Alchemy Partners, the private equity firm co-founded in 1997 by veteran investors Jon Moulton and Martin Bolland, is preparing to launch its fourth special opportunities fund.

A person familiar with the matter said no formal target for the fund had been set, but it was expected to be larger than its predecessor, a £600m fund that held a first and final close on its hard cap in March 2014. Alchemy declined to comment.