Guardian Capital closes Fund II on $153.5 mln

Roughly 90 percent of the limited partners in Guardian Capital’s $50 million debut fund re-upped, according to a press release. Investors in Fund II include funds of funds North Sky Capital, Hauser Private Equity, insurance company MassMutual Financial Group, the Montana Board of Investments and Hartford Investment Management Company and its affiliates, Haabestad said.

“I really do think it comes down to performance in Fund I. We’ve got our mark to market and we’re doing quite well,” Haabestad said. “We’ve got a good system. People recognize that we do things the right way, and we got rewarded with many guys coming back.”

Performance information for Fund I was unavailable. Haabestad said the firm has exited only one of the six investments completed through that vehicle, having sold home décor company Sure Fit Inc to Focus Products Group International in 2012.

“Our strong Fund I performance without a doubt helped tremendously in our fundraising process,” Managing Partner Scott Evans said in a statement.

Guardian Capital makes control investments in lower mid-market companies in the United States, typically targeting those with annual revenues of $20 million to $100 million and EBITDA of $3 million to $9 million.

The firm already has completed one investment through Fund II. Guardian Capital acquired a controlling interest in McCubbin Hosiery in December. McCubbin Hosiery is the exclusive licenser of socks and tights to Keds, which recently signed singer Taylor Swift as a spokeswoman.

“We’re getting a nice lift from her endorsement,” Haabestad told Buyouts earlier this year. “We’re looking for add-on opportunities to continue to grow the business.”

Guardian Capital Partners is headquartered in Wayne, Pennsylvania.