AIP targets $1.75 bln for Fund VI amidst strong demand

One LP familiar with the New York firm said AIP has received about $9 billion in demand for the pool. The firm closed its fifth fund on more than $700 million in late 2011.

AIP did not respond to requests for comment.

Buyouts first reported on AIP’s fundraising plans in March, with three sources saying the firm hoped to raise between $1.5 billion and $2 billion for Fund VI.

Dating back to 1989, American Industrial Partners specializes in control investments in middle-market industrial firms, with more than 50 transactions and $1.1 billion in equity capital under management. The firm targets established businesses with revenue of $100 million to $1 billion.

In one recent deal, American Industrial Partners this month completed the $380 million cash acquisition of Anixter International Inc’s OEM Supply Fasteners unit and renamed the business Optimas OE Solutions LLC. The business is a fasteners and components supplier to the automotive and agricultural equipment industries. AIP said it made its investment in the company from Fund V.

Executives listed on a filing for Fund V include Jorge Amador, John Becker, Paul Bamatter, Eric Baroyan, Dino Cusumano, Daniel Davis, Ben DeRosa, Stanley Edme, Stephen Glaudel, Richard Hoffman, Derek Leck, Kim Marvin, Joel Stanwood and Graham Sullivan.

AIP used MVision Private Equity Advisors to help raise Fund V, but it’s not clear if it will hire the placement agent for Fund VI.

Fund V was generating a 1.13x total value multiple for the New Jersey Division of Investment as of Jan 31.