Golden Gate-spinout Altamont sails through marketing on sophomore fund

Altamont Capital Partners, a spinout from Golden Gate Capital, appears to be sailing through marketing on its second fund and will likely hit its $750 million cap (if not more), according to four LPs. Fundraising could wrap up by the end of the first quarter, or shortly after, the LPs said.

Altamont declined to comment about fundraising.

The LP sources – two of whom are in the fund and two who are not – said Altamont has demand over its cap. One potential LP lamented that it made the decision to commit too late and could not get any space in the fund.

Altamont filed two forms with the SEC on Dec. 23 indicating that it had raised about $489.5 million for ACP Investment Fund II-A and about $157.4 million for ACP Investment Fund II.

Altamont, based in Palo Alto, raised $500 million for its vintage-2010 first fund, 10 percent of which came from its general partners. I’m not exactly sure what the GP commitment is on Fund II, but sources told me it’s similar at least in dollar terms to the first fund.

The firm focuses on the middle market, across a range of industries “where Altamont can partner with management to implement strategic and operational change,” according to the firm’s website.

Altamont was formed by former Golden Gate executives Jesse Rogers, Randall Eason and Keoni Schwartz. Prior to co-founding Golden Gate, Rogers spent many years at Bain & Co., where he founded and worked as global head of the private equity group, according to his bio on Altamont’s website. Eason and Schwartz also spent time at Bain & Co. before working at Golden Gate.