Chicago Growth Partners Exceeds Target for CGP II, LP; Closes Fund at $500 Million

Fund Experiences Strong Demand from LPs Seeking Growth Buyouts.

We are pleased to announce the final closing of Chicago Growth Partners II, LP (CGP II) at $500 million, exceeding our initial goal of $400 million. Anchor investors including Goldman Sachs, the State of Minnesota and Skandia reinvested with increased commitments, helping facilitate an extremely efficient fundraising process.  For CGP II, we look to continue with our successful investment strategy, primarily targeting investments in small growth buyouts.

We will begin investing CGP II with a deep bench and a well-honed team, including new Operating Partner Ron Davies, who worked closely with us as the COO at eInstruction (sold last July, eInstruction was an early, successful exit for CGP I). The team at CGP has been built specifically to help growth companies with business issues related to rapid expansion. We believe our abilities to help our portfolio companies resolve growth-oriented operating issues are better than ever. We will continue to develop our team in this area as we see additional needs at our portfolio companies.

Targeted industry sectors for CGP II will remain the same as CGP I, with continued focus on tech-enabled services, industrial growth, education and healthcare companies. We will consider investments requiring equity of $10 million to $50 million in well-managed growth companies that participate in expanding end markets. Our focus on the healthcare and education industries will be particularly helpful to CGP II as companies in these industries are less exposed to economic cycles.

We are grateful for the continued support of our current investors and for the interest shown in the fund by new investors.