SPECIAL SITUATIONS

It is usually less about the business and more about the situation while helping someone from Point A to Point B.

With our experience as asset owners across several industries, we understand how to unlock common challenges other asset and business owners need to solve through sophisticated support blended with relatable engagement.  

This could require credit and balance sheet enhancement to attract more compelling terms to acquire other assets, win new contracts, or secure better terms with vendors to build a business alongside the sponsors for better scalability and efficiency. 

Other asset owners could need access to more blended data and contextual analysis to make more accurate determinations on valuation or support in decision-making.  

We can strengthen the allocation execution alongside asset owners and fund managers in a participation structure.  This includes being a strong participant alongside another family office who might have over-leveraged a company and need both - finance and industry domain experience alongside them.  

We have a history of working with asset owners who need to right-size their debt to become compliant with their covenants or to backfill an equity partner requesting a return of capital. We can also become part of the portfolio solution to backfill a large investor or fund that winding down. 

Through our own supplier networks, we can add sophistication to procure commodities such as rice, gain access to specific components for manufacturers that others struggle to secure themselves, and work through our own business interests to buy or sell esoteric assets such as jet engines. 

However, no matter the situation, these must be quantifiable scenarios behind good people and supported by tangible assets or meaningful book value that provide compelling economic upside for the checkwriter. While we have the resources across our business interests to pursue various-sized transactions, it is more important that we possess the trust and track record of working within special situations for over 15 years. 

We do not seek brokered transactions that have made the proverbial rounds.  Well-trafficked transactions are not our cup of tea.     

Here is what excites us – compelling situations that either nobody else has seen and/or a unique, high-barrier-to-entry position or access to information that is unknown to the general public.

The following represents common scenarios that would be compelling:

· Restructuring a company’s overleveraged balance sheet and exiting it from a bank loan.

· Scaling a company by helping them avoid dilution too early. 

· Purchasing debt from lenders seeking an exit strategy.

· Providing working capital to scale a company by aligning deep into its supply chain.

· Rescue capital for previously healthy companies that cannot cover their burn rate.

· Working with a regional bank to restructure their loan portfolio or address other internal challenges.

· Municipalities with special projects backed by investment-grade credit.

· Businesses that are growing too fast or need help to catch up on previous challenges beyond the comfort level of their current asset-based lender.