Evolution Managers Capital (EMC), an investor in emerging private equity firms, has made its first investment in newly-formed Conanicut Capital.
Boston-based Conanicut Capital is led by Jared Paquette and makes control and growth investments in business services companies with $3 million to $15 million of EBITDA. Service sub-sectors of specific interest include human capital management, outsourced services, business process outsourcing, and environmental & engineering services. Prior to founding Conanicut Capital earlier this year, Mr. Paquette was a principal with Bunker Hill Capital and earlier in his career he held positions at Nautic Partners and Weston Presidio.
EMC was formed in October 2019 by Chicago-based HC Private Investments (HCPI) and Boston-based family office Landon Capital Partners (LCP), to provide financial backing and support to lower-middle market private equity managers. EMC commits up to $50 million in equity in each firm and partners with select family offices to make direct co-investments – on a deal by deal basis – in transactions originated by the private equity firms in its portfolio. EMC is led by John Kelly and Matthew Moran, both are managing partners at HCPI, and Chris Sullivan, a managing partner at LCP.
“I am thrilled to welcome Evolution Managers as a strategic partner,” said Mr. Paquette. “John, Matt and Chris’ backing and confidence in Conanicut will enable us to execute on the tremendous opportunities in the business services space and identify exceptional service-based companies that have historically lacked the necessary strategic resources to realize their full potential.”
“We are delighted to partner with Jared Paquette, a highly experienced and successful investor, to launch Conanicut Capital, the first firm on the Evolution Managers platform. We have known Jared for years and have admired his track record and disciplined approach to investing in the lower-middle market,” said Messrs. Kelly, Moran and Sullivan in a released statement. “We look forward to bringing the full resources of EMC to bear in supporting the launch and growth of talented and emerging investment managers.”
HCPI makes investments between $5 million and $30 million in consumer and industrial manufacturing companies ranging in size from $10 million to $100 million in enterprise value. HCPI’s investments can take the form of control equity, growth equity, structured equity and junior debt. HCPI was formed in June 2017 by HC Technologies, a Chicago-based financial trading firm, and is led by its founder and chairman Joseph Niciforo, and managing partners John Kelly and Matthew Moran. Mr. Kelly was previously a Vice President with The Tokarz Group Advisers and Mr. Moran was a Vice President at Wind Point Partners.
Landon Capital Partners is the direct private equity investment group of the Landon family and invests in lower middle-market companies that have from $5 million to $20 million of EBITDA. Sectors of interest include healthcare services, business services, niche manufacturing, food, and beverage. The firm was founded in 2015 and has offices in Boston and London.
© 2020 Private Equity Professional | March 10, 2020