Our investment philosophy is supported by several guiding principles:
Partner with Proven Management Teams
We take a "buy in" not "buy out" approach and seek to partner with management teams with a compelling vision and business strategy, a well-developed framework for execution, extensive industry and operating experience and an established performance record. We have a long and successful history of backing exceptional management teams to acquire or form new businesses in attractive or dislocated industries.
Look for Sound Business Fundamentals
We seek to invest in businesses with strong market positions, unique franchises, secure and growing market niches or distinctive products and services that command premium prices or margins.
Buy the Right Business at the Right Price
We believe the historical performance and prospects of a business should support a reasonable valuation that permits the achievement of target return objectives. We place greater value on business fundamentals and opportunities for growth rather than what may appear to be bargains or undervalued assets.
Use Prudent Financial Leverage
We use debt financing prudently with the objective of allowing a portfolio company the flexibility to adapt to unforeseen economic conditions and to execute its business plan. We look to provide an appropriate capital structure tailored to a portfolio company and the industry in which it operates.
Control Value-Impacting Decisions
Through board representation and shareholder rights, we require control or significant influence over decisions that may affect the value of an investment.
Enter with Well-Defined Exit Strategies
We believe an analysis of exit alternatives is integral to the evaluation of an investment and seek to position our investments for sale via the public or private markets within a 3-5 year time frame. We evaluate exit alternatives throughout the life of an investment in order to act expeditiously when favorable market conditions or monetization opportunities arise.