K2 Capital Raises Fund Targeting Lower Middle Market
K2 Capital Partners held the final closing of its debut fund on February 27, 2015. Investors in K2 Capital Partners include leading investment institutions, family offices and high net worth individuals.
K2 Capital Partners is targeting well-established, profitable lower middle market companies with sales between $10 million and $40 million operating in growing industries. The firm’s strategy is to focus on smaller businesses which fall below the investment parameters of most investment firms, and offer a successful exit path for business owners. K2 Capital Partners will invest in businesses that can benefit from the firm’s significant capital base, deep industry relationships, and substantial operational resources. It will target a broad range of industries, including business services, healthcare services, online training, aerospace & defense, and technology-enabled services, among others.
“We are grateful for the tremendous level of commitment and support from our limited partners,” commented Kambiz Aghili, managing partner at K2 Capital Partners. “Our successful fundraise is a true testament to the strength of our team, disciplined sourcing strategy, extensive growth advisory track record, and experience executing transactions in the lower middle market.”
Gregoire Demory, managing partner at K2 Capital Partners, added, “Our firm is different from traditional private equity funds in that we seek to actively manage our acquired companies, with a long-term focus. We provide full-time, operational leadership to continue the business and create long-term value for shareholders, employees, customers, and the local community.”
The firm’s general partners, Kambiz Aghili and Gregoire Demory, are complemented by a team of 21 Limited Partners who have executed hundreds of successful investments and operated dozens of privately held companies.
Goodwin Procter LLP served as legal counsel in the formation of the fund.