Kinderhook racks up $1.11 bln for sixth fund

That total included $1 billion in commitments plus $111 million from the GP.

Kinderhook Industries closed its sixth fund at $1.11 billion. That total included $1 billion in commitments plus $111 million from the GP. The fund’s backers included domestic and international endowments, foundations, family offices and pensions. Kinderhook invests in the lower-middle market, targeting healthcare services, environmental/business services and automotive/light manufacturing sectors.

Press Release

Kinderhook Industries, LLC (“Kinderhook”) today announced the final closing of its sixth, and largest, private equity investment fund, Kinderhook Capital Fund VI, L.P. (together with its parallel fund, “Fund VI”). The oversubscribed fund closed at its hard cap of $1.0 billion in Limited Partner commitments plus $111.0 million from the General Partner, Operating Partners and Affiliates. Fund VI brings Kinderhook’s total committed capital to over $3.1 billion.

Kinderhook’s investors are comprised of leading domestic and international endowments, foundations, family offices, pensions and other institutional capital bases.

“Kinderhook remains focused on the same disciplined, replicable and value-oriented approach to investing in the lower middle market; targeting the healthcare services, environmental / business services and automotive / light manufacturing verticals. Fund VI will employ the same investment philosophy and management-focused strategy that has been the cornerstone of the firm’s success,” said Tom Tuttle, Managing Director at Kinderhook.

Chris Michalik, Managing Director at Kinderhook, remarked, “We are excited to continue to invest in the lower middle market on behalf of our expanded investor base and continue our success in building dominant companies in market niches. Consolidation has played an important part in our success; across our 58 portfolio companies, we have completed 169 follow-on investments. Once built, these companies have proven to be attractive targets to strategic buyers, with 26 of our 34 realizations sold to strategics.”

Rob Michalik, Managing Director at Kinderhook, commented, “We received tremendous support from our longtime limited partners who have been investing with Kinderhook for over a decade and from new limited partners who embraced Kinderhook’s strategy. We are very grateful for the conviction and support from the limited partner community. In particular, we would like to thank our extensive operating partner network that not only manages and supports our portfolio companies, but also made a significant capital commitment to Fund VI. Our ability to raise Fund VI is a true testament to the strength of our team, the consistency of our investment strategy and our successful track record.”

Kirkland & Ellis LLP is Kinderhook’s fund counsel and served as legal adviser on the Fund VI capital raising campaign. Evercore Group LLC acted as the exclusive placement agent for Fund VI.

About Kinderhook Industries

Founded in 2003, Kinderhook Industries, LLC is a private investment firm that manages over $3.1 billion of committed capital. We have made in excess of 225 investments and follow-on acquisitions since inception. Kinderhook’s investment philosophy is predicated on matching unique, growth-oriented investment opportunities with exceptional financial expertise and our proprietary network of operating partners. Our focus is on middle market businesses with defensible niche market positioning in the healthcare services, environmental / business services, and automotive / light manufacturing sectors. We have a track record of successfully and consistently building industry leaders. For more information please visit: