CHARLOTTE, N.C. – Capitala Group, a private markets investment firm focused on lower middle-market companies, announced the successful close of its latest fund at $1.0 billion in commitments, exceeding its initial target due to strong institutional demand. The fund includes leverage and separately managed accounts, reinforcing Capitala’s ability to deliver flexible private credit and private equity capital solutions to U.S. small businesses.
Expanding Capital Support for Small Businesses
Capitala invests both debt and equity capital into family-owned, entrepreneur-led, and independent sponsor-backed companies, providing non-control growth capital. With a flexible investment mandate, the firm can act as a one-stop financing partner for small businesses. Capitala currently has over $300 million of equity-focused commitments available for co-investment alongside its debt capital.
Investor and Banking Partner Growth
Joe Alala, III, Founder and CEO of Capitala Group, stated:
“We are thrilled to conclude this round of fundraising, which was oversubscribed and far exceeded our initial target due to strong institutional demand. Reaching $1 billion in commitments is a major achievement for our firm, reflecting the strength of our platform and the trust placed in us by investors. We have also added 42 new bank partners to our platform during this fundraise, expanding our network to 79 banking partners who fuel our proprietary origination strategy and give us a competitive edge in sourcing high-quality investment opportunities.”
Flexible Capital Solutions for Lower Middle-Market Businesses
Capitala’s unitranche first-lien loans and equity co-investments provide customized financing solutions to help entrepreneurs, independent sponsors, and family-owned businesses achieve growth objectives. The firm’s bespoke approach helps bridge the financing gap often faced by lower middle-market companies, ensuring access to tailored capital solutions.
By partnering with businesses across diverse industries, Capitala continues to play a pivotal role in economic growth, supporting companies with the resources and financial flexibility they need to succeed.