HCI Equity Partners Review: Manufacturing & Distribution Private Equity
In-depth review of HCI Equity Partners (now Oridian Capital Partners): their manufacturing, distribution, and services investment thesis, portfolio companies, typical deal sizes, and how to prepare for investment.
Key Takeaways
- •Based in Washington, DC with office in Chicago
- •Founded in 2000
- •Approximately $1 billion in assets under management
- •Latest fund (HCI V): $405M
- •Focus on Defense, Distribution, Manufacturing, and Services
- •Named BluWave Top Private Equity Innovator 2023, 2024
About HCI Equity Partners
HCI Equity Partners (now rebranded as Oridian Capital Partners) is a lower middle market private equity firm focused on partnering with family and founder owned manufacturing, service and distribution companies. The firm has been recognized by Inc. magazine as a Founder-Friendly Investor. With approximately $1 billion in AUM across 2 active funds, HCI brings deep sector expertise and operational experience to their portfolio companies.
What HCI Looks For
- Family or founder ownership — Companies owned by families or founders seeking partnership
- Growth potential — Businesses with clear pathways to growth in industrial sectors
- Management continuity — Ownership interest for existing management post-transaction
- Operational expertise — Companies that benefit from HCI's operational experience
- Long-term partnerships — Businesses seeking a partner for growth, not just a buyer
Pro Tip
How to Connect With HCI Equity
- Emphasize Partnership Intent — Show interest in retaining equity and continuing involvement in the business post-transaction
- Demonstrate Growth Potential — Present clear strategies for organic growth and operational improvements
- Show Management Depth — Demonstrate you have a team that can run the business with HCI as a partner
- Leverage Industry Networks — HCI has strong relationships in manufacturing and distribution. Seek warm introductions
How Eagle Rock Helps
We help manufacturing and distribution companies prepare for PE investment by building detailed financial models, margin analysis, and operational dashboards. Our fractional CFO services ensure your company is ready for HCI's due diligence.
Pro Tip
Frequently Asked Questions
What industries does HCI Equity Partners focus on?
HCI Equity Partners primarily invests in Defense, Distribution, Manufacturing, and Services sectors. The firm seeks family or founder-owned companies with strong market positions.
What size companies does HCI Equity Partners acquire?
HCI Equity Partners targets lower middle market companies, typically investing $25M-$100M in equity for companies with enterprise values in that range.
What is HCI Equity Partners' typical investment size?
With their latest fund (HCI V) at $405M, the firm's equity investments generally range from $25M-$100M, positioning them as active investors in the lower middle market.
How long does HCI Equity Partners' due diligence process take?
Due diligence timelines vary by deal complexity, but HCI Equity Partners typically conducts thorough financial, operational, and market due diligence over several weeks to months.
What should I prepare before engaging with HCI Equity Partners?
Prepare three years of audited financials, detailed market analysis, management team bios, growth plans, and a clear vision for how the partnership would create value.
How does HCI Equity Partners work with portfolio companies?
HCI Equity Partners takes a partnership approach, working closely with management teams on strategic initiatives, acquisitions, and operational improvements while allowing founders to retain equity.
Ready to Connect With HCI Equity Partners?
Prepare your business for private equity investment with expert financial guidance. Our fractional CFO team helps you build the financial infrastructure PE firms expect.
Learn MoreThis article is part of our Private equity firms | Eagle Rock CFO guide.
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