HCAP Partners, a San Diego, California-based private equity firm and impact investor, closed its second SBIC fund, HCAP Partners V, L.P., at $353m including anticipated leverage from the SBA.
Operating as a U.S. Small Business Administration SBIC (Small Business Investment Company), the Fund will continue the firm’s strategy of investing in underserved businesses in the lower middle market and implementing the Gainful Jobs Approach™, its platform designed to measure and improve job quality standards across its portfolio.
More than twice the size of its predecessor fund, HCAP Partners V, L.P. had support from a diverse investor base of existing limited partners from previous funds and new limited partners, including highly regarded foundations, financial institutions, and family offices. The firm is currently deploying capital from its new Fund seeking to invest $3 million to $25 million in established businesses generating between $10 million and $100 million in revenues in the healthcare, software, services, and manufacturing industries.
Led by Tim Bubnack, Managing Partner, HCAP Partners is focused on the lower middle market, serving companies seeking debt and equity for growth, acquisitions, and other strategic initiatives. The firm actively engages with its portfolio companies to provide value-added resources such as operational and financial guidance, capital raising, and strategic exit planning.