CAI Capital Partners nabs more than C$45m in Fund VII’s first close

• CAI’s sixth fund closed in 2020 with C$125 million in commitments
• In conjunction with the first close, Fund VII wrapped up its debut deal
• Midwestern Electric, a Fund VI portfolio company backed in 2021, acquired Kuharchik Construction and Wyoming Electric & Signal

CAI Capital Partners has held the first closing of its seventh private equity fund, CAI Capital Partners VII, raising more than C$45 million from new and returning investors. The fund’s target was not disclosed.

CAI’s sixth fund closed in 2020 with C$125 million in commitments.

In conjunction with the first close, Fund VII wrapped up its debut deal. Midwestern Electric, a Fund VI portfolio company backed in 2021, acquired Kuharchik Construction and Wyoming Electric & Signal, together an Exeter, Pennsylvania-based electrical infrastructure services provider focused on the maintenance and installation of traffic signals, streetlights and intelligent transport systems.

Kuharchik is led by Robert Bresnahan Jr, who has retained a meaningful equity stake in the combined business and will continue managing operations in Pennsylvania.

Debt financing for the deal was provided by CIBC and BMO.

On Fund VII’s first close, Tracey McVicar, a partner at CAI, said in a statement, “We are grateful to our new and returning investors for their support of Fund VII. Fundraising in general is challenging right now, but it is in periods like this that great fund vintages are launched. We’re proud of our team for posting such a strong start to Fund VII.”

Based in Vancouver, CAI invests in founder-owned lower mid-market businesses in Canada and the US. Over three decades, the firm has deployed C$1.6 billion of equity capital.

CAI was advised on the Midwestern-Kuharchik deal by Cooley, PwC Canada, Marsh McLennan, Ramboll, Kroll, and Unisource Services. CAI’s Fund VII legal advisor is Lawson Lundell.