L Catterton has closed its third North American growth fund, L Catterton Growth Partners III, LP (LCGP III), with $615 million of commitments. The fund was oversubscribed and received support primarily from existing investors but also added a number of new international investors.
The closing of LCGP III follows the formation of Catterton’s January 2016 partnership with LVMH and Groupe Arnault to create L Catterton. This new investment partnership combines Catterton’s North American and Latin American private equity operations with LVMH and Groupe Arnault’s existing European and Asian private equity and real estate operations, currently conducted under the L Capital and L Real Estate franchises. L Catterton is 60% owned by the partners of L Catterton and 40% jointly owned by LVMH and Groupe Arnault.
LVMH, more formerly known as LVMH Moët Hennessy Louis Vuitton SE, is a European multinational luxury goods conglomerate, headquartered in Paris. The company was formed in 1987 through the merger of fashion house Louis Vuitton and champagne and cognac producer Moët Hennessy. LVMH has 60 subsidiaries that each manage a small number of prestigious brands. Christian Dior, the luxury goods group, is the main holding company of LVMH, owning 41% of its shares, and 59% of its voting rights. Bernard Arnault, majority shareholder of Dior, is Chairman of both companies and is also the CEO of LVMH.
“We are delighted to close our third and largest North American growth fund, and thank our dedicated and loyal limited partners for their commitment to L Catterton,” said Michael Farello, Managing Partner of L Catterton Growth. “L Catterton is the clear leader in global consumer investing and our focus remains on partnering with entrepreneurs and great executives to develop high-growth companies.”
LCGP III, like Catterton’s earlier funds, will invest between $10 million and $50 million of capital in consumer-focused companies growing at double or triple digit rates. Areas of specific interest include food and beverage, retail and restaurants, consumer products and services, consumer health, and media and marketing services. L Catterton has 120 investment and operating professionals in 18 offices. The firm was founded in 1989 and is headquartered in Greenwich, CT (www.cpequity.com).
“This is an exciting time to be investing in consumer growth as old consumer categories are being re-imagined and new consumer categories are being created,” said Jonathan Owsley, Managing Partner of L Catterton Growth.
Prior to combining with L Capital to form L Catterton, Catterton’s previous two North America-focused growth funds were Catterton Growth Partners II which closed in September 2013 with $420 million of capital and Catterton Growth Partners which closed in April 2008 with $316 million in capital.
© 2016 Private Equity Professional • 2-11-16