Permira Is Said to Plan Raising 10 Billion Euros for Next Fund

(Bloomberg) -- European private equity firm Permira Holdings is in early-stage talks with investors to raise as much as 10 billion euros ($12 billion) for its seventh buyout fund, people familiar with the matter said.

The firm is likely to start fundraising next year for its largest pool of capital since the global financial crisis, said the people, who asked not to be identified as the discussions are confidential. Permira, which held its annual investor conference in London last week, has invested and committed over 50 percent of the 7.5 billion euros it gathered in 2016 for its sixth fund, the people said.

No final decisions have been made and the fundraising target or timing may change, the people said. A representative for London-based Permira declined to comment.

The market is flush with cash as fund managers at buyout, venture capital and real estate firms, among others, are sitting on more than $1 trillion that’s yet to be invested, according to data compiled by Bloomberg. Permira will use the money to advance its investment strategy of investing in consumer, financial services, health-care, industrials and technology companies, the people said.

Since its inception, Permira has broadened its investment horizon beyond its European roots by opening offices in locations as far-flung as Silicon Valley, Shanghai, Hong Kong and Tokyo. The firm is in the process of raising a growth opportunities fund, which had a first close of $1.3 billion in May, people familiar with the matter said at the time.

To contact the reporter on this story: Sarah Syed in London at ssyed35@bloomberg.net

To contact the editors responsible for this story: Dinesh Nair at dnair5@bloomberg.net, ;Aaron Kirchfeld at akirchfeld@bloomberg.net, Chitra Somayaji

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