Falcon targets $850m for Fund IV

The Teachers’ Retirement System of Louisiana committed $50m to Falcon Investment Advisors’ latest fund, which is targeting $850m.

Falcon Investment Advisors has launched its fourth Strategic Advisors Fund targeting $850 million, according to the Teachers’ Retirement System of Louisiana.

The $13.4 billion retirement system committed $50 million to the fund last week, having previously invested in Falcon’s second and third funds, a spokesperson told Private Equity International.

Limited partners in Falcon’s previous funds include the Indiana Public Employees’ Retirement System, the New York State Common Retirement Fund, the Florida State Board of Administration and the Los Angeles County Employees’ Retirement Association.

Falcon did not respond to a request for comment.

Falcon typically invests between $10 million to $75 million per transaction, focusing on companies with a pro-forma run rate EBITDA in excess of $10 million, according to its website, acquiring businesses through management and leveraged buyouts, recapitalisations, refinancings and other strategies.

The firm will maintain that strategy for its latest fund, the retirement system spokesperson said.

In August, the firm provided $30 million to Relativity Media to help with the movie studio’s expansion, which includes financing for its future films. Relativity recently produced the Oscar-winning The Fighter as well as Haywire and Limitless.

Falcon, which maintains offices in Boston and New York, was founded in 2000 by Sandeep Alva. The firm manages approximately $1 billion in capital and has invested in more than 45 companies.