LPs

SF Equity Partners transitions from independent sponsor, raises PE fund

-
San Francisco Equity Partners, private equity, family office, consumer products
San Francisco and the bay covered in fog on Aug. 16, 2013. REUTERS/Peter Andrews
  • Family-backed sponsor switches to PE structure
  • Will retain consumer focus
  • Seeks companies up to $100 mln revenue

San Francisco Equity Partners, transitioning from a family-backed independent sponsor to a private equity firm, is raising a fund targeting $125 million, according to a Form D.

The firm, led by Scott Potter, began as a European family-backed independent sponsor in 2005, a source familiar with the firm said.

Later, the firm began seeking additional capital on a deal-by-deal basis from other institutional investors like endowments and pension systems, the source said.

The transition to a PE structure is a natural progression, the source said.

The new fund will be deployed in four or five middle-market consumer-products companies.

SF Equity Partners’ sweet spot is consumer companies with revenue of up to $100 million and Ebitda of $10 million.

The firm takes control or minority positions, making equity investments of $5 million to $25 million in apparel, beauty and personal care, food and beverage, health and wellness, household, outdoor and recreation, pet care, specialty and retail companies.

In the past, San Francisco Equity Partners raised special-purpose vehicles for its investments in Japonesque, Yes To and Red Monkey Foods.

Other portfolio companies include Brazi Bites, San Francisco Salt and ICU Eyewear.

SF Equity Partners in 2012 sold a portfolio company, Method Products, to Europe-based Ecover.

Senior team members at San Francisco Equity Partners include David Mannix, Chris Sargent, Mary Kayser and Richard Conti.

Action Item: Read more on San Francisco Equity Partners here: https://bit.ly/2TcuHCW