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Investment Criteria
FAX Capital is looking to acquire significant minority or majority ownership in high-quality public and private companies within Canada and the United States. We generally invest as an equity partner but have the flexibility to invest across the capital structure to tailor our investments to the needs of portfolio companies and our stakeholders.
We are a family-controlled corporation and understand the importance of preserving the history and values of owners seeking to monetize their business. Our focus is on achieving returns through innovation and growth while working continuously to support the performance and development of our portfolio companies.
We are a family-controlled corporation and understand the importance of preserving the history and values of owners seeking to monetize their business. Our focus is on achieving returns through innovation and growth while working continuously to support the performance and development of our portfolio companies.
Our structure uniquely positions us to hold investments beyond the finite time horizon of traditional private equity funds, potentially forever, with no requirement to monetize an investment. This allows us to maximize the value creation of our businesses and investment holdings by taking a true long-term view.
What We Look For:
- Talented and aligned management
- Recurring or predictable revenue
- High profitability
- Low capital requirements
- Sustainable competitive advantage
- High barriers to entry
- Exposure to growth markets with M&A potential
- Strong corporate culture
Our Value Add:
- Access to permanent capital
- Flexible investment mandate
- Active ownership
- Capital markets expertise
- Long-term orientation
- Alignment of interests
- Track record of value creation
- Extensive network
Criteria for Public Investments:
- $50 to $750 million market capitalization
- High returns on equity
- Strong balance sheet
- Listed on a North American Exchange
- Flexibility on investment structure (equity, debt or hybrid securities; open-market or structured transactions)
Criteria for Private Investments:
- $15 to $250 million enterprise value
- Minimum EBITDA of $1 million
- Leading market position
- Preference for control investments
- Will consider minimum equity ownership of 25% with governance rights
Interested?
If you have an opportunity in mind, please contact us at info@faxcapitalcorp.com. We promise the strictest confidence and will respond to inquiries promptly.
