Marlin Fund IV three-times oversubscribed in hitting $1.6bn hard cap


MarlinLA-headquartered private equity firm Marlin Equity Partners was three-times oversubscribed as it raced to its $1.6bn hard cap for Fund IV in just over four months, the firm has revealed.

AltAssets reported in May that the firm had hit the maximum for Marlin Equity IV, with commitments coming from LPs including the New Jersey Division of Investment, which agreed to part with up to $100m, and the Texas County & District Retirement System, which could hand over up to $35m.

Marlin officially revealed details of the fundraise through an SEC filing in April following months of rumours of a big increase on Fund III, with different reports claiming the fund could raise anything between $800m and $1.5bn and would not have a hard cap.

The firm said it would continue to focus on industries where it had developed extensive domain expertise, including technology, business services, healthcare, consumer and manufacturing.

Marlin managing partner David McGovern said, “We are pleased with the extraordinary level of support that we received from such a prestigious group of global investors.

“The successful fundraise is a clear endorsement of our operationally focused investment strategy and reflects our ability to deliver superior returns to our investors and partners.”

Marlin partner Peter Spasov added, “In just over three years we have more than doubled our assets under management.

“To have accomplished this in a difficult fundraising environment speaks to the quality of our team, our innovative and disciplined investment strategy, and the strength of our past performance across economic cycles.”

The close follows an active 2012 for Marlin which saw it acquire more than 15 businesses, including six corporate divestitures, and achieve five successful exits to strategic buyers.

It also established a London office to strengthen its European presence.

Bruce Ettelson and Karin Orsic of Kirkland & Ellis served as legal counsel and Credit Suisse Securities acted as an advisor and exclusive placement agent for Fund IV.

But there was no sign on the filing or in a press release from the firm of fellow placement agent Probitas Partners, which helped Marlin raise its second and third vehicles.

Marlin is no stranger to fast fundraises, having gathered $650m for its third buyout vehicle in just three months, well above its original $450m target.

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