HCAP Partners, a California-based private equity firm, has closed its second SBIC (small business investment company) fund, HCAP Partners V LP. The fund received total commitments of $353 million, exceeding its initial target by over 40 percent.
The fund will continue the firm’s strategy of investing in businesses in the lower middle-market and implementing its Gainful Jobs Approach, a program looking to measure and improve job quality standards throughout its portfolio. The firm is investing capital from the fund with a focus on healthcare, software, and services industries.
“We are grateful for the confidence placed in us by both our returning and new investors,” comments Tim Bubnack, managing partner of HCAP Partners. “This backing is a reflection of the strong team we have built and all of their hard work supporting the success of our portfolio companies. The new funding enables HCAP to continue providing creative and flexible deal structures to growth-stage companies. As a leading impact investor, we are excited about expanding our portfolio and providing not only capital solutions but also our expertise to companies in our target markets.”