RCP Advisors has closed its seventh fund-of-funds on its $300 million target, according to a statement. The firm launched the fund in late 2009. RCP did not engage a placement agent.
The Chicago-based firm will focus on the North American lower middle market buyout funds, investing $20 million to $30 million investments in 10 to 15 fund managers, according to a firm spokesman. The fund will not focus on any specific sector.
The seventh fund matches the amount raised with the firm’s previous vehicle, RCP Fund VI.
“$300 million has been around the right size for what we want to do,” managing principal and chief investment officer Charlie Huebner told Private Equity International. “The size of our targeted investments doesn’t allow for larger fund sizes.”
The firm received its commitments from a combination of new limited partners and re-ups, Huebner said. He attributed the firm’s successful fundraising to the support of existing LPs. RCP VII’s backers include foundations, endowments, family offices as well as public and private pension funds.
The firm has been very active on the fundraising market over the past decade, marketing seven funds of funds since 2002. The firm also launched a Secondary Opportunity Fund in 2009, which raised $265 million on a $200 million target.
RCP began actively marketing Fund VII a year ago after pre-marketing to existing investors.
RCP Advisors was founded in 2001 and has around $2 billion in committed capital under management, according to its website. In addition to its fund of funds business, the firm also engages in secondaries and co-investments.