What Waterman Capital does

Waterman Capital is a New Zealand private equity firm founded in 2004 and headquartered in Auckland, focused exclusively on investing in mid-market private New Zealand businesses typically valued between NZ$50 million and NZ$150 million. The firm has raised five successive private equity funds totaling over NZ$830 million in capital commitments from family offices, high-net-worth individuals, community trusts, iwi, and institutional investors, with the most recent Fund 5 closing at NZ$300 million in September 2024 after being heavily oversubscribed above its hard cap. Waterman operates as an active, value-add investor, taking board seats on all portfolio companies and providing strategic, financial, and operational input across areas such as add-on acquisitions, geographic expansion, talent acquisition, pricing strategy, and governance enhancement.

The firm's core offering is a series of closed-end private equity funds, with revenue generated through management fees on committed capital and carried interest on investment returns above a hurdle rate. Over 20 years, Waterman has completed 18 primary investments and over 90 portfolio add-on acquisitions across diverse sectors including healthcare (Healthcare Holdings, NZCR, former Canopy Healthcare, HealthLink), education (former Academic Colleges Group, ICL Education Group), IT services (former Fusion5), specialty retail (Farro), and property management (Crockers). Notable exits include the sale of Partners Life to Dai-ichi Life for approximately NZ$1 billion and the sale of Fusion5 to BGH Capital in June 2024, with the latter generating 92% revenue growth to approximately NZ$200M during Waterman's ownership.

Waterman's investment approach centers on an experienced core team with over 100 years of combined private equity experience that has worked together for over a decade, supplemented by in-house operational resource available for deeper portfolio engagement. The firm has won six major industry awards including the inaugural NZ Private Capital Firm of the Year in 2024 and Investment of the Year for Fusion5. Current portfolio companies include Healthcare Holdings, NZCR (which has expanded trans-Tasman through the CMAX acquisition), Farro, Crockers, and ICL Education Group, while recently divested assets include Fusion5, Provincial Education Group (sold to Busy Bees Australia), and PBT Courier Business (sold to NZ Post).

Name

Waterman Capital

Legal name

Waterman Capital

Website

https://waterman.co.nz

Company type

Private

Founded year

2004

Operating status

Operating

Headcount range

1–10 employees

Short description

Waterman Capital is a New Zealand private equity firm investing in mid-market NZ businesses valued NZ$50M-$150M, with five funds totaling over NZ$830M and 18 primary plus 90+ add-on investments completed over a 20-year track record.

Ownership category

akta.pro rank

Product category

Private Equity Fund Management

NAICS

Portfolio Management and Investment Advice (523940), Funds, Trusts, and Other Financial Vehicles (525)

SIC

Investment Advice (6282)

akta.pro primary industry

Large-Cap / Mega-Fund Buyout (FSANABAA)

Keywords

• Private equity investment
• Mid-market buyouts
• Growth capital funding
• Portfolio management
• Management buyouts

Headquarters

HQ city

Auckland

HQ country

New Zealand

HQ region

Oceania

Offices1 record

Markets served

GTM type

B2B

Offering type

Services

Cost components

Personnel, Operations, Technology or R&D, Marketing or Sales, Infrastructure

Revenue model

1. Private Equity Fund Management: Waterman Capital raises capital commitments from family offices, eligible individuals, community trusts, iwi, and institutional investors into closed-end private equity funds. The firm earns management fees on committed capital and carries carried interest on investment returns above a hurdle rate. Returns are generated through capital appreciation and dividend distributions from portfolio companies, culminating in realized gains upon exit.

Go-to-market motion1 record

Distribution channels1 record

Marketing channels3 records

Core offering

Waterman Capital is a New Zealand private equity firm that raises closed-end funds from family offices, iwi, community trusts, high-net-worth individuals and institutional investors, and deploys that capital as majority growth capital, buyout and add-on acquisition funding into mid-market private New Zealand businesses typically valued between $50 million and $150 million. The firm is an active investor that accepts board seats in every portfolio company and works collaboratively with management teams on strategy, acquisitions, operational improvement, governance and succession planning.

Product overview

Waterman Capital is a private equity firm offering a series of investment funds (Fund 1 through Fund 5) targeting mid-market New Zealand businesses. The core investment thesis focuses on businesses valued between $50 million and $150 million, providing growth capital, acquisition funding, and operational expertise through an active value-add approach including board participation. The funds invest across diverse industries including healthcare, education, specialty retail, and property management, with the management team having over 100 years of combined private equity experience and an established 20-year track record.

Differentiator

Problem solved

Functional benefit

Products and services

• Waterman Fund 5
• Waterman Fund 4 LP
• Waterman Fund 3 LP
• Mid-Market Private Equity Investment

Quantifiable outcome

• Over the past 20 years, Waterman has completed 18 primary investments and over 90 portfolio add-on investments.
• +2 more outcomes

Named customers12 records

Segments1 record

Ideal customer profiles2 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature1 record

Scale indicators4 records

Recent moves9 records

Expansion highlights5 records

Regional players

• Anchorage Capital Partners: Australian mid-market PE firm with trans-Tasman investment focus. Comparable on deal size and buyout style, competing for the same Australasian mid-market opportunities.

Broad incumbents

• Intermediate Capital Group: Global alternative asset manager that acquired Canopy Healthcare from Waterman. Larger scale, but active buyer of NZ PE-backed assets, making it both a competitor for deals and an exit route.
• BGH Capital: Large Australian PE firm that acquired Fusion5 from Waterman in June 2024. Represents the larger trans-Tasman PE competitors increasingly active in the NZ mid-market.
• Pacific Equity Partners: Large Australasian PE firm that has historically acquired NZ assets. Larger and more diversified than Waterman, but operates in adjacent mid-to-large Australasian deal space.

Direct peers

• Direct Capital: New Zealand mid-market PE firm investing in NZ private businesses of similar scale. Direct competitor for NZ mid-market buyouts and growth capital transactions.
• Pioneer Capital: New Zealand-based mid-market PE investor with a similar thesis of backing NZ private businesses. Competes for the same domestic deal flow and LP capital.
• Pencarrow Private Equity: One of New Zealand's longest-established mid-market PE firms investing across similar NZ target company sizes. Directly comparable as a domestic mid-market sponsor competing for the same deal universe.
• Allegro Capital: New Zealand-focused PE and growth capital investor. Competes directly for NZ mid-market private company transactions.
• Next Capital: Australasian mid-market PE firm with active trans-Tasman investment activity. Comparable in deal size and growth/buyout orientation to Waterman's strategy.

Others

• Canada Pension Plan Investment Board: Global institutional investor active in Australasian mid-market PE as an LP and co-investor. Relevant given Waterman's institutional LP base and increasing global capital flowing into NZ mid-market.

Market position

Strengths4 records

Weaknesses4 records

Competitive moat4 records

Key risks5 records

Key highlights6 records

Customer concentration

Revenue estimate

Valuation estimate

Number of profiles

Profiles7 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A7 records

Investments10 records

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Waterman Capital