June 2003
DeltaPoint Capital Management, LLC Announces New Private Equity Fund
(Rochester, NY) DeltaPoint Capital Management, LLC, a Rochester NY-based manager of later stage private equity has closed on its most recent fund, DeltaPoint Capital III, L.P. DeltaPoint Capital III is the third pool of capital managed by DeltaPoint and targeted for investment in established, profitable, well managed privately owned companies located in Upstate New York.
DeltaPoint Capital III's limited partners include the New York State Common Retirement Fund, which has committed the first $25 million to DeltaPoint Capital III. The $105 billion New York State Common Retirement Fund is the nation's second largest public pension fund. Alan G. Hevesi, New York State Comptroller, is the sole trustee of the Common Retirement Fund. The balance of committed capital has been raised among a number of individual investors and institutions from Upstate New York.
"Investing in New York-based businesses is one of the best ways to boost the state's economic strength," Hevesi said. "The partnership with DeltaPoint is a significant piece of our overall strategy to invest up to $250 million in New York-based firms. This investment will help small companies to grow, which in turn will create more jobs and help boost the economies of Upstate New York."
"We are excited about the opportunity to provide capital to businesses located in Upstate New York", said David Waterman, Managing Director of DeltaPoint Capital. "With up to $50 million to invest we hope to make a significant contribution to increasing employment and maintaining economic stability in the region."
DeltaPoint Capital III plans to invest in as many as 15 businesses over the next five years. There are more than 8,000 businesses with 100 or more employees located in Upstate New York according to the U.S. Census Bureau. Many of those companies will seek capital to fund growth or recapitalizations of their businesses. DeltaPoint Capital III is positioned to invest in these situations.
The principals of DeltaPoint, David Waterman, Tom Cimino and Bert Salisbury have been actively involved in providing investment capital to companies in New York State for the past 16 years. As founders of Capital Formation Group, a Rochester based merger and acquisition advisory firm, Waterman and Cimino have led more than 80 transactions involving Upstate New York based companies. Through two prior capital funds, the principals have invested in 13 Western New York companies, and are actively managing four of these prior investments.
DeltaPoint Capital III has applied for a license to operate as a Small Business Investment Company for the U.S. Small Business Administration. They expect to receive the license later in 2003.