Falcon targets $1.25 bln for Fund V

Falcon Investment Advisors plans to top the $1 billion mark with its fifth flagship fund, as the middle-market credit specialist hits the capital-raising trail for Fund V, according to a filing.

Led by veterans from Hancock Life Insurance Company’s mezzanine lending unit, Falcon Investments last raised $900 million with Falcon Strategic Partners IV, which closed in 2012. This time around, the firm is targeting $1.25 billion.

The Boston-based firm provides loans and capital solutions in the $10 million to $75 million range in the middle market. Falcon also has an office in New York City.

Active on the deal front, Falcon supported the recapitalization of American Seafoods in August for an undisclosed sum; early in 2015, it teamed up with Hauslein & Co on the recapitalization of Big Time Products, a maker of work gloves and umbrellas, for an undisclosed sum. Among its other deals, it worked with Maxim Partners to support its acquisition of Laney Directional Drilling in September, 2014.

The buyout firm’s first fund dates back to 2002, with $223 million, followed by $440 million for Fund II in 2005 and $729 million for Fund III, according to Bison.

Falcon Investment Advisors disclosed a $1.25 billion target for Fund V, with Sandeep Alva, William Kennedy, Rafael Fogel, Eric Rogoff , John Schnabel, Matthew Hurley and Sven Grassoff listed as executives, according to a filing.

Alva founded Falcon in 2000 after working as president of Hancock Mezzanine Investments; Kennedy, managing partner, joined Falcon the same year after working at Hancock.

The executive line up for Fund V remains nearly the same as Fund IV, with the addition of Grasoff for Fund V. Grassoff, a partner at the firm, joined Falcon in 2005.

All told, Falcon manages more than $1 billion in capital as a “responsive and resourceful financing partner,” according to its website.

The firm didn’t immediately return a phone call.

Action Item: See Falcon Investments’ contact page here: http://www.falconinvestments.com/contact-us/

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