JMI Equity is targeting $1.1 billion for its latest flagship fund, according to SEC filings.
At $1.1 billion, JMI Equity Fund IX will be only slightly larger than its predecessor, which closed on $1 billion in 2014.
JMI, a software-focused firm founded in 1992, specializes in acquiring companies with proven business models and strong management teams, an LP Capital Advisors report prepared for New Mexico State Investment Council in 2014 said.
A fund presentation JMI delivered to New Mexico in 2014 indicated the firm would concentrate on allocating $10 million to $100 million of equity to each of its Fund VIII investments. The fund could also use limited-partner co-investments to pursue larger deals.
Fund VIII was netting a 15.17 percent internal rate of return as of Sept. 30, California State Teachers’ Retirement System documents show. Funds VI and VII were netting IRRs of 11.08 percent and 12.42 percent, respectively, as of that date.
Given its focus on software companies, JMI portfolio companies serve a wide range of businesses, including those in financial services, insurance, education and healthcare.
In April, JMI led a $55 million growth equity round for CampusLogic, a financial-services platform that connects students to financial aid. The firm also recently invested in CipherHealth, a technology company that helps healthcare providers communicate with their patients.
JMI is led by Co-Managing General Partners Harry Gruner, who also co-founded the firm, and Paul Barber, who joined JMI in 1998. The firm has offices in Baltimore and San Diego.
The firm declined comment.
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