Friedman Fleischer seeks more than $1 Bln for latest pool

Friedman Fleischer & Lowe is currently premarketing for its next fund, according to four sources.

The San Francisco-based firm is seeking more than $1 billion for its fourth fund, three of the sources said.

It’s unclear when FFL will officially come to market. MVision is the placement agent for the pool, two people said.

FFL’s third fund collected $1.5 billion in 2008. That’s more than the firm’s second pool which raised $811 million in 2004, according to the firm’s website. Tully Friedman, FFL’s chairman and CEO, said at PartnerConnect West earlier this week that Friedman Fleischer is a “very slow investor. It takes us five years to invest a fund.”

Bloomberg News reported that Fund IV is targeting $1.5 billion.

The fund is FFL’s first since David Lowe, a Friedman Fleischer co-founder, left the firm in 2011. Lowe, along with Mel Deane, a former FFL operating partner, has since launched Insignia Capital Partners, which invests in lower middle-market businesses. Insignia is also out fundraising for a pool that is reportedly seeking $350 million.

San Francisco-based Friedman Fleischer focuses on middle-market companies, investing in sectors such as financial services, consumer and healthcare services by taking minority or majority positions. The firm has invested in Church’s Chicken, Wilton Re and Midwest Dental.

Officials for FFL and MVision declined comment.

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