Do you always use leverage?

While much of a portfolio company’s expected value creation comes from the business plan that convinced us to invest in the first place, the value creation process can be enhanced by providing part of the financing in the form of debt to optimize the capital structure.

That said, every project is different, and not every company can take on the same level of debt at the outset.That’s why we consistently strive to structure acquisition financing in such a way as to anticipate a company’s future financing needs.Our overriding aim is to avoid jeopardizing growth and the company’s future by loading it down with too much initial debt.