Blackstreet Capital Management, LLC is a private equity firm that invests in and operates small to mid-sized distressed companies. The firm was founded in 2002 by Murry Gunty, who still acts as managing partner. Blackstreet is based in Chevy Chase, Maryland.
History
Blackstreet was founded by Murry Gunty in 2002 as Milestone Capital Partners, in a joint venture with Milestone Merchant Partners. Robert Pincus, the vice chairman of Eagle Bank, and Thomas Hale Boggs, Jr., a prominent Washington lawyer, promptly joined Blackstreet’s board of advisers, providing the gravitas to attract investors. Blackstreet invests in distressed companies, aiming to prevent the company’s bankruptcy and benefit investors. Blackstreet funds niche manufacturers, internet and specialty retailers, distributors, restaurants, and healthcare service and device providers, among other industries. Since its inception, Blackstreet has invested in more than 30 companies. They focus on companies with less than $150 million in annual revenue. Deals have included the acquisition of AlphaGraphics, Jackson & Perkins, Western Capital, and Jerry's Subs & Pizza, and the sales of Florida Tile to Panariagroup of Italy, Houston Harvest Gift Products to Signature Brands, and PJCOMN Acquisition Corporation to Essential Pizza. In 2016, Blackstreet and Murry Gunty agreed to pay more than $3.1 million to the Securities and Exchange Commission to settle charges that they engaged in brokerage activity and charged fees without registering as a broker-dealer and committed other securities law violations.
Management
Murry Gunty is the founder and managing partner of Blackstreet Capital. Gunty graduated from Harvard College, where he received a BA in economics, and Harvard Business School, where he received an MBA. Prior to founding Blackstreet, Gunty was a general partner at Jacobson Partners, LP, and was a partner at Lazard FreresReal Estate, LLC. He also worked at the Blackstone Group, where he was an Analyst. Gunty has sat on several boards, including Rauch Industries, American Combustion Industries, Flow Dry Technology, PJCOMN, and Florida Tile. He was a trustee of the National Children Museum and has historically been active with the Jewish Foundation as a founding member of the Business Roundtable.