Sun, Feb 14, 2016
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Private Equity Strategies

EBF & Associates Closes $800 Million Merced Partners IV, L.P.

Monday, December 02, 2013

By: Bailey McCann, Private Equity Strategies

EBF & Associates, L.P has closed its Merced Partners IV, L.P. fund at its hard cap of $800 million. The fund had an initial target of $750 million. Merced Partners IV will make opportunistic value investments in niche financial instruments and hard assets, pursuing the same investment strategy successfully utilized in its predecessor fund, Merced Partners III, L.P. (a $567 million fund closed in December 2010). The Fund will target opportunities generally ranging from $10 million to $100 million. Limited partners in the Fund include endowments, foundations, state and corporate pension plans, and family offices.

Since 2005, EBF has raised six multi-year lock-up funds with approximately $2.4 billion in aggregate commitments. EBF also manages Merced Partners Limited Partnership, an annual liquidity fund formed in 1990. EBF has 37 employees including six partners and 12 investment professionals.

Private Equity Strategies spoke to Andrew Platt, Managing Director at EBF about the fund and what the firm plans to do going forward. “In all it was about three and a half months from first close to final close, and we were oversubscribed on this fund. So I think some of the challenges that others have seen on the fundraising side, we were able to avoid. That said we also have a strong commitment to off-cycle marketing. It’s a continuous conversation with our investor base, and I think that makes it easier when we are raising new funds,” he says.

So far the new fund is already 10% invested, with a strong pipeline of opportunities to consider going forward. “We like a lot of what we are seeing in hard assets, ships, aircraft. Ships and aircraft are what we call globally ubiquitous assets, everyone uses them, and everyone needs them.” Almost all of the investments across EBF’s fund group are unlevered and the funds themselves are unlevered, Platt notes.

“I think investors now are more comfortable with lock-ups and longer investment periods in the private equity structure, they are socialized into that. It’s a different conversation in a hedge fund structure, but even there it is possible as well. Investors now are looking for returns and they are looking for cross-asset buckets, alternatives to their alternatives, if you will. We’ve been able to build on that need and provide a value proposition.”

 
This article was published in Opalesque's Private Equity Strategies our monthly research update on the global private equity landscape including all sectors and market caps.
Private Equity Strategies
Private Equity Strategies
Private Equity Strategies
Private Equity Strategies


Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing


  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Investing - Real estate secondaries sole 'bright spot' in 2015, As hedge funds stumble, one firm prepares to buy illiquid stakes[more]

    Real estate secondaries sole 'bright spot' in 2015 From IPE.com: The secondary market for property was the sole “bright spot” over the course of 2015, as hedge fund secondaries saw deals fall by two-thirds, according to a wide-ranging survey of the market. Setter Capital said 2015 saw th

  2. Asia - Hedge fund manager Kyle Bass estimates China's foreign reserves below critical level[more]

    From Nasdaq.com: Investor Kyle Bass stepped up his attack on China's currency, arguing in an investor letter distributed Wednesday that the second-largest economy's foreign reserves are "already below a critical level." The comments mark the latest effort by hedge funds and other investors to raise

  3. Investing - Some hedge funds want to make subprime auto loans next big short, 11 hedge funds that are “all in” on the FANG stocks, Hedge funds short London luxury homes, Cynet raises $7 million from U.S. hedge fund[more]

    Some hedge funds want to make subprime auto loans next big short From Bloomberg.com: A group of hedge funds, convinced they have found the next Big Short, are looking to bet against bonds backed by subprime auto loans. Good luck finding a bank willing to do the trade. Money manage

  4. Investing - Hedge funds see selloff in European bank stocks as buying opportunity[more]

    From WSJ.com: The massive selloff in European bank stocks and bonds is overdone and presents a “phenomenal” buying opportunity, according to some of Europe’s top hedge-fund managers. Despite a 28% slump in European bank stocks this year, including a 38% fall in Deutsche Bank AG and a 34% drop in Soc

  5. Legal - Carlyle accused of fraud by ex-employee, Hedge funds win CDS breach of contract suit against Deutsche Bank, Hedge fund asks for OK on $27.5m Goldman CDO deal, SFO examines Barclays hedge fund profits[more]

    Carlyle accused of fraud by ex-employee From AI-CIO.com: A former portfolio manager claims he was fired for blowing the whistle on “crazy” and “irresponsible” investments. Carlyle Group has been sued by a former portfolio manager for one of its hedge funds, who accused the firm of “knowi