Lexington Partners has closed on $3.108 billion in capital commitments toward its seventh fund, according to regulatory filings. The New York-based secondaries firm launched fundraising for Lexington Capital Partners VII LP in early 2008 with a $5 billion target.
As of last week, the firm had secured $2.378 billion in commitments from 91 US-based investors and $730.2 million in commitments from 48 overseas investors. Park Hill is serving as placement agent.
The firm’s prior fund, Lexington Capital Partners VI closed in 2005-2007 with $3.8 billion in commitments.
Lexington Partners acquires interests in buyout, mezzanine and venture capital funds as well as portfolios of direct minority interests. The firm’s investment size ranges from single-interest deals to billion dollar portfolio acquisitions. Founded in 1994 the firm also manages co-investment funds.
The firm faces competition in a market when excitement around the secondary market has faded. Last year Goldman Sachs and Harbourvest Partners closed large dedicated secondary funds, raising $5.25 billion and $2.9 billion, respectively. If Landmark met its $5 billion target, it would be the second largest secondary fund ever raised.
Other secondary funds in the market include Pantheon International, which is seeking $4.75 billion. As of December of last year, the firm had closed on $950 million. Landmark Partners is also in the market with a $2 billion fund. The firm had closed on $1.5 billion in December with plans to hold a final close in Q1 of this year.
Lexington did not return calls for comment.