We believe that true value is created through our deep, hands-on involvement with the companies in which we invest. Active Ownership Investing means on-the-ground, high-caliber management support for each investment, working closely with portfolio company management teams and partner companies in Equitium’s network to drive superior results. The Equitium team has proven business-building skills in house, thus ensuring greater control over investment results.

Value Creation Approach
The Equitium Group creates value within its portfolio companies primarily through four levers:

• World-class consultants and executives to support and complement the existing management team over an extended period of time
• Innovation and creative talent for branding and advertising
• Access to a blue-chip network of executives and companies, increasing both the pool of management talent for hire and business opportunities (e.g., distribution agreements, co-branding)
• Capital for financial restructuring, expansion into new markets, and development of new products and services

The Equitium Group seeks to take a majority equity stake in small-to medium-size companies that are underperforming versus their peers or their industry. What is most important for Equitium is the soundness of the business opportunity and the inherent ability for the company to address that opportunity effectively if equipped with the right people and sufficient capital.
In contrast to the approach employed by most private equity firms, Equitium provides hands-on, world-class strategic and operational support, assistance usually not attainable by small- to medium-size businesses.

Following an acquisition, Equitium immediately begins to address the sources of the company's problems and to capture the growth opportunities identified prior to the acquisition. Equitium team members supplement the management team as needed to fill critical gaps on a temporary basis. The firm also helps to identify and recruit top talent for key positions and leverages its broad network of experts and industry leaders to secure additional customers, partnerships with leading corporations, new distribution channels, or critical assets.

Over time, Equitium’s direct involvement diminishes and certain roles become filled with permanent personnel. Equitium strives to do so at a time and in a way that is optimal for all involved, such as the sale of the company to a major corporation or a large private equity fund, or through a public equity offering.

Given the Equitium team’s track record of fixing companies from the bottom up, we can say with confidence that our hands-on approach yields superior investment returns.

Industry Focus
The Equitium Group looks for acquisition opportunities in industries with inherent medium to high margins and significant opportunity for innovation.

We invest in luxury lifestyle companies with particular focus on the following industries:

• Personal Care
• Cosmetics
• Fashion and Fashion Accessories
• Food & Beverage
• Media & Entertainment
• Transportation and Hospitality

Additionally, the firm will opportunistically consider companies with extensive operational improvement needs in other industries, where the team on the ground can have an immediate, positive impact.

Target Company Profile
The Equitium Group invests in small- to medium-size stand-alone companies or corporate spin-offs, with revenues between $10 million and $50 million. Ideal acquisition candidates are underperforming versus their peers, or are failing to meet their inherent profitability and growth potential. Some performance characteristics of target companies may include:

• Stagnant or declining revenues
• Declining profit margins
• Periods of limited operating losses
• Brands that have lost their luster

In exceptional circumstances, Equitium will consider companies in bankruptcy or close to bankruptcy. In structuring these types of transactions, the firm seeks an arrangement that will maximize the chances for the company to achieve healthy growth.
At this time, Equitium is considering only companies headquartered in the U.S.

Please click the icon below to download a PDF document with a description of Equitium’s target company characteristics and contact information

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You can contact us via e-mail at contactus@equitium.com