New York Life Capital Partners has held a final closing of its third mezzanine fund, NYLCAP Mezzanine Partners III, on March 30, 2012, with total commitments of $980 million, more than a 20 percent increase than its predecessor fund. “We are very grateful for the show of support we received from investors and are confident that our strategy of investing in the middle market, with longstanding sponsor relationships, will continue to deliver strong results” said Thomas Haubenstricker, CEO of New York Life Capital Partners.
The new fund will continue NYLCAP’s strategy of partnering with private equity groups by providing mezzanine financing to support their acquisition of middle market companies in the U.S. and Western Europe. To date, the fund has invested $235 million in 10 portfolio companies.
Investors in the new fund include public and private pension funds, financial institutions, insurance companies, family offices, select individuals and sovereign pools of capital. “Historically, investors in this asset class have been large financial institutions and insurance companies, however in this fundraising effort, we have seen an increased interest among new types of investors seeking attractive yields and consistent downside protection,” said Mr. Haubenstricker.
New York Life Capital Partners manages $8 billion of private equity assets, including direct equity, direct mezzanine, and limited partnership investments. New York Life Capital Partners raised its first mezzanine fund in 2002, and the existing team has invested $1.9 billion in 90 mezzanine transactions. As an affiliate of New York Life Investments, NYLCAP manages alternative assets for New York Life Insurance Company, its affiliates and other institutional investors. NYLCAP, together with its predecessor organizations, began investing in private equity partnerships in 1984 and has been an active, direct private equity investor since 1991. The firm is based in New York, NY (www.nylim.com).
