Capital Alignment Partners Secures $375 Million for CAP Funds IV, Targeting Lower-Middle Market Growth

NASHVILLE, Tenn. and NEWPORT BEACH, Calif. – June 8, 2023 – Capital Alignment Partners (“Capital Alignment Partners” or “CAP”) has announced the successful closing of its fourth fund, CAP Funds IV, with $375 million in capital commitments. This achievement underscores Capital Alignment Partners’ continued success and investor confidence in its focused investment strategy.

Consistent with its preceding three funds, Capital Alignment Partners IV will deploy both debt and equity capital into lower-middle market companies across high-growth sectors. These sectors include healthcare, business services, manufacturing, and light industrial services, reflecting Capital Alignment Partners’ deep sector expertise and targeted approach to value creation.

Burton Harvey, Founder and Managing Partner at Capital Alignment Partners, expressed gratitude for the strong support from investors. “We are incredibly appreciative of our existing investors, as well as the new investors who have committed to CAP Funds for the first time. The ongoing support from the SBIC program is also critical to our mission, and we are proud to be a part of this initiative,” Harvey stated.

CAP Funds IV has already made significant strides, completing two platform investments in strategic sectors. In 2022, Capital Alignment Partners partnered with entrepreneur Doug Markham to acquire a leading home care business with operations in Texas and Tennessee. Additionally, the fund invested in an environmental and industrial cleaning business based in Ohio, with a strong regional presence throughout the Midwest. These initial investments highlight Capital Alignment Partners’ proactive approach and ability to identify and support promising businesses.

Looking ahead, Capital Alignment Partners remains committed to its proven investment strategy. This strategy centers on supporting management teams in executing growth initiatives, emphasizing both organic expansion and strategic tuck-in acquisitions to build market-leading platforms. In the current economic climate, Capital Alignment Partners is also strategically positioned to provide debt capital solutions to management teams seeking flexible financing options amidst tightening credit markets. The firm’s ability to offer flexible debt structures is particularly valuable as traditional senior lenders reduce credit availability.

About Capital Alignment Partners

Headquartered in Nashville, TN, with a West Coast office in Newport Beach, CA, Capital Alignment Partners is a leading investment firm focused on providing tailored debt and equity solutions to lower middle-market companies. Since its inception in 2009, Capital Alignment Partners has concentrated on healthcare, business services, manufacturing, and light industrial services sectors. The firm’s investment professionals manage over $590 million of committed capital across its funds and bring extensive experience navigating diverse economic and credit cycles. To date, Capital Alignment Partners has completed 29 platform investments and supported over 75 tuck-in acquisitions for its portfolio companies, demonstrating a consistent track record of fostering growth and value creation.

For further information about Capital Alignment Partners, please visit www.capfunds.com or reach out to the team members listed below.

SOURCE Capital Alignment Partners