Elbrus Capital raises $550mln for new PE fund
Another company competing for investments in Russia, Elbrus Capital, announced last week it has been successful in raising $550 million for one of its funds. This fund in fact exceeded its initial target by 10%. With current market speculation, this successful completion in fundraising illustrates investors continue to have confidence in the opportunities in Russia and the CIS.
This fund attracted a number of leading international investors from Europe, the USA, the Middle East and Asia. For many, this is the first time they are investing in Russian private equity.
In recent years Elbrus has capitalised on an increasingly popular investment strategy for Russia: taking minority stakes in a variety of fast-growing domestic markets, from optimising production of natural resources, to addressing rising costs of education. My post on February 6th looked at a similar investment strategy that is proving very profitable for Goldman Sachs Special Situations Group.