Capital Dynamics, an independent global asset manager, has held the final close of Mid-Market Direct IV (MMD IV), the firm’s latest co-investment fund. MMD IV was oversubscribed relative to its initial target of USD350 million and closed with USD383 million in capital commitments.
MMD IV, which began investing in early 2016, has deployed over 25 percent of its capital and has built a strong initial portfolio of seven mid-market investments to date, providing investors with broad diversification across industries and geographies.
“This is our largest co-investment fund to date, which demonstrates the strong interest received from our investors,” says David Smith, Co-head of Co-investment at Capital Dynamics. “It significantly exceeds the capacity of its predecessor fund and the extensive experience of the team – some of us have been working together for over 25 years – perfectly positions Capital Dynamics to execute its proven global mid-market direct investment strategy that provides differentiated value to our investor base.”
MMD IV consists of new and existing investors, including pension funds, insurance companies, family offices and high net worth individuals across a diverse range of geographies including the United States, the Middle East, Asia and Europe.
Andrew Beaton, Co-head of Co-investment at Capital Dynamics, says: “As private markets appear to be increasingly frothy, MMD IV’s portfolio was built on a disciplined value-based approach to finding the highest quality transactions and we are committed to maintaining this strategy. We believe our approach is a differentiator that enables us to continue delivering strong risk-adjusted returns for our global partners.”