LITTLE ROCK, Ark. – As a reflection of the slow return to Asia by private equity investors, Talisman Capital has begun fund-raising efforts for the $250 million Talisman Capital Asia Opportunity Fund.
The new vehicle, Talisman’s second private equity fund, was launched in January and has hard commitments of $100 million, said Geoffrey Tirman, president of Talisman Capital. The final close on $250 million is expected by the end of the second quarter.
“Right now we have hard commitments from high-net-worth individuals, and we’ll be going back to firm up some of the soft commitments,” Mr. Tirman said.
Investment targets for the fund will include mid- to late-stage companies in information technology, Internet, e-commerce, telecommunications, manufacturing and service-related businesses. Mr. Tirman said the company also would consider selected distressed and special situation opportunities, as well as selected investments in public companies.
“We are not as interested in operational control as we are in board representation and controlling performance hurdles,” he added.
Talisman intends to open a Singapore office to serve as the base for the fund. Mr. Tirman said some of the limited partners also will serve as advisers and should source deals to the fund before other private equity firms see them.
The Asian fund features a 2.5% annual management fee and an 80%/20% carried interest split.
Talisman closed its first fund, Talisman Capital Opportunity Fund International Ltd., last year, garnering $50 million in commitments.