About This Fund
NewSpring Mezzanine Capital V LP (NSM V) is the fifth mezzanine fund raised by NewSpring Capital, a diversified private capital firm headquartered in Radnor, Pennsylvania. NSM V held a final close on July 23, 2024 with $390 million of capital commitments, exceeding the fund's original target and attracting a diverse investor base including banks, insurers, public pension plans, financial institutions, and high-net-worth individuals. Like its predecessors, NSM V is licensed as a U.S. Small Business Administration Small Business Investment Company (SBIC), enabling the fund to access additional federal leverage to support investments in eligible lower-middle-market businesses.
NSM V provides flexible mezzanine debt and equity co-investment solutions to lower-middle-market companies, partnering with business owners and financial sponsors who seek growth capital without relinquishing majority ownership. The fund focuses on four core sectors: business and consumer services, niche manufacturing, distribution, and healthcare. Typical transactions include subordinated debt with equity participation features, allowing NSM V to capture upside while protecting downside through senior-ranking structures. NewSpring works alongside portfolio companies as an operational partner, providing access to the broader NewSpring network and management resources.
At the time of its final close, NSM V had already deployed approximately $273 million across 19 portfolio companies, demonstrating rapid deployment consistent with the firm's lower-middle-market pipeline. This follows on the firm's fourth fund, NewSpring Mezzanine Capital IV, which raised $364 million and hit its hard cap. NSM V's $390 million close represents continued growth in NewSpring's mezzanine franchise and reflects sustained institutional confidence in the SBIC-leveraged mezzanine structure as a yield-enhancing private credit strategy.