RCP Advisors has held a second close on its third dedicated secondaries fund, less than two months after Secondaries Investor reported a first close.
The Chicago-based firm has collected $56.9 million for RCP Secondary Opportunity Fund III, according to a filing with the US Securities and Exchange Commission. The fund’s target is $425 million with a $500 million hard-cap.
According to the filing, based on a fund size of $500 million, management fees over the course of the fund will come to an estimated $43.75 million. The fund has attracted commitments from 41 investors so far.
The date of first sale was September and the minimum commitment from an outside investor is $1 million, the filing notes.
Fund III launched in July and held its first close in October on $26.8 million. It will acquire stakes of between $3 million and $30 million in lower- and mid-market North American funds that are more than 30 percent invested and range from $250 million to $1 billion in size.
RCP usually makes a commitment of around 10 percent of aggregate capital commitments, while the hurdle rate on its funds is between 10 percent to 15 percent, according to a strategy document from the GP.
RCP’s previous secondaries fund held the final close on its $425 million hard-cap in July 2013, above its $300 million target after 14 months of fundraising, according to PEI data.
Investors in RCP Secondary Opportunity Fund II include Carnegie Melon University, the Achelis Foundation and Clemson University Foundation.
RCP Advisors has $5.9 billion in assets under management across funds of funds, secondaries and co-investment funds, according to its website.