GTCR may raise largest pool yet with Fund XII

GTCR, the Chicago growth investor, could raise its largest fund in one of the strongest fundraising markets to date after a run of strong performances.

The firm is in market with Fund XII seeking up to $5 billion or more, according to three limited partners who have heard the fundraising pitch.

A fundraising filing with the SEC posted on June 15 but did not include information about target or how much the fund has raised.

Kellie Kennedy, spokeswoman for GTCR, declined comment.

The firm closed Fund XI in 2014 on $3.85 billion, 18 percent above its $3.25 billion target. That fund was generating a net internal rate of return of 14.8 percent as of Dec. 31, 2016, performance information from Washington State Investment Board shows.

The firm is led by a group of managing directors, including Craig Bondy, Philip Canfield, Mark Anderson, Aaron Cohen, Benjamin Daverman, Sean Cunningham, David Donnini, Lawrence Fey, Constantine Mihas and Collin Roche.

GTCR has had a run of impressive performances, which should make marketing Fund XII a smooth process, one of the LPs said.

Fund X, which closed on $3.25 billion in 2011, was producing a 23.04 percent net IRR as of Dec. 31, 2016, according to Washington State.

Fund IX, which closed on $2.75 billion in 2006, was producing a 14 percent net IRR as of June 30, 2016, information from Los Angeles City Employees’ Retirement System shows.

Fund VIII, which closed on $1.85 billion in 2003, had a 22.28 percent net IRR, Washington State said in its investment report.

Last month, GTCR agreed to buy GreatCall Inc, which provides connected health and personal emergency response services.

Action Item: Check out GTCR’s Form ADV: http://bit.ly/2tRguBb

Photo of Craig Bondy sourced from GTCR