Fund to Provide Capital to Growing Businesses in Underserved Regions
Roseville, CA (October 1, 2021) – Fueled by the success of its first two private equity funds, Roseville-based DCA Partners has quickly exceeded the cap for its third fund. As a result, the firm—which specializes in providing growth and buyout capital to founder-led and family-owned businesses in underserved regions, such as the Central Valley of California—recently received approval from its existing investor base to increase the cap by 25 percent so it can accept new investors and fill the demand.
“We are pleased by the level of investor interest in Fund III,” said Steve Mills, Partner with DCA. “With real estate prices soaring, and the stock market at record highs, many investors are looking to private equity to both diversify their holdings and bolster their returns,” Mills concluded.
Most sophisticated institutional investors allocate between 15-30 percent of their portfolio into private equity for these same reasons, as private equity has outperformed other investment asset classes by a meaningful margin over the past two decades.
Not only are DCA’s investments focused on underserved regions, but its investor base also has a strong local bias as well. “We love the fact that over 90 percent of our investors are located in the markets we cover, which helps us utilize our investors as a resource for both sourcing new opportunities as well as conducting market research and due diligence on potential investment opportunities,” explains DCA’s Brenden Wilson, Vice President. DCA’s investors are made up of family offices, companies, high-net-worth individuals, commercial banks, and a few institutional investors.
In addition to the committed capital, DCA fund investors have an opportunity to invest additional money into specific investments on an ad hoc, deal-by-deal basis, which has been particularly appealing to sophisticated investors.
DCA provides flexible capital, including minority non-control investments and buyouts, to established companies that aspire to become market leaders. In addition to capital, DCA offers operational experience and M&A growth strategies to its portfolio companies.
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About DCA Partners
DCA Partners is a leading investment banking and private equity firm with significant experience across a broad spectrum of industries, including technology, food and agriculture, energy, distribution and logistics, and commercial services. The firm’s investment banking division helps family-owned and other closely held businesses grow through acquisition (buy-side advisory) or maximize the value they receive in a sale of the business (sell-side advisory). Similarly, the private equity investment arm invests in growing family-owned and closely held businesses throughout the western United States. DCA can provide investment capital with very flexible structures for a variety of purposes, including growth capital, acquisition financing, and complete company buyouts.
Contact
Amanda Schroeder
Director of Marketing
DCA Partners
aschroeder@dcapartners.com