-----BEGIN PRIVACY-ENHANCED MESSAGE-----
Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
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MIC-Info: RSA-MD5,RSA,
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<SEC-DOCUMENT>0000950142-09-001855.txt : 20091116
<SEC-HEADER>0000950142-09-001855.hdr.sgml : 20091116
<ACCEPTANCE-DATETIME>20091116155720
ACCESSION NUMBER:		0000950142-09-001855
CONFORMED SUBMISSION TYPE:	D
PUBLIC DOCUMENT COUNT:		1
ITEM INFORMATION:		Rule 506
ITEM INFORMATION:		Investment Company Act Section 3(c)
ITEM INFORMATION:		Section 3(c)(1)
FILED AS OF DATE:		20091116
DATE AS OF CHANGE:		20091116
EFFECTIVENESS DATE:		20091116

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			STERLING GROUP PARTNERS III (Parallel), L.P.
		CENTRAL INDEX KEY:			0001476874
		IRS NUMBER:				270907058
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		D
		SEC ACT:		1933 Act
		SEC FILE NUMBER:	021-136160
		FILM NUMBER:		091186662

	BUSINESS ADDRESS:	
		STREET 1:		8 GREENWAY PLAZA
		STREET 2:		SUITE 702
		CITY:			HOUSTON
		STATE:			TX
		ZIP:			77046
		BUSINESS PHONE:		(713) 877-8257

	MAIL ADDRESS:	
		STREET 1:		8 GREENWAY PLAZA
		STREET 2:		SUITE 702
		CITY:			HOUSTON
		STATE:			TX
		ZIP:			77046
</SEC-HEADER>
<DOCUMENT>
<TYPE>D
<SEQUENCE>1
<FILENAME>primary_doc.xml
<TEXT>
<XML>
<?xml version="1.0"?>
<edgarSubmission>

    <schemaVersion>X0603</schemaVersion>

    <submissionType>D</submissionType>

    <testOrLive>LIVE</testOrLive>

    <primaryIssuer>
        <cik>0001476874</cik>
        <entityName>STERLING GROUP PARTNERS III (Parallel), L.P.</entityName>
        <issuerAddress>
            <street1>8 Greenway Plaza</street1>
            <street2>Suite 702</street2>
            <city>Houston</city>
            <stateOrCountry>TX</stateOrCountry>
            <zipCode>77046</zipCode>
        </issuerAddress>
        <issuerPhoneNumber>713-877-8257</issuerPhoneNumber>
        <jurisdictionOfInc>DELAWARE</jurisdictionOfInc>
        <issuerPreviousNameList>
            <value>None</value>
        </issuerPreviousNameList>
        <edgarPreviousNameList>
            <value>None</value>
        </edgarPreviousNameList>
        <entityType>Limited Partnership</entityType>
        <yearOfInc>
            <withinFiveYears>true</withinFiveYears>
            <value>2009</value>
        </yearOfInc>
    </primaryIssuer>

