Cleveland has emerged as a vibrant hub for private equity firms, with powerhouses like Riverside Company, Resilience Capital Partners, and Blue Point Capital Partners calling the city home. These firms leverage Cleveland’s strategic location, robust talent pool, and supportive business ecosystem to drive investment success across diverse sectors. Investors and entrepreneurs seeking to connect with like-minded professionals can explore this dynamic landscape by joining our community at alexejpikovsky.com/community.
Riverside Company
Investment Style: Riverside Company focuses on small and mid-sized enterprises, employing a global strategy across private equity, structured capital, and private credit. Their approach is centered on partnering with management teams to unlock growth potential and achieve operational improvements.
Portfolio Companies: Riverside has invested in companies like ProSites (digital marketing solutions for medical and dental professionals), Blue Microphones (microphone technology), and Nustef Foods (frozen and specialty foods).
Founding Date: 1988
Number of Investment Professionals: Over 300 globally
Assets Under Management: Approximately $14 billion
Key Investment Professionals:
- Stewart Kohl, Co-CEO: Focuses on strategic initiatives and overall firm management, leveraging over three decades of private equity experience.
- Pam Hendrickson, Vice Chairman: Contributes to the firm’s investment strategy and oversees operational enhancements across portfolio companies.
Recent Exits: A successful exit through the sale of Health & Safety Institute (HSI), a leading provider of environmental health and safety services.
Recent Acquisitions: Acquired SafetySkills, an online safety training provider, to expand their portfolio in the training and compliance sector.
Office Locations:
- Cleveland: 100 Euclid Avenue, Cleveland, OH
- Additional Offices: New York, London, Melbourne, Hong Kong, and other locations worldwide
Website: www.riversidecompany.com
Quote: “Our focus is on finding and growing small companies through a combination of strategic add-ons, smart operational improvements, and a supportive partnership with management teams.” – Stewart Kohl, Co-CEO
Resilience Capital Partners
Investment Style: Resilience Capital Partners specializes in investing in middle-market companies, focusing on operational turnarounds and strategic growth initiatives. They aim to generate value through hands-on management and financial restructuring.
Portfolio Companies: Their portfolio includes Aerospace & Defense Group (aerospace component manufacturing), Affinity Specialty Apparel (uniform and workwear solutions), and CR Brands (consumer products).
Founding Date: 2001
Number of Investment Professionals: Approximately 30
Assets Under Management: Over $1 billion
Key Investment Professionals:
- Bassem A. Mansour, Co-CEO: Mansour plays a key role in the firm’s strategic direction and investment activities, bringing extensive experience in restructuring and portfolio management.
- Steven H. Rosen, Co-CEO: Rosen is instrumental in developing the firm’s operational capabilities and fostering relationships with management teams.
Recent Exits: Successfully exited AQS, a specialty chemicals and coatings company, through a strategic sale to CHT Group.
Recent Acquisitions: Acquired CR Brands to expand their presence in the consumer products sector.
Office Locations:
- Cleveland (Headquarters): 25101 Chagrin Boulevard, Beachwood, OH
Website: www.resiliencecapital.com
Quote: “We differentiate ourselves through our operational focus and our commitment to working closely with management teams to turn around and grow their businesses.” – Bassem A. Mansour, Co-CEO
Blue Point Capital Partners
Investment Style: Blue Point Capital Partners targets lower middle-market companies, with a focus on growth capital and buyouts. They emphasize partnership with management and operational enhancements to drive portfolio company expansion.
Portfolio Companies: Includes Hilco Vision (vision care products), Russell Food Equipment (food service equipment), and Smith-Cooper International (plumbing and fluid control solutions).
Founding Date: 1990
Number of Investment Professionals: Over 20
Assets Under Management: Approximately $1.5 billion
Key Investment Professionals:
- John LeMay, Partner: LeMay focuses on investment strategy and execution, leveraging his extensive experience in private equity and operations.
- Sean Ward, Partner: Ward is responsible for sourcing new investments and developing strategic initiatives for portfolio companies.
Recent Exits: Completed the sale of Premier Needle Arts, a crafts company, to a strategic buyer.
Recent Acquisitions: Acquired Thompson Industrial Services, expanding their industrial cleaning and maintenance services portfolio.
