Five Arrows, the alternative assets arm of Rothschild & Co, has closed Five Arrows Debt Partners IV (FADP IV) at €2.4bn, exceeding its €2bn target and marking a more than 70% increase on its €1.4bn predecessor fund.

The fund provides flexible financing solutions to mid-market companies in Europe and North America, offering instruments across the capital structure including unitranche, second lien, mezzanine, PIK facilities, and preferred equity. It supports both private equity-backed businesses and family or entrepreneur-owned companies.

Deployment has been rapid, with more than 50% of capital already committed across 19 transactions. All deals are concentrated in Five Arrows’ core sectors of data, software, IT services, healthcare, education, and business services.

The fundraising attracted commitments from a globally diversified investor base, including insurance companies, pension funds, financial institutions, family offices, and high-net-worth individuals. Repeat investors accounted for 70% of commitments, while Rothschild & Co and the fund’s executives also made substantial contributions.

Edouard Veber, Co-Managing Partner of FADP IV, said: “We are delighted with the success of the FADP IV fundraising and are grateful for the trust and support from both our existing as well as new investors. We are particularly pleased to have such a significant proportion of repeat investors from our previous direct lending funds, as well as from across the broader Five Arrows platform.”

Martin Hook, Co-Managing Partner, added: “We believe that the combination of our experienced team, proven track record and focused and selective investment strategy, supported by the global Rothschild & Co network, has made FADP IV an attractive proposition for a diverse group of sophisticated international investors.”

The close lifts Five Arrows’ assets under management to more than €29bn. FADP IV is classified as an Article 8 fund under SFDR.

If you think we missed any important news, please do not hesitate to contact us at news@pe-insights.com.

Can`t stop reading? Read more.