LOS ANGELES--(BUSINESS WIRE)--Composition Capital (“Composition”) today announced its launch as a private equity firm providing growth capital and strategic operating support to high-growth technology and technology-enabled companies.
Composition, a fully independent firm, is founded and co-led by Nishita Cummings and Leon Chen, seasoned and accomplished technology investors. Cummings and Chen most recently served as Managing Partners of Kayne Partners, the technology-focused growth capital strategy of Kayne Anderson Capital Advisors, L.P. (“Kayne Anderson”), a Los Angeles-based alternative asset manager. As investment managers at Kayne Partners, Cummings and Chen helped grow the growth capital strategy to $1.3 billion under management across six funds and growth-stage investments in lower middle market technology and technology-enabled services businesses.
“We are thrilled to launch Composition Capital at such a pivotal moment, with uniquely compelling market conditions and technology trends coalescing to fundamentally strong investment opportunities. We are big believers in the lower middle market being the cradle of innovation and value creation for the broader technology market, and yet it continues to be an underserved market sector,” said Cummings. “Our ability to drive outsized risk-adjusted returns hinges on three core competencies developed over the last twenty years: deep sector and domain expertise, flexible capital solutions, and value creation in the portfolio through internal expertise and our operator network. Our investment philosophy is rooted in the fundamentals, with a specific focus on being true partners to both our investors and our portfolio companies.”
Composition has entered into a sub-advisory arrangement with Kayne Anderson regarding certain Kayne Anderson growth capital funds, to provide management of such funds’ portfolio companies, alongside Kayne Anderson personnel and operating partners with Kayne Anderson maintaining ownership of the funds, the general partner, and the investment manager. The Composition team will also continue to deploy capital for certain existing Kayne Anderson growth capital funds.
“We’re incredibly excited to launch Composition and to back the next generation of technology leaders and innovators. At the same time, we’re grateful for our many years at Kayne Anderson – an organization of consummate professionals and remarkable people, which underpins the firm’s tremendous success spanning many decades. We thank the Kayne team for their continued support,” remarked Chen.
Said Paul Blank, President and COO of Kayne Anderson, “We want to thank Nishita and Leon and all of the Kayne Partners team for their time at Kayne Anderson. They have built a great team and track record, and we are proud of the investments we have made together. We wish them the best of luck in their new endeavor and look forward to continued collaboration with Composition.”
Joining Composition Capital are some professionals who previously worked alongside Cummings and Chen on Kayne Anderson’s growth capital team, including Jacqueline Berris, Jannah Boudreaux, Vladimir Malugin, Laura Mason, Ronald Pierre, and Brendan Talarczyk. Composition will also be complemented by its network of value-add operators, consisting of tenured and accomplished technology and adjacent professionals.
About Composition Capital
Composition Capital is a Los Angeles, CA-based growth capital firm focused on technology and technology-enabled services businesses in the lower middle market. The firm focuses primarily on healthcare, financial technology, supply chain & logistics, and enterprise software. Composition Capital supplements its thematic approach to investing with its operational approach, leveraging its network of functional and vertical operating specialists to add value to its portfolio companies.
For more information visit www.compositioncap.com.
About Kayne Anderson Capital Advisors, L.P.
Kayne Anderson Capital Advisors, L.P., founded in 1984, is a leading alternative investment management firm focused on real estate, credit, infrastructure and energy. Kayne’s investment philosophy is to pursue niches, with an emphasis on cash flow, where our knowledge and sourcing advantages enable us to deliver above average, risk-adjusted investment returns. As responsible stewards of capital, Kayne’s philosophy extends to promoting responsible investment practices and sustainable business practices to create long-term value for our investors. Kayne manages nearly $35 billion in assets (as of 6/30/2024) for institutional investors, family offices, high net worth and retail clients and employs over 325 professionals in five core offices across the U.S.
