Trivest closes two new private equity funds

Trivest Partners (Trivest) has held the final closings of the Trivest Growth Investment Fund II (TGIF II) and the Trivest Discovery Fund with USD435 million and USD235 million of total capital commitments, respectively. 

Raised concurrently, TGIF II and the Trivest Discovery Fund represent Trivest’s sixth and seventh funds focused exclusively on founder/family-owned investments. Significant support from both Trivest’s existing investor base and select new investors contributed to a streamlined and efficient fundraise. TGIF II and the Trivest Discovery Fund include a diversified mix of limited partners including endowments, corporate and public pensions, insurance companies, funds of funds, family offices and individuals, including nearly 40 founders and CEOs of former Trivest investments. In addition, Trivest professionals have committed to invest substantial capital in the new funds.

Trivest provides “Private Equity for Founders” across the US and Canada. Trivest has refined a disciplined strategy focused on investing in high quality, growth-oriented, lower middle market businesses. Trivest actively employs unique deal sourcing techniques, including its “Just Say No” program, and systematic “Path to 3x” value creation process to drive investment returns for its investors. In 2019, the Firm enjoyed its most active year in its nearly 40-year history, investing in 46 founder-owned businesses, deploying over USD200 million of capital, adding 15 members to its growing team and opening three new offices. Last year, Trivest was also honoured by Inc Magazine as one of the leading private equity firms for founder-owned businesses.

Trivest Discovery Fund, with USD235 million of capital commitments, is a new strategy focused on investments in smaller platform founder/family-owned companies, specifically those with less than USD4 million in EBITDA. The Fund intends to invest in fragmented industries, then leverage Trivest’s ability to create value through add-on acquisitions.

The Firm believes this investment focus provides significant opportunities to create value in an untapped segment of the private equity marketplace. The Fund’s strategy is distinct among private equity firms, as a recent market study by Trivest shows only a handful of other firms are pursuing platform investments in similar, small-cap businesses.

“With a differentiated sourcing platform and proven ability to add value to its portfolio partners, Trivest is well-positioned to invest in the lower end of the middle-market. The Discovery Fund is a great fit for founders who are interested in accelerating the growth of their organisations, especially through accretive M&A,” says partner Russ Wilson, who leads Trivest's control investment strategies along with co-heads Jorge Gross and Forest Wester.

TGIF II is Trivest’s second fund focused on non-control investments in founder/family-owned businesses. Trivest has successfully invested TGIF I, a USD225 million fund raised in 2016, filling an underserved market within the private equity landscape. With USD435 million in capital commitments, TGIF II provides Trivest with the opportunity to expand the Firm’s reach and capabilities to even more founder/family-owned businesses in the US and Canada.

“Trivest’s transparent approach to non-control investing has resonated greatly in the founder and family-owned business community. With TGIF II, we look forward to expanding our impressive portfolio of fast-growing businesses and helping more companies get to the next level with Trivest’s time-tested value enhancement initiatives known as the Path to 3x,” says partner Jamie Elias, who leads Trivest’s non-control investment activity.

“We are extremely excited for our future at Trivest,” says Troy Templeton, Trivest’s Managing Partner. “This fundraising shows that Trivest’s truly differentiated strategy is working. With three unique investment approaches now under the Trivest brand, the breadth of solutions we can provide to founders is extensive. We look forward to continued growth as we begin this new decade.”