NewSpring, a family of private equity strategies, has held the final close of its fourth mezzanine fund, NewSpring Mezzanine Capital IV (NSM IV). In total, the Fund raised USD364.3 million, making it the largest mezzanine fund the Firm has raised to date.
NewSpring Mezzanine provides a wide range of flexible mezzanine debt and equity solutions, combined with deep operational expertise for growing lower-middle market companies in resilient, expanding industries.
NSM IV provides an option to invest in a Small Business Investment Company (SBIC) Fund, NewSpring’s fifth SBIC license, and received strong support from existing and new investors, including a diverse group of banks, insurers, public plans, financial institutions, and individuals.
“For investors, this Fund gives them the exciting opportunity to actively participate in the growth of lower-middle market businesses that are transforming our modern economy,” says Steve Hobman, NewSpring General Partner. “We’re thrilled by their support, which enables us to build on the existing momentum of this strategy.”
The Fund has considerable momentum with investments in sectors where NewSpring Mezzanine has significant experience, like manufacturing and business services. With deep relationships in the lower-middle market and a stable, consistent team, NewSpring has the operational advantage to deploy capital in all economic environments. And with the economy at an inflection point, NSM IV will continue to capitalise on the growing demand for flexible capital.
“As a result of the pandemic, many lower-middle market companies are seeking working capital that can help them weather economic downturns and fuel their next phase of growth,” says Andrew Panzo, NewSpring General Partner. “Combined with our team’s operational expertise, the Fund is well-positioned to create positive outcomes for business owners and investors. Our deal flow pipeline remains strong, and we’re excited to continue this momentum.”
NewSpring Mezzanine recently added to its operational experience roster with the addition of Joe DeLuca, NewSpring Operating Partner and industry veteran with significant experience serving as a Board member, CEO, CFO, and COO for several growing companies. This addition allows the team to remain focused on value creation and further meet portfolio companies’ needs in a wide array of markets.
