The Riverside Company Closes Acceleration Capital Growth Lending Fund III at $200 Million Hard Cap

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NEW YORK and CLEVELAND, Feb. 18, 2026 (GLOBE NEWSWIRE) — The Riverside Company, a global investment firm focused on the smaller end of the middle market, announced the successful final close of its Riverside Acceleration Capital Growth Lending Fund III (RAC GL III) at its hard cap of $200 million. Its predecessor fund, RAC Growth Lending II, held a final close in July 2019 at $177 million.

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RAC GL III seeks to provide growth loans to help enterprise software companies scale. Over its 10-year history, the Riverside Acceleration Capital strategy (RAC) has invested over $225 million across 90+ companies. RAC GL III is over 20 percent deployed across 18 investments and has already generated one exit in just four months.

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“We are incredibly grateful for the confidence our new and returning investors have placed in us, and for the strong performance of the software companies we’re privileged to support,” said Riverside Managing Partner Jim Toth. “RAC was built on the belief that founders deserve a capital partner who values alignment, efficiency and disciplined growth. Reaching this milestone reflects the power of that approach – and the trust of investors who share our commitment to helping companies scale thoughtfully, with the right capital at the right time.”

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The RAC team is 16 team members strong, including Fund Manager Jim Toth, Senior Partners Jonathan Drillings and Christian Stein, Lead Operating Partner Jon Temple, Partners Zak Ray and Aakash Patel and COO Sarah Spencer. In addition to its dedicated investment and operating team with offices in New York, San Francisco and Cologne, Germany, RAC leverages the depth and breadth of Riverside’s global platform, including its highly experienced, 21-person origination team and its extensive group of more than 50 operating professionals.

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Additionally, AI is a strong theme for the fund. It’s already enabling RAC GL III’s companies to scale faster, operate more effectively and make better use of the capital the fund provides. “AI is enabling our companies to grow faster with less capital. What used to require a major venture round can now be achieved with a much smaller investment like what we can provide,” Toth added.

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“The growth stage software market continues to present exceptional opportunities for disciplined, well aligned capital,” said Riverside Co-CEO Stewart Kohl. “RAC’s innovative and differentiated model is designed to meet these companies at pivotal moments – providing flexible investment structures and the strength of the broader Riverside platform to help founders scale efficiently and with confidence. We’re proud of how RAC partners with management teams to unlock durable growth and position their businesses for long-term success while at the same time providing to our investors an attractive way to benefit from the growth of niche, mission critical, vertical software companies.”