Lower middle market private equity firm
DFW Capital Partners
- HeadquartersNew York, NY S1
- Founded1994 S2
- Websitedfwcapital.com
- Last verifiedOctober 19, 2026
At a glance
| Assets under management | $2B (as of Feb 2026) S5 |
|---|---|
| Latest fund | DFW Capital Partners VII, $800M (Jan 2023) S4 |
| EBITDA range | Up to $20M S2 |
| Revenue range | Up to $200M S2 |
| Check size | $25M to $125M S4 |
| Deal types | Platform, Add-on, Growth S2 |
| Sectors | Healthcare Services, IT Services & MSP, Cybersecurity, Accounting & Professional Services, Insurance Brokerage, Veterinary, Construction Services |
What DFW Capital Partners buys
DFW Capital Partners is a New York private equity firm that has invested in lower middle market service companies since 1994 and reports more than $2 billion of assets under management. It works in three areas: healthcare services and the pharmaceutical value chain, outsourced business services such as accounting, insurance distribution and government IT, and industrial services tied to regulated markets like rail, water compliance and facility upkeep. It likes recurring revenue, demand driven by compliance rules, and room to grow through add-ons.
DFW takes control of companies with up to about $200 million of revenue and up to $20 million of EBITDA, and says it stays flexible on those limits. Its last announced fund, the $800 million Fund VII closed in January 2023, typically puts $25 million to $125 million into each deal. Structures include founder recapitalizations where the sellers keep a meaningful minority stake, corporate carve-outs and growth capital. Smaller companies most often meet DFW as add-ons to platforms such as B&A, American Track, Singlepoint Healthcare, Sorren or Hippo Veterinary Group.
Recent deals
Announced in the 24 months before October 19, 2026.
| Date | Company | Type | Sector | Source |
|---|---|---|---|---|
| Sep 2026 | Intelligent WavesVirginia defense cybersecurity, networking and data firm added to B&A | Add-on | Cybersecurity | Source |
| Jun 2026 | HealixNational infusion services provider added to Singlepoint Healthcare | Add-on | Healthcare Services | Source |
| May 2026 | Queen City Railroad ConstructionKnoxville rail maintenance and construction firm added to American Track; its president stays on | Add-on | Construction Services | Source |
| Apr 2026 | AQUALISStormwater and wastewater compliance provider sold to Fusion Capital Partners | Exit | Environmental & Waste | Source |
| Feb 2026 | Sev1TechFederal IT, cloud and cybersecurity services provider sold to ERT, a Macquarie Capital-backed company, after a 2019 investment | Exit | IT Services & MSP | Source |
| Jan 2026 | CelestarDefense and intelligence analysis provider added to B&A | Add-on | Source | |
| Sep 2025 | ZA Railroad ServicesClass 1 railroad services group combined with North American Rail Solutions; its president stays on as a significant shareholder | Add-on | Construction Services | Source |
| Jul 2025 | Singlepoint HealthcareNew inflammatory disease care platform launched with The Boster Center for Multiple Sclerosis and IV Solutions | Platform | Healthcare Services | Source |
| Jul 2025 | Decisive ConsultingU.K. market access consultancy added to Herspiegel, now part of Acumetis | Add-on | Source | |
| May 2025 | SorrenHarris CPAs and 12 other regional accounting firms combined under the Sorren name | Add-on | Accounting & Professional Services | Source |
| Apr 2025 | VoxeleronAI eye imaging analysis company added to Voiant, formerly WorldCare Clinical | Add-on | Source | |
| Apr 2025 | FIECONU.K. health economics and market access firm added to Herspiegel | Add-on | Source | |
| Apr 2025 | Stormwater Compliance SolutionsNew Jersey stormwater inspection and compliance firm added to AQUALIS | Add-on | Environmental & Waste | Source |
| Dec 2024 | Accelerated InnovationsUtility customer engagement software added to VertexOne | Add-on | Software & SaaS | Source |
Portfolio by sector
From the firm's portfolio page S3.
Business & Industrial
- American Track
- B&A
- Epic IO
- Industrial Security Integrators
- Insight2Profit
- Sorren
- Vantage Insurance Partners
- VertexOne
Healthcare
- Acumetis
- Hippo Veterinary Group
- Lotus Clinical Research
- Saol Therapeutics
- Sebela Pharmaceuticals
- Singlepoint Healthcare
- Voiant (WorldCare)
Other
- Kept Companies
Greymont’s take
How DFW Capital Partners fits a seller
DFW suits founders of service companies, especially in healthcare, government IT, accounting and other compliance-heavy niches, who want a partner to fund acquisitions and are willing to hand over control. It often builds a platform around one founder-led firm and then folds peers into it: Harris CPAs in Idaho became Sorren, a combination of 13 accounting firms, and B&A has bought Celestar and Intelligent Waves since DFW invested in 2024. Holds can run longer than at many sponsors; DFW backed Sev1Tech in 2019, with the founder rolling a large stake, and sold it in February 2026. At Harris, a DFW operating partner stepped in as CEO when the deal closed, so owners should ask early who DFW expects to run the company and what the plan is for the next sale.
Questions owners ask
What size companies does DFW Capital Partners invest in?
Its firm page targets lower middle market companies with annual revenue of up to $200 million and EBITDA of up to $20 million, though it says it is flexible. Its Fund VII announcement put typical investments at $25 million to $125 million of fund capital.
Does DFW buy IT services companies?
Yes, mostly in the federal market. It invested in B&A, a government IT systems integrator, in August 2024, and B&A has since bought Celestar and Intelligent Waves. DFW also owns Industrial Security Integrators, a managed security and network services provider, and sold Sev1Tech in February 2026.
Can a founder keep a stake after DFW invests?
Yes. DFW describes recapitalizations of founder and family businesses where the sellers keep a significant minority stake. When it invested in Sev1Tech in 2019, the founder rolled a significant part of his ownership into the new company.
How does DFW usually exit its investments?
The firm says exits have usually been a sale or recapitalization with a larger financial investor, or a sale to a strategic buyer. In 2026 it sold Sev1Tech to ERT, which is backed by Macquarie Capital, and AQUALIS to Fusion Capital Partners.
Sources
- S1DFW Capital Partners home page Accessed October 19, 2026
- S2DFW Capital Partners: About Us Accessed October 19, 2026
- S3DFW Capital Partners: Our Portfolio Accessed October 19, 2026
- S4DFW Closes Latest Investment Fund at $800 Million Hard Cap (January 3, 2023) Accessed October 19, 2026
- S5DFW Completes Sale of Sev1Tech to ERT (February 25, 2026) Accessed October 19, 2026
- S6DFW Capital Partners Closes Investment in B&A (August 27, 2024) Accessed October 19, 2026
- S7DFW Capital Partners Closes Investment in Harris CPAs (January 16, 2024) Accessed October 19, 2026
- S8DFW Capital Partners Closes Investment in Industrial Security Integrators (October 1, 2021) Accessed October 19, 2026
- S9DFW Capital Partners: News Accessed October 19, 2026
Compiled by Greymont Advisors from public sources, including the firm’s own website and press releases. Greymont is not affiliated with DFW Capital Partners. Figures are as reported on the dates shown and may have changed. Request a correction