Earlier this week, AE Industrial Partners closed its first fund, AE Industrial Partners Fund I, at $680 million, as reported by PEI.
As the vehicle has a sole focus on North American investments, PEI’s Research and Analytics team has compared industrials fundraising for developed markets and emerging markets.
Fundraising in the two markets has gone in opposite directions, with developed countries exhibiting a steady increase until 2013 before falling in 2014 and 2015, while fundraising for emerging markets diminished until 2013, followed by a significant increase.
Despite a lack of fundraising in emerging markets to date in 2016, the 146.8 percent increase from 2013 to 2014, and the 62.7 percent rise the following year highlight the current upward trend for this sector.
Funds in market such as Mozambique Private Equity Fund and Salamanca III FIP, managed by Eurofin Capital and RG Salamanca Investimentos respectively, indicate that the remainder of the year will see substantial industrials fundraising in emerging markets.
In contrast, funds focused on developed markets raised a total of $6.97 billion in Q1 2016, as opposed to $9.55 billion in Q1 2015, perhaps signifying a further slump for the sector.