Clearlake Capital Group closes fourth fund at $1.3 bn

The Californian private equity group has closed Fund IV at its hard cap.

Clearlake Capital Group has closed its fourth private equity fund at $1.3 billion, according to a source familiar with the matter.  

Investors in the California firm’s latest fund include the Connecticut Retirement Plans and Trust Fund which committed $75 million, the San Francisco Employees' Retirement System which agreed to invest up to $100 million, and the Pennsylvania State Employees’ Retirement System, according to PEI Research & Analytics.  

Officials from Clearlake Capital were unavailable for comment.

Clearlake began raising capital for its fourth flagship fund in the spring with a target of $1 billion. It held a first close in June, according to fund administration services provider Bison.

The firm is focused on investing in business services, communications, consumer products, defense, energy, healthcare, media, and retail and technology companies.

Clearlake is also seeking to raise $500 million for its Clearlake Opportunities Partners debt fund.

The firm closed its third midcap buyout fund at $785 million two years ago. According to performance data from CalPERS, the investment vehicle generated a 23.8 percent net internal rate of return and 1.2x multiple as of 31 December, 2014. CalPERS committed $50 million to the fund.

In June, Clearlake bought Michigan automotive components maker CNI Enterprises, while its portfolio company Invetus Solutions bought UK legal outsourcing services company Kooby.

Park Hill Group served as placement agent on the Fund IV fundraising.