New York-based Bowside Capital has closed its first fund, a fund of funds and co-investment vehicle, collecting under $100 million.
The fund will co-invest with US private equity funds with targeted commitments of $100 million or less and invest in companies with less than $8 million EBITDA. Bowside will target niche manufacturing, business services and distribution companies with revenues of $10 million to $75 million. The firm has already completed a number of investments from the fund, including commitments to Azalea Capital, Guardian Capital Partners, Hadley Capital and Hastings Equity, as well as a co-investment with Guardian in the acquisition of furniture accessory company Sure Fit.
“What we’re trying to do is address this segment of the market that has been pretty overlooked,” Bowside managing partner Christian Albert told PEI. “There’s this universe of sub-$100 million funds in the US which are really doing very interesting transactions.”
Limited partners in Bowside's fund consist primarily of high-net worth individuals, but also include family offices and institutions.
Albert founded Bowside in 2009, having previously founded The Albert Group, which provided management services to investment entities, both in private equity and real estate, and to technology firms.
Bowside’s five-person advisory board includes private equity veterans Norman Alpert, one of the founding partners of Vestar Capital, and Marcia Hooper, a former partner at Advent International. Also a member of the advisory board is Porter Collins, a senior analyst and partner of the FrontPoint Financial Services Fund, a $1.5 billion hedge fund owned by Morgan Stanley.