Fulcrum Closes Third Fund
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Fulcrum Closes Third Fund

Fulcrum Equity Partners has held a final closing of the firm’s third fund, Fulcrum Growth Fund III LP, with $203 million in committed capital, significantly above the original target of $125 million. The new fund received support from its existing base of investors that includes many current and former CEOs and also added a number of new institutions to its limited partner base.

Fulcrum invests from $3 million to $20 million in companies that have revenues of $3 million to $75 million and are based in the Southeast.  Sectors of interest include healthcare, healthcare IT, software and SaaS, and technology-enabled services. Fulcrum was founded by Jeffrey Muir, Partner; Thomas Greer, Partner; and Frank Dalton, Partner. The firm closed its second fund in January 2013 with capital commitments of $93 million, surpassing its target of $75 million. The firm’s first fund was raised in 2006 and had $40 million of capital.

“The Fulcrum team is excited about the opportunity we see in the market to deploy Fund III. We have already closed investments in four portfolio companies with a fifth company under signed letter of intent,” said Mr. Muir. “The larger fund enables us to be a stronger financial partner to help entrepreneurs take promising growth stage businesses to the next level through both capital infusion as well as operating experience.”

Fulcrum closed its second fund in January 2013 with capital commitments of $93 million, surpassing its target of $75 million. The firm’s first fund was raised in 2006 and had $40 million of capital.

The first four Fund III portfolio companies are: Synthio (June 2017), an Atlanta-based business-to business data as a service company that automates the cleansing, standardization, and synthesis of data to make it actionable for immediate use (www.synthio.com); Dropoff (May 2017), an Austin-based technology enabled provider of same-day and last-mile delivery services (www.dropoff.com); iHealth (June 2016), a Louisville-based provider of revenue cycle management services (www.ihealthinnovations.com); and CarePlus Management (September 2016), an Atlanta-based provider of anesthesia management and recruitment services to ambulatory surgery centers (www.careplusmp.com).

Bright Harbor Advisors (www.brightharboradvisors.com) served as Fulcrum’s placement agent for this fundraise. “Prospective investors recognized Fulcrum as a compelling opportunity to back a proven team that has known and worked together for over 20 years. Limited partners were attracted to the team’s deep operating experience, unique deal sourcing and consistent strong returns,” said Brett Nelson, Managing Partner of Bright Harbor. “As a result, investors were interested in the fund, highlighted by demand far outpacing the original target raise.”

Fulcrum is based in Atlanta with an additional office in in St. Petersburg, FL. With the closing of Fund III, the firm will open a third office in Chapel Hill, NC this fall (www.fulcrumep.com).

© 2017 Private Equity Professional | July 31, 2017

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