Blue Sage Capital Successfully Closes an Oversubscribed and Over Hard Cap Fund IV - $618 Million Fund More than Double the Size of the Prior Fund

AUSTIN, Texas--(BUSINESS WIRE)--Blue Sage Capital, a leading lower-middle market private equity firm, today announced the final close of Blue Sage Capital IV, L.P. (the “Fund”), at $618 million including a substantial commitment from the General Partner. The Fund was significantly oversubscribed, closing above its initial target of $400 million, initial hard cap of $550 million, and more than double its $300 million prior fund size. Blue Sage limited the size of the Fund to maintain its lower-middle market focus and could not fully accommodate a substantial amount of Limited Partner interest generated in only months of fundraising. Blue Sage is backed by a global group of Limited Partners including well-known college/university endowments, charitable foundations, pension funds, large family offices, insurance companies, and entrepreneurial individuals. Many of the Limited Partners have now partnered with Blue Sage across multiple prior funds, some going back to the firm’s founding almost 25 years ago.

The Fund continues Blue Sage’s strategy of partnering with founders, families, and management teams in high-potential lower-middle market businesses. As with prior Blue Sage funds, Fund IV focuses on investment partnerships with environmental solutions, niche manufacturing, and specialty services companies in North America, particularly in Texas, the Southwest, and the Midwest. Blue Sage strongly prefers to be the first institutional investor in the companies with which it partners.

Peter Huff, Founder and Managing Partner of Blue Sage, expressed his gratitude, stating, “We are humbled by the consistent support of our Limited Partners and look forward to continuing to generate strong returns for them and their stakeholders who are investing their capital alongside ours. We maintain a deep sense of responsibility to our Limited Partners who have placed their trust in our team. We are grateful for their partnership and look forward to continuing to build truly exceptional portfolio companies by collaborating with outstanding management teams.”

Blue Sage Capital raised Fund IV without a placement agent and engaged Kirkland and Ellis as fund counsel. With Fund IV closed, Blue Sage has now raised over $1.2 billion during its lengthy history, maintaining its heritage and focus on the lower middle market.

* Past performance is not indicative of future results.

About Blue Sage Capital

Blue Sage Capital is an Austin, Texas-based private equity firm that has been investing in profitable and growing lower middle-market companies since 2002. Blue Sage seeks to partner with founders, families, and management teams as the first round of institutional capital for businesses that enjoy leadership positions in niche manufacturing, environmental solutions, or specialty services industries. Blue Sage will invest $25 million to $60 million in control buyout investments and recapitalizations of companies with $25 million to $200 million of revenue.