New State Capital Partners, a private equity fund, has closed its third institutional investment fund, New State Capital Partners Fund III LP with $450 million in committed capital. The fund was over-subscribed and closed on schedule at its hard cap in about four months after the official launch.
Fund III’s investors are comprised of a global group of public and private pension funds, consultants, endowments, foundations, funds of funds, and family offices. New State completed the fundraise of its second institutional fund in March 2018 with $255 million of capital commitments and currently has $1.2 billion in assets under management.
“We are grateful to our existing and new investors for their strong interest in the New State Capital Partners team,” said David Blechman, founder and senior principal of New State. “We have plenty of capacity to pursue our core strategy: investing in great middle market companies, thinking like entrepreneurs, backing independent sponsors, and showing up with resources for our partners.”
With fund III, New State can invest up to $100 million in equity per transaction. The firm targets investments in the business services, industrials, and consumer sectors. Since its founding in 2013, New State has invested in 27 companies including 14 platform investments. Recent investments include Mako, a provider of services to the self-storage industry; Klein Hersh, an executive search firm focused exclusively on the life sciences and healthcare industry; and KMS, a resellers of closeout consumer products in the U.S.
M2O Private Fund Advisors LLC acted as New State’s placement agent, while Kirkland & Ellis LLP provided legal counsel.