Midwest Growth Partners Sets Ambitious Rural Growth Path with Fund IV
Funding | Apr 15, 2025 | Midwest Growth Partners
Iowa-based private equity firm Midwest Growth Partners (MGP) has successfully completed fundraising for its fourth investment fund, Midwest Growth Partners IV, LP, achieving a milestone by raising $187.5 million, exceeding its target. This fund, MGP’s largest to date, marks the firm’s first as a Small Business Investment Company (SBIC) licensed entity, which empowers the firm to continue its mission of investing in the nation's underserved, rural areas. Known for their strategic investments in the lower middle market focusing on food, agriculture, manufacturing, and distribution, MGP aims to invest between $500,000 and $25 million in various profitable organizations. With a strong team and partnerships, MGP plans to make 10 to 15 investments from Fund IV in the coming years. The investments will support the growth of businesses, particularly in rural areas, add jobs, and assist with succession planning. Co-Founder John Mickelson emphasized the ongoing commitment to their long-standing strategy of supporting sectors overlooked by traditional capital.
Sectors
- Private Equity
- Small Business Investment
- Agriculture, Food, and Manufacturing
Geography
- United States – The fund will target rural and underserved regions across the United States, continuing the company's tradition of investment in these areas.
- Iowa – Midwest Growth Partners is based in Iowa, signaling their regional roots and focus, especially in Midwestern agrarian communities.
Industry
- Private Equity – Midwest Growth Partners operates as a private equity firm focusing on lower middle market companies, highlighted by their latest fund, Midwest Growth Partners IV.
- Small Business Investment – The article discusses the establishment of a Small Business Investment Company (SBIC) fund, which forms part of MGP's new fund, emphasizing their focus on small business support.
- Agriculture, Food, and Manufacturing – MGP invests heavily in sectors like agriculture, food, and manufacturing, sectors that are central to the firm's investment strategy particularly in rural areas.
Financials
- $187.5 million – The total amount raised for Midwest Growth Partners IV, the largest fund raised by the firm to date.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Midwest Growth Partners | Private Equity Firm | Company | A private equity firm based in Iowa with expertise in investing in rural and underserved areas, focusing on food, manufacturing, and agriculture. |
| John Mickelson | Co-Founder and Managing Partner | Person | Co-Founder and Managing Partner at Midwest Growth Partners, driving strategic investment in rural America. |