Kline Hill targets April close for largest fundraise yet – exclusive

Small secondaries specialist Kline Hill Partners is targeting a rapid turnaround on its latest fundraise.

The Greenwich, Connecticut-headquartered firm expects to hold an April final close on two vehicles targeting a combined hard-cap of $600 million, according to a source familiar with the fundraise. The firm came to market with the vehicles in February.

Flagship fund Kline Hill Partners Fund III is targeting $425 million through one onshore and one offshore vehicle and Kline Hill Partners Opportunity Fund III is targeting $125 million, according to filings with the US Securities and Exchange Commission.

Opportunity Fund III is an overflow vehicle that will help the firm invest in larger deals, Secondaries Investor understands.

The Wall Street Journal first reported on the funds’ hard-cap.

The small- and mid-market secondaries specialist closed predecessor Kline Hill Partners Fund II on its $350 million hard-cap in April 2018, collecting nearly double the amount raised for its debut vehicle, Secondaries Investor reported. Investors in the fund include Rice University, according to Secondaries Investor data.

Kline Hill focuses on secondaries acquisitions including those with smaller or more fragmented asset pools. It buys interests in buyout and venture funds, as well as energy, real estate and other private funds.

The firm was founded in 2015 by managing partner Mike Bego, a former partner with Willowridge Partners. He was joined the same year by partner Jared Barlow, formerly of Sweetwater Capital.

Kline Hill declined to comment on the fundraising.