Francisco Partners' Third Credit Fund Closes at $3.3B, $1B Above Target

Francisco Partners said January 23 that it closed its third opportunistic credit fund with capital commitments totaling $3.3B, marking an oversubscription against its target of $2.3B.

FP Credit Partners III generated support from new and long-term limited partners of the global investment firm, including public and corporate pension funds, foundations, endowments, insurance companies, sovereign wealth funds and family offices across North and South America, Europe, Asia, and the Middle East. The fund's predecessor, FP Credit Partners II, raised $2.2B.

The Teachers' Retirement System of Louisiana, Washington State Investment Board, State of Wisconsin Investment Board, South Carolina Retirement System, California State Teachers Retirement System, Illinois Municipal Retirement Fund and School Employees Retirement System of Ohio all made commitments to the third fund, according to Dakota data.

Francisco Partners said its latest fund's investments will encompass various structures ranging from traditional credit financings to flexible capital solutions. It will support the firm's continuous expansion in the technology ecosystem, with existing investments that include revenue cycle management solutions provider Zotec Partners, online healthcare discovery and appointment booking platform Zocdoc, and self-service event ticketing and experience technology platform Eventbrite.

Kirkland & Ellis provided legal counsel for the fundraise.