Accel closes second European VC fund

The Silicon Valley and London-based venture capital firm has reportedly closed its second European and Israel-focused fund on $450m.

Accel Partners, the venture capital firm with offices in Silicon Valley and London, has closed its second European fund on $450 million (€375 million), according to a report from Private Equity Week.

Accel London II was backed by 62 investors, with 38 US-based LPs committing $280 million to the fund and the remaining $170 million from investors outside the US.

Like its predecessor, the fund will target investments in early stage software, networking and Internet companies in Europe and Israel. The London office is led by Kevin Comolli, managing general partner of Accel Europe.

The firm received a number of re-ups from existing investors but excluded two US limited partners due to concerns over Freedom of Information Act (FoIA) reporting requirements in the US, according to the report.

Accel London I closed in 2001 with commitments of $509 million. The fund has made commitments to 29 portfolio companies, according to the firm’s website.

Last week, the firm announced that it had teamed up with IDG Technology Venture Investment, the venture arm of US media company IDG, to launch the $250 million IDG-Accel China Growth Fund.

The new joint venture will invest in fast-growing enterprises in information technology, healthcare, consumer technologies and other emerging technologies in China.