Keystone Capital, a Chicago, IL-based lower middle market alternative investment manager, closed Fund III, at $630M.
The vehicle was oversubscribed with fundraising completed in four months, with Keystone professionals continuing to represent the largest single investor in it.
Founded in 1995, Keystone invests primarily in North American businesses across five industry sectors: Engineering and Technical Services, Tech-enabled Services, Commercial Services, Industrial Technology and Food and Beverage.
Since inception, the firm has been focused on sectors where it can execute its “buy and build” strategy as exemplified by its 170 acquisitions across 42 different industry leading platforms.
Commenting on the news, Kent Dauten, Chairman of Keystone, said: “For over 25 years, Keystone invested only the personal capital of its employees. It is incredibly gratifying to see the Firm transition to outside, third-party capital and not change its time-tested strategy. We remain committed to the lower middle market, to pursue opportunities where we can execute ‘buy and build’ consolidations, to rolling up our sleeves and helping our leadership teams drive organic and inorganic growth and operational efficiencies and to building life-long relationships and partnerships with our founders, management teams, financing sources, and now limited partners.”