# KPS Capital Partners KPS Capital Partners is a Private Equity based in New York, United States. ## Overview - **Organization type:** Private Equity - **Headquarters:** New York, United States - **Region:** North America - **Address:** New York, NY, United States - **Founded:** 1991 - **Assets under management:** Undisclosed - **Website:** kpsfund.com - **LinkedIn:** https://www.linkedin.com/company/kps-capital-partners ## Regulatory record - **CRD number:** 157678 - **SEC file number:** 801-73907 - **Registration status:** APPROVED - **Latest Form ADV filing:** 2026-03-30T05:00:00.000Z - **Reports private funds:** Yes - **Private funds reported:** 0 - **IAPD record:** https://adviserinfo.sec.gov/firm/summary/157678 ## About KPS Capital Partners is a private equity firm that makes controlling equity investments in global manufacturing and industrial companies. It creates value by driving manufacturing excellence and continuous improvement in safety, quality, customer service and on-time delivery, not through financial engineering. The firm has focused exclusively on acquiring and improving manufacturing and industrial businesses for over three decades and executes complex global corporate carve-outs. ## Sectors - Industrials - Manufacturing - Automotive - Aerospace & Defense - Industrial Tech ## Offices - Frankfurt, Germany ## People - Michael Psaros — Co-Founder and Managing Partner - David Shapiro — Co-Founder and Managing Partner - Raquel Palmer — Co-Managing Partner ## Questions ### Who runs investment decisions at KPS Capital Partners? Co-founders Michael Psaros and David Shapiro share Managing Partner responsibilities and jointly oversee the firm's investment committee. Raquel Palmer serves as Co-Managing Partner, expanding the senior leadership. KPS's managing partners maintain majority ownership of the firm. ### How does KPS source its deals? KPS sources proprietary transactions by targeting corporate carve-outs, spinoffs, and bankruptcy reorganizations where industrial businesses are being shed by parent companies. The firm avoids competitive auctions for healthy companies and instead negotiates directly with corporate sellers undergoing strategic restructurings or distress. This approach favors complex, operationally intensive situations that generalist firms lack the expertise to underwrite. ### Does KPS participate in fund commitments or only direct deals? KPS invests exclusively through direct control buyouts and does not allocate capital to external funds. Every dollar the firm deploys goes into operating companies that it intends to run and transform. The firm's two fund strategies — a flagship special situations vehicle and a mid-cap fund — both pursue the same direct-control model, differentiated only by transaction size. ### Which sectors does KPS target? KPS invests exclusively in industrial sectors — automotive supply, aerospace components, building materials, consumer durables, packaging, and capital equipment. The firm avoids technology, healthcare, financial services, and consumer internet businesses entirely. Its investment thesis depends on operational complexity that is unique to tangible manufacturing enterprises. ### How does KPS structure its portfolio companies after acquisition? KPS establishes each acquired company as a fully independent entity with its own CEO, board of directors, and standalone balance sheet. The firm does not layer portfolio companies under a shared management platform. Instead, KPS operating partners work directly with each company's leadership to drive turnaround plans, creating accountability lines that are specific to the operational demands of each asset. ### What is KPS's known posture on co-investments alongside external partners? KPS generally does not syndicate equity with outside co-investors. The firm maintains full control of its transactions and limits outside participation to preserve decision-making autonomy over the operational turnaround process. This structural preference distinguishes KPS from firms that routinely offer co-investment slots to limited partners or strategic partners. ### Does KPS operate outside the United States? KPS invests across North America and Europe, with a particular concentration in German manufacturing. A Frankfurt office supports its European operations, reflecting the region's dense industrial base. The firm's investor base is global, but its deal footprint remains concentrated in developed-market industrial economies. ## Related profiles - [K&P Partners](https://altss.com/profile/k-p-partners) - [KPTL Investimentos](https://altss.com/profile/kptl-investimentos) --- Last updated: 2026-08-11T15:07:12.582Z Canonical page: https://altss.com/profile/kps-capital-partners Maintained by Altss — https://altss.com — methodology: https://altss.com/methodology