Value-Added Investing "We are believers in the dramatic effect RED™ can have on our portfolio companies. RED™ is now a vital part of our strategy for optimizing returns of the companies in which we invest." Jason Reed, Partner Helping you add value to your portfolio firms. Let's face it, the time when private equity firms could add value purely through access to and selection of good deals is rapidly coming to an end. Rising purchase multiples make it hard to create value through multiple arbitrage, and falling leverage multiples make it equally difficult to create value through aggressive capital structures. Increasingly, private equity firms must add value by actually impacting the fundamentals of the businesses they own. Some private equity firms have tried to restructure themselves around this new reality through focused niche investing, combined with the recruitment of partners with specific industry or operational experience. We think this is a start-but doesn't go far enough. Our interviews and surveys of a broad cross-section of private equity partners and portfolio CEOs suggests that there are three leverage points for investors to impact the trajectory of the business: Strategy and strategic contacts, people, and execution. The Rapid Enterprise Development (RED™) provides investor with a window of meaningful involvement in a portfolio company that goes far beyond the typical boardroom interaction. It allows a private equity partner to rapidly come up to speed on the key issues within the firm and help leverage the potential of the firm. Click on to who we are to get some background on our partners. To explore the RED™ process in detail, go to what we do.
HOME  |  WHO WE ARE  |  WHAT WE DO  |  STRATEGY  |  ALIGNMENT  |  EXECUTION  |  ARTICLES  |  KEYNOTES  |  CONTACT US  |  SITEMAP