Juggernaut Capital powers toward final close in Q1

The Chevy Chase, Md.-based firm set a $350 million target with a $400 million hard-cap for Juggernaut Capital Partners III, which will invest in middle-market business services and consumer products companies. The fund will likely acquire between 10 or 12 companies with enterprise values ranging from $50 million to $200 million, according to a memo from the Los Angeles County Employees Retirement Association.

Former Allied Capital Corp executive John Shulman founded Juggernaut in 2009 with Goldman Sachs as the sole LP in its debut fund. Former Allied executives Craig Hille, Kevin Kuntz and Benton Lee later joined Juggernaut prior to the launch of its second fund, which raised $218 million from 13 investors in 2012.

As of June 30, Juggernaut’s first two funds combined to net a 1.63x multiple and 46.8 percent IRR, according to a GCM Grosvenor memo provided by Los Angeles County. Goldman Sachs has committed $20 million to Fund III as well.

Los Angeles County re-upped with the firm at its Jan. 14 meeting. The retirement association will commit $100 million, or 35 percent of the fund’s total commitments, whichever is less, according to documents.

Juggernaut recently hired former JMI Equity Chief Operating Partner Charles Dieveney as a managing director. Dieveney joined the firm in December and will work on firm operations and deal execution, as well as value creation strategies at portfolio companies.

Juggernaut did not respond to requests for comment.