BlackPeak's third fund draws another potential investor as EBRD weighs commitment

A third investment fund managed by Bulgaria-headquartered private equity firm BlackPeak Capital has attracted additional investor interest, with the European Bank for Reconstruction and Development (EBRD) now considering a potential equity commitment of up to €30 million.

BlackPeak SEE Growth Equity Fund II will follow a generalist strategy, investing in equity and equity-related instruments in SMEs and mid-cap companies mainly in Bulgaria, Croatia, Romania, Serbia and Slovenia. It aims to deliver long-term capital growth through significant minority stakes or, where appropriate, majority or controlling positions, the EBRD said on Tuesday.

The EBRD's proposed investment, which is slated for approval on July 8, will provide long-term risk capital to SMEs and mid-cap companies in Southeastern Europe, helping improve their competitiveness and strengthen the resilience of the domestic financial sector. It will also support the development of alternative sources of financing and further expand private equity as an asset class.

BlackPeak SEE Growth Equity Fund II's target size is €150 million.

In May, the International Finance Corporation (IFC) said it is considering an equity commitment of up to €20 million in the fund.

BlackPeak Capital said earlier it had secured commitments from the European Investment Fund (EIF) under the Recovery Equity Funds (REF) of Romania and Bulgaria for the fund. 

In 2022, BlackPeak Capital completed final closing of Southeast Europe Growth Equity Fund at €126 million, surpassing the original target of €120 million, backed by the EIB, the European Bank for Reconstruction and Development (EBRD), the IFC, Erste Asset Management, and some of the regional pension funds.

BlackPeak Capital was established in 2014, and soon after it launched its first fund, BlackPeak Fund I, which invested in 12 companies, according to its website.

BlackPeak Capital has €150 million of assets under management.