Investment Strategy

Debt and equity investments across control and non-control transactions

A flexible investment mandate

What makes us different? The flexibility of our investment mandate stands out for management teams and co-investors. We evaluate both control and non-control transactions and can invest in a range of securities, including equity, subordinated debt, or some combination of the two. Unlike many other firms, there is no set formula for the equity/debt split. The result? A customized capital structure for each situation.

Transaction Types

Control Transactions
We take a majority stake in the company and serve as the financial sponsor:
  • The typical structure includes a one-stop junior capital solution composed of an equity and subordinated debt investment by BBH.
  • This is an attractive option to owner-operators focused on the certainty of close that comes with one junior capital provider.

 

Minority/Non-Control Transactions
We are the lone institutional investor with a minority stake in an owner-operated business, otherwise a significant minority investor in a business with institutional investors seeking an additional financial partner:
  • We typically structure investments as straight preferred or common equity, or some combination of equity and subordinated debt.
  • Our investments are ideal for family-owned or privately held businesses in need of capital but seeking to retain economic control.
 
Partnering with Operating Executives or Other Investors
  • We provide a mix of equity and subordinated debt to a family investment office or fundless sponsor with an existing portfolio company or new investment opportunity that requires a primary capital provider.
  • We back executives with capital to complete a management or leveraged buyout of a business identified by the executive or us.

In minority/non-control transactions and when partnering with operating executives or investors, our capital supports management buyouts, growth, recapitalizations, venture-backed companies whose investor base may have varying liquidity goals, or investors seeking capital for partial liquidity and/or growth.

Contact Us

This communication is for informational purposes only.  The information herein has not been based on a consideration of any individual investor’s circumstances and is not investment advice, nor should it be construed in any way as tax, accounting, legal or regulatory advice.  Individuals should consult their personal tax, accounting and legal advisers regarding any potential investment or strategy.  Any views and opinions are subject to change at any time.

This material does not constitute an offer or solicitation in any jurisdiction where or to any person to whom it would be unauthorized to do so.

Investment Advisory Products and Services:

NOT FDIC INSURED   NO BANK GUARANTEE    MAY LOSE VALUE

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