Ridgemont Equity Partners Grows First Fund
Ridgemont Equity Partners, a private equity firm that came from Bank of America back in 2010, has recently announced that it has raised its first fund. This fund would provide the firm the necessary financial backing to continue making investments in small to mid sized firms as the bank exits from the market.
The firm told Reuters it had raised commitments in the amount of US$735 million from different institutional investors located in North America, Europe and Asia. Amongst them is AlpInvest Partners Inc, the State of Wisconsin Investment Board. The investors did not include Bank of America.
Based out of Charlotte, NC, the firm was able to raise capital in a market that avoided investments in start up funds. At the close of the first quarter, only 28 were able to raise funds in the period, an all time low between 2008 and 2013. The data was obtained from Preqin, a firm that tracks private equity investments.
Ridgemont's past includes Bank of America, which has been winding down its provate equity business. BofA CEO Brian Moynihan is streamlining the bank and is conforming to the rules, such as the provision on the US Dodd-Frank financial reform law ceiling on private equity investments made by banks.