Fundraising

Denver’s KRG raises $1.96bn

Two years after raising $715 billion for Fund III, the buyout firm has rounded up more than twice as much from limited partners.

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Denver based middle-market buyout firm KRG Capital Partners has closed its fourth fund on $1.96 billion (€1.3 billion).

The firm, founded in 1996, launched fundraising for its most recent vehicle in May with a target of $1.25 billion.

KRG’s previous fund raised $715 billion. Previous vehicles closed in 2001 and 1999 raised $450 million and $212 million, respectively.

Dale Meyer, a director at the firm in charge of investor relations, called the most recent effort a “regular, orderly, well executed fundraising” with a high percentage of re-ups from existing LPs.

Meyer attributed KRG’s popularity with its LPs to a 30 percent net IRR across all three funds, and a track record that includes “zero bankruptcies”.  The firm has also give its LPs numerous co-investment opportunities.

KRG was co-founded by Mark King, Bruce Rogers and Charles Gwirtsman. The firm pursues a buy and build strategy in the healthcare, logistics, infrastructure, energy and construction products industries, among others.