Maranon Could Wrap Mezz Fund By Fall

Chicago-based Maranon Capital is hoping to hold the next close for its first mezzanine fund in the August-September timeframe, according to a source familiar with the situation.

The shop, which launched Maranon Mezzanine Fund LP in early 2008, is targeting $250 million. It held a first close at roughly $93 million in July 2008, and has already secured another $45 million in commitments that it’s yet to close on, the source said.

Expectations for the size of the next close aren’t clear just yet, the source said, as the firm currently has roughly four to five other potential pledges in the works. Ideally the firm hopes to avoid holding a second interim close and aims to wrap the fundraising effort in a final swoop this fall.

As peHUB sister publication Buyouts reported earlier this month, the Teachers’ Retirement System of Illinois made a $25 million pledge to the fund in mid-June as part of its emerging managers program. The pool’s mix of limited partners includes other state pension plan sponsors, insurance companies and family offices, the source said.

Maranon Capital executives weren’t available for comment.

The firm was formed in 2007 by Tom Gregory and Ian Larkin, both of whom previously worked together at business development company American Capital Strategies Ltd. In total, the shop has nine investment professionals.

The rest of this story is available at Buyouts magazine (subscription required), where Michael Baron is the managing editor.