Our Approach to Private Equity Investments
We believe in a proactive approach to investing and hence our consistent application of a private equity investment model in all our investment activities, characterised by the following:
- Strong focus on aggressive financial and operational restructuring within one year of our investment as this is critical to creating a strong foundation that can underpin growth and value creation within our investment horizon.
- Holding at least 2 board seats on the boards of our investee companies.
- Medium- to long-term investment holding period.
- Holding at least 25.1% shareholding in our investee companies so that we have influence. In instances where we hold less than 25.1%, we ensure that our investment structure provides that we still have influence.
- Target IRR of 30% in BWP.
- Investing in partnership with strong international operators with technical know-how, financial capacity and experience, and/or management teams.
- Prudent accounting for our investments.
- Strong focus on portfolio management post one year from our investment, characterised by effective management and monitoring of our investments.
- Our portfolio management process requires, amongst others, various technical skills, ranging from financial, risk management, business, devising and negotiating exit.
- Structured exit from our proprietary investments through one or a combination of the following:
- Sale to our investment/operating partners;
- Sale to other financial investors; and/or
- IPO of our investee companies.