We seek to invest in successful companies that provide the products, services, or solutions to the electric and natural gas sectors. These companies typically possess several of the following characteristics:
- Have sustainable competitive advantages in attractive, growing markets
- Are, or have the potential to be, the dominant player in the markets they serve
- Have annual EBITDA of at least $5 million*
- Have an enterprise value of $50 million to $500 million*
- Have an experienced, well qualified management team in place, especially in key operational and technical areas
- Control or have secured strong distribution channels in key markets
- Have an owner who is motivated to sell a majority stake in the business and can expeditiously reach a decision on price and terms
* Unless part of a multi-company acquisition strategy or add-on to an existing platform/portfolio company
We will not consider investing in companies which:
- Have uproven technology
- Are start ups or turnarounds
- Are outside of our industry focus
We do not typically invest in energy infrastructure projects, unless the projects are integral to the operating company’s business model, the company has a strong track record of success in similar projects, the economics of the projects are well understood, and we conclude the associated project risks are manageable. In addition, we seek a controlling ownership interest or, in the absence of such control, a clear path to obtaining control.
