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Catterton Seeks $300 Mln for Second Growth Fund

Catterton Partners is out fundraising for its second growth fund, according a source and an SEC filing.

The Greenwich, Conn.-based consumer-focused private equity firm is seeking $300 million for Catterton Growth Partners II L.P., a regulatory filing dated April 19 says. The fund has a $350 million hard cap, a person says. Ineo Capital is the placement agent.

At the same time, Catterton is also out marketing for its seventh buyout fund. Catterton Partners VII LP has a $1.2 billion target, peHUB has previously reported. The PE firm has raised more than $1 billion for fund VII, a source says. LBO Wire reported last week that Catterton is seeking to ultimately raise as much as $1.5 billion for the pool.

The PE firm was expected to begin marketing in 2008 for its seventh buyout fund. Catterton, faced with a dismal fundraising environment, chose to raise a “top off” fund, with $200 million in additional capital, in 2009. In 2008, Catterton also raised a $300 million growth equity pool.

The firm’s last buyout fund, Catterton Partners VI LP, collected $1 billion in 2006. Fund I generated an 11.4% IRR, according to June 30 data from the New York Police Pension Fund. The “top-off” pool is producing a net IRR of 23.6%, Sept. 30 data from CalPERS says. Performance data for the first growth fund, Catterton Growth Partners LP, was unavailable.

Founded in 1989, the PE firm targets the middle market. Sectors include food and beverage, retail and restaurants, consumer products and consumer health. Catterton currently owns PetVet Care Centers, Noodles & Co. and YoCrunch. In March, Catterton invested in Fixtures Living, a retailer of kitchens, laundry rooms and bathroom home products. Catterton in August acquired ePrize, which provides technology that allows brands to “engage” with consumers using cells phones and social media. Catterton completed its investment in Baccarat, a luxury crystal company, last July. Catterton also sold LittleMissMatched to Delta Grill Industries in December.

Officials for Catterton declined comment.

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