Both vehicles exceeded targets to expand Plexus’ platform within the U.S. lower middle market.
RALEIGH, N.C.–(BUSINESS WIRE)–Plexus Capital, LLC (“Plexus”), founded in 2005, today announced the final closings of Plexus Fund VII (“Fund VII”) and Plexus Equity Fund II (“Equity Fund II”) ahead of schedule and above initial fundraising targets. The new vehicles collectively include more than $1.3 billion of total capital and represent a continuation of Plexus’ 20-year history partnering with profitable, lower middle market businesses based in the United States.
Fund VII raised $977 million of total capital (including fund-level leverage), surpassing its target of $750 million in a fundraise that spanned five months from first to final closing. The fund continues Plexus’ structured capital strategy investing debt accompanied by equity ownership in profitable companies with $10 – $100 million of revenue and $2 – $12 million of EBITDA. Consistent with its predecessor structured capital funds, Fund VII is expected to partner with independent sponsors, search funds, private equity groups, and management teams to enable small business growth.
Separately, Equity Fund II was oversubscribed and reached its hard cap, raising $345 million against a target of $250 million in a fundraising process that lasted three months between first and final closings. The fund is the second vehicle raised for Plexus’ control buyout strategy, which launched in 2021 and follows a thesis-based approach to sourcing, acquiring, and building value in companies primarily operating in business and essential services industries. Equity Fund II seeks to deploy $15 – $40 million of equity per investment.
“Plexus is proud of the long-term relationships built with our investors and portfolio company management teams, as well as the culture we’ve established over our 20-year history, which centers on transparency, accountability, and following through on our commitments,” said Alex Bean, Plexus Partner. “Combined with our disciplined investment approach and track record across market cycles, this partnership mentality seemed to resonate with our investors in a challenging fundraising environment. We are grateful for the overwhelming support from our existing investors and pleased to welcome several new institutional investors in both funds.”
Kirkland & Ellis and Winston & Strawn served as legal advisors to Plexus.
About Plexus Capital
Founded in 2005, Plexus has raised more than $3.5 billion across seven structured capital funds and two buyout funds from a diverse group of investment consultants, insurance companies, pension funds, endowments, foundations, family offices, and high net worth individuals. Having partnered with more than 200 companies over the past 20 years, Plexus is purpose-built to support small businesses in the United States with capital and outsized resources to enable long-term growth. With offices in Raleigh and Charlotte, the Plexus team consists of 48 professionals led by partners Michael Painter, Mike Becker, Jay Jester, Will Anders, Alex Bean, and Brad Pence. For more information, please visit www.plexuscap.com/.
Contacts
Jeremy Milner
Gregory FCA
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(401) 862-9422
