Frontier Capital has closed its fourth growth equity fund at $390 million, beating its $300 million target.
The Charlotte, North Carolina-based firm said Frontier Fund IV LP, which was oversubscribed, will invest in lower middle market software and tech-enabled business service companies. Frontier will seek to invest from $10 million to $40 million equity per deal for majority or minority positions.
Lazard was the placement agent for Frontier Fund IV.
In June 2012, Frontier’s previous private equity fund closed at $250 million, exceeding its $200 million target. Frontier Fund III generated an average IRR of 16.00 percent and an average multiple of 1.26x as of September 30, 2014, according to data performance provider Bison.
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