Prospect Partners Advisors, LLC (“Prospect”) is pleased to announce the successful closing of PP III Continuation Fund, L.P. (the “Fund”), led by New 2ND Capital and its affiliated funds. The Fund was formed to provide fresh capital and additional time to support the growth of the seven remaining portfolio companies of Prospect Partners III, L.P. (“Fund III”), as well as to offer liquidity to existing limited partners. The Fund also provides Prospect with additional capital to complete new investments.
The Fund is fully committed and is capitalized primarily by funds advised by New 2ND Capital and certain of its co-investors, as well as by funds advised by Adams Street Partners and Abbott Capital Partners. Prospect offered existing Fund III limited partners the opportunity to roll the value of their existing investment into the Fund or receive full liquidity.
“We are very pleased with the outcome of the transaction, which provides us with additional capital and time to continue pursuing growth opportunities within the portfolio as we seek to maximize the value potential of the companies. We are thrilled to welcome New 2ND Capital, Adams Street Partners, and Abbott Capital Partners as LPs, and we are looking forward to partnering with them and continuing to serve our limited partners. The Fund also helped us meet the objectives of our existing Fund III investors by providing them the option to obtain near-term liquidity for their investments or remain involved in the continuation vehicle,” said Erik Maurer, Partner of Prospect.
The Fund’s portfolio companies are representative of Prospect’s long-lasting focus on partnering with successful managers of high potential, pre-middle market businesses in growth-oriented recapitalizations, platform build-ups, carve-outs, and generational transitions. The Fund is led by Erik Maurer, Brad O’Dell and Brett Holcomb, who have approximately 50 years of combined experience in the pre-middle market.
M2O Private Fund Advisors served as exclusive financial advisor to Prospect and Kirkland & Ellis LLP served as legal counsel to Prospect. Ropes & Gray served as legal counsel for New 2ND Capital.
About Prospect Partners
Founded in 1998, Prospect Partners is an active investor and builder of pre-middle market companies with $2-8 million of EBITDA and $10-75 million of revenue at investment. Prospect focuses on partnering with management teams to complete recapitalizations, build-ups, carve-outs, and generational transitions. The Prospect team brings deep domain expertise building high potential companies through both operational improvements and acquisitions. For more information, please visit www.prospect-partners.com
About New 2ND Capital
New 2ND Capital is an innovative private equity firm which invests in middle market companies through GP led secondaries transactions, including continuation funds and fund restructurings. New 2ND Capital has over $1 billion assets under management per December 31, 2021. The firm is currently investing its second fund. For more information, please visit www.new2ndcapital.com
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SOURCE Prospect Partners