Firm raising $100M fund
The capital management arm of a local investment banking firm is on its way to raising a $100 million fund.
Grand Rapids-based Charter Capital Partners closed $21 million in commitments toward its target raise of $100 million for its Charter Growth Capital Fund, according to the firm today.
Anchor investors in the fund include Mercantile Bank of Michigan and a strategic institutional investor, as well as several family offices and individual investors, according to Charter.
“Our ability to secure this initial close demonstrates confidence that investors support our vision and investment thesis,” said Hector Bultynck, managing director, Charter Capital Partners.
“We look forward to delivering top-tier returns to our investors via a unique vehicle that complements their current portfolio of investments.”
Charter Growth Capital Fund
The Charter Growth Capital Fund is designed to invest up to $5 million of mezzanine debt and/or equity capital in lower middle-market companies in the Great Lakes region to support growth, succession or recapitalizations.
The fund’s flexible capital solution is meant to fill an underserved market, providing capital in the “difficult-to-access” $1 million-$5 million range, Charter said.
The fund will focus primarily on business services, distribution, health care, industrial services and manufacturing companies.
The Charter Growth Capital Fund is cultivating potential portfolio companies while fundraising and expects to announce its first investment before the end of the third quarter of 2019.
Charter Capital Partners
Founded in 1989, Charter Capital Partners offers investment banking and private capital investing advisory services, including buy-side and sell-side mergers and acquisitions, succession planning, business valuation and capital raise.
Charter Private Capital Management, launched more than a decade ago, is the registered investment adviser arm of the firm, managing numerous venture capital funds and private investment vehicles, including the Michigan Accelerator Fund I, MAF Opportunity Fund, Charter Growth Capital Fund and multiple special purpose entities.
The firm’s private capital arm has made more than 40 investments and sourced, financed and managed more than $220 million in private capital.