Monterro, the leading B2B software growth investor in the Nordics, has today announced the first and final close of its fourth fund (‘M4’ or ‘the Fund’) at €700 million, making it the largest Private Equity tech fund in the Nordics. With the launch of M4 the firm now has over €1.1bn in assets under management.
M4 will be deployed within Monterro’s current strategy as a hands-on, operationally led growth investor targeting Nordic B2B software companies. Monterro’s software expertise and unique value creation model will enable it to continue to capture unique opportunities as a distinctive partner for software entrepreneurs.
There was unprecedented demand from existing investors with a 100% re-up rate from institutional LPs, as well as capital from 15 new prestigious institutional investors, including renowned fund of funds and top ranked US and British endowments. As in the predecessor funds, Monterro’s founders and employees continue to be the largest investor, with a 20% commitment in M4. Alongside this, 20 entrepreneurs and CEOs from Monterro’s portfolio companies have invested in the Fund.
The successful close of M4 follows Monterro’s continued delivery of market leading returns across funds, with M1 – M3 funds being amongst the best performing in Europe. In 2021 Monterro has seen two successful exits of Grade and Palette, and three platform investments in Bliksund, Umbraco and Moment. Monterro has also expanded the team which has more than doubled the last 18 months, as well as opening two new offices in Oslo, Munich, and the establishment of a distributed software development centre, ‘Scandinavian Software Park’, in Vietnam.
Thomas Bill, Co-Founder and Managing Director of Monterro said:
“Monterro was built to find and scale software businesses, and the success of this fundraise reflects our position as a leading B2B software growth investor in the Nordics. We will adhere to the strategy and are delighted to see the strong support from both our existing and new investors. As a team, we look forward to working alongside our investors and continue to invest in and build software companies.”
Gustav Lagercrantz, CEO of Monterro said:
“Monterro has a unique value creation model – going beyond what traditional investment companies offer. The software companies we partner with want strategic and operational experience to support them in their growth journeys, and by applying our combined experience, know-how, network, and resources we’ve found a proven way to successfully build and scale their businesses. With M4 we can continue to back those ambitious entrepreneurs with our operational approach, transforming them into market leaders”.