Hawkeye raises nearly half of its emerging manager fund

Hawkeye Partners has raised in excess of $477.5 million for its second fund to incubate new investment management platforms, PERE has learned. 

Although a recent filing with the US Securities and Exchange Commission revealed that the Austin-based manager has raised $227.5 million from domestic investors for its Hawkeye Partners Scout Fund II, sources familiar with the matter told PERE that the vehicle has garnered in excess of $250 million in additional offshore capital. Among the fund’s investors is the Teacher Retirement System of Texas, which committed $50 million to Scout II on behalf of its emerging manager program. Representatives from Hawkeye declined to comment. 

As previously reported, Hawkeye is targeting between $700 million and $1 billion in equity commitments for Scout Fund II, which is looking to foster and invest in emerging managers. The fund plans to provide seed capital for somewhere between five and eight managers. 

Through the vehicle, Hawkeye primarily is looking to target seasoned operators and developers at start-up firms formed by spin-off teams that have left other organizations. The firm is looking towards platforms that have value-added and opportunistic strategies. Although it can seed offshore managers, Scout Fund II is primarily a US-focused vehicle.

Scout Fund I, which closed on $700 million in 2008, received commitments from such investors as the California State Teachers' Retirement System, the Canada Pension Plan Investment Board, North Carolina State Treasury and Pennsylvania State Employees' Retirement System, according to PERE Connect. Through that fund, Hawkeye invested in Alliance Residential, Garrison Investment Group, Meadow Partners and Panattoni Development, according to the firm’s website.