Mid-market investor JF Lehman & Company wants to raise $450 million for its third buyout fund, according to documents filed with the Securities and Exchange Commission.
The fund will focus on control investments in the small and lower mid-market defense, aerospace and maritime sectors in the US and UK, typically between $25 million and $75 million. JF Lehman will target companies with enterprise values ranging between $30 million and $300 million.
Stanwich Advisors is the fund’s placement agent. JF Lehman was not available for comment.
The Connecticut Retirement Plans and Trust Funds is considering committing to JFL Equity Investors III, according to pension documents. JFL III is expected to generate 2x to 2.5x multiple of capital invested and gross internal rates of return of 30 percent to 35 percent, according to pension documents.
In March, JF Lehman added three members to its operating executive board: former chairman of the Defense Business Board and chief of Naval Operations’ Executive Panel, Michael Bayer; former vice chief of staff, US Air Force, General John Corley; and former president and chief operating officer of Honeywell Defense and Space, Dean Flatt. The Board also includes retired Admiral Thomas Fargo, former commander US Pacific Command and Commander-in-Chief.
JF Lehman closed its second fund on $335 million in 2006, surpassing its original target of $275 million.
Founded in 1992 by former US Naval secretary John Lehman, JF Lehman invests in mid-market defense, aerospace and maritime companies and their related technologies.