HC Partners, based in Amsterdam, has closed its Fund III at €100 million hard cap.

The Dutch private equity firm HC Partners has closed its fund, "HC Partners Fund III," at a hard cap of 100 million euros.

According to AltAssets, the initial target was 80 million euros; all existing institutional investors participated once again. The law firm Loyens & Loeff, which provided advisory services during the fundraising process, announced the closing on October 29.

As reported by "Real Deals," the Amsterdam-based fund manager utilized a "placement agent" for the first time, which enabled the expansion of its investor base to include North America and Asia.

HC Partners was founded in 2017. The firm collaborates with entrepreneurial management teams to build platform companies within fragmented industries, expanding them through targeted acquisitions.

Its portfolio includes companies in sectors such as dentistry, physiotherapy, testing, inspection, and certification (TIC), technical safety, and roofing services. In April 2025, the firm announced its 100th investment.

In my view, the "buy-and-build" strategy becomes even more compelling in the age of AI. Synergies, particularly within the small-cap segment, can be realized more effectively, as system integrations are often easier to implement here than when acquiring very large enterprises.

The evidence is mixed. According to an October 2024 survey by Alvarez & Marsal, 90% of funds focused on the mid-market indicated that they intend to pursue a "buy-and-build" strategy. However, only about 14% of respondents are actively using AI to drive value creation post-acquisition. The reason cited for this is a lack of well-maintained data foundations.