Bain Capital closed the co-investment fund in late 2007 as a sidecar to
Since the co-investment fund was raised, however, it had only been tapped twice: First for the $17.9 billion buyout of Clear Channel Communications in July 2008, and then for the $3.5 billion buyout of The Weather Channel in September 2008. These deals used a combined $100 million from the co-investment fund. All of Bain Capital’s subsequent deals have been too small to trigger the co-investment fund.
Bain Capital doesn’t charge management fees on uncalled capital in the co-investment fund, but expect many limited partners to jump at the chance to dump part of an unfunded commitment. If each LP takes full advantage of the offer, it would reduce the co-investment fund’s size to just $900 million. Still sizable, but nowhere near the $5 billion Bain Capital originally planned to raise for it.