Performance watch: MBK’s flagship funds

Details of the South Korean firm's last four flagships were disclosed in pension documents obtained by Private Equity International.

Details of MBK Partners‘ latest flagship, which has launched less than two years after its predecessor vehicle held its final close, have been revealed in US pension fund documents.

MBK Partners Fund V has a hard-cap of $6.5 billion, according to documents from a New Jersey State Investment Council meeting on Wednesday. The fund is targeting $6 billion, Reuters reported this month.

If the fund achieves its hard-cap, it will be almost 60 percent larger than its predecessor, which closed on $4.1 billion in 2017, according to PEI data.

New Jersey committed $100 million to Fund V.

The latest fund will charge a management fee of 1.75 percent on committed capital and 1.5 percent on unreturned capital, including any partnership borrowing, according to New Jersey documents. The GP commitment to the fund is 2.75 percent.

Seoul-headquartered MBK will continue the strategy of its predecessor funds and focus on opportunities in the North Asia region that includes Korea, Japan and Greater China. Fund V will acquire companies through management-led buyouts, corporate divestitures, partnering with strategic buyers and public-to-private transactions.

The interactive chart below shows the firm’s private equity fund history based on quarterly earnings data, according to New Jersey documents. The bubbles are sized proportionately to the size of the fund; toggle between the tabs to see how they have fared by net internal rate of return and total multiple of invested capital.

MBK did not return a request for comment.