Established in 2009, our aim is to generate superior long-term returns for our clients by investing and driving change in under-valued companies.
We actively manage a concentrated portfolio of technology and services companies, all with low levels of financial gearing. We focus on cash flow and the compounding of cash over the long term.
Our well established team has a breadth of industry and financial experience and have worked together for over 20 years.
We build large minority equity stakes in smaller companies and work with the boards of our portfolio companies to achieve their growth ambitions and unlock value.
As an owner-managed business, we personally understand the challenges and rewards of growing and scaling smaller companies. We’re significant investors in the vehicles we manage and our fees are structured to maximise investor alignment on the basis of realised returns.
Focusing on technology and services companies
The attractive financial characteristics of technology companies are well understood and include:
- High levels of recurring revenues from B2B or B2B2C customers
- Well invested and IP-rich assets
- High and sustainable gross margins
- Substantial and growing international revenues
- High levels of cashflow conversion
- Negative working capital
Many of these attractive characteristics can also be found in certain types of durable services companies.
How we work with our portfolio companies
We’re challenging, supportive and above all ambitious for our portfolio companies, partnering with management teams to identify key issues and uncover fundamental strengths.
Our established team has a detailed understanding of the key levers for building businesses, having had former roles in executive and non-executive leadership.
We take considerable time to understand the business model and prospects of a company and its drivers. By uncovering fundamental strengths and working closely with management teams, often over several years, we unlock significant equity upside for our investors. When required, we actively engage and take board seats in our portfolio companies, assisting with governance and strategic issues to accelerate change and drive value.
We assist with M&A evaluation and financing, providing cornerstone funding or underwriting, and we aim to establish generous incentive arrangements.
We frequently use our wide network of industry contacts to strengthen company boards and governance.