    <relatedPersonsList>
        <relatedPersonInfo>
            <relatedPersonName>
                <firstName>John</firstName>
                <middleName>D.</middleName>
                <lastName>Hawkins</lastName>
            </relatedPersonName>
            <relatedPersonAddress>
                <street1>8 Greenway Plaza</street1>
                <street2>Suite 702</street2>
                <city>Houston</city>
                <stateOrCountry>TX</stateOrCountry>
                <zipCode>77046</zipCode>
            </relatedPersonAddress>
            <relatedPersonRelationshipList>
                <relationship>Executive Officer</relationship>
            </relatedPersonRelationshipList>
            <relationshipClarification>Management Partner of Sterling Group Partners III GP, L.P., the general partner of the Issuer.</relationshipClarification>
        </relatedPersonInfo>
        <relatedPersonInfo>
            <relatedPersonName>
                <firstName>William</firstName>
                <middleName>C.</middleName>
                <lastName>Oehmig</lastName>
            </relatedPersonName>
            <relatedPersonAddress>
                <street1>8 Greenway Plaza</street1>
                <street2>Suite 702</street2>
                <city>Houston</city>
                <stateOrCountry>TX</stateOrCountry>
                <zipCode>77046</zipCode>
            </relatedPersonAddress>
            <relatedPersonRelationshipList>
                <relationship>Executive Officer</relationship>
            </relatedPersonRelationshipList>
            <relationshipClarification>Management Partner of Sterling Group Partners III GP, L.P., the general partner of the Issuer.</relationshipClarification>
        </relatedPersonInfo>
        <relatedPersonInfo>
            <relatedPersonName>
                <firstName>Gary</firstName>
                <middleName>L.</middleName>
                <lastName>Rosenthal</lastName>
            </relatedPersonName>
            <relatedPersonAddress>
                <street1>8 Greenway Plaza</street1>
                <street2>Suite 702</street2>
                <city>Houston</city>
                <stateOrCountry>TX</stateOrCountry>
                <zipCode>77046</zipCode>
            </relatedPersonAddress>
            <relatedPersonRelationshipList>
                <relationship>Executive Officer</relationship>
            </relatedPersonRelationshipList>
            <relationshipClarification>Management Partner of Sterling Group Partners III GP, L.P., the general partner of the Issuer.</relationshipClarification>
        </relatedPersonInfo>
        <relatedPersonInfo>
            <relatedPersonName>
                <firstName>Charles</firstName>
                <middleName>Kevin</middleName>
                <lastName>Garland</lastName>
            </relatedPersonName>
            <relatedPersonAddress>
                <street1>8 Greenway Plaza</street1>
                <street2>Suite 702</street2>
                <city>Houston</city>
                <stateOrCountry>TX</stateOrCountry>
                <zipCode>77046</zipCode>
            </relatedPersonAddress>
            <relatedPersonRelationshipList>
                <relationship>Executive Officer</relationship>
            </relatedPersonRelationshipList>
            <relationshipClarification>Management Partner of Sterling Group Partners III GP, L.P., the general partner of the Issuer.</relationshipClarification>
        </relatedPersonInfo>
        <relatedPersonInfo>
            <relatedPersonName>
                <firstName>Gregory</firstName>
                <middleName>L.</middleName>
                <lastName>Elliott</lastName>
            </relatedPersonName>
            <relatedPersonAddress>
                <street1>8 Greenway Plaza</street1>
                <street2>Suite 702</street2>
                <city>Houston</city>
                <stateOrCountry>TX</stateOrCountry>
                <zipCode>77046</zipCode>
            </relatedPersonAddress>
            <relatedPersonRelationshipList>
                <relationship>Executive Officer</relationship>
            </relatedPersonRelationshipList>
            <relationshipClarification>Management Partner of Sterling Group Partners III GP, L.P., the general partner of the Issuer.</relationshipClarification>
        </relatedPersonInfo>
        <relatedPersonInfo>
            <relatedPersonName>
                <firstName>Reymond</firstName>
                <middleName>Kent</middleName>
                <lastName>Wallace</lastName>
            </relatedPersonName>
            <relatedPersonAddress>
                <street1>8 Greenway Plaza</street1>
                <street2>Suite 702</street2>
                <city>Houston</city>
                <stateOrCountry>TX</stateOrCountry>
                <zipCode>77046</zipCode>
            </relatedPersonAddress>
            <relatedPersonRelationshipList>
                <relationship>Executive Officer</relationship>
            </relatedPersonRelationshipList>
            <relationshipClarification>Management Partner of Sterling Group Partners III GP, L.P., the general partner of the Issuer.</relationshipClarification>
        </relatedPersonInfo>
    </relatedPersonsList>

