Firm: Angelo Gordon & Co.
Fund: AG Private Equity Partners IV LP
Target: $700 million, plus $200 million reserve fund
Driven by the credit crunch,
Angelo Gordon has attached a $700 million target to
The LBO firm declined to comment for this story.
David Roberts, a senior managing director of Angelo Gordon, said in a prepared statement that the firm should find ample deal flow for the new fund as “the credit cycle unwinds,” opening “substantial opportunities for us to purchase smaller and distressed businesses at deep value prices.”
As part of the fundraising push, Angelo Gordon has hired two new professionals: Managing Director Jeff Feinberg, formerly an executive with turnaround advisory firm Alvarez & Marsal, and Harish Nataraj, a newly minted senior associate, who was most recently with buyout firm
Other firms looking to raise distressed-oriented funds include Dallas-based
Angelo Gordon writes equity checks of $10 million to $100 million in distressed and special-situations deals valued between $30 million to $300 million. Recent deals include the 2006 purchases of Kings Supermarket, a New York-area business that was orphaned by a British parent; Crunch Fitness, a boutique gym chain put up for sale by failing owner Bally Total Fitness; and Olympus Re Holdings, an insurer that suffered big losses following Hurricane Katrina.
Previous limited partners in Angelo Gordon funds include the
In addition to LBO funds, Angelo Gordon manages investments in distressed debt, real estate and hedge funds. The firm has $15 billion under management across its various strategies.—J.H.