Lightyear Capital Completes Final Closing on Second Financial Services Buyout Fund
Fund II Will Continue Lightyear Capital’s Buyout Focus on High-Growth Financial Services Industry
NEW YORK, NY (March 5, 2007) – Lightyear Capital LLC (“Lightyear”), a private equity firm focused on financial services, announced today that it completed the final close of its second private equity fund, Lightyear Fund II, L.P. (“Fund II”), with over $850 million in capital commitments, surpassing its target of $800 million. With the closing of Fund II, Lightyear has raised and, through its affiliated funds, managed approximately $3 billion of committed capital.
Fund II, similar to its predecessor fund, The Lightyear Fund, L.P. (“Fund I”), will seek control buyout investments in financial services companies of all types, including asset management, banking, brokerage, financial technology, insurance, leasing, and related business services and other sectors within the financial services industry. Selected investments from Fund I include Athilon Group Holdings Corp., a triple-A rated credit derivatives products company; Baker Tanks, Inc., an equipment rental and leasing services company; Collegiate Funding Services, Inc., an education finance company; and The NAU Group, a provider of crop insurance.
“The closing of our second fund marks an important milestone for Lightyear,” said Donald B. Marron, Chairman and Chief Executive Officer of Lightyear. “Since 2000, Lightyear has solidified its position as a leading private equity firm committed to the financial services industry, an expanding growth area. We are pleased with the investment results we have delivered to our limited partners in Fund I and our success in raising this new fund.”
Fund II will have an investment period of five years. To date, Fund II has made two investments: one in Flagstone Reinsurance Holding Company, a Bermuda-based reinsurance company focused on property catastrophe and other short-tail casualty coverage, and another in Delos Insurance Group (formerly Sirius America Insurance Company), a Delaware-domiciled primary underwriter of program specialty insurance.
“We believe that the broad interest in Lightyear stems, in part, from our strategy of targeting attractive investment opportunities in specialty growth areas within financial services,” added Mark F. Vassallo, Managing Director of Lightyear. “Fund II is already approximately 20% invested, and we are actively evaluating multiple investment opportunities consistent with our strategy.”
Richard J. Sterne, the Managing Director at Lightyear who oversaw the fundraising efforts, added, “Lightyear greatly appreciates the support of our broad base of limited partners. We are pleased to welcome back those limited partners who have invested with Lightyear over the years and greatly look forward to working with our new limited partners in Fund II.”
ABOUT LIGHTYEAR CAPITAL
Lightyear is a private equity investment firm providing buyout and growth capital to companies in the financial services industry. Based in New York, Lightyear, through its affiliated funds, has managed approximately $3 billion of committed capital with investments across the financial services spectrum, including asset management, banking, brokerage, financial technology, insurance, leasing and related business services, and other sectors within financial services. Lightyear brings unique strengths and discipline to its investment process, as well as operating, transaction, and strategic management experience, along with significant contacts and resources beyond capital. The senior team of professionals has an average of 20 years of financial services-related experience and includes David Glenn, Stewart Gross, Donald Marron, Richard Sterne, and Mark Vassallo.
For more information, please visit www.lycap.com.
This announcement appears as a matter of record only. This does not constitute an offer to sell or a solicitation of an offer to purchase an interest in any current or future Lightyear Capital fund.