U.S. private equity firm Swander Pace Capital, which has its Canadian office in Toronto, has closed its sixth fund, SPC Partners VI LP, at US$510 million. Fund VI, which will sustain the firm’s long-standing investment focus on mid-market consumer products companies in North America and the United Kingdom, exceeded its initial target of US$400 million. Swander Pace is an active investor in Canada, counting a number of domestic businesses in its portfolio. They include Voortman Cookies Ltd, a manufacturer of cookies and wafers acquired by the firm last year. Swander Pace’s Toronto office, opened in 2009, is led by Principal Valerie Scott.
Swander Pace Capital Closes Oversubscribed Sixth Fund at $510 Million
Firm’s Largest Fund to Date Exceeds Initial Target of $400 Million
San Francisco and New Jersey (September 7, 2016) – Swander Pace Capital, a leading private equity firm specializing in investments in consumer products companies in North America and the United Kingdom, has closed SPC Partners VI, L.P. at $510 million. The fund exceeded its initial target of $400 million with commitments almost exclusively from existing investors. Swander Pace’s prior fund, SPC Partners V, L.P., closed in 2013 with commitments of $350 million.
Swander Pace will invest Fund VI utilizing its consistent strategy developed over 20 years of consumer products investing. Fund VI will continue the firm’s focus on middle-market consumer products companies where the firm can implement its playbook of strategic and tactical growth and value-creation initiatives.
“We’d like to thank our investors for their overwhelming support that allowed us to raise this fund quickly and almost exclusively from existing investors,” said Andrew Richards, founder and managing director at Swander Pace Capital. “Their enthusiasm for our strategy and track record allowed us to exceed our target in a smooth and quick fundraising process.”
Swander Pace, led by managing directors Andrew Richards, Mark Poff, Mo Stout, Corby Reese, Rob DesMarais and Heather Smith Thorne, began fundraising in mid-April with an initial target of $400 million. The firm exceeded that target with a first close of $450 million in June, and final commitments in mid-August to round out the fund at $510 million.
“I’m extremely proud of our investment team, our limited partners, and the great companies and executives we’ve been fortunate to partner with throughout the past 20 years,” added Richards. “Their success is our success, and we are excited to continue to build on our long history of collaboration in the consumer space.”
The healthy fundraise comes on the heels of a robust period of successful exits and new acquisitions for Swander Pace. In the past 18 months, the firm has had a number of high-profile exits, including: the sale of Renew Life Formulas to The Clorox Company, the sale of Merrick Pet Care to Nestle Purina, and the sale of Applegate Farms to Hormel Foods. During that time period, Swander Pace also acquired two platforms in the vitamin, mineral, and supplement category – Swanson Health Products and Captek Softgel International – as well as Voortman Cookies, a premier manufacturer of cookies and wafers.
“We are thankful for the short fundraising process achieved with the support of our limited partners,” said Mark Poff, managing director at Swander Pace Capital. “As a result, we are able
to stay focused on partnering with family-run and entrepreneurially-driven consumer businesses and working closely with our management teams to drive revenue growth and operating improvements.”
Providing its investments with active collaboration and a unique mix of financial and strategic support since 1996, Swander Pace has invested in over 45 companies with aggregate revenues in excess of $3 billion.
About Swander Pace Capital
Swander Pace Capital is a leading private equity firm specializing in investments in growth-oriented, middle-market consumer products companies in North America and the United Kingdom. For the past 20 years, Swander Pace Capital has pursued a consistent strategy of investing in consumer products companies with leading market positions in attractive, defensible niches. With cumulative equity commitments of approximately $1.8 billion, and staff in San Francisco; Bedminster, N.J.; and Toronto, Ontario, Swander Pace Capital provides portfolio companies with a unique mix of financial, strategic, and tactical support to create long-term value. For more information, visit www.spcap.com.
LANE (on behalf of Swander Pace Capital)
LANE (on behalf of Swander Pace Ca
Photo courtesy of Voortman Cookies Ltd