Fund briefs, week of Oct. 5, 2009

Battery Ventures charges up for fund IX

Battery Ventures is planning to target $750 million for its ninth fund, with a first close expected to occur in the first quarter next year.

The firm has not sent out a placement memoranda, but has had initial correspondence with prospective investors.

The target size is the same amount Battery raised for its eighth fund in July 2007, but that fund was later supplemented with a $250 million “overage” fund. The idea was that Battery wanted the flexibility to do larger, non-syndicated growth equity or buyout deals, without destroying the concentration diversity of the main fund.

No plans to raise an overage fund this time around, which means Battery will climb back down from the billion-dollar club. —Dan Primack

Perseus seeks fresh capital

Perseus, a Washington, D.C.-based private equity firm, is raising its seventh fund with a target that is believed to be close to the $600 million that the firm raised for its sixth fund in 2007.

The firm plans to hold a first close on fund VIII sometime in the fourth quarter.

A source familiar with the situation says that all, or almost all, investors in fund VII are expected to re-up for the new vehicle.

“It’s not so much a question of ‘if’ but of ‘how large’ their commitments will be given the liquidity constraints of some investors,” the source said.

Investors in fund VII include the New Mexico Educational Retirement Board, the North Carolina Retirement System, the Massachusetts-based Public Employee Retirement Administration Commission and the University of California, according to public documents. — Ari Nathanson

Hellman & Friedman raises $8.8B

Hellman & Friedman
has closed its seventh buyout fund with $8.8 billion in capital commitments. Hellman & Friedman raised $8.4 billion for its sixth fund, which closed in 2006.

The San Francisco-based firm also announced that Warren Hellman will step down as chairman of the firm, but he will remain as an investment committee member.

Also, Philip Hammarskjold will succeed Brian Powers as CEO.

Quantum Energy raises $2.5B

Quantum Energy Partners has closed its fifth fund with $2.5 billion in capital commitments.

The Houston-based firm raised about $1.2 billion for its fourth fund, which closed in 2006. Known LPs in that fund include UniSuper Management Pty Ltd.Champlain Advisors served as placement agent.