Revitalizing American Industry: CORE Industrial Partners' $887 Million Commitment to Innovation

In a significant move that underscores the growing confidence in the American industrial sector, CORE Industrial Partners (CORE), a private equity firm with a keen focus on manufacturing, industrial technology, and services, has achieved a remarkable milestone by closing two new funds totaling $887 million. This strategic infusion of capital into CORE Industrial Partners Fund III (Fund III) and CORE Industrial Services Fund I (Services Fund I) not only surpasses their initial targets but also positions CORE as a pivotal player in the revitalization of the American industrial landscape.

At the heart of this financial achievement is Fund III, with a robust $685 million earmarked for investment into manufacturing and industrial technology businesses. Fund III embodies CORE's flagship strategy: to identify and nurture businesses within these sectors that, with CORE's expertise and operational excellence, can accelerate growth and maximize long-term value for investors and stakeholders alike. This approach is not new to CORE but continues a proven strategy that leverages the firm's deep investment knowledge and operational experience.

Complementing Fund III, CORE has introduced Services Fund I, a $202 million fund dedicated to the industrial services sector. This move signifies a strategic expansion of CORE's investment focus, underpinned by their belief in the sector's promising growth trajectory. Services Fund I aims to target the highly fragmented industrial services market, an area ripe for consolidation and innovation, especially in light of the reshoring of manufacturing operations and the rapid adoption of Industry 4.0 technologies across North America.

John May, Managing Partner at CORE, expressed profound gratitude and pride in the firm's recent accomplishment, emphasizing the trust and robust support from both new and existing investors. This support underscores the confidence in CORE's strategic direction and its commitment to harnessing the significant tailwinds propelling the industrial sector.

The investor base for both funds is notably diverse, comprising endowments, foundations, insurance companies, public and corporate pensions, global asset managers, and family offices spanning North America and Europe. This broad spectrum of investors not only highlights the wide-ranging appeal and confidence in CORE's strategic focus but also ensures a solid foundation for the firm's ambitious growth plans.

Legal and strategic counsel during the fundraising process was provided by Kirkland & Ellis LLP, with Harris Williams Private Capital Advisory acting as the exclusive placement agent. These partnerships were instrumental in the successful closure of these funds, reinforcing CORE's strategic positioning within the investment community.

CORE Industrial Partners, with offices strategically located in Chicago, Austin, and Cleveland, has now amassed over $1.58 billion in total limited partner commitments. This financial prowess is dedicated to fostering growth and innovation in the North American lower middle-market manufacturing, industrial technology, and industrial services sectors. With a team of experienced former CEOs and investment professionals, CORE is uniquely positioned to drive transformation and build market-leading industrial businesses. The firm's strategy revolves around partnering with family-owned businesses, entrepreneurs, and management teams, providing not just capital but valuable operational insights and expertise.

The substantial investment in Fund III and Services Fund I by CORE reflects a broader optimism in the American industrial sector's potential for innovation, growth, and global competitiveness. It signals a renewed focus on enhancing the capabilities of manufacturing and industrial services companies, positioning them to capitalize on advancements in technology, shifts in global supply chains, and increasing domestic production.

Moreover, CORE's strategic investments are timely, aligning with broader economic trends such as reshoring and the digital transformation of the industrial sector through Industry 4.0 technologies. These investments will likely spur job creation, foster innovation, and enhance the efficiency and sustainability of American manufacturing and industrial services.

In conclusion, CORE Industrial Partners' latest fundraising achievement is more than a financial milestone; it's a bold statement of confidence in the American industrial sector's future. Through targeted investments in manufacturing and industrial technology, CORE aims to catalyze growth, innovation, and long-term value creation, contributing to the revitalization of a sector that remains a cornerstone of the American economy. As CORE embarks on this next phase of growth, the firm is well-positioned to play a crucial role in shaping the future of American industry, demonstrating the transformative power of strategic investment in driving economic progress and technological advancement.