Emerald Lake Capital Management, a Santa Monica-based private equity firm focused on North American industrial and services companies, has held the final close of its latest fund at 825 million dollars, surpassing both its original $500 million target and its initial hard cap of 750 million dollars.
The fund was heavily oversubscribed, securing 800 million dollars from unaffiliated limited partners alongside approximately 25 million dollars from its general partner and affiliated investors. The raise brings Emerald Lake’s total committed capital to approximately 2 billion dollars since its founding in 2018.
The fund attracted a mix of returning investors from prior Emerald Lake vehicles and new institutional investors from North America and Europe. It will continue the firm’s strategy of partnering with experienced executives to source proprietary investments in founder-owned companies, with a focus on the industrial and services sectors. Emerald Lake has completed ten platform investments to date and four exits, including Electrical Source Holdings, Inno-Pak, MBO Partners, and US Salt.
The firm is led by founder and Managing Partner Dan Lukas, a former partner and investment committee member at Ares Management, and Partner Russell Hammond, who spent fifteen years at the Ontario Teachers’ Pension Plan where he led direct investments in industrials and business services. PJT Park Hill served as exclusive placement agent and Kirkland & Ellis acted as legal counsel.
KEY QUOTES:
“We are grateful for the strong support from our limited partners, with investors representing the majority of our prior capital coming into the Fund, as well as the high quality additional limited partners who are investing with us for the first time. The success of this fundraise reflects the strength of our team, the continuity of our differentiated strategy, and the relationships we have built over many years with executives, founders, and investors.”
Dan Lukas, Managing Partner, Emerald Lake Capital Management
