TZP has raised $177 million for its third fund. TZP Growth Partners I LP will focus on business and consumer services companies with an annual EBITDA of less than $8 million. No placement agent was used for the fund.
New York, NY — June 17, 2015: TZP Group, LLC (“TZP”) is pleased to announce the final closing of TZP Growth Partners I, L.P. (“TZP Growth”), a private equity fund with $177 million in capital commitments. TZP Growth is the third fund raised by TZP, a New York-based private equity firm with over $550 million in committed capital in its first two funds. TZP Growth’s limited partners consist of existing TZP Capital Partners I, L.P. and TZP Capital Partners II, L.P. investors and several new institutional investors.
TZP Growth focuses on control investments in business and consumer services companies with annual EBITDA of less than $8 million and that require equity investments of less than $25 million. The firm targets companies with solid historical profitability and sustainable value propositions, and seeks to be a “Partner of Choice” for business owners and management teams. TZP Growth is focused on verticals where the firm’s investment professionals have significant operating and investing experience. The firm has already completed two such investments, including an investment in Envelopes.com, a leading ecommerce retailer of envelopes, customized stationery, and related products, and an investment in Family Entertainment Group, the leading outsourced designer, developer, and operator of family-oriented amusement facilities.
“We are thankful for the tremendous level of support we received from investors who are already a part of the TZP family and are thrilled at the addition of a prestigious group of new investors,” stated Sam Katz, Managing Partner and Founder. “The early completion of two investments validates the strategic decision we made to raise this fund. We look forward to leveraging our platform and the “Partner of Choice” brand we have established in the lower middle market on behalf of the investors in TZP Growth.”
Together with Sam Katz, TZP Growth is led by Partners, Rodney Eshelman and Bill Hunscher, as well as four other investment professionals from offices in New York and San Francisco. TZP did not use a placement agent for TZP Growth and Kirkland & Ellis LLP served as legal counsel in the formation of the fund.
About TZP Group LLC
TZP Group, a private equity firm with assets under management of more than $700 million across its family of funds, is focused on investments in U.S. based business and consumer services companies in the consumer, franchising, outsourced business and IT services, marketing and media services, travel and hospitality services, real estate services, and specialty finance sectors. Founded in 2007, TZP targets companies with solid historical profitability and sustainable value propositions and aims to be a “Partner of Choice” for business owners and management teams. TZP seeks to invest primarily in closely-held, private companies where the owners desire to retain a significant stake and partner with an investor with complementary operating and financial skills to accelerate company growth, increase profitability, and maximize the value of their retained stake. TZP leverages its investment professionals’ operating and transaction experience to provide strategic and operational guidance, and is dedicated to long-term value creation. For more information, please visit www.tzpgroup.com.