Hanover Investors is launching a new £300m Private Equity fund to continue to harness significant acquisition opportunities in the small cap public markets.
The launch of its Fund III – which will have its final close by June 2023 – is building on the significant success of the firm’s two previous private equity funds.
The firm, which is announcing today the second close for the Fund at £150m, has achieved IRRs in excess of 40% over the last two decades.
Hanover was founded in 2002 and focuses on investing in illiquid, under analysed companies in the UK and the Nordics, where it delivers value through operational and strategic change and has a portfolio of companies with operations globally.
“The small cap market is often overlooked but this also means that many companies have unrealised potential and are ripe for transformation. Despite – and indeed because of – the current economic headwinds, the opportunities today are greater than they were twenty years ago. The announcement today about Hanover Investors Fund III gives us the firepower to seize the opportunities in the market,” said Matthew Peacock, Founder and Chairman of Hanover Investors.
“It is not a “popular” market which means we do not operate in an auction environment, which is important to us. What we have is pattern recognition, through our in-depth research, where we can identify those companies which we can take to the next level. We create value for our investors by building better businesses.”
Hanover Investors’ portfolio includes Brady Technologies, a leading provider of commodities and energy trading and risk management software; ClearStar, Inc. which is a leading provider of technology-based services specialising in background and medical screening; Kalibrate, a market leading provider of pricing software and network planning models to the petrol retail sector, with significant market presence both in the UK and the US; and ZetaDisplay, a service and software company headquartered in Sweden that delivers digital signage solutions.