Private Equity Client 1:

Connecticut-Based Middle Market Buyout Fund Focused On Niche Industries

The Fund focuses on specialty manufacturing and financial service companies that have a definable business franchise, a proprietary product, process or market coupled with a substantial opportunity for growth and value creation. The Fund targets small to middle market companies with an enterprise value between $20 and $200 million.

General Criteria:

EBITDA Range: $2-20mm
Margins: Minimum 15% EBITDA margins
Valuation: Conservative purchase multiples
Growth: Minimum 10% annual growth projections
GEO: Eastern US and Canada

Target Industries:

industrial manufacturing companies, particularly custom manufacturing (medical device components, die-casting, injection molding, powder metallurgy), chemicals, industrial and consumer products and financial services

Past And Current Portfolio Companies Include: extreme sports products manufacturer, air guns and other outdoor products manufacturer, specialty chemicals manufacturer, high precision titanium medical implant casings, disability insurance provider, high precision aluminum die castings, pasta manufacturer, church construction financing, high-end car dealership.                                       

Private Equity Client 2:

Philadelphia-Based Special Situations Private Equity Fund

Firm is focused on investing in distressed companies and is particularly adept at handling complex situations in time sensitive scenarios.  Predominantly industry agnostic: no fashion risk or technology with R&D components.

General Criteria:

• Revenues between $50 - 500 mm
• Failed strategies or execution
• Defaulting/maturing/over-leveraged capital structures
• Weak valuations or earnings
• Fragile or volatile cyclical industries or commodity prices
• Asset-rich, liquidity-constrained financial condition
• Accounting changes, restatements or control problems
• Governance disputes
• Management disruption or turnover
• Legislative or regulatory-induced crisis
• Material litigation risks & liabilities
• Market & technology-driven dislocations

Transaction Types:

• Restructurings & turnarounds
• Reorganizations & liquidations
• Recapitalizations
• Chapter 11 or out-of-court restructurings
• Rescue, DIP, and exit financings or cash alternatives
• Senior and subordinated debt, bond, trade & contingent claim purchases

Current Portfolio Companies Include: asset-backed equity position of a sub-prime mortgage lender with liquidity crisis, LBO of home healthcare firm in chapter 11, LBO of merchant paper distribution company from fractured family ownership, LBO co-investment of national department store chain

Post-Acquisition Role:

• Financial controls, working capital and risk management
• Recruiting and compensation
• Industry/competitive analysis and joint venture
• Acquisitions and divestitures
• Refinancings and recapitalizations
• Dispositions and liquidity events

Private Equity Client 3:

Mid-Atlantic Based Private Investment Company

General Criteria:

Revenue range: $10 – 200mm
Transaction type: Cash Buyer -100% ownership – no financing contingencies
EBITDA: $3 – 15mm
EBITDA Margins: 15% +
Gross Margins: 30% +
Growth: 3-year CAGR 10% +
Additional Criteria: Sustainable organic growth, steady demand, better than GNP growth markets, companies should be able to growth faster than the market they serve. Strong, highly motivated management teams.

Target Industries:

• Niche manufacturing
• Consumer products
• General industrial
• Specialty products
• Business services
• “Green” oriented businesses
• Education related businesses
• Pharma tech-services
• Non-invasive medical devices

Current Portfolio Companies Include: highly successful manufacturing and service companies which are all leaders in their market niche; companies serve a number of industries including pharmaceutical, specialty chemical, office and craft, automotive.

Private Equity Client 4:

New York-Based Family-Backed Private Equity Firm

Founded in 1984, the firm looks to deploy equity and sub-debt into profitable middle-market companies.  With no outside limited partners, the office seeks to create a structure designed for long term success past the usual five year holding period of traditional private equity funds.  The firm seeks to partner with strong management teams already in place. 

General Criteria:

Revenue size: $10 - 50mm
EBITDA: $1 - 6mm
Investment Type: MBOs, Growth Capital           
Investment Size: $2 - 10mm in equity                      Geography: East of the Mississippi with an easy travel to and from New York City.    

Target Industries:

opportunistic but has made investments and has strong expertise in manufacturing, retail, consumer products, mail order/on-line businesses that sell consumer products

Current Portfolio Companies Include: bowling ball, bag and bowling center capital equipment manufacturer; consumer bathroom products manufacturer and distributor; bicycle accessories retailer, supply chain software developer; home fitness equipment manufacturer and marketer, internet-based retirement plan record-keeping and support services to financial industry.                             

