Dallas-based private equity manager Paceline Equity Partners announced the final closing of Paceline Equity Partners Opportunity Fund II with total commitments of $780 million, significantly exceeding the fund’s $500 million target and representing a 125% increase over the size of its predecessor fund. So far, Paceline has raised nearly $1.5 billion in equity commitments between Funds I and II, and affiliated co-investment vehicles.
The fund’s investor base is comprised of leading global institutions, including public pension plans, sovereign wealth funds, endowments and foundations, insurance companies, and family offices. And about 50% of the fund’s commitments came from new investors, reflecting Paceline’s increased visibility within the broader allocator community.
Fund II builds on the firm’s track record executing an opportunistic, value-oriented, and special situations investment strategy across asset classes, including corporate debt, private equity, and real asset opportunities in North America. So far, Fund II has completed five investments across these disciplines.
Since being founded, Paceline has built a diversified portfolio of current investments through 21 acquisitions, including several bolt-on opportunities, and deploying over $1.9 billion in total transaction value.
Winston & Strawn LLP served as Paceline’s legal counsel.
KEY QUOTES:
“Institutional investors are looking for managers with strong track records who can provide certainty of execution amid choppy investment environments. The successful closing of our second fund, well in excess of our target in a highly challenging fundraising environment, is a true testament to Paceline’s experienced investment team and our differentiated investment approach. We are grateful for the confidence and support from both new and existing investors as we continue to identify and execute on a strong pipeline of opportunities in a market environment which is particularly well suited for our team.”
– Sam Loughlin, Paceline’s Chief Executive Officer
“Paceline’s partners have worked together for over 15 years and built a strong platform that allows us to quickly distinguish the type of special situation indicative of a Paceline deal. These investments are value oriented, often highly complex, and require our experienced, hands-on approach to asset management, one of our strongest competitive advantages. Fund II is off to a great start with five closed investments as well as one exit, and we are excited to continue to build the portfolio.”
– Leigh Sansone, Paceline’s Chief Investment Officer
