Investment Criteria
We seek investments in companies that meet the following investment criteria:
Industry Segments:
- MANUFACTURING: niche manufacturing companies that make customized products with short order and production lead times and generate gross margins in excess of 25%.
- DISTRIBUTION: companies with value-added branding, merchandising or unique processing with gross margins in excess of 20%.
- BUSINESS SERVICES: Select service providers with a unique and value-added service offering, deep customer relationships, high switching costs and a scalable business platform.
Transaction Values: $15 to $100 million
Revenues: $20 to $150 million
EBITDA: $3 to $12 million for platform companies. No minimum EBITDA for add-on acquisitions.
Geographic Preference: All platform companies must be headquartered in the United States. No geographic preference for add-on acquisitions.
Transaction Types:- Private companies undergoing an ownership transition, recapitalization or requiring growth capital
- Corporate divestitures
- Strategic add-on acquisitions for platform companies
- Select special situations
Control: Required (alone or with a compatible co-investor)
We do not directly invest in real estate: natural resource companies; highly regulated businesses such as banks, insurance companies and utilities, retail businesses; restaurant chains; early stage companies; or technology, telecommunications and internet companies.