The firm expects to hold a final close sometime in 2010, with Guggenheim Partners serving as placement agent, according to a source familiar with the situation.
Kayne Anderson’s mezzanine group was formed late last year when Richard Kayne lured Ed Cerny and Dave Petrucco away from The Blackstone Group. The pair had been managing directors on Blackstone’s mezzanine funds, but saw their roles diminished after Blackstone’s acquisition of GSO Capital Partners.
Kayne Anderson, which has offices in Los Angeles, New York and Houston, Texas, is primarily known as an energy-focused private equity firm, but the mezzanine group is sector-agnostic.
The firm has already participated in two deals, which were career outplacement services provider Drake Beam Morin, sponsored by Compass Partners, and canned tuna fish processor Bumble Bee Seafoods, sponsored by Centre Partners.
There is no right of first refusal agreement between Kayne Anderson’s private equity and mezzanine groups. —Dan Primack