Pamlico finds traction with LPs for Fund III

The mid-market firm has exited three portfolio companies since launching Fund III, which has raised more than half of its $630m target.

Pamlico Capital has raised about $355 million for its third buyout fund, which has a $630 million target, according to documents filed with the US Securities and Exchange Commission.

The filing comes roughly six weeks after Pamlico’s most recent exit. The firm sold NewWave Communications to Chicago-based GTCR in February for an undisclosed sum. 

Pamlico launched the fundraising process for Fund III last summer. Shortly after launching the fund, the firm notched a pair of strong exits, selling transportation business TMW Systems for $335 million, generating an 11x multiple, and exiting equipment finance company GreatAmerica for $95 million, generating a 2.7x return multiple. 

It is unclear when Pamlico is expecting to hold a final close for Fund III. The firm declined to comment on fundraising.
Pamlico remained active on the investing front in 2012, acquiring healthcare services company HealthcareFirst from The Riverside Company in September and technology services company Teklinks in August.

Pamlico is investing its second flagship fund, raised under the auspices of Wachovia Capital Partners. Fund II closed on $1.1 billion in 2007 and has since been renamed Pamlico II. The fund focuses on buyouts and growth equity investments of between $15 million to $100 million. 

Pamlico also manages its $115 million Co-Invest Fund II. 

Formerly Wachovia Capital Partners, Pamlico spun off from Wells Fargo in March 2010. The firm makes growth equity and buyout investments of up to $100 million alongside management in three sectors: business and technology services, communications and healthcare.