About This Fund
Charlesbank Technology Opportunities Fund II (TOF II) is the second technology-focused private equity vehicle of Charlesbank Capital Partners, a Boston-based middle market firm with over US$16 billion in committed capital under management across its generalist buyout and specialist technology strategies. The fund closed on June 20, 2024 at US$1.275 billion — surpassing its US$1.1 billion fundraising target and its initial US$1.2 billion hard cap — reflecting exceptional institutional demand for Charlesbank's proven lower middle market technology investment approach. Limited partners include public and corporate pensions, endowments, foundations, financial institutions, fund of funds, asset managers, family offices, and high-net-worth individuals.
TOF II focuses on control and minority growth equity investments in lower middle market technology-intensive businesses with enterprise valuations from US$50 million to US$300 million, targeting companies that are too small for large-cap buyout funds but sufficiently scaled to deliver institutionally significant returns. Target sectors include application software, cloud computing, cybersecurity, healthcare IT, financial technology, and infrastructure software — sub-verticals where recurring revenue models, high switching costs, and durable demand dynamics support predictable cash flows and attractive exit multiples. Charlesbank's technology team leverages deep sector expertise and proprietary sourcing capabilities to identify value-add opportunities in a segment of the market with less competition from mega-fund buyers.
TOF II is the direct successor to Charlesbank Technology Opportunities Fund I, which closed in 2020 with approximately US$700 million in LP commitments — making TOF II approximately 82% larger, a reflection of strong performance from the inaugural vehicle. The fund builds on Charlesbank Capital Partners' broader franchise, founded in 1998 as the spinout of the Harvard Private Capital Group and managing capital continuously through multiple economic cycles. The firm's ability to raise a US$1.275 billion technology-focused vehicle — above both target and hard cap — reflects consistent LP confidence in Charlesbank's ability to combine deep sector expertise with disciplined execution in the lower middle market technology buyout and growth segment.