Private Equity Group Options

Amvest works with company owners and executives to assist them in achieving their individual goals. There are numerous ways to utilize private equity groups to achieve those goals. Amvest will work with you to determine the best alternative for your particular situation. Below are some of the ways private equity groups can be utilized to accomplish your goals, keeping in mind you will always maintain daily operating control.

MANAGEMENT BUYOUT OF PRIVATE COMPANY:  We arrange with incumbent managers the acquisition of the company they manage. Sellers receive a fair cash price while managers receive a generous equity stake in the conservatively capitalized company and retain daily operating control. Managers gain a well-funded, knowledgeable partner to help them grow the business, with considerable upside potential.

RECAPITALIZATION:  Investment groups help owner/managers achieve personal liquidity without sacrificing operating control of the company they have painstakingly grown. By effecting a recapitalization, the owner/managers achieve significant liquidity while still retaining an equity position going forward. They gain a financial partner to assist them on strategic issues without interfering with the day-to-day business operations.

INDUSTRY CONSOLIDATION:  Investment groups back managers and manager/owners in acquiring other companies in their industry. Using its financial resources and expertise, the investment group can support managers who seek to make a select strategic acquisition or who seek to acquire and integrate a number of companies in a fragmented industry.

FAMILY SUCCESSION:  Often this type of transaction involves backing the younger generation of family management in buying ownership from the senior generation. By working with an investment group in a family recapitalization, selling shareholders can achieve liquidity and estate planning objectives while ensuring that the identity of the family business remains intact. Such a transaction can be an ideal way to transfer wealth to the younger generation.

MANAGEMENT BUYOUT OF A CORPORATE DIVISION:  Investment groups help managers acquire divisions and subsidiaries of parent companies. Corporations selling divisions require that a buyer have a track record of closing transactions quickly and efficiently. All of the investment groups we work with are well-funded and experienced partners with strong track records. Investment groups provide invaluable credibility to managers as they pursue their one chance to acquire the division they run. Most of the investment groups we are involved with have purchased numerous divisions of Fortune 1000 companies in partnership with management.

MANAGEMENT BUY-IN:  Investment groups back outside management in the acquisition of a company where the founder's retirement has left the business with a management void. Investment groups work with qualified managers with a specific target in mind. Investment groups also have the ability to find suitable management when required. As in a management buyout, managers receive significant ownership and daily operating control.

Sales must be at least $15 million with an adjusted EBITDA of $2 million or more.