Quantum’s analysis of any investment opportunity is underpinned by rigorous macro and bottoms-up due diligence and an intensely analytical focus on value. Quantum believes that this disciplined, value-oriented approach will always serve investors well in the pursuit of investment opportunities, even in an environment of constrained liquidity, or flat/contracting valuation multiples over the holding period of an investment.
Unlike many private equity firms, Quantum does not target companies with a pre-conceived notion of where and how it will participate in the companies’ capital structure or at what valuation level. Quantum structures investments which are appropriate for the identified opportunity. The firm employs leverage to achieve operational and financial objectives consistent with its investment thesis. Quantum is capable of investing in all stages of a company’s lifecycle and in any form of its financial securities. More specifically, Quantum has made investments to replenish working capital, to fund capital developments, to support research and development, to fuel corporate expansion, to facilitate mergers and acquisitions, to support recapitalizations, and to back-stop management buyouts and strategic sales.
Quantum has cultivated a reputation for honest, forthright investing based on fundamental analysis. Having made numerous investments in various industries, Quantum’s Partner’s have demonstrated integrity, creativity and constant support, which, collectively, provide for an active level of high impact engagement with portfolio company management teams.
In the spirit of forging relationships, Quantum considers its commitments a bond. Quantum does not customarily demand egregious contingencies, caveats or management fees. Quantum does not rely on the financial wherewithal of third parties to meet its commitments. Instead, Quantum has sufficient capital to meet its obligations and to bridge additional capital needs as they are required. Consequently, companies benefit from investments completed in compressed time frames with financing certainty and are not burdened by egregious recurring management fees.
CriteriaQuantum seeks investment opportunities in middle-market, cash generative businesses that have strong defensible competitive positions with significant value creation opportunities. Targeted investments include acquisitions of divisions or assets from corporations, acquisitions or recapitalizations of privately owned or publicly traded businesses, and acquisitions of distressed businesses either through a restructuring or a bankruptcy process.