The Sterling Group, a middle market private equity firm based in Houston, Texas, has closed on USD1.25 billion in investor commitments for its most recent fund, Sterling Group Partners IV.
Fund IV was oversubscribed and reached its hard cap in three months. Consistent with Sterling's successful 33-year history, Fund IV primarily will target corporate carve-outs and family businesses in the industrial sector of the middle market.
The substantial majority of Fund IV's capital was committed by returning investors. Sterling welcomes a select number of new investors.
"The Sterling team is pleased by the significant demand for Fund IV and the strength of our partnership with our investors," says Kevin Garland (pictured), a Partner with The Sterling Group, "Sterling's hands-on, operational approach to transforming industrial businesses has generated strong returns throughout a variety of market cycles. We intend to continue to execute and improve upon this strategy in Fund IV to produce top tier results for our investors."
Sterling targets manufacturing, distribution and industrial service businesses generally with USD100 million to USD500 million in total enterprise value. The firm emphasises its strong operational approach in partnership with management teams to grow and improve industrial businesses. Sterling's partner group of Gary Rosenthal, John Hawkins, Kevin Garland, Greg Elliott, Kent Wallace and Brian Henry collectively has 90 years working at Sterling.
Paul, Weiss, Rifkind, Wharton & Garrison LLP served as legal counsel. Sterling did not utilise a placement agent.
