LA’s Aurora hits market with fifth flagship fund

  • Aurora targets $750 mln for Fund V
  • Eyes first close on $500 mln in January
  • To launch next Resurgence fund in early 2016

Aurora Capital Group is back in the market targeting $750 million to $800 million for its fifth flagship fund, according to a person with knowledge of the fundraising.

Aurora, founded in 1991 by Gerald Parsky, expects to hold a first close on around $500 million in January, the person said.

No one at Aurora returned a call for comment Monday. Park Hill Group is working as placement agent on the fundraising.

The firm is targeting less than the $900 million it raised for Fund IV, which closed in 2012. Fund IV generated a 13.12 percent net internal rate of return and a 1.28x net multiple as of June 30, 2015, according to information from alternative assets data provider Bison.

Aurora, based in Los Angeles, targets investments in growing middle-market companies.

Its leadership team includes Chairman Parsky and Partners Timothy Hart, Josh Klinefelter, John Mapes, Michael Marino and Mark Rosenbaum.

Two partners from Fund IV have since left the firm: David Alpern left in 2012 to join Varsity Healthcare Partners as a partner, while William Coughlin left last year to join OMERS Private Equity as a managing director.

Aurora also manages special situations funds known as Aurora Resurgence funds. The firm is expected to launch its third Resurgence fund early next year.

Aurora Resurgence Fund II acquired four portfolio companies from the first Resurgence fund to get existing LPs liquidity. LPs were offered the chance to roll their interests into the second fund or sell out, according to a summary from consultant NEPC.

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Photo of aurora borealis (aka the northern lights) courtesy of ShutterStock’