Copilot Capital, a new London-based private equity firm, has launched a $200 million (£157.5 million) buyout fund targeting European software giants.
The private equity firm plans to invest in mid-sized European software companies with annual recurring revenues of up to £13 million.
The firm said that in the current funding environment, a gap remains in the lower mid-cap market, despite there being a large number of companies with solid and sustainable growth models.
“There are 60,000 SaaS companies in Europe. Many of these mature companies don’t fit the profile of a typical venture capital or buyout fund and so get overlooked despite having clear potential,” said John Messer, co-founder of Copilot Capital.
“Our goal is to identify companies with market-leading products and proven revenue models and provide them with capital and expertise to grow them into software champions.”
Copilot Capital was co-founded by Messer and the investment arm of the Friedkin Group, a US consortium that provided seed funding and which also includes Serie A football club AS Roma.
“John’s focus on finding overlooked potential aligns perfectly with The Friedkin Group’s approach. Our success comes from making a unique contribution to our founders’ growth journeys and finding value others haven’t,” said Danny Friedkin, founder of The Friedkin Group.
“We have backed many outstanding founders and management teams across a variety of industries, and John and the staff at Copilot Capital are the next chapter in that adventure.”
In tandem with the fund launch, the company also announced its first investment in Relesys, a Danish management app for field and retail employees.
