Sky Island Capital, a Dallas-based private equity firm, closed its second fund, Sky Island Capital Fund II, securing $300m in commitments.

The fund, which exceeded its initial target, highlights strong investor confidence in Sky Island’s strategy and expertise.

The fund will focus on acquiring and investing in lower middle-market companies across North America. Sky Island plans to back businesses with high growth potential and strong leadership teams, offering capital and operational guidance to foster long-term success.

“Our focus is on partnering with management teams to unlock growth opportunities and build lasting value,” a representative from Sky Island Capital stated. The firm’s hands-on investment style and deep industry knowledge are core to its approach.

Sky Island’s latest fund reflects increasing interest in the lower middle-market segment, known for its underexplored opportunities and potential for outsized returns. The firm’s strategy of active collaboration with portfolio companies aims to deliver measurable impact and sustainable growth.

Source: Citybiz

Can’t stop reading? Read more