Soundcore Capital closes first institutional fund on $350 mln cap

  • Firm: Soundcore Capital Partners
  • Fund: Soundcore Capital Partners II
  • Target: $300 mln
  • Amount Raised: $350 mln
  • Placement Agent: UBS

Soundcore Capital Partners has made the important transition from operating deal by deal basis to managing a closed-end fund.

The firm, formed in 2015, last week closed its first institutional fund on its hard cap of $350 million, sources told Buyouts.

The pool is called Soundcore Capital Partners II to reflect that the firm made three pre-fund investments after inception, building a track record it was able to use to raise its first fund.

Fund II was in market since late summer 2017, sources said. UBS was placement agent. The fund has not yet started deploying capital but will likely start investing this summer, sources said.

Soundcore pursues a thesis-driven strategy, targeting buy-and-build investments in businesses with recurring revenues and attractive margins across business services, specialty distribution and value-added manufacturing, according to the firm.

Soundcore was formed by Jarrett Turner in 2015. He was joined by Feliks Zarotsky in 2016. Turner and Zarotsky lead the firm as managing partners.

Both executives spent time at Sun Capital Partners, though Soundcore is not considered a spinout from that firm as it pursues a different strategy.

The firm invested in three pre-fund platform companies, along with 27 add-ons. Its first deal was Alloy Wheel Repair Specialists in November 2015. It then acquired PumpMan, which specializes in commercial pump repair, in September 2016.

The third platform, Sweeping Corp of America, which provides street, parking-lot and construction-site sweeping, came in February 2017.

Soundcore has nine employees, including its recent hire, Frank Mancuso, who joined earlier this year as a vice president on the deal-origination team.

Action Item: Check out Soundcore’s Form ADV here: