American Discovery Capital Announces Successful Closing of American Discovery Fund II at $190 Million

American Discovery Capital (ADC), a prominent merchant bank specializing in founder-led and family-owned companies within the lower middle market, has revealed the final closing of American Discovery Fund II (ADF II) at $190 million. This marks a substantial increase over ADC's initial fund, American Discovery Fund I (ADF I), which closed in 2019 at $60 million.

ADF II will uphold its strategy of targeting majority and significant minority investments as the first institutional capital in leading businesses within the business services and software sectors, with a focus on founder-led and family-owned companies. The fund has already secured three investments and is actively seeking new opportunities.

A diverse group of limited partners, including wealth managers, family offices, and high net worth individuals, has committed to ADF II, with over 17% of the commitments originating from ADC's partners and employees. The firm's merchant banking model is hailed as a unique differentiator, enabling ADC to identify exclusive investment opportunities and provide valuable market intelligence, industry expertise, and professional relationships that benefit its portfolio companies. Read the full press release here.