July 10 Private equity firm Spectrum Equity said on Thursday it had raised $1 billion for its seventh fund focused on investments in information technology services.
The fund exceeded its target of $800 million. The latest fund-raising is in line with Spectrum Equity's previous funds, which focus on investments in information, digital media, software and Internet companies.
The firm, which has offices in Boston and Menlo Park, California, has raised $5.7 billion to date in its seven funds combined.
In recent years, low interest rates and U.S. Treasury yields have driven up investors' appetite for high-performing, riskier and illiquid assets, including private equity.
Spectrum Equity has invested in genealogy website Ancestry.com, online survey maker SurveyMonkey and GrubHub Inc , the online food ordering website that went public in April. In May, the firm invested C$60 million ($56.2 million U.S.) in a private Canadian fraud detection software company called Verafin. (C$1 = 93.72 U.S. cents) (Reporting by Liana B. Baker; Editing by Jonathan Oatis)