Chicago-Based May River Capital Sets Up Massive $300 Million Sophomore Fund

By Amit Chowdhry ● Dec 11, 2019
  • Chicago-based May River Capital announced that it raised $300 million for its sophomore fund called May River Capital Fund II, LP.

Chicago-based private equity investment firm May River Capital LLC announced that it has raised $300 million for its sophomore fund called May River Capital Fund II, LP. After a three-month fundraising process, the fund held a single closing during which it accepted $300 million in limited partner subscriptions, which was the target size of the fund.

Demand for May River Fund II substantially exceeded its target size. May River Capital had received capital commitments from a group of renowned limited partners, including university endowments, insurance companies, charitable foundations, fund-of-funds, family offices, and high-net-worth individuals.

May River Capital’s founding partners Chip Grace, Steve Griesemer, and Daniel Barlow along with the firm’s Executive Resource Group also made significant capital commitments to the fund.

“We are thankful for the strong support of our investors and are excited to continue our strategy of investing in high-caliber, lower middle-market, industrial growth businesses,” said Grace.

The fund will continue May River Capital’s focus on investing in lower middle-market industrial businesses with strong management teams and the potential for significant growth and value enhancement.

“We are fortunate to have a skillful and dedicated team behind us and look forward to partnering with talented executives throughout Fund II,” added Barlow.

Ever since May River was founded in February 2012, the firm has closed and managed seven investment platforms as well as 10 add-on acquisitions. And in 2019, the firm successfully completed two exits.

“We are pleased with the reception we received from such a well-respected group of new and existing institutional investors and look forward to continuing those relationships,” explained Griesemer.

M2O Private Fund Advisors acted as placement agent and Winston & Strawn LLP provided legal counsel for the fund.