Inside CCMP Growth’s $500M Bet on Founder-Led Consumer & Industrial Growth

The closing of CCMP IV marks a critical phase in CCMP Growth’s strategic evolution. Although a newly formed entity—itself a spin-out from CCMP Capital Advisors in 2022—CCMP Growth has carried over a seasoned leadership team led by Joe Scharfenberger and Mark McFadden. With CCMP Capital’s legacy well established (Fund III closed at $3.6 billion in 2014, plus a subsequent $948 million continuation vehicle in 2022), CCMP Growth is aiming for focused impact rather than scale. [2][11]

CCMP IV’s investment strategy is sharply defined: control buyouts and selective growth equity in consumer and industrial companies growing organically at 10%+ annually, and often founder- or family-owned. CCMP Growth aims to drive growth through operational improvements, expansion of capacity, marketing investment, and economically accretive bolt-on M&A. Notably, leverage is being held to moderate levels (~3x-4x EBITDA) to allow flexibility in scaling. [11]

The four platform investments so far provide insight into the types of companies CCMP Growth is targeting: Mammoth Holdings (express car washes), Omnia (roofing/exterior services), Decks & Docks (outdoor building product distribution), Innovative Refrigeration (industrial refrigeration services). These reflect specialty, often fragmented end markets with recurring or service components, positions suitable for consolidation and technology-oriented improvement. [1][2]

But there are risks and open questions. The fundraising environment remains challenging across private equity, particularly for new or rebranded firms; CCMP Growth benefits from its track record and deep LP relationships—but turning that into performance requires managing leverage, execution of bolt-ons, and exit timing. Moreover, CCMP IV is deploying in a middle-market segment sensitive to economic cycles and cost pressures (e.g., industrial input inflation, wage costs), so margin compression is a potential concern.

Strategically, CCMP Growth appears to be positioning itself for sustainable but narrower growth—eschewing ultra-large buyouts in favor of middle-market specialization, founder/family segment, and high organic growth platforms. Given CCMP Capital’s large legacy funds, CCMP Growth may offer co-investment or continuity for LPs seeking exposures similar to CCMP Capital but with more focused risk and return profiles. If successful, the firm could become a go-to investor in its defined sweet spots, though exit markets (M&A vs IPO) will heavily determine returns.