GMB Mezzanine Capital has closed the firm’s third fund, GMB Mezzanine Capital III, LP, with commitments of just more than $270 million. The closing was above the target and included a mix of limited partners including large institutional investors, regional and national banks, family offices and high net worth individuals.
“We are very grateful for the confidence and support of our limited partners. The appeal of the mezzanine investment class and the opportunities offered by our middle-market focus and well-developed sponsor relationships resonated with many investors,” said Mike McHugh, Partner at GMB.
The firm’s two earlier funds invested a total of $507 million in 66 portfolio companies from 2005 through the end of 2015. Fund III will invest from $3 million to $25 million in subordinated debt and non-control equity in lower middle-market companies that have enterprise values under $200 million. GMB invests across a range of industries making them effectively industry agnostic. GMB is headquartered in Minneapolis (www.gmbmezz.com).
GMB assists private equity sponsors in buyout transactions, their portfolio companies’ growth capital and acquisition needs, and recapitalizations. “The GMB team looks forward to supporting our private equity partners in their merger and acquisition efforts,” said Cully Olmanson, Partner.
GMB Mezzanine Capital III, LP is licensed by the US Small Business Administration as a Small Business Investment Company and is the third SBIC formed and managed by the principals of the GMB.
© 2016 PEPD • Private Equity’s Leading News Magazine • 1-11-16