Frontenac Company, a lower middle market private equity firm based in Chicago, quietly closed its ninth buyout fund in December, according to Thomson One Banker’s database. T1 Banker gets its info directly from the firms. The firm did not return multiple calls for comment.
The reason, perhaps, is that it appears Frontenac lowered its fund size target. When the firm entered the market with this fund in October of 2006, it was seeking $450 million. According to T1 Banker, it closed on $315 million. More than half of that, $170 million to be exact, was raised in 2006.
Frontenac’s prior fund, Frontenac VII, had $560 million in commitments. It is a 2000 vintage. According to CalPERS, the fund has returned 0.9x its money, with an IRR of -3.8. CalPERS invested $10 million, $9.4 million of which had been drawn as of last year.
Frontenac was formed in 1971 by Martin J. Koldyke. Its latest acquisition was in December 2008, when portfolio company Interweave purchased CrochetMe.com. Other investments include Systems Maintenance Services (SMS), a computer systems services business, Crescent Healthcare, a pharmacy services business, and WAUSAU, payment processing system provider.
Unrelated: Frontenac has a very modern website, especially for a private equity firm.