Dublin-based private-equity firm Erisbeg, cofounded by a former Blackstone executive Alan Kerr, has raised €175 million for its second fund.
Erisbeg is led by Mr Kerr, Thomas Davy, Robert Burns and Andrew Murphy. The company invests in Irish SMEs in the business services sector focused on growth in Ireland and internationally, both organically and through acquisition.
The firm typically works in partnership with the existing management and shareholders of the SME.
In a statement on Monday, the group said its second fund had a first close at €100 million in December last, but fundraising continued until now and it has closed at €175 million.
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The new fund secured investments from all of the investors in the company’s first fund, as well as from a number of additional institutional investors from Norway, Belgium and the Netherlands.
AIB, which invested €10 million in its first fund, has invested again, along with Bank of Ireland and the Ireland Strategic Investment Fund (ISIF).
In its first fund, Erisbeg raised €110 million and made investments in six platform companies including Medray, ORS, Dixon and Occupli. It made a total of 27 acquisitions as it grew its platforms with bolt-on acquisitions.
The company exited its position in Medray in July 2024 to UK private equity firm LDC for approximately €60 million, which paved the way for its second fund.
The group has already used its second fund to make an investment in EMR Integrated Solutions, which is a provider of operational telecommunications and cyber security products for utilities and critical national infrastructure operators in Ireland and Britain.
It has additionally invested in CHM Group, which is a traffic management solutions specialist. It said it is “actively pursuing opportunities” in a number of other sectors.
“This fund raise took shape in a matter of months, thanks to the support of our Irish and international institutional investors,” said Mr Kerr.
“We had an initial close at €100 million in December last and a final amount of just over €175 million. There was support from investors for a larger fund, but we felt it was right to close it out now at a size we believe is perfect for the market opportunity as we see it today.
“The investments we made through our first fund are performing well and we are looking forward to further significant investments through this new fund in the months ahead.”
