Marlin Equity Partners has held a first and final close on $400 million for its Marlin Heritage fund, which will invest in lower mid-market businesses.
Marlin marketed the Heritage Fund only to existing limited partners and closed above its $250 million target in less than three months, according to a statement. The oversubscribed fund generated about $1 billion in demand from LPs, the statement said.
The one-and-done fund close comes less than a year after Marlin closed its Fund IV on its $1.6 billion hard-cap. The turnaround and distressed buyout fund was more than three times oversubscribed, the firm said at the time. Marlin Equity IV spent just over four months in the market and LPs scrambled to get their commitments in, Private Equity International previously reported. “The chances of getting in are pretty slim,” one LP told PEI last year.
Marlin had an active year on the investment front in 2013, acquiring 13 businesses.
LPs in Fund IV include the Los Angeles County Employees’ Retirement Association, which committed $40 million and New Jersey Division of Investment, which committed $100 million, PEI’s Research and Analytics division disclosed.
Marlin took less than three months to close its third fund on $650 million in 2009 and its second fund on $300 million in 2007, PEI wrote.
Marlin has more than $3 billion in assets under management, according to its website. The firm invests in North American companies with $20 million to $2 billion in revenue, in the technology, healthcare, manufacturing and consumer sectors.
Los Angeles-based Marlin was created in 2005 by former Gores Technology Group executive David McGovern. Partner Nick Kaiser helped form Marlin after spending just five years in the private equity industry, according to Marlin’s website.
The firm was unavailable for comment at press time.