CHARLOTTE, N.C. – Kitty Hawk Capital provides financing for early- and expansion-stage information-technology, medical devices and consumer businesses throughout the Southeastern United States.
Since its inception in 1980, the firm has invested in 70 private companies and currently manages more than $100 million.
Kitty Hawk Capital IV, the firm’s most recent fund, held a $43 million close in November (VCJ, October 1998, page 21). Limited partners include Abbott Capital Management Inc., Minnesota Mutual Life Insurance Co. and General Electric Investments.
Kitty Hawk invests $500,000 to $3 million per company and prefers to originate, lead or co-lead 65% of its deals. The firm also allows L.P.s to co-invest as much as $25 million in each portfolio company.
The firm’s general partners are Walter Wilkinson, W. Chris Hegele and Stephen Buchanan. Lawrence Gladstone recently joined Kitty Hawk as an associate.
Following are a sample of Kitty Hawk portfolio companies:
Allegheny Childcare Academy (Pittsburgh) designs, builds and operates child-care centers for families that receive government subsidized day-care services.
Mid-Atlantic Venture Funds, Western Pennsylvania Capital Fund and Delaware Valley Community Reinvestment Fund are co-investors.
Celotek Corp. (Research Triangle Park, N.C.) develops proprietary hardware and software encryption devices to incorporate strong security capability into high-speed communication networks.
Gray Ventures, Nations Bank Equity Capital, North Carolina Enterprise Corp. and Wakefield Group are co-investors.
Cogent Neuroscience Inc. (Durham, N.C.) is a drug discovery company that develops gene transfer systems to screen therapeutic proteins in neural tissue.
Cordova Capital, Intersouth Partners and Aurora Funds are co-investors.
DEKA Medical Inc. (Columbus, Miss.) manufactures products that reduce infection and cross-contamination in operating rooms.
South Atlantic Private Equity is a co-investor.
FCR Inc. (Charlotte, N.C.) is a recycling firm that operates material recovery facilities, produces cellulose instillation and recycles plastics.
RFE Investment Partners, Seacoast Capital Partners and Regional Financal Enterprises are co-investors.
Metalico (Cranford, N.J.) consolidates scrap metal collection and process companies.
Regional Financial Enterprises, Seacoast Capital Partners, First Analysis Corp. and Argum are co-investors.
Outback Steakhouse Inc. (Tampa, Fla.) is a management company for the full-service restaurants, Outback Steakhouse and Carrabba’s Italian Grill.
South Alantic Venture Funds is a co-investor.
RF Micro Devices Inc. (Greensboro, N.C.) designs, manufactures and distributes circuits used in cellular, security devices and other wireless applications.
Advanced Technology Ventures, Allen Group and Brantley Venture Partners are co-investors.
SpectraSite Communications Inc.(Cary, N.C.) manufactures, owns and maintains cellular and PCS communication towers for cellular and PCS providers.
J.H. Whiteny & Co., The North Carolina Enterprise Fund, Waller-Sutton Media Partners and Welsh, Carson, Anderson & Stowe are co-investors.
U.S. Orthopedics Inc. (Little Rock, Ark.) establishes outpatient orthopedic surgery centers.
Piper Jaffray Ventures Inc. and Cordova Capital are co-investors.
Volumetrics Medical Imaging (Durham, N.C.) is a medical company that develops, manufactures and sells real-time three-dimensional ultrasound imaging systems.
The Aurora Funds, Inc., Allen & Co. and North Carolina Technological Development Authority are co-investors.
Wrap-It, L.L.C. (Winston-Salem, N.C.) develops and markets a patented “self-adhesive” gift wrap.
Kitty Hawk Capital is located at 2700 Coltsgate Road, Suite 202, Charlotte, N.C. 28211, tel.(704) 362-3909, fax. (704) 362-2774.