Tonka Bay Equity Partners’ third fund came in at $150 million, above its initial target.
The Minnetonka, Minn.-based PE firm had planned to raise $125 million for fund III, according to a statement. Instead, Tonka Bay collected $63 million in private capital and, through the SBIC, leveraged the pool to $150 million, says Cary Musech, a Tonka Bay managing principal.
Tonka Bay didn’t use a placement agent, he says. Marketing began in February. “It went extremely quickly,” Musech says of the fundraising. Tonka Bay ended up turning away some investors, he says.