Iberia NCA NFI is seeking to raise €25M for co-investment with NCA

Entrepreneurs Fidel García-Guzmán and Pablo Penichet have founded a venture capital company named Iberia NCA NFI in Valencia, Spain, focusing on the SF segment. Their specific goal is to raise approximately €25M to participate in over 25 acquisitions of North American and European SMEs (50-50). The fund’s management will be overseen by Business Booster, and for the moment, they have already secured approximately 50% of the fund from private investors and entrepreneurs.

To accelerate their entry into the sector, they have opted to establish a strategic alliance with Novastone Capital Advisors (NCA). Specifically, they will leverage NCA’s developed program, featuring around 60 active searchers, providing them with a 14-month advantage over institutional funds that start from scratch. The executives believe that by mitigating the risk of searcher abandonment (estimated at around 25%), they can enhance the profitability of their fund.

The project’s co-founders state, “We are committed to investing in SMEs, one of the most lucrative segments in private equity. Moreover, the SF model aligns seamlessly with our approach to SMEs, reflecting our values of supporting entrepreneurs and ensuring the continuity and transition of family businesses. We plan to invest in about 5-6 deals per quarter and raise a second fund in 18/24 months.”