FOCUS

We will invest in companies led by experienced and committed management teams which can produce the free cash flow required to support the company’s capital structure.

We will entertain:

  • A diverse range of transaction purposes
    • Private equity firm sponsored buyouts
    • Management buyouts
    • Acquisition financing
    • Recapitalizations
    • Growth/expansion needs
  • Flexible investment structures
    • All-coupon, fixed rate, subordinated notes
    • Subordinated notes with warrants
    • Tranche B Senior Note structured financing
    • Preferred stock
    • Minority common stock co-investments
  • Alternative roles, participating as
    • A sole investor
    • A lead investor for a co-investment group
    • A co-investor with another institutional investor

Investments ranging in size from $3 million to $25 million and larger through use of co-investment partners. In all cases, our investment will be crafted to fit the unique needs of the equity sponsor, the company in which we are investing and the specific characteristics of their capital structure and growth plan.

CRITERIA

Targeted companies will generally possess the following characteristics:

  • Manufacturing, distributing, fabrication or service businesses.
  • Private and closely held.
  • Annual revenues greater than $10 million (based on latest fiscal year).
  • EBITDA greater than $3 million (based on latest fiscal year).
  • EBITDA margin greater than 10% (based on latest fiscal year).
  • Proven and committed management teams.
  • Minimal or manageable technology risk.
  • A diverse mix of products, customers, geographic markets and suppliers.
  • Sound historical financial performance.

We will not invest in the following:

  • Dramatic “turnaround” situations.
  • Hostile takeovers or other adversarial situations.
  • Other investment partnerships.
  • Companies based outside the United States.
  • Real estate, farmland, mining or oil and gas production.