Friend Skoler & Co. Closes $231 Million Private Equity Fund
SADDLE BROOK, NJ, April 13, 2004 - Friend Skoler & Co., L.L.C., a private equity firm based in Saddle Brook, NJ, announced today the closing of Friend Skoler Equity Investors, L.P. and affiliated investment entities, with $231 million of capital commitments. The firm will continue its focus on acquiring and building leading companies in the smaller end of the middle market in partnership with management. Friend Skoler originally targeted $150 million for the fund.
"We are pleased to have exceeded our target with such a high quality group of investors," said Alexander Friend, a Managing Director at FSC. "We believe our success reflects our consistent focus on the smaller end of the middle market, our strong 18 year track record, and our value added approach to portfolio management. Given the substantial collective operating experience of FSC's senior principals, we are uniquely positioned to work alongside management to grow our portfolio companies."
The new fund will be managed by Alexander Friend and Steven Skoler, who have sourced, invested in and operated businesses together since 1986. Between 1986 and 1997, Friend and Skoler acquired two businesses and served as the day-to-day senior operating executives of both companies. In 1998, they formed Friend Skoler & Co., L.L.C. and established a pledge fund relationship with the executives of Kohlberg Kravis Roberts & Co. Since commencing their activities in 1986, Friend and Skoler have invested $60 million through 18 transactions, establishing six portfolio companies. The firm's disciplined investment approach, together with its operating and financial expertise, has resulted in outstanding returns on invested capital. To date, the firm's realized investments have generated $88.7 million of total value on a cost basis of $19.6 million.
"We believe the smaller end of the middle market will continue to offer a large flow of attractive investment opportunities at reasonable valuations," said Steven Skoler, also a Managing Director at FSC. "The fund is a logical next step for us. With a committed pool of capital, we will be able to increase our proprietary sourcing and transaction capacities, expand our relationships with intermediaries and pursue an increased number of investment opportunities."
Founded in 1998, Friend Skoler & Co., L.L.C. is a private equity firm that invests in leading companies in the smaller end of the middle market. FSC typically invests between $10 million and $30 million of equity per investment, in partnership with management. A key element of the fund's strategy is to leverage the firm's extensive experience as investors in and operators of smaller middle market companies. Friend Skoler is headquartered in Saddle Brook, NJ. For additional information, please visit www.friendskoler.com.