Aurora sprints to $550m fund close

The firm took roughly six months to raise its Resurgence Fund II, which makes equity and debt investments in the US and European mid-market.

Los Angeles-based Aurora Capital Group has held a first and final close on $550 million for its Aurora Resurgence Fund II.

Aurora first came to market with Fund II in the spring of 2013. The fund will continue the strategy of Aurora’s first resurgence fund, investing in the equity and junior capital of mid-market companies, seeking control stakes in “complex situations created by operational or financial challenges”, according to a statement. Fund II targets corporate carve-outs, rescue financings and secondary debt purchases in the US and Europe. 

“This will enhance our ability to work closely with management teams and other stakeholders to help drive financial growth and operational improvement for companies across a range of industries,” Steven Smith, managing partner of Aurora Resurgence said in the statement.

Fund II attracted commitments from existing investors and new limited partners, such as AlpInvest Partners and Goldman Sachs Asset Management. The fund has made four investments to date, acquiring the remaining four companies from Aurora’s original Resurgence Fund: moving industry holding company Sirva, commercial landscaping business TruGreen LandCare, aluminum tubing company Alltub Group and parking business TOPS Parking. 

Aurora’s first Resurgence Fund collected $636 million. LPs in the fund include the California Public Employees’ Retirement System and the Oregon Public Employees’ Retirement System according to Private Equity International’s Research and Analytics division. 

Aurora fourth’s flagship fund launched in 2011 with a $900 million target and $1.2 billion hard-cap.

Aurora was founded in 1991 and has more than $2 billion under management. The firm invests in the technology, aerospace, defense, healthcare, energy and transportation industries and expects to invest between $75 million and $150 million per transaction.