Altor Raises Largest-Ever Fund at EUR 3 Billion, Focuses on Green Transition Investments

Altor Raises Largest-Ever Fund at EUR 3 Billion, Focuses on Green Transition Investments

(IN BRIEF) Altor has successfully closed Altor Fund VI at its hard cap of EUR 3 billion, marking the firm’s largest fund to date. With a track record of strong performance, including a 29% gross IRR and 3.0x money multiple from realized investments over the past 20 years, Altor’s fundraising success reflects its continued strategic focus on mid-market companies in the Nordic and DACH region. The fund will also emphasize investments in green transition initiatives. Altor Fund VI has already made seven investments, representing over one-third of the committed capital, and is well-positioned to broaden its investment portfolio across various sectors and geographies. The fund qualifies as an Article 8 fund, indicating a commitment to investments promoting environmental or social characteristics.

(PRESS RELEASE) STOCKHOLM, 20-Jan-2024 — /EuropaWire/ — Altor has closed Altor Fund VI at its hard cap of EUR 3 billion from world leading investors, which makes this Altor’s largest fund ever raised. Altor will continue their focused strategy of investing in mid‐market companies in the Nordic and DACH region, with an increased focus on green transition investments.

Altor has over the last 20 years consistently been ranked among the leading Private Equity firms globally based on long-term performance. Realized investments have generated a gross IRR of 29% and a money multiple of 3.0x. This performance has enabled Altor to raise its largest fund to date, Fund VI, in an overall challenging fundraising market.

“Our successful fundraising is a result of our continued strong performance through the difficult macro environment. Since the onset of COVID our portfolio has increased 60% in value” says Paal Weberg, co-managing Partner at Altor. “This is underpinned by continuing our focused strategy on building companies and improving earnings. Driven by this, our companies have continued to perform well and grown EBITA 16% in 2023.”

Altor Fund VI, is already off to a great start, having made seven investments, accounting for more than 1/3rd of committed capital. Fund VI has the same  flexible investment mandate as previous Altor funds, allowing Altor to continue broadening its investments across new opportunity areas.

”We are experiencing our strongest deal flow and investment momentum ever. This goes across sectors in the Nordics and in particular by deploying our successful partnership approach in the DACH region. In addition, we continue to expand our leadership position in green transition investments across geographies”, Klas Johansson, co-managing Partner at Altor, continues.

“20 years in, we are stronger than ever” says Harald Mix, founder and CIO at Altor. “We have built an organization of 120 amazing colleagues who truly are entrepreneurs at heart. Together with our community of portfolio companies and management teams, we will continue to be in the forefront of change also in the future.”

The fund qualifies as an Article 8 fund, which in EU-terminology means that the fund will invest in companies promoting environmental or social characteristics. Altor Fund VI, domiciled in Sweden, is managed by Altor Fund Manager – an authorized manager under the Alternative Investment Fund Managers Act, regulated by the Swedish Financial Supervisory Authority.

Monument Group, Ashurst and MSA acted as advisors to Altor on the fundraise.

Altor

Since inception, the family of Altor funds has raised more than EUR 11 billion in total commitments. The funds have invested in just south of 100 companies. The investments have been made in medium-sized predominantly Nordic and DACH companies with the aim to create value through growth initiatives and operational improvements. Among current and past investments are Trioworld, OX2, Carnegie, Kaefer, FLSmidth, Rossignol and Toteme.

For more information visit www.altor.com

Media Contact:

Tor Krusell
Head of Communications
tor.krusell@altor.com
+46 705 43 87 47

SOURCE: Altor