Hancock Signs Up $342 Million For Fund IV

Firm: Hancock Capital Management LLC
Fund: Hancock Capital Partners IV LP
Target: $500 million
Amount Raised: $342 million

Ready to capitalize on the credit crunch, Hancock Capital Management LLC recently held a first close on its latest mezzanine fund, Hancock Capital Partners IV LP, bringing the fund to $342 million as of late September, said a source familiar with the vehicle. The target is $500 million.

With Fund IV the firm plans to continue investing $10 million to $50 million in established businesses looking for growth capital, capital for recapitalizations or financing for acquisitions. Beyond mezzanine, the firm employs a bevy of investment strategies, making direct equity investments in companies and providing capital commitments to other buyout firms, preferably long-term co-investment opportunities, according to its Web site. Prior investors in Hancock Capital Management’s mezzanine funds include CMS Fund Advisors, John Hancock Mutual Life Insurance Co. and St. Paul Travelers Companies.

Hancock Capital Management is part of Boston-based MFC Global Investment Management, the asset management division of Manulife Financial, a Canadian financial services company. Stephen Blewitt, a senior managing director of Hancock Capital Management LLC and John Hancock Life Insurance Co., leads Hancock’s mezzanine investment program. The firm has offices in New York and Boston.

The firm has been managing mezzanine funds since 1998, beginning with Hancock Mezzanine Partners LP, a $425 million fund that was fully invested by 2000. The $200 million Hancock Mezzanine Partners II LP closed in 2001 and was fully invested by late 2003. Hancock Mezzanine Partners III LP, a $396 million capital pool, was formed in 2003 and is actively investing.—J.P.