OceanSound Partners Closes $1.49 Billion Fund II

– OceanSound Partners, a private equity firm focused on technology and tech-enabled services, announced the close of its second fund, OceanSound Partners Fund II, LP.

– The fund raised $1.49 billion in total capital commitments.

– Along with co-investment vehicles and a single-asset continuation fund closed in April 2024, OceanSound has raised over $2.15 billion in cumulative committed capital.

– OceanSound received support from a diverse group of existing and new limited partners, including pension plans, endowments, family offices, institutional consultants, asset management firms, and insurance companies.

– The Fund was oversubscribed, with nearly all inaugural fund investors returning.

– The Fund closed at its revised hard cap, above its initial hard cap of $1.3 billion and target of $1.0 billion, surpassing the $780 million inaugural fund.

– OceanSound’s first fund, which targeted $550 million and closed in February 2022, was also oversubscribed.

– Based in New York, OceanSound focuses on middle-market companies in government and highly regulated enterprise end markets.

– OceanSound follows a structured value creation approach focusing on strategic initiatives and operational best practices.

– Typical investments range from $75 to $300 million in companies with enterprise values between $150 to $750 million.

– OceanSound currently manages over $3.7 billion in Regulatory Assets Under Management and has completed nine platform investments and 38 add-on acquisitions.

– Its portfolio companies generate over $3.7 billion in revenue and employ over 12,000 individuals.

– Joe Benavides, Managing Partner, attributed the success of the second fund to OceanSound’s differentiated investment strategy and strong execution.

– OceanSound has raised two funds, returned a significant portion of capital to investors, and closed nearly 50 transactions since its inception before the COVID-19 pandemic.