Gauge Capital has held a final closing of Gauge Capital II LP at the fund’s hard cap of $500 million. The new fund was oversubscribed and the partners of the firm – Drew Johnson, Tom McKelvey, and Whitney Bowman – are the largest investors in the oversubscribed fund.
Gauge Capital invests from $10 million to $40 million in North American-based companies that have $5 million to $30 million of EBITDA. Typical transaction types include buy-outs, recapitalizations, divestitures, privatizations, consolidations, and growth capital investments. Sectors of interest include healthcare services, business services, consumer and food. The firm will consider both majority and minority investments.
Gauge Capital currently has five portfolio companies: Miami Beach Medical Group, a provider of at-risk primary care through seven medical clinics located in Florida and based in Miami Beach, was acquired in January 2017 (www.miamibeachmedicalgroup.com); Infosoft Group, a provider of regulatory compliance and recruitment services based in Milwaukee, was acquired in December 2016 (www.localjobnetwork.com); Beauty Industry Group, a supplier of professionally installed hair extensions
and other beauty and lifestyle products based in Salt Lake City, was acquired in June 2016 (www.beautyindustrygroup.com); Teachers of Tomorrow, a Houston-based provider of online and in-person training to individuals pursuing a career in teaching, was acquired in December 2015 (www.teachersoftomorrow.org); and Wireless Vision, the largest T-Mobile retailer in the United States with over 260 T-Mobile stores in 16 markets, was acquired in August 2015. The company is based in the Detroit suburb of Bloomfield Hills (www.wirelessvision.com).
Harken Capital and Campbell Lutyens were the placement agents for this fundraise.
Gauge Capital was co-founded in 2013 by Managing Partners Drew Johnson and Tom McKelvey and is based near Dallas in Southlake, TX (www.gaugecapital.com). The firm’s inaugural fund, Gauge Fund LP, closed in October 2014 at its hard cap with $250 million of capital commitments.
© 2017 Private Equity Professional | March 29, 2017