Trilantic Capital Partners, the private equity spin-out from Lehman Brothers Merchant Banking, is well on track to hitting its $2 billion target on its first fund as an independent firm.
Trilantic reported in early July it had collected about $1.9 billion, according to a filing with the US Securities and Exchange Commission, leaving it with about $60 million to go to its target. It’s not clear if the firm expects to exceed its target; its hard-cap is $2.25 billion, according to a market source. (The Pennsylvania State Employees’ Retirement System, which committed to the fund in 2012, said the hard-cap was $3 billion in board documents.)
The firm, led by Charlie Ayres, declined to comment. Evercore is working as global placement agent on the fund, according to Pennsylvania State Employees’ documents, and could not be reached for comment by press time. Evercore acquired its placement team from Neuberger Berman in 2010 — which also broke away from Lehman after the bank went bankrupt in 2008.
The fund, which the firm is calling Fund V as an extension of the fund family under the Lehman Brothers banner, will invest $50 million to $200 million per deal in control of significant minority investments in North America, according to the Pennsylvania pension documents.
Trilantic partners with management teams, focusing on mid-market companies in consumer, financial services, business services and energy sectors, the documents said.
In December, the firm completed its largest exit of 2012, selling a majority stake in oil and gas producer TLP Energy to NFR Energy for $655 million. The deal marked Trilantic’s fifth exit of the year.
Earlier this year, Trilantic partnered with Riverstone Holdings for an investment in Trail Ridge Energy Partners II, a newly formed oil and gas exploration and production company focused on Texas’ Permian Basin. The deal was Trilantic’s first of the year.