Riverwood targets $1.5 bln for core fund and LatAm sidecar

  • Firm: Riverwood Capital
  • Fund: Riverwood Capital Partners III/Riverwood Capital Partners LatAm
  • Target: $1.25 bln/$250 mln
  • Amount Raised: N/A
  • Placement Agent: Park Hill Group

Riverwood Capital is targeting $1.25 billion for its third flagship fund and $250 million for a sidecar focused on investments in Latin America, according to a person with knowledge of the firm and SEC filings.

The total capital is $1.5 billion. Riverwood Capital Partners III and Riverwood Capital Partners LatAm are in market now and are expected to hold a first close soon, the person said. Riverwood filed Form D fundraising documents with the SEC on July 31 without listing a target or an amount raised. 

Park Hill Group is placement agent. 

No one from Riverwood returned a request for comment.

Riverwood, formed in 2008, invests in growth businesses in global technology, technology-enabled and related industries, including in financial services, consumer and services sectors, according to its Form ADV.

The firm managed about $1.7 billion on a discretionary basis and around $1.9 billion on a non-discretionary basis as of Dec. 31, 2017, the Form ADV said.

The firm raised $1.25 billion for its second fund in 2014 and $780 million for its debut in 2011. Fund I was generating a 24.3 percent net internal rate of return and a 1.9x multiple as of Dec. 31, 2017, performance information from California Public Employees’ Retirement System shows.

Performance for Fund II could not immediately be found.

Riverwood is led by the executive committee, composed of Founding Partners Christopher Varelas, Thomas Smach, Francisco Alvarez-Demalde and Jeffrey Parks.

Investment decisions for the existing funds are made by the investment committee, made up of Founding Partners Varelas, Smach, Alvarez-Demalde, Parks, Michael Marks and Nicholas Brathwaite, the Form ADV said.

In July, Riverwood invested $50 million in Series D funding in Greenhouse, which provides talent-acquisition software used by companies like Buzzfeed, J.D. Power and Warby Parker.

Action Item: Check out Riverwood’s Form ADV here: https://bit.ly/2M5kWGW