Lexington Seeks $25 Billion for Flagship Secondary Fund (1)

Lexington Partners aims to collect at least $25 billion for its latest flagship secondary vehicle, seeking one of the largest-ever dedicated pools of secondhand private equity fund stakes.

Lexington has begun discussing its 11th flagship fund with investors ahead of a planned fundraising this year, according to people familiar with the matter. The firm, a unit of Franklin Resources Inc., also hopes to bring in $2 billion or more for a new vehicle to invest in so-called continuation funds, said the people, who asked not to be identified discussing confidential details.

A prolonged deal drought and slowdown in initial ...