Capitala Group entered a strategic partnership with Mitsui & Co. (U.S.A.), the companies said in a joint announcement Monday.
Terms of the transaction, which gives Mitsui a minority non-controlling interest in Capitala, were not disclosed.
Capitala Group is a $3 billion asset management firm based in Charlotte, N.C., that provides capital to lower-middle-market companies throughout North America. "This gets us access to capital, resources and a global relationship," Capitala CEO Joseph B. Alala III said in an interview. "We really want to substantially increase our assets under management over the next five to seven years. This brings a lot more resources and scale."
Capitala Group plans to expands investor base and expects the Mitsui partnership to attract Asian investors, Mr. Alala said. The current management team will remain, and the firm plans to hire additional staff, including some Mitsui employees.
Matthew Maher, Mitsui U.S.A. general manager who leads the private equity business, said in a statement that the Mitsui & Co. wholly owned subsidiary has a long history of partnering with innovative market leaders. "We are excited to support Joe and his team in the next phase of Capitala's growth," he said.
Shigeyuki Toya, senior vice president of Mitsui U.S.A.'s financial and new business division, said in the same statement that Capitala's platform was attractive "due to its long-term performance, management vision, strong culture and dedicated service to partners, portfolio companies and investors."