Highland Rim Capital Partners, its principal office located in Nashville's venturey Green Hills quarter, recently filed to raise $200MM for investment in lower middle-market businesses.

HRCP's A and B LP filings together show $84MM having been raised as of March 28 from nine investors, with the placement effort reportedly supported by Eaton Partners, which is a Stifel Financial unit. SEC file.

Chris Godwin

Highland Rim Capital was registered in Delaware in March 2022 and established in Nashville soon thereafter by Partners Chris Godwin, Mark Isaacs, Matt Lane and Lamar Stanley, shortly after each of them departed their roles with GenCap America Inc., the private investment firm long headquartered in Nashville.

The Highland Rim Capital website notes the partners "have over 60 years of combined private equity experience and have been investing together since 2008." The team page is here.

The firm's portfolio page shows three investments made in the past 11 months -- in Associated Adjusters Network (insurance, Knoxville); CorporateLiving.com (hospitality, Cleveland, Ohio); and I-Deal Optics (eyewear; Troy, Mich.)

Candidates for investment will typically be in light manufacturing, value-add distribution, and-or business services. The firm provides listings of its experience in segments of those sectors on its deal-criteria page.

The firm's preferred transaction types include management buyouts, family succession, divisional spinouts, majority-control recapitalizations, founder transitions and corporate divestitures.

Target characteristics include a history of sustained operating cash flows; a diversified customer base; and, "motivated and long-tenured in-house manager(s) who desire ownership in the company."

Prospects will typically have revenue of $10MM-$100MM, EBITDA ranging $2.5MM to $10MM and selling nationwide with emphasis on the nation's South and Midwest, according to the website.

Highland Rim's one-sheet overview is here (pdf). VNC

.last edited 0648 11 April 2025