Kingswood Capital Management Raises $1.5 Billion in Oversubscribed Third Fund
18 Julio 2024 - 7:30AM
Business Wire
Fund III was raised in approximately 90 days
and represents a 2.4x increase in size relative to Fund II
Kingswood Capital Management, L.P. (“Kingswood” or the “Firm”),
the LA-based private equity firm focused on buyouts of
middle-market businesses with operational improvement potential,
announced the final closing of Kingswood Capital Opportunities Fund
III, L.P. (together with its parallel fund, “Fund III”), with total
capital commitments of $1.5 billion, including a 5% GP commitment,
underscoring the Firm’s confidence in its strategy and providing
strong alignment with its investors. Fund III was oversubscribed
and was raised on an expedited basis, closing in approximately 90
days and surpassing its $1.0 billion target. It raises the Firm’s
total assets under management (“AUM”) to approximately $3.2
billion.
Fund III is more than double the size of Fund II and includes
commitments from leading endowments, foundations, health systems,
public pension plans, family offices, funds of funds, other
institutions, and high-net worth individuals. Nearly all existing
investors re-upped, and Kingswood welcomed many prominent new
investors into Fund III that broadens the Firm’s limited partner
base in the United States, Europe, Asia, and for the first time,
the Middle East.
“We are grateful to our existing and our new limited partners
for their trust and support in Kingswood and their confidence in
our ability to continue delivering strong returns as we seek to
expand our capacity to drive value and growth for partners in the
middle market,” said Alex Wolf, Managing Partner of Kingswood.
“With Fund III, we will continue our differentiated investment
strategy of seeking out opportunities for asymmetric upside that
other firms often overlook, while preserving downside protection
and leveraging our network to attract and apply deep operational
expertise. We believe this approach has resonated well with
investors, allowing us to rapidly raise and deploy capital for our
strategy, and grow the businesses in which we invest.”
Kingswood looks to build on the momentum of its recent
successes. The closing of Fund III represents its third
institutional fundraise in just over three years. The team has
grown to 24 professionals, with further additions planned to
support its strong growth.
Kingswood Partners Michael Niegsch and Jim Renna commented, “We
are thrilled to continue the partnership with our existing
investors, and we welcome our new partners as we continue to
execute on our investment strategy. We believe we’ll be deploying
Fund III into an accelerating market opportunity for Kingswood’s
strategy of operationally-focused investing.”
Lazard acted as exclusive placement agent for Fund III and
Kirkland & Ellis LLP served as legal adviser.
About Kingswood
Kingswood Capital Management, L.P. partners with leading
companies in the middle market which stand to benefit from its
capital and extensive operating resources. Kingswood embraces
complexity and believes it is well-positioned to support businesses
at inflection points in their development to enhance value. Based
in Los Angeles, Kingswood is a cohesive, entrepreneurial team with
a long history of shared success developing “win-win” partnerships
with its portfolio companies and management teams. For more
information, please refer to the Kingswood website at
www.kingswood-capital.com.
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Lauren Fernandez media@kingswood-capital.com