Fundraising

Golub closes on $800m mezz fund

The New York-based mezzanine firm closed its fourth fund on $800m, four times as large as its last vehicle.

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Golub Capital has closed its largest mezzanine fund to date, Golub Capital Partners IV, on $800 million (€631 million) in capital.

The fund had a first close and began investing in August 2004. The firm offers $40 million per transaction and has closed 12 transactions so far this year, including a $27 million in direct mail marketer Dr. Leonard’s Healthcare and $17.5 million in the wig marketer Specialty Catalog. The firm closed 21 deals in 2004.

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We never compete with our clients, and in return, our clients have rewarded us with tremendous growth.

Lawrence Golub,
president & founder,
Golub Capital Partners

n addition to mezzanine debt, the firm offers second lien loans, preferred stock and co-investment equity.

Lawrence Golub, the firm’s founder and president, said in a statement that, because Golub has no LBO component, they do not compete with their private equity firms. “We never compete with our clients, and in return, our clients have rewarded us with tremendous growth.”

 Golub’s last fund, called LEG Partners III, closed in 1999 on $200 million and is fully invested. The firm was founded by Lawrence Golub in 1994 and has offices in New York, Chicago and Atlanta.