Banner Capital Management, LLC has closed a multi-asset continuation fund, Banner Capital Fund I, with over $400 million in capital commitments, and simultaneously launched its second fund, Banner Capital Fund II, targeting $200 million. The dual announcement marks a strategic step forward for Banner in scaling its lower middle market investment platform. 

Fund I was formed to acquire interests in eight pre-fund portfolio companies, providing additional time and capital to each firm while offering partial liquidity to early investors. Funds managed by Hamilton Lane served as lead investor, with many of Banner’s pre-fund investors retaining meaningful stakes in the portfolio via participation in the new vehicle. 

“This transaction gives us the time and resources to further support our portfolio companies and reward our early investors with interim liquidity,” said Tanner Ainge, founder & CEO of Banner. 

Following the close of Fund I, Banner launched Banner Capital Fund II—a lower middle market buyout fund focused on founder- and family-owned businesses in the Intermountain West. Banner held an initial closing to support its acquisition of Western Pavement Services, with participation from the Larry H. & Gail Miller Family Foundation and other legacy LPs. A traditional first close is planned for Q4 2025. 

As of the closing of the Fund I transaction, Banner has $653 million in assets under management. 

Banner was advised by Harris Williams as financial advisor and Kirkland & Ellis LLP as legal counsel. Hamilton Lane was advised by Debevoise & Plimpton LLP.