Firms & Funds

Weston Presidio spinout cruises toward $250 mln target

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A surfer rides a wave as heavy swells enter San Francisco Bay beneath the Golden Gate Bridge in San Francisco, California December 16, 2014. A gale warning for offshore winds has been issued through Friday as another round of storms is expected to hit the Bay Area. REUTERS/Robert Galbraith (UNITED STATES - Tags: DISASTER ENVIRONMENT) - RTR4IA63
  • Main Post Partners is led by Sean Honey and Jeffrey Mills
  • Team grossed 3.1x on deals at Weston Presidio, say sources
  • Firm to focus on consumer, business services and industrials

Main Post Capital is well on its way toward its $250 million target and may raise $300 million or more, several sources told Buyouts.

The San Francisco-based firm had raised at least $241 million as of August and is expected to hold a final close before the end of the year, said two limited partners. The LPs were bullish about the fund, noting the Weston Presidiospinout’s track record and strong pre-fund returns.

Market and LP sources said the team’s track record within Weston Presidio generated a 3.1x gross return. One of the LPs said the Main Post team generated a 23 percent internal rate of return and 2.6x multiple on its previous deals.

Main Post Partners is led by Sean Honey and Jeffrey Mills, who previously managed Weston Presidio’s consumer, business services and industrial sectors practice. The firm will continue in that vein with the Main Post fund, according to the firm’s website.

Determining the team’s track record was relatively easy compared to other spinouts, as it was very clear which deals Mills and Honey worked on within Weston Presidio, the second LP said.

Weston Presidio backed several marquee brands since its launch in 1991, including JetBlue Airways and the guitar company Fender. The firm canceled an anticipated sixth flagship fund in 2014 when it failed to raise enough to hit its $500 million target, Bloomberg reported. The firm’s previous fund, a $1 billion 2005 vintage, netted a 13.7 percent IRR and 1.88x multiple as of March 31, according to data provider Bison.

Action Item: Contact Main Post Partners at 415-398-0770 or www.mainpostpartners.com.