Tecum Capital has launched a new control equity buyout platform, Tecum Equity Partners III.
The entity is a committed pool of capital backed by Western Allegheny Capital, a family office focused on control equity acquisitions.
The nature of the platform allows for a longer term time horizon and a business friendly approach to ownership transitions and successions.
“Partnering with Western Allegheny adds a new dimension to our investment focus and an additional stable source of capital for our team,” says Stephen J Gurgovits, Jr, managing partner of Tecum Capital Partners. “As a family office platform, we have no specific investment horizon and can take a long-term approach to building value in the companies we acquire.”
The target size investment for Tecum Equity Partners III is lower and middle-market companies with an annual cashflow of USD2 million to USD7 million, with flexibility to consider other opportunities.
“Our family office and extended network offers significant operational experience in the industrial, manufacturing and distribution sectors,” says Gurgovits. “We’ll leverage that expertise to provide strategic guidance and operational improvements to our portfolio companies.”
Tecum Equity Partners III will generally invest USD5 million to USD20 million per investment with the ability to take larger amounts as necessary. This entity will work separately from Tecum Capital Partners II, the newly launched USD225 million SBIC fund, which provides mezzanine debt financings and minority equity capital.
Tecum Capital is a multi-strategy investment group, focused on investments in the Midwest, Southeast and Mid-Atlantic regions. It supports independent sponsors, family offices, private equity funds and management teams to facilitate recapitalisations, buyouts, generational transitions, acquisitions, and other growth capital needs.