Ocean Lane Fund III
Lower-middle market buyout fund targeting industrial & business services
| Deal Type | Fund |
|---|---|
| Sector | Industrials |
| Geography | North America |
| Stage / Vintage | 2026 |
| Total Fundraise | $500M target; $600M hard cap |
| Minimum Ticket | $5M |
Opportunity Overview
Ocean Lane Capital Partners III is a $500M lower-middle-market private equity fund targeting B2B industrial and business services companies with $5M–$30M EBITDA in North America. The GP, founded in 2012 with pedigree from The Gores Group and Gilbert Global Equity Partners, has generated verified top-quartile returns across two prior funds: NPG Fund I (2014, 22% gross IRR, 4.3x MOIC, 1.7x DPI) and NPG Fund II (2020, 21% gross IRR, 2.3x MOIC). Fund III targets 17% net IRR and 2.7x net MOIC through operational transformation, buy-and-build M&A, and proprietary sourcing via 15+ veteran operating partners from Honeywell, GE, and British Telecom. Entry multiples at 6–8x EBITDA provide significant margin of safety versus 10–12x in large-cap auctions. Portfolio approach emphasises non-financial value creation, recurring revenue, and disciplined exit planning. Compelling lower-middle-market allocation for GCC LPs seeking USD exposure and portfolio diversification.
Key Highlights
- Top-quartile track record: 4.3x MOIC, 22% gross IRR on Fund I; 1.7x DPI realized
- Proven buy-and-build playbook with standout exits (Pipeworks 16.3x MOIC, 1st Choice $115M trade sale)
- 15+ veteran C-suite operating partners from Honeywell, GE, British Telecom, U.S. Space Command
- Attractive 6–8x EBITDA entry multiples; $1.6T divestiture pipeline (2025) creates sourcing advantage