After launching in late-October, middle market private equity firm American Industrial Partners (AIP) has announced the first and final closing of American Industrial Partners Capital Fund V, LP (Fund V) at USD700 million, excluding the GP commitment of USD17.5 million. AIP exceeded its target of USD500 million and closed at its hard cap with broad support from both existing and new investors.
AIP secured commitments from a globally diversified investor base with approximately 15% of total commitments coming from new capital outside of North America. Fund V is composed of leading endowments (30%), insurance companies (26%), fund of funds/gatekeepers (24%), and pensions/sovereign wealth funds (20%).
Fund V will seek to acquire control positions in North American headquartered industrial companies with sales ranging from USD100 million to USD500 million.
“We are proud of and grateful for the close partnership AIP enjoys with its investors, portfolio company managers, and lenders and we are extremely pleased with the high caliber new US and international investors who have joined the partnership” said Kim Marvin, a Managing Partner at AIP. “Our AIP team is heavily weighted toward engineers and operators focused on supporting transformative operating improvements at industrial companies. In the current macroeconomic environment we are seeing many unique investment opportunities that benefit from a combination of operational expertise coupled with the intelligent deployment of new capital.”
New York based MVision Private Equity Advisers served as global placement agent for Fund V. “MVision provided seamless execution throughout our fundraise and managed the process in the most efficient and innovative way possible. The current quarter was a busy one for AIP as we simultaneously pursued two acquisitions and two exits in addition to raising Fund V. MVision’s expert management of the fund raise allowed the AIP team to focus on our transactions.” said Kim Marvin.
Simpson Thacher & Bartlett LLP served as legal counsel to AIP during the fundraise.
