Northlane Capital Partners, a middle-market investor, has closed its spin-out from American Capital as a result of Ares Capital Corp‘s acquisition of American Capital. Northlane is currently managing American Capital Equity III LP, a $1 billion private equity fund. As part of the spin-out, ACE III’s limited partners bought American Capital’s commitments to the fund while Northlane assumed the management contract for it. ACE III’s name will also change to Northlane Capital Partners I LP.
BETHESDA, Md.–(BUSINESS WIRE)–Northlane Capital Partners, LLC (“NCP” or “Northlane”), an investment manager currently managing American Capital Equity III, L.P. (“ACE III”), a $1 billion private equity fund, announced that it completed its spinout from American Capital, Ltd. (“American Capital”) in connection with Ares Capital Corporation’s (Nasdaq: ARCC) acquisition of American Capital effective January 3, 2017. As part of the spinout, ACE III limited partners purchased American Capital’s commitments to ACE III and Northlane assumed the management contract for the fund. ACE III’s name will also change to Northlane Capital Partners I, L.P.
NCP is owned by the four partners who have managed ACE III since its closing in September 2014: Justin DuFour, Sean Eagle, Eugene Krichevsky, and David Steinglass. They will continue to be supported by the same six-person investment team and be based in Bethesda, MD.
“This spinout represents the culmination of a year-long effort to ensure continuity for our limited partners as American Capital went through its sale process and completed the acquisition by ARCC,” said Eugene Krichevsky, Partner, Northlane. “Our investors have been supportive throughout and provided the capital to facilitate a spinout transaction that was beneficial for all parties.”
Added Sean Eagle, Partner, Northlane, “The last twelve months have been very active for our team. While working on the formation of Northlane, we also exited a portfolio company, completed a new platform investment, and closed several add-ons for our portfolio companies. Our pipeline is robust and we expect this level of activity to continue into 2017.”
ABOUT NORTHLANE CAPITAL PARTNERS
Based in Bethesda, MD, NCP invests in control buyouts in middle market companies based in North America. We focus on three sectors: healthcare, outsourced business services, and industrial technology. We generally look for platform companies with EBITDA of $5 million to $30 million. For more information, please visit our website at http://www.northlanecapital.com/.