Blue Delta closes its fourth fund at $250M
Gettyimages.com / Hiroshi Watanabe
By
Ross Wilkers
This is the venture investment firm's largest fund to-date and a continuation of its approach in backing growth-stage contractors.
Blue Delta Capital Partners, a venture investment firm focused on the federal market, has closed its fourth fund for making equity investments in government technology and services companies.
At $250 million in commitments from investors, Blue Delta Capital Fund IV is the firm's largest to-date and follows the launch of Fund III in December 2021 with $215 million fetched.
Out of Fund IV, Blue Delta will make equity investments of between $15 million and $50 million for noncontrolling ownership positions in growth-stage contractors.
"This new fund will allow us to do more of the same – scaling companies through superior organic growth and occasionally augmented with selective tuck-in M&A – to fill the gap in the lower-middle market for differentiated, well-run $100+ million revenue businesses with strong technical capabilities, deep management teams, and superior customer intimacy,” Phil Nolan, a Blue Delta general partner, said in a release Wednesday.
Blue Delta's notable investments during the past 12 months include Concept Plus, an integrator of Oracle solutions, and the software-defined radio maker Herrick Technology Laboratories.
Along with providing capital, Blue Delta works with its portfolio companies to build out their operations and talent in support of growth.
Cooley LLP (Aaron Velli and Katelyn Kimber) acts as fund counsel to Blue Delta.