JC Flowers Fund II doubles to $6bn

The private equity firm headed by former Goldman Sachs investment banker Christopher Flowers has raised the cap for its second fund to $6 billion.

JC Flowers & Co, a New York private equity firm headed by Christopher Flowers, has almost doubled the size of its second fundraising to $6 billion (€4.7 billion). As revealed in the June issue of Private Equity International, PEO’s sister title, Flowers has himself committed $200 million to the new fund, believed to be the largest allocation by an individual to a buyout fund to date.
 
PEO reported in May that JC Flowers & Co, which also has an office in London, was in the market for JC Flowers II, with a target of $3.5 billion. At the time, a source said that the firm was approximately halfway towards reaching its target.
 
However, the Financial Times today reported that the fund has attracted $6 billion of commitments. JC Flowers & Co was not available for comment.
 
Fund II’s original target was already significantly larger than its predecessor, the $900 million JC Flowers I, but will follow a similar strategy of investing in the financial services industry. Credit Suisse is acting as placement agent on the fundraising.

Other investors in the fund include Castlewood Holdings and Shinsei Bank, the Japanese bank that Flowers famously turned into a 6x return in a $2.4 billion IPO on the Tokyo Stock Exchange in 2004.