Graycliff Closes 5th Lower Mid-Market Buyout Fund at $600M

Graycliff Partners LP, a lower middle market buyout firm, closed its fifth private equity fund, Graycliff Private Equity Partners V at an oversubscribed hard cap of $600 million in limited partner commitments in a single closing.

The fundraise was completed in four months with support from both existing and new investors.

The fund will continue the firm’s strategy of making control buyout investments in lower middle market companies in the manufacturing, business services, and value-added distribution sectors.

The New York-based firm, which had been spun off from HSBC Capital in 2011, seeks to invest between $10 million and $50 million in each company, with target EBITDA of $4 million to $20 million.

“While the majority of the Fund’s capital was committed by existing institutional investors, the Fund also welcomed many new strategic limited partners including pension funds, endowments, insurance companies, and family offices,” noted Andrew Trigg, Graycliff’s Managing Partner.

The Private Capital Advisory group at William Blair & Company served as advisor and exclusive placement agent for the fundraise and Weil, Gotshal & Manges LLP provided legal services.