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Morgan Stanley Expansion Capital

North America, New York, United States, New York

Description

Morgan Stanley Expansion Capital is a dedicated growth equity and credit platform operating within Morgan Stanley Investment Management, focusing on later-stage private companies. Based in New York, the firm provides flexible capital solutions to high-growth businesses across various sectors. Their investment philosophy centers on partnering with strong management teams to accelerate growth, offering both financial backing and strategic support by leveraging Morgan Stanley's extensive global network and resources.

The firm primarily targets companies that have achieved significant traction and are poised for further expansion, often seeking capital for scaling operations, market expansion, or strategic acquisitions. Morgan Stanley Expansion Capital is sector-agnostic to a degree, but has a strong track record in technology, healthcare, consumer, digital media, and business services. They typically deploy capital in the range of $20 million to $100 million for both growth equity and growth credit investments, providing tailored financing solutions to the specific needs of their portfolio companies. This substantial check size indicates their focus on more mature, yet still rapidly growing, enterprises.

With over $2.2 billion in assets under management, Morgan Stanley Expansion Capital has established itself as a significant player in the growth capital landscape. The team emphasizes a collaborative approach, working closely with founders and management to navigate growth challenges and capitalize on market opportunities. Their long-term perspective and ability to provide follow-on capital further solidify their commitment to portfolio company success, making them a strategic partner for businesses looking to achieve their next phase of growth.

Investor Profile

Morgan Stanley Expansion Capital has backed more than 97 startups, with 5 new investments in the last 12 months alone. The firm has led 47 rounds, about 48% of its total and boasts 38 exits across its portfolio.

Investment Focus Highlights

  • Concentrates on Series Unknown, Private Equity, Series B rounds (top funding stages).
  • Majority of deals are located in United States, United Kingdom, Germany.
  • Strong thematic focus on Software, Enterprise Software, SaaS.
  • Led 4 rounds in the past year.
  • Typical check size: $20M – $100M.

Stage Focus

  • Series Unknown (35%)
  • Private Equity (13%)
  • Series B (10%)
  • Series C (10%)
  • Series D (9%)
  • Series A (7%)
  • Series E (6%)
  • Debt Financing (5%)
  • Corporate Round (2%)
  • Series F (1%)

Country Focus

  • United States (88%)
  • United Kingdom (4%)
  • Germany (3%)
  • Canada (2%)
  • France (2%)
  • India (1%)

Industry Focus

  • Software
  • Enterprise Software
  • Saas
  • Information Technology
  • Health Care
  • Analytics
  • Medical
  • Biotechnology
  • Big Data
  • Internet
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FAQ

Frequently Asked Questions

Learn who this investor regularly partners with—both firms and angels—and explore their latest activity.

Who does Morgan Stanley Expansion Capital frequently co-invest with?

One Peak
Europe, England, United Kingdom, London
Co-Investments: 5
Hatteras Venture Partners
North America, North Carolina, United States, Durham
Co-Investments: 3
Goldman Sachs
North America, New York, United States, New York
Co-Investments: 3
Morgan Stanley Dean Witter
North America, New York, United States, New York
Co-Investments: 2
Van Wagoner Ventures, LLC
North America, California, United States, San Francisco
Co-Investments: 2
Morgan Stanley Tactical Value
North America, New York, United States, New York
Co-Investments: 2
Upfront Ventures
North America, California, United States, Santa Monica
Co-Investments: 3
Alta Partners
North America, Mississippi, United States, Jackson
Co-Investments: 2
ROCA Partners
North America, California, United States, Beverly Hills
Co-Investments: 2
CIC Partners
North America, Texas, United States, Dallas
Co-Investments: 3

Which angels does Morgan Stanley Expansion Capital often collaborate with?

RS
North America, New York, United States, New York
Shared Deals: 1
DN
North America, Texas, United States, Dallas
Shared Deals: 2
BN
Europe, Bayern, Germany, Munich
Shared Deals: 1
RH
North America, Texas, United States, Dallas
Shared Deals: 1
HT
Europe, Noord-Brabant, The Netherlands, Tilburg
Shared Deals: 1
Mitch Steir
North America, New York, United States, New York
Shared Deals: 1
Shared Deals: 1
RH
Europe, Berlin, Germany, Berlin
Shared Deals: 1
KS
North America, New York, United States, New York
Shared Deals: 2
BD
North America, New York, United States, New York
Shared Deals: 1

What are some of recent deals done by Morgan Stanley Expansion Capital?

Cover Whale

New York, New York, United States

Cover Whale is an insurtech company that offers commercial auto insurance products.

Financial ServicesInsuranceInsurTechTransportation
Series BJul 22, 2025
Amount Raised: $40,000,000
Tinubu Square

Issy-les-moulineaux, Ile-de-France, France

Tinubu Square is a credit insurtech software company that develops trade credit management solutions with an end-to-end platform.

ConsultingEnterprise SoftwareInsuranceInsurTechSoftware
Private EquityMay 14, 2025
Windfall

San Francisco, California, United States

Windfall is a people intelligence platform that provides AI workflow solutions to identify their audiences through automation.

AnalyticsArtificial Intelligence (AI)Financial ServicesMachine LearningSoftware
Series BApr 23, 2025
Amount Raised: $65,000,000
FreshBooks

Toronto, Ontario, Canada

FreshBooks is a software company that provides cloud-based accounting software for small and medium-sized businesses.

AccountingFinTechPaymentsSmall and Medium BusinessesSoftware
Debt FinancingMar 20, 2025
Amount Raised: $125,000,000
NovoPayment

Miami, Florida, United States

NovoPayment develops an API-based platform designed to deliver digital financial services.

BankingFinancial ServicesFinTechPayments
Series ANov 12, 2024
Amount Raised: $20,000,000
Datamaran

London, England, United Kingdom

Datamaran is one of the world’s most sophisticated and powerful semantic business intelligence tools.

FinanceInformation ServicesInformation TechnologySaaS
Series CSep 19, 2024
Amount Raised: $33,000,000
Octagos Health

Houston, Texas, United States

Octagos Health is a digital health company focused on remote monitoring of cardiac devices.

Health CareHospitalMedical DeviceSoftware
Series BJul 9, 2024
Amount Raised: $43,000,000
Cloudian

San Mateo, California, United States

Cloudian is a file and object storage company that provides hybrid cloud data management software.

Big DataCloud InfrastructureCloud StorageData CenterData ManagementData StorageSoftware
Private EquityJun 25, 2024
Amount Raised: $23,000,000
Mad Mobile

Tampa, Florida, United States

Mad Mobile’s connected commerce platform revolutionizes digital and mobile experiences for global restaurants and retailers.

Enterprise ApplicationsPoint of SaleRestaurantsRetail TechnologySaaS
Debt FinancingJun 11, 2024
Amount Raised: $50,000,000
Cover Whale

New York, New York, United States

Cover Whale is an insurtech company that offers commercial auto insurance products.

Financial ServicesInsuranceInsurTechTransportation
Series AMay 22, 2024
Amount Raised: $27,500,000