The Denver-based private equity firm maintains focus on lower middle market investment strategy for its third fund, exceeding the $350 million target in under six months.
Platte River Equity (“Platte River”) announced today the successful closing of its third private equity investment fund, Platte River Equity III, L.P. (“Fund III”). Platte River launched fundraising in June of this year with an initial target of $350 million and closed Fund III at its hard cap of $405 million.
Platte River’s investor base is comprised of a diverse group of institutional investors, including endowments, pension funds, private foundations, funds of funds, family offices and high net worth individuals. The firm’s principals are the largest collective investor in each of Platte River’s funds, having committed in excess of $100 million since the firm’s inception.
“We are pleased with the continued support from our existing investors and the strong interest from additional leading institutional limited partners,” said Platte River Founder and Managing Director Lanny Martin. “The long-term growth trends for each of our industries of focus remain compelling, and we believe our operationally-oriented approach to creating value will continue to deliver attractive returns for our investors in Fund III and beyond.”
Platte River’s team of experienced, successful operators and investors differentiates the firm in its three target sectors: (i) aerospace and transportation, (ii) energy and industrial services and (iii) chemicals, metals and industrial minerals. Platte River focuses on equity investments from $10 million to $50 million in lower middle market operating companies with enterprise values generally between $20 million and $250 million, as well as strategic add-on acquisitions. Platte River manages funds with committed capital in excess of $700 million.
Capstone Partners served as exclusive placement agent for Fund III, and Bartlit Beck Herman Palenchar & Scott LLP provided legal counsel.