Court Square Capital Partners has closed its fifth flagship fund at approximately $3.8bn, significantly exceeding its $3bn target and marking the largest vehicle in the firm’s history, according to a report by the Wall Street Journal.
Fund V comfortably surpassed its fundraising goal despite a broadly difficult capital-raising environment for private equity sponsors, particularly across the mid-market segment.
The New York-based firm, which traces its origins to Citigroup’s former private equity platform, said the strong outcome reflected broad-based institutional support and a continued focus on its long-established investment strategy targeting cash-generative, founder- and family-owned businesses.
Investors in the new fund include public pension systems such as the Minnesota State Board of Investment and the Los Angeles Fire and Police Pensions.
A significant driver of fundraising momentum was Court Square’s relatively active realisation activity in recent years, with the firm returning capital through a combination of exits and dividend recapitalisations. Between 2022 and 2024, the manager completed 17 exits and 15 recap transactions, distributing approximately $7.4bn to investors.
The firm has continued to realise portfolio companies into 2026, including recent sales of portfolio assets such as Kodiak Building Partners and Golden State Medical Supply.
Court Square has already deployed capital from Fund V into six investments across its core sectors, including healthcare and business services, as it continues to focus on mid-market companies with stable cash flows and growth potential.
