Symphony tunes in to the tech fundraising binge with $1.85bn sixth fund

Symphony Technology Group is targeting $1.85 billion on its latest fund, according to a Form D. It is the latest technology-focused firm to commence fundraising in a sector booming in part due to the move to remote work, shopping and education.

STG VI is a buyout fund with a “value-oriented control strategy focused on middle market investments in enterprise software and software-enabled technology service companies, primarily based in North America and Europe,” according to a document posted on the Los Angeles County Employees Retirement Association website. The pension committed $100 million to the fund.

Symphony was founded in 2002 by tech entrepreneur Romesh Wadhwani, who worked as its chief executive officer until 2016. He now sits on the board, according to his LinkedIn profile. Bryan Taylor was also a co-founder. He later worked for TPG and was hired last year by Advent International to run its tech investment team, as Buyouts reported.

Firm leaders listed on the Form D include managing partner William Chisholm, managing directors John Treadwell, Marc Bala and Marshall Haines and managing director and chief financial officer Stephen Henkenmeier.

Symphony closed its fourth fund in 2012 at $870 million, as Buyouts reported. Fund V targeted $850 million, according to a Form D, and has a 2018 vintage, but it was not clear when it closed.

Last month, Symphony teamed with Ontario Teachers’ Pension Plan and AlpInvest Partners to acquire cybersecurity and risk management firm RSA, according to sister title PE Hub. Last November, it sold portfolio company First Advantage, a background screening company, to Silver Lake for an undisclosed sum.

Symphony did not respond to a request for comment for this story. It is based in Palo Alto and has $1.76 billion in assets under management, according to its Form ADV.

Technology is widely seen as a market sector well-primed for success amid the ongoing pandemic, as many continue working from home and conducting business electronically. Other major tech investors who have raised capital since the covid-19 market dislocation include Silver Lake, Thoma Bravo, Insight Partners, and TCV.

Action Item: read Symphony Technology Group’s form ADV here.