KPS Capital Partners closed two of its funds with a combined $9.7 billion in capital following institutional investor buy-in to the New York firm’s special situations strategy.
KPS Special Situations Fund VI saw commitments from:
- Oregon Public Employees’ Retirement Fund: $150 million
- South Carolina Retirement System: $100 million
- New Mexico State Investment Council: $100 million
- New Mexico State Investment Council: $100 million
- Louisiana State Teachers’ Retirement System: $75 million
- Pennsylvania State Employees’ Retirement System: $75 million
- Los Angeles City Employees’ Retirement System: $40 million
KPS Mid-Cap Fund II saw capital flows from:
- Massachusetts Pension Reserves Investment Management Board: $75 million
- New Mexico State Investment Council: $50 million
- South Carolina Retirement System: $25 million
- Pennsylvania State Employees’ Retirement System: $25 million
- ; Los Angeles City Employees’ Retirement System: $20 million
- Texas County & District Retirement System: $10 million
Fund VI and Mid-Cap Fund II were oversubscribed with aggregate capital commitments over 36% greater than their predecessor funds with $7.1 billion in aggregate capital commitments.
The Fund VI investment team will be managed by Co-Managing Partners Michael Psaros, David Shapiro and Raquel Palmer, and Partners Jay Bernstein, Ryan Baker, Kyle Mumford and Rahul Sevani, who together lead a team of experienced and talented professionals.
“We have $13.6 billion of equity capital to invest across our KPS platform today,” said Palmer, who is also head of the KPS Investment Committee. “We raised Fund VI and Mid-Cap Fund II at precisely the right time, in precisely the right market and look forward to aggressively capitalizing on the immense investment opportunity to come.”
KPS Capital Partners’ funds are buyout strategies targeting industrial and manufacturing businesses headquartered in North America and Western Europe.
Mid-Cap Fund II invests in the lower end of the middle market that generally require less than approximately $200 million of initial equity capital. KPS Mid-Cap targets the same type of investment opportunities and utilizes the same investment strategy that KPS’ flagship funds have for over 25 years. The Mid-Cap Fund II investment team is led by Partners Pierre de Villeméjane and Ryan Harrison.
The KPS Special Situations Funds have approximately $21.6 billion of assets under management. Kirkland & Ellis served as legal counsel to Fund VI and Mid-Cap Fund II.
