About This Fund
Ocean Avenue Fund IV, L.P. is the fourth flagship private equity fund raised by Ocean Avenue Capital Partners, a Los Angeles–based lower middle market and special situations investor founded in 2011. The fund completed its final close in August 2020 at its hard cap of $350 million, exceeding its initial $300 million target. Ocean Avenue Capital Partners draws its institutional LP base from public and corporate pension funds, foundations, financial institutions, asset managers, family offices, and high net worth individuals, reflecting the firm's established track record across its fund series.
Ocean Avenue Fund IV pursues control buyout investments and special situation opportunities in the lower middle market, targeting companies with $3 million to $15 million in EBITDA across North America. The fund's investment mandate encompasses change-of-control transactions in founder-owned businesses, underperforming business turnarounds, carve-outs of non-core corporate divisions, and corporate restructurings. Ocean Avenue's independent-sponsor partnership model—a distinctive feature of the firm—allows the fund to co-invest alongside trusted independent sponsors, expanding deal flow while sharing underwriting responsibility with partners who have deep sector expertise. Legal counsel for the fund's closing was provided by Kirkland & Ellis.
Notable Fund IV portfolio companies include BlueCloud, Arandell, and InXpress Global, spanning IT consulting and outsourcing, B2B printing services, and global logistics. The fund's successful close at its hard cap validated Ocean Avenue's differentiated lower middle market strategy and strengthened the firm's platform for continued growth. This momentum carried through to the subsequent fundraise: Ocean Avenue Capital Partners, L.P. closed Fund V oversubscribed at its $600 million hard cap in February 2024, nearly doubling the size of its predecessor and reflecting the growing institutional appetite for lower middle market and special situation strategies.