Platform Partners Announces Successful Closure of $180 Million Capital Raise, Exceeding Goals

Platform Partners Secures $180 Million in Capital

Platform Partners LLC, a Houston-based private investment firm, announced on January 13, 2025, that it has successfully completed a significant capital raise of $180 million. This follows their ambitious target to gather additional resources, which was initially set at $150 million. The firm, founded in 2006, has been a key player in the investment arena, focusing on fostering the growth of lower middle-market companies. With this feat, Platform Partners' total assets under management have surged to an impressive $800 million.

The recent capital influx was achieved through equity commitments to their perpetual investment vehicle, the Platform Partners Investment Company LLC. The firm was able to attract not only contributions from its existing shareholder base but also new investors, thus ensuring a diversified capital source. CEO Fred Brazelton expressed satisfaction in exceeding their fundraising goal, attributing this success to the trust and support of both seasoned and new investors. He stated, "As always, we are grateful for the support and trust each of our investors has shown Platform both during this capital raise and since our inception in 2006."

Investing in Growth

Historically, Platform Partners has demonstrated a consistent strategy in leveraging capital to invest in founder or family-operated companies. The aim is to invest between $20 million to $100 million per venture, combining both organic growth strategies and acquisitions. This unique perpetual investment model allows business owners to operate without the pressure of predefined exit timelines, thus fostering sustainable growth.

The firm emphasizes a long-term commitment to its portfolio companies, which is made possible by the recycling of capital. This method allows Platform Partners to maintain a dynamic flow of investment opportunities while supporting the businesses in its portfolio with both strategic guidance and financial backing.

Since its inception, Platform Partners has made investments in over 30 platform companies, showcasing their specialized approach in nurturing companies with strong growth potential. The firm involves a team of more than 20 investment and portfolio support professionals, ensuring that the newly raised capital, in addition to the funds generated by existing operations, is effectively deployed.

The firm's founders, employees, and associates have collectively retained the largest share of this latest capital raise, reinforcing their aligned interests with investors.

Expanding Horizons

Looking forward, Platform Partners aims to leverage this fiscal boost to enhance its capacity for making impactful investments. This capital raise not only strengthens their financial standing but also positions them favorably amidst increasing competition in the private investment market. As the business landscape continues to evolve, the firm's ability to adapt and capitalize on new opportunities will be crucial.

Encouragingly, the addition of like-minded investors during this financing round reflects a growing confidence in Platform's ability to navigate and excel in challenging economic conditions. Legal counsel for the capital raise was provided by Latham & Watkins LLP, with no external placement agent involved, further illustrating the firm's strong internal capabilities.

For more detailed information about Platform Partners and their investment strategies, prospective investors and interested parties can visit their official website at www.platformllc.com.

In conclusion, Platform Partners has not only successfully raised capital but has also reinforced its commitment to fostering sustainable growth in the sectors it invests in, setting the stage for a robust future as they continue to inspire confidence in their investment approach.