TLDR:
- Isomer Capital has announced the first close of its new VC Secondaries fund
- The European venture capital secondaries market is expected to growth as investors seek liquidity solutions
Isomer Capital has recently closed the first round of funding for its new VC Secondaries fund. The fund was created to address the increasing demand for liquidity solutions in the European venture capital market. The market for secondaries has been growing due to challenges faced by Limited Partners (LPs) in exiting investments, with the last quarter of 2023 experiencing the lowest exit activity in over a decade, according to Pitchbook.
A spokesperson for Isomer Capital highlighted that many investors are looking to generate distributions or rebalance their exposure to European tech, indicating a potential shift in investments. The secondaries fund has raised over €20M of its €100M target, aimed at purchasing shares from VCs. Isomer Capital has expressed excitement about expanding their capabilities in the secondaries market, as they have previously declined many great deals due to mandate restrictions.
Since its establishment, Isomer Capital has invested in over 80 VC funds and participated in secondary transactions with various groups. With the European venture capital market reaching a peak in backed assets, the need for liquidity solutions has become crucial, making it an opportune time for those with access and capital to deploy. The growth of the secondaries market is expected to continue in the coming years, offering new opportunities for investors and companies alike.
