Tower Arch Capital raises $450m

The Utah private equity firm held a final close of its second US buyout fund.

Tower Arch Capital has announced the final closing of its second fund, Tower Arch Partners II, at a $450 million hard cap. The fund surpassed its initial target of $400 million and will invest in founder and family-owned businesses across the United States within the lower middle market.

Tower Arch Partners II raised capital from several institutions including family offices, financial institutions and university endowments. Capital commitments for Tower Arch’s sophomore fund eclipsed that of its debut fund, Tower Arch Partners I, which closed in July 2014 at $272 million.

Shannon Advisors was the placement agent for the fund.