From identifying the opportunity, making our investment, setting the strategy and structure, we then work with management to invigorate the business, growing it both organically as well as through acquisitions often originated by our Advisory business.
Ultimately, we will guide our investment to a capitalising event that releases an accelerated level of value which we will then re-deploy into further investment opportunities. We are alive to the opportunity to make special capital distributions to our shareholders.
We grow capital value in our two identified business streams
– Maturing platforms with significant sector presence
– Opportunity to grow substantially by acquisition
– Quoted, liquidity increasing with size
– Top quartile valuations
– Attractive to larger acquirers
– Dynamic, fast growth
– Highly desirable technology
– Private, first generation management
– Underfunded, but scalable
– Possible additions to larger MXC “platforms”
– Suitable for IPO or “must haves” for others
And we also are keen to look at situations that have become a problem or a poor fit for other investors or companies. We are not put off by businesses that are underperforming or need to be turned around.
We are active investors
We invariably take a position on the Board of the companies we invest in since we always actively contribute to the management of our investments. We bring our operational experience to bear and contribute to defining strategy. We can provide access to equity finance as well as debt and we lead build outs by acquisitions supported by our in-house corporate finance business, MXC Capital Markets LLP. We believe that when we bring finance to a company, we are bringing “smart money” that adds real value.
MXC Capital Markets LLP
Our corporate finance business, led by Managing Partner Marc Young, has an experienced team leading on transactions, IPOs and financings. It provides an acquisition identification and transaction management function to our investee companies and to third parties. Where there are related party transactions or fees, we seek a third party independent opinion. MXC Capital Markets LLP is an important part of the MXC model, keeping costs down whilst maintaining value within our company to the benefit of our shareholders.
Our investment process
The Board of the Guernsey based permanent capital vehicle reviews all investment opportunities and is responsible for each investment decision. MXC Capital Markets LLP provides advice, does due diligence and manages transactions. MXC Advisory Ltd sources investment opportunities and contributes to the day to day management of our investments.