Vector Capital Raises Debt Fund

San Francisco-based Vector Capital has transformed from a venture capital firm into a $2 billion buyout juggernaut over the past 10 years, and now it’s getting into the debt side of the business.

Managing Partner Alex Slusky tells Buyouts that the tech-focused shop has raised $200 million from a single limited partner to lend to technology companies to finance add-on acquisitions, recapitalizations and other strategic initiatives; to finance technology buyouts led by other firms; and to buy debt on the secondary market.

The firm plans to invite other LPs into the fund as it evolves. The news comes as part of an upcoming profile of Slusky in the Sept. 22 issue of Buyouts, a sister publication to peHUB.