lights, the global work light manufacturer; and Herrmans Bike Components, one of Europe’s leading bicycle component manufacturers.

For more information, please contact:

CEO Juhani Kalliovaara, Sponsor Capital
Tel. +358 40 588 0100
juhani.kalliovaara(a)sponsor.fi
www.sponsor.fi