Investment structure for long-term HoldCo

June 10, 2025
by a searcher from London Business School in Singapore
Hi - I'm starting a long-term HoldCo search in Singapore / South-East Asia. Market context is that debt leverage on transactions is typically limited to ~20-30% from seller financing and thus, step-up won't have the same effect as it does in the US. Couple of questions:
1. What interesting deal terms have you seen work with investors and which types of investors? I'm currently thinking of doing a carry model plus some dividends after Year 3 or 4 for some liquidity. Thoughts?
2. Do HoldCo's typically raise more money for additional acquisitions? If so, do I need to put any additional protections/clauses for investors?
Would love to speak to anybody who has done one!
from University of South Florida in Chicago, IL, USA
from Harvard University in London, UK