One of Potentia Capital’s main buyout funds has seen little growth in the four years since it raised $670 million, despite spruiking far higher returns when marketing the vehicle to investors, with the software and technology plays the firm specialises in hit by surging artificial intelligence use.
Documents circulated among investors showed Potentia’s Fund II had invested $576 million and was sitting on an internal rate of return of just 2.6 per cent a year. That means, so far, investors have barely made back the money they invested, before accounting for inflation since 2022.
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