- Porchlight execs talking to potential LPs
- New fund to target consumer, business services
- Hired H.I.G. Capital exec earlier this year
Highland Consumer Partners, which made growth investments in the consumer sector, rebranded to Porchlight Equity earlier this summer and has been talking to limited partners about its next fund, according to a person with knowledge of the situation.
Porchlight could target $250 million to $300 million for its first fund under its new name, the person said.
Porchlight, Wellesley, Massachusetts, changed its name from Highland Consumer Partners Management Co. on June 16, Porchlight’s Form ADV says. Highland Consumer was affiliated with Highland Capital Partners; it’s not clear if there is still a relationship.
The firm focuses on consumer, including products, food and beverage, e-commerce, health and wellness and personal care, and business services, including process outsourcing, education and training, human capital services, IT, logistics and marketing and information services.
Highland Consumer raised its first fund in 2007 on $300 million. Highland Consumer Fund I was generating a negative 4.8 percent net internal rate of return and a 0.7x multiple as of Dec. 31, 2016, according to California Public Employees’ Retirement System.
Porchlight is led by Peter Cornetta, senior managing director, who formerly was managing general partner of Highland Consumer Partners. Prior to Highland, Cornetta was a managing director at H.I.G. Capital, where he worked from 2003 to 2012, according to his LinkedIn profile.
In February, Highland Consumer hired Mike Phillips, a former managing director at H.I.G. Capital, where he’d worked since 2004. Prior to H.I.G., Phillips was a consultant with Bain & Co. Phillips is a senior managing director at Porchlight Equity.
Porchlight’s executive group also includes Managing Director David Krauser, who worked at Highland Consumer Partners since 2007.
No one at Porchlight returned a request for comment to a general email address. Emily Vigeant, head of investor relations and marketing at Highland Capital Partners, did not respond to a request for comment.
Action Item: Check out Porchlight’s Form ADV here: https://adviserinfo.sec.gov/IAPD/Part2Brochures.aspx?ORG_PK=162662
Photo of Peter Cornetta, senior managing director of Porchlight Equity, courtesy of the firm.