Resurge Growth Partners funding news – London-based Resurge Growth Partners has launched a €120Million in Funding
Oct 24, 2024 | By Kailee Rainse
Resurge Growth Partners, based in London, has started a €120 million fund to help high-potential companies in Europe and Israel that have outgrown traditional venture capital but are not yet ready for private equity.
SUMMARY
- Resurge Growth Partners, based in London, has started a €120 million fund to help high-potential companies in Europe and Israel that have outgrown traditional venture capital but are not yet ready for private equity.
- Resurge Growth Partners believes there is a significant need for funding in the space between venture capital and private equity supporting companies that, while not fitting the unicorn mold, still have great potential.
This fund will buy stakes in these companies, providing the support they need to grow further. Almost half of the fund has already been backed by the founding partners and a leading family office. The rest will come from selected family offices and wealthy individuals on a case-by-case basis. Resurge aims to have its first investments by the end of the year.
Oren Peleg, co-founder of Resurge Growth Partners, says, “There’s a huge gulf between the types of companies a VC will back and those who are ready for private equity. Too many promising businesses are falling into this gap – founders and CEOs running businesses with great potential, generating healthy revenues, but their scale-rate, TAM, or situation don’t fit the blueprint and criteria VCs or PE firms are looking for. The market isn’t currently serving these ‘venture graduates’ and they are hitting a wall. That’s where the concept of venture equity comes in. We take leading positions in these companies and then dedicate a huge amount of time and energy into unlocking their potential, with the goal of becoming profitable and self-sustaining. Our approach gets them off the VC fundraising merry-go-round and onto solid ground.”
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Helping companies move off the venture treadmill
Resurge was founded by Oren Peleg, a former MD at Oaktree Capital, and Eyal Malinger, a former partner at Beringea. Their goal is to work with “Venture Graduates”—companies ready to move beyond venture capital funding but not quite fit for private equity.
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Co-founder Malinger says, “When the market turns bearish, many high-potential companies find themselves stranded, unable to secure the funding they need. Conversely, in times of abundant capital, founders often end up with a convoluted cap table that hinders long-term success. At Resurge, we partner with ‘good companies who have the wrong cap table’; businesses with strong fundamentals but misaligned investor base or ones with an operational model that no longer appeals to existing investors. There’s huge potential here, both for the companies and the investors willing to back them in the right way.”
Co-founder Peleg adds, “Having helped build two private equity franchises in the past, I’ve seen first-hand how technology transforms businesses. The availability of advanced AI tools is allowing Resurge to operate at a level of productivity and insight that simply wasn’t possible before. These tools help us pinpoint opportunities faster, make smarter decisions, and unlock value in ways that were previously unimaginable. This enables us to dedicate much more time and far more resources to helping our portfolio companies.”
About Resurge Growth Partners
Resurge Growth Partners believes there is a significant need for funding in the space between venture capital and private equity supporting companies that, while not fitting the unicorn mold, still have great potential.