
Mountaingate Capital Closes Oversubscribed Fund III at $570 Million Hard Cap, Reaches $1.4 Billion in Total Assets Under Management
Mountaingate Capital, a prominent private equity firm based in Colorado, has announced the successful closing of its latest fund, Mountaingate Capital Fund III (“Fund III”). The fund closed at its hard cap with $570 million in capital commitments, marking a significant milestone for the firm. This brings Mountaingate’s total assets under management (AUM) to over $1.4 billion, underscoring the firm’s sustained growth and investment success.
Bennett Thompson, Co-Founder and Managing Director of Mountaingate Capital, expressed the firm’s pride in the success of their latest fundraise. “We believe our fundraising success speaks to the quality of the team we’ve built over the past ten years, as well as the strong partnerships we’ve cultivated with the leadership teams of our portfolio companies,” Thompson stated.
The rapid completion of Fund III’s fundraising—less than three months after being launched—was driven by strong support from existing investors and high demand from new institutional backers. Fund III was oversubscribed, which reflects the confidence investors place in Mountaingate’s disciplined and founder-focused approach to private equity investing.
In addition to the support of Mountaingate’s long-time investors, Fund III attracted a diverse group of new institutional investors, expanding the firm’s investor base across multiple sectors. These new investors included university and nonprofit foundations, global insurance companies, pension systems, as well as both domestic and international asset management firms. This broadening of Mountaingate’s investor base is indicative of the growing appeal of its investment strategy, which focuses on organic growth and adds value through the firm’s unique operational approach.
A Disciplined, Founder-Centric Investment Strategy
Mountaingate Capital has long been known for its disciplined, founder-focused investment strategy. The firm specializes in partnering with founders and entrepreneurial companies in the lower-middle-market, a space that has proven to be ripe for transformational growth. By aligning itself with visionary founders, Mountaingate has been able to leverage its expertise to accelerate business expansion, drive operational improvements, and create industry leaders.
Fund III will continue this focused strategy, investing primarily in companies within Mountaingate’s core sectors: digital services, data, tech-driven marketing and business services, specialty manufacturing, and distribution. These sectors are poised for continued growth and offer a broad range of opportunities for value creation through operational improvements and strategic acquisitions.

“Our approach has always been about partnering with exceptional entrepreneurs to create long-term value,” said Thompson. “With Fund III, we’re continuing to stay true to our strategy of backing founders and entrepreneurs who are committed to driving transformational growth. The success of this fundraise further reinforces our belief that the best opportunities for growth exist when we work directly alongside founders and their teams.”
The core sectors that Mountaingate targets for investment are chosen not only for their potential for growth but also because they provide significant opportunities for innovation and value creation. By investing in businesses that are positioned at the intersection of technological innovation and industry leadership, Mountaingate is able to leverage its expertise to maximize growth potential and operational efficiencies.
Efficient Fundraising and Strong Investor Demand
The swift and efficient closing of Fund III is a testament to the strong demand for Mountaingate’s investment strategy and its reputation in the market. The fund raised its target capital quickly, with an oversubscription that allowed it to close at its hard cap of $570 million. This success was achieved with the help of Mountaingate’s dedicated team and a robust network of existing and new investors, all of whom share the firm’s vision for long-term value creation and growth.
“We are incredibly grateful for the tremendous support from both our existing and new investors, which enabled us to complete such an efficient fundraise,” Thompson commented. “This success is a direct result of the strong relationships we’ve built with our investors over the years and our unwavering commitment to our disciplined investment process. Fund III’s successful closing allows Mountaingate to continue focusing on what we do best: backing founders and entrepreneurs to build market-leading businesses.”
The efficiency of the fundraising process highlights Mountaingate’s reputation as a trusted partner to institutional investors. With a proven track record and a team that has successfully navigated multiple market cycles, the firm has earned the confidence of a wide range of investors, which will enable it to pursue its next phase of growth and continue executing its strategy.
The Role of Atlantic-Pacific Capital and Kirkland & Ellis
Mountaingate Capital was supported in the fundraising efforts by Atlantic-Pacific Capital, Inc., which acted as the exclusive global placement agent and advisor for Fund III. Atlantic-Pacific’s deep expertise and extensive network of institutional investors played a key role in helping Mountaingate close the fund so efficiently. Kirkland & Ellis LLP served as legal counsel, providing essential legal guidance throughout the fundraising process.
Mountaingate’s Approach to Value Creation
At the heart of Mountaingate Capital’s approach is its focus on organic growth and creating value through operational improvements and add-on acquisitions. The firm uses a customer-centric buy-and-build approach, which enables it to work closely with portfolio companies to enhance their operations and accelerate their growth trajectory. Mountaingate’s shared equity ownership model further aligns the interests of management teams and investors, fostering a collaborative, long-term approach to business success.
The firm’s strategy of investing in lower-middle-market companies is rooted in the belief that smaller businesses, particularly those led by founders, often possess untapped potential. By partnering with these companies and providing the necessary resources, guidance, and operational expertise, Mountaingate helps unlock this potential and drives significant growth.
For Mountaingate, success is not just measured by financial returns but also by the lasting impact it has on its portfolio companies. The firm takes pride in the relationships it builds with management teams, as these partnerships form the foundation for sustained business growth.
Looking Ahead: Mountaingate’s Vision for the Future
With Fund III now closed, Mountaingate Capital is well-positioned to continue executing its founder-focused strategy and creating value in the lower-middle-market. The firm’s disciplined investment approach, which emphasizes organic growth, operational improvements, and strategic acquisitions, will remain the cornerstone of its strategy as it moves forward.
The firm’s focus on sectors like digital services, data, and specialty manufacturing ensures that it is well-positioned to capitalize on emerging trends and market shifts. These sectors are at the forefront of innovation and are expected to experience continued growth in the coming years.
“We’re excited about the opportunities that Fund III will enable us to pursue,” Thompson concluded. “Our success in closing this fund is a reflection of the strength of our team, the quality of our investments, and the trust that our investors place in us. We look forward to continuing to partner with founders and entrepreneurs to build market-leading businesses and drive transformational growth.”
About Mountaingate Capital
Mountaingate Capital is a Colorado-based private equity firm that specializes in partnering with founders and entrepreneurial companies to accelerate growth and build industry leaders. The firm’s focus on organic growth, customer-centric buy-and-build strategies, and shared equity ownership with management teams creates more value for customers while forging stronger, more collaborative investment partnerships. With over $1.4 billion in assets under management, Mountaingate targets investments in marketing services, business services, specialty manufacturing, and distribution. For more information, please visit www.mountaingate.com.
Read more: Mountaingate Capital Quickly Closes Oversubscribed Fund III at $570 Million Hard Cap