Sterling Group closes Fund V on $2bn

The majority of the fund's capital came from returning investors. Sterling Group focuses on corporate carve-outs and family businesses.

The Sterling Group closed its fifth fund on $2 billion in about four months. The majority of the fund’s capital came from returning investors. Sterling Group focuses on corporate carve-outs and family businesses. Sterling Group closed Fund IV on $1.25 billion in 2015.

Press Release

The Sterling Group, an operationally focused middle market private equity firm, announced the closing of Sterling Group Partners V, LP (together with its parallel fund, “Fund V”). Fund V was oversubscribed and closed at its $2.0 billion hard cap in approximately four months.

The majority of Fund V’s capital was committed by returning investors. Sterling welcomes several new investors that expand the firm’s Limited Partner base in the United States, the Middle East and Asia. “The Sterling team is grateful for the continued support of our long term investing partners, particularly in the midst of an extremely difficult market environment,” said Franny Jones, Managing Director, Investor Relations. “The demand for Fund V is a result of Sterling’s hands-on, operational approach to transforming industrial businesses and our firm-wide commitment to continuous improvement in all aspects of our business.”

Consistent with Sterling’s successful history over four decades, Fund V will primarily target corporate carve-outs and family businesses. The firm emphasizes its operational approach in partnership with management teams to grow and improve its portfolio companies. Sterling’s partner group, including Greg Elliott, John Hawkins, Brian Henry, Scott MacLaren, Gary Rosenthal, Brad Staller, and Kent Wallace, have a collective 100-plus years working at Sterling.

Sterling’s previous fund closed in 2015 with $1.25 billion of investor commitments. Kirkland and Ellis served as legal counsel for Fund V. Sterling did not utilize a placement agent.

About The Sterling Group

Founded in 1982, The Sterling Group targets controlling interests in basic manufacturing, distribution and industrial services companies. Typical enterprise values of its initial platform companies range from $100 million to $750 million. Sterling has sponsored the buyout of 56 platform companies and numerous add-on acquisitions for a total transaction value of over $17 billion. Currently, Sterling has over $4 billion of assets under management. For further information, please visit www.sterling-group.com.

Past performance is no guarantee of future results and all investments are subject to loss.

SOURCE The Sterling Group