Nextalia secures €1.1bn first close for second Italy-focused private equity fund
Italian private markets manager Nextalia Investment Management has held a €1.1bn first close for its second flagship private equity fund, with the firm targeting a final hard cap of €1.5bn by the end of the year, according to a report by Bloomberg.
The fund attracted commitments from around 200 investors at its initial close, with founder Francesco Canzonieri saying nearly 90% of investors from the firm’s inaugural private equity vehicle recommitted to the new strategy, while several increased the size of their allocations.
The new fund will continue Nextalia’s established investment approach, targeting majority stakes in high-growth Italian companies. The strategy builds on the firm’s first private equity fund, which raised €800m in 2022 and has invested more than 90% of its committed capital across approximately 12 portfolio companies.
According to Canzonieri, the first fund has already begun exiting investments and has returned close to half of investors’ paid-in capital through distributions, reflecting what he described as one of the strongest performances among private equity funds raised in 2022.
Founded in 2021 by former Mediobanca executive Francesco Canzonieri, Nextalia has positioned itself as a specialist investor in the Italian mid-market, where succession planning and relatively low private equity penetration continue to create attractive buyout opportunities.
Chief Investment Officer Valentina Pippolo said Italy remains a compelling market for private equity, citing the large number of founder-led businesses approaching generational transition and the comparatively limited presence of financial sponsors versus other major European markets.
The fundraising comes as international investors increasingly view Italy as a source of proprietary transactions and lower entry valuations than more heavily competed markets elsewhere in Europe.
Nextalia now manages €3.4bn in assets across private equity, private credit and venture capital strategies. Institutional investors in the firm’s funds include Intesa Sanpaolo and Unipol Assicurazioni.