Dallas-Based Citation Capital Gets Investment from Collaborative Asset Owner Network » Dallas Innovates

Tiffany K. Hagge, co-founder and managing partner at Citation Capital [Photo: Citation Capital]

Dallas-based Citation Capital—a “next-gen” PE firm founded in 2023 by Tiffany K. Hagge and Lydie B. Hudson—has received a strategic investment from Capital Constellation, a New York City-based collaborative asset owner platform.

The amount of the investment was not disclosed.

Citation specializes in partnering with founder- and family-led businesses. Last October, it announced its first investment: a majority stake in “better for you” snack manufacturer Cibo Vita. In March, it inked a partnership with New York nonprofit Ownership Works to implement “broad-based shared ownership programs” within its portfolio.

In April, Bloomberg reported that Citation Capital aims to raise $850 million for its debut fund, which would be one of the largest-ever inaugural PE firm raises in Texas.

Last October, Hagge told the Dallas Business Journal that her firm thinks of its growth plan “as a 30-year runway.”

“Citation is what we are dedicated to for the next 30-plus years of our life,” Hagge told the DBJ. “We want to build a firm that lives on beyond us.”

Capital Constellation is advised by NYC-based Wafra

Founded in partnership with “a select group of institutional asset owners,” Capital Constellation is advised by Wafra Inc., a global alternative investment manager also based in New York.

“We’re proud to welcome Wafra as our partners, and believe this investment underscores conviction in Citation, our strategy, and the culture that Lydie and I have intentionally built alongside our team,” Hagge, co-founder and managing partner at Citation, said in a statement. “As we partner with families and founders to scale and enhance their legacies, we’re thrilled to be part of the Capital Constellation platform, which has an exceptional global reputation in identifying and backing premier managers.”

Hudson, co-founder and president of Citation, said the partnership “will support the long-term ambitions of Citation as we continue to scale our firm. We’re excited to be aligned with a leading investment platform like Capital Constellation and look forward to collaborating with the Wafra team and the exceptional underlying investors in the Constellation strategy to continue executing on our vision and investment thesis.”

Adel Alderbas—Wafra’s chief investment officer and Capital Constellation’s president—said he and his firms have been “very impressed with Citation and what Tiffany, Lydie, and the team have achieved to date.”

“Constellation looks to back the most innovative and exciting emerging managers in the market,” Alderbas added in a statement. “Citation has forged a differentiated strategy in the middle market, and we believe it’s well positioned to build and thrive over decades to come.”

Bringing ‘something different’ to the market

“The Citation team brings something different to the market in their dedicated focus on founder and family-owned opportunities,” said Gustavo Cardenas, managing director at Wafra. “This is a firm that is exactly what Constellation looks for—a founder team that has worked and invested together for a sustained period and highly attractive initial acquisitions that demonstrate they have the ability to source and execute differentiated investments.”

Gibson, Dunn & Crutcher LLP served as legal advisor to Wafra. Kirkland & Ellis LLP served as legal advisor to Citation.

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