INVESTMENT PHILOSOPHY

Patience, rigorous analysis, and attention to detail are key elements that define the Quabbin Capital investment process. Quabbin believes investment success is dependent on certain critical components. These include having a close and productive relationship between sponsors, co-investors, and company management. When evaluating investment opportunities, Quabbin looks for companies with products and services that have proprietary advantages, strong margins, and a qualified management team in place.

Given the complexity and risk inherent in private equity and mezzanine investments, and other alternative asset classes, Quabbin welcomes the opportunity to work with experienced investment and management professionals who can enhance decision making processes. The active participation of our sponsors and co-investors at the board or advisory committee level, and the cooperation of management at our portfolio companies, ensures we have a comprehensive, objective view of value creation opportunities, and that challenges are addressed and resolved constructively.

 

INVESTMENT CRITERIA

• Well established, profitable manufacturing or business service companies with revenues in the $10 to $50 million range.
• Products or other business elements that have a proprietary advantage.
• Manufacturing processes based on advanced technology.
• Internal growth rate of at least 5 percent per year.
• Exit strategy based on a 3 to 5 year holding period.
• Board representation or observer rights.