FdG Associates Closes Second Institutional Private Equity Fund With $310 Million.
Investors in FdG Capital Partners II include JP Morgan Asset Management, School Employees Retirement System of Ohio and Mass Mutual Life Insurance Company and affiliates in addition to other private and public pension funds, funds of funds, insurance companies, family offices, and high net worth individuals, with investors from the United States, Europe and Asia. The new fund has 23 investors in total, including significant commitments from the two founding families and investors in FdG's first institutional fund, FdG Capital Partners LLC.
FdG Capital Partners II will make equity investments of $15 to $50 million in transactions including recapitalizations, management buyouts and growth equity investments. The firm will invest in a variety of industries, including business and consumer services, distribution, light manufacturing, retail and consumer products.
"We're excited to announce the closing of FdG Capital Partners II, our third pool of capital overall and the second institutional fund we've raised since our inception as a family-sponsored firm in 1995," said David S. Gellman, a managing director at FdG. "We appreciate the renewed support we have received from the investors in our first fund, as well as the trust put in us by our new limited partners who have helped broaden our investor base. We look forward to investing this new fund in compelling opportunities in our target segment at the lower end of the middle market, where we have established strong relationships and a reputation for partnering with successful entrepreneurs and business owners."
The fund has already made three investments. The first two were the recapitalizations of River Ranch Fresh Foods, LLC, a fresh produce processor and leader in the value-added, packaged fresh produce market in the United States, and Sunrise Windows Ltd., a manufacturer and distributor of custom vinyl windows and patio doors. In its most recent transaction, in partnership with management, the fund acquired The Hercules Tire & Rubber Company, a leading marketer and distributor of private label and branded tires.
"FdG does more than invest in a business: we focus exclusively on transactions in which we can partner with management to continue to expand their businesses," said Mark S. Hauser, a managing director at FdG. "We will continue to focus on finding companies that have strong leadership, best of breed business models and significant growth potential that we can work with management to realize."
Credit Suisse First Boston acted as the fund's placement agent and Kirkland & Ellis LLP served as legal advisor.
About FdG Associates
FdG Associates is a private investment firm providing equity capital to North American-based middle-market growth companies with sound businesses and unrealized potential. By building a partnership with management and offering creative problem solving and strategic, long-term planning focused around key corporate initiatives, FdG empowers companies to achieve their full growth potential and increase their equity value.
FdG will typically commit from $15 million to $50 million in equity to sponsor recapitalizations, management buyouts and growth-oriented capital investments in private and public companies. The deep and diverse experience of the firm's executive team enables FdG to pursue opportunities in the business and consumer services, distribution, light manufacturing, retail and consumer products sectors.
FdG is headquartered in New York, NY. For additional information, please visit www.fdgassociates.com