Prudential Capital Closes $619 Million Mezzanine Fund; Fund Target Exceeded by More Than 20 percent; Co-Investment Vehicle Established for Senior Staff.Business Editors
CHICAGO--(BUSINESS WIRE)--July 9, 2001
Prudential Capital Group, a mezzanine fund A mezzanine fund is a type of private equity or merchant banking fund.
A typical mezzanine investment consists of a debt or debt-like instrument, paired with an equity “sweetener. sponsor and investment management business of The Prudential Insurance Company of America, announced today the final closing of Prudential Capital Partners, L.P., a $619 million mezzanine fund focused on middle-market companies.
"Our investment experience and unique approach to this growing asset class and the current appeal of mezzanine funds helped us exceed our fundraising goal by a flattering flat·ter 1
v. flat·tered, flat·ter·ing, flat·ters
1. To compliment excessively and often insincerely, especially in order to win favor.
2. margin," says Allen Weaver, senior managing director and co-head of Prudential Capital Group. "We are very pleased with this fund raising effort."
Prudential Capital Partners, L.P., surpassed its initial $500 million target fund size by more than $100 million with commitments from 21 investors. Investors range from pension funds to foreign and domestic money managers, investment banks The following is a list of investment banks Financial conglomerates
Large financial-services conglomerates combine commercial banking and investment banking, and sometimes insurance. , individual investors, and Prudential's general account. In addition, the senior investment professionals of Prudential Capital Group have funded a $20 million co-investment vehicle, which will be invested alongside the fund. The mezzanine mez·za·nine
1. A partial story between two main stories of a building.
2. The lowest balcony in a theater or the first few rows of that balcony. and co-investment funds are expected to be fully invested within three to four years.
Prudential Capital Partners, L.P., Principal Mark Hoffmeister adds, "Consistent with Prudential Capital Group's investment philosophy for many decades, the fund's strategy is focused on uncovering middle-market companies with strong management teams and stable cash flow."
To date, Prudential Capital Partners, L.P., has funded four mezzanine investments totaling $70 million. The mezzanine fund will make investments ranging from $5 to $40 million to fund acquisitions, buyouts and recapitalizations for middle-market companies in traditional industries.
"Our network of more than 100 investment professionals building direct relationships with issuers on a local basis ensures access to deal flow and allows us to be very selective," says Jeffrey Dickson, principal, Prudential Capital Partners, L.P. "We felt we had a unique and compelling story about our origination capabilities, but it was the response by investors that confirmed it."
Prudential Capital Partners, L.P., is structured as a limited partnership. The principals of the fund are Matthew Chanin, Jeffrey Dickson, Mark Hoffmeister and Allen Weaver. The principals have on average nearly 20 years of private investment experience with specific expertise in mezzanine investments.
Prudential Capital Group, the fund sponsor, has built a strong and exclusive nationwide, middle-market investment capability through its Regional Investment Network with offices in Atlanta, Chicago, Dallas, New York New York, state, United States
New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of , San Francisco San Francisco (săn frănsĭs`kō), city (1990 pop. 723,959), coextensive with San Francisco co., W Calif., on the tip of a peninsula between the Pacific Ocean and San Francisco Bay, which are connected by the strait known as the Golden and London; and manages a $31 billion private capital portfolio (as of 12/31/00) of investment grade and below-investment grade private debt, mezzanine and private equity.
The Prudential Insurance Company of America, with more than $371 billion in assets under management Assets Under Management (AUM) is a term used by financial services companies in the mutual fund and money management or investment management business to gauge how much money they are managing. as of December 31, 2000, is among the largest financial services The examples and perspective in this article or section may not represent a worldwide view of the subject.
Please [ improve this article] or discuss the issue on the talk page. institutions in the world, and one of the largest life insurance companies in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. . Prudential serves millions of individual and institutional customers worldwide and offers a variety of products and services, including life insurance, property and casualty insurance, mutual funds, annuities, pension and retirement related services and administration, asset management, securities brokerage, real estate brokerage franchises and relocation services Relocation services or "employee relocation" includes a range of internal business processes that are engaged to transfer employees (and often their families) or entire departments of a business to a new work location. . Prudential Financial is a service mark of Prudential, Newark, NJ, and its affiliates.