Montagu Private Equity, the buy-out firm formerly owned by HSBC, has closed its first independent fund with €2.3bn ($2.7bn), €300m above its original target.

Vince O'Brien, a Montagu director who led the fundraising, said there was demand to take the fund to €3bn, but this would be more than the firm would spend. The fund will continue to invest in deals worth between €70m and €700m.