Welsh Carson seeks $3 bln for next fund

We finally have some news on Welsh Carson Anderson & Stowe’s fundraising plans.

Welsh Carson is targeting $3 billion for its next fund, according to a source. The New York private equity firm is expecting a July first close, the person said. And a button on the Welsh Carson site, “WCAS XII Log-In,” appears to lead to a data room where prospective LPs can perform due diligence for Fund XII. Welsh Carson had been expected to launch marketing this year for Fund XII.

This week, Bloomberg News reported that Welsh Carson is seeking $3 billion to $3.5 billion for its next fund. The PE firm plans to distribute final marketing materials to prospective LPs in March, the story said.

At $3 billion, Fund XII will come in below the $3.7 billion collected by Welsh, Carson, Anderson & Stowe XI LP in 2009. The pool is producing a net IRR of 11.4 percent as of March 31, according to CalPERS.

Welsh Carson targets growth-oriented companies in the healthcare and information/business services industries. The firm makes about 20 portfolio company investments per partnership.

In August, Welsh Carson agreed to buy Alert Logic, a provider of Security-as-a-Service solutions for customers of hosting and cloud service providers.

Welsh Carson was also one of the sellers of Bausch & Lomb, which was sold to Valeant Pharmaceuticals earlier this year. That deal was valued at $8.7 billion.

Officials for Welsh Carson couldn’t be reached for comment.

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