Private Equity Client 5:

New York-Based Private Equity Group

Founded in 1998, this private investment firm is focused on making equity investments in America's smaller middle-market companies. They seek to generate long-term capital appreciation (of $15 to $30mm) through a value oriented investment strategy. Their ultimate goal is to create value – for customers, employees, suppliers, lenders and shareholders. Their objective is to help management move their companies to a better, more profitable position.

General Criteria:

Revenues: $25 - 100mm
EBITDA range: $5 -15mm
Margins: 13% + EBITDA margins
Structure:

• Control positions, always partner with management
• Utilize senior debt only, in addition to their equity investment which is usually 30% to 50% of the capital structure initially

Target Industries:

Stable demand industries that possess:

• Strong defensible market positions
• High operating margins
• Strong operating management
• Multiple growth opportunities

Past And Current Portfolio Companies Include: folded carton packaging manufacturer, shelf stable bakery products for the military, dining and entertainment cruises, eyewear and eye care accessory products, premium Asian appetizers and entrees, independent specialty retailer catering to resorts and casinos.

Private Equity Client 6:

Mid-Atlantic-Based Privately Held Equity Investment Firm

This privately held investment firm makes control-position investments in high-growth-oriented niche manufacturing and business services companies with less than $50 million in revenues, with a strong preference for companies based in the Mid-Atlantic region.  They seek opportunities that support a platform strategy where growth can be accelerated through strategic acquisitions, partnering with experienced owner-operators.  They are affiliated with (and solely sponsored by) a larger privately held investment company with over $1.5 billion in net assets, and therefore are not obligated to view their investments with a pre-determined time-frame for exit. 

General Criteria:

Revenues: Less than $50mm
Investment Size:  $2 - 10mm
EBITDA:  10%+ margins
Transaction type: Control Investments
Geography:  Mid-Atlantic USA

Target Industries:

• Health & Wellness
• Human/animal nutrition
• Nutraceutical, cosmeceuticals
• Pharmaceutical services
• Electronics Repair & Logistics
• Device refurbishment and remanufacturing
• Reverse logistics
• Assessment, Certification & Testing
• Computer-based testing and test development

Private Equity Client 7:

New York-Based Private Equity Group

Client provides capital and resources for closely held, middle market U. S. companies. Typically, they will invest between $10 and $20 million, but are well-positioned to participate on both larger and smaller transactions. They usually invest in controlling positions or strategic minority positions in fundamentally sound companies.

General Criteria:

Revenue range: $25 – 350mm
Investment size:  $10 ­− 20mm
Transaction type: Controlling positions of 50%+ or strategic minority positions.
Geography:  USA
Additional Criteria: Positive cash flow, exceptional management team, family owned or closely held business

Target Industries:

Consumer/retail-manufacturing or distribution;
General industrial – manufacturing or business services; including food and beverage manufacturing; distribution and logistics; branded and private label consumer packaged goods; consumer durables; packaging; and specialty retailing

Current Portfolio Companies Include: designers and marketers of premium quality blankets, throws and bedroom related products selling to a variety of nationally recognized retailers as well as providing private label products to select retailers; manufacturer/distributor of electrolyte replacement drink specially created for the high heat-stress environment of the industrial sector, offering a wide variety of dispensing options, such as ready-to-drink, liquid and powder concentrates and package sizes - plus several, great tasting flavors.

Private Equity Client 8:

Mid-Atlantic-Based Private Equity Group

Founded 1999, this Private Equity Group just had a final close on its second investment fund, raising over $100 million in an oversubscribed offering.  The team provides capital and trusted counsel in partnership with proven managers to drive the growth of promising companies into outstanding enterprises.  They will acquire a majority interest in partnership with proven managers, and are also comfortable supporting managers as a non-control investor, providing flexible investment structures designed to uniquely meet the needs of both the company and its owners.

General Criteria:

Revenues: $10 - 75mm
Investment Size:  $3 - 8mm
Transaction type: Buyouts, recapitalizations, non-control growth equity investments
Geography:  Mid-Atlantic and Eastern US; will consider Midwest and Southeastern US

Target Industries:

Opportunistic as to industry.  Interested in opportunities with complications or unique attributes that may repel other potential buyers.  Seeking growing, well-managed companies which need support as they grow into market leaders.  Business and consumer services and products tend to fit well.