News

August 29, 2000

New Investment Fund Makes $250 Million Available

Norwest Mezzanine Partners Established to Provide Capital for Middle-Market Companies

Norwest Equity Partners announced today that the partnership has formed Norwest Mezzanine Partners I, LP; a $250-million investment fund. This new partnership make individual investments of $10-30 million in subordinated debt and preferred equity capital in middle-market companies.

“Over the last 20 years, we have regularly invested in middle-market buyouts and recapitalizations,” notes John Lindahl, managing general partner of Norwest Equity Partners. “Norwest Mezzanine Partners represents our further commitment to private equity investing.”

Managing the new team are Timothy DeVries and newly hired Michael Hall, both general partners. “Because we are committed to Mezzanine activity, we’ve hired Michael Hall to take overall responsibility for Norwest Mezzanine Partners,” says DeVries, who championed the effort to create the new team. “Mike is a seasoned professional who will give the new group strong leadership. He also has the resources and expertise to begin making investments immediately.” Hall was previously a senior investment principal with Churchill Capital, one of the largest and most active participants in the mezzanine industry. “I am delighted at the opportunity to associate with Norwest Equity Partners. They have experience and credibility – two of the keys to successful mezzanine investing,” Hall asserts.

Norwest Equity Partners has established the new team because the partners believe mezzanine capital has played an increasingly important role in private equity investing. “Establishing Norwest Mezzanine Partners will allow us to capture additional investment opportunities,” maintains Hall. He and DeVries will continue to build the team of investment professionals to enhance the new group’s capabilities.

Norwest Equity Partners is among the pioneers of the private investment industry with operations dating to 1961. The company invests broadly in middle-market transactions, with specialized activity in the media and telecommunications industry. Norwest Equity Partners VII, LP is actively investing its $800-million investment fund.

Norwest Equity Partners (NEP) is a leading middle market investment focused on partnering with business owners and building companies into industry leaders. With a reputation for quality investments and exceptional financial returns since 1961, NEP manages nearly $5 billion of capital through a series of equity and mezzanine funds. Offering creative and flexible transaction solutions through management buyouts, recapitalizations and growth financings, NEP seeks $30-$150 million equity investment opportunities for growing and profitable companies within the agriculture, applied technology, business services, consumer products and services, distribution, healthcare and industrial industry sectors. NEP is headquartered in Minneapolis, Minnesota; please visit nep.com for more information.