
Investment Approach
OUR APPROACH
We seek to generate long term value for our stakeholders through the creation of platform investment holding companies in our core markets. The platforms benefit from the economies of scale, focused strategic management and AG Tenet’s ecosystem of operational and financial capabilities.
We use a highly focused origination and business development approach. We only invest in businesses and ideas that can anchor a new platform holding company or generate added value to our existing businesses and ecosystem. Strict adherence to strategy and criteria in deal selection and structures.
We structure our platforms to facilitate optimal flexibility for our investors and partners. Our investors can, as direct shareholders rather than limited partners, closely engage in our key decisions related to strategic decisions and growth initiatives during the holding period. AG Tenet drives sourcing, structuring and management and ensure our platforms get the time and capital they need achieve our investment objectives.
Our investment criteria include the following:
Majority/control investments
We seek investment opportunities where we own at least 75% of the business. Our preference is to have full control of businesses.
Enterprise Value: $15 million - $100 million
Enterprise value between $15 million and $100 million. Flexible requirements for complementary acquisitions.
EBITDA > $2 million
Minimum EBITDA requirement if $2 million and at least 10% EBITDA margin.
Revenues > $15 million
Minimum revenues of $15 million with healthy growth prospects.
High-quality management teams
We seek high quality management teams looking to continue with the business. We aim to structure strong incentive programs for management teams.
Predictable and recurring revenues
Predictable and recurring revenues through an established customer base and high customer retention.
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