Kingswood Capital Management has held a final closing of Kingswood Capital Opportunities Fund II LP (Fund II) with over $620 million of capital commitments. The new fund closed above its original $450 million target and $600 million hard cap.
Limited partners in Fund II include endowments, foundations, family offices, insurance companies, pension plans, and funds of funds from across North America, Europe, Asia, and Australia.
In January 2021, Kingswood’s earlier fund, Kingswood Capital Opportunities Fund I LP, closed at its hard cap with $230 million of capital. With the closing of Fund II, Kingswood now has total capital under management of more than $1 billion.
“We are grateful for the continued support from our existing limited partners as well as the new investors who embraced Kingswood’s differentiated investment strategy,” said Alex Wolf, the managing partner and founder of Kingswood. “We are humbled by the confidence our partners have entrusted in us and believe the success of this fundraise is a testament to the quality of our team, our operational value-add, and the strength of our track record.”
Los Angeles-headquartered Kingswood makes control equity investments of up to $75 million in North American-based companies that have revenues from $100 million to $500 million and have positive, negative, or break-even EBITDA. Kingswood’s sectors of interest include business, government, and healthcare services; consumer and retail; energy and industrials; technology, media and telecommunications; and value-added distribution.
In November 2022, Kingswood acquired Turbo Wholesale Tires, a designer, supplier, and wholesaler of proprietary and third-party branded tires. The company is headquartered near Los Angeles in Irwindale, California, and stocks more than one million tires in its more than 500,000 sq. ft. of warehouse space. Kingswood partnered with the founding Sepetjian family on this transaction.
“We are excited to continue investing and creating value in middle market businesses,” said Kingswood Partners Michael Niegsch and Jim Renna in a released statement. “We take pride in delivering speed, certainty, and flexible solutions to the marketplace, as well as our strategy of making good companies great through access to capital, good governance, and the application of the right operating resources.”
Kingswood used Lazard as its placement agent for Fund II and Kirkland & Ellis provided legal services.
© 2023 Private Equity Professional | January 18, 2023
