Throughout the acquisition process and beyond the closing, Eigen Capital works alongside management teams to develop and implement a new strategic impetus for the company. We prefer to develop our plan in conjunction with management during diligence, and then empower management to execute immediately after closing.
As managers of an Eigen Capital entity, this is what you can expect:
Fundamentals rather than speculation
Adequately capitalized businesses rather than capital-starved
Active collaboration with management rather than a ‘pay-and-pray’ approach
Entrepreneurial and open culture rather than institutional and rigid
How we work with Managers Dedication. Expect it from us, as we do from you.
Autonomy: Once a strategic plan has been formulated, we fully empower the acquired company’s management to run the business. We avoid second-guessing our managers and leave the day-to-day operation of the business to those who know it best.
Accountability: We encourage our managers to be creative in the pursuit of new avenues for success. We also expect transparency and accountability, and are believers in the value of reliable performance metrics.
Assistance: We want to be responsive and supportive, as much or as little as needed. Throughout the life of an investment, we work alongside management on all critical capital decisions, be it capital structure (financing etc.) or capital allocation (product development, market strategy, in-house vs. outsourcing, etc.). Eigen Capital also supports portfolio companies in their external growth initiatives as we view follow-on acquisitions as a key element for creating value.
Acceleration: We believe that our fast-paced economic environment requires businesses to have the necessary agility to constantly make corrective adjustments and evolve. We expect our managers to operate with a sense of urgency.
Alignment: The core tenet of our business philosophy is that management and employees’ interests must be properly aligned with that of the shareholders. We structure our transactions to ensure that management is motivated to succeed and rewarded for value creation.
