Kinderhook Industries completes new continuation fund at $1.3bn

• The fund was led by AlpInvest Partners, a subsidiary of Carlyle
• Aviditi Advisors served as financial advisor to Kinderhook on the fund
• Founded in 2003, Kinderhook Industries targets middle-market companies

Kinderhook Industries has closed its new continuation fund at $1.3 billion.

The fund was formed to acquire the nine portfolio companies in Kinderhook’s fourth and fifth funds.

The limited partners of both funds were provided with the option to roll all their interests into the continuation fund, sell all their interests, or sell a portion of their interests and roll a portion into the continuation fund.

The fund was led by AlpInvest Partners, a subsidiary of Carlyle.

“We are particularly encouraged that this transaction provides tangible value for all parties involved,” said Matthew Romanczuk, managing director at AlpInvest in a statement. “Not only does the continuation fund provide liquidity for Kinderhook’s original limited partners in a challenging macroeconomic environment, but it also provides meaningful new capital to support the continued value creation strategies that Kinderhook is pursuing within the individual portfolio companies.”

Aviditi Advisors served as financial advisor and Kirkland & Ellis LLP served as legal counsel to Kinderhook. Ropes & Gray LLP served as legal counsel to AlpInvest.

Founded in 2003, Kinderhook Industries targets middle-market companies. The firm has raised $5.7 billion of committed capital as of November 2023.