Trinity Hunt has held a final closing of its first Continuation Fund with $618 million of capital commitments. The new fund will support the acquisitions of Improving and Argano, two technology services companies, from Trinity Hunt Partners V LP.
Improving is an IT services and consulting company that provides technology consulting, training, and development services from 16 locations in the United States, Canada, and Mexico. Plano, Texas-headquartered Improving was co-founded in 2007 by CEO Curtis Hite and acquired by Trinity Hunt in July 2018.
Argano is a provider of digital consultancy services with specific capabilities in commerce, billing, enterprise resource planning, supply chain, human capital, analytics, reporting and performance management. The Dallas-headquartered company is led by CEO Chip Register and was acquired by Trinity Hunt in May 2021.
The Continuation Fund’s investor group is led by StepStone Group and Schroders Capital, with additional commitments from both new and existing Trinity Hunt limited partners. In addition to capital used for the acquisition of Improving and Argano, the new fund also includes capital allocated for follow-on investments in the two companies as needed for add-on acquisitions or other uses.
“We seek to partner with best-in-class sponsors to create solutions for their highest quality assets, and this transaction is a great example of both,” said Adam Johnston, a partner at StepStone. “We’re excited to build on our partnership with Trinity Hunt in a transaction that will support these two companies in their continued value creation.”
“The closing of our first continuation fund is an important milestone for Trinity Hunt,” said Blake Apel, a managing partner at Trinity Hunt. “We are extremely proud of the success that these two leading companies have achieved thus far in our partnerships together, and the attractive returns we have been able to provide to our existing investors. We believe there is additional value at these companies that can be unlocked with additional time and capital.”
London-headquartered Schroders Capital has $75 billion of assets under management and is an active investor in private equity, real estate, secondaries, venture capital, infrastructure, securitized products and asset-based finance, and insurance-linked securities.
“We are very excited to expand our partnership with Trinity Hunt and these two exceptional companies,” added David Guryn, a senior investment director at Schroders Capital.
StepStone has $137 billion of assets under management and is an active investor in private equity funds, secondary transactions, co-investments, and private debt. The firm has 23 worldwide offices and is headquartered in New York City.
Dallas-based Trinity Hunt invests in founder and family-owned companies that have EBITDA between $4 million and $25 million. Sectors of interest include business services, industrial growth, non-cyclical consumer products, and healthcare services. In September 2021, Trinity Hunt held a final closing of its sixth fund, Trinity Hunt Partners VI LP, with an oversubscribed $460 million of capital commitments. The new fund exceeded its initial target of $400 million and closed at its hard cap.
© 2022 Private Equity Professional | October 25, 2022