Bernhard Capital near $1 bln target for sophomore fund

Bernhard Capital Partners is close to its $1 billion target for its second fund to invest in service providers to the energy and industrial sectors, according to a person with knowledge of the situation.

BCP Fund II is expected to close imminently, the person said. Metric Point Capital and Moelis & Co are placement agents on the fundraising.

Baton Rouge-based Bernhard had raised about $700 million as of the fall, Buyouts previously reported. The firm, formed in 2013 by the former CEO of Shaw Group, closed its debut on $750 million in 2016.

“They’re doing the construction and engineering and maintenance of things like power plants and refineries,” a source told Buyouts in a previous interview. “It’s not like they’re trying to time the cycle. If a company is building a new refinery, spending billions of dollars … those companies still need to service their assets; they still need to have maintenance work done, engineering work done.”

Last year, Bernhard said Claire Babineaux-Fontenot, a former executive vice president and global treasurer at Walmart, joined the firm as an operating partner, according to Greater Baton Rouge Business Report.

Jim Bernhard and Shaw’s management sold Shaw Group in 2013 to Chicago Bridge & Iron. Bernhard grew the company from a small pipe-fabrication business into a Fortune 500 energy services company, Bernhard’s website says.

Last month, Bernhard led an investor group in acquiring electrical contractor W.A. Chester from Exelon. Terms weren’t disclosed. Bernhard invested in W.A. Chester as part of its T&D services platform for investments in underground transmission and distribution services.

Action Item: Check out Bernhard’s Form ADV here: http://bit.ly/2pPsCRS

A section of downtown Baton Rouge is seen on July 16, 2016. Photo courtesy Reuters/Joe Penney