The volume of money raised by European private equity funds continues to grow. Much of that money is flowing in the belief that continental Europe is close to developing the sort of buy-out and start-up culture which has long produced spectacular returns for venture capitalists in the US. In late March Apax Partners closed a €1.8 billion ($1.9 billion) pan-European fund. It has the distinction of being the largest private equity fund for Europe denominated in the new currency, but it joins an already large pool of funds, much of it denominated in dollars, which is dedicated for investment in private European companies.
Increasingly, venture capitalists are positioning themselves as specialists in a certain type of company or industry sector rather than as country specialists. "The days when investors would put their money exclusively in the UK or France are gone," says Clive Sherling, director of Apax...
