Palladium Equity Partners closed its latest private equity fund, the $1.14 billion Palladium Equity Partners IV, exceeding its $800 million target, said Marcos A. Rodriguez, chairman and CEO, and David Perez, president and chief operating officer, in a joint interview.
During fundraising, Palladium Equity Partners IV investors agreed to increase the fund's hard cap from its original $1 billion to accommodate investor demand. The firm's prior fund, Palladium Equity Partners III, was raised in 2005 with $775 million.
Fund executives expect to focus on investing in companies they believe will benefit from the growth in the U.S. Hispanic population.
“The new hard cap was not based solely on demand. It was based on what was the prudent amount of capital to execute on for a strategy that worked very well in Fund III,” Mr. Perez said.
What's more, this year Palladium executives expect to exit about five of the investments from its third fund, freeing up the firm's 11 senior executives to work on new, Fund IV investments.
Investors in the fund include the $49.4 billion Pennsylvania Public School Employees' Retirement System, Harrisburg, and $42 billion Los Angeles County Employees' Retirement Association, Pasadena, Calif.