Incubating an Investment Strategy with Executives/ Operating Management
Glickman Capital seeks relationships with existing management as well as with accomplished executives and seasoned professionals who have a vision for building a business and are seeking investment opportunities within their area of expertise. We understand that high rates of return are a product of partnering with entrepreneurial executives that have demonstrated exceptional operating abilities. We are constantly engaged in the process of developing relationships with operating executives in various industries and pro-actively searching for transactions which match their talents. Family Businesses
The firm works closely in developing relationships with individuals who have built and run family businesses. Such owner-operators may be reluctant to entrust their life's work to a financial buyer without industry experience or a strategic purchaser who may alter or eliminate the existing corporate culture. Whether the owner has operated the company from the board or as an officer, Glickman Capital can provide both liquidity and a professional management team to transition, maintain and grow the existing business.
Management Buyouts
Partnerships with in-place management teams are a focus of the firm's investment program. Where an accomplished management team wishes to purchase the company they are operating, Glickman Capital can approach the buyout with significant expertise in transaction structure, partnership with management, and often with industry expertise from our affiliated operating executives. In such cases the members of the in-place management team become Glickman Capital operating partners for that particular transaction. The in-place management team will generally retain full authority and responsibility for the target's operations, and, usually, management would have additional incentive to succeed through the opportunity to earn additional equity ownership.
Growth Investment
Glickman Capital seeks investments in rapidly growing businesses that require additional capital to support growth initiatives. We are flexible in our structuring approach. While we prefer majority ownership positions, we will review the opportunity to maintain a minority interest in a highly successful company and/or to invest alongside other private equity firms or other entities seeking to support the significant growth of a company.
Recapitalization of a Privately Owned Company
Glickman Capital recapitalizes businesses by purchasing a portion of a company, enabling the current owners to create liquidity while maintaining an ongoing ownership interest. We work with the existing senior management team, or if the current owners choose to step back from day-to-day operations, we will identify new management, often promoting existing individuals within an organization in addition to hiring outside professionals.
Take-Private Transaction of a Publicly-Held Company
The Glickman Capital principals have experience in taking private well-run public companies. During this process, we can provide management partners with sound advice, confidentiality and support in arranging necessary financing while they continue to focus on running the company
Corporate Divestitures
For corporations working in highly competitive and dynamic markets, Glickman Capital offers the option of enhancing shareholder value through the divestiture of non-strategic or non-core operating assets. In situations where a well-managed business no longer meets a parent company's strategic vision, Glickman Capital's operating partners aid the firm in rapidly valuing, structuring and closing an acquisition with existing management in place. In the event that a subsidiary is under-managed or under-performing, we can quickly assess the ability of the business to thrive under the direct management of one of our operating partners or existing companies, and value the target accordingly. In all transactions, the combined experience of our investment professionals and operating partners enables us to react more rapidly than competing private equity investment groups.
Ongoing Support for Business
Glickman Capital has a proven track record of successfully assisting companies in which it invests by working with the company's management to develop and execute an investment and business strategy. The support we supply varies by company, but encompasses the following:
Acquisition Support
For management teams pursuing platform build-ups, Glickman Capital will provide assistance sourcing, negotiating, structuring and closing acquisitions. Initially, we work closely with our management partners to develop a prudent, focused acquisition program and then, as needed, assist in its implementation. Acquisition strategies typically center around increasing the scale and scope of companies, including adding complementary product lines, expanding geographical reach, developing new customer relationships and broadening the customer base into new end-use markets. In addition, add-on acquisitions provide opportunities to improve purchasing power, reduce redundant expenses, share best practices, improve and more fully utilize MIS systems and further leverage corporate infrastructure.
Corporate Development
Glickman Capital has proven experience helping its portfolio companies navigate through common stages of growth. In the past, for example, we have assisted our portfolio companies in establishing manufacturing facilities, negotiating joint venture agreements, forging strategic alliances, keeping abreast of industry developments to take advantage of new trends and providing potential new customer contacts. These efforts have occurred both in the United States and abroad.
Capital Support
In addition, the principals have developed long-standing relationships with numerous debt financing sources. These sources understand the types of companies in which Glickman Capital invests and are supportive of organic and acquisition-related growth plans. Glickman Capital typically leads the process of arranging new financings to support corporate development initiatives.
Operations & MIS Support
Glickman Capital can assist its management partners in improving the efficiency and effectiveness of operations. Part of Glickman Capital's team is its Executive Chairmen, a group of accomplished executives with broad experience in building and managing businesses, who are available to work with portfolio companies on a range of initiatives including: refining manufacturing and/or service processes, assisting in working capital management, developing capital expenditure programs, expanding sales channels and marketing initiatives, planning for, and assisting in, the implementation of new MIS systems, developing internet strategies and troubleshooting to improve quality and service.
Human Capital
Recognizing the importance of human capital in any investment, Glickman Capital works closely with its management partners on an as needed basis to augment the management team as well as to identify resources to help fill other key positions within the organization. We also provide assistance in developing compensation plans, including the use of stock options to create long-term incentives for management and employees.
