Dallas-based Lone Star Funds has held a first close on about $5.3 billion for its Fund IX that is targeting $7 billion, according to documents filed with the US Securities and Exchange Commission.
The launch of Fund IX in February comes less than a year after Lone Star closed its eighth fund on its $5 billion hard-cap. Fund VIII was raised after less than a year of marketing, sources previously told Private Equity International. Lone Star targets distressed investments in loans and securities, including single family residential, corporate and consumer debt products and financially oriented and asset-rich operating companies in the US, Western Europe and Japan.
Limited partners in Fund IX include the Dallas Fire and Police Pension and the Teacher Retirement System of Texas, according to Private Equity International’s Research and Analytics division. The New Mexico Educational Retirement Board is also listed in SEC documents as another investor in the fund.
Last week, Lone Star hired Stephan Ohlmeyer as a managing director for its London office according to his LinkedIn profile. Prior to joining Lone Star, Ohlmeyer was with Intrum Justitia, Och-Ziff, and Goldman Sachs.
Lone Star was unavailable for comment at press time.