PE HUB Wire Highlights, 10.31.19


private equity, mergers, M&A

Emerging manager fundraising sluggish, but May River should be oversubscribed

Happy Thursday!

New(ish) shopMay River Capital is a firm getting a lot of chatter from LPs. The firm was formed in 2012 by three guys: ex-Valor Equity executive Dan Barlow; ex-Wynnchurch exec Chip Grace; and former Baker McKenzie Partner Steve Griesemer.

May River closed its debut fund in 2017 on $170 million. The firm is back in market raising Fund II, which one source expects will be oversubscribed. Check out my story here for the particulars.

The Chicago firm targets lower middle market industrial businesses, mostly founder-owned, where May River will represent the company’s first institutional capital.

Early funds: Emerging managers have had a sluggish year of raising capital, though certain firms that have accomplished management teams can still fairly quickly attract capital. So far, emerging managers have raised about $45.1 billion, according to Buyouts data.

Other newer shops out in the market include Gallant Capital Partners, formed by two ex-Gores Group executives; and Crest Rock Partners, targeting around $400 million, formed by ex-Marlin Equity execs.

Have you heard of other new shops out there raising capital? I want to know about them. I’m compiling my first-time (or second) funds chart for December and can use some recommendations of newbies out there looking for capital. Reach me at cwitkowsky@buyoutsinsider.com.

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