Private equity firm Thoma Bravo has closed its inaugural European fund at €1.8 billion ($1.9 billion), through which it plans to take equity stakes in midsized software companies across the continent.
Europe has no shortage of homegrown venture capital funds — the likes of Atomico and Cherry Ventures have closed early- and growth-stage funds in recent months — but North American investment firms have been slowly retreating from Europe. Storied Silicon Valley VC firm Andreessen Horowitz recently shuttered its U.K. office, while Omers Ventures and Coatue have also closed offices in the region over the past 18 months.
This leaves a hole that bargain-seeking private equity firms can fill.
Thoma Bravo launched its London office in 2023 (its first hub outside the U.S.), formalizing a regional presence that started back in 2011 when it acquired French software firm Infovista. Since then, the Chicago-headquartered firm says it has invested around €14 billion across 16 deals in Europe. It was also behind some of the biggest take-private deals of 2024, including that of U.K. cybersecurity company Darktrace, which Thoma Bravo acquired in a deal valued at $5.3 billion.
“The closing of our first Europe Fund represents a significant opportunity to deepen our presence in the region,” Thoma Bravo partner and European lead Irina Hemmers said in a statement. “Europe is digitizing rapidly, and leading software companies are increasingly looking for dedicated support and investment to accelerate their growth strategies.”