Nextalia secures €1.1bn first close for second Italy-focused private equity fund

Italian private equity firm Nextalia Investment Management has successfully closed its second flagship fund with a significant €1.1 billion initial commitment, as reported by Bloomberg. The firm aims to reach a total cap of €1.5 billion by year-end, following a strong initial response from 200 investors. Notably, nearly 90% of investors from the inaugural fund have chosen to recommitted their capital, while several have increased their stakes.

Francesco Canzonieri, Nextalia's founder, emphasized that the new strategy will maintain the company's focus on acquiring majority stakes in high-growth Italian companies. Building on the success of its first fund, which raised €800 million in 2022 and has allocated nearly 90% of its committed capital across 12 portfolio companies, Nextalia is known for its specialization in the Italian mid-market.

With a substantial portion of its portfolio consisting of founder-led businesses approaching generational transitions, and a relatively low penetration of private equity firms compared to other European markets, Italy presents an attractive environment for buyouts. The firm's Chief Investment Officer, Valentina Pippolo, highlighted Italy's appeal due to the large number of founder-led businesses facing generational transitions and the comparatively lower valuations compared to more saturated European markets.

As of now, Nextalia manages €3.4 billion in assets across various strategies, including private equity, private credit, and venture capital. Notable institutional investors in the firm's funds include Intesa Sanpaolo and Unipol Assicurazioni.