Pamlico Capital has held a final close of Pamlico Capital III, LP with total commitments at the upwardly revised hard cap of $650 million. This is the firm’s first fund as a fully independent firm, and with an initial target of $500 million, was significantly oversubscribed.
Pamlico Capital was formerly known as Wachovia Capital Partners and was spun out in March 2010 as a independent firm from Wells Fargo Bank, which had acquired Wachovia Bank in 2008.
“Not only were we oversubscribed, but we raised the capital in a relatively short period of time, a testament to the quality of our team, our strong and consistent record and our sound investment strategy,” said Pamlico Managing Partner Scott Perper. “As with previous funds, Pamlico’s partners are committing significant capital to Fund III, firmly aligning us with the interests of our limited partners. The close of our first fund as an independent firm is a notable milestone for Pamlico, and I’d like to thank our limited partners, especially all our returning investors, for their commitment to Fund III and their trust in our firm.”
The new fund’s limited partners include all of the outside institutional investors from the firm’s second fund. Some of the institutional investors in Pamlico Capital III include AlpInvest Partners, Constitution Capital Partners, GE Pension Trust, HarbourVest Partners, affiliates of Hartford Investment Management Company, HOOPP Capital Partners (the private equity arm of the Healthcare of Ontario Pension Plan), John Hancock Financial Services, SCM Strategic Capital Management, AG and TIAA-CREF.
“We have been investors with Pamlico since 2007, and are pleased to once again invest with the firm,” said Marek Herchel, Partner, AlpInvest Partners. “As one of the world’s largest private equity managers, AlpInvest seeks to place capital with firms that have demonstrated consistently strong performance. We have long been impressed with Pamlico’s successful investment track record and the continuity of its management team, and anticipate this will continue to be a highly rewarding and mutually beneficial relationship.”
As with Pamlico’s previous funds, Fund III will seek equity investments of $25 million to $75 million in companies with total enterprise values of between $50 million and $250 million. Sectors of interest include business and technology services, communications, and healthcare. Pamlico Capital is based in Charlotte, NC (www.pamlicocapital.com).
“Collectively our team has decades of experience generating significant returns through partnering with talented managers to build great companies,” said Pamlico Managing Partner Eric Eubank. “We believe there is no substitute for the proven experience provided by a firm whose team has been investing together, in the same sectors, through numerous and varying economic cycles. As we invest Pamlico Capital III, we will pursue the same strategy we have successfully executed since inception, helping accelerate the growth of lower middle market businesses through active ownership.”
UBS Securities acted as placement agent for Pamlico. Robinson, Bradshaw & Hinson provided legal counsel.
© 2013 PEPD • Private Equity’s Leading News Magazine • 10-8-13
