CVCA New Member Profile: KV Capital
In our ongoing series highlighting new members at the CVCA, we’re taking you behind the scenes to shed light on the impactful organizations in our community.
Say hello to KV Capital!
Tell us about KV Capital
Founded in 2006 and proudly headquartered in western Canada, KV Capital is an alternative investment manager. Our investments are split into a diverse range of assets including private operating businesses, real estate debt, and real estate development.
Under the KV Capital umbrella, KV Private Equity identifies, invests in, and enhances the value of great businesses. We are proud to be a positive catalyst for the companies in our Fund I and Fund II portfolios.
The KV Private Equity team consists of 8 staff, with independent oversight provided by the Independent Investment Committee Members and Independent Limited Partner Advisory Committee. These groups work together to engage customized solutions that help ambitious businesses grow and prosper.
We invest in high-quality businesses in Canada and the United States, with strong sustainable free-cash flow metrics and strong growth prospects. Our mandate is to invest with a majority ownership structure enabling us to create long-term partnerships and work along management as we execute a growth plan.
We have demonstrated success with taking smaller, regional, owner-operated private businesses to competitive industry players in the mid-market arena with strong backlogs. Our approach focuses on adding value through strategy, operational optimization, and growth capital.
KV Capital Private Equity is industry agnostic, but focused on low-tech industries such as manufacturing, distribution, consumer products, and real estate adjacent businesses.
Who are key people at KV Capital?
Jonathan Herman, CPA, ICD.D, is the President of KV Capital Private Equity. He plays an integral role in driving success of the portfolio companies by overseeing the launch, procurement, and operation of the business partnerships. He has successfully completed the acquisition of the four businesses in KV Capital’s inaugural private equity fund, led the exit of two of those portfolio companies, and launched KV Private Equity Fund II. Before joining KV Capital in 2011, Jonathan offered his expertise regarding the commonalities inherent in successful ventures and the creation of win-win outcomes in his role as a public accountant at Deloitte.
What is KV Capital excited about?
We were recently pleased to announce the launch of KV Private Equity Fund II LP (“Fund II”), a closed-end limited partnership, as well as the first acquisition within the Fund, Mountain Sports Distribution (“MSD”) — a leading full-service distributor in the powersports industry.
Building off the momentum from KV Private Equity Fund I LP, Fund II leverages KV Capital’s hands-on approach in creating success for portfolio companies through new investment of human and monetary capital, process improvements, and initiatives which unlock step changes in scale.
We look forward to building on this chapter of growth, continuing to accelerate progress for MSD alongside their knowledgeable management team, and unlocking further potential for other great companies.
Stay connected with KV Capital Private Equity at https://www.kvcapital.ca/private-equity and follow along for updates here.