GI Partners has closed its third fund with $1.9 billion in capital commitments. Limited partners include Florida Retirement System Trust Fund, Teachers’ Retirement System of Illinois, Capital Dynamics and Partners Group.
GI Partners announces the final closing of its third private equity fund, GI Partners Fund III L.P. (the “Fund”). Since the Fund’s launch, over $1.9 billion in capital commitments were secured in less than one year from leading institutional private equity and real estate investors. The aggregate size represents over a 35% increase from the previous fund and is indicative of strong support from existing limited partners. In addition, a number of new institutional investors committed to the Fund, including Florida Retirement System Trust Fund and Teachers’ Retirement System of the State of Illinois in the U.S., and Capital Dynamics and Partners Group in Europe. Rick Magnuson, Executive Managing Director, noted “Given the difficult economic environment, we are extremely pleased to have grown our base of new investor relationships by more than 50% and to have secured larger capital commitments from almost all of our existing limited partners. We believe this support stems from our consistent, value-based investment strategy that focuses on acquiring undervalued assets and maximizing opportunities within distressed segments of the market.”
Representative investments already completed in the Fund include Ladder Capital Finance, a U.S. specialty finance company created to take advantage of opportunities in the commercial real estate sector; Care Aspirations, a leading U.K. provider of specialist care for severe learning disabilities; and, most recently, FlatIron Crossing, a joint venture with national regional mall operator Macerich Company. The GI Partners team has acquired significant sector and deal expertise through investments such as Digital Realty Trust, a publicly-listed REIT ranked as one of the best performing since its creation by GI Partners in 2004, and The Cambian Group, a leading U.K. provider of specialist psychiatric rehabilitation services and residential education. With a team of 37 investment professionals and approximately $4.0 billion of assets under management, GI Partners seeks to substantially increase the value of its owned businesses through significant EBITDA growth.
Lazard acted as placement agent for the Fund.
About GI Partners
Established in 2001, GI Partners is a private equity firm that focuses on control-oriented investments across North America and Western Europe in asset-intensive businesses or portfolios of assets that are underpriced relative to their intrinsic value. The team focuses on a number of key sectors, including specialty healthcare, asset-backed IT services, leisure, real estate and financial services. Reach GI Partners in Menlo Park, California on telephone +1 650-233-3600 and London, U.K. on +44 20 7034 1120.