November 17, 2022
CHICAGO – November 17, 2022 – Pritzker Private Capital (“PPC”), a leader in family direct investing, today announced that Co-Founder Paul Carbone, who has served as the firm’s President and Managing Partner since 2012, intends to step back from day-to-day management of the firm effective January 1, 2023. Effective with this transition, PPC has elevated Michael Nelson, currently Head of Investing, to Managing Partner and David Gau, currently Head of Operations, to Chief Operating Officer, reporting to Tony Pritzker, who continues as Chairman and CEO of PPC.
Mr. Carbone spearheaded PPC’s evolution into a premier family direct investment franchise with more than 55 professionals working in partnership with its expanding family of companies. In 2021, the firm raised one of North America’s largest family investment vehicles and, over the course of four years, closed on $4.5 billion in total committed capital from long-term focused family and institutional investors. Though he will have no direct reports, as President of PPC, Mr. Carbone initially will continue to chair the firm’s management and investment committees and will continue to be actively involved with PPC’s network of premier family investment groups.
“Paul redefined the family direct investment market,” said Tony Pritzker, Chairman and CEO of PPC. “He understood the massive untapped potential of combining the talent and processes of an institutional-quality franchise with the philosophy and ownership models of family capital. Paul has been an incredible partner in driving our firm’s growth over the last 10 years and truly lives our time-tested values in partnership with our companies, investors and colleagues. While he intends to begin stepping back from his day-to-day management role, I am thrilled he will continue to be involved in helping oversee our strategy and supporting our firm and our operating companies.”
“Over the last decade, we have built PPC into the industry’s preeminent family direct investment group and led the evolution of this market,” said Mr. Carbone. “Tony and I have been preparing for this transition for several years, and it has been clear to us that Michael and David are the right leaders to oversee PPC’s next phase. As I transition day-to-day management of the firm to Michael and David, I am confident our organization is in great hands, with the structure, strategy and world-class talent to thrive well into the future. I look forward to continuing to support our team, our companies and our successful partnerships with the world’s leading families.”
As incoming Managing Partner, Mr. Nelson will continue to lead PPC’s investing efforts and will oversee the firm’s investing and partner relations teams. In his current role as Partner and Head of Investing, he leads the sourcing and execution of new partnership opportunities with growth-focused middle-market businesses in the firm’s core sectors, including add-on acquisitions across the firm’s family of companies.
In the newly created role of Chief Operating Officer, Mr. Gau will continue leading PPC’s team of experienced operating professionals and will also oversee the firm’s internal operations team. PPC’s Operations Group, which he currently leads as Partner and Head of Operations, supports the firm’s operating company investments by providing subject matter expertise across a broad range of disciplines, including lean manufacturing, digitization, strategy, human capital and risk management, among others. The group seeks to add value and build businesses for sustained growth, and is a core differentiator of the firm’s strategy.
“Michael and David are trusted colleagues who have been instrumental in PPC’s growth and success,” continued Mr. Pritzker. “They have a proven track record of creating sustained value with our companies, building our talented team and advancing our firm’s culture. I am confident they will be excellent stewards of Pritzker Private Capital’s legacy and values as they lead our firm into its next chapter.”
Mr. Nelson said, “I am humbled to serve as PPC’s incoming Managing Partner. Tony, Paul and our entire team have worked incredibly hard to build PPC into the ideal partner for leading family- and entrepreneur-owned businesses. I am excited to expand on this legacy as we continue the strong growth and momentum behind our successful investment strategy.”
Added Mr. Gau, “I first joined PPC because I believed strongly in the firm’s philosophy of building great businesses for long-term success and positive impact. We have a fantastic core of people, processes and support to bring to companies. It is an honor to be named incoming Chief Operating Officer. I’m proud of our organization and our shared commitment to help steward the next chapter of growth for so many family and entrepreneur-led businesses.”
With the elevation of its next generation of leadership, PPC is well-positioned to continue executing its differentiated strategy of deploying capital and operations expertise to support family-owned and founder-led businesses in the manufactured products and services sectors.
About Michael Nelson
Michael Nelson joined Pritzker Private Capital in 2012 and oversees PPC’s strategic initiatives to identify and execute new partnership opportunities with growth-focused middle-market businesses in the firm’s core sectors, including strategic add-on acquisitions across the firm’s family of companies. He has played a key role in building the firm’s successful, long-term relationships with like-minded family and institutional investment groups. Prior to joining Pritzker Private Capital, Michael was a Managing Director at Wind Point Partners, a Chicago-based middle-market private equity firm, where he led investments in the specialty manufacturing and packaging sectors. Michael previously served as Vice President of Finance for Esurg Corporation, a private equity-backed distributor of medical and pharmaceutical supplies, and spent four years in investment banking with Vector Securities. He serves on the board of directors of the Chicago Jesuit Academy. Michael received his B.B.A. in Finance and Accounting from the University of Michigan and an M.B.A. from Harvard Business School.
About David Gau
David Gau joined Pritzker Private Capital in 2014 and oversees PPC’s team of dedicated, hands-on operating professionals with specific expertise partnering with management teams to create value and build businesses for sustained growth, a core differentiator of the firm’s strategy. David has a history of building and operating multi-national organizations, most recently as chief executive officer of Intersystems, a manufacturer of material handling equipment for agricultural and industrial applications. Prior to Intersystems, David served as executive vice president of global commercial operations and group president of Industrial Fluid Power for Gates Corp., a multi-billion manufacturer of advanced power transmission and fluid transfer solutions, with more than 14,000 employees across 106 locations in 30 countries. Earlier in this career, David was president of Air System Components, a division of Tomkins. David is a graduate of the University of Nebraska at Omaha.
About Pritzker Private Capital
Pritzker Private Capital partners with middle-market companies based in North America with leading positions in the manufactured products and services sectors. The firm’s differentiated, long-duration capital base allows for efficient decision-making, broad flexibility with transaction structure and investment horizon, and alignment with all stakeholders. Pritzker Private Capital builds businesses for the long term and is an ideal partner for entrepreneur- and family-owned companies. Pritzker Private Capital is a signatory to the United Nations Principles for Responsible Investment (PRI). For more information, visit PPCPartners.com.
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