Halifax Group Wraps Fund III At $393M

Firm: The Halifax Group

Fund: Halifax Capital Partners III LP

Target: $350 million

Amount Raised: $393 million

Placement Agent: XT Capital Partners LLC

Lower mid-market specialist The Halifax Group has topped its target for its third fund.

Halifax Capital Partners III LP took in $393 million in commitments, handily ahead of its $350 million target. The firm said the closing brings its total committed capital under management to approximately $1 billion.

Earlier this month, Halifax Group announced an investment of undisclosed size in Interim HealthCare Inc., a home health franchisor based in Sunrise, Fla. In April, the firm exited PolyPipe Holdings Inc. of Gainesville, Texas, a maker of pressure-rated polyethylene pipe, selling the company to Knoxville, Tenn.-based Dura-Line Holdings Inc., which is backed by CHS Capital, a mid-market buyout firm based in Chicago. Terms of the sale were not disclosed.

Halifax Group takes an operations-oriented approach to companies in health care, infrastructure, business and government services and franchising. Its strategy is to partner with managers and entrepreneurs to recapitalize and expand lower mid-market companies, and it is typically the first outside investor in a company.

Halifax Group was founded in 1999 by David W. Dupree, a former managing director and partner at The Carlyle Group and William L. Rogers, a founding partner of Colony Investors, with backing from David Bonderman, a founder and principal of TPG Capital, and Thomas J. Barrack Jr., the chairman and CEO of Colony Capital, among others. The firm has offices in Washington, D.C., Dallas, Texas, and Raleigh, N.C. The firm raised $305 million for its previous fund, which closed in 2006

XT Capital Partners LLC, led by its Avec Capital LLC unit, was placement agent for Fund III.