Bregal Milestone announced the final close of its third fund, Bregal Milestone III, at its increased hard cap of €915 million. The fund was oversubscribed and broadened the firm’s global investor base.
The fund closed in eight months from first close despite a challenging fundraising environment. Bregal Milestone said the result reflects the strength of its AI-centric approach and track record of investing in European software businesses.
Fund III will continue the firm’s strategy of investing in mission-critical European software, AI, and cybersecurity companies. The strategy combines sector focus, bilateral sourcing, and active partnerships with founders and management teams.
Bregal Milestone said value creation is supported by its data and AI capabilities. This includes Bregal Milestone Amplify, which embeds production-grade AI within portfolio companies through forward-deployed engineers and AI architects.
Fund III has already completed its first two platform investments. The firm said it has also developed a strong proprietary pipeline of opportunities across its target markets.
The fund attracted commitments from insurers, public and corporate pension plans, international asset managers, and other institutional investors. Investors came from Europe, North America, South America, and Asia.
Evercore Private Funds Group served as global placement agent. Goodwin Procter served as legal counsel to Bregal Milestone.
Bregal Milestone is a European software private equity firm with about €2.3 billion of capital raised since inception. The firm provides growth capital and operational support to companies across B2B software, AI, and cybersecurity.
KEY QUOTES:
“Bregal Milestone III reflects strong conviction in our approach to investing in mission-critical European software, AI and cybersecurity businesses and helping them scale. We are thankful for the support and confidence shown by our limited partners, both longstanding and new, and remain focused on executing the strategy that has defined Milestone since inception.”
Jan Bruennler, Philippe Lautenberg, and Cyrus Shey, Co-Founders and Managing Partners at Bregal Milestone
“We are grateful for the confidence shown by both existing and new investors. The breadth of support across Europe, North America, South America and Asia reflects growing recognition of Milestone’s differentiated investment strategy and its proven ability to consistently return capital to investors. This close marks a meaningful step forward for Milestone, and we are excited to continue building on this momentum.”
Alex Odysseos, Head of Capital Formation at Bregal Milestone
