Baird Capital holds $310m final close on global fund

The Chicago-headquartered firm and its parent company, Robert W. Baird & Co, committed a third of the capital raised.

Baird Capital, the direct private investment arm of investment bank Robert W. Baird & Co, has held a final close on its global fund on $310 million, exceeding its $300 million original target, according to a statement.

Baird Capital Global Fund’s investor base is consistent with its previous funds, Gordon Pan, president of Baird Capital, told Private Equity International, but declined to name any of its LPs.

The Arizona State Pension System, Hatteras Investment Partners and RWB Private Capital Fonds have committed capital to the firm’s previous funds, according to PEI data.

Pan said its LPs have continued to support the firm, particularly as it evolved its strategy from single geographic funds towards a single global fund.

The GP and its parent company combined committed a third of the capital in the fund.

Capital raised for the fund, which was launched in July last year, will be used to back lower middle-market companies in the US, UK and Asia that are focused on technology and services, healthcare and industrial solutions.

The firm does not have a designated geographic split in the fund, Pan said. “Our goal is to flex our capital deployment based on where we find the best opportunities. In addition, we are looking to partner with the best management teams across these markets, and our investors have provided us the flexibility to act decisively when we find these companies.”

The firm has already made two investments from the fund, with US-based digital marketing service provider R2i and UK-based CAV Ice Protection Limited and CAV Advanced Technologies. It expects to invest in another 10 companies, with equity cheques will between $15 million to $50 million. Baird Capital is set to complete around three more transactions over the next six to nine months, Pan said.

Baird Capital makes venture capital, growth equity and private equity investments in strategically targeted sectors around the world. It has invested in more than 300 companies since it was founded in 1989.