Growth equity firm PSG secured $8bn in capital commitments across two funds, strengthening its position in the software and technology-enabled services sector.  

The firm’s sixth North American flagship fund, PSG VI, closed at $6bn, marking a significant increase from its predecessor, PSG V, which raised $4.5bn in 2021. Additionally, PSG launched a $2bn continuation fund, PSG Sequel, to support six portfolio companies.

PSG VI attracted investments from major institutional backers, including the California Public Employees’ Retirement System, New York State Common Retirement Fund, Washington State Investment Board, and Massachusetts Pension Reserves Investment Management Board, among others.

Meanwhile, PSG Sequel focuses on six high-growth companies: Arcoro (HR software), LivTech (healthcare technology), Nextlane (digital IT), Semarchy (master data management), Singlewire Software (event management solutions), and Transit Technologies (transportation software). Key investors in the continuation fund include Canada Pension Plan Investment Board, Singapore’s sovereign wealth fund GIC, StepStone, and funds managed by Hamilton Lane.

With this fundraising milestone, PSG continues to expand its presence in the software sector, leveraging its expertise to drive the growth of its portfolio companies.