Enhanced Equity Fund II has a target of $350 million, and the firm has already closed on $106 million in commitments from 11 investors, according to a regulatory filing.
The New York-based firm is led by Andrew Paul, former partner with Welsh Carson Anderson & Stowe. He launched Enhanced Capital in 2005, raising $250 million for the firm’s debut vehicle. In addition to Paul, the Enhanced Capital team includes David Howe, a former partner at Citicorp Venture Capital and Lightyear Capital, who co-founded the firm.
The firm seeks to invest $5 million to $25 million over the life of an investment in companies with less than $100 million in revenue. Portfolio companies include Regency Hospice, a home-based hospice services provider, Triton Technologies, a direct response sales services company, and Guardian Health Care, a home health nursing company in the Southwest.
Enhanced Equity’s parent, Enhanced Capital, also invests in mezzanine and structured finance. The firm has a partnership with Berkshire Hathaway, although the firm’s website does not disclose any details on the partnership. —Erin Griffith