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Gores Technology Group closes debut fund at $400m

Gores Technology Group has announced a final close on its debut fund at $400m. The fund will focus on buy-out investments in the technology and telecommunication sectors.

The firm was founded in 1987, but has previously self-funded its investments through the entrepreneurial activities of its founder, Alec Gores, and team. Gores committed a significant amount of capital to the new fund but it now also includes commitments from a wide range of institutional investors and high-net-worth individuals.

‘Gores Capital Partners is a strategic and logical next step for us. We raised the fund in order to further institutionalise our firm, as well as broaden our capital base for larger transactions,’ said Gores. ‘We are very pleased with the reception that we encountered in the fundraising process and are particularly excited to be joined by such a high quality group of limited partners.’

‘Their level of commitment and our ability to raise this fund rapidly in a challenging fundraising environment is a very strong endorsement of our firm and its unique investment strategy,’ Gores continued.

Since its inception 16 years ago, the firm has led 35 transactions valued at $2bn. Deals include the acquisition of the loss-making Learning Company from Mattel in 2000 which became profitable within three months. Other acquisitions include Micron Electronics’ PC business, Verifone from Hewlett-Packard, Anker and Aprisma Management Technologies.

‘Given the firm’s background in operating technology and telecommunications businesses, we believe this is an opportune time to pursue our differentiated investment strategy,’ said Scott Honour, managing director of Gores. ‘In this environment, our ability to pursue complex situations and offer speed and certainty of closure is critical to sellers. Our pipeline remains robust with exciting opportunities. We look forward to deploying GCP in a rapid and thoughtful manner.’

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