York Capital Management, an $18 billion multi-strategy manager, closed its third special opportunities fund on $800 million to deploy into the pandemic-plagued economy.
York completed one deal so far from Fund III, acquiring The Good Feet Store, which makes and sells personalized arch support and related products.
Also, York announced the hiring of Harish Nataraj as a managing director on the private equity team from Angelo Gordon, where he was a partner and managing director. At Angelo Gordon, Nataraj led investments in financial services, consumer, healthcare services and business services.
Campbell Lutyens worked as placement agent on the fundraising.
York Special Opportunities Fund III targets control investments in middle-market companies led by experienced management teams. York’s flexible strategy encompasses a focus across strategies and can include companies under stress to growth situations.
“This is a great time to have substantial dry powder and a team experienced in supporting management amid market disruptions and an uncertain climate,” said Jamie Dinan, CEO and founder of York in a statement.
York launched its middle-market special opportunities private equity strategy in 2008. It closed Fund II in 2014 on $700 million. It raised $500 million for the debut fund in 2008. York’s private equity group is led by Zalmie Jacobs, who runs the special opportunities strategy.
Dinan formed York Capital in 1991. Christopher Aurand and Bill Vrattos are co-managing partners and co-chief investment officers. In 2010, Credit Suisse acquired a minority interest in the firm, paying an initial $425 million. The deal included an earn-out payment based on five-year performance.
In November, York Capital-backed MODE Transportation agreed to acquire SunteckTTS, which provides third-party transportation and logistics. Both businesses will operate under the MODE brand.
Action Item: Check out York Capital’s Form ADV here: https://bit.ly/2xP1Ize