OceanSound Partners Raises $1.49 Billion Fund II

OceanSound Partners, a private equity firm based in New York, has officially wrapped up the closing of its second fund, OceanSound Partners Fund II, LP, raising an impressive $1.49 billion.

If that wasn't enough, combined with affiliated co-investment vehicles and a continuation fund closed earlier in April 2024, the firm has raised over $2.15 billion in total.

Not a bad day at the office for Joe Benavides, OceanSound’s CEO, whose estimated net worth has reportedly soared north of $300 million.

The firm’s second fund not only hit the mark but also exceeded it, surpassing its initial hard cap of $1.3 billion.

In fact, nearly all investors from OceanSound’s inaugural fund—closed in 2022 at $780 million—returned for this round, signaling confidence in the firm’s "all-weather" investment approach.

From pension plans to asset management firms, a wide array of investors showed their faith in OceanSound's ability to navigate uncertain markets.

OceanSound's success isn’t just about the numbers, though. The firm focuses on middle-market companies in sectors like government services and other highly regulated industries, where it typically invests between $75 to $300 million.

By adopting a strategic, hands-on approach, the company’s portfolio of investments has expanded to nine platform companies, which have collectively made 38 add-on acquisitions.

With over 12,000 employees and generating $3.7 billion in revenue, the OceanSound empire is certainly growing, and fast.

In what feels like a feat straight out of a corporate playbook, Benavides remarked on the firm’s success since launching just before the pandemic, navigating challenging markets, and pulling off close to 50 transactions.

It’s safe to say that OceanSound’s future looks bright—and perhaps even a little "too smooth sailing" for a firm named after the ocean.