Firm: Grotech Capital Group
Fund: Grotech Partners VII LP
Target: $400 million
Industry Focus: Consumer, health care, IT
Previous investors and potential re-investors in the Timonium, Md. firm include
Grotech employs both buyout and venture capital strategies, depending on the industry it’s investing in. With health care and consumer-related companies, the firm favors buyout and late-stage growth investments that require equity tranches ranging from $10 million to $40 million a piece. With IT, the firm typically invests $3 million to $20 million in early-stage and expansion-stage venture capital rounds.
Grotech’s portfolio includes investments in quick-serve Mexican-style restaurant chain Del Taco Inc.; scientific research products manufacturer Pelican Life Sciences; and supply-chain software provider Full Tilt Solutions Inc.
The most recent exit by the firm was last December’s initial public offering of MEDecision, a provider of health care-related software and services. Prior to the IPO, which saw 4.7 million shares hit the market at $10.00 each, Grotech was the company’s lead shareholder with an approximated 27.1 percent ownership stake. Shares of MEDecision, which trade on the Nasdaq under ticker symbol MEDE, were selling for $5.60 as of press time.—A.N.