Office Locations:
- Cleveland: 127 Public Square, Cleveland, OH
- Additional Offices: Charlotte, Seattle
Website: www.bluepointcapital.com
Quote: “Our strength lies in partnering with strong management teams and providing the resources they need to achieve substantial growth.” – John LeMay, Partner
CapitalWorks
Investment Style: CapitalWorks focuses on lower middle-market buyouts, taking a hands-on approach to value creation through operational improvements and strategic growth initiatives.
Portfolio Companies: Their portfolio includes GEMCITY Engineering and Manufacturing (precision manufacturing), Libra Industries (electronics manufacturing services), and Keystone Solutions Group (product development and manufacturing).
Founding Date: 1999
Number of Investment Professionals: Around 10
Assets Under Management: Approximately $500 million
Key Investment Professionals:
- Rob McCreary, Managing Partner: McCreary drives the firm’s investment strategy and growth initiatives, bringing decades of experience in private equity and business leadership.
- Dick Hollington, Managing Director: Hollington is involved in all aspects of the firm’s activities, including investment origination, portfolio management, and strategic direction.
Recent Exits: Successfully exited LEFCO Worthington, a custom packaging solutions provider, through a strategic sale.
Recent Acquisitions: Acquired Applied Vision Corporation to strengthen their capabilities in machine vision inspection systems.
Office Locations:
- Cleveland (Headquarters): 25201 Chagrin Boulevard, Beachwood, OH
Website: www.capitalworks.net
Quote: “We are committed to the lower middle market and believe that our hands-on approach can unlock substantial value and growth.” – Rob McCreary, Managing Partner
Boathouse Capital
Investment Style: Boathouse Capital provides flexible capital solutions, focusing on mezzanine debt and equity investments in lower middle-market companies. They emphasize collaboration with management teams to facilitate growth and strategic initiatives.
Portfolio Companies: Their portfolio includes companies like G5 Search Marketing (digital marketing solutions), HealthQX (healthcare analytics), and Instant Financial (financial technology).
Founding Date: 2008
Number of Investment Professionals: Around 10
Assets Under Management: Approximately $350 million
Key Investment Professionals:
- Ken Jones, Managing Partner: Jones focuses on strategic direction and investment activities, leveraging his background in mezzanine financing and private equity.
- Fred DiSanto, Managing Partner: DiSanto is responsible for business development and value creation strategies across the firm’s portfolio.
Recent Exits: Exited HealthQX, a healthcare analytics company, through a strategic sale to McKesson Corporation.
Recent Acquisitions: Provided growth capital to G5 Search Marketing to support their expansion initiatives in digital marketing services.
Office Locations:
- Cleveland (Headquarters): 600 Superior Avenue, Suite 1300, Cleveland, OH
Website: www.boathousecapital.com
Quote: “Our partnership-first approach and flexible capital solutions empower companies to achieve their growth objectives effectively.” – Ken Jones, Managing Partner
MCM Capital Partners
Investment Style: MCM Capital Partners is focused on micro-cap buyouts in niche manufacturing, value-added distribution, and specialty service businesses. They emphasize operational enhancements and long-term growth potential.
Portfolio Companies: Includes companies like Essco (vacuum cleaner distribution), Dexmet Corporation (expanded metals and polymers), and Bock & Clark Corporation (commercial real estate due diligence).
Founding Date: 1992
Number of Investment Professionals: About 10
Assets Under Management: Approximately $300 million
Key Investment Professionals:
- Mark Mansour, Managing Partner: Mansour leads the firm’s strategy and investment execution, with extensive experience in operations, strategy, and finance.
- Michael D. D’Amore, Partner: D’Amore is involved in all aspects of the firm’s activities, focusing on sourcing and executing new investments.
Recent Exits: Successful exit of Dexmet Corporation through a strategic sale to PPG Industries.
Recent Acquisitions: Acquired ESSCO to enhance their distribution capabilities in the vacuum cleaner industry.
Office Locations:
- Cleveland (Headquarters): 25201 Chagrin Boulevard, Beachwood, OH
Website: www.mcmcapital.com
Quote: “Our focus on niche manufacturing and specialty services allows us to create substantial value through operational improvements and strategic growth.” – Mark Mansour, Managing Partner
Kirtland Capital Partners
Investment Style: Kirtland Capital Partners concentrates on lower middle-market buyouts with a focus on manufacturing, distribution, and business services. They utilize a collaborative approach with management teams to achieve strategic growth and operational improvements.
