Growth capital firm Morphosis Capital Partners BV has closed its second fund at €130 million, surpassing its initial hard cap with the backing of the European Investment Fund (EIF), European Bank for Reconstruction and Development (EBRD), International Finance Corporation (IFC), as well as institutional asset managers and more than €50 million in entrepreneurial capital from Western European founders.
“Closing a €130 million fund against the backdrop of macroeconomic uncertainty and political instability is a remarkable achievement.”
When they began this initiative, recalls Andrei Gemeneanu, Managing Partner at Morphosis Capital, the idea of doubling the size of our first fund seemed ambitious.
“The fundraising period, 2023–2025, was marked by high levels of instability – locally, regionally, and globally. And yet, the continued trust of investors, from global institutions to Romanian entrepreneurs, validated their approach.
The old paradigm assumed that Western Europe was synonymous with stability, while Eastern Europe meant instability. Today, instability is everywhere, but in our region it goes hand in hand with growth. This combination creates opportunities. We are grateful and proud to have built a well-balanced investor base (LP), combining institutional stability with entrepreneurial spirit.
Looking forward, we will continue to invest this capital in Romanian and regional companies that possess ambition and solid growth foundations. Moreover, as an emerging private equity player in Romania and the region, we feel a responsibility to the ecosystem to deliver on both performance and reputation, and we remain committed to achieving both,” concluded Gemeneanu.
Funded by all 3 leading financial institutions
Fund II targets small and medium-sized companies with EBITDA between €1–5 million, investing €10–15 million per deal, with a focus on healthcare, B2B services, consumer products, retail, and niche manufacturing.
It prefers majority or joint-control stakes, investing in Romania as well as Bulgaria, Croatia, Czech Republic, Poland, and Slovakia.
So far, the fund has backed three companies: Romania Education Alliance (REA), a private K12 education platform; La Cocos, a Romanian “hard discounter” supermarket chain; and EnduroSat, a European satellite and space services provider – the firm’s first cross-border investment.
Over the next 2–3 years, Morphosis Capital expects 2–3 new investments annually.
By securing support from EIF, EBRD, and IFC, Morphosis Capital becomes the only private equity firm focused on Central and Eastern Europe to receive funding from all three leading financial institutions. EIF’s participation builds on its involvement in Fund I and is backed by Romania’s National Recovery and Resilience Plan and the EU’s InvestEU program. Additional support comes from local and international family offices, including Vybros Capital Partners and Inspire Asset Management.
