Any Independent Sponsors out there Operating as a Micro PE Fund?
August 30, 2020
by a searcher from Massachusetts Institute of Technology - MIT Sloan School of Management in Florida, USA
I like the search fund model but am focused on a multi-target acquisition and roll-up strategy which will seek to consolidate several businesses into a core. I am also interested in running this as a small PE fund where we manage a portfolio of companies versus a single acquisition search fund play.
My initial thoughts are to execute an initial acquisition of the core first to launch with LPs (independent sponsor to begin), then acquire add-ons over time, integrate post-merger, optimize balance sheet and expand earnings, and rinse and repeat, etc.
I envision this would have me serve as a "global CFO" of sorts maintaining the financials, searching for new targets, reporting to LPs, etc., for all operating entities while my management team executes on the day-to-day operations making sure we are running a tight ship.
Is anyone else doing this and free to speak by phone sometime? If so, please comment or like and I will reach out to you directly. Thanks!
from University of Maryland at College Park in Danville, CA, USA
My colleagues and I at McGuireWoods lead a large independent sponsor initiative, which helps more than 1500 independent sponsors and over 4000 capital providers meet each other and connect on opportunities.
We host an annual conference (www.independentsponsorconference.com - last year we had 830+ registrants) plus independent sponsor-only networking groups around the country. I co-lead our groups in New York, San Francisco, Los Angeles and Dallas. As a way to add value, we regularly introduce independent sponsors to capital providers - last year we made over 4000 such connections.
I'm always glad to connect with independent sponsors and every day help them with their deals.
from Northwestern University in Los Gatos, CA, USA