US private equity firm The Carlyle Group has closed its fifth US buyout fund on $13.7 billion, below its original target of $15 billion.
The firm, led by David Rubenstein, closed the vehicle below target because of the current economic environment, a Carlyle spokesman said.
“In light of the economic climate, we decided to end it here,” the spokesman said. “We’re pleased with the amount and the support and confidence our investors have in us.”
The firm, the largest private equity firm in the world, according to the PEI 50 rankings, started raising the fund in the first quarter of 2007. Carlyle has raised $32.5 billion in the past five years.
Carlyle did not use a placement agent in raising Carlyle V.
The fifth fund, which consists of many returning limited partners, is already 30 percent invested. To date, Carlyle V has made four investments. It paid $2.5 billion for the US government consulting arm of management consultant Booz Allen Hamilton in July. In August, it bought HD Supply, a construction supply wholesaler, along with Bain Capital and Clayton, Dubilier & Rice for $10.3 billion. The firm acquired nursing home operator ManorCare for $6.3 billion in December 2007. Carlyle also purchased aerospace and industrial company Sequa last December in a deal valued at $2.7 billion.
Carlyle’s fourth buyout fund closed on $7.8 billion in 2005. The firm was founded in 1987 and has more than $91.5 billion under management. The firm has 64 funds focused on buyouts, growth capital, real estate and leveraged finance.