Swander Pace Capital has closed SPC Partners VI, LP, with $510 million of capital commitments. The fund exceeded its initial target of $400 million. Swander Pace’s prior fund, SPC Partners V, LP, closed in 2013 with commitments of $350 million.
“We’d like to thank our investors for their overwhelming support that allowed us to raise this fund quickly and almost exclusively from existing investors,” said Andrew Richards, Founder and Managing Director at Swander Pace Capital. “Their enthusiasm for our strategy and track record allowed us to exceed our target in a smooth and quick fundraising process.”
Swander Pace invests in middle-market consumer products companies including branded and non-branded manufacturers, marketers, and distributors that sell through a range of retail and institutional channels. The firm generally targets companies that have up to $400 million in revenues. Swander Pace was founded in 1996 and has offices in San Francisco; Bedminster, NJ; and near Toronto in Oakville, ON (www.spcap.com).
Swander Pace – led by managing directors Andrew Richards, Mark Poff, Mo Stout, Corby Reese, Rob DesMarais and Heather Smith Thorne – began fundraising in mid-April with an initial target of $400 million. The firm exceeded that target with a first close of $450 million in June, and received final commitments in mid-August to round out the fund at $510 million.
The closing of Fund IV comes on the heels of a period of successful exits and new acquisitions for Swander Pace. In the past 18 months, the firm has had a number of high-profile exits, including: the sale of Renew Life Formulas to The Clorox Company, the sale of Merrick Pet Care to Nestle Purina, and the sale of Applegate Farms to Hormel Foods. During that time period, Swander Pace also acquired two platforms in the vitamin, mineral, and supplement category – Swanson Health Products and Captek Softgel International – as well as Voortman Cookies, a manufacturer of cookies and wafers.
“We are thankful for the short fundraising process achieved with the support of our limited partners,” said Mr. Poff. “As a result, we are able to stay focused on partnering with family-run and entrepreneurially-driven consumer businesses and working closely with our management teams to drive revenue growth and operating improvements.”
© 2016 Private Equity Professional • 9-7-16