    <offeringData>
        <industryGroup>
            <industryGroupType>Pooled Investment Fund</industryGroupType>
            <investmentFundInfo>
                <investmentFundType>Private Equity Fund</investmentFundType>
                <is40Act>false</is40Act>
            </investmentFundInfo>
        </industryGroup>
        <issuerSize>
            <revenueRange>Decline to Disclose</revenueRange>
        </issuerSize>
        <federalExemptionsExclusions>
            <item>06</item>
            <item>3C</item>
            <item>3C.1</item>
        </federalExemptionsExclusions>
        <typeOfFiling>
            <newOrAmendment>
                <isAmendment>false</isAmendment>
            </newOrAmendment>
            <dateOfFirstSale>
                <value>2009-10-30</value>
            </dateOfFirstSale>
        </typeOfFiling>
        <durationOfOffering>
            <moreThanOneYear>false</moreThanOneYear>
        </durationOfOffering>
        <typesOfSecuritiesOffered>
            <isEquityType>true</isEquityType>
            <isPooledInvestmentFundType>true</isPooledInvestmentFundType>
        </typesOfSecuritiesOffered>
        <businessCombinationTransaction>
            <isBusinessCombinationTransaction>false</isBusinessCombinationTransaction>
        </businessCombinationTransaction>
        <minimumInvestmentAccepted>100000</minimumInvestmentAccepted>
        <salesCompensationList>
            <recipient>
                <recipientName>Lazard Freres &amp; Co. LLC</recipientName>
                <recipientCRDNumber>2528</recipientCRDNumber>
                <associatedBDName>None</associatedBDName>
                <associatedBDCRDNumber>None</associatedBDCRDNumber>
                <recipientAddress>
                    <street1>30 Rockefeller Plaza</street1>
                    <city>New York</city>
                    <stateOrCountry>NY</stateOrCountry>
                    <zipCode>10020</zipCode>
                </recipientAddress>
                <statesOfSolicitationList>
                    <value>All States</value>
                </statesOfSolicitationList>
            </recipient>
        </salesCompensationList>
        <offeringSalesAmounts>
            <totalOfferingAmount>150000000</totalOfferingAmount>
            <totalAmountSold>29250000</totalAmountSold>
            <totalRemaining>120750000</totalRemaining>
            <clarificationOfResponse>This total offering amount applies to the Issuer and Sterling Group Partners III, L.P., its parallel investment entity.  In the aggregate, these two entities may not sell limited partnership interests in excess of $750,000,000.</clarificationOfResponse>
        </offeringSalesAmounts>
        <investors>
            <hasNonAccreditedInvestors>false</hasNonAccreditedInvestors>
            <totalNumberAlreadyInvested>28</totalNumberAlreadyInvested>
        </investors>
        <salesCommissionsFindersFees>
            <salesCommissions>
                <dollarAmount>100000</dollarAmount>
                <isEstimate>true</isEstimate>
            </salesCommissions>
            <findersFees>
                <dollarAmount>0</dollarAmount>
            </findersFees>
            <clarificationOfResponse>Subject to future contingencies.</clarificationOfResponse>
        </salesCommissionsFindersFees>
        <useOfProceeds>
            <grossProceedsUsed>
                <dollarAmount>0</dollarAmount>
            </grossProceedsUsed>
            <clarificationOfResponse>A customary management fee will be paid to Sterling Group Management III L.P., which is the investment manager of the issuer.</clarificationOfResponse>
        </useOfProceeds>
        <signatureBlock>
            <authorizedRepresentative>false</authorizedRepresentative>
            <signature>
                <issuerName>STERLING GROUP PARTNERS III (Parallel), L.P.</issuerName>
                <signatureName>/s/ John D. Hawkins</signatureName>
                <nameOfSigner>John D. Hawkins</nameOfSigner>
                <signatureTitle>Authorized Signatory</signatureTitle>
                <signatureDate>2009-11-13</signatureDate>
            </signature>
        </signatureBlock>
    </offeringData>
</edgarSubmission>
</XML>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
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