Oversubscribed Healthcare Advantage, Business Services Partners II and Shore Search Partners Funds Bring Firm’s Total Assets Under Management to $9.1 Billion
CHICAGO–(BUSINESS WIRE)–Shore Capital Partners (“Shore” or “the Firm”), a private equity firm focused on lower-middle market investments, today announced the closing of its inaugural Healthcare Advantage Fund (“Advantage Fund”), second Business Services Partners Fund (“Business Services Fund II”), and first Shore Search Partners Fund (“Search Fund”). The three funds each exceeded their targets and together represent over $1.9 billion in commitments, bringing the Firm’s assets under management to $9.1 billion.
“The completion of these fundraises reflects a continuation of our lower-middle market focus, while also innovating for expansion opportunities through the Advantage and Search Funds,” said Justin Ishbia, Shore Founder and Managing Partner. “Our commitment to value creation through outsized operational support has always been core to our strategy, and it will continue to be as we extend our investment range across the lower-middle market. We are grateful for the strong support from our existing limited partners and new strategic partners amidst a challenging economic backdrop.”
Led by Founding Partners Mike Cooper and John Hennegan, the Advantage Fund builds on the Firm’s successful track record of developing strong, well-positioned companies. The Healthcare Advantage team will leverage its healthcare expertise to invest in businesses that fit its existing buy-and-build strategy. In addition to targeting attractive healthcare niches, the team will focus on opportunities to expand and continue partnerships with breakout businesses within its lower-middle market healthcare portfolio. The team’s value creation strategy includes supporting top executives with world class board talent, operational resources, and collaboration opportunities with Shore’s network of companies and executives.
The Business Services team is led by Partners Brad Morehead, Rory Kenny, Matt Sweeney and Mickey Jiang. Building on its established sector knowledge and experience, the Business Services team will focus on investment opportunities in lower middle market companies across IT and tech-enabled services, professional services, compliance, security and risk management, software and data systems, environmental and waste services, facility and field services, and transportation and logistics.
“The strong support from our limited partners for our second Business Services Fund is indicative of our progress in Fund I, proven investment strategy, and discipline across attractive sectors,” said Morehead. “Pairing our business services experience with our rigorous thesis development process, we have narrowed in on industry niches we believe have the greatest potential for high-impact partnerships with founders and owners of small and medium-sized companies poised for accelerated growth.”
The Search Fund is led by Partner Michael Aubrey and Principals Jeff Smart, Jeff Smith and Jacob Balley. With Shore’s established playbooks and recognized brand in sourcing, negotiating and executing microcap transactions, the Search team will focus on supporting executives pursuing acquisition opportunities in the traditional Search investment range. Search executives will have access to Shore’s extensive network and resources to help them find, execute and operate microcap companies. Breakout companies will have the potential to become Shore microcap fund investments.
Commitments for the three funds came from the Firm’s existing investors and select new limited partners, resulting in a diverse investor base comprised of leading university endowments, financial institutions, pension funds, insurance companies, funds of funds, and family offices. The partners of Shore have also committed capital to the funds.
Kirkland & Ellis LLP served as a legal advisor to Shore for the fundraising efforts. Shore did not use a placement agent.
About Shore Capital Partners
Shore Capital, a Chicago-based private equity firm with offices in Nashville, is an investor in lower middle market companies in the Healthcare, Food and Beverage, Business Services, Industrial, and Real Estate industries. Shore’s strategy is to support management partners to grow faster with less risk through access to capital, world-class board and operational resources, and unmatched networking, development, and shared learnings across the portfolio. From 2020-2023, Shore received recognition from Inc Magazine as a 4x Top Founder Friendly Investor and by Pitchbook Research for being the global leader in Private Equity total deal volume. Shore targets investments in proven, successful private companies with superior management teams, stable cash flow, and significant potential to grow through industry consolidation and organic growth to generate value for shareholders. Shore has $9.1 billion of assets under management and in additional investment platforms to which it provides business and operational consulting services. For more information on these awards and investment platforms, please visit: www.shorecp.com.
Contacts
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Jordan Niezelski, Edelman Smithfield
