New MainStream Capital has collected about $59 million for its Fund II, which has a $250 million target, according to documents filed with the US Securities and Exchange Commission Friday.
Fund II will invest in mid-market healthcare services, business services and food and consumer product companies. New MainStream focuses on making investments between $10 million and $50 million in businesses with enterprise values less than $300 million, according to its website.
Evercore Partners is acting as placement agent for the fund, according to SEC filings.
New Maintream’s portfolio of companies includes skincare brand H2O+ and home healthcare provider SunCrest Healthcare, according to the website.
New Mainstream launched in 2010 with about $250 million to invest, most of which came from fund of funds Pantheon, one of New Mainstream’s largest investors. Managing partners Martin Chavez and Kevin Gordon, former members of Goldman Sach’s Urban Investment Group, founded New Mainstream, along with three professionals from private equity firm Haas Wheat & Partners.
The Goldman Sachs unit was initially a real estate team and later added corporate investing. Goldman Sachs retained the real estate investment division while Chavez and Gordon continued the Urban Investment Group’s corporate investing strategy, including purchasing six of UIG’s portfolio companies, Private Equity International previously reported.
New MainStream operates out of New York and Dallas offices. The firm was unavailable for comment at press time.