Preferred Opportunities
While we continually evaluate new investment ideas, we have enjoyed success with and continue to favor the following:
Expansion-oriented companies
Founder-owned or family-owned companies
Companies undertaking the divestiture of noncore operations
Highly leveraged companies engaged in restructuring
Companies in rapidly changing industries
Companies seeking consolidation within fragmented industries
Companies with established franchises may seek capital to expand, either into new markets or to serve customers more effectively. CAI can structure investments to provide management with the flexibility to pursue opportunities internally or through acquisitions.
CAI Experience: Zalev, Sunquest, MacDonald Dettwiler
Founder-owned or family-owned companies
Growth opportunities or succession issues can present a founder- or family-owned business with the need for outside capital for expansion or liquidity. CAI has a history of success in partnering with owner-operators to manage growth.
CAI Experience: Zalev, Sunquest, Aster-Cephac, DynaPlas, Shred-Tech
Companies undertaking the divestiture of non-core operations
Capital constraints or strategic conflicts may compel large companies to divest non-core operations. Set up independently and properly capitalized, these former subsidiaries can be positioned to increase earnings and unlock hidden value.
CAI Experience: Bio-Research, Livingston, Country Style, Macdonald Dettwiler, TurboCombuster Technologies, Symetra Financial
Highly leveraged companies engaged in restructuring
Excessive leverage may result from overly optimistic performance assumptions, the need to fend off hostile transactions or overly aggressive financial structuring. Recapitalized, these otherwise healthy businesses can enjoy renewed strength.
CAI Experience: NBS Technologies, Sodisco-Howden, SafeGuard
Companies in rapidly changing industries
Under certain circumstances structural, regulatory or competitive changes create attractive investment opportunities. These opportunities may not appeal to investors seeking low risk, but CAI has successfully positioned companies for investment gains in industries undergoing change.
CAI Experience: Bio-Research, Country Style, Macdonald Dettwiler
Companies seeking consolidation within fragmented industries
Consolidations can generate synergies that result in increased earnings and shareholder value. Given our experience with companies pursuing growth through acquisitions, we are able to assist management in capitalizing on the benefits of consolidation within otherwise fragmented industrial sectors.
CAI Experience: Zalev, Livingston, SafeGuard