Firm: Insight Equity Holdings LLC
Fund: Insight Equity III LP
Target: $750 million
Amount raised: $309 million
Headed by CEO Ted Beneski and COO Victor Vescovo, Insight Equity began marketing the fund earlier in 2013, according to a report by sister publication peHUB.com. Insight Equity did not disclose a target for Fund III in its Form D filing, but sources have told peHUB.com and Buyouts that it is planning to raise up to $750 million in the effort, which comes after a busy year of deal-making for the firm.
An email to Insight Equity seeking comment by Buyouts wasn’t returned by deadline.
Insight Equity II LP raised $429 million out of a target of $500 million, according to an amended Form D filing on Feb. 11, 2010. Insight Equity filed its first Form D for that fund on Nov. 17, 2008.
LPs for Insight Equity II include the Arkansas Teacher Retirement System, the Los Angeles Fire and Police Pension System, and the West Virginia Investment Management Board, according to the Thomson One private equity database.
The firm’s fundraising effort comes after several veterans of Insight Equity, including Conner Searcy, David Stinnett and Chris Zugaro, formed Dallas-based Trive Capital and raised $300 million in their inaugural fund in 2013.
Also, former Insight Equity principal Brandon Bethea has joined Aterian Investment Partners with Michael Fieldstone, a former principal with Sun Capital. Aterian has started talking with investors about its first fund.
Among its recent deals, Insight Equity wrapped up a recapitalization of portfolio company, Atwood Mobile Products, including a dividend distribution to its shareholders, in October.
Another portfolio company, Versatile Processing Group, said in July it purchased all of the assets of Environmental Management Systems, a transformer and electrical equipment recycling specialist, for an undisclosed price.
In May, Insight Equity floated Emerge Energy Services common units in an initial public offering that raised $128 million. The IPO priced at $17 per unit and finished out 2013 above $44 per unit.
In August, Insight Equity named five new team members, including Will Dobbs and Jack Nadal as vice presidents. The firm also opened up a New York office in 2013 to branch out from its headquarters in Southlake, Texas, near Dallas.
Insight Equity targets North American businesses with $75 million to $1.5 billion in revenue and enterprise values of $50 million to $500 million, according to the firm’s website. It typically invests $10 million to $125 million of equity in each deal.
The firm touts its “history investing in complex and special situations where speed is a priority,” according to its website.
Target sectors include manufacturing, automotive and transportation, aerospace and defense, industrial and consumer goods, distribution, energy services; service and professional firms. All told, Insight Equity has acquired and managed businesses with more than $4 billion in aggregate revenue since 2000.