HKW, a middle-market private equity firm focused on growth-oriented companies, has held the final closing of HKW Capital Partners V (HKW V) with total commitments of USD365 million. Launched in September 2017, HKW V exceeded its original USD350 million target.
Commitments to HKW V came from a diverse group of both existing and new investors, including institutional investors, insurance companies, state pension plans, family offices, high net worth individuals, and foundations and endowments. As with its predecessor funds, HKW V will focus on investments in middle-market growth companies with a target EBITDA of USD5-USD30 million. HKW will seek to invest in growth-oriented companies with talented management teams in the United States and Canada, targeting small- to mid-size companies in the Business Services and Health & Wellness sectors.
“We thank the many investors who have put their trust in HKW to continue meeting their high expectations,” says Ted Kramer, President and CEO at HKW. “In particular, having previous investors continue supporting our partnership is an important validation of our strategy and approach.”
“HKW V will be a continuation of our efforts to identify outstanding businesses with meaningful growth potential, led by talented and partnership-oriented management teams,” adds Jim Snyder, Partner at HKW. “Seeking to ensure that the interests of all parties are aligned from the start allows us to focus on the best possible outcome for the company, our investors, and for HKW.”
HKW has completed five investments from Fund V – GCR, Certified Tracking Solutions, Indigo Wild, Urban Armor Gear, and Fresh Direct Produce. HKW V is the successor fund to HKW IV, a USD319 million private equity fund that began investing in 2012.
Kirkland and Ellis LLP served as counsel for HKW Fund V.
Thomas Capital Group served as placement advisor and financial advisor for HKW Fund V.