Siguler Guff Close To Wrapping Up Fund Of Funds

Firm: Siguler Guff & Co.
Fund: Siguler Guff Small Buyout Opportunities Fund LP LP
Target: $400 million
Amount Raised: $500 million

Funds-of-funds manager Siguler Guff & Co., known for investing off the beaten path, is nearing a final close on its debut small-buyout fund of funds and is preparing to launch a $1 billion distressed-debt vehicle by year’s end. Meanwhile, fundraising for its second emerging markets fund is around the corner.

The fund-of-funds manager this month plans to hold a $500 million final closing on Siguler Guff Small Buyout Opportunities Fund LP, its domestic micro-cap buyout fund with a target of $400 million. The firm plans to deploy it across roughly 15 buyout and growth capital funds over the next two years. Figure most recipients to be raising funds of around $150 million and targeting companies generating EBITDA between $3 million and $10 million. Kevin Kester, the former head of alternative investments for the Colorado Public Employees’ Retirement Association, heads up the fundraising effort.

Meanwhile, Siguler Guff Distressed Opportunities III LP is slated to enter the market in the next few months, with Managing Director Maria Boyazny holding the reins. The vehicle, a successor to the $983 million Siguler Guff Distressed Opportunities II LP, is likely to have a $1 billion target. The sophomore fund is roughly 75 percent invested. State-Boston Retirement System and the Oklahoma Police Pension and Retirement System were among the limited partners in the firm’s first two distressed funds. The new fund of funds would be earmarked back general partners targeting companies in financial distress.

The firm also is slated this month to begin raising Siguler Guff BRIC Opportunities Fund II LP, a $1 billion fund of funds aimed at the emerging markets of Brazil, Russia, India and China. Its $610 million predecessor closed in 2006, thanks in part to commitments from the Pennsylvania State Employees Retirement System and The Regents of the University of California.

All told, Siguler-Guff expects to raise roughly $2.3 billion for the three new vehicles. The funds-of-funds manager has roughly $4 billion under management and offices in Boston, Kiev, London, Moscow and Shanghai.—J.P.