CID Capital Closes $250 Million Fund IV with New Leadership

CID Capital Successfully Closes Oversubscribed Fund IV

CID Capital, a prominent private equity firm, has recently closed its fourth buyout fund, known as Fund IV, reaching an impressive $250 million. This has surpassed the initial target of $200 million, showcasing the confidence investors have in CID Capital's strategy and leadership. The fund was primarily backed by a diverse mix of institutional investors, including fund-of-funds, insurance companies, registered investment advisors (RIAs), endowments, and family offices.

Investor Confidence and Future Plans

CID Capital expressed deep gratitude for the strong relationships it has built over time. Cory Heck, one of the partners who led the fundraising for Fund IV, emphasized the importance of these long-term investor relationships and welcomed new partners into the fold. The successful fundraising has enabled CID Capital to pivot its focus back to sourcing attractive investment opportunities within the lower-middle market.

Leadership Changes and Promotions

In an important organizational shift, CID Capital also announced the promotion of Cory Heck and Eric Derheimer to co-managing partners, effective in 2025. Eric Derheimer, who has been with CID since 2014, has significantly contributed to the firm’s portfolio performance and growth. As he prepares to take on his new role, he shared his excitement about leading the team and continuing the strong collaborative culture they have fostered.

Commitment to Team Development

Since joining, Heck has also played a crucial role in managing investor relations and ensuring the firm continues to raise capital effectively. The dedication to developing both a strong team and investor relationships has been at the forefront of their operations, which has led to a stable and growing environment for investors.

Transition in Leadership Roles

With the elevation of Heck and Derheimer, CID’s current managing partner, Steve Cobb, is transitioning to a senior partner role. Cobb will continue to oversee the investment portfolio and will help facilitate a smooth transition as he approaches retirement plans in 2025. His experience spanning nearly 25 years at CID Capital positions him to ensure that the firm remains on track as it looks to the future.

Future Opportunities for Growth

Cobb expressed confidence in the new leadership, noting the bright future that lays ahead for CID Capital. He highlighted the firm’s commitment to nurturing talent, which is integral to its long-term success. This transition is not just about moving people into new roles but also about maintaining a consistent vision and strategic focus that benefits investors.

About CID Capital

CID Capital is recognized for making control investments in high-quality, lower-middle market companies that show a strong history of success. They aim to assist businesses transitioning beyond the entrepreneurial stage by offering the necessary planning, resources, and capital to foster sustained growth.

Frequently Asked Questions

What is Fund IV and its significance?

Fund IV is CID Capital's fourth buyout fund, which successfully closed at $250 million, exceeding its $200 million target, highlighting strong investor confidence.

Who are the new co-managing partners at CID Capital?

Cory Heck and Eric Derheimer will assume the roles of co-managing partners effective January 1, 2025, leading the firm into its next chapter.

What strategies does CID Capital pursue?

CID Capital focuses on industrial investments and aims to work closely with company owners, management teams, and advisors to create long-term value.

How will CID Capital evolve with the leadership changes?

The leadership shifts are designed to strengthen the firm’s focus on growth, development, and enhanced investor relationships, ensuring a prosperous future.

What is CID Capital's history and mission?

Founded as a private equity firm, CID Capital specializes in control investments in the lower-middle market, providing resources for companies ready to scale beyond their entrepreneurial roots.

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