Firm: GI Partners
Fund: GI Partners Fund IV
Target: $1.5 billion
Amount raised: $2 billion
Placement agent: UBS Securities
Rick Magnuson, founder and executive managing director of the Menlo Park, California-based firm, said GI Partners drew a ”highly regarded set of new investors” to the fund, among them domestic public and corporate pension plans, sovereign wealth funds, funds of funds, foundations and family offices. Backers include Illinois Teachers’ Retirement System (committing $75 million), Ohio Public Employees’ Retirement System ($250 million) and Illinois Teachers’ Retirement System ($75 million). The California Public Employees’ Retirement System committed $500 million in seed money to GI Partners for its first fund. It’s not clear if the pension system lined up to invest in GI Partners Fund IV.
”We believe the interest expressed by our limited partners demonstrates their appreciation of GI’s experienced team, deep sector knowledge and unique position in the middle market landscape,” Magnuson said in a prepared statement.
Fund IV managing directors include Howard Park, Hoon Cho, Alexander Fraser and Greg VandenBosch. The firm invests in IT infrastructure and services, healthcare services, retail, leisure and financial and real estate services.
GI Partners filed its first Form D for Fund IV on Aug. 21, 2013, recording no sales at that point. It amended the filing on January 3 with $1.7 billion sold to 12 investors.
Among its recent deals, GI Partners completed the sale of SoftLayer Technologies to IBM last July. GI Partners also sold Plum Healthcare Group LLC to Bay Bridge Capital Partners in late 2012.
GI Partners Fund III LP closed in 2009 with $1.9 billion in commitments.
Since its launch in 2001, GI Partners has managed $6 billion through four private equity funds and invested in 38 platform deals.