Invictus Growth Partners Successfully Closes $574 Million Fund II, Signaling Strong Investor Confidence

Invictus Growth Partners Closes Oversubscribed Fund II with $574 Million

Invictus Growth Partners, a prominent private equity firm, has successfully announced the closing of its growth fund, dubbed Fund II, with total capital commitments reaching an impressive $574 million. This amount represents a significant oversubscription, exceeding its initial hard cap of $450 million and highlighting the strong support from both existing and new investors. The primary focus of Invictus is on the growth buyouts of lower middle-market enterprises in sectors such as cloud software, cybersecurity, and fintech.

In the words of John DeLoche, Co-founder and Managing Partner, “We are honored and grateful for the support from our returning and new investors, which include pension plans, endowments, foundations, insurance companies, healthcare institutions, and family offices.” This diversified investor base not only showcases confidence in Invictus’s investment strategy but also reflects the firm's efforts to develop robust partnerships over time.

Invictus has also leveraged its custom-built AI platform, DIANE, which has played a vital role in sourcing 83% of its completed investments. DIANE stands for Deal Intelligence Assessment Neural Engine, and since its inception in 2019, it has evolved through three generations of machine learning. The current version focuses on operational enhancements for portfolio companies, thus enabling them to scale effectively.

To date, Invictus has made twelve platform investments in its targeted sectors, showcasing its desire for companies with a minimum of $10 million in annual recurring revenue. The firm prefers to invest in businesses that have a proven product-market fit and exhibit either profitability or are close to becoming profitable at the time of investment.

The success of Fund II can largely be attributed to its strategic approach. Invictus emphasizes a relationship-based investment philosophy, where hands-on expertise from seasoned professionals is valued. This model is further reinforced by access to the Invictus Guild, a group composed of experienced executives who have previously worked with leading technology firms. These guild members provide critical guidance across areas vital for scaling operations, which include sales, customer success, and data science, among others.

The support from both established and new investors has not only facilitated the closing but has also positioned Invictus for continued success in identifying promising ventures in the evolving landscape of technology-focused businesses. This comprehensive support highlights the fantastic network and community that Invictus has nurtured during its growth. As William Nettles, Co-founder and Managing Partner, stated, “We will continue our strategy of bringing a partnership approach and deep operating expertise and resources to our portfolio companies to help them scale.”

With such robust backing and a clear strategic direction, Invictus Growth Partners is poised to play a pivotal role in the technology investment space, supporting companies that not only seek capital but also require operational resources to scale sustainably. As they embark on this next chapter, the firm is equipped to empower the future leaders of the cloud, cybersecurity, and fintech sectors.