Growth Capital Criteria

For a publicly traded company traded on any exchange, contact us for an immediate "Yes". We look at management, fundamental economics, and business prospects.

On non-US exchanges, our specialty is market caps from $10-$500 million USD. We can move immediately and close most investments in 45 days assuming prompt responses from the company.

For US exchanges, we prefer companies listed on a national exchange (not OTCBB) and market caps below $300 million USD.

We have invested in almost every sector with the possible exception of real estate stocks.

Our investment philosophy is to invest, hold the stock it if performs well, and leak the stock slowly into the market if it does not. Occasionally, a company has exceptional growth and that is the source of our best investment return. We feel it is impossible to predict which company will be the big winner, although we are very good at quickly evaluating a company’s prospects. As an example, who the customers are often says a lot about the company’s operation as well as its gross margins.

Acquisition Financing Criteria

We look at the enterprise value of the target as a multiple of its existing EBITDA. Acceptable multiples vary with industry and market conditions. We can accept higher multiples depending upon the acquirer’s economic fundamentals and its liquidity.

Purchase of Non-Core Assets Criteria

We have completed over 30 purchase transactions on 3 continents and look at the enterprise value of the asset as a multiple of its existing EBITDA. We will buy from 51% to 100% interest at the seller’s discretion. Our sweet spot is assets with $4 to $50 million of existing EBITDA. We are industry and geography agnostic, although the majority of our purchases have been manufacturing and service operating divisions.