Industrial Opportunity Partners LLC said July 11 that it’s third fund raised $450 million, surpassing its $400 million target. Investors of Industrial Opportunity Partners III LP include university endowments, foundations, insurance companies, pension plans, and funds-of-funds. IOP, of Evanston, invests in middle-market manufacturing and distribution businesses with revenues typically between $30 million and $350 million. Park Hill Group LLC and Sidley Austin LLP served as placement agent and legal counsel, respectively, to Fund III.
Evanston, Ill. – July 11, 2017: Operations-focused private equity firm Industrial Opportunity Partners, LLC (“IOP”), of Evanston, Ill., today announced the closing of its third fund, Industrial Opportunity Partners III, L.P. (“Fund III”), with $450 million of committed capital.
IOP held a single close on June 30, 2017, achieving its hard cap for Fund III after a three-month fundraising process, and exceeding Fund III’s original target of $400 million. Investors include university endowments, foundations, insurance companies, pension plans, and funds-of-funds.
Founded in 2005, IOP focuses on acquiring and overseeing middle-market manufacturing and valueadded distribution businesses with revenues typically between $30 million and $350 million. IOP primarily targets North American businesses with strong product, customer, and market positions.
IOP is differentiated by its operating resources led by its dedicated, full-time Board of Operating Principals – a cadre of executives, each with over 25 years of experience, who guide and assist management teams in stabilizing, enhancing, and growing the value of their businesses.
“We are pleased to have completed raising Fund III so quickly and with such strong demand,” said Kenneth M. Tallering, Senior Managing Director of IOP. “We appreciate the support and confidence of our investors, and we look forward to the opportunity to create value in our Fund III portfolio companies.”
“We believe the talents of our team continue to resonate with our investors and enable IOP to pursue and create value in a broad spectrum of investment situations,” said IOP Senior Managing Director Robert M. Vedra. “Further, we believe that IOP’s Board of Operating Principals has been a key factor in creating value in our portfolio companies and providing consistency in our returns to investors.”
IOP’s inaugural fund, Industrial Opportunity Partners, L.P. (“Fund I”), totaled $185 million of committed capital and was raised in 2006 and 2007. Fund I has completed 11 platform investments, seven add-on acquisitions, and seven realizations. IOP’s second fund, Industrial Opportunity Partners II, L.P. (“Fund II”), totaled $275 million of committed capital and was raised in 2012. Fund II has completed 11 platform investments, two add-on acquisitions and two realizations. The portfolio companies serve a variety of end markets, including transportation, construction, agriculture, building products, packaging, and general industrial.
Park Hill Group LLC and Sidley Austin LLP served as placement agent and legal counsel, respectively, to Fund III. For more information, visit IOP’s website at www.iopfund.com.