CCMP Growth Takes the Lead: Rising Above Legacy with Its $500M Fund IV

The emergence of CCMP Growth as the successor to CCMP Capital reflects a deliberate and structured succession, rather than a hostile split or an abrupt reorganization. Key leaders (Mark McFadden, Joe Scharfenberger) remain intact, sharing time and resources across both entities, while senior founding figures have transitioned to advisory roles. This suggests a desire both to maintain continuity and to rejuvenate the brand and investment strategy. [1][2]

Strategically, CCMP Growth is driving toward sharper focus: it has narrowed its target investment universe to enterprises with EBITDA of approximately $15-75 million, high growth (10%+ annual revenue increases), and opportunities in consumer and industrial sectors in North America. This is considerably tighter than typical PE growth mandates, signaling more hands-on, growth-accelerated platforms rather than massive large buyouts. [3]

Fundraising has been a critical threshold. Closing CCMP IV above $500 million demonstrates existing LP confidence in the new platform and strategic thesis. The involvement of over 25 legacy portfolio C-suite or board members suggests a robust carry of relationships and deal flow from the CCMP Capital era. Further, more than 10% employee and advisor commitment indicates strong alignment with the GP. [3]

Operationally, CCMP Growth leverages inherited infrastructure: shared back-office staff, investment professionals with dual responsibilities for the Growth firm and legacy CCMP investments, and governance via an advisory board anchored by legacy senior executives (Brenneman, Walsh, Zannino). This structure helps ensure continuity for existing investors in CCMP Capital’s ongoing funds, while insulating Growth for agility. [1][2]

Open questions and risks include: how existing commitments initially made to CCMP Capital’s Fund IV or other vehicles are being handled (redirected, re-tendered, or cancelled); whether portfolio overlap or governance conflicts may arise due to the shared leadership/investment teams; and how Growth’s narrower investment band will perform in a volatile macro-environment where mid-market execution, interest rates, and supply chain challenges are likely to squeeze margins, especially for high growth industrial/consumer companies. Also, whether this model of succession will become more common in PE firms with aging leadership and legacy LP relationships deserves monitoring.

In sum, CCMP Growth is positioning itself as a focused, growth-platform-oriented successor with strong backing, clear strategy, and inherited credibility—but its success depends heavily on execution, clean separation of duties/conflicts, LP alignment, and the ability to deliver returns in its tighter investment bracket.