New private equity firm secures $22M in capital commitments
A new private equity firm secured investments to add to its portfolio of entrepreneurial companies.
Grand Rapids-based Monroe Equity Partners (MEP) said Monday, Sept. 19, it now has $22 million in capital commitments to acquire small industrial businesses.
MEP was started by Nathan Vanderploeg as a platform for entrepreneurial companies. The firm specializes in small corporate carve-outs and spin-offs, meaning buying and investing in businesses which are sold by or spun off from a larger business.
The portfolio currently consists of Grand Rapids-based MessageWrap, Ann Arbor-based C3 Industries and Right Lane Environmental in Pawnee, Illinois. Partners said an additional company in the marine industry is in the process of closing.
“We are excited to have financial support from our existing and new investor partners for new deals, as our current holdings show consistent profitability and with one solid exit under our belt,” said Vanderploeg, who serves as managing director of MEP. “We have a unique mandate to execute a differentiated strategy, to identify opportunities for corporate divestitures and carve-outs that can better grow under new or modified ownership.”
According to Vanderploeg, MEP is engaging with investment bankers, corporate development teams and corporate executives with potential carve-out and spin-off possibilities to explore.
“We are excited to put these capital commitments to work, particularly in an economy and at a time when many corporations may especially benefit from divestitures and spin-offs, by getting rid of distractions and lower priorities, freeing up cash, and/or enabling more upside potential,” Vanderploeg said.