Resilience Capital Partners, a private equity firm focused on buying and improving lower mid-market companies in a broad range of industries, has completed the final close of its third fund with $222.5 million of committed capital.
Fund III exceeded its target of $200 million through the participation of a global institutional investor base that includes pension funds, insurance companies, foundations and endowments, fund of funds, wealth managers and investment consultants.
Resilience specializes in helping businesses emerge from fatigued ownership or lending relationships, over-leveraged balance sheets and a variety of special situations such as turnarounds, restructurings or corporate divestitures. The firm invests in niche-oriented manufacturing companies and business services companies located in the Midwestern and Mid-Atlantic United States with sustainable market positions and a clear path to cash flow improvement to guide them through a cyclical downturn, an adverse credit situation or ownership transition.
"We are very pleased to complete our fundraising for Fund III and receive commitments from some of the world's most respected private equity investors. The confidence they have placed in us is a testament to the results we have generated since founding the firm in 2001," said Bassem Mansour, co-CEO of Resilience. "We believe businesses will survive and thrive if they are properly capitalized with both human and performance-improvement capital."
"Our team generates results through a roll-up-the-sleeves approach that transforms good companies into more profitable and successful enterprises," said Steve Rosen, co-CEO of Resilience. "We invest in what we know - the lower middle-market in the heartland of America - and draw on a deep bench of operating expertise to enhance a company's cash flow, competitive positioning and prospects.
Fund III's capital comes from a variety of sources including pension funds, insurance companies, foundations and endowments, fund of funds, wealth managers and investment consultants. Approximately 60 percent of the fund's capital was provided by investors domiciled in the U.S., with the remainder from investors domiciled in Europe and the Caribbean.
Fund III currently has three platforms in place including North Coast Minerals (industrial minerals and silica sands); WT Hardwoods Group (hardwood lumber and flooring); and Thermal Solutions Manufacturing (heavy-duty heat exchange components). Resilience expects to build a portfolio of 10 to 12 platform companies in Fund III that participate in a range of manufacturing, business services and distribution industries.
Griffin Financial Group and Jones Day served as placement agent and legal counsel, respectively, to Resilience for Fund III.