Pleasant Lake Partners, the hedge fund led by Jonathan Lennon, has secured a capital commitment from Millennium Management, marking a significant expansion of its investment mandate, according to a report by Bloomberg.
The report cites unnamed sources familiar with the matter as revealing that Millennium has allocated at least $2bn in gross market value – including leverage – through a separately managed account (SMA). Sources indicate the funds will be deployed in a new strategy aimed at incubating investment talent.
Pleasant Lake Partners currently manages over $4bn in assets, excluding Millennium’s commitment. The firm invests across public and private markets, with a focus on consumer, telecommunications, media, and technology sectors.
In addition to hedge fund strategies, Pleasant Lake Partners is launching a private equity initiative designed to support companies seeking partnerships with investment firms that prioritise long-term holding periods.
The hedge fund has made high-profile investments, including a stake in L’Occitane, supporting its buyout by chairman Reinold Geiger last July. That deal was backed by Blackstone’s Tactical Opportunities group and Goldman Sachs Alternatives.
The firm, affiliated with Fund 1 Investments LLC, also holds positions in Tile Shop Holdings Inc, and BJ’s Restaurants Inc, according to securities filings.