Portfolio Companies: Their portfolio includes companies like Electronic Systems Protection (power protection devices), Smith Cooper International (plumbing and fluid control solutions), and Transtar Industries (automotive parts distribution).
Founding Date: 1977
Number of Investment Professionals: Approximately 15
Assets Under Management: Over $1 billion
Key Investment Professionals:
- John Nestor, Managing Partner: Nestor is responsible for the strategic direction of the firm and its investment activities, leveraging decades of experience in private equity and business management.
- Mark B. Burgett, Partner: Burgett focuses on investment strategy and portfolio management, utilizing his extensive background in finance and operations.
Recent Exits: Successfully exited Smith Cooper International through a strategic sale to Wynnchurch Capital.
Recent Acquisitions: Acquired Electronic Systems Protection to expand their capabilities in power protection and management solutions.
Office Locations:
- Cleveland (Headquarters): 3201 Enterprise Parkway, Beachwood, OH
Website: www.kirtlandcapital.com
Quote: “Our partnership-driven approach with management teams is the cornerstone of our success in driving growth and creating value.” – John Nestor, Managing Partner
Edgewater Capital Partners
Investment Style: Edgewater Capital Partners targets lower middle-market companies, focusing on specialty chemicals, advanced materials, and life sciences. They aim to create value through strategic growth initiatives and operational enhancements.
Portfolio Companies: Includes companies like Pure Wafer (wafer reclaim services), DanChem (toll manufacturing services), and ChemQuest Chemicals (specialty chemicals).
Founding Date: 1998
Number of Investment Professionals: About 10
Assets Under Management: Approximately $500 million
Key Investment Professionals:
- Ted Stein, Managing Partner: Stein leads the firm’s investment activities and strategic direction, focusing on operational improvements and growth initiatives.
- Bill Guentzler, Partner: Guentzler focuses on sourcing and executing new investments, leveraging his expertise in specialty chemicals and advanced materials.
Recent Exits: Completed the sale of ChemQuest Chemicals through a strategic exit to a strategic buyer.
Recent Acquisitions: Acquired DanChem to expand capabilities in the specialty chemicals sector.
Office Locations:
- Cleveland (Headquarters): 200 Public Square, Cleveland, OH
Website: www.edgewatercapital.com
Quote: “Our firm is committed to creating transformational growth through strategic initiatives and operational excellence.” – Ted Stein, Managing Partner
Northcreek Mezzanine
Investment Style: Northcreek Mezzanine focuses on providing mezzanine debt and equity investments to lower middle-market companies, aiming to support growth, acquisitions, and recapitalizations.
Portfolio Companies: Their portfolio includes companies within diverse sectors such as manufacturing, healthcare, and business services.
Founding Date: 2008
Number of Investment Professionals: Approximately 8
Assets Under Management: Over $250 million
Key Investment Professionals:
- Barry Peterson, Managing Partner: Peterson is responsible for the firm’s investment strategy and management of portfolio companies, leveraging over two decades of experience in mezzanine financing.
- Matthew J. Rosen, Partner: Rosen focuses on investment sourcing, execution, and portfolio management, utilizing his extensive background in finance and private equity.
Recent Exits: Exited a portfolio company in the healthcare sector through a strategic sale to a larger industry player.
Recent Acquisitions: Provided mezzanine financing to support the growth of a manufacturing company within their portfolio.
Office Locations:
- Cleveland (Headquarters): 1100 Superior Avenue, Cleveland, OH
Website: www.northcreekmezzanine.com
Quote: “Our collaborative and flexible capital solutions are designed to empower businesses to achieve their strategic objectives effectively.” – Barry Peterson, Managing Partner
Conclusion
Cleveland’s private equity landscape continues to evolve, with firms playing a crucial role in reshaping local economic dynamics. The city’s strategic location and robust industrial base make it an attractive hub for investment opportunities. As these firms navigate complex market conditions, their impact on regional economic growth remains undeniable. For those seeking deeper insights into exit strategies and business acquisitions, subscribe to my YouTube channel at @alexejpikovsky for weekly in-depth analysis.